273
the income official poverty line described in such sec-
tion. 
‘‘(c) 
REFERENCES
TO
TERMS
AND
SPECIAL 
RULES.—In the case of, and with respect to, a State pro-
viding for coverage of FamilyCare assistance to targeted 
low-income parents under subsection (a), the following 
special rules apply: 
‘‘(1) Any reference in this title (other than sub-
section (b)) to a targeted low-income child is deemed 
to include a reference to a targeted low-income par-
ent. 
‘‘(2) Any such reference to child health assist-
ance with respect to such parents is deemed a ref-
erence to FamilyCare assistance. 
‘‘(3) In applying section 2103(e)(3)(B) in the 
case of a family provided coverage under this sec-
tion, the limitation on total annual aggregate cost-
sharing shall be applied to the entire family. 
‘‘(4) In applying section 2110(b)(4), any ref-
erence to ‘section 1902(l)(2) or 1905(n)(2) (as se-
lected by a State)’ is deemed a reference to the in-
come level applicable to parents under section 1931, 
or, in the case of a pregnant woman described in 
subsection (b)(4), the income level established under 
section 1902(l)(2)(A).’’.
274
(B) ADDITIONAL ALLOTMENT FOR STATES 
PROVIDING FAMILYCARE.—
(i) IN
GENERAL.—Section 2104 of 
such Act (42 U.S.C. 1397dd) is amended 
by inserting after subsection (c) the fol-
lowing new subsection: 
‘‘(d) ADDITIONAL ALLOTMENTS FOR STATE PRO-
VIDING FAMILYCARE.—
‘‘(1) APPROPRIATION; TOTAL
ALLOTMENT.—
For the purpose of providing additional allotments 
to States electing to provide FamilyCare coverage 
under section 2111, there is appropriated, out of any 
money in the Treasury not otherwise appropriated—
‘‘(A) for fiscal year 2004, $2,000,000,000; 
‘‘(B) for fiscal year 2005, $2,000,000,000; 
‘‘(C) for fiscal year 2006, $3,000,000,000; 
‘‘(D) for fiscal year 2007, $3,000,000,000; 
‘‘(E) for fiscal year 2008, $6,000,000,000; 
‘‘(F) for fiscal year 2009, $7,000,000,000; 
‘‘(G) for fiscal year 2010, $8,000,000,000; 
‘‘(H) for fiscal year 2011, $9,000,000,000; 
‘‘(I) for fiscal year 2012, $10,000,000,000; 
and 
‘‘(J) for fiscal year 2013 and each fiscal 
year thereafter, the amount of the allotment
275
provided under this paragraph for the preceding 
fiscal year increased by the percentage increase 
(if any) in the medical care expenditure cat-
egory of the Consumer Price Index for All 
Urban Consumers (United States city average). 
‘‘(2) STATE AND TERRITORIAL ALLOTMENTS.—
‘‘(A) IN GENERAL.—In addition to the al-
lotments provided under subsections (b) and 
(c), subject to paragraph (3), of the amount 
available for the additional allotments under 
paragraph (1) for a fiscal year, the Secretary 
shall allot to each State with a State child 
health plan approved under this title and which 
has elected to provide coverage under section 
2111 during the fiscal year—
‘‘(i) in the case of such a State other 
than a commonwealth or territory de-
scribed in clause (ii), the same proportion 
as the proportion of the State’s allotment 
under section 2104(b) (determined without 
regard to section 2104(f)) to 98.95 percent 
of the total amount of the allotments 
under such section for such States eligible 
for an allotment under this subparagraph 
for such fiscal year; and
276
‘‘(ii) in the case of a commonwealth or 
territory described in section 2104(c)(3), 
the same proportion as the proportion of 
the commonwealth’s or territory’s allot-
ment under section 2104(c) (determined 
without regard to section 2104(f)) to 1.05 
percent of the total amount of the allot-
ments under such section for common-
wealths and territories eligible for an allot-
ment under this subparagraph for such fis-
cal year. 
‘‘(B) REDISTRIBUTION OF UNUSED ALLOT-
MENTS.—In applying subsection (f) with re-
spect to additional allotments made available 
under this subsection, the procedures estab-
lished under such subsection shall ensure such 
additional allotments are only made available to 
States which have elected to provide coverage 
under section 2111. 
‘‘(3) USE OF ADDITIONAL ALLOTMENT.—Addi-
tional allotments provided under this subsection are 
not available for amounts expended before October 
1, 2003. Such amounts are available for amounts ex-
pended on or after such date for child health assist-
277
ance for targeted low-income children, as well as for 
FamilyCare assistance.’’. 
(ii) 
CONFORMING
AMENDMENTS.—
Section 2104 of such Act (42 U.S.C. 
1397dd) is further amended—
(I) in subsection (a), by inserting 
‘‘subject to subsection (d),’’ after 
‘‘under this section,’’; 
(II) in subsection (b)(1), by in-
serting ‘‘and subsection (d)’’ after 
‘‘Subject to paragraph (4)’’; and 
(III) in subsection (c)(1), by in-
serting ‘‘subject to subsection (d),’’ 
after ‘‘for a fiscal year,’’. 
(C) NO COST-SHARING FOR PREGNANCY-
RELATED
BENEFITS.—Section 2103(e)(2) of 
such Act (42 U.S.C. 1397cc(e)(2)) is amend-
ed—
(i) in the heading, by inserting ‘‘AND 
PREGNANCY-RELATED
SERVICES’’ 
after 
‘‘PREVENTIVE SERVICES’’; and 
(ii) by inserting before the period at 
the end the following: ‘‘and for pregnancy-
related services’’.
278
(3) EFFECTIVE DATE.—The amendments made 
by this subsection apply to items and services fur-
nished on or after October 1, 2003. 
(b) RULES FOR IMPLEMENTATION BEGINNING WITH 
FISCAL YEAR 2008.—
(1) REQUIRED COVERAGE OF FAMILYCARE PAR-
ENTS.—Section 1902(a)(10)(A)(i) of the Social Se-
curity Act (42 U.S.C. 1396a(a)(10)(A)(i)), as 
amended by section 1101(b)(1)(A)(iii), is amended—
(A) by striking ‘‘or’’ at the end of sub-
clause (VII); 
(B) by striking the semicolon at the end of 
subclause (VIII) and insert ‘‘, or’’; and 
(C) by adding at the end the following new 
subclause: 
‘‘(IX) who would be parents de-
scribed in subsection (k)(1) if the in-
come level specified in subsection 
(k)(2)(B) were equal to at least 100 
percent of the poverty line referred to 
in such subsection;’’. 
(2) EXPANSION
OF
AVAILABILITY
OF
EN-
HANCED
MATCH
UNDER
MEDICAID
FOR
PRE-CHIP 
EXPANSIONS.—Paragraph (4) of section 1905(u) of
279
such Act (42 U.S.C. 1396d(u)), as inserted by sub-
section (a)(1)(C), is amended—
(A) by amending clause (ii) of subpara-
graph (A) to read as follows: 
‘‘(ii) CERTAIN
PREGNANT
WOMEN.—Ex-
penditures for medical assistance for pregnant 
women under section 1902(l)(1)(A) in a family 
the income of which exceeds the 133 percent of 
the income official poverty line.’’; and 
(B) by adding at the end the following new 
subparagraphs: 
‘‘(B) PARENTS WITH INCOME ABOVE 100 PER-
CENT OF POVERTY BUT BELOW JANUARY 1, 2003 IN-
COME LEVEL.—The expenditures described in this 
subparagraph are expenditures for medical assist-
ance made available for any parents described in 
section 1902(a)(10)(A)(i)(VIII), whose income ex-
ceeds 100 percent of the income official poverty line 
applicable to a family of the size involved but does 
not exceed the applicable income level established 
under this title (under section 1931 or otherwise) for 
a parent in a family of the size involved as of Janu-
ary 1, 2003. 
‘‘(C) CHILDREN
IN
FAMILIES
WITH
INCOME 
ABOVE
MEDICAID
MANDATORY
LEVEL
NOT
PRE-
280
VIOUSLY
DESCRIBED.—The expenditures described 
in this subparagraph are expenditures (other than 
expenditures described in paragraph (2) or (3)) for 
medical assistance made available to any child who 
is 
eligible 
for 
assistance 
under 
section 
1902(a)(10)(A) and the income of whose family ex-
ceeds the minimum income level required under sub-
section 1902(l)(2) for a child of the age involved 
(treating any child who is 19 or 20 years of age as 
being 18 years of age).’’. 
(3) OFFSET
OF
ADDITIONAL
EXPENDITURES 
FOR ENHANCED MATCH FOR PRE-CHIP EXPANSION; 
ELIMINATION OF OFFSET FOR REQUIRED COVERAGE 
OF FAMILYCARE PARENTS.—
(A) IN GENERAL.—Section 1905(u)(5) of 
such Act (42 U.S.C. 1396d(u)(5)), as added by 
subsection (a)(1)(E), is amended—
(i) by amending subparagraph (A) to 
read as follows: 
‘‘(A) REGULAR FMAP FOR EXPENDITURES FOR 
PREGNANT WOMEN WITH INCOME ABOVE 133 PER-
CENT OF POVERTY.—The portion of the payments 
made for expenditures described in paragraph 
(4)(A)(ii) that represents the amount that would 
have been paid if the enhanced FMAP had not been
281
substituted for the Federal medical assistance per-
centage.’’; and 
(ii) by adding at the end the following 
new subparagraphs: 
‘‘(B) FAMILYCARE PARENTS UNDER 100 PER-
CENT OF POVERTY.—Payments for expenditures de-
scribed in paragraph (4)(A)(i) in the case of parents 
whose income does not exceed 100 percent of the in-
come official poverty line applicable to a family of 
the size involved. 
‘‘(C) REGULAR FMAP FOR EXPENDITURES FOR 
PARENTS
WITH
INCOME
ABOVE
100
PERCENT
OF 
POVERTY
BUT
BELOW
JANUARY
1, 2003
INCOME 
LEVEL.—The portion of the payments made for ex-
penditures described in paragraph (4)(B) that rep-
resents the amount that would have been paid if the 
enhanced FMAP had not been substituted for the 
Federal medical assistance percentage. 
‘‘(D) REGULAR FMAP FOR EXPENDITURES FOR 
CERTAIN
CHILDREN
IN
FAMILIES
WITH
INCOME 
ABOVE MEDICAID MANDATORY LEVEL.—The portion 
of the payments made for expenditures described in 
paragraph (4)(C) that represents the amount that 
would have been paid if the enhanced FMAP had
282
not been substituted for the Federal medical assist-
ance percentage.’’. 
(B) CONFORMING AMENDMENTS.—Section 
2105(a)(1)(C) 
of 
such 
Act 
(42 
U.S.C. 
1397ee(1)(1)(C)), as amended by subsection 
(a)(1)(D), is amended by striking ‘‘and for 
medical assistance that is attributable to ex-
penditures described in section 1905(u)(4)(A)’’ 
and inserting ‘‘and for medical assistance that 
is attributable to expenditures described in sec-
tion 1905(u)(4), except as provided in section 
1905(u)(5)’’.
(3) EFFECTIVE DATE.—The amendments made 
by this subsection apply as of October 1, 2007, to 
fiscal years beginning on or after such date and to 
expenditures under the State plan on and after such 
date.
(c) MAKING TITLE XXI BASE ALLOTMENTS PERMA-
NENT.—Section 2104(a) of such Act (42 U.S.C. 
1397dd(a)) is amended—
(1) by striking ‘‘and’’ at the end of paragraph 
(9); 
(2) by striking the period at the end of para-
graph (10) and inserting ‘‘; and’’; and
283
(3) by adding at the end the following new 
paragraph: 
‘‘(11) for fiscal year 2008 and each fiscal year 
thereafter, the amount of the allotment provided 
under this subsection for the preceding fiscal year 
increased by the percentage increase (if any) in the 
medical care expenditure category of the Consumer 
Price Index for All Urban Consumers (United States 
city average).’’. 
(d) OPTIONAL APPLICATION OF PRESUMPTIVE ELI-
GIBILITY PROVISIONS TO PARENTS.—Section 1920A of 
such Act (42 U.S.C. 1396r–1a) is amended by adding at 
the end the following new subsection: 
‘‘(e) In accordance with regulations, a State may 
elect to apply the previous provisions of this section to pro-
vide for a period of presumptive eligibility for medical as-
sistance for a parent of a child with respect to whom such 
a period is provided under this section.’’. 
(e) CONFORMING AMENDMENTS.—
(1) 
ELIGIBILITY
CATEGORIES.—Section 
1905(a) of such Act (42 U.S.C. 1396d(a)) is amend-
ed, in the matter before paragraph (1)—
(A) by striking ‘‘or’’ at the end of clause 
(xi);
284
(B) by inserting ‘‘or’’ at the end of clause 
(xii); and 
(C) by inserting after clause (xii) the fol-
lowing new clause: 
‘‘(xiii) who are parents described (or treated as 
if described) in section 1902(k)(1),’’. 
(2) INCOME LIMITATIONS.—Section 1903(f)(4) 
of such Act (42 U.S.C. 1396b(f)(4)) is amended—
(A) effective October 1, 2007, by inserting 
‘‘1902(a)(10)(A)(i)(IX),’’ 
after 
‘‘1902(a)(10)(A)(i)(VIII),’’; and 
(B) 
by 
inserting 
‘‘1902(a)(10)(A)(ii)(XX),’’ 
after 
‘‘1902(a)(10)(A)(ii)(XIX),’’.
(3) CONFORMING
AMENDMENT
RELATING
TO 
NO WAITING PERIOD FOR CERTAIN WOMEN.—Section 
2102(b)(1)(B) 
of 
such 
Act 
(42 
U.S.C. 
1397bb(b)(1)(B)) is amended—
(A) by striking ‘‘, and’’ at the end of 
clause (i) and inserting a semicolon; 
(B) by striking the period at the end of 
clause (ii) and inserting ‘‘; and’’; and 
(C) by adding at the end the following new 
clause:
285
‘‘(iii) may not apply a waiting period 
(including a waiting period to carry out 
paragraph (3)(C)) in the case of targeted 
low-income women who are pregnant.’’. 
Subtitle D—Awareness of 
Environmental Risks to Children 
SEC. 2301. SHORT TITLE. 
This subtitle may be cited as the ‘‘Children’s Envi-
ronmental Protection and Right to Know Act’’. 
SEC. 2302. FINDING. 
Congress finds that requirements to disclose informa-
tion about environmental risks will improve health and 
safety by—
(1) prompting persons causing those risks to re-
duce the risks; and 
(2) enabling individuals to take actions to pro-
tect themselves from those risks. 
CHAPTER 1—CHILDREN’S 
ENVIRONMENTAL PROTECTION 
Subchapter A—Disclosure of Industrial Re-
leases That Present a Significant Risk to 
Children 
SEC. 2311. REPORTING REQUIREMENTS. 
(a) IN GENERAL.—Section 313(f) of the Emergency 
Planning and Community Right-To-Know Act of 1986 (42
286
U.S.C. 11023(f)) is amended by striking paragraph (1) 
and inserting the following: 
‘‘(1) IN GENERAL.—
‘‘(A) TOXIC CHEMICAL THRESHOLD QUAN-
TITY.—The threshold quantities for purposes of 
reporting toxic chemicals under this section are 
as follows: 
‘‘(i) TOXIC CHEMICALS USED AT FA-
CILITIES.—The threshold quantity of a 
toxic chemical used at a facility shall be 
10,000 pounds of the toxic chemical per 
year. 
‘‘(ii) MANUFACTURED OR PROCESSED 
TOXIC CHEMICALS.—The threshold quan-
tity of a toxic chemical manufactured or 
processed at a facility shall be—
‘‘(I) 75,000 pounds of a toxic 
chemical per year, for any toxic chem-
ical for which a toxic chemical release 
form is required to be submitted 
under this section on or before July 1, 
1988; 
‘‘(II) 50,000 pounds of a toxic 
chemical per year, for any toxic chem-
ical for which a toxic chemical release
287
form is required to be submitted dur-
ing the period beginning July 2, 1988, 
and ending July 1, 1989; and 
‘‘(III) 25,000 pounds of a toxic 
chemical per year, for any toxic chem-
ical for which any toxic release form 
is required to be submitted on or after 
July 2, 1989. 
‘‘(B) TOXIC CHEMICALS RELEASED FROM 
FACILITIES.—
‘‘(i) TOXIC
CHEMICAL
THRESHOLD 
PROGRAM.—
‘‘(I) 
ESTABLISHMENT.—Not 
later than 2 years after the date of 
enactment of the Children’s Environ-
mental Protection and Right to Know 
Act, subject to clause (ii) and in addi-
tion to the reporting thresholds for 
the toxic chemicals specified in sub-
clause (II), the Administrator shall es-
tablish a reporting threshold for each 
toxic chemical that the Administrator 
determines may present a significant 
risk to children’s health or the envi-
288
ronment due to, as determined by 
the—
‘‘(aa) the persistent use or 
existence of the toxic chemical in 
the environment; 
‘‘(bb) the potential of the 
toxic chemical to bioaccumulate 
or disrupt endocrine systems; or 
‘‘(cc) other characteristics of 
the toxic chemical. 
‘‘(II) 
TOXIC
CHEMICALS
IN-
CLUDED.—The Administrator shall 
establish a reporting threshold under 
subclause (I) for—
‘‘(aa) lead; 
‘‘(bb) mercury; 
‘‘(cc) dioxin; 
‘‘(dd) cadmium; 
‘‘(ee) chromium; and 
‘‘(ff) each substance identi-
fied as a bioaccumulative chem-
ical of concern in the final rule 
promulgated by the Adminis-
trator entitled ‘Water Quality 
Guidance for the Great Lakes
289
System, Part III’ (60 Fed. Reg. 
15336 (March 23, 1995)). 
‘‘(ii) THRESHOLD
QUANTITY.—The 
Administrator shall establish by regulation 
each threshold quantity for a toxic chem-
ical described in clause (i) at a level that, 
as determined by the Administrator, will 
ensure reporting of at least 80 percent of 
the aggregate of all releases of the toxic 
chemical from facilities that—
‘‘(I) have 10 or more full-time 
employees; and 
‘‘(II) are designated with any of 
Standard 
Industrial 
Classification 
Codes 20 through 39 or any of the 
Standard 
Industrial 
Classification 
Codes 
added 
under 
subsection 
(b)(1)(B).’’. 
(b) CONFORMING AMENDMENTS.—
(1) Section 313 of the Emergency Planning and 
Community Right-To-Know Act of 1986 (42 U.S.C. 
