the first 24 months for which an individual
is a qualified individual, from any require-
ment to participate in the transition com-
ponent if the individual is described in
paragraph (35)(A) and is in compliance
with paragraph (35)(A);
‘‘(II)(aa) each qualified individual partici-
pating in the transition component must par-
ticipate in activities under such component for
an average of not fewer than 10 hours per week
during the first 24 months of such participa-
tion;
‘‘(bb) the State, in consultation with the
Secretary, must establish guidelines by which
determinations under item (aa) will be made,
and which, in the case of educational activities,
must provide that an individual who is enrolled
full-time in a program of study at an edu-
cational institution (including a vocational or
technical training school), as determined by the
institution, and is making satisfactory progress
in the program of study, as determined by the
institution, is to be regarded as participating in
the transition component, in accordance with
such rules as the Secretary may prescribe (in-
cluding rules governing how time spent in such
a program of study is to be converted into
hours of participation in the transition compo-
nent);
‘‘(iii)(I) if a qualified individual (other
than a qualified individual who is a member of
a family receiving aid under the plan by reason
of section 407) is not participating in the tran-
sition component of the program, the State
must require the qualified individual to partici-
pate in the work component of the program for
35 hours per week (or 30 hours per week, if the
State requires the participant to engage in a
job search program established by the State
under section 482(g));
‘‘(II) in the case of a family which has re-
ceived aid under the plan by reason of section
407, the State must require at least 1 parent
in the family to participate in the work compo-
nent by engaging in work activities for 32 hours
per week and by engaging in job search activi-
ties for 8 hours per week;
‘‘(III) any qualified individual participating
in the work component, may, with the approval
of the State, discontinue participation in the
work component and begin or resume participa-
tion in the transition component, subject to
clause (ii)(I)(cc);
‘‘(iv) each qualified individual must cooper-
ate with the State in developing a plan which—
‘‘(I) describes the respective respon-
sibilities of the State and of the individual
under the program with the goal of prepar-
ing the individual for work; and
‘‘(II) includes a written statement in-
forming the individual that, upon comple-
tion of the transition component of the
program, aid under the State plan under
this part will be discontinued unless the in-
dividual finds gainful employment or is
participating in the work component of the
program;
‘‘(v) if the State determines that a quali-
fied individual has failed to comply with any re-
quirement imposed under this subparagraph—
‘‘(I) in the case of the 1st such fail-
ure, the State shall reduce the amount of
aid otherwise payable under this part to
the family of the individual by an amount
equal to 25 percent of the sum of such
otherwise payable amount and any food
stamp benefits payable under the Food
Stamp Act of 1977 to a household that in-
cludes a member of the family, and shall
apply such reduction until the failure to
comply ceases;
‘‘(II) in the case of the 2nd such fail-
ure or a 1st such failure that continues for
more than 1 calendar month, the State
shall reduce the amount of aid otherwise
payable under this part to the family of
the individual by an amount equal to 25
percent of the sum of such otherwise pay-
able amount and any food stamp benefits
payable under the Food Stamp Act of
1977 to a household that includes a mem-
ber of the family, and shall apply such re-
duction until the failure to comply ceases;
‘‘(III) in the case of the 3rd such fail-
ure, the family of the individual shall not
be eligible for aid under the State plan
under this part, notwithstanding any other
provision of this part; and
‘‘(IV) any 1st such failure that contin-
ues for more than 1 calendar month shall