I 
108TH CONGRESS 
1ST SESSION H. R. 3415
To improve the program of temporary Federal fiscal assistance to States. 
IN THE HOUSE OF REPRESENTATIVES 
OCTOBER 30, 2003
Mr. KING of Iowa (for himself, Mr. SHADEGG, Mr. SESSIONS, Mr. GUT-
KNECHT, Mrs. MUSGRAVE, Mr. PITTS, Mr. JONES of North Carolina, Mr. 
GOODE, Mr. BARTLETT of Maryland, Mr. AKIN, Mr. DOOLITTLE, Mr. 
FRANKS of Arizona, Mr. HOEKSTRA, Mr. BEAUPREZ, Mr. CHOCOLA, Mr. 
RYUN of Kansas, Mr. TERRY, Mr. CRANE, Mr. HENSARLING, Mr. MIL-
LER of Florida, Mr. RYAN of Wisconsin, Mr. WILSON of South Carolina, 
Mr. HOSTETTLER, Mr. PENCE, Mr. TANCREDO, Mr. GARRETT of New 
Jersey, and Mr. BARRETT of South Carolina) introduced the following 
bill; which was referred to the Committee on Government Reform 
A BILL 
To improve the program of temporary Federal fiscal 
assistance to States.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘State Assistance Ac-
countability Act’’.
SEC. 2. FUNDING LIMITATIONS AND CRITERIA. 
Section 601(d)(2) of the Social Security Act (42 
U.S.C. 801(d)(2)) is amended to read as follows: 
‘‘(2) LIMITATION.—A State may use funds pro-
vided under this section only for types of expendi-
tures authorized under—
‘‘(A) the budget of the State for the fiscal 
year for which the funds are to be expended 
that, as of May 28, 2003, was most recently ap-
proved by the State legislature; or 
‘‘(B) in the absence of such a budget, the 
budget of the State for the fiscal year for which 
the funds are to be expended that, as of May 
28, 2003, was at the furthest stage of develop-
ment by the State legislature.’’. 
SEC. 3. STATE CERTIFICATION. 
Section 601(e) of the Social Security Act (42 U.S.C. 
801(e)) is amended to read as follows: 
‘‘(e) CERTIFICATION.—In order to receive a payment 
under this section for a fiscal year, the State shall provide 
the Secretary of the Treasury with a certification that the 
State will use the payment in accordance with subsection 
(d). The certification shall include a detailed report on 
how the payment will be expended.’’.
SEC. 4. AUDIT AND REMITTANCE. 
Section 601 of the Social Security Act (42 U.S.C. 
801) is amended by redesignating subsections (f) and (g) 
as subsections (i) and (j), respectively, and by inserting 
after subsection (e) the following: 
‘‘(f) AUDIT.—At the end of any State fiscal year for 
which a State expends funds provided under this section, 
the Secretary of the Treasury shall conduct an audit to 
ensure that the funds were spent in accordance with sub-
section (d) and the certification required by subsection (e). 
‘‘(g) REMITTANCE
OF
IMPROPERLY
EXPENDED 
FUNDS.—If the Secretary of the Treasury determines that 
a State has expended funds provided under this section, 
in a manner inconsistent with subsection (d) or the certifi-
cation required by subsection (e), the State shall remit to 
the Treasury of the United States an amount equal to the 
amount so determined to have been inappropriately ex-
pended plus a 10 percent penalty, plus interest at a rate 
of 10 percent per annum. 
‘‘(h) GUIDANCE ON ESSENTIAL GOVERNMENT SERV-
ICE.—In making a determination as to whether a State 
has expended funds provided under this section on an es-
sential government service, the Secretary of the Treasury 
shall take into consideration whether the service—