11023) is amended—
(A) in subsections (a) and (b)(1)(A), by 
striking ‘‘or otherwise used’’ each place it ap-
290
pears and inserting ‘‘otherwise used, or re-
leased’’; 
(B) in subsection (c)—
(i) by striking ‘‘are those chemicals’’ 
and inserting the following: ‘‘are—
‘‘(1) those chemicals’’; 
(ii) by striking the period at the end 
and inserting ‘‘; and’’; and 
(iii) by adding at the end the fol-
lowing: 
‘‘(2) dioxin and each other substance identified 
as a bioaccumulative chemical of concern in the final 
rule promulgated by the Administrator entitled 
‘Water Quality Guidance for the Great Lakes Sys-
tem, Part III’ (60 Fed. Reg. 15336 (March 23, 
1995)).’’; and
(C) in the first sentence of subsection 
(f)(2), by striking ‘‘paragraph (1)’ and insert-
ing ‘‘subparagraph (A) or (B) of paragraph 
(1)’’. 
(2) Section 326(a)(1)(B) of the Emergency 
Planning and Community Right-To-Know Act of 
1986 (42 U.S.C. 11046(a)(1)(B)) is amended by 
adding at the end the following:
291
‘‘(vii) Establish reporting thresholds for chemi-
cals referred to in section 313(f)(1)(C).’’. 
Subchapter B—Disclosure of High Health 
Risk Chemicals in Children’s Consumer 
Products 
SEC. 2321. LIST OF TOXIC CHEMICALS. 
(a) DEFINITION OF ELIGIBLE PRODUCT.—Section 2 
of the Federal Hazardous Substances Act (15 U.S.C. 
1261) is amended by adding at the end the following: 
‘‘(u) ELIGIBLE PRODUCT.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), the term ‘eligible product’ means any toy 
or other article intended for use by children. 
‘‘(2) EXCEPTION.—On and after the date that 
is 3 years after the date of enactment of this sub-
section, the term ‘eligible product’ means any con-
sumer product (as defined in section 3 of the Con-
sumer Product Safety Act (15 U.S.C. 2052)).’’. 
(b) LIST OF TOXIC CHEMICALS.—Section 3 of the 
Federal Hazardous Substances Act (15 U.S.C. 1262) is 
amended by adding at the end the following: 
‘‘(k) LIST OF TOXIC CHEMICALS.—
‘‘(1) DEFINITIONS.—In this subsection:
292
‘‘(A) ADMINISTRATOR.—The term ‘Admin-
istrator’ means the Administrator of the Envi-
ronmental Protection Agency. 
‘‘(B) CHAIRMAN.—The term ‘Chairman’ 
means the Chairman of the Consumer Product 
Safety Commission. 
‘‘(2) LIST.—Not later than 1 year after the 
date of enactment of this subsection, the Adminis-
trator, acting jointly with the Chairman, shall pub-
lish in the Federal Register a list of substances or 
mixtures of substances that have been determined by 
the Administrator and the Chairman to be toxic to 
children due to their carcinogenic, neurotoxic, or re-
productive toxic effects. 
‘‘(3) SUBSTANCES
AND
INFORMATION
TO
BE 
INCLUDED.—The list under that paragraph shall in-
clude—
‘‘(A)(i) any chemical that has been identi-
fied by a Federal agency as being a carcinogen, 
neurotoxin, or reproductive toxin; 
‘‘(ii) each chemical identified as a Group A 
or Group B carcinogen in the notice published 
by the Administrator entitled ‘Regulation of 
Pesticides in Food: Addressing the Delaney
293
Paradox Policy Statement’ (53 Fed. Reg. 
41118 (October 19, 1988)); 
‘‘(iii) each chemical that adversely affects 
the nervous system of children, as identified in 
criteria documents of the National Institute for 
Occupational Safety and Health; 
‘‘(iv) each chemical identified by the Con-
sumer Product Safety Commission as having 
sufficient evidence to demonstrate—
‘‘(I) carcinogenicity in humans or ani-
mals; 
‘‘(II) neurotoxicity in humans or ani-
mals; 
‘‘(III) human developmental toxicity; 
or 
‘‘(IV) male or female reproductive tox-
icity in humans or animals; 
‘‘(v) 
each 
chemical 
regulated 
as 
a 
neurotoxin, reproductive toxin, or developmental 
toxin by the Administrator; and 
‘‘(vi) each chemical on the Biennial List of 
Carcinogens submitted to Congress by the Sec-
retary of Health and Human Services; and 
‘‘(B) such reasonably available information 
on adverse health effects of any substance or
294
mixture of substances as was used to determine 
whether to include the substance or mixture on 
the list required under paragraph (2). 
‘‘(4) DATA.—In carrying out paragraph (3), the 
Secretary and the Chairman shall require manufac-
turers and importers of substances and mixtures of 
substances on the list required under paragraph (2) 
to generate, and shall obtain from any Federal, 
State, or local government, such data as are suffi-
cient to identify substances or mixtures of sub-
stances—
‘‘(A) that are toxic within the meaning of 
paragraph (2); and 
‘‘(B) to which infants and young children 
are exposed. 
‘‘(l) CHEMICAL TESTING AND RISK ASSESSMENT.—
As soon as practicable after the date of enactment of this 
subsection, the Administrator of the Environmental Pro-
tection Agency, in consultation with experts in pediatric 
toxicology and exposure, shall develop and implement new 
short-term and long-term strategies for more comprehen-
sive chemical testing and risk assessment to ensure that 
risks of exposure to children (including exposure to chil-
dren in utero) are, to the maximum extent practicable, 
fully understood.’’.
295
SEC. 2322. REPORTING OF TOXIC CHEMICALS IN CON-
SUMER PRODUCTS. 
(a) REPORTING.—The Federal Hazardous Sub-
stances Act (15 U.S.C. 1261 et seq.) is amended by add-
ing at the end the following: 
‘‘SEC. 25. REPORTING OF TOXIC CHEMICALS. 
‘‘(a) IN GENERAL.—A manufacturer or importer of 
any eligible product that contains, or is composed of, a 
substance or mixture of substances listed under section 
3(k) shall submit to the Commission a report that de-
scribes each of the following: 
‘‘(1) The identity of the manufacturer or im-
porter of the eligible product. 
‘‘(2) A description of the eligible product (in-
cluding any model name and model number of the 
eligible product).
‘‘(3) The identity of the substance or mixture 
of substances listed under section 3(k) (including the 
concentration of the substance or mixture in the eli-
gible product). 
‘‘(4) Any information known to the manufac-
turer or importer that would support a determina-
tion that the eligible product is not a misbranded 
hazardous substance or a banned hazardous sub-
stance.
296
‘‘(5) Such data as are generated by the manu-
facturer or importer as are sufficient to identify any 
substances or mixtures of substances manufactured 
or imported that are toxic to children, as described 
in section 3(k)(2). 
‘‘(b) PUBLICATION.—The Commission shall annually 
publish in the Federal Register, and make available to the 
public in an electronic format, the information submitted 
under subsection (a). 
‘‘(c) REGULATIONS.—The Commission shall promul-
gate such regulations as necessary to carry out this sec-
tion. 
‘‘(d) APPLICATION
OF SECTION.—Subsection (a) 
shall apply to a substance or mixture of substances listed 
under section 3(k) beginning on the date that is 1 year 
after the date on which the substance or mixture of sub-
stances is listed under that section.’’. 
(b) PROHIBITED ACTS.—
(1) IN
GENERAL.—Section 4 of the Federal 
Hazardous Substances Act (15 U.S.C. 1263) is 
amended by adding at the end the following: 
‘‘(l) The failure to report as required under section 
25.’’. 
(2) 
CONFORMING
AMENDMENT.—Section 
5(c)(1) of the Federal Hazardous Substances Act
297
(15 U.S.C. 1264(c)(1)) is amended in the second 
sentence by striking ‘‘and (k)’’ and inserting ‘‘(k), 
and (l)’’. 
SEC. 2323. EXEMPTIONS. 
(a) IN GENERAL.—Section 3(c) of the Federal Haz-
ardous Substances Act (15 U.S.C. 1262(c)) is amended—
(1) by striking ‘‘(c) If the Commission finds’’ 
and inserting the following: 
‘‘(c) EXEMPTION FROM REQUIREMENTS BY REGULA-
TION.—
‘‘(1) IN GENERAL.—If the Commission deter-
mines’’; and 
(2) by adding at the end the following: 
‘‘(2) ADDITIONAL REGULATIONS.—In addition 
to regulations promulgated under paragraph (1), the 
Commission may promulgate regulations exempting 
from the reporting requirements of section 25 any 
substance or mixture of substances. 
‘‘(3) APPLICABILITY.—This subsection shall not 
apply to any substance or mixture of substances un-
less the Commission determines that the substance 
or mixture would not, by reason of containing a sub-
stance or mixture of substances listed under section 
3(k), cause substantial personal injury or substantial 
illness during, or as a proximate result of, any cus-
298
tomary or reasonably foreseeable handling or use 
(including reasonably foreseeable ingestion by chil-
dren).’’. 
(b) CONFORMING AMENDMENT.—Section 3(d) of the 
Federal Hazardous Substances Act (15 U.S.C. 1262(d)) 
is amended by striking ‘‘adequate requirements satisfying 
the purposes of’’ and inserting ‘‘requirements at least as 
stringent as’’. 
SEC. 2324. PRIVATE CITIZEN ENFORCEMENT. 
The Federal Hazardous Substances Act (15 U.S.C. 
1261 et seq.) (as amended by section 2322(a)) is amended 
by adding at the end the following: 
‘‘SEC. 26. PRIVATE CITIZEN ENFORCEMENT. 
‘‘(a) IN GENERAL.—Subject to subsection (c), any 
person other than the Commission may bring a civil action 
in United States district court—
‘‘(1) against any person, for violation of sub-
section (a), (b), or (l) of section 4; or 
‘‘(2) against the Commission, for a failure of 
the Commission to perform any nondiscretionary act 
or duty under the amendments made by the Chil-
dren’s Environmental Protection and Right to Know 
Act. 
‘‘(b) JURISDICTION.—In the case of a civil action 
under subsection (a)—
299
‘‘(1) the United States district courts shall have 
jurisdiction over the civil action without regard to 
the amount in controversy or the citizenship of the 
parties; and 
‘‘(2) the court may apply any appropriate civil 
penalties under section 5 or order the Commission to 
perform any nondiscretionary act or duty that the 
Commission failed to perform. 
‘‘(c) ACTIONS PROHIBITED.—No action may be com-
menced under this section unless—
‘‘(1) not later than 60 days before the date on 
which the action is filed, the plaintiff gives notice of 
the intent to bring the action—
‘‘(A) to the Commission; and 
‘‘(B) in the case of an action for a viola-
tion of section 4, to the person that is alleged 
to have violated that section; and 
‘‘(2) in the case of an action for a violation of 
section 4, the Commission has not commenced and 
is not diligently pursuing a civil action on behalf of 
the United States. 
‘‘(d) INTERVENTION.—In any action on behalf of the 
United States following receipt of a notice under sub-
section (d)(1), the person providing the notice may inter-
vene as of right as a plaintiff in the action.
300
‘‘(e) COSTS.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), in any action under subsection (a), the 
costs of litigation (including reasonable attorney 
fees) may be awarded to—
‘‘(A) any substantially prevailing plaintiff; 
and 
‘‘(B) in any action under subsection (c), 
the party intervening under subsection (c), if 
that party contributed significantly to the suc-
cess of the plaintiff. 
‘‘(2) WAIVER.—The award of costs under para-
graph (1) may be fully or partially waived by a court
if the court finds such an award to be inappropriate 
under the circumstances. 
‘‘(f) BURDEN OF PROOF.—In any action under sub-
section (a)(1), if the person alleged to have violated section 
4 asserts that a substance or mixture of substances is not 
a hazardous substance by reason of containing a substance 
or mixture of substances listed under section 3(k), the 
burden of proof shall be the alleged violator to establish 
that the substance or mixture of substances is not a haz-
ardous substance. 
‘‘(g) PENALTY FUND.—
301
‘‘(1) ESTABLISHMENT.—There is established in 
the Treasury of the United States a fund to be used 
in carrying out this section (referred to in this sec-
tion as the ‘Fund’). 
‘‘(2) DEPOSIT
OF
ASSESSED
PENALTIES.—A 
penalty assessed as a result of a civil action under 
subsection (a) shall be deposited in the Fund. 
‘‘(3) USE OF FUNDS.—On request by the Com-
mission, the Secretary of the Treasury shall transfer 
from the Fund to the Commission such amounts as 
the Commission determines are necessary to finance 
compliance and enforcement activities under this 
Act. 
‘‘(4) AVAILABILITY.—Amounts in the Fund 
shall remain available for use by the Commission 
until expended, without further appropriation. 
‘‘(5) REPORTS.—The Commission shall submit 
to Congress an annual report that describes—
‘‘(A) any funds deposited into the Fund 
during the year for which the report is sub-
mitted (including the sources of those funds); 
and 
‘‘(B) the actual and proposed uses of the 
funds.
302
‘‘(h) 
OTHER
PROJECTS.—Notwithstanding 
sub-
section (g), in lieu of being deposited in the Fund, any 
civil penalty assessed may, at the option of the court (after 
consultation with the Commission), be used to fund 
projects of the Commission that are—
‘‘(1) consistent with this Act; and 
‘‘(2) designed to enhance public awareness of—
‘‘(A) the health effects of toxic substances 
or mixtures of toxic substances in eligible prod-
ucts; and 
‘‘(B) the potential for exposure of children 
to toxic substances or mixtures of toxic sub-
stances in eligible products.’’.
CHAPTER 2—PUBLIC RIGHT TO KNOW 
ABOUT TOXIC CHEMICAL USE 
SEC. 2331. DISCLOSURE OF TOXIC CHEMICAL USE BY COM-
PARABLE FACILITIES. 
Section 313(b)(1)(B) of the Emergency Planning and 
Community Right-To-Know Act of 1986 (42 U.S.C. 
11023(b)(1)(B)) is amended—
(1) by striking ‘‘(B) The Administrator’’ and 
inserting the following: 
‘‘(B) MODIFICATIONS TO COVERED FACILI-
TIES.—
303
‘‘(i) MODIFICATION BY THE ADMINIS-
TRATOR.—The Administrator’’; and 
(2) by adding at the end the following: 
‘‘(ii) 
MODIFICATIONS
BEGINNING 
WITH
2004
REPORTING
YEAR.—Effective 
beginning with the 2004 reporting year, 
any facility identified by the Standard In-
dustrial Classification Codes specified in 
the proposed rule entitled ‘Addition of Fa-
cilities in Certain Industry Sectors; Toxic 
Chemical Release Reporting; Community 
Right-to-Know, Part II’ (61 Fed. Reg. 
33588 (June 27, 1996)) shall be subject to 
the requirements of this section. 
‘‘(iii) REGULATIONS
TO
ADD
ADDI-
TIONAL CATEGORIES OF FACILITIES.—
‘‘(I) IN
GENERAL.—Not later 
than 2 years after the date of enact-
ment of this clause, subject to sub-
clause (II), the Administrator shall 
promulgate final regulations to re-
quire compliance with this section by 
all additional categories of facilities 
that use or release toxic chemicals in 
volumes similar to the volumes used
304
or released by facilities that are cov-
ered by this section as of the date of 
enactment of this clause. 
‘‘(II) 
INAPPLICABILITY
TO 
FARMS.—Subclause (I) shall not apply 
to any farm.’’. 
SEC. 2332. DISCLOSURE OF TOXIC CHEMICAL USE. 
(a) IN GENERAL.—Section 313 of the Emergency 
Planning and Community Right-To-Know Act of 1986 (42 
U.S.C. 11023) is amended—
(1) in the second sentence of subsection (a), by 
striking ‘‘releases’’ and inserting ‘‘toxic chemical 
uses and releases’’; 
(2) in subsection (g)(1)(C)—
(A) by inserting ‘‘for the preceding cal-
endar year’’ after ‘‘items of information’’; 
(B) in clause (ii), by striking ‘‘the pre-
ceding calendar year’’ and inserting ‘‘the cal-
endar year’’; and 
(C) by adding at the end the following: 
‘‘(v)(I) The number of employees, including 
contractors, at the facility. 
‘‘(II) The number of employees, including con-
tractors, at the facility that were exposed to the 
toxic chemical.
305
‘‘(III) An estimate of the quantity and level of 
occupational exposures to the toxic chemical. 
‘‘(vi)(I) The following materials accounting in-
formation: 
‘‘(aa) A description of the uses of the toxic 
chemical at the facility. 
‘‘(bb) The starting inventory of the toxic 
chemical at the facility. 
‘‘(cc) The quantity of the toxic chemical 
produced at the facility. 
‘‘(dd) The quantity of the toxic chemical 
transported into the facility and the mode of 
transportation.
‘‘(ee) The quantity of the toxic chemical 
consumed at the facility. 
‘‘(ff) The quantity of the toxic chemical 
transported out of the facility as products or in 
products, and the quantity intended for—
‘‘(AA) industrial use; 
‘‘(BB) commercial use; 
‘‘(CC) consumer use; and 
‘‘(DD) any additional category of use 
that the Administrator may designate. 
‘‘(gg) The quantity of the toxic chemical 
entering any waste stream (or otherwise re-
306
leased into the environment) before recycling, 
treatment, or disposal. 
‘‘(hh) The ending inventory of the toxic 
chemical at the facility. 
‘‘(ii) The quantity of the toxic chemical re-
cycled at the facility that is subsequently used 
at the facility. 
‘‘(jj) The quantity of the toxic chemical 
used, which shall be calculated with respect to 
a toxic chemical by adding the quantities re-
ported under items (bb), (cc), (dd), and (ii) 
with respect to the toxic chemical and sub-
tracting the quantity reported under subclause 
(hh) with respect to the toxic chemical. 
‘‘(II) Each quantity reported under this clause 
shall be complete and verifiable by computations 
using conventional materials accounting practices. 
‘‘(III) If the sum of the quantities reported 
under items (bb), (cc), (dd), and (ii) of subclause (I) 
does not equal the sum of the quantities reported 
under subclauses (ee), (ff), (gg), and (hh) of that 
subclause, the form shall provide an explanation of 
the difference in the sums. 
