336
Subtitle G—Enforcement of
Support Orders
SEC. 361. INTERNAL REVENUE SERVICE COLLECTION OF
ARREARAGES.
(a) COLLECTION OF FEES.—Section 6305(a) of the
Internal Revenue Code of 1986 (relating to collection of
certain liability) is amended—
(1) by striking ‘‘and’’ at the end of paragraph
(3);
(2) by striking the period at the end of para-
graph (4) and inserting ‘‘, and’’;
(3) by adding at the end the following new
paragraph:
‘‘(5) no additional fee may be assessed for ad-
justments to an amount previously certified pursu-
ant to such section 452(b) with respect to the same
obligor.’’; and
(4) by striking ‘‘Secretary of Health, Edu-
cation, and Welfare’’ each place it appears and in-
serting ‘‘Secretary of Health and Human Services’’.
(b) EFFECTIVE DATE.—The amendments made by
this section shall become effective October 1, 1997.
337
SEC. 362. AUTHORITY TO COLLECT SUPPORT FROM FED-
ERAL EMPLOYEES.
(a) CONSOLIDATION
AND STREAMLINING
OF AU-
THORITIES.—Section 459 (42 U.S.C. 659) is amended to
read as follows:
‘‘SEC. 459. CONSENT BY THE UNITED STATES TO INCOME
WITHHOLDING, GARNISHMENT, AND SIMILAR
PROCEEDINGS FOR ENFORCEMENT OF CHILD
SUPPORT AND ALIMONY OBLIGATIONS.
‘‘(a) CONSENT TO SUPPORT ENFORCEMENT.—Not-
withstanding any other provision of law (including section
207 of this Act and section 5301 of title 38, United States
Code), effective January 1, 1975, moneys (the entitlement
to which is based upon remuneration for employment) due
from, or payable by, the United States or the District of
Columbia (including any agency, subdivision, or instru-
mentality thereof) to any individual, including members
of the Armed Forces of the United States, shall be subject,
in like manner and to the same extent as if the United
States or the District of Columbia were a private person,
to withholding in accordance with State law enacted pur-
suant to subsections (a)(1) and (b) of section 466 and reg-
ulations of the Secretary under such subsections, and to
any other legal process brought, by a State agency admin-
istering a program under a State plan approved under this
338
part or by an individual obligee, to enforce the legal obliga-
tion of the individual to provide child support or alimony.
‘‘(b) CONSENT TO REQUIREMENTS APPLICABLE TO
PRIVATE PERSON.—With respect to notice to withhold in-
come pursuant to subsection (a)(1) or (b) of section 466,
or any other order or process to enforce support obliga-
tions against an individual (if the order or process con-
tains or is accompanied by sufficient data to permit
prompt identification of the individual and the moneys in-
volved), each governmental entity specified in subsection
(a) shall be subject to the same requirements as would
apply if the entity were a private person, except as other-
wise provided in this section.
‘‘(c) DESIGNATION OF AGENT; RESPONSE TO NOTICE
OR PROCESS—
‘‘(1) DESIGNATION OF AGENT.—The head of
each agency subject to this section shall—
‘‘(A) designate an agent or agents to re-
ceive orders and accept service of process in
matters relating to child support or alimony;
and
‘‘(B) annually publish in the Federal Reg-
ister the designation of the agent or agents,
identified by title or position, mailing address,
and telephone number.
339
‘‘(2) RESPONSE TO NOTICE OR PROCESS.—If an
agent designated pursuant to paragraph (1) of this
subsection receives notice pursuant to State proce-
dures in effect pursuant to subsection (a)(1) or (b)
of section 466, or is effectively served with any
order, process, or interrogatory, with respect to an
individual’s child support or alimony payment obli-
gations, the agent shall—
‘‘(A) as soon as possible (but not later
than 15 days) thereafter, send written notice of
the notice or service (together with a copy of
the notice or service) to the individual at the
duty station or last-known home address of the
individual;
‘‘(B) within 30 days (or such longer period
as may be prescribed by applicable State law)
after receipt of a notice pursuant to such State
procedures, comply with all applicable provi-
sions of section 466; and
‘‘(C) within 30 days (or such longer period
as may be prescribed by applicable State law)
after effective service of any other such order,
process, or interrogatory, respond to the order,
process, or interrogatory.
340
‘‘(d) PRIORITY OF CLAIMS.—If a governmental entity
specified in subsection (a) receives notice or is served with
process, as provided in this section, concerning amounts
owed by an individual to more than 1 person—
‘‘(1) support collection under section 466(b)
must be given priority over any other process, as
provided in section 466(b)(7);
‘‘(2) allocation of moneys due or payable to an
individual among claimants under section 466(b)
shall be governed by section 466(b) and the regula-
tions prescribed under such section; and
‘‘(3) such moneys as remain after compliance
with paragraphs (1) and (2) shall be available to
satisfy any other such processes on a first-come,
first-served basis, with any such process being satis-
fied out of such moneys as remain after the satisfac-
tion of all such processes which have been previously
served.
‘‘(e) NO REQUIREMENT TO VARY PAY CYCLES.—A
governmental entity that is affected by legal process
served for the enforcement of an individual’s child support
or alimony payment obligations shall not be required to
vary its normal pay and disbursement cycle in order to
comply with the legal process.
‘‘(f) RELIEF FROM LIABILITY.—
341
‘‘(1) Neither the United States, nor the govern-
ment of the District of Columbia, nor any disbursing
officer shall be liable with respect to any payment
made from moneys due or payable from the United
States to any individual pursuant to legal process
regular on its face, if the payment is made in ac-
cordance with this section and the regulations issued
to carry out this section.
‘‘(2) No Federal employee whose duties include
taking actions necessary to comply with the require-
ments of subsection (a) with regard to any individ-
ual shall be subject under any law to any discipli-
nary action or civil or criminal liability or penalty
for, or on account of, any disclosure of information
made by the employee in connection with the carry-
ing out of such actions.
‘‘(g) REGULATIONS.—Authority to promulgate regu-
lations for the implementation of this section shall, insofar
as this section applies to moneys due from (or payable
by)—
‘‘(1) the United States (other than the legisla-
tive or judicial branches of the Federal Government)
or the government of the District of Columbia, be
vested in the President (or the designee of the Presi-
dent);
342
‘‘(2) the legislative branch of the Federal Gov-
ernment, be vested jointly in the President pro tem-
pore of the Senate and the Speaker of the House of
Representatives (or their designees), and
‘‘(3) the judicial branch of the Federal Govern-
ment, be vested in the Chief Justice of the United
States (or the designee of the Chief Justice).
‘‘(h) MONEYS SUBJECT TO PROCESS.—
‘‘(1) IN GENERAL.—Subject to paragraph (2),
moneys paid or payable to an individual which are
considered to be based upon remuneration for em-
ployment, for purposes of this section—
‘‘(A) consist of—
‘‘(i) compensation paid or payable for
personal services of the individual, whether
the compensation is denominated as wages,
salary, commission, bonus, pay, allowances,
or otherwise (including severance pay, sick
pay, and incentive pay);
‘‘(ii) periodic benefits (including a
periodic benefit as defined in section
228(h)(3)) or other payments—
‘‘(I) under the insurance system
established by title II;
343
‘‘(II) under any other system or
fund established by the United States
which provides for the payment of
pensions, retirement or retired pay,
annuities, dependents’ or survivors’
benefits, or similar amounts payable
on account of personal services per-
formed by the individual or any other
individual;
‘‘(III) as compensation for death
under any Federal program;
‘‘(IV) under any Federal pro-
gram established to provide ‘black
lung’ benefits; or
‘‘(V) by the Secretary of Veter-
ans Affairs as compensation for a
service-connected disability paid by
the Secretary to a former member of
the Armed Forces who is in receipt of
retired or retainer pay if the former
member has waived a portion of the
retired or retainer pay in order to re-
ceive such compensation; and
‘‘(iii) worker’s compensation benefits
paid under Federal or State law but
344
‘‘(B) do not include any payment—
‘‘(i) by way of reimbursement or oth-
erwise, to defray expenses incurred by the
individual in carrying out duties associated
with the employment of the individual; or
‘‘(ii) as allowances for members of the
uniformed services payable pursuant to
chapter 7 of title 37, United States Code,
as prescribed by the Secretaries concerned
(defined by section 101(5) of such title) as
necessary for the efficient performance of
duty.
‘‘(2) CERTAIN AMOUNTS EXCLUDED.—In deter-
mining the amount of any moneys due from, or pay-
able by, the United States to any individual, there
shall be excluded amounts which—
‘‘(A) are owed by the individual to the
United States;
‘‘(B) are required by law to be, and are,
deducted from the remuneration or other pay-
ment involved, including Federal employment
taxes, and fines and forfeitures ordered by
court-martial;
‘‘(C) are properly withheld for Federal,
State, or local income tax purposes, if the with-
345
holding of the amounts is authorized or re-
quired by law and if amounts withheld are not
greater than would be the case if the individual
claimed all dependents to which he was entitled
(the withholding of additional amounts pursu-
ant to section 3402(i) of the Internal Revenue
Code of 1986 may be permitted only when the
individual presents evidence of a tax obligation
which supports the additional withholding);
‘‘(D) are deducted as health insurance pre-
miums;
‘‘(E) are deducted as normal retirement
contributions (not including amounts deducted
for supplementary coverage); or
‘‘(F) are deducted as normal life insurance
premiums from salary or other remuneration
for employment (not including amounts de-
ducted for supplementary coverage).
‘‘(i) DEFINITIONS.—For purposes of this section—
‘‘(1) UNITED
STATES.—The term ‘United
States’ includes any department, agency, or instru-
mentality of the legislative, judicial, or executive
branch of the Federal Government, the United
States Postal Service, the Postal Rate Commission,
any Federal corporation created by an Act of Con-
346
gress that is wholly owned by the Federal Govern-
ment, and the governments of the territories and
possessions of the United States.
‘‘(2) CHILD SUPPORT.—The term ‘child sup-
port’, when used in reference to the legal obligations
of an individual to provide such support, means
amounts required to be paid under a judgment, de-
cree, or order, whether temporary, final, or subject
to modification, issued by a court or an administra-
tive agency of competent jurisdiction, for the sup-
port and maintenance of a child, including a child
who has attained the age of majority under the law
of the issuing State, or a child and the parent with
whom the child is living, which provides for mone-
tary support, health care, arrearages or reimburse-
ment, and which may include other related costs and
fees, interest and penalties, income withholding, at-
torney’s fees, and other relief.
‘‘(3) ALIMONY.—
‘‘(A) IN
GENERAL.—The term ‘alimony’,
when used in reference to the legal obligations
of an individual to provide the same, means
periodic payments of funds for the support and
maintenance of the spouse (or former spouse)
of the individual, and (subject to and in accord-
347
ance with State law) includes separate mainte-
nance, alimony pendente lite, maintenance, and
spousal support, and includes attorney’s fees,
interest, and court costs when and to the extent
that the same are expressly made recoverable as
such pursuant to a decree, order, or judgment
issued in accordance with applicable State law
by a court of competent jurisdiction.
‘‘(B) EXCEPTIONS.—Such term does not
include—
‘‘(i) any child support; or
‘‘(ii) any payment or transfer of prop-
erty or its value by an individual to the
spouse or a former spouse of the individual
in compliance with any community prop-
erty settlement, equitable distribution of
property, or other division of property be-
tween spouses or former spouses.
‘‘(4) PRIVATE PERSON.—The term ‘private per-
son’ means a person who does not have sovereign or
other special immunity or privilege which causes the
person not to be subject to legal process.
‘‘(5) LEGAL PROCESS.—The term ‘legal proc-
ess’ means any writ, order, summons, or other simi-
lar process in the nature of garnishment—
348
‘‘(A) which is issued by—
‘‘(i) a court or an administrative
agency of competent jurisdiction in any
State, territory, or possession of the Unit-
ed States;
‘‘(ii) a court or an administrative
agency of competent jurisdiction in any
foreign country with which the United
States has entered into an agreement
which requires the United States to honor
the process; or
‘‘(iii) an authorized official pursuant
to an order of such a court or an adminis-
trative agency of competent jurisdiction or
pursuant to State or local law; and
‘‘(B) which is directed to, and the purpose
of which is to compel, a governmental entity
which holds moneys which are otherwise pay-
able to an individual to make a payment from
the moneys to another party in order to satisfy
a legal obligation of the individual to provide
child support or make alimony payments.’’.
(b) CONFORMING AMENDMENTS.—
(1) TO PART D OF TITLE IV.—Sections 461 and
462 (42 U.S.C. 661 and 662) are repealed.
349
(2) TO TITLE 5, UNITED STATES CODE.—Sec-
tion 5520a of title 5, United States Code, is amend-
ed, in subsections (h)(2) and (i), by striking ‘‘sec-
tions 459, 461, and 462 of the Social Security Act
(42 U.S.C. 659, 661, and 662)’’ and inserting ‘‘sec-
tion 459 of the Social Security Act (42 U.S.C.
659)’’.
(c) MILITARY RETIRED AND RETAINER PAY.—
(1) 
DEFINITION
OF
COURT.—Section
1408(a)(1) of title 10, United States Code, is
amended—
(A) by striking ‘‘and’’ at the end of sub-
paragraph (B);
(B) by striking the period at the end of
subparagraph (C) and inserting ‘‘; and’’; and
(C) by adding after subparagraph (C) the
following: new subparagraph:
‘‘(D) any administrative or judicial tribu-
nal of a State competent to enter orders for
support or maintenance (including a State
agency administering a program under a State
plan approved under part D of title IV of the
Social Security Act), and, for purposes of this
subparagraph, the term ‘State’ includes the
District of Columbia, the Commonwealth of
350
Puerto Rico, the Virgin Islands, Guam, and
American Samoa.’’.
(2) DEFINITION
OF
COURT
ORDER.—Section
1408(a)(2) of such title is amended—
(A) by inserting ‘‘or a support order, as
defined in section 453(p) of the Social Security
Act (42 U.S.C. 653(p)),’’ before ‘‘which—’’;
(B) in subparagraph (B)(i), by striking
‘‘(as defined in section 462(b) of the Social Se-
curity Act (42 U.S.C. 662(b)))’’ and inserting
‘‘(as defined in section 459(i)(2) of the Social
Security Act (42 U.S.C. 662(i)(2)))’’; and
(C) in subparagraph (B)(ii), by striking
‘‘(as defined in section 462(c) of the Social Se-
curity Act (42 U.S.C. 662(c)))’’ and inserting
‘‘(as defined in section 459(i)(3) of the Social
Security Act (42 U.S.C. 662(i)(3)))’’.
(3) PUBLIC PAYEE.—Section 1408(d) of such
title is amended—
(A) in the heading, by inserting ‘‘(OR FOR
BENEFIT OF)’’ before ‘‘SPOUSE OR’’; and
(B) in paragraph (1), in the 1st sentence,
by inserting ‘‘(or for the benefit of such spouse
or former spouse to a State disbursement unit
351
established pursuant to section 454B of the So-
cial Security Act or other public payee des-
ignated by a State, in accordance with part D
of title IV of the Social Security Act, as di-
rected by court order, or as otherwise directed
in accordance with such part D)’’ before ‘‘in an
amount sufficient’’.
(4) RELATIONSHIP TO PART D OF TITLE IV.—
Section 1408 of such title is amended by adding at
the end the following new subsection:
‘‘(j) RELATIONSHIP TO OTHER LAWS.—In any case
involving an order providing for payment of child support
(as defined in section 459(i)(2) of the Social Security Act)
by a member who has never been married to the other
parent of the child, the provisions of this section shall not
apply, and the case shall be subject to the provisions of
section 459 of such Act.’’.
(d) EFFECTIVE DATE.—The amendments made by
this section shall become effective 6 months after the date
of the enactment of this Act.
SEC. 363. ENFORCEMENT OF CHILD SUPPORT OBLIGA-
TIONS OF MEMBERS OF THE ARMED FORCES.
(a) AVAILABILITY OF LOCATOR INFORMATION.—
(1) MAINTENANCE
OF
ADDRESS
INFORMA-
TION.—The Secretary of Defense shall establish a
352
centralized personnel locator service that includes
the address of each member of the Armed Forces
under the jurisdiction of the Secretary. Upon re-
quest of the Secretary of Transportation, addresses
for members of the Coast Guard shall be included in
the centralized personnel locator service.
(2) TYPE OF ADDRESS.—
(A) RESIDENTIAL
ADDRESS.—Except as
provided in subparagraph (B), the address for
a member of the Armed Forces shown in the lo-
cator service shall be the residential address of
that member.
(B) DUTY ADDRESS.—The address for a
member of the Armed Forces shown in the loca-
tor service shall be the duty address of that
member in the case of a member—
(i) who is permanently assigned over-
seas, to a vessel, or to a routinely
deployable unit; or
(ii) with respect to whom the Sec-
retary concerned makes a determination
that the member’s residential address
should not be disclosed due to national se-
curity or safety concerns.
353
(3) UPDATING
OF
LOCATOR
INFORMATION.—
Within 30 days after a member listed in the locator
service establishes a new residential address (or a
new duty address, in the case of a member covered
by paragraph (2)(B)), the Secretary concerned shall
update the locator service to indicate the new ad-
dress of the member.
(4) AVAILABILITY OF INFORMATION.—The Sec-
retary of Defense shall make information regarding
the address of a member of the Armed Forces listed
in the locator service available, on request, to the
Federal Parent Locator Service established under
section 453 of the Social Security Act.
(b) FACILITATING GRANTING OF LEAVE FOR AT-
TENDANCE AT HEARINGS.—
(1) REGULATIONS.—The Secretary of each
military department, and the Secretary of Transpor-
tation with respect to the Coast Guard when it is
not operating as a service in the Navy, shall pre-
scribe regulations to facilitate the granting of leave
to a member of the Armed Forces under the juris-
diction of that Secretary in a case in which—
(A) the leave is needed for the member to
attend a hearing described in paragraph (2);
354
(B) the member is not serving in or with
a unit deployed in a contingency operation (as
defined in section 101 of title 10, United States
Code); and
(C) the exigencies of military service (as
determined by the Secretary concerned) do not
otherwise require that such leave not be grant-
ed.
(2) COVERED HEARINGS.—Paragraph (1) ap-
plies to a hearing that is conducted by a court or
pursuant to an administrative process established
under State law, in connection with a civil action—
(A) to determine whether a member of the
Armed Forces is a natural parent of a child; or
(B) to determine an obligation of a mem-
ber of the Armed Forces to provide child sup-
port.
(3) DEFINITIONS.—For purposes of this sub-
section—
(A) The term ‘‘court’’ has the meaning
given that term in section 1408(a) of title 10,
United States Code.
(B) The term ‘‘child support’’ has the
meaning given such term in section 459(i) of
the Social Security Act (42 U.S.C. 659(i)).
355
(c) PAYMENT OF MILITARY RETIRED PAY IN COM-
PLIANCE WITH CHILD SUPPORT ORDERS.—
(1) DATE
OF
CERTIFICATION
OF
COURT
ORDER.—Section 1408 of title 10, United States
Code, as amended by section 362(c)(4) of this Act,
is amended—
(A) by redesignating subsections (i) and (j)
as subsections (j) and (k), respectively; and
(B) by inserting after subsection (h) the
following new subsection:
‘‘(i) CERTIFICATION DATE.—It is not necessary that
the date of a certification of the authenticity or complete-
ness of a copy of a court order for child support received
by the Secretary concerned for the purposes of this section
be recent in relation to the date of receipt by the Sec-
retary.’’.
(2) PAYMENTS
CONSISTENT
WITH
ASSIGN-
MENTS OF RIGHTS TO STATES.—Section 1408(d)(1)
of such title is amended by inserting after the 1st
sentence the following new sentence: ‘‘In the case of
a spouse or former spouse who, pursuant to section
408(a)(4) of the Social Security Act, assigns to a
State the rights of the spouse or former spouse to
receive support, the Secretary concerned may make
the child support payments referred to in the preced-
356
ing sentence to that State in amounts consistent
with that assignment of rights.’’.
(3) ARREARAGES OWED BY MEMBERS OF THE
UNIFORMED
SERVICES.—Section 1408(d) of such
title is amended by adding at the end the following
new paragraph:
‘‘(6) In the case of a court order for which effective
service is made on the Secretary concerned on or after
the date of the enactment of this paragraph and which
provides for payments from the disposable retired pay of
a member to satisfy the amount of child support set forth
in the order, the authority provided in paragraph (1) to
make payments from the disposable retired pay of a mem-
ber to satisfy the amount of child support set forth in a
court order shall apply to payment of any amount of child
support arrearages set forth in that order as well as to
amounts of child support that currently become due.’’.
(4) PAYROLL DEDUCTIONS.—The Secretary of
Defense shall begin payroll deductions within 30
days after receiving notice of withholding, or for the
1st pay period that begins after such 30-day period.
SEC. 364. VOIDING OF FRAUDULENT TRANSFERS.
Section 466 (42 U.S.C. 666), as amended by section
321 of this Act, is amended by adding at the end the fol-
lowing new subsection:
357
‘‘(g) LAWS VOIDING FRAUDULENT TRANSFERS.—In
order to satisfy section 454(20)(A), each State must have
in effect—
‘‘(1)(A) the Uniform Fraudulent Conveyance
Act of 1981;
‘‘(B) the Uniform Fraudulent Transfer Act
of 1984; or
‘‘(C) another law, specifying indicia of
fraud which create a prima facie case that a
debtor transferred income or property to avoid
payment to a child support creditor, which the
Secretary finds affords comparable rights to
child support creditors; and
‘‘(2) procedures under which, in any case in
which the State knows of a transfer by a child sup-
port debtor with respect to which such a prima facie
case is established, the State must—
‘‘(A) seek to void such transfer; or
‘‘(B) obtain a settlement in the best inter-
ests of the child support creditor.’’.
SEC. 365. WORK 
REQUIREMENT 
FOR 
PERSONS 
OWING
PAST-DUE CHILD SUPPORT.
(a) IN GENERAL.—Section 466(a) of the Social Secu-
rity Act (42 U.S.C. 666(a)), as amended by sections 315,
358
317(a), and 323 of this Act, is amended by adding at the
end the following new paragraph:
‘‘(15) PROCEDURES TO ENSURE THAT PERSONS
OWING PAST-DUE SUPPORT WORK OR HAVE A PLAN
FOR PAYMENT OF SUCH SUPPORT.—
‘‘(A) IN
GENERAL.—Procedures under
which the State has the authority, in any case
in which an individual owes past-due support
with respect to a child receiving assistance
under a State program funded under part A, to
seek a court order that requires the individual
to—
‘‘(i) pay such support in accordance
with a plan approved by the court, or, at
the option of the State, a plan approved by
the State agency administering the State
program under this part; or
‘‘(ii) if the individual is subject to
such a plan and is not incapacitated, par-
ticipate in such work activities (as defined
in section 407(d)) as the court, or, at the
option of the State, the State agency ad-
ministering the State program under this
part, deems appropriate.
359
‘‘(B) PAST-DUE SUPPORT DEFINED.—For
purposes of subparagraph (A), the term ‘past-
due support’ means the amount of a delin-
quency, determined under a court order, or an
order of an administrative process established
under State law, for support and maintenance
of a child, or of a child and the parent with
whom the child is living.’’.
(b) CONFORMING AMENDMENT.—The flush para-
graph at the end of section 466(a) (42 U.S.C.666(a)) is
amended by striking ‘‘and (7)’’ and inserting ‘‘(7), and
(15)’’.
SEC. 366. DEFINITION OF SUPPORT ORDER.
Section 453 (42 U.S.C. 653) as amended by sections
316 and 345(b) of this Act, is amended by adding at the
end the following new subsection:
‘‘(p) SUPPORT ORDER DEFINED.—As used in this
part, the term ‘support order’ means a judgment, decree,
or order, whether temporary, final, or subject to modifica-
tion, issued by a court or an administrative agency of com-
petent jurisdiction, for the support and maintenance of a
child, including a child who has attained the age of major-
ity under the law of the issuing State, or a child and the
parent with whom the child is living, which provides for
monetary support, health care, arrearages, or reimburse-
360
ment, and which may include related costs and fees, inter-
est and penalties, income withholding, attorneys’ fees, and
other relief.’’.
SEC. 367. REPORTING ARREARAGES TO CREDIT BUREAUS.
Section 466(a)(7) (42 U.S.C. 666(a)(7)) is amended
to read as follows:
‘‘(7) REPORTING ARREARAGES TO CREDIT BU-
REAUS.—
‘‘(A) IN GENERAL.—Procedures (subject to
safeguards pursuant to subparagraph (B)) re-
quiring the State to report periodically to
consumer reporting agencies (as defined in sec-
tion 603(f) of the Fair Credit Reporting Act
(15 U.S.C. 1681a(f)) the name of any non-
custodial parent who is delinquent in the pay-
ment of support, and the amount of overdue
support owed by such parent.