‘‘(vii) The quantity of the reduction, from the 
year prior to the preceding calendar year, in the
307
quantity of the toxic chemical entering any waste 
stream (or otherwise released into the environment) 
before recycling, treatment, or disposal (as reported 
under section 6607(b)(1) of the Pollution Prevention 
Act of 1990 (42 U.S.C. 13106(b)(1)), as a result 
of—
‘‘(I) equipment or technology modifica-
tions; 
‘‘(II) process or procedure modifications; 
‘‘(III) reformulation or redesign of prod-
ucts; 
‘‘(IV) substitution of raw materials; and 
‘‘(V) improvements in housekeeping, main-
tenance, training, or inventory control. 
‘‘(viii) The quantity of the reduction, from the 
year prior to the preceding calendar year, in the 
quantity of the toxic chemical used as determined 
under clause (vi)(I)(jj) as a result of all activities 
specified in clause (vii).’’; and 
(3) in the second sentence of subsection (h), by 
inserting ‘‘uses of toxic chemicals at covered facili-
ties and’’ after ‘‘inform persons about’’. 
(b) REGULATIONS.—Not later than 2 years after the 
date of enactment of this Act, the Administrator of the 
Environmental Protection Agency shall promulgate regu-
308
lations concerning the information to be provided under 
section 313(g)(1)(C)(v) of the Emergency Planning and 
Community Right-To-Know Act of 1986 (42 U.S.C. 
11023(g)(1)(C)(v)). 
SEC. 2333. STREAMLINED DATA COLLECTION AND DISSEMI-
NATION. 
Section 313 of the Emergency Planning and Commu-
nity Right-To-Know Act of 1986 (42 U.S.C. 11023) is 
amended by adding at the end the following: 
‘‘(m) STREAMLINED DATA COLLECTION AND DIS-
SEMINATION.—
‘‘(1) IN GENERAL.—To enhance public access 
and use of information resources, to facilitate com-
pliance with reporting requirements, and to promote 
multimedia permitting, reporting, and pollution pre-
vention, the Administrator shall, not later than 3 
years after the date of enactment of this sub-
section—
‘‘(A) establish standard data formats for 
management of information collected under this 
title and other Federal environmental laws; 
‘‘(B) integrate information collected under 
this title and other Federal environmental laws, 
using—
309
‘‘(i) common company, facility, indus-
try, geographic, and chemical identifiers; 
and 
‘‘(ii) other identifiers as the Adminis-
trator determines to be appropriate; 
‘‘(C) establish a system for indexing, locat-
ing, and obtaining agency-held information 
about parent companies, facilities, industries, 
chemicals, geographic locations, ecological indi-
cators, and the regulatory status of chemicals 
and entities subject to regulation under this 
title and other Federal environmental laws; 
‘‘(D) consolidate all annual reporting re-
quirements, under this title and other Federal 
environmental laws, for small business concerns 
(as defined in section 3 of the Small Business 
Act (15 U.S.C. 632)) in a manner that allows 
reporting to 1 point of contact using 1 form or 
electronic reporting system; and 
‘‘(E) provide members of the public 1 point 
of contact for access to all publicly available in-
formation collected by the Administrator for 
any 1 regulated entity. 
‘‘(2) CONSOLIDATION.—Not later than 5 years 
after the date of enactment of this subsection, the
310
Administrator shall consolidate all annual reporting 
under this title and other Federal environmental 
laws, for each entity subject to such reporting, in a 
manner that allows reporting to 1 point of contact 
using 1 form or electronic reporting system. 
‘‘(3) UNDERSTANDABLE
LANGUAGE.—In im-
proving the means by which the Administrator pro-
vides information to the public and requires informa-
tion be reported by regulated entities, as required by 
paragraphs (1) and (2), the Administrator shall use 
language and methods of communication that the 
Administrator finds to be clear and understandable
by a member of the public of average intelligence, 
education, and experience.’’. 
SEC. 2334. TRADE SECRET PROTECTION. 
Section 322 of the Emergency Planning and Commu-
nity Right-To-Know Act of 1986 (42 U.S.C. 11042) is 
amended—
(1) in subsection (a)(1), by adding at the end 
the following: 
‘‘(C) WITHHOLDING
OF
MATERIALS
AC-
COUNTING INFORMATION.—
‘‘(i) IN GENERAL.—Subject to clause 
(ii), any person required to submit mate-
rials accounting information under section
311
313(g)(1)(C)(vi) may withhold any item of 
that information (as determined under reg-
ulations promulgated by the Administrator 
under subsection (c)) if the person com-
plies with paragraph (2) with respect to 
the information to be withheld. 
‘‘(ii) LIMITATION.—Clause (i) does 
not provide authority to withhold any in-
formation covered by the Pollution Preven-
tion Act of 1990 (42 U.S.C. 13101 et 
seq.).’’; 
(2) in subsection (b)(4), by inserting ‘‘or other 
information withheld’’ after ‘‘The chemical identity’’; 
(3) in subsection (d)—
(A) in the first sentence of paragraph (1), 
by inserting ‘‘, or other information withheld 
under subsection (a)(1),’’ after ‘‘toxic chem-
ical’’; and 
(B) in paragraphs (2) through (4), by in-
serting ‘‘or other information withheld’’ after 
‘‘chemical identity’’ each place it appears; 
(4) in subsection (f), by inserting ‘‘or other in-
formation withheld under subsection (a)(1)’’ after 
‘‘chemical identity’’; and 
(5) in subsection (h)—
312
(A) in paragraph (1), by inserting ‘‘, or 
other information withheld under subsection 
(a)(1),’’ before ‘‘is claimed as’’; and 
(B) in paragraph (2), by inserting ‘‘, or 
other information withheld under subsection 
(a)(1),’’ after ‘‘identity of a toxic chemical’’. 
Subtitle E—Promoting Responsible 
Fatherhood 
CHAPTER 1—BLOCK GRANTS 
SEC. 2401. BLOCK GRANTS TO STATES TO ENCOURAGE 
MEDIA CAMPAIGNS. 
(a) IN GENERAL.—Part D of title IV of the Social 
Security Act (42 U.S.C. 651 et seq.) is amended by adding 
at the end the following: 
‘‘SEC. 469C. BLOCK GRANTS TO STATES FOR MEDIA CAM-
PAIGNS PROMOTING RESPONSIBLE FATHER-
HOOD. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) BROADCAST ADVERTISEMENT.—The term 
‘broadcast advertisement’ means a communication 
intended to be aired by a television or radio broad-
cast station, including a communication intended to 
be transmitted through a cable channel.
313
‘‘(2) CHILD AT RISK.—The term ‘child at risk’ 
means each young child whose family income does 
not exceed the poverty line. 
‘‘(3) POVERTY LINE.—The term ‘poverty line’ 
has the meaning given such term in section 673(2) 
of the Omnibus Budget Reconciliation Act of 1981 
(including any revision required by such section) 
that is applicable to a family of the size involved. 
‘‘(4) PRINTED OR OTHER ADVERTISEMENT.—
The term ‘printed or other advertisement’ includes 
any communication intended to be distributed 
through a newspaper, magazine, outdoor advertising 
facility, mailing, or any other type of general public 
advertising, but does not include any broadcast ad-
vertisement. 
‘‘(5) STATE.—The term ‘State’ means each of 
the 50 States, the District of Columbia, the Com-
monwealth of Puerto Rico, the United States Virgin 
Islands, Guam, American Samoa, and the Common-
wealth of the Northern Mariana Islands. 
‘‘(6) YOUNG CHILD.—The term ‘young child’ 
means an individual under age 5. 
‘‘(b) STATE CERTIFICATIONS.—Not later than Octo-
ber 1 of each fiscal year for which a State desires to re-
ceive an allotment under this section, the chief executive
314
officer of the State shall submit to the Secretary a certifi-
cation that the State will—
‘‘(1) use such funds to promote the formation 
and maintenance of married 2-parent families, 
strengthen fragile families, and promote responsible 
fatherhood through media campaigns conducted in 
accordance with the requirements of subsection (d); 
‘‘(2) return any unused funds to the Secretary 
in accordance with the reconciliation process under 
subsection (e); and 
‘‘(3) comply with the reporting requirements 
under subsection (f). 
‘‘(c) PAYMENTS TO STATES.—For each of fiscal years 
2004 through 2008, the Secretary shall pay to each State 
that submits a certification under subsection (b), from any 
funds appropriated under subsection (h), for the fiscal 
year an amount equal to the amount of the allotment de-
termined for the fiscal year under subsection (g). 
‘‘(d) ESTABLISHMENT OF MEDIA CAMPAIGNS.—Each 
State receiving an allotment under this section for a fiscal 
year shall use the allotment to conduct media campaigns 
as follows: 
‘‘(1) CONDUCT OF MEDIA CAMPAIGNS.—
‘‘(A) RADIO AND TELEVISION MEDIA CAM-
PAIGNS.—
316
‘‘(2) ADMINISTRATION OF MEDIA CAMPAIGNS.—
A State may administer media campaigns funded 
under this section directly or through grants, con-
tracts, or cooperative agreements with public agen-
cies, local governments, or private entities, including 
charitable and religious organizations. 
‘‘(3) CONSULTATION
WITH
DOMESTIC
VIO-
LENCE ASSISTANCE CENTERS.—In developing broad-
cast and printed advertisements to be used in the 
media campaigns conducted under paragraph (1), 
the State or other entity administering the campaign 
shall consult with representatives of State and local 
domestic violence centers. 
‘‘(4) NON-FEDERAL CONTRIBUTIONS.—In this 
subsection, the term ‘non-Federal contributions’ in-
cludes contributions by the State and by public and 
private entities. Such contributions may be in cash 
or in kind. Such term does not include any amounts 
provided by the Federal Government, or services as-
sisted or subsidized to any significant extent by the 
Federal Government, or any amount expended by a 
State before October 1, 2004. 
‘‘(e) RECONCILIATION PROCESS.—
‘‘(1) 3-YEAR
AVAILABILITY
OF
AMOUNTS
AL-
LOTTED.—Each State that receives an allotment
317
under this section shall return to the Secretary any 
unused portion of the amount allotted to a State 
under this section for a fiscal year not later than the 
last day of the second succeeding fiscal year together 
with any earnings on such unused portion. 
‘‘(2) PROCEDURE FOR REDISTRIBUTION OF UN-
USED ALLOTMENTS.—The Secretary shall establish 
an appropriate procedure for redistributing to States 
that have expended the entire amount allotted under 
this section any amount that is—
‘‘(A) returned to the Secretary by States 
under paragraph (1); or 
‘‘(B) not allotted to a State under this sec-
tion because the State did not submit a certifi-
cation under subsection (b) by October 1 of a 
fiscal year. 
‘‘(f) REPORTING REQUIREMENTS.—
‘‘(1) MONITORING
AND
EVALUATION.—Each 
State receiving an allotment under this section for a 
fiscal year shall monitor and evaluate the media 
campaigns conducted using funds made available 
under this section in such manner as the Secretary, 
in consultation with the States, determines appro-
priate.
318
‘‘(2) ANNUAL
REPORTS.—Not less frequently 
than annually, each State receiving an allotment 
under this section for a fiscal year shall submit to 
the Secretary reports on the media campaigns con-
ducted under this section at such time, in such man-
ner, and containing such information as the Sec-
retary may require. 
‘‘(g) AMOUNT OF ALLOTMENTS.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), of the amount appropriated for the pur-
pose of making allotments under this section for a 
fiscal year, the Secretary shall allot to each State 
that submits a certification under subsection (b) for 
the fiscal year an amount equal to the sum of—
‘‘(A) the amount that bears the same ratio 
to 50 percent of such funds as the number of 
young children in the State (as determined by 
the Secretary based on the most recent March 
supplement to the Current Population Survey 
of the Bureau of the Census before the begin-
ning of the calendar year in which such fiscal 
year begins) as bears to the number of such 
children in all States; and 
‘‘(B) the amount that bears the same ratio 
to 50 percent of such funds as the number of
319
children at risk in the State (as determined by 
the Secretary based on the most recent March 
supplement to the Current Population Survey 
of the Bureau of the Census before the begin-
ning of the calendar year in which such fiscal 
year begins) bears to the number of such chil-
dren in all States. 
‘‘(2) MINIMUM
ALLOTMENTS.—No allotment 
for a fiscal year under this section shall be less 
than—
‘‘(A) in the case of a State other than the 
Commonwealth of Puerto Rico, the United 
States Virgin Islands, Guam, American Samoa, 
and the Commonwealth of the Northern Mar-
iana Islands, 1 percent of the amount appro-
priated for the fiscal year under subsection (h); 
and 
‘‘(B) in the case of the Commonwealth of 
Puerto Rico, the United States Virgin Islands, 
Guam, American Samoa, and the Common-
wealth of the Northern Mariana Islands, 0.5 
percent of such amount. 
‘‘(3) PRO RATA REDUCTIONS.—The Secretary 
shall make such pro rata reductions to the allot-
ments determined under paragraph (1) as are nec-
320
essary to comply with the requirements of paragraph 
(2).
‘‘(h) AUTHORIZATION OF APPROPRIATIONS.—There 
is authorized to be appropriated $25,000,000 for each of 
fiscal years 2004 through 2008 for purposes of making 
allotments to States under this section.’’. 
(b) EVALUATION.—
(1) IN GENERAL.—The Secretary of Health and 
Human Services shall conduct an evaluation of the 
impact of the media campaigns funded under section 
469C of the Social Security Act, as added by sub-
section (a). 
(2) REPORT.—Not later than December 31, 
2006, the Secretary of Health and Human Services 
shall report to Congress the results of the evaluation 
under paragraph (1). 
(3) AUTHORIZATION
OF
APPROPRIATIONS.—
There is authorized to be appropriated $1,000,000 
for fiscal year 2004 for purposes of conducting the 
evaluation required under this subsection, to remain 
available until expended. 
SEC. 2402. RESPONSIBLE FATHERHOOD BLOCK GRANT. 
(a) IN GENERAL.—Part D of title IV of the Social 
Security Act (42 U.S.C. 651 et seq.), as amended by sec-
tion 2401, is amended by adding at the end the following:
321
‘‘SEC. 469D. RESPONSIBLE FATHERHOOD BLOCK GRANT. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) CHILD AT RISK.—The term ‘child at risk’ 
has the meaning given such term in section 
469C(a)(2). 
‘‘(2) POVERTY LINE.—The term ‘poverty line’ 
has the meaning given such term in section 
469C(a)(3). 
‘‘(3) STATE.—The term ‘State’ has the mean-
ing given such term in section 469C(a)(5). 
‘‘(4) YOUNG CHILD.—The term ‘young child’ 
has the meaning given such term in section 
469C(a)(6). 
‘‘(b) STATE CERTIFICATIONS.—Not later than Octo-
ber 1 of each fiscal year for which a State desires to re-
ceive an allotment under this section, the chief executive 
officer of the State shall submit to the Secretary a certifi-
cation that the State will—
‘‘(1) comply with the matching requirements 
under subsection (c)(2); 
‘‘(2) use such funds to promote responsible fa-
therhood in accordance with the requirements of 
subsection (d); 
‘‘(3) use such funds to promote or sustain mar-
riage in accordance with subparagraph (A) or (B) of 
subsection (d)(2);
322
‘‘(4) return any unused funds to the Secretary 
in accordance with the reconciliation process under 
subsection (e); and 
‘‘(5) comply with the reporting requirements 
under subsection (f). 
‘‘(c) PAYMENTS TO STATES.—
‘‘(1) IN GENERAL.—Subject to paragraph (2), 
for each of fiscal years 2004 through 2008, the Sec-
retary shall pay to each State that submits a certifi-
cation described in subsection (b), from any funds 
appropriated under subsection (h), for the fiscal year 
an amount equal to the amount of the allotment de-
termined under subsection (g). 
‘‘(2) MATCHING
REQUIREMENT.—The Sec-
retary may not make a payment to a State under 
paragraph (1) unless the State agrees that, with re-
spect to the costs to be incurred by the State in sup-
porting the programs described in subsection (d), 
the State will make available non-Federal contribu-
tions in an amount equal to 25 percent of the 
amount of Federal funds paid to the State under 
such clause. 
‘‘(3) NON-FEDERAL CONTRIBUTIONS.—In this 
subsection, the term ‘non-Federal contributions’ in-
cludes contributions by the State and by public and
323
private entities. Such contributions may be in cash 
or in kind. Such term does not include any amounts 
provided by the Federal Government, or services as-
sisted or subsidized to any significant extent by the 
Federal Government or any amount expended by a 
State before October 1, 2004. 
‘‘(d) RESPONSIBLE FATHERHOOD PROGRAMS.—
‘‘(1) SUPPORT OF PROGRAMS.—A State shall 
use the allotments received under this section to 
support programs described in paragraph (2) di-
rectly or through a grant, contract, or cooperative 
agreement with any public agency, local government, 
or private entity (including any charitable or reli-
gious organization) with experience in administering 
such a program. 
‘‘(2) PROGRAMS DESCRIBED.—Responsible Fa-
therhood programs include programs that—
‘‘(A) promote marriage through such ac-
tivities as counseling, mentoring, disseminating 
information about the benefits of marriage and 
2-parent involvement for children, enhancing re-
lationship skills, teaching on how to control ag-
gressive behavior, and disseminating informa-
tion on the causes of domestic violence and 
child abuse;
324
‘‘(B) sustain marriages through marriage 
preparation programs, premarital counseling, 
marital inventories, skills-based marriage edu-
cation, financial planning seminars, programs 
to help parents improve their economic status, 
and divorce education and reduction programs, 
including mediation and counseling; 
‘‘(C) 
promote 
responsible 
parenting 
through such activities as counseling, men-
toring, disseminating information about good 
parenting practices, skills-based parenting edu-
cation, encouraging child support payments, 
and other methods; and 
‘‘(D) help fathers and their families avoid 
or leave cash welfare and improve their eco-
nomic status by providing such activities as 
work first services, job search, job training, 
subsidized employment, job retention, job en-
hancement, and encouraging education, includ-
ing career-advancing education, dissemination 
of employment materials, coordination with ex-
isting employment services such as Welfare to 
Work and referrals to local employment train-
ing initiatives, and other methods.
325
‘‘(3) TARGETED LOW-INCOME PARTICIPANTS.—
Not less than 50 percent of the participants in each 
program supported under paragraph (1) shall be—
‘‘(A) parents of a child who is, or within 
the past 24 months has been, a recipient of as-
sistance or services under a State program 
funded under this part; or 
‘‘(B) parents, including an expectant par-
ent or a married parent, whose income (after 
adjustment for court-ordered child support paid 
or received) does not exceed 150 percent of the 
poverty line. 
‘‘(4) CONSULTATION
WITH
DOMESTIC
VIO-
LENCE ASSISTANCE CENTERS.—Each State or entity 
administering a program supported under paragraph 
(1) shall consult with representatives of State and 
local domestic violence centers. 
‘‘(5) SUPPLEMENT NOT SUPPLANT.—Amounts 
allotted to a State under this section shall be used 
to supplement and not supplant other Federal, 
State, or local funds provided to the State under this 
part or any other provision of law that are used to 
support programs and activities similar to the re-
sponsible fatherhood program described in para-
graph (2).
326
‘‘(6) RESTRICTIONS ON USE.—No amount allot-
ted under this section may be used for court pro-
ceedings on matters of child visitation or child cus-
tody, or for legislative advocacy. 
‘‘(e) RECONCILIATION PROCESS.—
‘‘(1) 3-YEAR
AVAILABILITY
OF
AMOUNTS
AL-
LOTTED.—Each State that receives an allotment 
under this section shall return to the Secretary any 
unused portion of the amount allotted to a State 
under this section for a fiscal year not later than the 
last day of the second succeeding fiscal year, to-
gether with any earnings on such unused portion. 
‘‘(2) PROCEDURE FOR REDISTRIBUTION OF UN-
USED ALLOTMENTS.—The Secretary shall establish 
an appropriate procedure for redistributing to States 
that have expended the entire amount allotted under 
this section any amount that is—
‘‘(A) returned to the Secretary by States 
under paragraph (1); or 
‘‘(B) not allotted to a State under this sec-
tion because the State did not submit a certifi-
cation under subsection (b) by October 1 of a 
fiscal year. 
‘‘(f) REPORTING REQUIREMENTS.—
327
‘‘(1) MONITORING
AND
EVALUATION.—Each 
State receiving an allotment under this section shall 
monitor and evaluate the programs supported using 
funds made available under this section in such 
manner as the Secretary, in consultation with the 
States, determines appropriate. 
‘‘(2) ANNUAL
REPORTS.—Not less frequently 
than annually, each State receiving an allotment 
under this section for a fiscal year shall submit to 
the Secretary reports on the programs supported 
under this section at such time, in such manner, and 
containing such information as the Secretary may 
reasonably require. 
‘‘(g) AMOUNT OF ALLOTMENTS.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), of the amount appropriated for the pur-
pose of making allotments under this section for a 
fiscal year the Secretary shall allot to each State 
that submits a certification under subsection (b) for 
that fiscal year an amount equal to the sum of—
‘‘(A) the amount that bears the same ratio 
to 50 percent of such funds as the number of 
young children in the State (as determined by 
the Secretary based on the most recent March 
supplement to the Current Population Survey
328
of the Bureau of the Census before the begin-
ning of the calendar year in which such fiscal 
year begins) as bears to the number of such 
children in all States; and 
‘‘(B) the amount that bears the same ratio 
to 50 percent of such funds as the number of 
children at risk in the State (as determined by 
the Secretary based on the most recent March 
supplement to the Current Population Survey 
of the Bureau of the Census before the begin-
ning of the calendar year in which such fiscal 
year begins) bears to the number of such chil-
dren in all States. 
‘‘(2) MINIMUM
ALLOTMENTS.—No allotment 
for a fiscal year under this section shall be less 
than—
‘‘(A) in the case of a State other than the 
Commonwealth of Puerto Rico, the United 
States Virgin Islands, Guam, American Samoa, 
and the Commonwealth of the Northern Mar-
iana Islands, 1 percent of the amount appro-
priated for the fiscal year under subsection (h); 
and 
‘‘(B) in the case of the Commonwealth of 
Puerto Rico, the United States Virgin Islands,
329
Guam, American Samoa, and the Common-
wealth of the Northern Mariana Islands, 0.5 
percent of such amount. 
‘‘(3) PRO RATA REDUCTIONS.—The Secretary 
shall make such pro rata reductions to the allot-
ments determined under paragraph (1) as are nec-
essary to comply with the requirements of paragraph 
(2). 
‘‘(h) AUTHORIZATION OF APPROPRIATIONS.—There 
is authorized to be appropriated $50,000,000 for each of 
fiscal years 2004 through 2008 for purposes of making 
allotments to States under this section.’’. 
(b) EVALUATION AND REPORT.—
(1) EVALUATION.—
(A) 
IN
GENERAL.—The 
Secretary 
of 
Health and Human Services (in this subsection 
referred to as the ‘‘Secretary’’), in consultation 
with the Secretary of Labor, shall, directly or 
through a grant, contract, or interagency agree-
ment, conduct an evaluation of the projects 
funded under section 469D of the Social Secu-
rity Act (as added by subsection (a)). 
(B) OUTCOMES
ASSESSMENT.—The eval-
uation conducted under subparagraph (A) shall 
assess, among other outcomes selected by the
330
Secretary, effects of the projects on marriage, 
parenting, employment, earnings, payment of 
child support, and incidence of domestic vio-
lence and child abuse. 
(C) PROJECT
SELECTION.—In selecting 
projects for the evaluation, the Secretary should 
include projects that are most likely to further 
the purposes of this section. 
(D) RANDOM ASSIGNMENT.—In conducting 
the evaluation, random assignment should be 
used wherever possible. 
(2) REPORT.—Not later than December 31, 
2006, the Secretary shall submit to Congress a re-
port on the results of the evaluation conducted 
under paragraph (1). 
(3) AUTHORIZATION
OF
APPROPRIATIONS.—
There is authorized to be appropriated $1,000,000 
for each of fiscal years 2004 through 2008 to carry 
out this subsection. 
CHAPTER 2—NATIONAL CLEARINGHOUSE 
SEC. 2411. NATIONAL CLEARINGHOUSE FOR RESPONSIBLE 
FATHERHOOD PROGRAMS. 
Part D of title IV of the Social Security Act (42 
U.S.C. 651), as amended by section 2402, is amended by 
adding at the end the following:
331
‘‘SEC. 469E. MEDIA CAMPAIGN NATIONAL CLEARINGHOUSE 
FOR RESPONSIBLE FATHERHOOD. 
‘‘(a) MEDIA CAMPAIGN AND NATIONAL CLEARING-
HOUSE.—
‘‘(1) IN
GENERAL.—From any funds appro-
priated under subsection (c), the Secretary shall con-
tract with a nationally recognized, nonprofit father-
hood promotion organization described in subsection 
(b) to—
‘‘(A) develop, promote, and distribute to 
interested States, local governments, public 
agencies, and private entities a media campaign 
that encourages the appropriate involvement of 
both parents in the life of any child of the par-
ents, with a priority for programs that specifi-
cally address the issue of responsible father-
hood; and 
‘‘(B) develop a national clearinghouse to 
assist States and communities in efforts to pro-
mote and support marriage and responsible fa-
therhood by collecting, evaluating, and making 
available (through the Internet and by other 
means) to other States information regarding 
the media campaigns established under section 
469C.
332
‘‘(2) COORDINATION WITH DOMESTIC VIOLENCE 
PROGRAMS.—The Secretary shall ensure that the na-
tionally recognized nonprofit fatherhood promotion 
organization with a contract under paragraph (1) 
coordinates the media campaign developed under 
subparagraph (A) of such paragraph and the na-
tional clearinghouse developed under subparagraph 
(B) of such paragraph with a national, State, or 
local domestic violence program. 
‘‘(b) NATIONALLY RECOGNIZED, NONPROFIT FA-
THERHOOD PROMOTION ORGANIZATION DESCRIBED.—
The nationally recognized, nonprofit fatherhood promotion 
organization described in this subsection is such an orga-
nization that has at least 4 years of experience in—
‘‘(1) designing and disseminating a national 
public education campaign, including the production 
and successful placement of television, radio, and 
print public service announcements that promote the 
importance of responsible fatherhood; and 
‘‘(2) providing consultation and training to 
community-based organizations interested in imple-
menting fatherhood outreach, support, or skill devel-
opment programs with an emphasis on promoting 
married fatherhood as the ideal.
333
‘‘(c) AUTHORIZATION OF APPROPRIATIONS.—There 
is authorized to be appropriated $2,000,000 for each of 
fiscal years 2004 through 2008 to carry out this section.’’.
TITLE III—HEAD START AND 
CHILD CARE
Subtitle A—Infants and Toddlers 
SEC. 3001. RESERVATION OF HEAD START ACT FUNDS FOR 
INFANTS AND TODDLERS. 
Section 640(a)(6) of the Head Start Act (42 U.S.C. 
9835(a)(6)) is amended—
(1) by striking subparagraph (A) and inserting 
the following: 
‘‘(A) Except as provided in subparagraph (B), from 
amounts reserved and allotted pursuant to paragraphs (2) 
and (4), the Secretary shall use, for grants for programs 
described in section 645A(a), a portion of the combined 
total of such amounts equal to—
‘‘(i) 11 percent of the funds appropriated pur-
suant to section 639(a) for fiscal year 2004; 
‘‘(ii) 12 percent of such funds for fiscal year 
2005; 
‘‘(iii) 13 percent of such funds for fiscal year 
2006; 
‘‘(iv) 14 percent of such funds for fiscal year 
2007;
334
‘‘(v) 15 percent of such funds for fiscal year 
2008; 
‘‘(vi) 20 percent of such funds for fiscal year 
2009; 
‘‘(vii) 25 percent of such funds for fiscal year 
2010; 
‘‘(viii) 30 percent of such funds for fiscal year 
2011; 
‘‘(ix) 35 percent of such funds for fiscal year 
2012; and 
‘‘(x) 41 percent of such funds for fiscal year 
2013.’’; and 
(2) in subparagraph (B)—
(A) by striking clause (i); and 
(B) by redesignating clauses (ii) and (iii) 
as clauses (i) and (ii), respectively. 
SEC. 3002. RESERVATION OF CHILD CARE AND DEVELOP-
MENT BLOCK GRANT FUNDS FOR INFANTS 
AND TODDLERS. 
Section 658G of the Child Care and Development 
Block Grant Act of 1990 (42 U.S.C. 9858e) is amended—
(1) by striking the heading and inserting the 
following:
335
‘‘SEC. 658G. ACTIVITIES TO IMPROVE THE QUALITY OF 
CHILD CARE AND ACTIVITIES FOR INFANTS 
AND TODDLERS.’’; 
(2) by inserting before ‘‘A State’’ the following: 
‘‘(a) ACTIVITIES TO IMPROVE
THE QUALITY
OF 
CHILD CARE.—’’; and 
(3) by adding at the end the following: 
‘‘(b) ACTIVITIES FOR INFANTS AND TODDLERS.—A 
State that receives funds to carry out this subchapter 
(other than section 658H) for a fiscal year shall use, for 
activities that are designed to improve and expand child 
care for children from birth through age 3, not less than—
‘‘(1) 5 percent of such funds for fiscal year 
2004; 
‘‘(2) 6 percent of such funds for fiscal year 
2005; 
‘‘(3) 7 percent of such funds for fiscal year 
2006; 
‘‘(4) 8 percent of such funds for fiscal year 
2007; 
‘‘(5) 9 percent of such funds for fiscal year 
2008; and 
‘‘(6) 10 percent of such funds for fiscal year 
2009.’’.
336
Subtitle B—Child Care Access 
CHAPTER 1—IMPROVING ACCESS TO 
CHILD CARE 
SEC. 3011. INCENTIVE GRANTS TO STATES. 
The Child Care and Development Block Grant Act 
of 1990 (42 U.S.C. 9858 et seq.) is amended by inserting 
after section 658G the following: 
‘‘SEC. 658H. INCENTIVE GRANTS TO STATES. 
‘‘(a) AUTHORITY.—
‘‘(1) IN GENERAL.—The Secretary shall use the 
amount made available under section 658B(b) for a 
fiscal year to make grants to eligible States, and In-
dian tribes and tribal organizations, in accordance 
with this section. 
‘‘(2) ANNUAL PAYMENTS.—The Secretary shall 
make an annual payment for such a grant to each 
eligible State, and for Indian tribes and tribal orga-
nizations, out of the corresponding allotment deter-
mined under subsection (b). 
‘‘(b) ALLOTMENTS.—For each fiscal year, the Sec-
retary shall allot to each eligible State (and to Indian 
tribes and tribal organizations) an amount that bears the 
same ratio to the amount made available under section 
658B(b) for the fiscal year as the amount the State (or 
the Indian tribes and tribal organizations) receive under
337
section 658O for the fiscal year bears to the total amount 
received by all eligible States (and Indian tribes and tribal 
organizations) under that section for the fiscal year. 
‘‘(c) ELIGIBLE STATES.—
‘‘(1) IN GENERAL.—To be eligible to receive a 
grant under this section, a State shall—
‘‘(A) have conducted a survey of the mar-
ket rates for child care services in the State 
within the 2 years preceding the date of the 
submission of an application under paragraph 
(2); and 
‘‘(B) submit an application in accordance 
with paragraph (2). 
‘‘(2) APPLICATION.—
‘‘(A) IN GENERAL.—To be eligible to re-
ceive a grant under this section, a State shall 
submit an application to the Secretary at such 
time, in such manner, and accompanied by such 
information, in addition to the information re-
quired under subparagraph (B), as the Sec-
retary may require. 
‘‘(B) INFORMATION REQUIRED.—Each ap-
plication submitted for a grant under this sec-
tion shall—
338
‘‘(i) detail the methodology and re-
sults of the State market rates survey con-
ducted pursuant to paragraph (1)(A); 
‘‘(ii) describe the State’s plan to in-
crease payment rates from the initial base-
line determined under clause (i); 
‘‘(iii) describe how the State will in-
crease payment rates in accordance with 
the market survey results, for all types of 
child care providers who provide services 
for which assistance is made available 
under this subchapter; 
‘‘(iv) describe how payment rates will 
be set to reflect the variations in the cost 
of providing care for children of different 
ages and different types of care; and 
‘‘(v) describe how the State will 
prioritize increasing payment rates for—
‘‘(I) care of higher-than-average 
quality, such as care by accredited 
providers or care that includes the 
provision of comprehensive services; 
and 
‘‘(II) care that is difficult to find, 
such as care provided at nonstandard
339
hours, care for children with special 
needs, care in low-income and rural 
communities, and care of a type that 
is in short supply. 
‘‘(3) 
CONTINUING
ELIGIBILITY
REQUIRE-
MENT.—
‘‘(A) SECOND
AND
SUBSEQUENT
PAY-
MENTS.—A State shall be eligible to receive a 
second or subsequent annual payment under 
this section only if the Secretary determines 
that the State has made progress, through the 
activities assisted under this subchapter, in 
maintaining increased payment rates. 
‘‘(B) THIRD
AND
SUBSEQUENT
PAY-
MENTS.—A State shall be eligible to receive a 
third or subsequent annual payment under this 
section only if the State has conducted, at least 
once every 2 years, an update of the survey de-
scribed in paragraph (1)(A). 
‘‘(4) REQUIREMENT OF MATCHING FUNDS.—
‘‘(A) IN GENERAL.—To be eligible to re-
ceive a grant under this section, a State shall 
agree to make available State contributions 
from State sources toward the costs of the ac-
tivities to be carried out by the State pursuant
340
to subsection (d) in an amount that is not less 
than 20 percent of such costs. 
‘‘(B) DETERMINATION
OF
STATE
CON-
TRIBUTIONS.—The State contributions shall be 
in cash. Amounts provided by the Federal Gov-
ernment may not be included in determining 
the amount of such State contributions. 
‘‘(d) USE OF FUNDS.—An eligible State that receives 
funds through a grant made under this section shall use 
the funds to significantly increase the payment rate for 
the provision of child care services for which assistance 
is provided under this subchapter, up to the 150th per-
centile of the market rate determined under the market 
rate survey described in subsection (c)(1)(A). 
‘‘(e) EVALUATIONS AND REPORTS.—
‘‘(1) STATE EVALUATIONS.—Each eligible State 
shall submit to the Secretary, at such time and in 
such form and manner as the Secretary may require, 
information regarding the State’s efforts to increase 
payment rates and the impact increased payment 
rates are having on the quality of, and accessibility 
to, child care in the State. 
‘‘(2) REPORTS TO CONGRESS.—The Secretary 
shall submit biennial reports to Congress on the in-
formation described in paragraph (1). Such reports
341
shall include data from the applications submitted 
under subsection (c)(2) as a baseline for determining 
the progress of each eligible State in maintaining in-
creased payment rates. 
‘‘(f) INDIAN TRIBES AND TRIBAL ORGANIZATIONS.—
The Secretary shall determine the manner in which and 
the extent to which the provisions of this section apply 
to Indian tribes and tribal organizations. 
‘‘(g) PAYMENT RATE.—In this section, the term ‘pay-
ment rate’ means the rate of reimbursement to providers 
for subsidized child care.’’. 
SEC. 3012. PAYMENT RATES. 
Section 658E(c)(4) of the Child Care and Develop-
ment Block Grant Act of 1990 (42 U.S.C. 9858c(c)(4)) 
is amended—
(1) by redesignating subparagraph (B) as sub-
paragraph (C); 
(2) in subparagraph (A), by striking ‘‘to com-
parable child care services’’ and inserting ‘‘to child 
care services that are comparable (in terms of qual-
ity and types of services provided) to child care serv-
ices’’; and 
(3) by inserting after subparagraph (A) the fol-
lowing: 
‘‘(B) PAYMENT RATES.—
342
‘‘(i) SURVEYS.—In order to provide 
the certification described in subparagraph 
(A), the State shall conduct market rate 
surveys (that reflect variations in the cost 
of child care services by locality) not less 
often than at 2-year intervals, and use the 
results of such surveys to implement pay-
ment rates described in subparagraph (A) 
that ensure equal access to comparable 
services as required by subparagraph (A). 
‘‘(ii) 
COST
OF
LIVING
ADJUST-
MENTS.—The State shall adjust the pay-
ment rates at intervals between such sur-
veys to reflect increases in the cost of liv-
ing, in such manner as the Secretary may 
specify. 
‘‘(iii) RATES
FOR
DIFFERENT
AGES 
AND TYPES OF CARE.—The State shall en-
sure that the payment rates reflect vari-
ations in the cost of providing child care 
services for children of different ages and 
providing different types of care.’’.
343
CHAPTER 2—IMPROVEMENTS IN ACCESS 
TO CHILD CARE 
SEC. 3111. GOALS. 
Section 658A(b) of the Child Care and Development 
Block Grant Act of 1990 (42 U.S.C. 9801 note) is amend-
ed—
(1) in paragraph (4), by striking ‘‘assistance; 
and’’ and inserting ‘‘assistance, and to other low-in-
come parents;’’; 
(2) in paragraph (5)—
(A) by inserting ‘‘training,’’ after ‘‘safe-
ty,’’; and 
(B) by striking the period and inserting ‘‘; 
and’’; and 
(3) by adding at the end the following: 
‘‘(6) to assist States to provide access to high 
quality child care that promotes early learning and 
facilitates school readiness for all children, including 
children with disabilities or other special needs.’’. 