‘‘(B) SAFEGUARDS.—Procedures ensuring
that, in carrying out subparagraph (A), infor-
mation with respect to a noncustodial parent is
reported—
‘‘(i) only after such parent has been
afforded all due process required under
State law, including notice and a reason-
361
able opportunity to contest the accuracy of
such information; and
‘‘(ii) only to an entity that has fur-
nished evidence satisfactory to the State
that the entity is a consumer reporting
agency (as so defined).’’.
SEC. 368. LIENS.
Section 466(a)(4) (42 U.S.C. 666(a)(4)) is amended
to read as follows:
‘‘(4) LIENS.—Procedures under which—
‘‘(A) liens arise by operation of law against
real and personal property for amounts of over-
due support owed by a noncustodial parent who
resides or owns property in the State; and
‘‘(B) the State accords full faith and credit
to liens described in subparagraph (A) arising
in another State, without registration of the un-
derlying order.’’.
SEC. 369. STATE LAW AUTHORIZING SUSPENSION OF LI-
CENSES.
Section 466(a) (42 U.S.C. 666(a)), as amended by
sections 315, 317(a), 323, and 365 of this Act, is amended
by adding at the end the following:
‘‘(16) AUTHORITY TO WITHHOLD OR SUSPEND
LICENSES.—Procedures under which the State has
362
(and uses in appropriate cases) authority to withhold
or suspend, or to restrict the use of driver’s licenses,
professional and occupational licenses, and rec-
reational licenses of individuals owing overdue sup-
port or failing, after receiving appropriate notice, to
comply with subpoenas or warrants relating to pa-
ternity or child support proceedings.’’.
SEC. 370. DENIAL OF PASSPORTS FOR NONPAYMENT OF
CHILD SUPPORT.
(a) HHS CERTIFICATION PROCEDURE.—
(1) SECRETARIAL
RESPONSIBILITY.—Section
452 (42 U.S.C. 652), as amended by section 345 of
this Act, is amended by adding at the end the fol-
lowing new subsection:
‘‘(k)(1) If the Secretary receives a certification by a
State agency in accordance with the requirements of sec-
tion 454(31) that an individual owes arrearages of child
support in an amount exceeding $5,000, the Secretary
shall transmit such certification to the Secretary of State
for action (with respect to denial, revocation, or limitation
of passports) pursuant to section 370(b) of the Bipartisan
Welfare Reform Act of 1996.
‘‘(2) The Secretary shall not be liable to an individual
for any action with respect to a certification by a State
agency under this section.’’.
363
(2) STATE
CASE
AGENCY
RESPONSIBILITY.—
Section 454 (42 U.S.C. 654), as amended by sec-
tions 301(b), 303(a), 312(b), 313(a), 333, and
343(b) of this Act, is amended—
(A) by striking ‘‘and’’ at the end of para-
graph (29);
(B) by striking the period at the end of
paragraph (30) and inserting ‘‘; and’’; and
(C) by adding after paragraph (30) the fol-
lowing new paragraph:
‘‘(31) provide that the State agency will have in
effect a procedure for certifying to the Secretary, for
purposes of the procedure under section 452(k), de-
terminations that individuals owe arrearages of child
support in an amount exceeding $5,000, under
which procedure—
‘‘(A) each individual concerned is afforded
notice of such determination and the con-
sequences thereof, and an opportunity to con-
test the determination; and
‘‘(B) the certification by the State agency
is furnished to the Secretary in such format,
and accompanied by such supporting docu-
mentation, as the Secretary may require.’’.
364
(b) STATE DEPARTMENT PROCEDURE FOR DENIAL
OF PASSPORTS.—
(1) IN GENERAL.—The Secretary of State shall,
upon certification by the Secretary of Health and
Human Services transmitted under section 452(k) of
the Social Security Act, refuse to issue a passport to
such individual, and may revoke, restrict, or limit a
passport issued previously to such individual.
(2) LIMIT
ON
LIABILITY.—The Secretary of
State shall not be liable to an individual for any ac-
tion with respect to a certification by a State agency
under this section.
(c) EFFECTIVE DATE.—This section and the amend-
ments made by this section shall become effective October
1, 1996.
SEC. 371. INTERNATIONAL CHILD SUPPORT ENFORCE-
MENT.
(a) 
AUTHORITY
FOR
INTERNATIONAL
AGREE-
MENTS.—Part D of title IV, as amended by section 362(a)
of this Act, is amended by adding after section 459 the
following new section:
‘‘SEC. 459A. INTERNATIONAL CHILD SUPPORT ENFORCE-
MENT.
‘‘(a) AUTHORITY FOR DECLARATIONS.—
365
‘‘(1) DECLARATION.—The Secretary of State,
with the concurrence of the Secretary of Health and
Human Services, is authorized to declare any foreign
country (or a political subdivision thereof) to be a
foreign reciprocating country if the foreign country
has established, or undertakes to establish, proce-
dures for the establishment and enforcement of du-
ties of support owed to obligees who are residents of
the United States, and such procedures are substan-
tially in conformity with the standards prescribed
under subsection (b).
‘‘(2) REVOCATION.—A declaration with respect
to a foreign country made pursuant to paragraph
(1) may be revoked if the Secretaries of State and
Health and Human Services determine that—
‘‘(A) the procedures established by the for-
eign nation regarding the establishment and en-
forcement of duties of support have been so
changed, or the foreign nation’s implementation
of such procedures is so unsatisfactory, that
such procedures do not meet the criteria for
such a declaration; or
‘‘(B) continued operation of the declaration
is not consistent with the purposes of this part.
366
‘‘(3) FORM
OF
DECLARATION.—A declaration
under paragraph (1) may be made in the form of an
international agreement, in connection with an inter-
national agreement or corresponding foreign declara-
tion, or on a unilateral basis.
‘‘(b) STANDARDS FOR FOREIGN SUPPORT ENFORCE-
MENT PROCEDURES.—
‘‘(1) MANDATORY
ELEMENTS.—Child support
enforcement procedures of a foreign country which
may be the subject of a declaration pursuant to sub-
section (a)(1) shall include the following elements:
‘‘(A) The foreign country (or political sub-
division thereof) has in effect procedures, avail-
able to residents of the United States—
‘‘(i) for establishment of paternity,
and for establishment of orders of support
for children and custodial parents; and
‘‘(ii) for enforcement of orders to pro-
vide support to children and custodial par-
ents, including procedures for collection
and appropriate distribution of support
payments under such orders.
‘‘(B) The procedures described in subpara-
graph (A), including legal and administrative
367
assistance, are provided to residents of the
United States at no cost.
‘‘(C) An agency of the foreign country is
designated as a Central Authority responsible
for—
‘‘(i) facilitating child support enforce-
ment in cases involving residents of the
foreign nation and residents of the United
States; and
‘‘(ii) ensuring compliance with the
standards established pursuant to this sub-
section.
‘‘(2) ADDITIONAL ELEMENTS.—The Secretary
of Health and Human Services and the Secretary of
State, in consultation with the States, may establish
such additional standards as may be considered nec-
essary to further the purposes of this section.
‘‘(c) DESIGNATION OF UNITED STATES CENTRAL
AUTHORITY.—It shall be the responsibility of the Sec-
retary of Health and Human Services to facilitate child
support enforcement in cases involving residents of the
United States and residents of foreign nations that are
the subject of a declaration under this section, by activities
including—
368
‘‘(1) development of uniform forms and proce-
dures for use in such cases;
‘‘(2) notification of foreign reciprocating coun-
tries of the State of residence of individuals sought
for support enforcement purposes, on the basis of in-
formation provided by the Federal Parent Locator
Service; and
‘‘(3) such other oversight, assistance, and co-
ordination activities as the Secretary may find nec-
essary and appropriate.
‘‘(d) EFFECT ON OTHER LAWS.—States may enter
into reciprocal arrangements for the establishment and en-
forcement of child support obligations with foreign coun-
tries that are not the subject of a declaration pursuant
to subsection (a), to the extent consistent with Federal
law.’’.
(b) STATE PLAN REQUIREMENT.—Section 454 (42
U.S.C. 654), as amended by sections 301(b), 303(a),
312(b), 313(a), 333, 343(b), and 370(a)(2) of this Act,
is amended—
(1) by striking ‘‘and’’ at the end of paragraph
(30);
(2) by striking the period at the end of para-
graph (31) and inserting ‘‘; and’’; and
369
(3) by adding after paragraph (31) the follow-
ing new paragraph:
‘‘(32)(A) provide that any request for services
under this part by a foreign reciprocating country or
a foreign country with which the State has an ar-
rangement described in section 459A(d)(2) shall be
treated as a request by a State;
‘‘(B) provide, at State option, notwithstanding
paragraph (4) or any other provision of this part,
for services under the plan for enforcement of a
spousal support order not described in paragraph
(4)(B) entered by such a country (or subdivision);
and
‘‘(C) provide that no applications will be re-
quired from, and no costs will be assessed for such
services against, the foreign reciprocating country or
foreign obligee (but costs may at State option be as-
sessed against the obligor).’’.
SEC. 372. FINANCIAL INSTITUTION DATA MATCHES.
Section 466(a) (42 U.S.C. 666(a)), as amended by
sections 315, 317(a), 323, 365, and 369 of this Act, is
amended by adding at the end the following new para-
graph:
‘‘(17) 
FINANCIAL
INSTITUTION
DATA
MATCHES.—
370
‘‘(A) IN
GENERAL.—Procedures under
which the State agency shall enter into agree-
ments with financial institutions doing business
in the State—
‘‘(i) to develop and operate, in coordi-
nation with such financial institutions, a
data match system, using automated data
exchanges to the maximum extent feasible,
in which each such financial institution is
required to provide for each calendar quar-
ter the name, record address, social secu-
rity number or other taxpayer identifica-
tion number, and other identifying infor-
mation for each noncustodial parent who
maintains an account at such institution
and who owes past-due support, as identi-
fied by the State by name and social secu-
rity number or other taxpayer identifica-
tion number; and
‘‘(ii) in response to a notice of lien or
levy, encumber or surrender, as the case
may be, assets held by such institution on
behalf of any noncustodial parent who is
subject to a child support lien pursuant to
paragraph (4).
371
‘‘(B) 
REASONABLE
FEES.—The 
State
agency may pay a reasonable fee to a financial
institution for conducting the data match pro-
vided for in subparagraph (A)(i), not to exceed
the actual costs incurred by such financial insti-
tution.
‘‘(C) LIABILITY.—A financial institution
shall not be liable under any Federal or State
law to any person—
‘‘(i) for any disclosure of information
to the State agency under subparagraph
(A)(i);
‘‘(ii) for encumbering or surrendering
any assets held by such financial institu-
tion in response to a notice of lien or levy
issued by the State agency as provided for
in subparagraph (A)(ii); or
‘‘(iii) for any other action taken in
good faith to comply with the requirements
of subparagraph (A).
‘‘(D) DEFINITIONS.—For purposes of this
paragraph—
‘‘(i) FINANCIAL
INSTITUTION.—The
term ‘financial institution’ means any Fed-
eral or State commercial savings bank, in-
372
cluding savings association or cooperative
bank, Federal- or State-chartered credit
union, benefit association, insurance com-
pany, safe deposit company, money-market
mutual fund, or any similar entity author-
ized to do business in the State; and
‘‘(ii) ACCOUNT.—The term ‘account’
means a demand deposit account, checking
or negotiable withdrawal order account,
savings account, time deposit account, or
money-market mutual fund account.’’.
SEC. 373. ENFORCEMENT OF ORDERS AGAINST PATERNAL
OR MATERNAL GRANDPARENTS IN CASES OF
MINOR PARENTS.
Section 466(a) (42 U.S.C. 666(a)), as amended by
sections 315, 317(a), 323, 365, 369, and 372 of this Act,
is amended by adding at the end the following new para-
graph:
‘‘(18) ENFORCEMENT OF ORDERS AGAINST PA-
TERNAL
OR
MATERNAL
GRANDPARENTS.—Proce-
dures under which, at the State’s option, any child
support order enforced under this part with respect
to a child of minor parents, if the custodial parents
of such child is receiving assistance under the State
program under part A, shall be enforceable, jointly
373
and severally, against the parents of the noncusto-
dial parents of such child.’’.
SEC. 374. NONDISCHARGEABILITY 
IN 
BANKRUPTCY 
OF
CERTAIN DEBTS FOR THE SUPPORT OF A
CHILD.
(a) AMENDMENT
TO TITLE 11 OF
THE UNITED
STATES CODE.—Section 523(a) of title 11, United States
Code, is amended—
(1) in paragraph (16) by striking the period at
the end and inserting ‘‘; or’’,
(2) by adding at the end the following:
‘‘(17) to a State or municipality for assistance
provided by such State or municipality under a
State program funded under section 403 of the So-
cial Security Act to the extent that such assistance
is provided for the support of a child of the debtor.’’,
and
(3) in paragraph (5), by inserting ‘‘ or section
408’’ after ‘‘section 402(a)(26).
(b) AMENDMENT TO THE SOCIAL SECURITY ACT.—
Section 456(b) of the Social Security Act (42 U.S.C.
656(b)) is amended to read as follows:
‘‘(b) NONDISCHARGEABILITY.—A debt (as defined in
section 101 of title 11 of the United States Code) to a
State (as defined in such section) or municipality (as de-
374
fined in such section) for assistance provided by such
State or municipality under a State program funded under
section 403 is not dischargeable under section 727, 1141,
1228(a), 1228(b), or 1328(b) of title 11 of the United
States Code to the extent that such assistance is provided
for the support of a child of the debtor (as defined in such
section).’’.
(c) APPLICATION OF AMENDMENTS.—The amend-
ments made by this section shall apply only with respect
to cases commenced under title 11 of the United States
Code after the effective date of this section.
Subtitle H—Medical Support
SEC. 376. CORRECTION TO ERISA DEFINITION OF MEDICAL
CHILD SUPPORT ORDER.
(a) IN GENERAL.—Section 609(a)(2)(B) of the Em-
ployee Retirement Income Security Act of 1974 (29
U.S.C. 1169(a)(2)(B)) is amended—
(1) by striking ‘‘issued by a court of competent
jurisdiction’’;
(2) by striking the period at the end of clause
(ii) and inserting a comma; and
(3) by adding, after and below clause (ii), the
following:
‘‘if such judgment, decree, or order (I) is issued
by a court of competent jurisdiction or (II) is
375
issued through an administrative process estab-
lished under State law and has the force and ef-
fect of law under applicable State law.’’.
(b) EFFECTIVE DATE.—
(1) IN GENERAL.—The amendments made by
this section shall take effect on the date of the en-
actment of this Act.
(2) PLAN AMENDMENTS NOT REQUIRED UNTIL
JANUARY 1, 1997.—Any amendment to a plan re-
quired to be made by an amendment made by this
section shall not be required to be made before the
1st plan year beginning on or after January 1,
1997, if—
(A) during the period after the date before
the date of the enactment of this Act and be-
fore such 1st plan year, the plan is operated in
accordance with the requirements of the amend-
ments made by this section; and
(B) such plan amendment applies retro-
actively to the period after the date before the
date of the enactment of this Act and before
such 1st plan year.
A plan shall not be treated as failing to be operated
in accordance with the provisions of the plan merely
376
because it operates in accordance with this para-
graph.
SEC. 377. ENFORCEMENT OF ORDERS FOR HEALTH CARE
COVERAGE.
Section 466(a) (42 U.S.C. 666(a)), as amended by
sections 315, 317(a), 323, 365, 369, 372, and 373 of this
Act, is amended by adding at the end the following new
paragraph:
‘‘(19) HEALTH
CARE
COVERAGE.—Procedures
under which all child support orders enforced pursu-
ant to this part shall include a provision for the
health care coverage of the child, and in the case in
which a noncustodial parent provides such coverage
and changes employment, and the new employer pro-
vides health care coverage, the State agency shall
transfer notice of the provision to the employer,
which notice shall operate to enroll the child in the
noncustodial parent’s health plan, unless the non-
custodial parent contests the notice.’’.
377
Subtitle I—Enhancing Responsibil-
ity and Opportunity for Non-
Residential Parents
SEC. 381. GRANTS TO STATES FOR ACCESS AND VISITA-
TION PROGRAMS.
Part D of title IV (42 U.S.C. 651–669) is amended
by adding at the end the following:
‘‘SEC. 469A. GRANTS TO STATES FOR ACCESS AND VISITA-
TION PROGRAMS.
‘‘(a) IN GENERAL.—The Administration for Children
and Families shall make grants under this section to en-
able States to establish and administer programs to sup-
port and facilitate noncustodial parents’ access to and visi-
tation of their children, by means of activities including
mediation (both voluntary and mandatory), counseling,
education, development of parenting plans, visitation en-
forcement (including monitoring, supervision and neutral
drop-off and pickup), and development of guidelines for
visitation and alternative custody arrangements.
‘‘(b) AMOUNT OF GRANT.—The amount of the grant
to be made to a State under this section for a fiscal year
shall be an amount equal to the lesser of—
‘‘(1) 90 percent of State expenditures during
the fiscal year for activities described in subsection
(a); or
378
‘‘(2) the allotment of the State under sub-
section (c) for the fiscal year.
‘‘(c) ALLOTMENTS TO STATES.—
‘‘(1) IN GENERAL.—The allotment of a State
for a fiscal year is the amount that bears the same
ratio to the amount appropriated for grants under
this section for the fiscal year as the number of chil-
dren in the State living with only 1 biological parent
bears to the total number of such children in all
States.
‘‘(2) MINIMUM ALLOTMENT.—The Administra-
tion for Children and Families shall adjust allot-
ments to States under paragraph (1) as necessary to
ensure that no State is allotted less than—
‘‘(A) $50,000 for fiscal year 1996 or 1997;
or
‘‘(B) $100,000 for any succeeding fiscal
year.
‘‘(d) NO SUPPLANTATION OF STATE EXPENDITURES
FOR SIMILAR ACTIVITIES.—A State to which a grant is
made under this section may not use the grant to supplant
expenditures by the State for activities specified in sub-
section (a), but shall use the grant to supplement such
expenditures at a level at least equal to the level of such
expenditures for fiscal year 1995.
379
‘‘(e) STATE ADMINISTRATION.—Each State to which
a grant is made under this section—
‘‘(1) may administer State programs funded
with the grant, directly or through grants to or con-
tracts with courts, local public agencies, or non-prof-
it private entities;
‘‘(2) shall not be required to operate such pro-
grams on a statewide basis; and
‘‘(3) shall monitor, evaluate, and report on such
programs in accordance with regulations prescribed
by the Secretary.’’.
Subtitle J—Effect of Enactment
SEC. 391. EFFECTIVE DATES.
(a) IN GENERAL.—Except as otherwise specifically
provided (but subject to subsections (b) and (c))—
(1) the provisions of this title requiring the en-
actment or amendment of State laws under section
466 of the Social Security Act, or revision of State
plans under section 454 of such Act, shall be effec-
tive with respect to periods beginning on and after
October 1, 1996; and
(2) all other provisions of this title shall become
effective upon the date of the enactment of this Act.
380
(b) GRACE PERIOD FOR STATE LAW CHANGES.—The
provisions of this title shall become effective with respect
to a State on the later of—
(1) the date specified in this title, or
(2) the effective date of laws enacted by the leg-
islature of such State implementing such provisions,
but in no event later than the 1st day of the 1st calendar
quarter beginning after the close of the 1st regular session
of the State legislature that begins after the date of the
enactment of this Act. For purposes of the previous sen-
tence, in the case of a State that has a 2-year legislative
session, each year of such session shall be deemed to be
a separate regular session of the State legislature.
(c) GRACE PERIOD
FOR STATE CONSTITUTIONAL
AMENDMENT.—A State shall not be found out of compli-
ance with any requirement enacted by this title if the State
is unable to so comply without amending the State con-
stitution until the earlier of—
(1) 1 year after the effective date of the nec-
essary State constitutional amendment; or
(2) 5 years after the date of the enactment of
this Act.
381
TITLE 
IV—RESTRICTING 
WEL-
FARE AND PUBLIC BENEFITS
FOR ALIENS
SEC. 400. STATEMENTS OF NATIONAL POLICY CONCERN-
ING WELFARE AND IMMIGRATION.
The Congress makes the following statements con-
cerning national policy with respect to welfare and immi-
gration:
(1) Self-sufficiency has been a basic principle of
United States immigration law since this country’s
earliest immigration statutes.
(2) It continues to be the immigration policy of
the United States that—
(A) aliens within the nation’s borders not
depend on public resources to meet their needs,
but rather rely on their own capabilities and the
resources of their families, their sponsors, and
private organizations, and
(B) the availability of public benefits not
constitute an incentive for immigration to the
United States.
(3) Despite the principle of self-sufficiency,
aliens have been applying for and receiving public
benefits from Federal, State, and local governments
at increasing rates.
382
(4) Current eligibility rules for public assistance
and unenforceable financial support agreements have
proved wholly incapable of assuring that individual
aliens not burden the public benefits system.
(5) It is a compelling government interest to
enact new rules for eligibility and sponsorship agree-
ments in order to assure that aliens be self-reliant
in accordance with national immigration policy.
(6) It is a compelling government interest to re-
move the incentive for illegal immigration provided
by the availability of public benefits.
(7) With respect to the State authority to make
determinations concerning the eligibility of qualified
aliens for public benefits in this title, a State that
chooses to follow the Federal classification in deter-
mining the eligibility of such aliens for public assist-
ance shall be considered to have chosen the least re-
strictive means available for achieving the compelling
governmental interest of assuring that aliens be self-
reliant in accordance with national immigration pol-
icy.
383
Subtitle A—Eligibility for Federal
Benefits
SEC. 401. ALIENS WHO ARE NOT QUALIFIED ALIENS INELI-
GIBLE FOR FEDERAL PUBLIC BENEFITS.
(a) IN GENERAL.—Notwithstanding any other provi-
sion of law and except as provided in subsection (b), an
alien who is not a qualified alien (as defined in section
431) is not eligible for any Federal public benefit (as de-
fined in subsection (c)).
(b) EXCEPTIONS.—
(1) Subsection (a) shall not apply with respect
to the following Federal public benefits:
(A) Emergency medical services under title
XIX or XXI of the Social Security Act.
(B) Short-term, non-cash, in-kind emer-
gency disaster relief.
(C)(i) Public health assistance for immuni-
zations.
(ii) Public health assistance for testing and
treatment of a serious communicable disease if
the Secretary of Health and Human Services
determines that it is necessary to prevent the
spread of such disease.
(D) Programs, services, or assistance (such
as soup kitchens, crisis counseling and interven-
384
tion, and short-term shelter) specified by the
Attorney General, in the Attorney General’s
sole and unreviewable discretion after consulta-
tion with appropriate Federal agencies and de-
partments, which (i) deliver in-kind services at
the community level, including through public
or private nonprofit agencies; (ii) do not condi-
tion the provision of assistance, the amount of
assistance provided, or the cost of assistance
provided on the individual recipient’s income or
resources; and (iii) are necessary for the protec-
tion of life or safety.
(E) Programs for housing or community
development assistance or financial assistance
administered by the Secretary of Housing and
Urban Development, any program under title V
of the Housing Act of 1949, or any assistance
under section 306C of the Consolidated Farm
and Rural Development Act, to the extent that
the alien is receiving such a benefit on the date
of the enactment of this Act.
(F) The program of medical assistance
under title XIX and title XXI of the Social Se-
curity Act.
385
(G) Assistance or benefits under the Na-
tional School Lunch Act or the Child Nutrition
Act of 1966.
(2) Subsection (a) shall not apply to any benefit
payable under title II of the Social Security Act to
an alien who is lawfully present in the United States
as determined by the Attorney General, to any bene-
fit if nonpayment of such benefit would contravene
an international agreement described in section 233
of the Social Security Act, to any benefit if nonpay-
ment would be contrary to section 202(t) of the So-
cial Security Act, or to any benefit payable under
title II of the Social Security Act to which entitle-
ment is based on an application filed in or before the
month in which this Act becomes law.