SEC. 3112. AUTHORIZATION OF APPROPRIATIONS. 
(a) CHILD CARE AND DEVELOPMENT BLOCK GRANT 
ACT OF 1990.—Section 658B of the Child Care and De-
velopment Block Grant Act of 1990 (42 U.S.C. 9858) is 
amended to read as follows:
344
‘‘SEC. 658B. AUTHORIZATION OF APPROPRIATIONS. 
‘‘(a) IN GENERAL.—There are authorized to be ap-
propriated to carry out this subchapter (other than section 
658H)—
‘‘(1) $3,500,000,000 for fiscal year 2004; 
‘‘(2) $4,400,000,000 for fiscal year 2005; 
‘‘(3) $5,300,000,000 for fiscal year 2006; 
‘‘(4) $6,200,000,000 for fiscal year 2007; 
‘‘(5) $7,550,000,000 for fiscal year 2008; 
‘‘(6) $8,900,000,000 for fiscal year 2009; 
‘‘(7) $10,700,000,000 for fiscal year 2010; 
‘‘(8) $12,950,000,000 for fiscal year 2011; 
‘‘(9) $16,100,000,000 for fiscal year 2012; and 
‘‘(10) $20,159,000,000 for fiscal year 2013. 
‘‘(b) AUTHORIZATION FOR PAYMENT RATES.—There 
are authorized to be appropriated to carry out section 
658H $500,000,000 for fiscal year 2004 and such sums 
as may be necessary for each of fiscal years 2005 through 
2013.’’. 
(b) SOCIAL SECURITY ACT.—Section 418(a)(3) of 
the Social Security Act (42 U.S.C. 618(a)(3)) is amended 
by striking subparagraphs (A) through (F) and inserting 
the following: 
‘‘(A) $3,817,000,000 for fiscal year 2004; 
‘‘(B) $4,917,000,000 for fiscal year 2005; 
‘‘(C) $6,017,000,000 for fiscal year 2006;
345
‘‘(D) $7,117,000,000 for fiscal year 2007; 
‘‘(E) $8,767,000,000 for fiscal year 2008; 
‘‘(F) $10,417,000,000 for fiscal year 2009; 
‘‘(G) $12,617,000,000 for fiscal year 2010; 
‘‘(H) $15,367,000,000 for fiscal year 
2011; 
‘‘(I) $19,217,000,000 for fiscal year 2012; 
and 
‘‘(J) $24,178,000,000 for fiscal year 
2013.’’. 
SEC. 3113. STATE PLAN REQUIREMENTS. 
Section 658E(c) of the Child Care and Development 
Block Grant Act of 1990 (42 U.S.C. 9858c(c)) is amend-
ed—
(1) in paragraph (2), by striking subparagraph 
(D) and inserting the following: 
‘‘(D) CONSUMER AND CHILD CARE PRO-
VIDER INFORMATION.—
‘‘(i) 
CERTIFICATION.—Certify 
that 
the State will collect and disseminate, 
through organizations (including organiza-
tions that provide resource and referral 
services) and through other means as de-
termined appropriate by the State, to par-
ents of eligible children and the general
346
public, consumer education information 
that will promote informed child care 
choices, including information about qual-
ity child care that meets the social, emo-
tional, physical, and cognitive develop-
mental needs of children. 
‘‘(ii) 
DESCRIPTION.—Describe 
how 
the State will—
‘‘(I) ensure that staff from the 
lead agency will coordinate activities 
with the staff of the State program 
funded under part A of title IV of the 
Social Security Act (42 U.S.C. 601 et 
seq.) to inform parents who are apply-
ing for, receiving, or ending assistance 
under the State program about eligi-
bility for assistance under this sub-
chapter and local resource and refer-
ral services; and 
‘‘(II) inform other low-income 
parents about such eligibility and 
services.’’; and 
(C) by adding at the end the following new 
subparagraphs:
347
‘‘(I) ENHANCEMENT
OF
PARENTAL
AC-
CESS.—Describe how the State will improve pa-
rental access to eligibility procedures during the 
process of establishing eligibility in order to ob-
tain or retain assistance under this subchapter, 
including improving access by simplifying appli-
cations for assistance and otherwise simplifying 
the process by adopting procedures and prac-
tices such as—
‘‘(i) posting eligibility forms and infor-
mation about needed documentation on 
State websites and in other places fre-
quented by parents with children such as 
libraries, health care facilities, schools, and 
offices of the special supplemental nutri-
tion program for women, infants, and chil-
dren established by section 17 of the Child 
Nutrition Act of 1966 (42 U.S.C. 1786); 
‘‘(ii) minimizing requests for docu-
mentation, and utilizing documents already 
on file; 
‘‘(iii) providing applications at mul-
tiple sites; 
‘‘(iv) offering nonconventional hours 
of operation at eligibility offices and pro-
348
viding toll-free telephone lines, including 
during evening and weekend hours, to han-
dle eligibility issues; 
‘‘(v) providing expedited procedures 
for changing child care providers; 
‘‘(vi) calculating eligibility in a way 
that permits the averaging of hours of em-
ployment or participation in a job training 
or educational program, or of income, 
across a number of months, in order to 
provide for continuing eligibility without 
the necessity for frequent reporting of 
small changes in family circumstances; and 
‘‘(vii) 
establishing 
a 
coordinated, 
seamless eligibility system so that, regard-
less of the source of funding for the assist-
ance, families do not have to file additional 
applications and the assistance is provided 
in a way that does not disrupt families and 
supports continuity of care. 
‘‘(J) ELIGIBILITY REDETERMINATION.—
‘‘(i) REDETERMINATION
PROCESS.—
Demonstrate that for the purposes of rede-
termination of eligibility of a child under 
this subchapter, and for the reporting of
349
changes as provided for in clauses (iii) and 
(iv), the State will have in place procedures 
that allow a working parent access to the 
redetermination process and allow for the 
reporting of changes without unduly dis-
rupting the parent’s employment, which 
procedures may include—
‘‘(I) the provision of extended of-
fice hours such as office hours before 
8 a.m., after 6 p.m., or on the week-
end; and 
‘‘(II) the use of postal mail or 
electronic communications such as 
communications by telephone, fax, or 
electronic mail, and provision of a re-
ceipt providing confirmation. 
‘‘(ii) 
MINIMUM
PERIOD.—Dem-
onstrate that each child that receives as-
sistance under this subchapter in the State 
will receive such assistance for not less 
than 1 year before the State redetermines 
the eligibility of the child under this sub-
chapter, except as provided in clauses (iii) 
and (iv).
350
‘‘(iii) CHILD NO LONGER LIVING IN 
THE HOME.—Demonstrate that the State 
will ensure that policies and procedures are 
in place to require that a parent report to 
the lead agency, during the period prior to 
redetermination, if the family no longer 
needs assistance under this subchapter for 
a child because the child is no longer in 
the home. 
‘‘(iv) PARENT NO LONGER ENGAGED 
IN WORK-RELATED ACTIVITIES.—
‘‘(I) IN GENERAL.—Demonstrate 
that the State will ensure that policies 
and procedures are in place to require 
that a parent report to the lead agen-
cy, during the period prior to redeter-
mination, the loss of work or cessation 
of attendance of a job training or edu-
cational program for which the family 
was receiving assistance under this 
subchapter. 
‘‘(II) PERIOD
BEFORE
TERMI-
NATION.—At the option of the State, 
demonstrate that the State will not 
terminate the assistance based on the
351
loss of work or cessation of attend-
ance without continuing the assistance 
for a reasonable period of time, of not 
less than 1 month, after such loss or 
cessation in order for the parent to 
engage in a job search and resume 
work, or resume attendance of a job 
training or educational program, as 
soon as possible. 
‘‘(K) 
INFORMATION
ON
FOOD
PRO-
GRAMS.—Certify that the State will collect and 
disseminate, to each child care provider that 
provides services for which assistance is made 
available under this subchapter, materials that 
include—
‘‘(i) an explanation of the benefits, 
and the importance to children and pro-
viders, of the child and adult care food 
program established under section 17 of 
the Richard B. Russell National School 
Lunch Act (42 U.S.C. 1766); and 
‘‘(ii) information concerning how ben-
efits under the program may be obtained. 
‘‘(L) NO SUPPLANTING OF PRIOR SPEND-
ING.—
352
‘‘(i) REPORT.—Report the amount of 
Federal funds (other than funds made 
available under this subchapter or section 
418 of the Social Security Act (42 U.S.C. 
618)), State funds, and local funds (to the 
extent such local funds were counted to-
ward State matching or maintenance of ef-
fort obligations under this subchapter or 
that section 418), that were expended in 
the State to provide assistance for child 
care services and to improve the quality of 
child care services provided in the State 
during fiscal year 2002. 
‘‘(ii) ASSURANCE.—Provide an assur-
ance that funds made available to the 
State under this subchapter or that section 
418 will be used to supplement and not 
supplant the Federal funds (other than 
funds made available under this sub-
chapter or that section 418), State funds, 
and local funds (to the extent such local 
funds were counted toward State matching 
or maintenance of effort obligations under 
this subchapter or that section 418), that 
were expended in the State to provide as-
353
sistance for such services and to improve 
the quality of such services provided in the 
State during fiscal year 2002.’’. 
SEC. 3114. FUNDS FOR INDIAN TRIBES. 
(a) 
INCREASE
IN
RESERVATION.—Section 
658O(a)(2) of the Child Care and Development Block 
Grant Act of 1990 (42 U.S.C. 9858m(a)(2)) is amended 
by striking ‘‘1 percent, and not more than 2 percent,’’ and 
inserting ‘‘2 percent’’. 
(b) PAYMENTS FOR THE BENEFIT OF INDIAN CHIL-
DREN.—
(1) CHILD CARE SERVICES REQUIREMENTS.—
Section 658O(c)(2) of the Child Care and Develop-
ment Block Grant Act of 1990 (42 U.S.C. 
9858m(c)(2)) is amended by adding at the end the 
following: 
‘‘(D) CHILD
CARE
SERVICES
REQUIRE-
MENTS.—The applicant will— 
‘‘(i) establish requirements applicable 
to child care services (including require-
ments designed to protect the health and 
safety of children), which shall—
‘‘(I) be stated in the application; 
and
354
‘‘(II) notwithstanding any other 
provision of law, including subpara-
graphs (E), (F), and (G) of section 
658E(c)(2), be the child care services 
requirements applicable to child care 
providers that receive funds from the 
applicant to provide services under 
this subchapter; and 
‘‘(ii) submit such reports to the Sec-
retary concerning compliance with the re-
quirements as the Secretary may require.’’. 
(2) 
NEGOTIATED
RULEMAKING.—Section 
658O(c) of the Child Care and Development Block 
Grant Act of 1990 (42 U.S.C. 9858m(c)) is amend-
ed—
(A) by redesignating paragraphs (4), (5), 
and (6) as paragraphs (5), (6), and (7), respec-
tively; and 
(B) by inserting after paragraph (3) the 
following: 
‘‘(4) NEGOTIATED
RULEMAKING.—In deter-
mining the amount of the base amount provided to 
Indian tribes and tribal organizations under this 
subsection, the Secretary shall conduct a negotiated 
rulemaking. The Secretary shall include in the nego-
355
tiated rulemaking committee representatives of the 
Indian tribes and tribal organizations that the Sec-
retary determines to be eligible to receive grants or 
contracts under this subsection. The Secretary shall 
conduct the negotiated rulemaking in accordance 
with subchapter III of chapter 5 of title 5, United 
States Code, as in effect on November 28, 1996.’’. 
(3) CONSTRUCTION
OR
RENOVATION.—Para-
graph (7)(C) of section 658O(c) of the Child Care 
and Development Block Grant Act of 1990 (as re-
designated by paragraph (2)(A)) is amended—
(A) by striking ‘‘The’’ and inserting the 
following: 
‘‘(i) IN
GENERAL.—Except as pro-
vided in clause (ii), the’’; and 
(B) by adding at the end the following: 
‘‘(ii) TEMPORARY
DECREASE.—The 
Secretary may permit an Indian tribe or 
tribal organization to use amounts pro-
vided under this subsection for construc-
tion or renovation even if such use will re-
sult in a temporary decrease described in 
clause (i), if—
‘‘(I) the Secretary determines 
that the construction or renovation
356
will enable the tribe or organization to 
increase, in fiscal years subsequent to 
the year for which the determination 
under subparagraph (B) is made, the 
level of child care services provided by 
the tribe or organization as compared 
to the level of such services provided 
by the tribe or organization in the fis-
cal year for which the determination 
is made; and 
‘‘(II) the tribe or organization 
submits to the Secretary, and obtains 
approval of, a multi-year plan for the 
construction or renovation.’’. 
(c) CONFORMING AMENDMENTS.—
(1) Section 658E(c)(2)(E) of the Child Care 
and Development Block Grant Act of 1990 (42 
U.S.C. 9858c(c)(2)(E) is amended—
(A) by striking the following: 
‘‘(E) COMPLIANCE WITH STATE LICENSING 
REQUIREMENTS.—
‘‘(i) IN GENERAL.—Certify’’ and in-
serting the following: 
‘‘(E) COMPLIANCE WITH STATE LICENSING 
REQUIREMENTS.—Certify’’; and
357
(B) by striking clause (ii). 
(2) Section 658F(b)(1) of the Child Care and 
Development Block Grant Act of 1990 (42 U.S.C. 
9858d(b)(1)) is amended by striking ‘‘658O(c)(6)’’ 
and inserting ‘‘658O(c)(7)’’. 
SEC. 3115. DEFINITIONS. 
Section 658P(4)(C) of the Child Care and Develop-
ment Block Grant Act of 1990 (42 U.S.C. 9858n(4)(C)) 
is amended—
(1) in clause (i), by striking ‘‘or’’ at the end; 
(2) in clause (ii), by striking the period and in-
serting ‘‘; or’’; and 
(3) by adding at the end the following: 
‘‘(iii) is a foster child.’’.
Subtitle C—Child Care Quality 
Improvement 
CHAPTER 1—FOCUS ON COMMITTED AND 
UNDERPAID STAFF FOR CHILDREN’S 
SAKE
SEC. 3201. SHORT TITLE. 
This chapter may be cited as the ‘‘Focus On Com-
mitted and Underpaid Staff for Children’s Sake Act’’ or 
as the ‘‘FOCUS Act’’.
358
SEC. 3202. FINDINGS AND PURPOSE. 
(a) FINDINGS.—Congress makes the following find-
ings: 
(1) Research on early brain development and 
early childhood demonstrates that the experiences 
children have and the attachments children form 
early in life have a decisive, long-lasting impact on 
their later development and learning. 
(2) High-quality, developmentally appropriate 
child care beginning in early childhood and con-
tinuing through the years that children are in school 
improves the scholastic success and educational at-
tainment of children, and the success and attain-
ment persist into adulthood. 
(3) According to a growing body of research, 
the single most important determinant of child care 
quality is the presence of consistent, sensitive, well-
trained, and well-compensated child care providers. 
However, child care programs nationwide experience 
high turnover in teaching staff, fueled by poor com-
pensation and few opportunities for advancement. 
(4) The Department of Labor reports that, in 
2001, the average wage for a child care provider was 
$8.16 per hour, or $16,980 annually. For full-time, 
full-year work, the average annual wage for a child 
care provider was not much above the 2001 poverty
359
line of $14,630 for a family consisting of a parent 
and 2 children. Family child care providers earned 
even less. The median weekly wage of a family child 
care provider in 2001 was $264, which equals an an-
nual wage of $13,728. 
(5) Despite the important role child care pro-
viders may play in early child development and 
learning, on average, a child care provider earns less 
in a year than a bus driver ($29,430), barber 
($21,190), or janitor ($19,800). 
(6) Employer-sponsored benefits are minimal 
for most child care staff. Even for child care pro-
viders at child care centers, the availability of health 
care coverage for staff remains woefully inadequate. 
(7) To offer compensation that would be suffi-
cient to attract and retain qualified child care pro-
viders, child care programs would have to charge 
parents fees that many parents could not afford. For 
programs that serve low-income children whose fami-
lies qualify for Federal and State child care sub-
sidies, the reimbursement rates set by the State 
strongly influence the level of compensation that 
staff receive. Current reimbursement rates for cen-
ter-based child care services and family child care 
services are insufficient to recruit and retain quali-
360
fied child care providers and to ensure high-quality 
services for children. 
(8) Teachers leaving the profession are being 
replaced by staff with less education and formal 
training in early child development. 
(9) As a result of low wages and limited bene-
fits, many child care providers do not work for long 
periods in the child care field. Approximately 30 per-
cent of all teaching staff employed at child care cen-
ters leaves employment with a child care center each 
year. 
(10) Child care providers, as well as the chil-
dren, families, and businesses that depend upon the 
providers, suffer the consequences of inadequate 
compensation. This is true, with few exceptions, for 
providers in all types of programs, including sub-
sidized and nonsubsidized programs, programs of-
fered by for-profit and nonprofit entities, and pro-
grams in large and small child care settings. 
(11) Because of the severe nationwide shortage 
of qualified staff available for employment by child 
care programs, several States have recently initiated 
programs to improve the quality of child care by in-
creasing the training and compensation of child care 
providers. Such programs encourage the training,
361
education, and increased retention of qualified child 
care providers by offering financial incentives, in-
cluding scholarships and increases in compensation, 
that range from $350 to $6,500 annually. 
(b) PURPOSES.—The purposes of this chapter are—
(1) to establish the Child Care Provider Devel-
opment and Retention Grant Program and the Child 
Care Provider Scholarship Program; and 
(2) to help children receive the high quality 
child care and early education the children need for 
positive cognitive and social development, by reward-
ing and promoting the retention of committed, quali-
fied child care providers and by providing financial 
assistance to improve the educational qualifications 
of child care providers. 
SEC. 3203. DEFINITIONS. 
In this chapter: 
(1) CHILD CARE PROVIDER.—The term ‘‘child 
care provider’’ means an individual who provides a 
service directly to a child on a person-to-person basis 
for compensation for—
(A) a center-based child care provider that 
is licensed or regulated under State or local law 
and that satisfies the State and local require-
362
ments applicable to the child care services pro-
vided; 
(B) a licensed or regulated family child 
care provider that satisfies the State and local 
requirements applicable to the child care serv-
ices provided; or 
(C) an out-of-school time program that is 
licensed or regulated under State or local law 
and that satisfies the State and local require-
ments applicable to the child care services pro-
vided. 