(3) Subsection (a) shall not apply—
(A) for up to 48 months if the alien can
demonstrate that (i) the alien has been battered
or subject to extreme cruelty in the United
States by a spouse or parent, or by a member
of the spouse or parent’s family residing in the
same household as the alien and the spouse or
parent consented or acquiesced to such battery
or cruelty, or (ii) the alien’s child has been bat-
tered or subject to extreme cruelty in the Unit-
386
ed States by a spouse or parent of the alien
(without the active participation of the alien in
the battery or extreme cruelty), or by a member
of the spouse or parent’s family residing in the
same household as the alien when the spouse
or parent consented or acquiesced to and the
alien did not actively participate in such battery
or cruelty, and (iii) the need for the public ben-
efits applied for has a substantial connection to
the battery or cruelty described in subclause (I)
or (II); and
(B) for more than 48 months if the alien
can demonstrate that any battery or cruelty
under subparagraph (A) is ongoing, has led to
the issuance of an order of a judge or an ad-
ministrative law judge or a prior determination
of the Service, and that the need for such bene-
fits has a substantial connection to such battery
or cruelty.
(c) FEDERAL PUBLIC BENEFIT DEFINED.—
(1) Except as provided in paragraph (2), for
purposes of this title the term ‘‘Federal public bene-
fit’’ means—
(A) any grant, contract, loan, professional
license, or commercial license provided by an
387
agency of the United States or by appropriated
funds of the United States; and
(B) any retirement, welfare, health, dis-
ability, public or assisted housing, post-second-
ary education, food assistance, unemployment
benefit, or any other similar benefit for which
payments or assistance are provided to an indi-
vidual, household, or family eligibility unit by
an agency of the United States or by appro-
priated funds of the United States.
(2) Such term shall not apply—
(A) to any contract, professional license, or
commercial license for a nonimmigrant whose
visa for entry is related to such employment in
the United States; or
(B) with respect to benefits for an alien
who as a work authorized nonimmigrant or as
an alien lawfully admitted for permanent resi-
dence under the Immigration and Nationality
Act qualified for such benefits and for whom
the United States under reciprocal treaty agree-
ments is required to pay benefits, as determined
by the Attorney General, after consultation with
the Secretary of State.
388
SEC. 402. LIMITED ELIGIBILITY OF CERTAIN QUALIFIED
ALIENS FOR CERTAIN FEDERAL PROGRAMS.
(a) LIMITED ELIGIBILITY FOR SPECIFIED FEDERAL
PROGRAMS.—
(1) IN GENERAL.—Notwithstanding any other
provision of law and except as provided in paragraph
(2), an alien who is a qualified alien (as defined in
section 431) is not eligible for any specified Federal
program (as defined in paragraph (3)).
(2) EXCEPTIONS.—
(A) TIME-LIMITED EXCEPTION FOR REFU-
GEES AND ASYLEES.—Paragraph (1) shall not
apply to an alien until 5 years after the date—
(i) an alien is admitted to the United
States as a refugee under section 207 of
the Immigration and Nationality Act;
(ii) an alien is granted asylum under
section 208 of such Act; or
(iii) an alien’s deportation is withheld
under section 243(h) of such Act.
(B) 
CERTAIN
PERMANENT
RESIDENT
ALIENS.—Paragraph (1) shall not apply to an
alien who—
(i) is lawfully admitted to the United
States for permanent residence under the
Immigration and Nationality Act; and
389
(ii)(I) has worked 40 qualifying quar-
ters of coverage as defined under title II of
the Social Security Act or can be credited
with such qualifying quarters as provided
under section 436, and (II) did not receive
any Federal means-tested public benefit
(as defined in section 403(c)) during any
such quarter.
(C) VETERAN AND ACTIVE DUTY EXCEP-
TION.—Paragraph (1) shall not apply to an
alien who is lawfully residing in any State and
is—
(i) a veteran (as defined in section
101 of title 38, United States Code) with
a discharge characterized as an honorable
discharge and not on account of alienage,
(ii) on active duty (other than active
duty for training) in the Armed Forces of
the United States, or
(iii) the spouse or unmarried depend-
ent child of an individual described in
clause (i) or (ii).
(D) TRANSITION FOR ALIENS CURRENTLY
RECEIVING
BENEFITS.—Paragraph (1) shall
apply to the eligibility of an alien for a program
390
for months beginning on or after January 1,
1997, if, on the date of the enactment of this
Act, the alien is lawfully residing in any State
and is receiving benefits under such program on
the date of the enactment of this Act.
(E) FICA 
EXCEPTION.—Paragraph (1)
shall not apply to an alien if there has been
paid with respect to the self-employment income
or employment of the alien, or of a parent or
spouse of the alien, taxes under chapter 2 or
chapter 21 of the Internal Revenue Code of
1986 in each of 20 different calendar quarters.
(F) EXCEPTION
FOR
BATTERED
WOMEN
AND
CHILDREN.—Paragraph (1) shall not
apply—
(i) for up to 48 months if the alien
can demonstrate that (I) the alien has
been battered or subject to extreme cruelty
in the United States by a spouse or parent,
or by a member of the spouse or parent’s
family residing in the same household as
the alien and the spouse or parent con-
sented or acquiesced to such battery or
cruelty, or (II) the alien’s child has been
battered or subject to extreme cruelty in
391
the United States by a spouse or parent of
the alien (without the active participation
of the alien in the battery or extreme cru-
elty), or by a member of the spouse or par-
ent’s family residing in the same household
as the alien when the spouse or parent
consented or acquiesced to and the alien
did not actively participate in such battery
or cruelty, and (III) the need for the public
benefits applied for has a substantial con-
nection to the battery or cruelty described
in this clause; and
(ii) for more than 48 months if the
alien can demonstrate that any battery or
cruelty under clause (i) is ongoing, has led
to the issuance of an order of a judge or
an administrative law judge or a prior de-
termination of the Service, and that need
for such benefits has a substantial connec-
tion to such battery or cruelty.
(G) SSI DISABILITY
EXCEPTION.—Para-
graph (1) shall not apply to an alien who has
not attained 18 years of age and is eligible by
reason of disability for supplemental security
392
income benefits under title XVI of the Social
Security Act.
(H) FOOD STAMP EXCEPTION FOR CHIL-
DREN.—Paragraph (1) shall not apply to the
eligibility of an alien who has not attained 18
years of age for the food stamp program under
paragraph (3)(B).
(3) SPECIFIED FEDERAL PROGRAM DEFINED.—
For purposes of this title, the term ‘‘specified Fed-
eral program’’ means any of the following:
(A) SSI.—The supplemental security in-
come program under title XVI of the Social Se-
curity Act.
(B) FOOD STAMPS.—The food stamp pro-
gram as defined in section 3(h) of the Food
Stamp Act of 1977.
(b) LIMITED ELIGIBILITY FOR DESIGNATED FED-
ERAL PROGRAMS.—
(1) IN GENERAL.—Notwithstanding any other
provision of law and except as provided in section
403 and paragraph (2), a State is authorized to de-
termine the eligibility of an alien who is a qualified
alien (as defined in section 431) for any designated
Federal program (as defined in paragraph (3)).
393
(2) EXCEPTIONS.—Qualified aliens under this
paragraph shall be eligible for any designated Fed-
eral program.
(A) TIME-LIMITED EXCEPTION FOR REFU-
GEES AND ASYLEES.—
(i) An alien who is admitted to the
United States as a refugee under section
207 of the Immigration and Nationality
Act until 5 years after the date of an
alien’s entry into the United States.
(ii) An alien who is granted asylum
under section 208 of such Act until 5 years
after the date of such grant of asylum.
(iii) An alien whose deportation is
being withheld under section 243(h) of
such Act until 5 years after such withhold-
ing.
(B) 
CERTAIN
PERMANENT
RESIDENT
ALIENS.—An alien who—
(i) is lawfully admitted to the United
States for permanent residence under the
Immigration and Nationality Act; and
(ii)(I) has worked 40 qualifying quar-
ters of coverage as defined under title II of
the Social Security Act or can be credited
394
with such qualifying quarters as provided
under section 436, and (II) did not receive
any Federal means-tested public benefit
(as defined in section 403(c)) during any
such quarter.
(C) VETERAN AND ACTIVE DUTY EXCEP-
TION.—An alien who is lawfully residing in any
State and is—
(i) a veteran (as defined in section
101 of title 38, United States Code) with
a discharge characterized as an honorable
discharge and not on account of alienage,
(ii) on active duty (other than active
duty for training) in the Armed Forces of
the United States, or
(iii) the spouse or unmarried depend-
ent child of an individual described in
clause (i) or (ii).
(D) TRANSITION FOR THOSE CURRENTLY
RECEIVING
BENEFITS.—An alien who on the
date of the enactment of this Act is lawfully re-
siding in any State and is receiving benefits
under such program on the date of the enact-
ment of this Act shall continue to be eligible to
receive such benefits until January 1, 1997.
395
(E) FICA 
EXCEPTION.—Paragraph (1)
shall not apply to an alien if there has been
paid with respect to the self-employment income
or employment of the alien, or of a parent or
spouse of the alien, taxes under chapter 2 or
chapter 21 of the Internal Revenue Code of
1986 in each of 20 different calendar quarters.
(F) TIME-LIMITED EXCEPTION FOR BAT-
TERED
WOMEN
AND
CHILDREN.—Paragraph
(1) shall not apply—
(i) for up to 48 months if the alien
can demonstrate that (I) the alien has
been battered or subject to extreme cruelty
in the United States by a spouse or parent,
or by a member of the spouse or parent’s
family residing in the same household as
the alien and the spouse or parent con-
sented or acquiesced to such battery or
cruelty, or (II) the alien’s child has been
battered or subject to extreme cruelty in
the United States by a spouse or parent of
the alien (without the active participation
of the alien in the battery or extreme cru-
elty), or by a member of the spouse or par-
ent’s family residing in the same household
396
as the alien when the spouse or parent
consented or acquiesced to and the alien
did not actively participate in such battery
or cruelty, and (III) the need for the public
benefits applied for has a substantial con-
nection to the battery or cruelty described
in subclause (I) or (II); and
(ii) for more than 48 months if the
alien can demonstrate that any battery or
cruelty under clause (i) is ongoing, has led
to the issuance of an order of a judge or
an administrative law judge or a prior de-
termination of the Service, and that the
need for such benefits has a substantial
connection to such battery or cruelty.
(G) SSI DISABILITY
EXCEPTION.—Para-
graph (1) shall not apply to an alien who has
not attained 18 years of age and is eligible by
reason of disability for supplemental security
income benefits under title XVI of the Social
Security Act.
(3) DESIGNATED
FEDERAL
PROGRAM
DE-
FINED.—For purposes of this title, the term ‘‘des-
ignated Federal program’’ means any of the follow-
ing:
397
(A) TEMPORARY ASSISTANCE FOR NEEDY
FAMILIES.—The program of block grants to
States for temporary assistance for needy fami-
lies under part A of title IV of the Social Secu-
rity Act.
(B) SOCIAL
SERVICES
BLOCK
GRANT.—
The program of block grants to States for so-
cial services under title XX of the Social Secu-
rity Act.
SEC. 403. FIVE-YEAR LIMITED ELIGIBILITY OF QUALIFIED
ALIENS FOR FEDERAL MEANS-TESTED PUB-
LIC BENEFIT.
(a) IN GENERAL.—Notwithstanding any other provi-
sion of law and except as provided in subsection (b), an
alien who is a qualified alien (as defined in section 431)
and who enters the United States on or after the date
of the enactment of this Act is not eligible for any Federal
means-tested public benefit (as defined in subsection (c))
for a period of five years beginning on the date of the
alien’s entry into the United States with a status within
the meaning of the term ‘‘qualified alien’’.
(b) EXCEPTIONS.—The limitation under subsection
(a) shall not apply to the following aliens:
(1) 
EXCEPTION
FOR
REFUGEES
AND
ASYLEES.—
398
(A) An alien who is admitted to the United
States as a refugee under section 207 of the
Immigration and Nationality Act.
(B) An alien who is granted asylum under
section 208 of such Act.
(C) An alien whose deportation is being
withheld under section 243(h) of such Act.
(2) VETERAN AND ACTIVE DUTY EXCEPTION.—
An alien who is lawfully residing in any State and
is—
(A) a veteran (as defined in section 101 of
title 38, United States Code) with a discharge
characterized as an honorable discharge and not
on account of alienage,
(B) on active duty (other than active duty
for training) in the Armed Forces of the United
States, or
(C) the spouse or unmarried dependent
child of an individual described in subparagraph
(A) or (B).
(3) FICA EXCEPTION.—An alien if there has
been paid with respect to the self-employment in-
come or employment of the alien, or of a parent or
spouse of the alien, taxes under chapter 2 or chapter
399
21 of the Internal Revenue Code of 1986 in each of
20 different calendar quarters.
(4) EXCEPTION FOR BATTERED WOMEN AND
CHILDREN.—An alien—
(A) for up to 48 months if the alien can
demonstrate that (i) the alien has been battered
or subject to extreme cruelty in the United
States by a spouse or parent, or by a member
of the spouse or parent’s family residing in the
same household as the alien and the spouse or
parent consented or acquiesced to such battery
or cruelty, or (ii) the alien’s child has been bat-
tered or subject to extreme cruelty in the Unit-
ed States by a spouse or parent of the alien
(without the active participation of the alien in
the battery or extreme cruelty), or by a member
of the spouse or parent’s family residing in the
same household as the alien when the spouse or
parent consented or acquiesced to and the alien
did not actively participate in such battery or
cruelty, and (iii) the need for the public benefits
applied for has a substantial connection to the
battery or cruelty described in clause (i) or (ii);
and
400
(B) for more than 48 months if the alien
can demonstrate that any battery or cruelty
under subparagraph (A) is ongoing, has led to
the issuance of an order of a judge or an ad-
ministrative law judge or a prior determination
of the Service, and that need for such benefits
has a substantial connection to such battery or
cruelty.
(5) SSI DISABILITY EXCEPTION.—An alien who
has not attained 18 years of age and is eligible by
reason of disability for supplemental security income
benefits under title XVI of the Social Security Act.
(6) FOOD STAMP EXCEPTION FOR CHILDREN.—
An alien who has not attained 18 years of age only
for purposes of eligibility for the food stamp pro-
gram as defined in section 3(h) of the Food Stamp
Act of 1977.
(c) FEDERAL MEANS-TESTED PUBLIC BENEFIT DE-
FINED.—
(1) Except as provided in paragraph (2), for
purposes of this title, the term ‘‘Federal means-test-
ed public benefit’’ means a public benefit (including
cash, medical, housing, and food assistance and so-
cial services) of the Federal Government in which
the eligibility of an individual, household, or family
401
eligibility unit for benefits, or the amount of such
benefits, or both are determined on the basis of in-
come, resources, or financial need of the individual,
household, or unit.
(2) Such term does not include the following:
(A) Emergency medical services under title
XIX or XXI of the Social Security Act.
(B) Short-term, non-cash, in-kind emer-
gency disaster relief.
(C) Assistance or benefits under the Na-
tional School Lunch Act.
(D) Assistance or benefits under the Child
Nutrition Act of 1966.
(E)(i) Public health assistance for immuni-
zations.
(ii) Public health assistance for testing and
treatment of a serious communicable disease if
the Secretary of Health and Human Services
determines that it is necessary to prevent the
spread of such disease.
(F) Payments for foster care and adoption
assistance under part B of title IV of the Social
Security Act for a child who would, in the ab-
sence of subsection (a), be eligible to have such
payments made on the child’s behalf under such
402
part, but only if the foster or adoptive parent
or parents of such child are not described under
subsection (a).
(G) Programs, services, or assistance (such
as soup kitchens, crisis counseling and interven-
tion, and short-term shelter) specified by the
Attorney General, in the Attorney General’s
sole and unreviewable discretion after consulta-
tion with appropriate Federal agencies and de-
partments, which (i) deliver in-kind services at
the community level, including through public
or private nonprofit agencies; (ii) do not condi-
tion the provision of assistance, the amount of
assistance provided, or the cost of assistance
provided on the individual recipient’s income or
resources; and (iii) are necessary for the protec-
tion of life or safety.
(H) Programs of student assistance under
titles IV, V, IX, and X of the Higher Education
Act of 1965.
(I) Means-tested programs under the Ele-
mentary and Secondary Education Act of 1965.
(J) The program of medical assistance
under title XIX and title XXI of the Social Se-
curity Act.
403
SEC. 404. NOTIFICATION AND INFORMATION REPORTING.
(a) NOTIFICATION.—Each Federal agency that ad-
ministers a program to which section 401, 402, or 403
applies shall, directly or through the States, post informa-
tion and provide general notification to the public and to
program recipients of the changes regarding eligibility for
any such program pursuant to this title.
(b) INFORMATION REPORTING UNDER TITLE IV OF
THE SOCIAL SECURITY ACT.—Part A of title IV of the
Social Security Act is amended by inserting the following
new section after section 411:
‘‘SEC. 411A. STATE REQUIRED TO PROVIDE CERTAIN INFOR-
MATION.
‘‘Each State to which a grant is made under section
403 of the Social Security Act shall, at least 4 times annu-
ally and upon request of the Immigration and Naturaliza-
tion Service, furnish the Immigration and Naturalization
Service with the name and address of, and other identify-
ing information on, any individual who the State knows
is unlawfully in the United States.’’.
(c) SSI.—Section 1631(e) of such Act (42 U.S.C.
1383(e)) is amended—
(1) by redesignating paragraphs (6) and (7) in-
serted by sections 206(d)(2) and 206(f)(1) of the
Social Security Independence and Programs Im-
provement Act of 1994 (Public Law 103–296; 108
404
Stat. 1514, 1515) as paragraphs (7) and (8), re-
spectively; and
(2) by adding at the end the following new
paragraph:
‘‘(9) Notwithstanding any other provision of
law, the Commissioner shall, at least 4 times annu-
ally and upon request of the Immigration and Natu-
ralization Service (hereafter in this paragraph re-
ferred to as the ‘Service’), furnish the Service with
the name and address of, and other identifying in-
formation on, any individual who the Commissioner
knows is unlawfully in the United States, and shall
ensure that each agreement entered into under sec-
tion 1616(a) with a State provides that the State
shall furnish such information at such times with re-
spect to any individual who the State knows is un-
lawfully in the United States.’’.
(d) INFORMATION REPORTING FOR HOUSING PRO-
GRAMS.—Title I of the United States Housing Act of 1937
(42 U.S.C. 1437 et seq.), as amended by this Act, is fur-
ther amended by adding at the end the following new sec-
tion:
405
‘‘SEC. 28. PROVISION OF INFORMATION TO LAW ENFORCE-
MENT AND OTHER AGENCIES.
‘‘Notwithstanding any other provision of law, the Sec-
retary shall, at least 4 times annually and upon request
of the Immigration and Naturalization Service (hereafter
in this section referred to as the ‘Service’), furnish the
Service with the name and address of, and other identify-
ing information on, any individual who the Secretary
knows is unlawfully in the United States, and shall ensure
that each contract for assistance entered into under sec-
tion 6 or 8 of this Act with a public housing agency pro-
vides that the public housing agency shall furnish such
information at such times with respect to any individual
who the public housing agency knows is unlawfully in the
United States.’’.
Subtitle 
B—Eligibility 
for 
State
and Local Public Benefits Pro-
grams
SEC. 411. ALIENS WHO ARE NOT QUALIFIED ALIENS OR
NONIMMIGRANTS 
INELIGIBLE 
FOR 
STATE
AND LOCAL PUBLIC BENEFITS.
(a) IN GENERAL.—Notwithstanding any other provi-
sion of law and except as provided in subsections (b) and
(d), an alien who is not described under a paragraph of
this subsection is not eligible for any State or local public
benefit (as defined in subsection (c)):
406
(1) A qualified alien (as defined in section 431).
(2) A nonimmigrant under the Immigration and
Nationality Act.
(3) An alien who is paroled into the United
States under section 212(d)(5) of such Act for less
than one year.
(4) An alien—
(A) for up to 48 months if the alien can
demonstrate that (i) the alien has been battered
or subject to extreme cruelty in the United
States by a spouse or parent, or by a member
of the spouse or parent’s family residing in the
same household as the alien and the spouse or
parent consented or acquiesced to such battery
or cruelty, or (ii) the alien’s child has been bat-
tered or subject to extreme cruelty in the Unit-
ed States by a spouse or parent of the alien
(without the active participation of the alien in
the battery or extreme cruelty), or by a member
of the spouse or parent’s family residing in the
same household as the alien when the spouse or
parent consented or acquiesced to and the alien
did not actively participate in such battery or
cruelty, and (iii) the need for the public benefits
applied for has a substantial connection to the
407
battery or cruelty described in clause (i) or (ii),
and
(B) for more than 48 months if the alien
can demonstrate that any battery or cruelty
under subparagraph (A) is ongoing, has led to
the issuance of an order of a judge or an ad-
ministrative law judge or a prior determination
of the Service, and that the need for such bene-
fits has a substantial connection to such battery
or cruelty.
(b) EXCEPTIONS.—Subsection (a) shall not apply
with respect to the following State or local public benefits:
(1) Emergency medical services under title XIX
or XXI of the Social Security Act.
(2) Short-term, noncash, in-kind emergency dis-
aster relief.
(3)(A) Public health assistance for immuniza-
tions.
(B) Public health assistance for testing and
treatment of a serious communicable disease if the
Secretary of Health and Human Services determines
that it is necessary to prevent the spread of such
disease.
(4) Programs, services, or assistance (such as
soup kitchens, crisis counseling and intervention,
408
and short-term shelter) specified by the Attorney
General, in the Attorney General’s sole and
unreviewable discretion after consultation with ap-
propriate Federal agencies and departments, which
(A) deliver in-kind services at the community level,
including through public or private nonprofit agen-
cies; (B) do not condition the provision of assistance,
the amount of assistance provided, or the cost of as-
sistance provided on the individual recipient’s in-
come or resources; and (C) are necessary for the
protection of life or safety.
(c) STATE OR LOCAL PUBLIC BENEFIT DEFINED.—
(1) Except as provided in paragraph (2), for
purposes of this subtitle the term ‘‘State or local
public benefit’’ means—
(A) any grant, contract, loan, professional
license, or commercial license provided by an
agency of a State or local government or by ap-
propriated funds of a State or local govern-
ment; and
(B) any retirement, welfare, health, dis-
ability, public or assisted housing, post-second-
ary education, food assistance, unemployment
benefit, or any other similar benefit for which
payments or assistance are provided to an indi-
409
vidual, household, or family eligibility unit by
an agency of a State or local government or by
appropriated funds of a State or local govern-
ment.
(2) Such term shall not apply—
(A) to any contract, professional license, or
commercial license for a nonimmigrant whose
visa for entry is related to such employment in
the United States; or
(B) with respect to benefits for an alien
who as a work authorized nonimmigrant or as
an alien lawfully admitted for permanent resi-
dence under the Immigration and Nationality
Act qualified for such benefits and for whom
the United States under reciprocal treaty agree-
ments is required to pay benefits, as determined
by the Secretary of State, after consultation
with the Attorney General.
(d) STATE AUTHORITY TO PROVIDE FOR ELIGI-
BILITY OF ILLEGAL ALIENS FOR STATE AND LOCAL PUB-
LIC BENEFITS.—A State may provide that an alien who
is not lawfully present in the United States is eligible for
any State or local public benefit for which such alien would
otherwise be ineligible under subsection (a) only through
the enactment of a State law after the date of the enact-
410
ment of this Act which affirmatively provides for such eli-
gibility.
SEC. 412. STATE AUTHORITY TO LIMIT ELIGIBILITY OF
QUALIFIED ALIENS FOR STATE PUBLIC BENE-
FITS.
(a) IN GENERAL.—Notwithstanding any other provi-
sion of law and except as provided in subsection (b), a
State is authorized to determine the eligibility for any
State public benefits (as defined in subsection (c) of an
alien who is a qualified alien (as defined in section 431),
a nonimmigrant under the Immigration and Nationality
Act, or an alien who is paroled into the United States
under section 212(d)(5) of such Act for less than one year.
(b) EXCEPTIONS.—Qualified aliens under this sub-
section shall be eligible for any State public benefits.
(1) TIME-LIMITED EXCEPTION FOR REFUGEES
AND ASYLEES.—
(A) An alien who is admitted to the United
States as a refugee under section 207 of the
Immigration and Nationality Act until 5 years
after the date of an alien’s entry into the Unit-
ed States.
(B) An alien who is granted asylum under
section 208 of such Act until 5 years after the
date of such grant of asylum.
411
(C) An alien whose deportation is being
withheld under section 243(h) of such Act until
5 years after such withholding.
(2) CERTAIN PERMANENT RESIDENT ALIENS.—
An alien who—
(A) is lawfully admitted to the United
States for permanent residence under the Im-
migration and Nationality Act; and
(B)(i) has worked 40 qualifying quarters
of coverage as defined under title II of the So-
cial Security Act or can be credited with such
qualifying quarters as provided under section
436, and (ii) did not receive any Federal
means-tested public benefit (as defined in sec-
tion 403(c)) during any such quarter.
(3) VETERAN AND ACTIVE DUTY EXCEPTION.—
An alien who is lawfully residing in any State and
is—
(A) a veteran (as defined in section 101 of
title 38, United States Code) with a discharge
characterized as an honorable discharge and not
on account of alienage,
(B) on active duty (other than active duty
for training) in the Armed Forces of the United
States, or
412
(C) the spouse or unmarried dependent
child of an individual described in subparagraph
(A) or (B).
(4) TRANSITION FOR THOSE CURRENTLY RE-
CEIVING BENEFITS.—An alien who on the date of
the enactment of this Act is lawfully residing in any
State and is receiving benefits on the date of the en-
actment of this Act shall continue to be eligible to
receive such benefits until January 1, 1997.
(5) EXCEPTION FOR BATTERED WOMEN AND
CHILDREN.—An alien—
(A) for up to 48 months if the alien can
demonstrate that (i) the alien has been battered
or subject to extreme cruelty in the United
States by a spouse or parent, or by a member
of the spouse or parent’s family residing in the
same household as the alien and the spouse or
parent consented or acquiesced to such battery
or cruelty, or (ii) the alien’s child has been bat-
tered or subject to extreme cruelty in the Unit-
ed States by a spouse or parent of the alien
(without the active participation of the alien in
the battery or extreme cruelty), or by a member
of the spouse or parent’s family residing in the
same household as the alien when the spouse or
413
parent consented or acquiesced to and the alien
did not actively participate in such battery or
cruelty, and (iii) the need for the public benefits
applied for has a substantial connection to the
battery or cruelty described in clause (i) or (ii);
and
(B) for more than 48 months if the alien
can demonstrate that any battery or cruelty
under subparagraph (A) is ongoing, has led to
the issuance of an order of a judge or an ad-
ministrative law judge or a prior determination
of the Service, and that the need for such bene-
fits has a substantial connection to such battery
or cruelty.
(c) STATE PUBLIC BENEFITS DEFINED.—The term
‘‘State public benefits’’ means any means-tested public
benefit of a State or political subdivision of a State under
which the State or political subdivision specifies the stand-
ards for eligibility, and does not include any Federal public
benefit.
414
Subtitle C—Attribution of Income
and Affidavits of Support
SEC. 421. FEDERAL ATTRIBUTION OF SPONSOR’S INCOME
AND RESOURCES TO ALIEN FOR PURPOSES
OF MEDICAID ELIGIBILITY.
(a) IN GENERAL.—Notwithstanding any other provi-
sion of law, in determining the eligibility and the amount
of benefits of an alien (other than an alien who has not
attained 18 years of age or an alien who is pregnant) for
the program of medical assistance under title XIX and
title XXI of the Social Security Act, the income and re-
sources of the alien shall be deemed to include the follow-
ing:
(1) The income and resources of any person
who executed an affidavit of support pursuant to
section 213A of the Immigration and Nationality
Act (as added by section 423) on behalf of such
alien.
(2) The income and resources of the spouse (if
any) of the person.
(b) APPLICATION.—Subsection (a) shall apply with
respect to an alien (other than an alien who has not at-
tained 18 years of age or an alien who is pregnant) until
such time as the alien—
415
(1) achieves United States citizenship through
naturalization pursuant to chapter 2 of title III of
the Immigration and Nationality Act; or
(2)(A) has worked 40 qualifying quarters of
coverage as defined under title II of the Social Secu-
rity Act or can be credited with such qualifying
quarters as provided under section 436, and (B) did
not receive any Federal means-tested public benefit
(as defined in section 403(c)) during any such quar-
ter.
(c) REVIEW OF INCOME AND RESOURCES OF ALIEN
UPON REAPPLICATION.—Whenever an alien (other than
an alien who has not attained 18 years of age or an alien
who is pregnant) is required to reapply for benefits under
any Federal means-tested public benefits program, the ap-
plicable agency shall review the income and resources at-
tributed to the alien under subsection (a).
SEC. 422. AUTHORITY FOR STATES TO PROVIDE FOR AT-
TRIBUTION OF SPONSOR’S INCOME AND RE-
SOURCES TO THE ALIEN WITH RESPECT TO
STATE PROGRAMS.
(a) OPTIONAL APPLICATION TO STATE PROGRAMS.—
Except as provided in subsection (b), in determining the
eligibility and the amount of benefits of an alien for any
State public benefits (as defined in section 412(c)), the
416
State or political subdivision that offers the benefits is au-
thorized to provide that the income and resources of the
alien shall be deemed to include—
(1) the income and resources of any individual
who executed an affidavit of support pursuant to
section 213A of the Immigration and Nationality
Act (as added by section 423) on behalf of such
alien, and
(2) the income and resources of the spouse (if
any) of the individual.
(b) EXCEPTIONS.—Subsection (a) shall not apply
with respect to the following State public benefits:
(1) Emergency medical services.
(2) Short-term, noncash, in-kind emergency dis-
aster relief.
(3) Programs comparable to assistance or bene-
fits under the National School Lunch Act.
(4) Programs comparable to assistance or bene-
fits under the Child Nutrition Act of 1966.
(5)(A) Public health assistance for immuniza-
tions.
(B) Public health assistance for testing and
treatment of a serious communicable disease if the
appropriate chief State health official determines
417
that it is necessary to prevent the spread of such
disease.
(6) Payments for foster care and adoption as-
sistance.
(7) Programs, services, or assistance (such as
soup kitchens, crisis counseling and intervention,
and short-term shelter) specified by the Attorney
General of a State, after consultation with appro-
priate agencies and departments, which (A) deliver
in-kind services at the community level, including
through public or private nonprofit agencies; (B) do
not condition the provision of assistance, the amount
of assistance provided, or the cost of assistance pro-
vided on the individual recipient’s income or re-
sources; and (C) are necessary for the protection of
life or safety.
SEC. 423. REQUIREMENTS FOR SPONSOR’S AFFIDAVIT OF
SUPPORT.
(a) IN GENERAL.—Title II of the Immigration and
Nationality Act is amended by inserting after section 213
the following new section:
‘‘REQUIREMENTS FOR SPONSOR’S AFFIDAVIT OF SUPPORT
‘‘SEC. 213A. (a) ENFORCEABILITY.—(1) No affidavit
of support may be accepted by the Attorney General or
by any consular officer to establish that an alien is not
418
excludable as a public charge under section 212(a)(4) un-
less such affidavit is executed as a contract—
‘‘(A) which is legally enforceable against the
sponsor by the sponsored alien, the Federal Govern-
ment, and by any State (or any political subdivision
of such State) which provides any means-tested pub-
lic benefits program, but not later than 10 years
after the alien last receives any such benefit;
‘‘(B) in which the sponsor agrees to financially
support the alien, so that the alien will not become
a public charge; and
‘‘(C) in which the sponsor agrees to submit to
the jurisdiction of any Federal or State court for the
purpose of actions brought under subsection (e)(2).
‘‘(2) A contract under paragraph (1) shall be enforce-
able with respect to benefits provided to the alien until
such time as the alien achieves United States citizenship
through naturalization pursuant to chapter 2 of title III.
‘‘(b) FORMS.—Not later than 90 days after the date
of enactment of this section, the Attorney General, in con-
sultation with the Secretary of State and the Secretary
of Health and Human Services, shall formulate an affida-
vit of support consistent with the provisions of this sec-
tion.
419
‘‘(c) REMEDIES.—Remedies available to enforce an
affidavit of support under this section include any or all
of the remedies described in sections 3201, 3203, 3204,
or 3205 of title 28, United States Code, as well as an
order for specific performance and payment of legal fees
and other costs of collection, and include corresponding
remedies available under State law. A Federal agency may
seek to collect amounts owed under this section in accord-
ance with the provisions of subchapter II of chapter 37
of title 31, United States Code.
‘‘(d) NOTIFICATION OF CHANGE OF ADDRESS.—
‘‘(1) IN
GENERAL.—The sponsor shall notify
the Attorney General and the State in which the
sponsored alien is currently resident within 30 days
of any change of address of the sponsor during the
period specified in subsection (a)(2).
‘‘(2) PENALTY.—Any person subject to the re-
quirement of paragraph (1) who fails to satisfy such
requirement shall be subject to a civil penalty of—
‘‘(A) not less than $250 or more than
$2,000, or
‘‘(B) if such failure occurs with knowledge
that the alien has received any means-tested
public benefit, not less than $2,000 or more
than $5,000.
420
‘‘(e) 
REIMBURSEMENT
OF
GOVERNMENT
EX-
PENSES.—(1)(A) Upon notification that a sponsored alien
has received any benefit under any means-tested public
benefits program, the appropriate Federal, State, or local
official shall request reimbursement by the sponsor in the
amount of such assistance.
‘‘(B) The Attorney General, in consultation with the
Secretary of Health and Human Services, shall prescribe
such regulations as may be necessary to carry out sub-
paragraph (A).
‘‘(2) If within 45 days after requesting reimburse-
ment, the appropriate Federal, State, or local agency has
not received a response from the sponsor indicating a will-
ingness to commence payments, an action may be brought
against the sponsor pursuant to the affidavit of support.
‘‘(3) If the sponsor fails to abide by the repayment
terms established by such agency, the agency may, within
60 days of such failure, bring an action against the spon-
sor pursuant to the affidavit of support.
‘‘(4) No cause of action may be brought under this
subsection later than 10 years after the alien last received
any benefit under any means-tested public benefits pro-
gram.
‘‘(5) If, pursuant to the terms of this subsection, a
Federal, State, or local agency requests reimbursement
421
from the sponsor in the amount of assistance provided,
or brings an action against the sponsor pursuant to the
affidavit of support, the appropriate agency may appoint
or hire an individual or other person to act on behalf of
such agency acting under the authority of law for purposes
of collecting any moneys owed. Nothing in this subsection
shall preclude any appropriate Federal, State, or local
agency from directly requesting reimbursement from a
sponsor for the amount of assistance provided, or from
bringing an action against a sponsor pursuant to an affi-
davit of support.
‘‘(f) DEFINITIONS.—For the purposes of this sec-
tion—
‘‘(1) SPONSOR.—The term ‘sponsor’ means an
individual who—
‘‘(A) is a citizen or national of the United
States or an alien who is lawfully admitted to
the United States for permanent residence;
‘‘(B) has attained the age of 18 years;
‘‘(C) is domiciled in any of the 50 States
or the District of Columbia; and
‘‘(D) is the person petitioning for the ad-
mission of the alien under section 204.
‘‘(2) MEANS-TESTED
PUBLIC
BENEFITS
PRO-
GRAM.—The term ‘means-tested public benefits pro-
422
gram’ means a program of public benefits (including
cash, medical, housing, and food assistance and so-
cial services) of the Federal Government or of a
State or political subdivision of a State in which the
eligibility of an individual, household, or family eligi-
bility unit for benefits under the program, or the
amount of such benefits, or both are determined on
the basis of income, resources, or financial need of
the individual, household, or unit.’’.
(b) CLERICAL AMENDMENT.—The table of contents
of such Act is amended by inserting after the item relating
to section 213 the following:
‘‘Sec. 213A. Requirements for sponsor’s affidavit of support.’’.
(c) EFFECTIVE DATE.—Subsection (a) of section
213A of the Immigration and Nationality Act, as inserted
by subsection (a) of this section, shall apply to affidavits
of support executed on or after a date specified by the
Attorney General, which date shall not be earlier than 60
days (and not later than 90 days) after the date the Attor-
ney General formulates the form for such affidavits under
subsection (b) of such section.
(d) BENEFITS
NOT
SUBJECT
TO
REIMBURSE-
MENT.—Requirements for reimbursement by a sponsor for
benefits provided to a sponsored alien pursuant to an affi-
davit of support under section 213A of the Immigration
423
and Nationality Act shall not apply with respect to the
following:
(1) Emergency medical services under title XIX
or XXI of the Social Security Act.
(2) Short-term, noncash, in-kind emergency dis-
aster relief.
(3) Assistance or benefits under the National
School Lunch Act.
(4) Assistance or benefits under the Child Nu-
trition Act of 1966.
(5)(A) Public health assistance for immuniza-
tions.
(B) Public health assistance for testing and
treatment of a serious communicable disease if the
Secretary of Health and Human Services determines
that it is necessary to prevent the spread of such
disease.
(6) Payments for foster care and adoption as-
sistance under part B of title IV of the Social Secu-
rity Act for a child, but only if the foster or adoptive
parent or parents of such child are not otherwise in-
eligible pursuant to section 403 of this Act.
(7) Programs, services, or assistance (such as
soup kitchens, crisis counseling and intervention,
and short-term shelter) specified by the Attorney
424
General, in the Attorney General’s sole and
unreviewable discretion after consultation with ap-
propriate Federal agencies and departments, which
(A) deliver in-kind services at the community level,
including through public or private nonprofit agen-
cies; (B) do not condition the provision of assistance,
the amount of assistance provided, or the cost of as-
sistance provided on the individual recipient’s in-
come or resources; and (C) are necessary for the
protection of life or safety.
(8) Programs of student assistance under titles
IV, V, IX, and X of the Higher Education Act of
1965.
SEC. 424. COSIGNATURE OF ALIEN STUDENT LOANS.
Section 484(b) of the Higher Education Act of 1965
(20 U.S.C. 1091(b)) is amended by adding at the end the
following new paragraph:
‘‘(6) Notwithstanding sections 427(a)(2)(A),
428B(a), 428C(b)(4)(A), and 464(c)(1)(E), or any
other provision of this title, a student who is an
alien lawfully admitted for permanent residence
under the Immigration and Nationality Act shall not
be eligible for a loan under this title unless the loan
is endorsed and cosigned by the alien’s sponsor
under section 213A of the Immigration and Nation-
425
ality Act or by another creditworthy individual who
is a United States citizen.’’.
Subtitle D—General Provisions
SEC. 431. DEFINITIONS.
(a) IN GENERAL.—Except as otherwise provided in
this title, the terms used in this title have the same mean-
ing given such terms in section 101(a) of the Immigration
and Nationality Act.
(b) QUALIFIED ALIEN.—For purposes of this title,
the term ‘‘qualified alien’’ means an alien who, at the time
the alien applies for, receives, or attempts to receive a
Federal public benefit, is—
(1) an alien who is lawfully admitted for perma-
nent residence under the Immigration and National-
ity Act,
(2) an alien who is granted asylum under sec-
tion 208 of such Act,
(3) a refugee who is admitted to the United
States under section 207 of such Act,
(4) an alien who is paroled into the United
States under section 212(d)(5) of such Act for a pe-
riod of at least 1 year,
(5) an alien whose deportation is being withheld
under section 243(h) of such Act, or
426
(6) an alien who is granted conditional entry
pursuant to section 203(a)(7) of such Act as in ef-
fect prior to April 1, 1980.
SEC. 432. REAPPLICATION FOR SSI BENEFITS.
(a) APPLICATION
AND NOTICE.—Notwithstanding
any other provision of law, in the case of an individual
who is receiving supplemental security income benefits
under title XVI of the Social Security Act as of the date
of the enactment of this Act and whose eligibility for such
benefits would terminate by reason of the application of
section 402(a)(D), the Commissioner of Social Security
shall so notify the individual not later than 90 days after
the date of the enactment of this Act.
(b) REAPPLICATION.—
(1) IN
GENERAL.—Not later than 120 days
after the date of the enactment of this Act, each in-
dividual notified pursuant to subsection (a) who de-
sires to reapply for benefits under title XVI of the
Social Security Act shall reapply to the Commis-
sioner of Social Security.
(2) DETERMINATION
OF
ELIGIBILITY.—Not
later than 1 year after the date of the enactment of
this Act, the Commissioner of Social Security shall
determine the eligibility of each individual who re-
427
applies for benefits under paragraph (1) pursuant to
the procedures of such title XVI.
SEC. 433. VERIFICATION OF ELIGIBILITY FOR FEDERAL
PUBLIC BENEFITS.
(a) IN GENERAL.—Not later than 18 months after
the date of the enactment of this Act, the Attorney Gen-
eral of the United States, after consultation with the Sec-
retary of Health and Human Services, shall promulgate
regulations requiring verification that a person applying
for a Federal public benefit (as defined in section 401(c)),
to which the limitation under section 401 applies, is a
qualified alien and is eligible to receive such benefit. Such
regulations shall, to the extent feasible, require that infor-
mation requested and exchanged be similar in form and
manner to information requested and exchanged under
section 1137 of the Social Security Act.
(b) STATE COMPLIANCE.—Not later than 24 months
after the date the regulations described in subsection (a)
are adopted, a State that administers a program that pro-
vides a Federal public benefit shall have in effect a ver-
ification system that complies with the regulations.
(c) AUTHORIZATION
OF APPROPRIATIONS.—There
are authorized to be appropriated such sums as may be
necessary to carry out the purpose of this section.
428
SEC. 434. STATUTORY CONSTRUCTION.
(a) LIMITATION.—
(1) Nothing in this title may be construed as an
entitlement or a determination of an individual’s eli-
gibility or fulfillment of the requisite requirements
for any Federal, State, or local governmental pro-
gram, assistance, or benefits. For purposes of this
title, eligibility relates only to the general issue of
eligibility or ineligibility on the basis of alienage.
(2) Nothing in this title may be construed as
addressing alien eligibility for a basic public edu-
cation as determined by the Supreme Court of the
United States under Plyler v. Doe (457 U.S.
202)(1982).
(b) NOT APPLICABLE TO FOREIGN ASSISTANCE.—
This title does not apply to any Federal, State, or local
governmental program, assistance, or benefits provided to
an alien under any program of foreign assistance as deter-
mined by the Secretary of State in consultation with the
Attorney General.
(c) SEVERABILITY.—If any provision of this title or
the application of such provision to any person or cir-
cumstance is held to be unconstitutional, the remainder
of this title and the application of the provisions of such
to any person or circumstance shall not be affected there-
by.
429
SEC. 435. COMMUNICATION BETWEEN STATE AND LOCAL
GOVERNMENT AGENCIES AND THE IMMIGRA-
TION AND NATURALIZATION SERVICE.
Notwithstanding any other provision of Federal,
State, or local law, no State or local government entity
may be prohibited, or in any way restricted, from sending
to or receiving from the Immigration and Naturalization
Service information regarding the immigration status,
lawful or unlawful, of an alien in the United States.
SEC. 436. QUALIFYING QUARTERS.
For purposes of this title, in determining the number
of qualifying quarters of coverage under title II of the So-
cial Security Act an alien shall be credited with—
(1) all of the qualifying quarters of coverage as
defined under title II of the Social Security Act
worked by a parent of such alien while the alien was
under age 18 if the parent did not receive any Fed-
eral means-tested public benefit (as defined in sec-
tion 403(c)) during any such quarter, and
(2) all of the qualifying quarters worked by a
spouse of such alien during their marriage if the
spouse did not receive any Federal means-tested
public benefit (as defined in section 403(c)) during
any such quarter and the alien remains married to
such spouse or such spouse is deceased.
430
SEC. 437. TITLE INAPPLICABLE TO PROGRAMS SPECIFIED
BY ATTORNEY GENERAL.
Notwithstanding any other provision of this title, this
title or any provision of this title shall not apply to pro-
grams, services, or assistance (such as soup kitchens, cri-
sis counseling and intervention, and short term shelter)
specified by the Attorney General, in the Attorney Gen-
eral’s sole and unreviewable discretion after consultation
with appropriate Federal agencies and departments, which
(1) deliver services at the community level, including
through public or private nonprofit agencies; (2) do not
condition the provision of assistance, the amount of assist-
ance provided, or the cost of assistance provided on the
individual recipient’s income or resources; and (3) are nec-
essary for the protection of life, safety or the public health.
SEC. 438. TITLE INAPPLICABLE TO PROGRAMS OF NON-
PROFIT CHARITABLE ORGANIZATIONS.
Notwithstanding any other provision of this title, this
title or any provision of this title shall not apply to pro-
grams, services, or assistance of a nonprofit charitable or-
ganization, regardless of whether such programs, services,
or assistance are funded, in whole or in part, by the Fed-
eral Government or the government of any State or politi-
cal subdivision of a State.
431
Subtitle E—Conforming
Amendments
SEC. 441. CONFORMING AMENDMENTS RELATING TO AS-
SISTED HOUSING.
(a) LIMITATIONS ON ASSISTANCE.—Section 214 of
the Housing and Community Development Act of 1980
(42 U.S.C. 1436a) is amended—
(1) by striking ‘‘Secretary of Housing and
Urban Development’’ each place it appears and in-
serting ‘‘applicable Secretary’’;
(2) in subsection (b), by inserting after ‘‘Na-
tional Housing Act,’’ the following: ‘‘the direct loan
program under section 502 of the Housing Act of
1949 or section 502(c)(5)(D), 504, 521(a)(2)(A), or
542 of such Act, subtitle A of title III of the Cran-
ston-Gonzalez National Affordable Housing Act,’’;
(3) in paragraphs (2) through (6) of subsection
(d), by striking ‘‘Secretary’’ each place it appears
and inserting ‘‘applicable Secretary’’;
(4) in subsection (d), in the matter following
paragraph (6), by striking ‘‘the term ‘Secretary’ ’’
and inserting ‘‘the term ‘applicable Secretary’ ’’; and
(5) by adding at the end the following new sub-
section:
432
‘‘(h) For purposes of this section, the term ‘applicable
Secretary’ means—
‘‘(1) the Secretary of Housing and Urban De-
velopment, with respect to financial assistance ad-
ministered by such Secretary and financial assist-
ance under subtitle A of title III of the Cranston-
Gonzalez National Affordable Housing Act; and
‘‘(2) the Secretary of Agriculture, with respect
to financial assistance administered by such Sec-
retary.’’.
(b) CONFORMING AMENDMENTS.—Section 501(h) of
the Housing Act of 1949 (42 U.S.C. 1471(h)) is amend-
ed—
(1) by striking ‘‘(1)’’;
(2) by striking ‘‘by the Secretary of Housing
and Urban Development’’; and
(3) by striking paragraph (2).
TITLE V—REDUCTIONS IN FED-
ERAL 
GOVERNMENT 
POSI-
TIONS
SEC. 501. REDUCTIONS.
(a) DEFINITIONS.—As used in this section:
(1) APPROPRIATE EFFECTIVE DATE.—The term
‘‘appropriate effective date’’, used with respect to a
Department referred to in this section, means the
433
date on which all provisions of this Act (other than
title II) that the Department is required to carry
out, and amendments and repeals made by such Act
to provisions of Federal law that the Department is
required to carry out, are effective.
(2) COVERED
ACTIVITY.—The term ‘‘covered
activity’’, used with respect to a Department re-
ferred to in this section, means an activity that the
Department is required to carry out under—
(A) a provision of this Act (other than title
II); or
(B) a provision of Federal law that is
amended or repealed by this Act (other than
title II).
(b) REPORTS.—
(1) CONTENTS.—Not later than December 31,
1995, each Secretary referred to in paragraph (2)
shall prepare and submit to the relevant committees
described in paragraph (3) a report containing—
(A) the determinations described in sub-
section (c);
(B) appropriate documentation in support
of such determinations; and
(C) a description of the methodology used
in making such determinations.
434
(2) SECRETARY.—The Secretaries referred to in
this paragraph are—
(A) the Secretary of Agriculture;
(B) the Secretary of Education;
(C) the Secretary of Labor;
(D) the Secretary of Housing and Urban
Development; and
(E) the Secretary of Health and Human
Services.
(3) RELEVANT
COMMITTEES.—The relevant
Committees described in this paragraph are the fol-
lowing:
(A) With respect to each Secretary de-
scribed in paragraph (2), the Committee on
Government Reform and Oversight of the
House of Representatives and the Committee
on Governmental Affairs of the Senate.
(B) With respect to the Secretary of Agri-
culture, the Committee on Agriculture and the
Committee on Economic and Educational Op-
portunities of the House of Representatives and
the Committee on Agriculture, Nutrition, and
Forestry of the Senate.
(C) With respect to the Secretary of Edu-
cation, the Committee on Economic and Edu-
435
cational Opportunities of the House of Rep-
resentatives and the Committee on Labor and
Human Resources of the Senate.
(D) With respect to the Secretary of
Labor, the Committee on Economic and Edu-
cational Opportunities of the House of Rep-
resentatives and the Committee on Labor and
Human Resources of the Senate.
(E) With respect to the Secretary of Hous-
ing and Urban Development, the Committee on
Banking and Financial Services of the House of
Representatives and the Committee on Bank-
ing, Housing, and Urban Affairs of the Senate.
(F) With respect to the Secretary of
Health and Human Services, the Committee on
Economic and Educational Opportunities of the
House of Representatives, the Committee on
Labor and Human Resources of the Senate, the
Committee on Ways and Means of the House of
Representatives, and the Committee on Finance
of the Senate.