(2) FAMILY CHILD CARE PROVIDER.—The term 
‘‘family child care provider’’ has the meaning given 
such term in section 658P of the Child Care and 
Development Block Grant Act of 1990 (42 U.S.C. 
9858n). 
(3) INDIAN TRIBE.—The term ‘‘Indian tribe’’ 
has the meaning given such term in section 4 of the 
Indian Self-Determination and Education Assistance 
Act (25 U.S.C. 450b). 
(4) IN-KIND
CONTRIBUTION.—The term ‘‘in-
kind contribution’’ means payment of the costs of 
participation of eligible child care providers in health 
insurance programs or retirement programs.
363
(5) LEAD AGENCY.—The term ‘‘lead agency’’ 
means the agency designated under section 658D of 
the Child Care and Development Block Grant Act of 
1990 (42 U.S.C. 9858b). 
(6) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Health and Human Services. 
(7) STATE.—The term ‘‘State’’ means any of 
the several States, the District of Columbia, the 
Commonwealth of Puerto Rico, Guam, American 
Samoa, or the Commonwealth of the Northern Mar-
iana Islands. 
(8) TRIBAL ORGANIZATION.—The term ‘‘tribal 
organization’’ has the meaning given the term in 
section 4 of the Indian Self-Determination and Edu-
cation Assistance Act (25 U.S.C. 450b). 
SEC. 3204. FUNDS FOR CHILD CARE PROVIDER DEVELOP-
MENT AND RETENTION GRANTS AND FOR 
CHILD CARE PROVIDER SCHOLARSHIPS. 
(a) IN GENERAL.—The Secretary may allot and dis-
tribute funds appropriated to carry out this chapter to eli-
gible States and Indian tribes and tribal organizations to 
pay for the Federal share of the cost of making grants 
under sections 3207 and 3208 to eligible child care pro-
viders.
364
(b) ALLOTMENTS.—The funds shall be allotted and 
distributed by the Secretary in accordance with section 
3205, and expended by the States (directly, or at the op-
tion of the States, through units of general purpose local 
government), and by Indian tribes and tribal organiza-
tions, in accordance with this chapter. 
SEC. 3205. ALLOTMENTS TO STATES. 
(a) AMOUNTS RESERVED.—
(1) TERRITORIES AND POSSESSIONS.—The Sec-
retary shall reserve not more than 1⁄2 of 1 percent 
of the funds appropriated to carry out this chapter 
for any fiscal year for distribution to Guam, Amer-
ican Samoa, and the Commonwealth of the Northern 
Mariana Islands, to be allotted in accordance with 
their respective needs, to plan and carry out pro-
grams and activities to encourage child care pro-
viders to improve their qualifications and to retain 
qualified child care providers in the child care field. 
(2) INDIAN
TRIBES
AND
TRIBAL
ORGANIZA-
TIONS.—The Secretary shall reserve not more than 
3 percent of the funds appropriated to carry out this 
chapter for any fiscal year for payments to Indian 
tribes and tribal organizations with applications ap-
proved under subsection (c), to plan and carry out 
programs and activities to encourage child care pro-
365
viders to improve their qualifications and to retain 
qualified child care providers in the child care field. 
(b) ALLOTMENTS TO REMAINING STATES.—
(1) GENERAL
AUTHORITY.—From the funds 
appropriated to carry out this chapter for any fiscal 
year and remaining after the reservations made 
under subsection (a), the Secretary shall allot to 
each State (excluding Guam, American Samoa, and 
the Commonwealth of the Northern Mariana Is-
lands) an amount equal to the sum of—
(A) an amount that bears the same ratio 
to 50 percent of such remainder as the product 
of the young child factor of the State and the 
allotment percentage of the State bears to the 
sum of the corresponding products for all 
States; and 
(B) an amount that bears the same ratio 
to 50 percent of such remainder as the product 
of the school lunch factor of the State and the 
allotment percentage of the State bears to the 
sum of the corresponding products for all 
States. 
(2) YOUNG CHILD FACTOR.—In this subsection, 
the term ‘‘young child factor’’ means the ratio of the 
number of children under 5 years of age in the State
366
to the number of such children in all the States, as 
determined according to the most recent annual esti-
mates of population in the States, as provided by the 
Bureau of the Census. 
(3) SCHOOL
LUNCH
FACTOR.—In this sub-
section, the term ‘‘school lunch factor’’ means the 
ratio of the number of children who are receiving 
free or reduced price lunches under the school lunch 
program established under the Richard B. Russell 
National School Lunch Act (42 U.S.C. 1751 et seq.) 
in the State to the number of such children in all 
the States, as determined annually by the Depart-
ment of Agriculture. 
(4) ALLOTMENT PERCENTAGE.—
(A) IN GENERAL.—Except as provided in 
subparagraph (B), for purposes of this sub-
section, the allotment percentage for a State 
shall be determined by dividing the per capita 
income of all individuals in the United States, 
by the per capita income of all individuals in 
the State. 
(B) LIMITATIONS.—For purposes of this 
subsection, if an allotment percentage deter-
mined under subparagraph (A)—
367
(i) is more than 1.2 percent, the allot-
ment percentage of that State shall be con-
sidered to be 1.2 percent; and 
(ii) is less than 0.8 percent, the allot-
ment percentage of the State shall be con-
sidered to be 0.8 percent. 
(C) PER CAPITA INCOME.—For purposes 
of subparagraph (A), per capita income shall 
be—
(i) determined at 2-year intervals; 
(ii) applied for the 2-year period be-
ginning on October 1 of the first fiscal 
year beginning after the date such deter-
mination is made; and 
(iii) equal to the average of the an-
nual per capita incomes for the most re-
cent period of 3 consecutive years for 
which satisfactory data are available from
the Department of Commerce at the time 
such determination is made. 
(c) PAYMENTS TO INDIAN TRIBES AND TRIBAL OR-
GANIZATIONS.—
(1) RESERVATION OF FUNDS.—From amounts 
reserved under subsection (a)(2), the Secretary may 
make grants to or enter into contracts with Indian
368
tribes and tribal organizations that submit applica-
tions under this subsection, to plan and carry out 
programs and activities to encourage child care pro-
viders to improve their qualifications and to retain 
qualified child care providers in the child care field. 
(2) APPLICATIONS
AND
REQUIREMENTS.—To 
be eligible to receive a grant or contract under this 
subsection, an Indian tribe or tribal organization 
shall submit an application to the Secretary at such 
time, in such manner, and containing such informa-
tion as the Secretary may require. The application 
shall provide that the applicant—
(A) will coordinate the programs and ac-
tivities involved, to the maximum extent prac-
ticable, with the lead agency in each State in 
which the applicant will carry out such pro-
grams and activities; and 
(B) will make such reports on, and conduct 
such audits of the funds made available through 
the grant or contract for, programs and activi-
ties under this chapter as the Secretary may re-
quire. 
(d) DATA AND INFORMATION.—The Secretary shall 
obtain from each appropriate Federal agency, the most re-
369
cent data and information necessary to determine the al-
lotments provided for in subsection (b). 
(e) REALLOTMENTS.—
(1) IN GENERAL.—Any portion of the allotment 
under subsection (b) to a State for a fiscal year that 
the Secretary determines will not be distributed to 
the State for such fiscal year shall be reallotted by 
the Secretary to other States in proportion to the 
original allotments made under such subsection to 
such States for such fiscal year. 
(2) LIMITATIONS.—
(A) REDUCTION.—The amount of any re-
allotment to which a State is entitled under this 
subsection shall be reduced to the extent that 
such amount exceeds the amount that the Sec-
retary estimates will be distributed to the State 
to make grants under this chapter. 
(B) REALLOTMENTS.—The amount of 
such reduction shall be reallotted to States for 
which no reduction in an allotment, or in a real-
lotment, is required by this subsection, in pro-
portion to the original allotments made under 
subsection (b) to such States for such fiscal 
year.
370
(3) AMOUNTS REALLOTTED.—For purposes of 
this chapter (other than this subsection and sub-
section (b)), any amount reallotted to a State under 
this subsection shall be considered to be part of the 
allotment made under subsection (b) to the State. 
(f) COST-SHARING.—
(1) FEDERAL SHARE.—The Federal share of 
the cost of making grants under sections 3207 and 
3208, with funds allotted under this section and dis-
tributed by the Secretary to a State, shall be—
(A) not more than 90 percent of the cost 
of each grant made under such sections, in the 
1st fiscal year for which the State receives such 
funds; 
(B) not more than 85 percent of the cost 
of each grant made under such sections, in the 
2d fiscal year for which the State receives such 
funds; 
(C) not more than 80 percent of the cost 
of each grant made under such sections, in the 
3d fiscal year for which the State receives such 
funds; and 
(D) not more than 75 percent of the cost 
of each grant made under such sections, in any
371
subsequent fiscal year for which the State re-
ceives such funds. 
(2) STATE SHARE.—The non-Federal share of 
the cost of making such grants shall be paid by the 
State in cash or in the form of an in-kind contribu-
tion, fairly evaluated by the Secretary. 
(g) AVAILABILITY OF ALLOTTED FUNDS DISTRIB-
UTED TO STATES.—Of the funds allotted under this sec-
tion and distributed by the Secretary to a State for a fiscal 
year—
(1) not less than 67.5 percent shall be available 
to the State for grants under section 3207; 
(2) not less than 22.5 percent shall be available 
to the State for grants under section 3208; and 
(3) not more than 10 percent shall be available 
to pay administrative costs incurred by the State to 
carry out this chapter. 
SEC. 3206. APPLICATION AND PLAN. 
(a) APPLICATION.—To be eligible to receive a dis-
tribution of funds allotted under section 3205, a State 
shall submit to the Secretary an application at such time, 
in such manner, and containing such information as the 
Secretary may require by rule and shall include in such 
application a State plan that satisfies the requirements of 
subsection (b).
372
(b) REQUIREMENTS OF PLAN.—
(1) LEAD AGENCY.—The State plan shall iden-
tify the lead agency to make grants under this chap-
ter for the State. 
(2) RECRUITMENT AND RETENTION OF CHILD 
CARE
PROVIDERS.—The State plan shall describe 
how the lead agency will encourage both the recruit-
ment of eligible child care providers who are new to 
the child care field and the retention of eligible child 
care providers who have a demonstrated commit-
ment to the child care field. 
(3) NOTIFICATION OF GRANT AVAILABILITY.—
The State plan shall describe how the lead agency 
will identify all eligible child care providers in the 
State and notify the providers of the availability of 
grants under this chapter. 
(4) DISTRIBUTION
OF
GRANTS.—The State 
plan shall describe how the lead agency will make 
grants under sections 3207 and 3208 to child care 
providers in selected geographical areas in the State 
in compliance with the following requirements: 
(A) 
SELECTION
OF
GEOGRAPHICAL 
AREAS.—For the purpose of making such 
grants for a fiscal year, the State shall—
373
(i) select a variety of geographical 
areas, determined by the State, that, col-
lectively—
(I) include urban areas, suburban 
areas, and rural areas; and 
(II) are areas whose residents 
have diverse income levels; and 
(ii) give special consideration to geo-
graphical areas selected under this sub-
paragraph for the preceding fiscal year. 
(B) SELECTION
OF
CHILD
CARE
PRO-
VIDERS
TO
RECEIVE
GRANTS.—In making 
grants under section 3207, the State may make 
grants only to eligible child care providers in 
geographical areas selected under subparagraph 
(A), but—
(i) may give special consideration in 
such areas to eligible child care providers 
who have attained a higher relevant edu-
cational credential, who provide a specific 
kind of child care services, who provide 
child care services to populations who meet 
specific economic characteristics, or who 
meet such other criteria as the State may 
establish; and
374
(ii) shall give special consideration to 
eligible child care providers who received a 
grant under such section in the preceding 
fiscal year. 
(C) LIMITATION.—The State shall describe 
how the State will ensure that grants made 
under section 3207 to child care providers will 
not be used to offset reductions in the com-
pensation of such providers. 
(D) REPORTING REQUIREMENT.—With re-
spect to each particular geographical area se-
lected under subparagraph (A), the State shall 
provide an assurance that the State will, for 
each fiscal year for which such State receives a 
grant under section 3207— 
(i) include in the report required by 
section 3209, detailed information regard-
ing—
(I) the continuity of employment 
of the grant recipients as child care 
providers with the same employer; 
(II) with respect to each em-
ployer that employed such a grant re-
cipient, whether such employer was 
accredited by a recognized national or
375
State accrediting body during the pe-
riod of employment; and 
(III) to the extent practicable 
and available to the State, the rate 
and frequency of employment turnover 
of 
qualified 
child 
care 
providers 
throughout such area, 
during the 2-year period ending on the 
deadline for submission of applications for 
grants under section 3207 for that fiscal 
year; and 
(ii) provide a follow-up report, not 
later than 90 days after the end of the suc-
ceeding fiscal year that includes informa-
tion regarding—
(I) the continuity of employment 
of the grant recipients as child care 
providers with the same employer; 
(II) with respect to each em-
ployer that employed such a grant re-
cipient, whether such employer was 
accredited by a recognized national or 
State accrediting body during the pe-
riod of employment; and
376
(III) to the extent practicable 
and available to the State, detailed in-
formation regarding the rate and fre-
quency of employment turnover of 
qualified child care providers through-
out such area, 
during the 1-year period beginning on the 
date on which the grant to the State was 
made under section 3207. 
(5) CHILD CARE PROVIDER DEVELOPMENT AND 
RETENTION GRANT PROGRAM.—The State plan shall 
describe how the lead agency will determine the 
amounts of grants to be made under section 3207 
in accordance with the following requirements: 
(A) SUFFICIENT
AMOUNTS.—The State 
shall demonstrate that the amounts of indi-
vidual grants to be made under section 3207 
will be sufficient—
(i) to encourage child care providers 
to improve their qualifications; and 
(ii) to retain qualified child care pro-
viders in the child care field. 
(B) AMOUNTS
TO
CREDENTIALED
PRO-
VIDERS.—Such grants made to child care pro-
viders who have a child development associate
377
credential and who are employed full-time to 
provide child care services shall be in an 
amount that is not less than $1,000 per year. 
(C) AMOUNTS TO PROVIDERS WITH HIGH-
ER LEVELS OF EDUCATION.—The State shall 
make such grants in amounts greater than 
$1,000 per year to child care providers who 
have higher levels of education than the edu-
cation required for a credential such as a child 
development associate credential, according to 
the following requirements: 
(i) PROVIDERS WITH BACCALAUREATE 
DEGREES IN RELEVANT FIELDS.—A child 
care provider who has a baccalaureate de-
gree in the area of child development or 
early child education shall receive a grant 
under section 3207 in an amount that is 
not less than twice the amount of the
grant that is made under section 3207 to 
a child care provider who has an associate 
of the arts degree in the area of child de-
velopment or early child education. 
(ii) PROVIDERS WITH ASSOCIATE DE-
GREES.—A child care provider who has an 
associate of the arts degree in the area of
378
child development or early child education 
shall receive a grant under section 3207 in 
an amount that is not less than 150 per-
cent of the amount of the grant that is 
made under section 3207 to a child care 
provider who has a child development asso-
ciate credential and is employed full-time 
to provide child care services. 
(iii) OTHER PROVIDERS WITH BACCA-
LAUREATE DEGREES.—
(I) IN GENERAL.—Except as pro-
vided in subclause (II), a child care 
provider who has a baccalaureate de-
gree in a field other than child devel-
opment or early child education shall 
receive a grant under section 3207 in 
an amount equal to the amount of the 
grant that is made under section 3207 
to a child care provider who has an 
associate of the arts degree in the 
area of child development or early 
child education. 
(II) EXCEPTION.—If a child care 
provider who has such a baccalaureate 
degree obtains additional educational
379
training in the area of child develop-
ment or early child education, as spec-
ified by the State, such provider shall 
receive a grant under section 3207 in 
an amount equal to the amount of the 
grant that is made under section 3207 
to a child care provider who has a 
baccalaureate 
degree 
specified 
in 
clause (i). 
(D) 
AMOUNTS
TO
FULL-TIME
PRO-
VIDERS.—The State shall make a grant under 
section 3207 to a child care provider who works 
full-time in a greater amount than the amount 
of the grant that is made under section 3207 
to a child care provider who works part-time, 
based on the State definitions of full-time and 
part-time work. 
(E) AMOUNTS
TO
EXPERIENCED
PRO-
VIDERS.—The State shall make grants under 
section 3207 in progressively larger amounts to 
child care providers to reflect the number of 
years worked as child care providers. 
(6) DISTRIBUTION OF CHILD CARE PROVIDER 
SCHOLARSHIPS.—The State plan shall describe how 
the lead agency will make grants for scholarships in
380
compliance with section 3208 and shall specify the 
types of educational and training programs for 
which the scholarship grants made under such sec-
tion may be used, including only programs that—
(A) are administered by institutions of 
higher education that are eligible to participate 
in student financial assistance programs under 
title IV of the Higher Education Act of 1965 
(20 U.S.C. 1070 et seq.); and 
(B) lead to a State or nationally recog-
nized credential in the area of child develop-
ment or early child education, an associate of 
the arts degree in the area of child development 
or early child education, or a baccalaureate de-
gree in the area of child development or early 
child education. 
(7) EMPLOYER
CONTRIBUTION.—The State 
plan shall describe how the lead agency will encour-
age employers of child care providers to contribute 
to the attainment of education goals by child care 
providers who receive grants under section 3208. 
(8) SUPPLEMENTATION.—The State plan shall 
provide assurances that amounts received by the 
State to carry out sections 3207 and 3208 will be 
used only to supplement, and not to supplant, Fed-
381
eral, State, and local funds otherwise available to 
support existing services and activities (as of the 
date the amounts are used) that encourage child 
care providers to improve their qualifications and 
that promote the retention of qualified child care 
providers in the child care field. 
SEC. 3207. CHILD CARE PROVIDER DEVELOPMENT AND RE-
TENTION GRANT PROGRAM. 
(a) IN GENERAL.—A State that receives funds allot-
ted under section 3205 and made available to carry out 
this section shall expend such funds to make grants to 
eligible child care providers in accordance with this sec-
tion, to improve the qualifications and promote the reten-
tion of qualified child care providers. 