(4) REPORT ON CHANGES.—Not later than De-
cember 31, 1996, and each December 31 thereafter,
each Secretary referred to in paragraph (2) shall
prepare and submit to the relevant Committees de-
436
scribed in paragraph (3), a report concerning any
changes with respect to the determinations made
under subsection (c) for the year in which the report
is being submitted.
(c) DETERMINATIONS.—Not later than October 1,
1996, each Secretary referred to in subsection (b)(2) shall
determine—
(1) the number of full-time equivalent positions
required by the Department headed by such Sec-
retary to carry out the covered activities of the De-
partment, as of the day before the date of enactment
of this Act;
(2) the number of such positions required by
the Department to carry out the activities, as of the
appropriate effective date for the Department; and
(3) the difference obtained by subtracting the
number referred to in paragraph (2) from the num-
ber referred to in paragraph (1).
(d) ACTIONS.—Each Secretary referred to in sub-
section (b)(2) shall take such actions as may be necessary,
including reduction in force actions, consistent with sec-
tions 3502 and 3595 of title 5, United States Code, to
reduce the number of positions of personnel of the Depart-
ment—
437
(1) not later than 30 days after the appropriate
effective date for the Department involved, by at
least 50 percent of the difference referred to in sub-
section (c)(3); and
(2) not later than 13 months after such appro-
priate effective date, by at least the remainder of
such difference (after the application of paragraph
(1)).
(e) CONSISTENCY.—
(1) EDUCATION.—The Secretary of Education
shall carry out this section in a manner that enables
the Secretary to meet the requirements of this sec-
tion.
(2) LABOR.—The Secretary of Labor shall
carry out this section in a manner that enables the
Secretary to meet the requirements of this section.
(3) HEALTH AND HUMAN SERVICES.—The Sec-
retary of Health and Human Services shall carry out
this section in a manner that enables the Secretary
to meet the requirements of this section and sections
502 and 503.
(f) CALCULATION.—In determining, under subsection
(c), the number of full-time equivalent positions required
by a Department to carry out a covered activity, a Sec-
retary referred to in subsection (b)(2) shall include the
438
number of such positions occupied by personnel carrying
out program functions or other functions (including budg-
etary, legislative, administrative, planning, evaluation, and
legal functions) related to the activity.
(g) GENERAL ACCOUNTING OFFICE REPORT.—Not
later than July 1, 1996, the Comptroller General of the
United States shall prepare and submit to the committees
described in subsection (b)(3), a report concerning the de-
terminations made by each Secretary under subsection (c).
Such report shall contain an analysis of the determina-
tions made by each Secretary under subsection (c) and
a determination as to whether further reductions in full-
time equivalent positions are appropriate.
SEC. 502. REDUCTIONS IN FEDERAL BUREAUCRACY.
(a) IN GENERAL.—The Secretary of Health and
Human Services shall reduce the Federal workforce within
the Department of Health and Human Services by an
amount equal to the sum of—
(1) 75 percent of the full-time equivalent posi-
tions at such Department that relate to any direct
spending program, or any program funded through
discretionary spending, that has been converted into
a block grant program under this Act and the
amendments made by this Act; and
439
(2) an amount equal to 75 percent of that por-
tion of the total full-time equivalent departmental
management positions at such Department that
bears the same relationship to the amount appro-
priated for the programs referred to in paragraph
(1) as such amount relates to the total amount ap-
propriated for use by such Department.
(b) REDUCTIONS IN THE DEPARTMENT OF HEALTH
AND HUMAN SERVICES.—Notwithstanding any other pro-
vision of this Act, the Secretary of Health and Human
Services shall take such actions as may be necessary, in-
cluding reductions in force actions, consistent with sec-
tions 3502 and 3595 of title 5, United States Code, to
reduce the full-time equivalent positions within the De-
partment of Health and Human Services—
(1) by 245 full-time equivalent positions related
to the program converted into a block grant under
the amendment made by section 103; and
(2) by 60 full-time equivalent managerial posi-
tions in the Department.
SEC. 503. REDUCING PERSONNEL IN WASHINGTON, D.C.
AREA.
In making reductions in full-time equivalent posi-
tions, the Secretary of Health and Human Services is en-
couraged to reduce personnel in the Washington, D.C.,
440
area office (agency headquarters) before reducing field
personnel.
TITLE VI—REFORM OF PUBLIC
HOUSING
SEC. 601. FAILURE TO COMPLY WITH OTHER WELFARE
AND PUBLIC ASSISTANCE PROGRAMS.
Title I of the United States Housing Act of 1937 (42
U.S.C. 1437 et seq.) is amended by adding at the end
the following new section:
‘‘SEC. 27. FAILURE TO COMPLY WITH OTHER WELFARE
AND PUBLIC ASSISTANCE PROGRAMS.
‘‘(a) IN GENERAL.—If the benefits of a family are
reduced under a Federal, State, or local law relating to
welfare or a public assistance program for the failure of
any member of the family to perform an action required
under the law or program, the family may not, for the
duration of the reduction, receive any increased assistance
under this Act as the result of a decrease in the income
of the family to the extent that the decrease in income
is the result of the benefits reduction.
‘‘(b) EXCEPTION.—Subsection (a) shall not apply in
any case in which the benefits of a family are reduced be-
cause the welfare or public assistance program to which
the Federal, State, or local law relates limits the period
441
during which benefits may be provided under the pro-
gram.’’.
SEC. 602. FRAUD UNDER MEANS-TESTED WELFARE AND
PUBLIC ASSISTANCE PROGRAMS.
(a) IN GENERAL.—If an individual’s benefits under
a Federal, State, or local law relating to a means-tested
welfare or a public assistance program are reduced be-
cause of an act of fraud by the individual under the law
or program, the individual may not, for the duration of
the reduction, receive an increased benefit under any other
means-tested welfare or public assistance program for
which Federal funds are appropriated as a result of a de-
crease in the income of the individual (determined under
the applicable program) attributable to such reduction.
(b) WELFARE OR PUBLIC ASSISTANCE PROGRAMS
FOR WHICH FEDERAL FUNDS ARE APPROPRIATED.—For
purposes of subsection (a), the term ‘‘means-tested welfare
or public assistance program for which Federal funds are
appropriated’’ includes the food stamp program under the
Food Stamp Act of 1977 (7 U.S.C. 2011 et seq.), any
program of public or assisted housing under title I of the
United States Housing Act of 1937 (42 U.S.C. 1437 et
seq.), and State programs funded under part A of title
IV of the Social Security Act (42 U.S.C. 601 et seq.).
442
SEC. 603. EFFECTIVE DATE.
This title and the amendment made by this title shall
become effective on the date of enactment of this Act.
TITLE VII—CHILD CARE
SEC. 701. SHORT TITLE AND REFERENCES.
(a) SHORT TITLE.—This title may be cited as the
‘‘Child Care and Development Block Grant Amendments
of 1995’’.
(b) REFERENCES.—Except as otherwise expressly
provided, whenever in this title an amendment or repeal
is expressed in terms of an amendment to, or repeal of,
a section or other provision, the reference shall be consid-
ered to be made to a section or other provision of the Child
Care and Development Block Grant Act of 1990 (42
U.S.C. 9858 et seq.).
SEC. 702. GOALS.
(a) GOALS.—Section 658A (42 U.S.C. 9801 note) is
amended—
(1) in the section heading by inserting ‘‘AND
GOALS’’ after ‘‘TITLE’’;
(2) by inserting ‘‘(a) SHORT TITLE.—’’ before
‘‘This’’; and
(3) by adding at the end the following:
‘‘(b) GOALS.—The goals of this subchapter are—
‘‘(1) to allow each State maximum flexibility in
developing child care programs and policies that best
443
suit the needs of children and parents within such
State;
‘‘(2) to promote parental choice to empower
working parents to make their own decisions on the
child care that best suits their family’s needs;
‘‘(3) to encourage States to provide consumer
education information to help parents make in-
formed choices about child care;
‘‘(4) to assist States to provide child care to
parents trying to achieve independence from public
assistance; and
‘‘(5) to assist States in implementing the
health, safety, licensing, and registration standards
established in State regulations.’’.
SEC. 803. AUTHORIZATION OF APPROPRIATIONS AND EN-
TITLEMENT AUTHORITY.
(a) IN GENERAL.—Section 658B (42 U.S.C. 9858)
is amended to read as follows:
‘‘SEC. 658B. AUTHORIZATION OF APPROPRIATIONS.
‘‘There is authorized to be appropriated to carry out
this subchapter $1,000,000,000 for each of the fiscal
years 1996 through 2002.’’.
(b) SOCIAL SECURITY ACT.—Part A of title IV of
the Social Security Act (as amended by section 103 of this
444
Act) is amended by redesignating section 417 as section
418 and inserting after section 416 the following:
‘‘SEC. 417. FUNDING FOR CHILD CARE.
‘‘(a) GENERAL CHILD CARE ENTITLEMENT.—
‘‘(1) GENERAL ENTITLEMENT.—Subject to the
amount appropriated under paragraph (3), each
State shall, for the purpose of providing child care
assistance, be entitled to payments under a grant
under this subsection for a fiscal year in an amount
equal to the greatest of—
‘‘(A) the sum of—
‘‘(i) the total amount required to be
paid to the State under former section 403
for fiscal year 1994 with respect to
amounts expended for child care under sec-
tion 402(g) of this Act (as such section
was in effect before October 1, 1995); and
‘‘(ii) such total amount with respect
to amounts expended for child care under
section 403(i) of this Act (as so in effect);
or
‘‘(B) the sum described in subparagraph
(A) for fiscal year 1995; or
‘‘(C) the average of the total amounts re-
quired to be paid to the State for fiscal years
445
1992 through 1994 under the sections referred
to in subparagraph (A).
‘‘(2) REMAINDER.—
‘‘(A) GRANTS.—The Secretary shall use
any amounts appropriated for a fiscal year
under paragraph (3), and remaining after the
reservation described in paragraph (5) and
after grants are awarded under paragraph (1),
to make grants to States under this paragraph.
‘‘(B) AMOUNT.—Subject to subparagraph
(C), the amount of a grant awarded to a State
for a fiscal year under this paragraph shall be
based on the formula used for determining the
amount of Federal payments to the State under
section 403(n) (as such section was in effect be-
fore October 1, 1995).
‘‘(C) MATCHING REQUIREMENT.—The Sec-
retary shall pay to each eligible State in a fiscal
year an amount, under a grant under subpara-
graph (A), equal to the Federal medical assist-
ance percentage for such State for fiscal year
1995 (as defined in section 1905(b)) of so
much of the expenditures by the State for child
care in such year as exceed the State set-aside
for such State under subsection (a)(1) for such
446
year and the amount of State expenditures in
fiscal year 1995 that equal the non-Federal
share for the programs described in subpara-
graphs (A), (B) and (C) of paragraph (1).
‘‘(3) APPROPRIATION.—There are authorized to
be appropriated, and there are appropriated, to
carry out this section—
‘‘(A) $1,967,000,000 for fiscal year 1997;
‘‘(B) $2,067,000,000 for fiscal year 1998;
‘‘(C) $2,167,000,000 for fiscal year 1999;
‘‘(D) $2,367,000,000 for fiscal year 2000;
‘‘(E) $2,567,000,000 for fiscal year 2001;
and
‘‘(F) $2,767,000,000 for fiscal year 2002.
‘‘(4) REDISTRIBUTION.—With respect to any
fiscal year, if the Secretary determines that amounts
under any grant awarded to a State under this sub-
section for such fiscal year will not be used by such
State for carrying out the purpose for which the
grant is made, the Secretary shall make such
amounts available for carrying out such purpose to
1 or more other States which apply for such funds
to the extent the Secretary determines that such
other States will be able to use such additional
amounts for carrying out such purpose. Such avail-
447
able amounts shall be redistributed to a State pursu-
ant to section 402(i) (as such section was in effect
before October 1, 1995) by substituting ‘the number
of children residing in all States applying for such
funds’ for ‘the number of children residing in the
United States in the second preceding fiscal year’.
Any amount made available to a State from an ap-
propriation for a fiscal year in accordance with the
preceding sentence shall, for purposes of this part,
be regarded as part of such State’s payment (as de-
termined under this subsection) for such year.
‘‘(5) INDIAN TRIBES.—The Secretary shall re-
serve not more than 1 percent of the aggregate
amount appropriated to carry out this section in
each fiscal year for payments to Indian tribes and
tribal organizations.
‘‘(b) USE OF FUNDS.—
‘‘(1) IN
GENERAL.—Amounts received by a
State under this section shall only be used to provide
child care assistance.
‘‘(2) USE
FOR
CERTAIN
POPULATIONS.—A
State shall ensure that not less than 70 percent of
the total amount of funds received by the State in
a fiscal year under this section are used to provide
child care assistance to families who are receiving
448
assistance under a State program under this part,
families who are attempting through work activities
to transition off of such assistance program, and
families who are at risk of becoming dependent on
such assistance program.
‘‘(c) APPLICATION OF CHILD CARE AND DEVELOP-
MENT BLOCK GRANT ACT of 1990.—Notwithstanding any
other provision of law, amounts provided to a State under
this section shall be transferred to the lead agency under
the Child Care and Development Block Grant Act of 1990,
integrated by the State into the programs established by
the State under such Act, and be subject to requirements
and limitations of such Act.
‘‘(d) DEFINITION.—As used in this section, the term
‘State’ means each of the 50 States or the District of Co-
lumbia.’’.
SEC. 704. LEAD AGENCY.
Section 658D(b) (42 U.S.C. 9858b(b)) is amended—
(1) in paragraph (1)—
(A) in subparagraph (A), by striking
‘‘State’’ the first place that such appears and
inserting ‘‘governmental or nongovernmental’’;
and
(B) in subparagraph (C), by inserting
‘‘with sufficient time and Statewide distribution
449
of the notice of such hearing,’’ after ‘‘hearing in
the State’’; and
(2) in paragraph (2), by striking the second
sentence.
SEC. 705. APPLICATION AND PLAN.
Section 658E (42 U.S.C. 9858c) is amended—
(1) in subsection (b)—
(A) by striking ‘‘implemented—’’ and all
that follows through ‘‘(2)’’ and inserting ‘‘im-
plemented’’; and
(B) by striking ‘‘for subsequent State
plans’’;
(2) in subsection (c)—
(A) in paragraph (2)—
(i) in subparagraph (A)—
(I) in clause (i) by striking
‘‘, other than through assistance pro-
vided under paragraph (3)(C),’’; and
(II) by striking ‘‘except’’ and all
that follows through ‘‘1992’’, and in-
serting ‘‘and provide a detailed de-
scription of the procedures the State
will implement to carry out the re-
quirements of this subparagraph’’;
(ii) in subparagraph (B)—
450
(I) by striking ‘‘Provide assur-
ances’’ and inserting ‘‘Certify’’; and
(II) by inserting before the pe-
riod at the end ‘‘and provide a de-
tailed description of such procedures’’;
(iii) in subparagraph (C)—
(I) by striking ‘‘Provide assur-
ances’’ and inserting ‘‘Certify’’; and
(II) by inserting before the pe-
riod at the end ‘‘and provide a de-
tailed description of how such record
is maintained and is made available’’;
(iv) by amending subparagraph (D) to
read as follows:
‘‘(D) CONSUMER
EDUCATION
INFORMA-
TION.—Certify that the State will collect and
disseminate to parents of eligible children and
the general public, consumer education informa-
tion that will promote informed child care
choices.’’;
(v) in subparagraph (E), to read as
follows:
‘‘(E) COMPLIANCE WITH STATE LICENSING
REQUIREMENTS.—
451
‘‘(i) IN
GENERAL.—Certify that the
State has in effect licensing requirements
applicable to child care services provided
within the State, and provide a detailed de-
scription of such requirements and of how
such requirements are effectively enforced.
Nothing in the preceding sentence shall be
construed to require that licensing require-
ments be applied to specific types of pro-
viders of child care services.
‘‘(ii) INDIAN TRIBES AND TRIBAL OR-
GANIZATIONS.—In lieu of any licensing
and regulatory requirements applicable
under State and local law, the Secretary,
in consultation with Indian tribes and trib-
al organizations, shall develop minimum
child care standards (that appropriately re-
flect tribal needs and available resources)
that shall be applicable to Indian tribes
and tribal organizations receiving assist-
ance under this subchapter.’’;
(vi) by striking ‘‘Provide assurances’’
and inserting ‘‘Certify’’; and
(vii) by striking subparagraphs (H),
(I), and (J) and inserting the following:
452
‘‘(G) MEETING THE NEEDS OF CERTAIN
POPULATIONS.—Demonstrate the manner in
which the State will meet the specific child care
needs of families who are receiving assistance
under a State program under part A of title IV
of the Social Security Act, families who are at-
tempting through work activities to transition
off of such assistance program, and families
who are at risk of becoming dependent on such
assistance program.
‘‘(H) PRESERVING
PARENTAL
CHOICE.—
Certify that the State will not implement any
policy or practice which has the effect of signifi-
cantly restricting parental choice by—
‘‘(i) expressly or effectively excluding
any category of care or type of provider
within a category of care;
‘‘(ii) limiting parental access to or
choices from among various categories of
care or types of providers; or
‘‘(iii) excluding a significant number
of providers in any category of care.
‘‘(I) INFORMING PARENTS OF OPTIONS.—
Provides assurances that parents will be in-
formed regarding their options under this sec-
453
tion, including the option to receive a child care
certificate or voucher.’’;
(B) in paragraph (3)—
(i) in subparagraph (A), by striking
‘‘(B) and (C)’’ and inserting ‘‘(B) through
(D)’’;
(ii) in subparagraph (B)—
(I) by striking ‘‘.—Subject to the
reservation contained in subparagraph
(C), the’’ and inserting ‘‘AND RELAT-
ED ACTIVITIES.—The’’;
(II) in clause (i) by striking ‘‘;
and’’ at the end and inserting a pe-
riod;
(III) by striking ‘‘for—’’ and all
that 
follows 
through 
‘‘section
658E(c)(2)(A)’’ and inserting ‘‘for
child care services on sliding fee scale
basis, activities that improve the qual-
ity or availability of such services, and
any other activity that the State
deems appropriate to realize any of
the goals specified in paragraphs (2)
through (5) of section 658A(b)’’; and
(IV) by striking clause (ii);
454
(iii) by amending subparagraph (C) to
read as follows:
‘‘(C) LIMITATION
ON
ADMINISTRATIVE
COSTS.—Not more than 5 percent of the aggre-
gate amount of funds available to the State to
carry out this subchapter by a State in each fis-
cal year may be expended for administrative
costs incurred by such State to carry out all of
its functions and duties under this subchapter.
As used in the preceding sentence, the term
‘administrative costs’ shall not include the costs
of providing direct services.’’; and
(iv) by adding at the end thereof the
following:
‘‘(D) ASSISTANCE
FOR
CERTAIN
FAMI-
LIES.—A State shall ensure that a substantial
portion of the amounts available (after the
State has complied with the requirement of sec-
tion 417(b)(2) of the Social Security Act with
respect to each of the fiscal years 1997 through
2002) to the State to carry out activities this
subchapter in each fiscal year is used to provide
assistance to low-income working families other
than families described in paragraph (2)(F).’’;
and
455
(C) in paragraph (4)(A)—
(i) by striking ‘‘provide assurances’’
and inserting ‘‘certify’’;
(ii) in the first sentence by inserting
‘‘and shall provide a summary of the facts
relied on by the State to determine that
such rates are sufficient to ensure such ac-
cess’’ before the period; and
(iii) by striking the last sentence.
SEC. 706. LIMITATION ON STATE ALLOTMENTS.
Section 658F(b) (42 U.S.C. 9858d(b)) is amended—
(1) in paragraph (1), by striking ‘‘No’’ and in-
serting 
‘‘Except 
as 
provided 
for 
in 
section
658O(c)(6), no’’; and
(2) in paragraph (2), by striking ‘‘referred to in
section 658E(c)(2)(F)’’.
SEC. 707. ACTIVITIES TO IMPROVE THE QUALITY OF CHILD
CARE.
Section 658G (42 U.S.C. 9858e) is amended to read
as follows:
‘‘SEC. 658G. ACTIVITIES TO IMPROVE THE QUALITY OF
CHILD CARE.
‘‘A State that receives funds to carry out this sub-
chapter for a fiscal year, shall use not less than 3 percent
of the amount of such funds for activities that are de-
456
signed to provide comprehensive consumer education to
parents and the public, activities that increase parental
choice, and activities designed to improve the quality and
availability of child care (such as resource and referral
services).’’.
SEC. 708. REPEAL OF EARLY CHILDHOOD DEVELOPMENT
AND BEFORE- AND AFTER-SCHOOL CARE RE-
QUIREMENT.
Section 658H (42 U.S.C. 9858f) is repealed.
SEC. 709. ADMINISTRATION AND ENFORCEMENT.
Section 658I(b) (42 U.S.C. 9858g(b)) is amended—
(1) in paragraph (1), by striking ‘‘, and shall
have’’ and all that follows through ‘‘(2)’’; and
(2) in the matter following clause (ii) of para-
graph (2)(A), by striking ‘‘finding and that’’ and all
that follows through the period and inserting ‘‘find-
ing and shall require that the State reimburse the
Secretary for any funds that were improperly ex-
pended for purposes prohibited or not authorized by
this subchapter, that the Secretary deduct from the
administrative portion of the State allotment for the
following fiscal year an amount that is less than or
equal to any improperly expended funds, or a com-
bination of such options.’’.
457
SEC. 710. PAYMENTS.
Section 658J(c) (42 U.S.C. 9858h(c)) is amended by
striking ‘‘expended’’ and inserting ‘‘obligated’’.
SEC. 711. ANNUAL REPORT AND AUDITS.
Section 658K (42 U.S.C. 9858i) is amended—
(1) in the section heading by striking ‘‘ANNUAL
REPORT’’ and inserting ‘‘REPORTS’’;
(2) in subsection (a), to read as follows:
‘‘(a) REPORTS.—
‘‘(1) 
COLLECTION
OF
INFORMATION
BY
STATES.—
‘‘(A) IN GENERAL.—A State that receives
funds to carry out this subchapter shall collect
the information described in subparagraph (B)
on a monthly basis.
‘‘(B) REQUIRED
INFORMATION.—The in-
formation required under this subparagraph
shall include, with respect to a family unit re-
ceiving assistance under this subchapter infor-
mation concerning—
‘‘(i) family income;
‘‘(ii) county of residence;
‘‘(iii) the gender, race, and age of
children receiving such assistance;
‘‘(iv) whether the family includes only
1 parent;
458
‘‘(v) the sources of family income, in-
cluding the amount obtained from (and
separately identified)—
‘‘(I) employment, including self-
employment;
‘‘(II) cash or other assistance
under part A of title IV of the Social
Security Act;
‘‘(III) housing assistance;
‘‘(IV) assistance under the Food
Stamp Act of 1977; and
‘‘(V) other assistance programs;
‘‘(vi) the number of months the family
has received benefits;
‘‘(vii) the type of child care in which
the child was enrolled (such as family child
care, home care, or center-based child
care);
‘‘(viii) whether the child care provider
involved was a relative;
‘‘(ix) the cost of child care for such
families; and
‘‘(x) the average hours per week of
such care;
459
during the period for which such information is
required to be submitted.
‘‘(C) 
SUBMISSION
TO
SECRETARY.—A
State described in subparagraph (A) shall, on a
quarterly basis, submit the information required
to be collected under subparagraph (B) to the
Secretary.
‘‘(D) SAMPLING.—The Secretary may dis-
approve the information collected by a State
under this paragraph if the State uses sampling
methods to collect such information.
‘‘(2) BIANNUAL REPORTS.—Not later than De-
cember 31, 1997, and every 6 months thereafter, a
State described in paragraph (1)(A) shall prepare
and submit to the Secretary a report that includes
aggregate data concerning—
‘‘(A) the number of child care providers
that received funding under this subchapter as
separately identified based on the types of pro-
viders listed in section 658P(5);
‘‘(B) the monthly cost of child care serv-
ices, and the portion of such cost that is paid
for with assistance provided under this sub-
chapter, listed by the type of child care services
provided;
460
‘‘(C) the number of payments made by the
State through vouchers, contracts, cash, and
disregards under public benefit programs, listed
by the type of child care services provided;
‘‘(D) the manner in which consumer edu-
cation information was provided to parents and
the number of parents to whom such informa-
tion was provided; and
‘‘(E) the total number (without duplica-
tion) of children and families served under this
subchapter;
during the period for which such report is required
to be submitted.’’; and
(2) in subsection (b)—
(A) in paragraph (1) by striking ‘‘a appli-
cation’’ and inserting ‘‘an application’’;
(B) in paragraph (2) by striking ‘‘any
agency administering activities that receive’’
and inserting ‘‘the State that receives’’; and
(C) in paragraph (4) by striking ‘‘entitles’’
and inserting ‘‘entitled’’.
SEC. 712. REPORT BY THE SECRETARY.
Section 658L (42 U.S.C. 9858j) is amended—
(1) by striking ‘‘1993’’ and inserting ‘‘1997’’;
461
(2) by striking ‘‘annually’’ and inserting ‘‘bien-
nially’’; and
(3) by striking ‘‘Education and Labor’’ and in-
serting ‘‘Economic and Educational Opportunities’’.
SEC. 713. ALLOTMENTS.
Section 658O (42 U.S.C. 9858m) is amended—
(1) in subsection (a)—
(A) in paragraph (1)
(i) by striking ‘‘POSSESSIONS’’ and in-
serting ‘‘POSSESSIONS’’;
(ii) 
by 
inserting 
‘‘and’’ 
after
‘‘States,’’; and
(iii) by striking ‘‘, and the Trust Ter-
ritory of the Pacific Islands’’; and
(B) in paragraph (2), by striking ‘‘3 per-
cent’’ and inserting ‘‘1 percent’’;
(2) in subsection (c)—
(A) in paragraph (5) by striking ‘‘our’’ and
inserting ‘‘out’’; and
(B) by adding at the end thereof the fol-
lowing new paragraph:
‘‘(6) CONSTRUCTION OR RENOVATION OF FA-
CILITIES.—
‘‘(A) REQUEST FOR USE OF FUNDS.—An
Indian tribe or tribal organization may submit
462
to the Secretary a request to use amounts pro-
vided under this subsection for construction or
renovation purposes.
‘‘(B) DETERMINATION.—With respect to a
request submitted under subparagraph (A), and
except as provided in subparagraph (C), upon a
determination by the Secretary that adequate
facilities are not otherwise available to an In-
dian tribe or tribal organization to enable such
tribe or organization to carry out child care
programs in accordance with this subchapter,
and that the lack of such facilities will inhibit
the operation of such programs in the future,
the Secretary may permit the tribe or organiza-
tion to use assistance provided under this sub-
section to make payments for the construction
or renovation of facilities that will be used to
carry out such programs.
‘‘(C) LIMITATION.—The Secretary may not
permit an Indian tribe or tribal organization to
use amounts provided under this subsection for
construction or renovation if such use will re-
sult in a decrease in the level of child care serv-
ices provided by the tribe or organization as
compared to the level of such services provided
463
by the tribe or organization in the fiscal year
preceding the year for which the determination
under subparagraph (A) is being made.
‘‘(D) UNIFORM
PROCEDURES.—The Sec-
retary shall develop and implement uniform
procedures for the solicitation and consideration
of requests under this paragraph.’’; and
(3) in subsection (e), by adding at the end
thereof the following new paragraph:
‘‘(4) INDIAN
TRIBES
OR
TRIBAL
ORGANIZA-
TIONS.—Any portion of a grant or contract made to
an Indian tribe or tribal organization under sub-
section (c) that the Secretary determines is not
being used in a manner consistent with the provision
of this subchapter in the period for which the grant
or contract is made available, shall be allotted by the
Secretary to other tribes or organizations that have
submitted applications under subsection (c) in ac-
cordance with their respective needs.’’.
SEC. 714. DEFINITIONS.
Section 658P (42 U.S.C. 9858n) is amended—
(1) in paragraph (2), in the first sentence by
inserting ‘‘or as a deposit for child care services if
such a deposit is required of other children being
464
cared for by the provider’’ after ‘‘child care serv-
ices’’; and
(2) by striking paragraph (3);
(3) in paragraph (4)(B), by striking ‘‘75 per-
cent’’ and inserting ‘‘85 percent’’;
(4) in paragraph (5)(B)—
(A) by inserting ‘‘great grandchild, sibling
(if such provider lives in a separate residence),’’
after ‘‘grandchild,’’;
(B) by striking ‘‘is registered and’’; and
(C) by striking ‘‘State’’ and inserting ‘‘ap-
plicable’’.
(5) by striking paragraph (10);
(6) in paragraph (13)—
(A) by inserting ‘‘or’’ after ‘‘Samoa,’’; and
(B) by striking ‘‘, and the Trust Territory
of the Pacific Islands’’;
(7) in paragraph (14)—
(A) by striking ‘‘The term’’ and inserting
the following:
‘‘(A) IN GENERAL.—The term’’; and
(B) by adding at the end thereof the fol-
lowing new subparagraph:
‘‘(B) OTHER ORGANIZATIONS.—Such term
includes a Native Hawaiian Organization, as
465
defined in section 4009(4) of the Augustus F.
Hawkins-Robert T. Stafford Elementary and
Secondary School Improvement Amendments of
1988 (20 U.S.C. 4909(4)) and a private non-
profit organization established for the purpose
of serving youth who are Indians or Native Ha-
waiians.’’.
SEC. 715. REPEALS.
(a) CHILD DEVELOPMENT ASSOCIATE SCHOLARSHIP
ASSISTANCE ACT OF 1985.—Title VI of the Human Serv-
ices Reauthorization Act of 1986 (42 U.S.C. 10901–
10905) is repealed.
(b) STATE
DEPENDENT
CARE
DEVELOPMENT
GRANTS ACT.—Subchapter E of chapter 8 of subtitle A
of title VI of the Omnibus Budget Reconciliation Act of
1981 (42 U.S.C. 9871–9877) is repealed.
(c) PROGRAMS OF NATIONAL SIGNIFICANCE.—Title
X of the Elementary and Secondary Education Act of
1965, as amended by Public Law 103–382 (108 Stat.
3809 et seq.), is amended—
(1) in section 10413(a) by striking paragraph
(4),
(2) in section 10963(b)(2) by striking subpara-
graph (G), and
466
(3) in section 10974(a)(6) by striking subpara-
graph (G).
(d) NATIVE HAWAIIAN FAMILY-BASED EDUCATION
CENTERS.—Section 9205 of the Native Hawaiian Edu-
cation Act (Public Law 103–382; 108 Stat. 3794) is re-
pealed.
SEC. 716. EFFECTIVE DATE.
(a) IN GENERAL.—Except as provided in subsection
(b), this title and the amendments made by this title shall
take effect on October 1, 1996.
(b) EXCEPTION.—The amendment made by section
803(a) shall take effect on the date of enactment of this
Act.
TITLE VIII—CHILD NUTRITION
PROGRAMS
Subtitle A—National School Lunch
Act
SEC. 801. VALUE OF FOOD ASSISTANCE.
(a) IN GENERAL.—Section 6(e)(1) of the National
School Lunch Act (42 U.S.C. 1755(e)(1)) is amended by
striking subparagraph (B) and inserting the following:
‘‘(B) ADJUSTMENTS.—
‘‘(i) IN GENERAL.—The value of food
assistance for each meal shall be adjusted
each July 1 by the annual percentage
467
change in a 3-month average value of the
Price Index for Foods Used in Schools and
Institutions for March, April, and May
each year.
‘‘(ii) ADJUSTMENTS.—Except as oth-
erwise provided in this subparagraph, in
the case of each school year, the Secretary
shall—
‘‘(I) base the adjustment made
under clause (i) on the amount of the
unrounded adjustment for the preced-
ing school year;
‘‘(II) adjust the resulting amount
in accordance with clause (i); and
‘‘(III) round the result to the
nearest lower cent increment.
‘‘(iii) ADJUSTMENT
FOR
24-MONTH
PERIOD BEGINNING JULY 1, 1996.—In the
case of the 24-month period beginning
July 1, 1996, the value of food assistance
shall be the same as the value of food as-
sistance in effect on June 30, 1996.
‘‘(iv) ADJUSTMENT FOR SCHOOL YEAR
BEGINNING JULY 1, 1998.—In the case of
468
the school year beginning July 1, 1998, the
Secretary shall—
‘‘(I) base the adjustment made
under clause (i) on the amount of the
unrounded adjustment for the value of
food assistance for the school year be-
ginning July 1, 1995;
‘‘(II) adjust the resulting amount
to reflect the annual percentage
change in a 3-month average value of
the Price Index for Foods Used in
Schools and Institutions for March,
April, and May for the most recent
12-month period for which the data
are available; and
‘‘(III) round the result to the
nearest lower cent increment.’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall become effective on July 1, 1996.
SEC. 802. COMMODITY ASSISTANCE.
(a) IN GENERAL.—Section 6(g) of the National
School Lunch Act (42 U.S.C. 1755(g)) is amended by
striking ‘‘12 percent’’ and inserting ‘‘8 percent’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall become effective on July 1, 1996.
469
SEC. 803. STATE DISBURSEMENT TO SCHOOLS.
(a) IN GENERAL.—Section 8 of the National School
Lunch Act (42 U.S.C. 1757) is amended—
(1) in the third sentence, by striking ‘‘Nothing’’
and all that follows through ‘‘educational agency to’’
and inserting ‘‘The State educational agency may’’;
(2) by striking the fourth, fifth, and eighth sen-
tences;
(3) by redesignating the first through sixth sen-
tences, as amended by paragraph (1), as subsections
(a) through (f), respectively;
(4) in subsection (b), as redesignated by para-
graph (3), by striking ‘‘the preceding sentence’’ and
inserting ‘‘subsection (a)’’; and
(5) in subsection (d), as redesignated by para-
graph (3), by striking ‘‘Such food costs’’ and insert-
ing ‘‘Use of funds paid to States’’.
(b) DEFINITION OF CHILD.—Section 12(d) of the Act
(42 U.S.C. 1760(d)) is amended by adding at the end the
following:
‘‘(9) ‘child’ includes an individual, regardless of
age, who—
‘‘(A) is determined by a State educational
agency, in accordance with regulations pre-
scribed by the Secretary, to have 1 or more
mental or physical disabilities; and
470
‘‘(B) is attending any institution, as de-
fined in section 17(a), or any nonresidential
public or nonprofit private school of high school
grade or under, for the purpose of participating
in a school program established for individuals
with mental or physical disabilities.
No institution that is not otherwise eligible to par-
ticipate in the program under section 17 shall be
considered eligible because of this paragraph.’’.
SEC. 804. NUTRITIONAL AND OTHER PROGRAM REQUIRE-
MENTS.
(a) NUTRITIONAL STANDARDS.—Section 9(a) of the
National School Lunch Act (42 U.S.C. 1758(a)) is amend-
ed—
(1) in paragraph (2)—
(A) by striking ‘‘(2)(A) Lunches’’ and in-
serting ‘‘(2) Lunches’’;
(B) by striking subparagraph (B); and
(C) by redesignating clauses (i) and (ii) as
subparagraphs (A) and (B), respectively;
(2) by striking paragraph (3); and
(3) by redesignating paragraph (4) as para-
graph (3).
(b) ELIGIBILITY GUIDELINES.—Section 9(b) of the
Act is amended—
471
(1) in paragraph (2)—
(A) by striking subparagraph (A); and
(B) by redesignating subparagraphs (B)
and (C) as subparagraphs (A) and (B), respec-
tively;
(2) in paragraph (5), by striking the third sen-
tence; and
(3) in paragraph (6), by striking ‘‘paragraph
(2)(C)’’ and inserting ‘‘paragraph (2)(B)’’.
(c) UTILIZATION
OF
AGRICULTURAL
COMMOD-
ITIES.—Section 9(c) of the Act is amended by striking the
second, fourth, and sixth sentences.
(d) CONFORMING AMENDMENT.—The last sentence
of section 9(d)(1) of the Act is amended by striking ‘‘sub-
section (b)(2)(C)’’ and inserting ‘‘subsection (b)(2)(B)’’.
(e) NUTRITIONAL INFORMATION.—Section 9(f) of the
Act is amended—
(1) by striking paragraph (1);
(2) by striking ‘‘(2)’’;
(3) by redesignating subparagraphs (A) through
(D) as paragraphs (1) through (4), respectively;
(4) by striking paragraph (1), as redesignated
by paragraph (3), and inserting the following:
‘‘(1) NUTRITIONAL REQUIREMENTS.—Except as
provided in paragraph (2), not later than the first
472
day of the 1996–1997 school year, schools that are
participating in the school lunch or school breakfast
program shall serve lunches and breakfasts under
the program that—
‘‘(A) are consistent with the goals of the
most recent Dietary Guidelines for Americans
published under section 301 of the National
Nutrition Monitoring and Related Research Act
of 1990 (7 U.S.C. 5341); and
‘‘(B) provide, on the average over each
week, at least—
‘‘(i) with respect to school lunches, 1⁄3
of the daily recommended dietary allow-
ance established by the Food and Nutrition
Board of the National Research Council of
the National Academy of Sciences; and
‘‘(ii) with respect to school breakfasts,
1⁄4 of the daily recommended dietary allow-
ance established by the Food and Nutrition
Board of the National Research Council of
the National Academy of Sciences.’’;
(5) in paragraph (3), as redesignated by para-
graph (3)—
(A) by redesignating clauses (i) and (ii) as
subparagraphs (A) and (B), respectively; and
473
(B) in subparagraph (A), as so redesig-
nated, by redesignating subclauses (I) and (II)
as clauses (i) and (ii), respectively; and
(6) in paragraph (4), as redesignated by para-
graph (3), by striking the first sentence and insert-
ing the following: ‘‘Schools may use any reasonable
approach to meet the requirements of this para-
graph, including any approach described in para-
graph (3).’’.
(f) USE OF RESOURCES.—Section 9 of the Act is
amended by striking subsection (h).
SEC. 805. FREE AND REDUCED PRICE POLICY STATEMENT.
Section 9(b)(2) of the National School Lunch Act (42
U.S.C. 1758(b)(2)), as amended by section 802(b)(1), is
further amended by adding at the end the following:
‘‘(C) FREE AND REDUCED PRICE POLICY
STATEMENT.—After the initial submission, a
school shall not be required to submit a free
and reduced price policy statement to a State
educational agency under this Act unless there
is a substantive change in the free and reduced
price policy of the school. A routine change in
the policy of a school, such as an annual adjust-
ment of the income eligibility guidelines for free
and reduced price meals, shall not be sufficient
474
cause for requiring the school to submit a policy
statement.’’.
SEC. 806. SPECIAL ASSISTANCE.
(a) REIMBURSEMENT RATES FOR LUNCHES, BREAK-
FASTS, AND SUPPLEMENTS.—
(1) IN GENERAL.—Section 11(a)(3)(B) of the
National 
School 
Lunch 
Act 
(42 
U.S.C.
1759a(a)(3)(B)) is amended—
(A) by designating the second and third
sentences as subparagraphs (C) and (D), re-
spectively; and
(B) by striking subparagraph (D) (as so
designated) and inserting the following:
‘‘(D) ROUNDING.—Except as otherwise
provided in this paragraph, in the case of each
school year, the Secretary shall—
‘‘(i) base the adjustment made under
this paragraph on the amount of the
unrounded adjustment for the preceding
school year;
‘‘(ii) adjust the resulting amount in
accordance with subparagraphs (B) and
(C); and
‘‘(iii) round the result to the nearest
lower cent increment.
475
‘‘(E) ADJUSTMENT FOR 12-MONTH PERIOD
BEGINNING JULY 1, 1996.—In the case of the
12-month period beginning July 1, 1996, the
national average payment rates for paid
lunches, paid breakfasts, and paid supplements
shall be the same as the national average pay-
ment rate for paid lunches, paid breakfasts, and
paid supplements, respectively, for the school
year beginning July 1, 1995, rounded to the
nearest lower cent increment.
‘‘(F) ADJUSTMENT FOR SCHOOL YEAR BE-
GINNING
JULY
1, 1997.—In the case of the
school year beginning July 1, 1997, the Sec-
retary shall—
‘‘(i) base the adjustments made under
this paragraph for—
‘‘(I) paid lunches and paid break-
fasts on the amount of the unrounded
adjustment for paid lunches for the
school year beginning July 1, 1996;
and
‘‘(II) paid supplements on the
amount of the unrounded adjustment
for paid supplements for the school
year beginning July 1, 1996;
476
‘‘(ii) adjust each resulting amount in
accordance with subparagraph (C); and
‘‘(iii) round each result to the nearest
lower cent increment.’’.
(2) EFFECTIVE DATE.—The amendments made
by paragraph (1) shall become effective on July 1,
1996.
(b) FINANCING BASED ON NEED.—Section 11(b) of
the Act is amended—
(1) in the second sentence, by striking ‘‘, with-
in’’ and all that follows through ‘‘all States,’’; and
(2) by striking the third sentence.
(c) APPLICABILITY OF OTHER PROVISIONS.—Section
11 of the Act is amended—
(1) by striking subsection (d);
(2) in subsection (e)(2)—
(A) by striking ‘‘The’’ and inserting ‘‘On
request of the Secretary, the’’; and
(B) by striking ‘‘each month’’; and
(3) by redesignating subsections (e) and (f), as
so amended, as subsections (d) and (e), respectively.
SEC. 807. MISCELLANEOUS PROVISIONS AND DEFINITIONS.
(a) ACCOUNTS AND RECORDS.—Section 12(a) of the
National School Lunch Act (42 U.S.C. 1760(a)) is amend-
477
ed by striking ‘‘at all times be available’’ and inserting
‘‘be available at any reasonable time’’.
(b) RESTRICTION
ON
REQUIREMENTS.—Section
12(c) of the Act is amended by striking ‘‘neither the Sec-
retary nor the State shall’’ and inserting ‘‘the Secretary
shall not’’.
(c) DEFINITIONS.—Section 12(d) of the Act, as
amended by section 801(b), is further amended—
(1) in paragraph (1), by striking ‘‘the Trust
Territory of the Pacific Islands’’ and inserting ‘‘the
Commonwealth of the Northern Mariana Islands’’;
(2) by striking paragraphs (3) and (4); and
(3) by redesignating paragraphs (1), (2), and
(5) through (9) as paragraphs (6), (7), (3), (4), (2),
(5), and (1), respectively, and rearranging the para-
graphs so as to appear in numerical order.
(d) ADJUSTMENTS
TO NATIONAL AVERAGE PAY-
MENT RATES.—Section 12(f) of the Act is amended by
striking ‘‘the Trust Territory of the Pacific Islands,’’.
(e) EXPEDITED RULEMAKING.—Section 12(k) of the
Act is amended—
(1) by striking paragraphs (1), (2), and (5);
and
(2) by redesignating paragraphs (3) and (4) as
paragraphs (1) and (2), respectively.
478
(f) WAIVER.—Section 12(l) of the Act is amended—
(1) in paragraph (1)(A)(i), by inserting after
‘‘program’’ the following: ‘‘and would not have the
effect of transferring funds or commodities from the
support of meals for children with incomes below the
income criteria for free or reduced price meals, as
provided in section 9(b)’’;
(2) in paragraph (2)—
(A) by striking ‘‘(A)’’;
(B) in clause (iii), by adding ‘‘and’’ at the
end;
(C) in clause (iv), by striking the semicolon
at the end and inserting a period;
(D) by striking clauses (v) through (vii);
(E) by striking subparagraph (B); and
(F) by redesignating clauses (i) through
(iv), as so amended, as subparagraphs (A)
through (D), respectively;
(3) in paragraph (3)—
(A) by striking ‘‘(A)’’; and
(B) by striking subparagraphs (B) through
(D);
(4) in paragraph (4)—
(A) in the matter preceding subparagraph
(A), by striking ‘‘of any requirement relating’’
479
and inserting ‘‘that increases Federal costs or
that relates’’;
(B) by striking subparagraphs (B), (D),
(F), (H), (J), (K), and (L);
(C) by redesignating subparagraphs (C),
(E), (G), (I), (M), and (N) as subparagraphs
(B) through (G), respectively; and
(D) in subparagraph (F), as redesignated
by subparagraph (C), by striking ‘‘and’’ at the
end and inserting ‘‘or’’; and
(5) in paragraph (6)—
(A) by striking ‘‘(A)(i)’’ and all that fol-
lows through ‘‘(B)’’; and
(B) by redesignating clauses (i) through
(iv) as subparagraphs (A) through (D), respec-
tively.
(g) FOOD AND NUTRITION PROJECTS.—Section 12
of the Act is amended by striking subsection (m).
SEC. 808. SUMMER FOOD SERVICE PROGRAM FOR CHIL-
DREN.
(a) ESTABLISHMENT OF PROGRAM.—Section 13(a)
of the National School Lunch Act (42 U.S.C. 1761(a))
is amended—
(1) in paragraph (1)—
480
(A) in the first sentence, by striking ‘‘initi-
ate, maintain, and expand’’ and insert ‘‘initiate
and maintain’’; and
(B) in subparagraph (E) of the second
sentence, by striking ‘‘the Trust Territory of
the Pacific Islands,’’; and
(2) in paragraph (7)(A), by striking ‘‘Except as
provided in subparagraph (C), private’’ and inserting
‘‘Private’’.
(b) SERVICE INSTITUTIONS.—Section 13(b) of the
Act is amended by striking ‘‘(b)(1)’’ and all that follows
through the end of paragraph (1) and inserting the follow-
ing:
‘‘(b) SERVICE INSTITUTIONS.—
‘‘(1) PAYMENTS.—
‘‘(A) IN GENERAL.—Except as otherwise
provided in this paragraph, payments to service
institutions shall equal the full cost of food
service operations (which cost shall include the
costs of obtaining, preparing, and serving food,
but shall not include administrative costs).
‘‘(B) MAXIMUM
AMOUNTS.—Subject to
subparagraph (C), payments to any institution
under subparagraph (A) shall not exceed—
481
‘‘(i) $2.00 for each lunch and supper
served;
‘‘(ii) $1.20 for each breakfast served;
and
‘‘(iii) 50 cents for each meal supple-
ment served.
‘‘(C) ADJUSTMENTS.—Amounts specified
in subparagraph (B) shall be adjusted each
January 1 to the nearest lower cent increment
in accordance with the changes for the 12-
month period ending the preceding November
30 in the series for food away from home of the
Consumer Price Index for All Urban Consum-
ers published by the Bureau of Labor Statistics
of the Department of Labor. Each adjustment
shall be based on the unrounded adjustment for
the prior 12-month period.’’.
(c) ADMINISTRATION OF SERVICE INSTITUTIONS.—
Section 13(b)(2) of the Act is amended—
(1) in the first sentence, by striking ‘‘four
meals’’ and inserting ‘‘3 meals, or 2 meals and 1
supplement,’’; and
(2) by striking the second sentence.
(d) REIMBURSEMENTS.—Section 13(c)(2) of the Act
is amended—
482
(1) by striking subparagraph (A);
(2) in subparagraph (B)—
(A) in the first sentence—
(i) by striking ‘‘, and such higher edu-
cation institutions,’’; and
(ii) by striking ‘‘without application’’
and inserting ‘‘upon showing residence in
areas in which poor economic conditions
exist or on the basis of income eligibility
statements for children enrolled in the pro-
gram’’; and
(B) by adding at the end the following:
‘‘The higher education institutions referred to
in the preceding sentence shall be eligible to
participate in the program under this para-
graph without application.’’;
(3) in subparagraph (C)(ii), by striking ‘‘severe
need’’; and
(4) 
by 
redesignating 
subparagraphs 
(B)
through (E), as so amended, as subparagraphs (A)
through (D), respectively.
(e) 
ADVANCE
PROGRAM
PAYMENTS.—Section
13(e)(1) of the Act is amended—
(1) by striking ‘‘institution: Provided, That (A)
the’’ and inserting ‘‘institution. The’’;
483
(2) by inserting ‘‘(excluding a school)’’ after
‘‘any service institution’’; and
(3) by striking ‘‘responsibilities, and (B) no’’
and inserting ‘‘responsibilities. No’’.
(f) FOOD REQUIREMENTS.—Section 13(f) of the Act
is amended—
(1) by redesignating the first through seventh
sentences as paragraphs (1) through (7), respec-
tively;
(2) by striking paragraph (3), as redesignated
by paragraph (1);
(3) in paragraph (4), as redesignated by para-
graph (1), by striking ‘‘the first sentence’’ and in-
serting ‘‘paragraph (1)’’;
(4) in paragraph (6), as redesignated by para-
graph (1), by striking ‘‘that bacteria levels’’ and all
that follows through the period at the end and in-
serting ‘‘conformance with standards set by local
health authorities.’’; and
(5) by redesignating paragraphs (4) through
(7), as redesignated by paragraph (1), as para-
graphs (3) through (6), respectively.
(g) PERMITTING OFFER VERSUS SERVE.—Section
13(f) of the Act, as amended by subsection (f), is further
amended by adding at the end the following:
484
‘‘(7) OFFER VERSUS SERVE.—A school food au-
thority participating as a service institution may
permit a child attending a site on school premises
operated directly by the authority to refuse not more
than 1 item of a meal that the child does not intend
to consume. A refusal of an offered food item shall
not affect the amount of payments made under this
section to a school for the meal.’’.