(b) ELIGIBILITY TO RECEIVE GRANTS.—To be eligi-
ble to receive a grant under this section, a child care pro-
vider shall—
(1) have a child development associate creden-
tial or equivalent, an associate of the arts degree in 
the area of child development or early child edu-
cation, a baccalaureate degree in the area of child 
development or early child education, or a bacca-
laureate degree in an unrelated field; and
(2) be employed as a child care provider for not 
less than 1 calendar year, or (if the provider is em-
382
ployed on the date of the eligibility determination in 
a child care program that operates for less than a 
full calendar year) the program equivalent of 1 cal-
endar year, ending on the date of the application for 
such grant, except that not more than 3 months of 
education related to child development or to early 
child education obtained during the corresponding 
calendar year may be treated as employment that 
satisfies the requirements of this paragraph. 
(c) PRESERVATION OF ELIGIBILITY.—A State shall 
not take into consideration whether a child care provider 
is receiving, may receive, or may be eligible to receive any 
funds under section 3208 for purposes of selecting eligible 
child care providers to receive grants under this section.
SEC. 3208. CHILD CARE PROVIDER SCHOLARSHIP PRO-
GRAM. 
(a) IN GENERAL.—A State that receives funds allot-
ted under section 3205 and made available to carry out 
this section shall expend such funds to make scholarship 
grants to eligible child care providers in accordance with 
this section, to improve their educational qualifications to 
provide child care services. 
(b) ELIGIBILITY REQUIREMENT FOR SCHOLARSHIP 
GRANTS.—To be eligible to receive a scholarship grant 
under this section, a child care provider shall be employed
383
as a child care provider for not less than 1 calendar year, 
or (if the provider is employed on the date of the eligibility 
determination in a child care program that operates for 
less than a full calendar year) the program equivalent of 
1 calendar year, ending on the date of the application for 
such grant. 
(c) SELECTION OF GRANTEES.—For purposes of se-
lecting eligible child care providers to receive scholarship 
grants under this section and determining the amounts of 
such grants, a State shall not—
(1) take into consideration whether a child care 
provider is receiving, may receive, or may be eligible 
to receive any funds under any other provision of 
this chapter, or under any other Federal or State 
law that provides funds for educational purposes; or 
(2) consider as resources of such provider any 
funds such provider is receiving, may receive, or may 
be eligible to receive under any other provision of 
this chapter, under any other Federal or State law 
that provides funds for educational purposes, or 
from a private entity. 
(d) COST-SHARING REQUIRED.—The amount of a 
scholarship grant made under this section to an eligible 
child care provider shall be less than the cost of the edu-
cational or training program for which such grant is made.
384
(e) 
ANNUAL
MAXIMUM
SCHOLARSHIP
GRANT 
AMOUNT.—The maximum aggregate dollar amount of a 
scholarship grant made by a State to an eligible child care 
provider under this section in a fiscal year shall be $1,500. 
SEC. 3209. ANNUAL REPORT. 
A State that receives funds appropriated to carry out 
this chapter for a fiscal year shall submit to the Secretary, 
not later than 90 days after the end of such fiscal year, 
a report—
(1) specifying the uses for which the State ex-
pended such funds, and the aggregate amount of 
funds (including State funds) expended for each of 
such uses; 
(2) containing available data relating to grants 
made with such funds, including—
(A) the number of child care providers who 
received such grants; 
(B) the amounts of such grants; 
(C) any other information that describes or 
evaluates the effectiveness of this chapter; 
(D) the particular geographical areas se-
lected under section 3206 for the purpose of 
making such grants; 
(E) with respect to grants made under sec-
tion 3207—
385
(i) the number of years grant recipi-
ents have been employed as child care pro-
viders; 
(ii) the level of training and education 
of grant recipients; 
(iii) to the extent practicable and 
available to the State, detailed information 
regarding the salaries and other compensa-
tion received by grant recipients to provide 
child care services before, during, and after 
receiving such grant; 
(iv) the number of children who re-
ceived child care services provided by grant 
recipients; 
(v) information on family demo-
graphics of such children; 
(vi) the types of settings described in 
subparagraphs (A), (B), and (C) of section 
3203(a)(1) in which grant recipients are 
employed; and 
(vii) the ages of the children who re-
ceived child care services provided by grant 
recipients; 
(F) with respect to grants made under sec-
tion 3208—
386
(i) the number of years grant recipi-
ents have been employed as child care pro-
viders; 
(ii) the level of training and education 
of grant recipients; 
(iii) to the extent practicable and 
available to the State, detailed information 
regarding the salaries and other compensa-
tion received by grant recipients to provide 
child care services before, during, and after 
receiving such grant; 
(iv) the types of settings described in 
subparagraphs (A), (B), and (C) of section 
3203(a)(1) in which grant recipients are 
employed; 
(v) the ages of the children who re-
ceived child care services provided by grant 
recipients; 
(vi) the number of course credits or 
credentials obtained by grant recipients; 
and 
(vii) the amount of time taken for 
completion of the educational and training 
programs for which such grants were 
made; and
387
(G) such other information as the Sec-
retary may require by rule. 
SEC. 3210. AUTHORIZATION OF APPROPRIATIONS. 
There 
is 
authorized 
to 
be 
appropriated 
$5,000,000,000 in the aggregate for fiscal years 2004 
through 2008 to carry out this chapter. 
CHAPTER 2—STRENGTHENING QUALITY 
THROUGH THE CHILD CARE AND DE-
VELOPMENT BLOCK GRANT 
SEC. 3231. STATE PLAN. 
Section 658E(c)(2) of the Child Care and Develop-
ment Block Grant Act of 1990 (42 U.S.C. 9858c(c)(2)), 
as amended by section 3113, is further amended by adding 
at the end the following: 
‘‘(M) ESTABLISHMENT OF TRAINING RE-
QUIREMENTS.—
‘‘(i) TRAINING REQUIREMENTS.—
‘‘(I) IN GENERAL.—Certify that 
there are training requirements in ef-
fect within the State, under State or 
local law, that are designed to pro-
mote the social, emotional, physical, 
and cognitive development of children 
and that are applicable to all child 
care providers that provide services
388
for which assistance is made available 
under this subchapter. 
‘‘(II) PRESERVICE
TRAINING.—
The requirements shall include provi-
sions requiring preservice training in 
childhood development, subject to 
clause (ii). 
‘‘(III) AGE-APPROPRIATE TRAIN-
ING.—The requirements shall ensure 
that the training provided to a child 
care provider under the requirements 
shall be related to the ages of the chil-
dren for whom the provider provides 
care. 
‘‘(ii) PRESERVICE TRAINING.—
‘‘(I) STATES
NOT
REQUIRING 
PRESERVICE TRAINING.—For a State 
that does not, as of the date of enact-
ment of the Leave No Child Behind 
Act of 2003 require preservice train-
ing in child development that meets 
the requirements specified in clause 
(i)—
‘‘(aa) the State shall submit, 
as part of the State plan, infor-
389
mation on how the State will en-
sure that State or local law shall 
require such training not later 
than 1 year after the date of en-
actment of the Leave No Child 
Behind Act of 2003; and 
‘‘(bb) the State may elect, in 
the case of a child care provider 
who is not required to be reg-
istered, licensed, or regulated, 
but who must comply with sub-
paragraph (F), to consider in-
service training in child develop-
ment that is completed not later 
than 60 days after the first day 
on which a child is enrolled with 
such provider, to be preservice 
training that meets the require-
ments of clause (i). 
‘‘(II) CONSTRUCTION.—Nothing 
in subclause (I) shall be considered to 
preempt or supersede any State or 
local law that requires child care pro-
viders to have preservice training in 
child development.
390
‘‘(N) INSURING
THE
SAFETY
OF
CHIL-
DREN.—Certify that there are requirements in 
effect within the State, under State or local 
law, that require that evaluators from an appro-
priate State or local agency make at least 1 un-
announced visit annually to each child care pro-
vider in the State that provides services for 
which assistance is made available under this 
subchapter. 
‘‘(O) COORDINATION
OF
SERVICES.—De-
scribe how the State will—
‘‘(i) coordinate the provision of serv-
ices under this subchapter with other Fed-
eral, State, and local child care and early 
childhood development programs; and 
‘‘(ii) increase coordination between, 
and improve the ability of children to make 
transitions between—
‘‘(I) early childhood care, devel-
opment, and education programs; and 
‘‘(II) elementary schools. 
‘‘(P) 
STATE
CHILD
CARE
QUALITY 
GOALS.—
‘‘(i) USE
OF
FUNDS
TO
IMPROVE 
QUALITY.—Provide an assurance that the
391
State will submit the report described in 
section 658I(c)(1), including the dem-
onstrations described in such section, to 
the Secretary not later than 6 months 
after the end of each fiscal year. 
‘‘(ii) GOALS.—Describe goals that the 
State will use to evaluate the effectiveness 
of the activities carried out by the State 
under section 658G(a), in order to evaluate 
the State’s progress in improving the qual-
ity of child care services provided under 
this subchapter, including, at a minimum, 
goals to—
‘‘(I) improve child care provider 
recruitment, payment, and retention 
rates; 
‘‘(II) increase the number of 
child care providers who receive high 
quality preservice and ongoing profes-
sional 
development 
(including 
the 
number of such providers who provide 
informal care, care for children in spe-
cial populations, or care for children 
in rural areas);
392
‘‘(III) increase the number of 
providers who receive training in the 
care and development of children with 
disabilities or other special needs; 
‘‘(IV) increase the number of 
families served by resource and refer-
ral services; 
‘‘(V) increase the number of child 
care programs that meet applicable 
State and local licensing requirements 
or nationally recognized accreditation 
standards; and 
‘‘(VI) increase the payment rates, 
to maximize parental choice among 
quality child care providers. 
‘‘(iii) STATE
CHILD
CARE
QUALITY 
MEASURES.—Describe a quantifiable, ob-
jective measure for each goal. 
‘‘(iv) 
PROGRESS.—Describe 
the 
State’s progress in achieving the measures 
for the goals.’’. 
SEC. 3232. CHILD CARE QUALITY IMPROVEMENTS. 
Section 658G of the Child Care and Development 
Block Grant Act of 1990 (42 U.S.C. 9858e), as amended
393
by section 3002, is further amended by striking subsection 
(a) and inserting the following: 
‘‘(a) ACTIVITIES TO IMPROVE
THE QUALITY
OF 
CHILD CARE.—
‘‘(1) IN GENERAL.—A State that receives funds 
to carry out this subchapter (other than section 
658H) shall reserve and use not less than 12 per-
cent of the funds for activities designed to improve 
the quality of child care services, consisting of—
‘‘(A) the recruitment, education, training, 
and retention of high quality child care pro-
viders, including family child care providers and 
child care providers in rural areas, through 
compensation enhancement programs that re-
ward and support participation in professional 
development and education, including the at-
tainment of credentials and degrees; 
‘‘(B) initiatives to improve the quality and 
availability of child care for children in special 
populations, including special populations in 
rural areas, which may include workforce devel-
opment initiatives that provide specialized train-
ing or technical assistance for, or initiatives 
that provide higher payment rates for, child 
care providers that provide child care services
394
for those children, initiatives that provide 
(where appropriate) for consultations with li-
censed professionals for the providers, or initia-
tives that promote efforts to assist the providers 
to which the requirements of the the Americans 
with Disabilities Act of 1990 (42 U.S.C. 12101 
et seq.), the Individuals with Disabilities Edu-
cation Act (20 U.S.C. 1400 et seq.), and sec-
tion 504 of the Rehabilitation Act of 1973 (29 
U.S.C. 794) apply (if any) in complying with 
the requirements; 
‘‘(C)(i) initiatives that—
‘‘(I) enhance the skills of the child 
care workforce by providing professional 
development and technical assistance con-
cerning the social, emotional, physical, and 
cognitive development of children, and 
other critical areas such as health, safety, 
preliteracy and oral language, and youth 
development, including training opportuni-
ties for child care providers in informal 
care settings and ongoing professional de-
velopment opportunities; and 
‘‘(II) are carried out by community 
organizations, institutions of higher edu-
395
cation, child care resource and referral or-
ganizations, or other appropriate entities; 
and 
‘‘(ii)(I) activities that improve the training 
and support for family child care providers, in-
cluding family child care providers in rural 
areas, including providing access to resource 
lending libraries, the child and adult care food 
program described in section 17 of the Richard 
B. Russell National School Lunch Act (42 
U.S.C. 1766), and in-home training and profes-
sional development; and 
‘‘(II) projects that provide opportunities 
for career counseling, director training, and 
leadership development for the child care work-
force; 
‘‘(D) projects that improve the ability of 
State or local government, as applicable, to 
monitor compliance with, and to enforce, State 
and local registration, licensing, and regulatory 
requirements applicable to child care providers; 
‘‘(E) community projects that—
‘‘(i) establish a single point of entry 
system for child care, based on a military 
model that—
396
‘‘(I) establishes links with child 
care centers, family child care homes, 
providers of after-school programs, 
and other child care providers; and 
‘‘(II) provides parents with a sin-
gle location to find registered, li-
censed, or regulated child care in the 
community; 
‘‘(ii) 
establish 
a 
community-wide 
training and professional development pro-
gram that is linked to compensation and 
recognition for child care providers, includ-
ing family child care providers, whose serv-
ices are available through the system; 
‘‘(iii) provide financial incentives and 
other support for child care providers de-
scribed in clause (ii) to achieve accredita-
tion by a national organization; and 
‘‘(iv) provide information to parents 
on the cost and quality of the various child 
care providers described in clause (ii); 
‘‘(F) activities to improve the quality of child 
care in rural areas; 
‘‘(G) other activities that the State determines 
to be appropriate to improve the quality of child care
397
services, including the provision of emergency child 
care; or 
‘‘(H) activities to support the system described 
in paragraph (2). 
‘‘(2) CHILD CARE RESOURCE AND REFERRAL 
SYSTEM.—The State shall use a portion of the funds 
reserved under paragraph (1) to support a system of 
local child care resource and referral organizations 
coordinated by a statewide lead child care resource 
and referral organization. The local child care re-
source and referral organizations shall—
‘‘(A) provide parents and child care pro-
viders with information and support concerning 
child care options in their communities; 
‘‘(B) collect data on the supply of and de-
mand for child care in political subdivisions 
within the State; 
‘‘(C) develop connections between busi-
nesses and other organizations to develop pub-
lic-private partnerships for child care; 
‘‘(D) promote literacy through the provi-
sion of technical assistance, training about de-
velopmentally appropriate reading activities, 
and books to child care programs and families,
398
to make books accessible to children at an early 
age; 
‘‘(E) provide (or facilitate the provision of) 
specialists in health, mental health, early lit-
eracy, services for children with disabilities or 
other special needs, and infant and toddler care 
to support or supplement the services of child 
care providers in their communities; 
‘‘(F) hire disability specialists and provide 
training and technical assistance to child care 
providers, to effectively meet the needs of chil-
dren with disabilities or other special needs; or 
‘‘(G) increase the supply and improve the 
quality of child care in the State and in political 
subdivisions in the State.’’. 
SEC. 3233. ADMINISTRATION AND ENFORCEMENT. 
Section 658I of the Child Care and Development 
Block Grant Act of 1990 (42 U.S.C. 9858g) is amended—
(1) in subsection (a)(3), by inserting ‘‘(directly, 
or through grants, contracts, or cooperative agree-
ments)’’ after ‘‘provide’’; and 
(2) by adding at the end the following: 
‘‘(c) COMPLIANCE WITH QUALITY REQUIREMENTS 
OF STATE PLAN.—
‘‘(1) ANNUAL REPORT.—
399
‘‘(A) USE OF FUNDS FOR QUALITY ACTIVI-
TIES.—Each State that receives funds to carry 
out this subchapter for a fiscal year shall, not 
later than 6 months after the end of that fiscal 
year, submit an annual report to the Secretary 
in which—
‘‘(i) the State demonstrates the man-
ner in which the State complied with sec-
tion 658G during the year, and describes 
how the State used funds made available 
to carry out this subchapter to comply with 
section 658G during the year; 
‘‘(ii) the State demonstrates that a 
portion of such funds was used to carry 
out the activities described in subpara-
graphs (A) and (B) of section 658G(a)(1) 
during the year, and describes the specific 
activities carried out with the funds, and 
the amount of the funds that the State al-
located to each activity, during the year; 
and 
‘‘(iii) the State describes the specific 
activities carried out under subsections (a) 
and (b), and the amount of funds that the
400
State allocated to each activity, during the 
year. 
‘‘(B) PROGRESS
IN
ACHIEVING
STATE 
CHILD CARE QUALITY GOALS AND MEASURES.—
The State shall include in the report—
‘‘(i) a description of the goals and 
measures described in the State plan under 
section 658E(c)(2)(P); and 
‘‘(ii) evidence demonstrating the ex-
tent to which the State made progress in 
achieving the measures for the goals dur-
ing the fiscal year including, at a min-
imum, evidence demonstrating measurable 
improvement toward achieving the meas-
ures for the goals described in section 
658E(c)(2)(P)(iii). 
‘‘(2) IMPROVEMENT
PLAN.—If the Secretary 
determines that a State failed to make progress as 
described in paragraph (1)(B)(ii) for a fiscal year, 
the Secretary shall require the State to submit an 
improvement plan that describes the measures the 
State will take to make that progress. The Secretary 
shall require the State to comply with the improve-
ment plan by a date specified by the Secretary but
401
not later than 1 year after the date of the deter-
mination.’’. 
CHAPTER 3—CHILD CARE CENTERS IN 
FEDERAL FACILITIES
SEC. 3241. SHORT TITLE. 
This chapter may be cited as the ‘‘Federal Employees 
Child Care Act’’. 
SEC. 3242. DEFINITIONS. 
In this chapter (except as otherwise provided in sec-
tion 3245):
(1) ADMINISTRATOR.—The term ‘‘Adminis-
trator’’ means the Administrator of General Serv-
ices. 
(2) CHILD CARE ACCREDITATION ENTITY.—The 
term ‘‘child care accreditation entity’’ means a non-
profit private organization or public agency that—
(A) is recognized by a State agency or by 
a national organization that serves as a peer re-
view panel on the standards and procedures of 
public and private child care or school accred-
iting bodies; and 
(B) accredits a facility to provide child 
care on the basis of—
402
(i) an accreditation or credentialing 
instrument based on peer-validated re-
search; 
(ii) compliance with applicable State 
or local licensing requirements, as appro-
priate, for the facility; 
(iii) outside monitoring of the facility; 
and 
(iv) criteria that provide assurances 
of—
(I) use of developmentally appro-
priate health and safety standards at 
the facility; 
(II) use of developmentally ap-
propriate educational activities, as an 
integral part of the child care pro-
gram carried out at the facility; and 
(III) use of ongoing staff devel-
opment or training activities for the 
staff of the facility, including related 
skills-based testing. 
(3) ENTITY SPONSORING A CHILD CARE FACIL-
ITY.—The term ‘‘entity sponsoring a child care facil-
ity’’ means a Federal agency that operates, or an 
entity that enters into a contract or licensing agree-
403
ment with a Federal agency to operate, a child care 
facility primarily for the use of Federal employees. 
(4) EXECUTIVE AGENCY.—The term ‘‘Executive 
agency’’ has the meaning given the term in section 
105 of title 5, United States Code, except that the 
term—
(A) does not include the Department of 
Defense, the Coast Guard, or the General Ac-
counting Office; and 
(B) includes the General Services Adminis-
tration, with respect to the administration of a 
facility described in paragraph (5)(B). 
(5) EXECUTIVE FACILITY.—The term ‘‘execu-
tive facility’’—
(A) means a facility that is owned or 
leased by an Executive agency; and 
(B) includes a facility that is owned or 
leased by the General Services Administration 
on behalf of a judicial office.
(6) FEDERAL
AGENCY.—The term ‘‘Federal 
agency’’ means an Executive agency, a legislative of-
fice, or a judicial office. 
(7) JUDICIAL FACILITY.—The term ‘‘judicial fa-
cility’’ means a facility that is owned or leased by a
404
judicial office (other than a facility that is also a fa-
cility described in paragraph (5)(B)). 
(8) JUDICIAL OFFICE.—The term ‘‘judicial of-
fice’’ means an entity of the judicial branch of the 
Federal Government. 
(9) LEGISLATIVE FACILITY.—The term ‘‘legisla-
tive facility’’ means a facility that is owned or leased 
by a legislative office. 
(10) LEGISLATIVE OFFICE.—The term ‘‘legisla-
tive office’’ means an entity of the legislative branch 
of the Federal Government. 
(11) STATE.—The term ‘‘State’’ has the mean-
ing given the term in section 658P of the Child Care 
and Development Block Grant Act of 1990 (42 
U.S.C. 9858n). 
SEC. 3243. PROVIDING QUALITY CHILD CARE IN FEDERAL 
FACILITIES. 
(a) EXECUTIVE FACILITIES.—
(1) STATE
AND
LOCAL
LICENSING
REQUIRE-
MENTS.—
(A) IN GENERAL.—Any entity sponsoring 
a child care facility in an executive facility 
shall— 
(i) comply with child care standards 
described in paragraph (2) that are no less
405
stringent than applicable State or local li-
censing requirements that are related to 
the provision of child care in the State or 
locality involved; or 
(ii) obtain the applicable State or local 
licenses, as appropriate, for the facility. 
(B) COMPLIANCE.—Not later than 6 
months after the date of enactment of this 
Act—
(i) the entity shall comply, or make 
substantial progress (as determined by the 
Administrator) toward complying, with 
subparagraph (A); and 
(ii) any contract or licensing agree-
ment used by an Executive agency for the 
provision of child care services in the child 
care facility shall include a condition that 
the child care be provided by an entity that 
complies with the standards described in 
subparagraph (A)(i) or obtains the licenses 
described in subparagraph (A)(ii). 
(2) HEALTH, SAFETY, AND FACILITY STAND-
ARDS.—The Administrator shall by regulation estab-
lish standards relating to health, safety, facilities, fa-
cility design, and other aspects of child care that the
406
Administrator determines to be appropriate for child 
care in executive facilities, and require child care fa-
cilities, and entities sponsoring child care facilities, 
in executive facilities to comply with the standards. 
The standards shall include requirements that child
care facilities be inspected for, and be free of, lead 
hazards. 
(3) ACCREDITATION STANDARDS.—
(A) IN
GENERAL.—The Administrator 
shall issue regulations requiring, to the max-
imum extent possible, any entity sponsoring an 
eligible child care facility (as defined by the Ad-
ministrator) in an executive facility to comply 
with standards of a child care accreditation en-
tity. 
(B) COMPLIANCE.—The regulations shall 
require that, not later than 3 years after the 
date of enactment of this Act—
(i) the entity shall comply, or make 
substantial progress (as determined by the 
Administrator) toward complying, with the 
standards; and 
(ii) any contract or licensing agree-
ment used by an Executive agency for the 
provision of child care services in the child
407
care facility shall include a condition that 
the child care be provided by an entity that 
complies with the standards. 
(4) EVALUATION AND COMPLIANCE.—
(A) IN
GENERAL.—The Administrator 
shall evaluate the compliance, with the require-
ments of paragraph (1) and the regulations 
issued pursuant to paragraphs (2) and (3), as 
appropriate, of child care facilities, and entities 
sponsoring child care facilities, in executive fa-
cilities. The Administrator may conduct the 
evaluation of such a child care facility or entity 
directly, or through an agreement with another 
Federal agency or private entity, other than the 
Federal agency for which the child care facility 
is providing services. If the Administrator de-
termines, on the basis of such an evaluation, 
that the child care facility or entity is not in 
compliance with the requirements, the Adminis-
trator shall notify the Executive agency. 
(B) EFFECT OF NONCOMPLIANCE.—On re-
ceipt of the notification of noncompliance issued 
by the Administrator, the head of the Executive 
agency shall—
408
(i) if the entity operating the child 
care facility is the agency—
(I) not later than 2 business days 
after the date of receipt of the notifi-
cation, correct any deficiencies that 
are determined by the Administrator 
to be life threatening or to present a 
risk of serious bodily harm; 
(II) not later than 4 months 
after the date of receipt of the notifi-
cation, develop and provide to the Ad-
ministrator a plan to correct any 
other deficiencies in the operation of 
the facility and bring the facility and 
entity into compliance with the re-
quirements; 
(III) provide the parents of the 
children receiving child care services 
at the child care facility and employ-
ees of the facility with a notification 
detailing the deficiencies described in 
subclauses (I) and (II) and actions 
that will be taken to correct the defi-
ciencies, and post a copy of the notifi-
cation in a conspicuous place in the
409
facility for 5 working days or until the 
deficiencies are corrected, whichever is 
later; 
(IV) bring the child care facility 
and entity into compliance with the 
requirements and certify to the Ad-
ministrator that the facility and entity 
are in compliance, based on an onsite 
evaluation of the facility conducted by 
an individual with expertise in child 
care health and safety; and 
(V) in the event that deficiencies 
determined by the Administrator to be 
life threatening or to present a risk of 
serious bodily harm cannot be cor-
rected within 2 business days after 
the date of receipt of the notification, 
close the child care facility, or the af-
fected portion of the facility, until the 
deficiencies are corrected and notify 
the Administrator of the closure; and 
(ii) if the entity operating the child 
care facility is a contractor or licensee of 
the Executive agency—
410
(I) require the contractor or li-
censee, not later than 2 business days 
after the date of receipt of the notifi-
cation, to correct any deficiencies that 
are determined by the Administrator 
to be life threatening or to present a 
risk of serious bodily harm; 
(II) require the contractor or li-
censee, not later than 4 months after 
the date of receipt of the notification, 
to develop and provide to the head of 
the agency a plan to correct any other 
deficiencies in the operation of the 
child care facility and bring the facil-
ity and entity into compliance with 
the requirements; 
(III) require the contractor or li-
censee to provide the parents of the 
children receiving child care services 
at the child care facility and employ-
ees of the facility with a notification 
detailing the deficiencies described in 
subclauses (I) and (II) and actions 
that will be taken to correct the defi-
ciencies, and to post a copy of the no-
411
tification in a conspicuous place in the 
facility for 5 working days or until the 
deficiencies are corrected, whichever is 
later;
(IV) require the contractor or li-
censee to bring the child care facility 
and entity into compliance with the 
requirements and certify to the head 
of the agency that the facility and en-
tity are in compliance, based on an 
onsite evaluation of the facility con-
ducted by an independent entity with 
expertise in child care health and 
safety; and 
(V) in the event that deficiencies 
determined by the Administrator to be 
life threatening or to present a risk of 
serious bodily harm cannot be cor-
rected within 2 business days after 
the date of receipt of the notification, 
close the child care facility, or the af-
fected portion of the facility, until the 
deficiencies are corrected and notify 
the Administrator of the closure, 
which closure may be grounds for the
412
immediate termination or suspension 
of the contract or license of the con-
tractor or licensee. 
(C) COST REIMBURSEMENT.—The Execu-
tive agency shall reimburse the Administrator 
for the costs of carrying out subparagraph (A) 
for child care facilities located in an executive 
facility other than an executive facility of the 
General Services Administration. If an entity is 
sponsoring a child care facility for 2 or more 
Executive agencies, the Administrator shall allo-
cate the reimbursement costs with respect to 
the entity among the agencies in a fair and eq-
uitable manner, based on the extent to which 
each agency is eligible to place children in the 
facility.
(5) DISCLOSURE OF PRIOR VIOLATIONS TO PAR-
ENTS AND FACILITY EMPLOYEES.—
(A) IN
GENERAL.—The Administrator 
shall issue regulations that require that each 
entity sponsoring a child care facility in an ex-
ecutive facility, upon receipt by the child care 
facility or the entity (as applicable) of a request 
by any individual who is—
413
(i) a parent of any child enrolled at 
the facility; 
(ii) a parent of a child for whom an 
application has been submitted to enroll at 
the facility; or 
(iii) an employee of the facility; 
shall provide to the individual the copies and 
description described in subparagraph (B). 
(B) COPIES AND DESCRIPTION.—The enti-
ty shall provide—
(i) copies of all notifications of defi-
ciencies that have been provided in the 
past with respect to the facility under 
clause (i)(III) or (ii)(III), as applicable, of 
paragraph (4)(B); and 
(ii) a description of the actions that 
were taken to correct the deficiencies. 
(b) LEGISLATIVE FACILITIES.—
(1) ACCREDITATION.—The Chief Administra-
tive Officer of the House of Representatives, the Li-
brarian of Congress, and the head of a designated 
entity in the Senate shall ensure that, not later than 
1 year after the date of enactment of this Act, the 
corresponding child care facility obtains accredita-
414
tion by a child care accreditation entity, in accord-
ance with the accreditation standards of the entity. 
(2) REGULATIONS.—
(A) IN
GENERAL.—If the corresponding 
child care facility does not maintain accredita-
tion status with a child care accreditation enti-
ty, the Chief Administrative Officer of the 
House of Representatives, the Librarian of Con-
gress, or the head of the designated entity in 
the Senate shall issue regulations governing the 
operation of the corresponding child care facil-
ity, to ensure the safety and quality of care of 
children placed in the facility. The regulations 
shall be no less stringent in content and effect 
than the requirements of subsection (a)(1) and 
the regulations issued by the Administrator 
under paragraphs (2) and (3) of subsection (a), 
except to the extent that appropriate adminis-
trative officers make the determination de-
scribed in subparagraph (B). 
(B) MODIFICATION
MORE
EFFECTIVE.—
The determination referred to in subparagraph 
(A) is a determination, for good cause shown 
and stated together with the regulations, that a 
modification of the regulations would be more
415
effective for the implementation of the require-
ments and standards described in subsection (a) 
for the corresponding child care facilities, and
entities sponsoring the corresponding child care 
facilities, in legislative facilities. 
(3) CORRESPONDING CHILD CARE FACILITY.—
In this subsection, the term ‘‘corresponding child 
care facility’’, used with respect to the Chief Admin-
istrative Officer, the Librarian, or the head of a des-
ignated entity described in paragraph (1), means a 
child care facility operated by, or under a contract 
or licensing agreement with, an office of the House 
of Representatives, the Library of Congress, or an 
office of the Senate, respectively. 
(c) JUDICIAL BRANCH STANDARDS
AND COMPLI-
ANCE.—
(1) STATE
AND
LOCAL
LICENSING
REQUIRE-
MENTS
HEALTH, SAFETY, AND
FACILITY
STAND-
ARDS, AND ACCREDITATION STANDARDS.—The Di-
rector of the Administrative Office of the United 
States Courts shall issue regulations for child care 
facilities, and entities sponsoring child care facilities, 
in judicial facilities, which shall be no less stringent 
in content and effect than the requirements of sub-
section (a)(1) and the regulations issued by the Ad-
416
ministrator under paragraphs (2) and (3) of sub-
section (a), except to the extent that the Director 
may determine, for good cause shown and stated to-
gether with the regulations, that a modification of 
such regulations would be more effective for the im-
plementation of the requirements and standards de-
scribed in paragraphs (1), (2), and (3) of subsection 
(a) for child care facilities, and entities sponsoring 
child care facilities, in judicial facilities. 
(2) EVALUATION AND COMPLIANCE.—
(A) DIRECTOR
OF
THE
ADMINISTRATIVE 
OFFICE OF THE UNITED STATES COURTS.—The 
Director of the Administrative Office of the 
United States Courts shall have the same au-
thorities and duties with respect to the evalua-
tion of, compliance of, and cost reimbursement 
for child care facilities, and entities sponsoring 
child care facilities, in judicial facilities as the 
Administrator has under subsection (a)(4) with 
respect to the evaluation of, compliance of, and 
cost reimbursement for such centers and enti-
ties sponsoring such centers, in executive facili-
ties. 
(B) HEAD OF A JUDICIAL OFFICE.—The 
head of a judicial office shall have the same au-
417
thorities and duties with respect to the compli-
ance of and cost reimbursement for child care 
facilities, and entities sponsoring child care fa-
cilities, in judicial facilities as the head of an 
Executive agency has under subsection (a)(4) 
with respect to the compliance of and cost reim-
bursement for such centers and entities spon-
soring such centers, in executive facilities. 
(d) APPLICATION.—Notwithstanding any other provi-
sion of this section, if 8 or more child care facilities are 
sponsored in facilities owned or leased by an Executive 
agency, the Administrator shall delegate to the head of 
the agency the evaluation and compliance responsibilities 
assigned to the Administrator under subsection (a)(4)(A). 
(e) TECHNICAL ASSISTANCE, STUDIES, AND RE-
VIEWS.—The Administrator may provide technical assist-
ance, and conduct and provide the results of studies and 
reviews, for Executive agencies, and entities sponsoring 
child care facilities in executive facilities, on a reimburs-
able basis, in order to assist the entities in complying with 
this section. The Chief Administrative Officer of the 
House of Representatives, the Librarian of Congress, the 
head of the designated Senate entity described in sub-
section (b), and the Director of the Administrative Office 
of the United States Courts, may provide technical assist-
418
ance, and conduct and provide the results of studies and 
reviews, or request that the Administrator provide tech-
nical assistance, and conduct and provide the results of 
studies and reviews, for legislative offices and judicial of-
fices, as appropriate, and entities operating child care fa-
cilities in legislative facilities or judicial facilities, as ap-
propriate, on a reimbursable basis, in order to assist the 
entities in complying with this section. 
(f) INTERAGENCY COUNCIL.—
(1) COMPOSITION.—The Administrator shall es-
tablish an interagency council, comprised of—
(A) representatives of all Executive agen-
cies described in subsection (d) and other Exec-
utive agencies at the election of the heads of the 
agencies; 
(B) a representative of the Chief Adminis-
trative Officer of the House of Representatives, 
at the election of the Chief Administrative Offi-
cer; 
(C) a representative of the head of the des-
ignated Senate entity described in subsection 
(b), at the election of the head of the entity; 
(D) a representative of the Librarian of 
Congress, at the election of the Librarian; and
474
‘‘(1) the number and ages of children served by 
the eligible prekindergarten provider, including in-
formation disaggregated by family income, race, dis-
ability, and native language; 
‘‘(2) the number of hours of service per day and 
number of months of service provided under the pre-
kindergarten program; 
‘‘(3) the total number of prekindergarten teach-
ers employed under the prekindergarten program; 
and 
‘‘(4) other sources of Federal, State, local, and 
private funds used to operate the prekindergarten 
program for which subgrant funds were received 
under this part. 
‘‘(b) REPORT TO CONGRESS.—The Secretary shall 
submit an annual report to Congress that evaluates the 
prekindergarten programs established, enhanced, or ex-
panded under this part. 
‘‘SEC. 5707. AUTHORIZATION OF APPROPRIATIONS. 
‘‘There are authorized to be appropriated to carry out 
this 
part 
$2,000,000,000 
for 
fiscal 
year 
2004, 
$4,000,000,000 for fiscal year 2005, $5,000,000,000 for 
fiscal year 2006, $8,000,000,000 for fiscal year 2007, and 
$10,000,000,000 for fiscal year 2008.’’.
510
subsection (b), as determined in accordance with 
regulations prescribed by the Secretary. 
‘‘(d) REGULATIONS.—The Secretary is authorized to 
issue such regulations as may be necessary to carry out 
the provisions of this section. 
‘‘(e) CONSTRUCTION.—Nothing in this section shall 
be construed to authorize any refunding of any repayment 
of a loan. 
‘‘(f) LIST.—If the list of schools in which a teacher 
may perform service pursuant to subsection (b) is not 
available before May 1 of any year, the Secretary may use 
the list for the year preceding the year for which the deter-
mination is made to make such service determination. 
‘‘(g) ADDITIONAL ELIGIBILITY PROVISIONS.—
‘‘(1) CONTINUED
ELIGIBILITY.—Any teacher 
who performs service in a school that—
‘‘(A) meets the requirements of subsection 
(b)(1)(A) in any year during such service; and 
‘‘(B) in a subsequent year fails to meet the 
requirements of such subsection, 
may continue to teach in such school and shall be 
eligible for loan forgiveness pursuant to subsection 
(b). 
‘‘(2) PREVENTION OF DOUBLE BENEFITS.—No 
borrower may, for the same service, receive a benefit
536
poses of this paragraph, including regulations 
which require more frequent or more detailed 
reporting.’’. 
(c) CONFORMING AMENDMENTS.—
(1) Subchapter U of chapter 1 of the Internal 
Revenue Code of 1986 is amended by striking part 
IV, by redesignating part V as part IV, and by re-
designating section 1397F as section 1397E. 
(2) The table of subchapters for chapter 1 of 
the Internal Revenue Code of 1986 is amended by 
adding at the end the following:
‘‘Subchapter Z. Public school modernization provisions.’’.
(3) The table of parts of subchapter U of chap-
ter 1 of the Internal Revenue Code of 1986 is 
amended by striking the last 2 items and inserting 
the following:
‘‘Part IV. Regulations.’’.
(d) EFFECTIVE DATES.—
(1) IN
GENERAL.—Except as otherwise pro-
vided in this subsection, the amendments made by 
this section shall apply to obligations issued after 
December 31, 2002. 
(2) REPEAL OF RESTRICTION ON ZONE ACAD-
EMY
BOND
HOLDERS.—In the case of bonds to 
which section 1397E of the Internal Revenue Code 
of 1986 (as in effect before the date of enactment