(h) HEALTH DEPARTMENT INSPECTIONS.—Section
13(k) of the Act is amended by striking paragraph (3).
(i) FOOD SERVICE MANAGEMENT COMPANIES.—Sec-
tion 13(l) of the Act is amended—
(1) by striking paragraph (4);
(2) in paragraph (5), by striking the first sen-
tence; and
(3) by redesignating paragraph (5), as so
amended, as paragraph (4).
(j) RECORDS.—The second sentence of section 13(m)
of the Act is amended by striking ‘‘at all times be avail-
able’’ and inserting ‘‘be available at any reasonable time’’.
(k) REMOVING MANDATORY NOTICE TO INSTITU-
TIONS.—Section 13(n)(2) of the Act is amended by strik-
ing ‘‘, and its plans and schedule for informing service
institutions of the availability of the program’’.
(l) PLAN.—Section 13(n) of the Act is amended—
485
(1) in paragraph (2), by striking ‘‘including the
State’s methods of assessing need’’;
(2) by striking paragraph (3);
(3) in paragraph (4), by striking ‘‘and sched-
ule’’; and
(4) by redesignating paragraphs (4) through
(7), as so amended, as paragraphs (3) through (6),
respectively.
(m) MONITORING AND TRAINING.—Section 13(q) of
the Act is amended—
(1) by striking paragraphs (2) and (4);
(2) in paragraph (3), by striking ‘‘paragraphs
(1) and (2) of this subsection’’ and inserting ‘‘para-
graph (1)’’; and
(3) by redesignating paragraph (3), as so
amended, as paragraph (2).
(n) EXPIRED PROGRAM.—Section 13 of the Act is
amended—
(1) by striking subsection (p); and
(2) by redesignating subsections (q) and (r), as
so amended, as subsections (p) and (q), respectively.
(o) EFFECTIVE DATE.—The amendments made by
subsection (b) shall become effective on January 1, 1996.
486
SEC. 809. COMMODITY DISTRIBUTION.
(a) CEREAL AND SHORTENING IN COMMODITY DO-
NATIONS.—Section 14(b) of the National School Lunch
Act (42 U.S.C. 1762a(b)) is amended—
(1) by striking paragraph (1); and
(2) by redesignating paragraphs (2) and (3) as
paragraphs (1) and (2), respectively.
(b) IMPACT
STUDY
AND
PURCHASING
PROCE-
DURES.—Section 14(d) of the Act is amended by striking
the second and third sentences.
(c) CASH
COMPENSATION
FOR
PILOT
PROJECT
SCHOOLS.—Section 14(g) of the Act is amended by strik-
ing paragraph (3).
(d) STATE
ADVISORY
COUNCIL.—Section 14 is
amended—
(1) by striking subsection (e); and
(2) by redesignating subsections (f) and (g), as
so amended, as subsections (e) and (f), respectively.
SEC. 810. CHILD CARE FOOD PROGRAM.
(a) ESTABLISHMENT OF PROGRAM.—Section 17 of
the National School Lunch Act (42 U.S.C. 1766) is
amended—
(1) in the section heading, by striking ‘‘AND
ADULT’’; and
487
(2) in the first sentence of subsection (a), by
striking ‘‘initiate, maintain, and expand’’ and insert-
ing ‘‘initiate and maintain’’.
(b) PAYMENTS
TO SPONSOR EMPLOYEES.—Para-
graph (2) of the last sentence of section 17(a) of the Act
(42 U.S.C. 1766(a)) is amended—
(1) by striking ‘‘and’’ at the end of subpara-
graph (B);
(2) by striking the period at the end of sub-
paragraph (C) and inserting ‘‘; and’’; and
(3) by adding at the end the following:
‘‘(D) in the case of a family or group day
care home sponsoring organization that employs
more than 1 employee, the organization does
not base payments to an employee of the orga-
nization on the number of family or group day
care homes recruited.’’.
(c) TECHNICAL ASSISTANCE.—The last sentence of
section 17(d)(1) of the Act is amended by striking ‘‘, and
shall provide technical assistance’’ and all that follows
through ‘‘its application’’.
(d) IMPROVED TARGETING OF DAY CARE HOME RE-
IMBURSEMENTS.—
(1) RESTRUCTURED
DAY
CARE
HOME
REIM-
BURSEMENTS.—Section 17(f)(3) of the Act is
488
amended by striking ‘‘(3)(A) Institutions’’ and all
that follows through the end of subparagraph (A)
and inserting the following:
‘‘(3) REIMBURSEMENT OF FAMILY OR GROUP
DAY CARE HOME SPONSORING ORGANIZATIONS.—
‘‘(A) REIMBURSEMENT FACTOR.—
‘‘(i) IN
GENERAL.—An institution
that participates in the program under this
section as a family or group day care home
sponsoring organization shall be provided,
for payment to a home sponsored by the
organization, reimbursement factors in ac-
cordance with this subparagraph for the
cost of obtaining and preparing food and
prescribed labor costs involved in providing
meals under this section.
‘‘(ii) TIER I FAMILY OR GROUP DAY
CARE HOMES.—
‘‘(I) DEFINITION.—In this para-
graph, the term ‘tier I family or group
day care home’ means—
‘‘(aa) a family or group day
care home that is located in a ge-
ographic area, as defined by the
Secretary based on census data,
489
in which at least 50 percent of
the children residing in the area
are members of households whose
incomes meet the income eligi-
bility guidelines for free or re-
duced price meals under section
9;
‘‘(bb) a family or group day
care home that is located in an
area served by a school enrolling
elementary students in which at
least 50 percent of the total num-
ber of children enrolled are cer-
tified eligible to receive free or
reduced price school meals under
this Act or the Child Nutrition
Act of 1966 (42 U.S.C. 1771 et
seq.); or
‘‘(cc) a family or group day
care home that is operated by a
provider whose household meets
the income eligibility guidelines
for free or reduced price meals
under section 9 and whose in-
come is verified by the sponsor-
490
ing or organization of the home
under regulations established by
the Secretary.
‘‘(II) REIMBURSEMENT.—Except
as provided in subclause (III), a tier
I family or group day care home shall
be provided reimbursement factors
under this clause without a require-
ment for documentation of the costs
described in clause (i), except that re-
imbursement shall not be provided
under this subclause for meals or sup-
plements served to the children of a
person acting as a family or group
day care home provider unless the
children meet the income eligibility
guidelines for free or reduced price
meals under section 9.
‘‘(III) FACTORS.—Except as pro-
vided in subclause (IV), the reim-
bursement factors applied to a home
referred to in subclause (II) shall be
the factors in effect on the date of en-
actment of this subclause.
491
‘‘(IV) ADJUSTMENTS.—The re-
imbursement factors under this sub-
paragraph shall be adjusted on Au-
gust 1, 1996, July 1, 1997, and each
July 1 thereafter, to reflect changes in
the Consumer Price Index for food at
home for the most recent 12-month
period for which the data are avail-
able. 
The 
reimbursement 
factors
under this subparagraph shall be
rounded to the nearest lower cent in-
crement and based on the unrounded
adjustment in effect on June 30 of
the preceding school year.
‘‘(iii) TIER II FAMILY OR GROUP DAY
CARE HOMES.—
‘‘(I) IN GENERAL.—
‘‘(aa) FACTORS.—Except as
provided in subclause (II), with
respect to meals or supplements
served under this clause by a
family or group day care home
that does not meet the criteria
set forth in clause (ii)(I), the re-
imbursement factors shall be
492
$1.00 for lunches and suppers,
30 cents for breakfasts, and 15
cents for supplements.
‘‘(bb) ADJUSTMENTS.—The
factors shall be adjusted on July
1, 1997, and each July 1 there-
after, to reflect changes in the
Consumer Price Index for food at
home for the most recent 12-
month period for which the data
are available. The reimbursement
factors under this item shall be
rounded down to the nearest
lower cent increment and based
on the unrounded adjustment for
the preceding 12-month period.
‘‘(cc) REIMBURSEMENT.—A
family or group day care home
shall be provided reimbursement
factors under this subclause with-
out a requirement for docu-
mentation of the costs described
in clause (i), except that reim-
bursement shall not be provided
under this subclause for meals or
493
supplements served to the chil-
dren of a person acting as a fam-
ily or group day care home pro-
vider unless the children meet the
income eligibility guidelines for
free or reduced price meals under
section 9.
‘‘(II) OTHER FACTORS.—A fam-
ily or group day care home that does
not meet the criteria set forth in
clause (ii)(I) may elect to be provided
reimbursement factors determined in
accordance with the following require-
ments:
‘‘(aa) CHILDREN
ELIGIBLE
FOR
FREE
OR
REDUCED
PRICE
MEALS.—In the case of meals or
supplements served under this
subsection to children who are
members of households whose in-
comes meet the income eligibility
guidelines for free or reduced
price meals under section 9, the
family or group day care home
shall be provided reimbursement
494
factors set by the Secretary in
accordance with clause (ii)(III).
‘‘(bb) 
INELIGIBLE
CHIL-
DREN.—In the case of meals or
supplements served under this
subsection to children who are
members of households whose in-
comes do not meet the income
eligibility guidelines, the family
or group day care home shall be
provided reimbursement factors
in accordance with subclause (I).
‘‘(III) INFORMATION
AND
DE-
TERMINATIONS.—
‘‘(aa) IN
GENERAL.—If a
family or group day care home
elects to claim the factors de-
scribed in subclause (II), the
family or group day care home
sponsoring organization serving
the home shall collect the nec-
essary income information, as de-
termined by the Secretary, from
any parent or other caretaker to
make the determinations speci-
495
fied in subclause (II) and shall
make the determinations in ac-
cordance with rules prescribed by
the Secretary.
‘‘(bb) CATEGORICAL
ELIGI-
BILITY.—In making a determina-
tion under item (aa), a family or
group day care home sponsoring
organization may consider a child
participating in or subsidized
under, or a child with a parent
participating in or subsidized
under, a federally or State sup-
ported child care or other benefit
program with an income eligi-
bility limit that does not exceed
the eligibility standard for free or
reduced price meals under section
9 to be a child who is a member
of a household whose income
meets 
the 
income 
eligibility
guidelines under section 9.
‘‘(cc) FACTORS
FOR
CHIL-
DREN ONLY.—A family or group
day care home may elect to re-
496
ceive the reimbursement factors
prescribed under clause (ii)(III)
solely for the children participat-
ing in a program referred to in
item (bb) if the home elects not
to have income statements col-
lected from parents or other care-
takers.
‘‘(IV) SIMPLIFIED MEAL COUNT-
ING AND REPORTING PROCEDURES.—
The Secretary shall prescribe sim-
plified meal counting and reporting
procedures for use by a family or
group day care home that elects to
claim the factors under subclause (II)
and by a family or group day care
home sponsoring organization that
sponsors the home. The procedures
the Secretary prescribes may include
1 or more of the following:
‘‘(aa) Setting an annual per-
centage for each home of the
number of meals served that are
to be reimbursed in accordance
with the reimbursement factors
497
prescribed under clause (ii)(III)
and an annual percentage of the
number of meals served that are
to be reimbursed in accordance
with the reimbursement factors
prescribed under subclause (I),
based on the family income of
children enrolled in the home in a
specified month or other period.
‘‘(bb) Placing a home into 1
of 2 or more reimbursement cat-
egories annually based on the
percentage of children in the
home whose households have in-
comes that meet the income eligi-
bility guidelines under section 9,
with each such reimbursement
category carrying a set of reim-
bursement factors such as the
factors prescribed under clause
(ii)(III) or subclause (I) or fac-
tors established within the range
of factors prescribed under clause
(ii)(III) and subclause (I).
498
‘‘(cc) Such other simplified
procedures as the Secretary may
prescribe.
‘‘(V) 
MINIMUM
VERIFICATION
REQUIREMENTS.—The Secretary may
establish any necessary minimum ver-
ification requirements.’’.
(2) GRANTS TO STATES TO PROVIDE ASSIST-
ANCE TO FAMILY OR GROUP DAY CARE HOMES.—
Section 17(f)(3) of the Act is amended by adding at
the end the following:
‘‘(D) GRANTS TO STATES TO PROVIDE AS-
SISTANCE
TO
FAMILY
OR
GROUP
DAY
CARE
HOMES.—
‘‘(i) IN GENERAL.—
‘‘(I) 
RESERVATION.—From
amounts made available to carry out
this section, the Secretary shall re-
serve $5,000,000 of the amount made
available for fiscal year 1996.
‘‘(II) PURPOSE.—The Secretary
shall use the funds made available
under subclause (I) to provide grants
to States for the purpose of provid-
ing—
499
‘‘(aa) assistance, including
grants, to family and day care
home sponsoring organizations
and other appropriate organiza-
tions, in securing and providing
training, materials, automated
data processing assistance, and
other assistance for the staff of
the sponsoring organizations; and
‘‘(bb) training and other as-
sistance to family and group day
care homes in the implementation
of the amendment to subpara-
graph 
(A) 
made 
by 
section
808(d)(1) of the Personal Re-
sponsibility and Work Oppor-
tunity Act of 1996.
‘‘(ii) 
ALLOCATION.—The 
Secretary
shall allocate from the funds reserved
under clause (i)(I)—
‘‘(I) $30,000 in base funding to
each State; and
‘‘(II) 
any 
remaining 
amount
among the States, based on the num-
ber of family day care homes partici-
500
pating in the program in a State dur-
ing fiscal year 1994 as a percentage
of the number of all family day care
homes participating in the program
during fiscal year 1994.
‘‘(iii) RETENTION OF FUNDS.—Of the
amount of funds made available to a State
for fiscal year 1996 under clause (i), the
State may retain not to exceed 30 percent
of the amount to carry out this subpara-
graph.
‘‘(iv) ADDITIONAL
PAYMENTS.—Any
payments received under this subpara-
graph shall be in addition to payments
that a State receives under subparagraph
(A).’’.
(3) PROVISION OF DATA.—Section 17(f)(3) of
the Act, as amended by paragraph (2), is further
amended by adding at the end the following:
‘‘(E) PROVISION OF DATA TO FAMILY OR
GROUP DAY CARE HOME SPONSORING ORGANI-
ZATIONS.—
‘‘(i) CENSUS
DATA.—The Secretary
shall provide to each State agency admin-
istering a child care food program under
501
this section data from the most recent de-
cennial census survey or other appropriate
census survey for which the data are avail-
able showing which areas in the State meet
the 
requirements 
of 
subparagraph
(A)(ii)(I)(aa). The State agency shall pro-
vide the data to family or group day care
home sponsoring organizations located in
the State.
‘‘(ii) SCHOOL DATA.—
‘‘(I) 
IN
GENERAL.—A 
State
agency administering the school lunch
program under this Act or the school
breakfast program under the Child
Nutrition Act of 1966 (42 U.S.C.
1771 et seq.) shall provide to ap-
proved family or group day care home
sponsoring organizations a list of
schools serving elementary school chil-
dren in the State in which not less
than 1⁄2 of the children enrolled are
certified to receive free or reduced
price meals. The State agency shall
collect the data necessary to create
the list annually and provide the list
502
on a timely basis to any approved
family or group day care home spon-
soring organization that requests the
list.
‘‘(II) USE OF DATA FROM PRE-
CEDING SCHOOL YEAR.—In determin-
ing for a fiscal year or other annual
period whether a home qualifies as a
tier I family or group day care home
under subparagraph (A)(ii)(I), the
State agency administering the pro-
gram under this section, and a family
or group day care home sponsoring
organization, shall use the most cur-
rent available data at the time of the
determination.
‘‘(iii) 
DURATION
OF
DETERMINA-
TION.—For purposes of this section, a de-
termination that a family or group day
care home is located in an area that quali-
fies the home as a tier I family or group
day care home (as the term is defined in
subparagraph (A)(ii)(I)), shall be in effect
for 3 years (unless the determination is
made on the basis of census data, in which
503
case the determination shall remain in ef-
fect until more recent census data are
available) unless the State agency deter-
mines that the area in which the home is
located no longer qualifies the home as a
tier I family or group day care home.’’.
(4) CONFORMING AMENDMENTS.—Section 17(c)
of the Act is amended by inserting ‘‘except as pro-
vided in subsection (f)(3),’’ after ‘‘For purposes of
this section,’’ each place it appears in paragraphs
(1), (2), and (3).
(e) REIMBURSEMENT.—Section 17(f) of the Act is
amended—
(1) in paragraph (3)—
(A) in subparagraph (B), by striking the
third and fourth sentences; and
(B) in subparagraph (C)—
(i) in clause (i)—
(I) by striking ‘‘(i)’’;
(II) in the first sentence, by
striking ‘‘and expansion funds’’ and
all that follows through ‘‘rural areas’’;
(III) by striking the second sen-
tence; and
504
(IV) by striking ‘‘and expansion
funds’’ each place it appears; and
(ii) by striking clause (ii); and
(2) by striking paragraph (4).
(f) 
NUTRITIONAL
REQUIREMENTS.—Section
17(g)(1) of the Act is amended—
(1) in subparagraph (A), by striking the second
sentence; and
(2) in subparagraph (B), by striking the second
sentence.
(g) ELIMINATION OF STATE PAPERWORK AND OUT-
REACH BURDEN.—Section 17 of the Act is amended by
striking subsection (k) and inserting the following:
‘‘(k) TRAINING
AND TECHNICAL ASSISTANCE.—A
State participating in the program established under this
section shall provide sufficient training, technical assist-
ance, and monitoring to facilitate effective operation of the
program. The Secretary shall assist the State in develop-
ing plans to fulfill the requirements of this subsection.’’.
(h) RECORDS.—The second sentence of section 17(m)
of the Act is amended by striking ‘‘at all times’’ and in-
serting ‘‘at any reasonable time’’.
(i) MODIFICATION
OF ADULT CARE FOOD PRO-
GRAM.—Section 17(o) of the Act is amended—
(1) in the first sentence of paragraph (1)—
505
(A) by striking ‘‘adult day care centers’’
and inserting ‘‘day care centers for chronically
impaired disabled persons’’; and
(B) by striking ‘‘to persons 60 years of age
or older or’’; and
(2) in paragraph (2)—
(A) in subparagraph (A)—
(i) by striking ‘‘adult day care center’’
and inserting ‘‘day care center for chron-
ically impaired disabled persons’’; and
(ii) in clause (i)—
(I) by striking ‘‘adult’’;
(II) by striking ‘‘adults’’ and in-
serting ‘‘persons’’; and
(III) by striking ‘‘or persons 60
years of age or older’’; and
(B) in subparagraph (B), by striking
‘‘adult day care services’’ and inserting ‘‘day
care services for chronically impaired disabled
persons’’.
(j) UNNEEDED PROVISION.—Section 17 of the Act
is amended by striking subsection (q).
(k) CONFORMING AMENDMENTS.—
(1) Section 17B(f) of the Act (42 U.S.C.
1766b(f)) is amended—
506
(A) in the subsection heading, by striking
‘‘AND ADULT’’; and
(B) in paragraph (1), by striking ‘‘and
adult’’.
(2) Section 18(e)(3)(B) of the Act (42 U.S.C.
1769(e)(3)(B)) is amended by striking ‘‘and adult’’.
(3) Section 25(b)(1)(C) of the Act (42 U.S.C.
1769f(b)(1)(C)) is amended by striking ‘‘and adult’’.
(4) Section 3(1) of the Healthy Meals for
Healthy Americans Act of 1994 (Public Law 103–
448) is amended by striking ‘‘and adult’’.
(l) EFFECTIVE DATE.—
(1) IN GENERAL.—Except as provided in para-
graph (2), the amendments made by this section
shall become effective on the date of enactment of
this Act.
(2) IMPROVED TARGETING OF DAY CARE HOME
REIMBURSEMENTS.—The 
amendments 
made 
by
paragraphs (1), (3), and (4) of subsection (e) shall
become effective on August 1, 1996.
(3) REGULATIONS.—
(A) INTERIM
REGULATIONS.—Not later
than February 1, 1996, the Secretary shall
issue interim regulations to implement—
507
(i) the amendments made by para-
graphs (1), (3), and (4) of subsection (e);
and
(ii) section 17(f)(3)(C) of the National
School 
Lunch 
Act 
(42 
U.S.C.
1766(f)(3)(C)).
(B) FINAL REGULATIONS.—Not later than
August 1, 1996, the Secretary shall issue final
regulations to implement the provisions of law
referred to in subparagraph (A).
(m) STUDY OF IMPACT OF AMENDMENTS ON PRO-
GRAM PARTICIPATION AND FAMILY DAY CARE LICENS-
ING.—
(1) IN
GENERAL.—The Secretary of Agri-
culture, in conjunction with the Secretary of Health
and Human Services, shall study the impact of the
amendments made by this section on—
(A) the number of family day care homes
participating in the child care food program es-
tablished under section 17 of the National
School Lunch Act (42 U.S.C. 1766);
(B) the number of day care home sponsor-
ing organizations participating in the program;
(C) the number of day care homes that are
licensed, certified, registered, or approved by
508
each State in accordance with regulations is-
sued by the Secretary;
(D) the rate of growth of the numbers re-
ferred to in subparagraphs (A) through (C);
(E) the nutritional adequacy and quality of
meals served in family day care homes that—
(i) received reimbursement under the
program prior to the amendments made by
this section but do not receive reimburse-
ment after the amendments made by this
section; or
(ii) received full reimbursement under
the program prior to the amendments
made by this section but do not receive full
reimbursement 
after 
the 
amendments
made by this section; and
(F) the proportion of low-income children
participating in the program prior to the
amendments made by this section and the pro-
portion of low-income children participating in
the program after the amendments made by
this section.
(2) REQUIRED DATA.—Each State agency par-
ticipating in the child care food program under sec-
tion 17 of the National School Lunch Act (42
509
U.S.C. 1766) shall submit to the Secretary data
on—
(A) the number of family day care homes
participating in the program on July 31, 1996,
and July 31, 1997;
(B) the number of family day care homes
licensed, certified, registered, or approved for
service on July 31, 1996, and July 31, 1997;
and
(C) such other data as the Secretary may
require to carry out this subsection.
(3) SUBMISSION OF REPORT.—Not later than 2
years after the effective date of this section, the Sec-
retary shall submit the study required under this
subsection to the Committee on Economic and Edu-
cational Opportunities of the House of Representa-
tives and the Committee on Agriculture, Nutrition,
and Forestry of the Senate.
SEC. 811. PILOT PROJECTS.
(a) UNIVERSAL FREE PILOT.—Section 18(d) of the
National School Lunch Act (42 U.S.C. 1769(d)) is amend-
ed—
(1) by striking paragraph (3); and
(2) by redesignating paragraphs (4) and (5) as
paragraphs (3) and (4), respectively.
510
(b) DEMO PROJECT OUTSIDE SCHOOL HOURS.—Sec-
tion 18(e) of the Act is amended—
(1) in paragraph (1)—
(A) in subparagraph (A)—
(i) by striking ‘‘(A)’’; and
(ii) by striking ‘‘shall’’ and inserting
‘‘may’’; and
(B) by striking subparagraph (B); and
(2) by striking paragraph (5) and inserting the
following:
‘‘(5) AUTHORIZATION
OF
APPROPRIATIONS.—
There are authorized to be appropriated to carry out
this subsection such sums as are necessary for each
of fiscal years 1997 and 1998.’’.
(c) ELIMINATING PROJECTS.—Section 18 of the Act
is amended—
(1) by striking subsections (a) and (g) through
(i); and
(2) by redesignating subsections (b) through
(f), as so amended, as subsections (a) through (e),
respectively.
(d) 
CONFORMING
AMENDMENT.—Section
17B(d)(1)(A) of the Act (42 U.S.C. 1766b(d)(1)(A)) is
amended by striking ‘‘18(c)’’ and inserting ‘‘18(b)’’.
511
SEC. 812. REDUCTION OF PAPERWORK.
Section 19 of the National School Lunch Act (42
U.S.C. 1769a) is repealed.
SEC. 813. INFORMATION ON INCOME ELIGIBILITY.
Section 23 of the National School Lunch Act (42
U.S.C. 1769d) is repealed.
SEC. 814. NUTRITION GUIDANCE FOR CHILD NUTRITION
PROGRAMS.
Section 24 of the National School Lunch Act (42
U.S.C. 1769e) is repealed.
SEC. 815. INFORMATION CLEARINGHOUSE.
Section 26 of the National School Lunch Act (42
U.S.C. 1769g) is repealed.
Subtitle B—Child Nutrition Act of
1966
SEC. 821. SPECIAL MILK PROGRAM.
(a) DEFINITION.—Section 3(a)(3) of the Child Nutri-
tion Act of 1966 (42 U.S.C. 1772(a)(3)) is amended by
striking ‘‘the Trust Territory of the Pacific Islands’’ and
inserting ‘‘the Commonwealth of the Northern Mariana
Islands’’.
(b) ADJUSTMENTS TO REIMBURSEMENTS.—
(1) IN GENERAL.—Section 3(a) of the Act is
amended by striking paragraph (8) and inserting the
following:
‘‘(8) ADJUSTMENTS.—
512
‘‘(A) IN GENERAL.—Except as otherwise
provided in this paragraph, in the case of each
school year, the Secretary shall—
‘‘(i) base the adjustment made under
paragraph (7) on the amount of the
unrounded adjustment for the preceding
school year;
‘‘(ii) adjust the resulting amount in
accordance with paragraph (7); and
‘‘(iii) round the result to the nearest
lower cent increment.
‘‘(B) ADJUSTMENT FOR 12-MONTH PERIOD
BEGINNING JULY 1, 1996.—In the case of the
12-month period beginning July 1, 1996, the
minimum rate shall be the same as the mini-
mum rate in effect on June 30, 1996, rounded
to the nearest lower cent increment.
‘‘(C) ADJUSTMENT FOR SCHOOL YEAR BE-
GINNING
JULY
1, 1997.—In the case of the
school year beginning July 1, 1997, the Sec-
retary shall—
‘‘(i) base the adjustment made under
paragraph (7) on the amount of the
unrounded adjustment for the minimum
513
rate for the school year beginning July 1,
1996;
‘‘(ii) adjust the resulting amount to
reflect changes in the Producer Price
Index for Fresh Processed Milk published
by the Bureau of Labor Statistics of the
Department of Labor for the most recent
12-month period for which the data are
available; and
‘‘(iii) round the result to the nearest
lower cent increment.’’.
(2) EFFECTIVE DATE.—The amendment made
by paragraph (1) shall become effective on July 1,
1996.
SEC. 822. REIMBURSEMENT RATES FOR FREE AND RE-
DUCED PRICE BREAKFASTS.
(a) IN GENERAL.—Section 4(b) of the Child Nutri-
tion Act of 1966 (42 U.S.C. 1773(b)) is amended—
(1) in paragraph (1)(B)—
(A) in the first sentence, by striking ‘‘sec-
tion 11(a)’’ and inserting ‘‘subparagraphs (B)
through (D) of section 11(a)(3)’’; and
(B) in the second sentence, by striking ‘‘,
adjusted to the nearest one-fourth cent’’ and in-
serting ‘‘(as adjusted pursuant to subpara-
514
graphs (B) through (D) of section 11(a)(3) of
the National School Lunch Act (42 U.S.C.
1759a(a)(3)))’’; and
(2) in paragraph (2)(B)(ii)—
(A) by striking ‘‘nearest one-fourth cent’’
and inserting ‘‘nearest lower cent increment for
the applicable school year’’; and
(B) by inserting before the period at the
end the following: ‘‘, and the adjustment re-
quired by this clause shall be based on the
unrounded adjustment for the preceding school
year’’.
(b) EFFECTIVE DATE.—The amendments made by
subsection (a) shall become effective on July 1, 1996.
SEC. 823. FREE AND REDUCED PRICE POLICY STATEMENT.
Section 4(b)(1) of the Child Nutrition Act of 1966
(42 U.S.C. 1773(b)(1)) is amended by adding at the end
the following:
‘‘(E) FREE AND REDUCED PRICE POLICY
STATEMENT.—After the initial submission, a
school shall not be required to submit a free
and reduced price policy statement to a State
educational agency under this Act unless there
is a substantive change in the free and reduced
price policy of the school. A routine change in
515
the policy of a school, such as an annual adjust-
ment of the income eligibility guidelines for free
and reduced price meals, shall not be sufficient
cause for requiring the school to submit a policy
statement.’’.
SEC. 824. SCHOOL BREAKFAST PROGRAM AUTHORIZATION.
(a) TRAINING AND TECHNICAL ASSISTANCE IN FOOD
PREPARATION.—Section 4(e)(1) of the Child Nutrition
Act of 1966 (42 U.S.C. 1773(e)(1)) is amended—
(1) in subparagraph (A), by striking ‘‘(A)’’; and
(2) by striking subparagraph (B).
(b) EXPANSION OF PROGRAM; STARTUP AND EXPAN-
SION COSTS.—
(1) IN
GENERAL.—Section 4 of the Act is
amended by striking subsections (f) and (g).
(2) EFFECTIVE DATE.—The amendments made
by paragraph (1) shall become effective on October
1, 1996.
SEC. 825. STATE ADMINISTRATIVE EXPENSES.
(a) USE OF FUNDS FOR COMMODITY DISTRIBUTION
ADMINISTRATION; STUDIES.—Section 7 of the Child Nu-
trition Act of 1966 (42 U.S.C. 1776) is amended—
(1) by striking subsections (e) and (h); and
(2) by redesignating subsections (f), (g), and (i)
as subsections (e), (f), and (g), respectively.
516
(b) APPROVAL OF CHANGES.—Section 7(e) of the
Act, as so redesignated, is amended—
(1) by striking ‘‘each year an annual plan’’ and
inserting ‘‘the initial fiscal year a plan’’; and
(2) by adding at the end the following: ‘‘After
submitting the initial plan, a State shall only be re-
quired to submit to the Secretary for approval a
substantive change in the plan.’’.
SEC. 826. REGULATIONS.
Section 10 of the Child Nutrition Act of 1966 (42
U.S.C. 1779) is amended—
(1) in subsection (b)—
(A) in paragraph (1), by striking ‘‘(1)’’;
and
(B) by striking paragraphs (2) through
(4); and
(2) in subsection (c)—
(A) by striking ‘‘may’’ and inserting
‘‘shall’’;
(B) by inserting ‘‘, except the program au-
thorized under section 17,’’ after ‘‘under this
Act’’; and
(C) by adding at the end the following:
‘‘Such regulations shall prohibit the transfer of
funds that are used to support meals served to
517
children with incomes below the income eligi-
bility criteria for free or reduced price meals, as
provided in section 9(b) of the National School
Lunch Act.’’.
SEC. 827. PROHIBITIONS.
Section 11(a) of the Child Nutrition Act of 1966 (42
U.S.C. 1780(a)) is amended by striking ‘‘neither the Sec-
retary nor the State shall’’ and inserting ‘‘the Secretary
shall not’’.
SEC. 828. MISCELLANEOUS PROVISIONS AND DEFINITIONS.
Section 15 of the Child Nutrition Act of 1966 (42
U.S.C. 1784) is amended—
(1) in paragraph (1), by striking ‘‘the Trust
Territory of the Pacific Islands’’ and inserting ‘‘the
Commonwealth of the Northern Mariana Islands’’;
and
(2) in the first sentence of paragraph (3)—
(A) in subparagraph (A), by inserting
‘‘and’’ at the end; and
(B) by striking ‘‘, and (C)’’ and all that
follows through ‘‘Governor of Puerto Rico’’.
SEC. 829. ACCOUNTS AND RECORDS.
The second sentence of section 16(a) of the Child Nu-
trition Act of 1966 (42 U.S.C. 1785(a)) is amended by
518
striking ‘‘at all times be available’’ and inserting ‘‘be avail-
able at any reasonable time’’.
SEC. 830. SPECIAL SUPPLEMENTAL NUTRITION PROGRAM
FOR WOMEN, INFANTS, AND CHILDREN.
(a) DEFINITIONS.—Section 17(b) of the Child Nutri-
tion Act of 1966 (42 U.S.C. 1786(b)) is amended—
(1) in paragraph (15)(B)(iii), by inserting ‘‘of
not more than 90 days’’ after ‘‘accommodation’’;
and
(2) in paragraph (16)—
(A) in subparagraph (A), by adding ‘‘and’’
at the end; and
(B) in subparagraph (B), by striking ‘‘;
and’’ and inserting a period; and
(C) by striking subparagraph (C).
(b) SECRETARY’S PROMOTION
OF WIC.—Section
17(c) of the Act is amended by striking paragraph (5).
(c) ELIGIBLE PARTICIPANTS.—Section 17(d) of the
Act is amended by striking paragraph (4).
(d) NUTRITION EDUCATION AND DRUG ABUSE EDU-
CATION.—Section 17(e) of the Act is amended—
(1) in the first sentence of paragraph (1), by
striking ‘‘shall ensure’’ and all that follows through
‘‘is provided’’ and inserting ‘‘shall provide nutrition
education and may provide drug abuse education’’;
519
(2) in paragraph (2), by striking the third sen-
tence;
(3) by striking paragraph (4) and inserting the
following:
‘‘(4) INFORMATION.—The State agency may
provide a local agency with materials describing
other programs for which participants in the pro-
gram may be eligible.’’;
(4) in paragraph (5), by striking ‘‘The State’’
and all that follows through ‘‘local agency shall’’ and
inserting ‘‘A local agency may’’; and
(5) by striking paragraph (6).
(e) STATE PLAN.—Section 17(f) of the Act is amend-
ed—
(1) in paragraph (1)—
(A) in subparagraph (A)—
(i) by striking ‘‘annually to the Sec-
retary, by a date specified by the Sec-
retary, a’’ and inserting ‘‘to the Secretary,
by a date specified by the Secretary, an
initial’’; and
(ii) by adding at the end the follow-
ing: ‘‘After submitting the initial plan, a
State shall only be required to submit to
520
the Secretary for approval a substantive
change in the plan.’’;
(B) in subparagraph (C)—
(i) by striking clause (iii) and insert-
ing the following:
‘‘(iii) a plan to coordinate operations under the
program with other services or programs that may
benefit participants in, and applicants for, the pro-
gram;’’;
(ii) in clause (vi), by inserting after
‘‘in the State’’ the following: ‘‘(including a
plan to improve access to the program for
participants and prospective applicants
who are employed, or who reside in rural
areas)’’;
(iii) by striking clauses (vii), (ix), (x),
and (xii);
(iv) in clause (xiii), by striking ‘‘may
require’’ and inserting ‘‘may reasonably re-
quire’’; and
(v) by redesignating clauses (viii),
(xi), and (xiii), as so amended, as clauses
(vii), (viii), and (ix), respectively;
(C) by striking subparagraph (D); and
521
(D) by redesignating subparagraph (E) as
subparagraph (D);
(2) by striking paragraphs (2), (6), (8), (20),
(22), and (24);
(3) in the second sentence of paragraph (5), by
striking ‘‘at all times be available’’ and inserting ‘‘be
available at any reasonable time’’;
(4) in paragraph (9)(B), by striking the second
sentence;
(5) in the first sentence of paragraph (11), by
striking ‘‘, including standards that will ensure suffi-
cient State agency staff’’;
(6) in paragraph (12), by striking the third sen-
tence;
(7) in paragraph (14), by striking ‘‘shall’’ and
inserting ‘‘may’’;
(8) in paragraph (17), by striking ‘‘and to ac-
commodate’’ and all that follows through ‘‘facili-
ties’’;
(9) in paragraph (19), by striking ‘‘shall’’ and
inserting ‘‘may’’; and
(10) by redesignating paragraphs (3), (4), (5),
(7), (9) through (19), (21), and (23), as so amend-
ed, as paragraphs (2), (3), (4), (5), (6) through
(16), (17), and (18), respectively.
522
(f) INFORMATION.—Section 17(g) of the Act is
amended—
(1) in paragraph (5), by striking ‘‘the report re-
quired under subsection (d)(4)’’ and inserting ‘‘re-
ports on program participant characteristics’’; and
(2) by striking paragraph (6).
(g) PROCUREMENT OF INFANT FORMULA.—
(1) IN GENERAL.—Section 17(h) of the Act is
amended—
(A) in paragraph (4)(E), by striking ‘‘and,
on’’ and all that follows through ‘‘(d)(4)’’;
(B) in paragraph (8)—
(i) by striking subparagraphs (A),
(C), and (M);
(ii) in subparagraph (G)—
(I) in clause (i), by striking ‘‘(i)’’;
and
(II) 
by 
striking 
clauses 
(ii)
through (ix);
(iii) in subparagraph (I), by striking
‘‘Secretary—’’ and all that follows through
‘‘(v) may’’ and inserting ‘‘Secretary may’’;
(iv) by redesignating subparagraphs
(B) and (D) through (L) as subparagraphs
(A) and (B) through (J), respectively;
523
(v) in subparagraph (A)(i), as so re-
designated, by striking ‘‘subparagraphs
(C), (D), and (E)(iii), in carrying out sub-
paragraph (A),’’ and inserting ‘‘subpara-
graphs (B) and (C)(iii),’’;
(vi) in subparagraph (B)(i), as so re-
designated, by striking ‘‘subparagraph
(B)’’ each place it appears and inserting
‘‘subparagraph (A)’’; and
(vii) in subparagraph (C)(iii), as so
redesignated, by striking ‘‘subparagraph
(B)’’ and inserting ‘‘subparagraph (A)’’;
and
(C) in paragraph (10)(A), by striking
‘‘shall’’ and inserting ‘‘may’’.
(2) APPLICATION.—The amendments made by
paragraph (1) shall not apply to a contract for the
procurement of infant formula under section
17(h)(8) of the Act that is in effect on the effective
date of this subsection.
(h) NATIONAL ADVISORY COUNCIL ON MATERNAL,
INFANT, AND FETAL NUTRITION.—Section 17(k)(3) of
the Act is amended by striking ‘‘Secretary shall designate’’
and inserting ‘‘Council shall elect’’.
524
(i) COMPLETED STUDY; COMMUNITY COLLEGE DEM-
ONSTRATION; GRANTS FOR INFORMATION AND DATA SYS-
TEM.—Section 17 of the Act is amended by striking sub-
sections (n), (o), and (p).
(j) DISQUALIFICATION OF VENDORS WHO ARE DIS-
QUALIFIED UNDER THE FOOD STAMP PROGRAM.—Sec-
tion 17 of the Act, as so amended, is further amended
by adding at the end the following:
‘‘(n) DISQUALIFICATION
OF VENDORS WHO ARE
DISQUALIFIED UNDER THE FOOD STAMP PROGRAM.—
‘‘(1) IN GENERAL.—The Secretary shall issue
regulations providing criteria for the disqualification
under this section of an approved vendor that is dis-
qualified from accepting benefits under the food
stamp program established under the Food Stamp
Act of 1977 (7 U.S.C. 2011 et seq.).
‘‘(2) TERMS.—A disqualification under para-
graph (1)—
‘‘(A) shall be for the same period as the
disqualification from the program referred to in
paragraph (1);
‘‘(B) may begin at a later date than the
disqualification from the program referred to in
paragraph (1); and
525
‘‘(C) shall not be subject to judicial or ad-
ministrative review.’’.
SEC. 831. CASH GRANTS FOR NUTRITION EDUCATION.
Section 18 of the Child Nutrition Act of 1966 (42
U.S.C. 1787) is repealed.
SEC. 832. NUTRITION EDUCATION AND TRAINING.
(a) FINDINGS.—Section 19 of the Child Nutrition
Act of 1966 (42 U.S.C. 1788) is amended—
(1) in subsection (a), by striking ‘‘that—’’ and
all that follows through the period at the end and
inserting ‘‘that effective dissemination of scientif-
ically valid information to children participating or
eligible to participate in the school lunch and related
child nutrition programs should be encouraged.’’;
and
(2) in subsection (b), by striking ‘‘encourage’’
and all that follows through ‘‘establishing’’ and in-
serting ‘‘establish’’.
(b) USE OF FUNDS.—Section 19(f) of the Act is
amended—
(1) in paragraph (1)—
(A) by striking subparagraph (B); and
(B) in subparagraph (A)—
(i) by striking ‘‘(A)’’;
526
(ii) by striking clauses (ix) through
(xix);
(iii) by redesignating clauses (i)
through (viii) and (xx) as subparagraphs
(A) through (H) and (I), respectively; and
(iv) in subparagraph (H), as so redes-
ignated, by inserting ‘‘and’’ at the end;
(2) by striking paragraphs (2) and (4); and
(3) by redesignating paragraph (3) as para-
graph (2).
(c) ACCOUNTS, RECORDS, AND REPORTS.—The sec-
ond sentence of section 19(g)(1) of the Act is amended
by striking ‘‘at all times be available’’ and inserting ‘‘be
available at any reasonable time’’.
(d) STATE COORDINATORS FOR NUTRITION; STATE
PLAN.—Section 19(h) of the Act is amended—
(1) in the second sentence of paragraph (1)—
(A) by striking ‘‘as provided in paragraph
(2) of this subsection’’; and
(B) by striking ‘‘as provided in paragraph
(3) of this subsection’’;
(2) in paragraph (2), by striking the second
and third sentences; and
(3) by striking paragraph (3).
527
(e) AUTHORIZATION OF APPROPRIATIONS.—Section
19(i) of the Act is amended—
(1) in the first sentence of paragraph (2)(A), by
striking ‘‘and each succeeding fiscal year’’;
(2) by redesignating paragraphs (3) and (4) as
paragraphs (4) and (5), respectively; and
(3) by inserting after paragraph (2) the follow-
ing:
‘‘(3) FISCAL YEARS 1997 THROUGH 2002.—
‘‘(A) IN GENERAL.—There are authorized
to be appropriated to carry out this section
$10,000,000 for each of fiscal years 1997
through 2002.
‘‘(B) GRANTS.—
‘‘(i) IN
GENERAL.—Grants to each
State from the amounts made available
under subparagraph (A) shall be based on
a rate of 50 cents for each child enrolled
in schools or institutions within the State,
except that no State shall receive an
amount less than $75,000 per fiscal year.
‘‘(ii) INSUFFICIENT
FUNDS.—If the
amount made available for any fiscal year
is insufficient to pay the amount to which
each State is entitled under clause (i), the
528
amount of each grant shall be ratably re-
duced.’’.
(f) ASSESSMENT.—Section 19 of the Act is amended
by striking subsection (j).
(g) EFFECTIVE DATE.—The amendments made by
subsection (e) shall become effective on October 1, 1996.
SEC. 833. BREASTFEEDING PROMOTION PROGRAM.
Section 21 of the Child Nutrition Act of 1966 (42
U.S.C. 1790) is repealed.
TITLE 
IX—FOOD 
STAMP 
PRO-
GRAM AND RELATED PRO-
GRAMS
SEC. 901. DEFINITION OF CERTIFICATION PERIOD.
Section 3(c) of the Food Stamp Act of 1977 (7
U.S.C. 2012(c)) is amended by striking ‘‘Except as pro-
vided’’ and all that follows and inserting the following:
‘‘The certification period shall not exceed 12 months, ex-
cept that the certification period may be up to 24 months
if all adult household members are elderly or disabled. A
State agency shall have at least 1 contact with each cer-
tified household every 12 months.’’.
SEC. 902. EXPANDED DEFINITION OF ‘‘COUPON’’.
Section 3(d) of the Food Stamp Act of 1977 (7
U.S.C. 2012(d)) is amended by striking ‘‘or type of certifi-
cate’’ and inserting ‘‘type of certificate, authorization
529
cards, cash or checks issued in lieu of coupons or access
devices, including, but not limited to, electronic benefit
transfer cards and personal identification numbers’’.
SEC. 903. TREATMENT OF CHILDREN LIVING AT HOME.
The second sentence of section 3(i) of the Food
Stamp Act of 1977 (7 U.S.C. 2012(i)) is amended by
striking ‘‘(who are not themselves parents living with their
children or married and living with their spouses)’’.
SEC. 904. ADJUSTMENT OF THRIFTY FOOD PLAN.
The second sentence of section 3(o) of the Food
Stamp Act of 1977 (7 U.S.C. 2012(o)) is amended—
(1) by striking ‘‘shall (1) make’’ and inserting
the following:
‘‘shall—
‘‘(1) make’’;
(2) by striking ‘‘scale, (2) make’’ and inserting
the following:
‘‘scale;
‘‘(2) make’’;
(3) by striking ‘‘Alaska, (3) make’’ and insert-
ing the following:
‘‘Alaska;
‘‘(3) make’’; and
530
(4) by striking ‘‘Columbia, (4) through’’ and all
that follows through the end of the subsection and
inserting the following:
‘‘Columbia; and
‘‘(4) on October 1, 1996, and each October 1
thereafter, adjust the cost of the diet to reflect the
cost of the diet, in the preceding June, and round
the result to the nearest lower dollar increment for
each household size, except that on October 1, 1996,
the Secretary may not reduce the cost of the diet in
effect on September 30, 1996.’’.
SEC. 905. DEFINITION OF HOMELESS INDIVIDUAL.
Section 3(s)(2)(C) of the Food Stamp Act of 1977
(7 U.S.C. 2012(s)(2)(C)) is amended by inserting ‘‘for not
more than 90 days’’ after ‘‘temporary accommodation’’.
SEC. 906. ENERGY ASSISTANCE AND OTHER INCOME EX-
CLUSIONS.
(a) IN GENERAL.—Section 5(d)(11) of the Food
Stamp Act of 1977 (7 U.S.C. 2014(d)) is amended to read
as follows: ‘‘(11) a 1-time payment or allowance made
under a Federal or State law for the costs of weatheriza-
tion or emergency repair or replacement of an unsafe or
inoperative furnace or other heating or cooling device,’’.
(b) CONFORMING AMENDMENTS.—
531
(1) Section 5(k) of the Food Stamp Act of
1977 Act (7 U.S.C. 2014(k)) is amended—
(A) in paragraph (1)—
(i) in subparagraph (A), by striking
‘‘plan for aid to families with dependent
children approved’’ and inserting ‘‘program
funded’’; and
(ii) in subparagraph (B), by striking
‘‘, not including energy or utility-cost as-
sistance,’’;
(B) by amending paragraph (2)(C) to read
as follows:
‘‘(C) a payment or allowance described in sub-
section (d)(11);’’; and
(C) by adding at the end the following:
‘‘(4) THIRD PARTY ENERGY ASSISTANCE PAY-
MENTS.—
‘‘(A) ENERGY
ASSISTANCE
PAYMENTS.—
For purposes of subsection (d)(1), a payment
made under a Federal or State law to provide
energy assistance to a household shall be con-
sidered money payable directly to the house-
hold.
‘‘(B) ENERGY
ASSISTANCE
EXPENSES.—
For purposes of subsection (e)(7), an expense
532
paid on behalf of a household under a Federal
or State law to provide energy assistance shall
be considered an out-of-pocket expense incurred
and paid by the household.’’.
(2) Section 2605(f) of the Low-Income Home
Energy Assistance Act of 1981 (42 U.S.C. 8624(f))
is amended—
(A) by striking ‘‘(f)(1) Notwithstanding’’
and inserting ‘‘(f) Notwithstanding’’;
(B) in paragraph (1), by striking ‘‘food
stamps,’’; and
(C) by striking paragraph (2).
(c) EXCLUSION OF CERTAIN JTPA INCOME.—Sec-
tion 5 of the Food Stamp Act of 1977 (7 U.S.C. 2014)
is amended—
(1) in subsection (d)—
(A) by striking ‘‘and (16)’’ and inserting
‘‘(16)’’; and
(B) by inserting before the period at the
end the following: ‘‘, and (17) income received
under the Job Training Partnership Act (29
U.S.C. 1501 et seq.) by a household member
who is less than 19 years of age’’; and
(2) in subsection (l), by striking ‘‘under section
204(b)(1)(C)’’ and all that follows and inserting
533
‘‘shall be considered earned income for purposes of
the food stamp program.’’.
(d) EXCLUSION OF LIFE INSURANCE POLICIES.—
Section 5(g) of the Food Stamp Act of 1977 (7 U.S.C.
2014(g)) is amended by adding at the end the following:
‘‘(6) The Secretary shall exclude from financial re-
sources the cash value of any life insurance policy owned
by a member of a household.’’.
(e) IN-TANDEM EXCLUSIONS FROM INCOME.—Sec-
tion 5 of the Food Stamp Act of 1977 (7 U.S.C. 2014)
is amended by adding at the end the following:
‘‘(n) Whenever a Federal statute enacted after the
date of the enactment of this Act excludes funds from in-
come for purposes of determining eligibility, benefit levels,
or both under State plans approved under part A of title
IV of the Social Security Act, then such funds shall be
excluded from income for purposes of determining eligi-
bility, benefit levels, or both, respectively, under the food
stamp program of households all of whose members re-
ceive benefits under a State plan approved under part A
of title IV of the Social Security Act.’’.
SEC. 907. DEDUCTIONS FROM INCOME.
Section 5(e) of the Food Stamp Act of 1977 (7
U.S.C. 2014(e)) is amended—
(1) in the 1st sentence—