526
‘‘(5) RESPITE
SERVICES.—The term ‘respite
services’ means short-term care services provided in
the temporary absence of the regular caregiver (par-
ent, other relative, foster parent, adoptive parent, or
guardian) to children who—
‘‘(A) are in danger of abuse or neglect;
‘‘(B) have experienced abuse or neglect; or
‘‘(C) have disabilities, chronic, or terminal
illnesses.
Such services shall be provided within or outside the
home of the child, be short-term care (ranging from
a few hours to a few weeks of time, per year), and
be intended to enable the family to stay together and
to keep the child living in the home and community
of the child.
‘‘(6) SECRETARY.—The term ‘Secretary’ means
the Secretary of Health and Human Services.
‘‘(7) SEXUAL ABUSE.—The term ‘sexual abuse’
includes—
‘‘(A) the employment, use, persuasion, in-
ducement, enticement, or coercion of any child
to engage in, or assist any other person to en-
gage in, any sexually explicit conduct or simula-
tion of such conduct for the purpose of produc-
ing a visual depiction of such conduct; or
527
‘‘(B) the rape, molestation, prostitution, or
other form of sexual exploitation of children, or
incest with children.
‘‘(8) STATE.—The term ‘State’ means each of
the several States, the District of Columbia, the
Commonwealth of Puerto Rico, the Virgin Islands,
Guam, American Samoa, the Commonwealth of the
Northern Mariana Islands, and the Trust Territory
of the Pacific Islands.
‘‘(9) WITHHOLDING OF MEDICALLY INDICATED
TREATMENT.—The term ‘withholding of medically
indicated treatment’ means the failure to respond to
the infant’s life-threatening conditions by providing
treatment (including appropriate nutrition, hydra-
tion, and medication) which, in the treating physi-
cian’s or physicians’ reasonable medical judgment,
will be most likely to be effective in ameliorating or
correcting all such conditions, except that the term
does not include the failure to provide treatment
(other than appropriate nutrition, hydration, or
medication) to an infant when, in the treating physi-
cian’s or physicians’ reasonable medical judgment—
‘‘(A) the infant is chronically and irrevers-
ibly comatose;
528
‘‘(B) the provision of such treatment
would—
‘‘(i) merely prolong dying;
‘‘(ii) not be effective in ameliorating
or correcting all of the infant’s life-threat-
ening conditions; or
‘‘(iii) otherwise be futile in terms of
the survival of the infant; or
‘‘(C) the provision of such treatment would
be virtually futile in terms of the survival of the
infant and the treatment itself under such cir-
cumstances would be inhumane.
‘‘TITLE I—GENERAL BLOCK
GRANT
‘‘SEC. 101. CHILD AND FAMILY SERVICES BLOCK GRANTS.
‘‘(a) ELIGIBILITY.—The Secretary shall award
grants to eligible States that file a State plan that is ap-
proved under section 102 and that otherwise meet the eli-
gibility requirements for grants under this title.
‘‘(b) AMOUNT OF GRANT.—The amount of a grant
made to each State under subsection (a) for a fiscal year
shall be based on the population of children under the age
of 18 residing in each State that applies for a grant under
this section.
529
‘‘(c) USE
OF AMOUNTS.—Amounts received by a
State under a grant awarded under subsection (a) shall
be used to carry out the purposes described in section 3.
‘‘SEC. 102. ELIGIBLE STATES.
‘‘(a) IN GENERAL.—As used in this title, the term
‘eligible State’ means a State that has submitted to the
Secretary, not later than October 1, 1996, and every 3
years thereafter, a plan which has been signed by the chief
executive officer of the State and that includes the follow-
ing:
‘‘(1) OUTLINE
OF
CHILD
PROTECTION
PRO-
GRAM.—A written document that outlines the activi-
ties the State intends to conduct to achieve the pur-
pose of this title, including the procedures to be used
for—
‘‘(A) receiving and assessing reports of
child abuse or neglect;
‘‘(B) investigating such reports;
‘‘(C) with respect to families in which
abuse or neglect has been confirmed, providing
services or referral for services for families and
children where the State makes a determination
that the child may safely remain with the fam-
ily;
530
‘‘(D) protecting children by removing them
from dangerous settings and ensuring their
placement in a safe environment;
‘‘(E) providing training for individuals
mandated to report suspected cases of child
abuse or neglect;
‘‘(F) protecting children in foster care;
‘‘(G) promoting timely adoptions;
‘‘(H) protecting the rights of families,
using adult relatives as the preferred placement
for children separated from their parents where
such relatives meet the relevant State child pro-
tection standards; and
‘‘(I) providing services to individuals, fami-
lies, or communities, either directly or through
referral, that are aimed at preventing the occur-
rence of child abuse and neglect.
‘‘(2) CERTIFICATION OF STATE LAW REQUIRING
THE REPORTING OF CHILD ABUSE AND NEGLECT.—
A certification that the State has in effect laws that
require public officials and other professionals to re-
port, in good faith, actual or suspected instances of
child abuse or neglect.
‘‘(3) CERTIFICATION
OF
PROCEDURES
FOR
SCREENING, SAFETY ASSESSMENT, AND PROMPT IN-
531
VESTIGATION.—A certification that the State has in
effect procedures for receiving and responding to re-
ports of child abuse or neglect, including the reports
described in paragraph (2), and for the immediate
screening, safety assessment, and prompt investiga-
tion of such reports.
‘‘(4) CERTIFICATION
OF
STATE
PROCEDURES
FOR REMOVAL AND PLACEMENT OF ABUSED OR NE-
GLECTED CHILDREN.—A certification that the State
has in effect procedures for the removal from fami-
lies and placement of abused or neglected children
and of any other child in the same household who
may also be in danger of abuse or neglect.
‘‘(5) CERTIFICATION OF PROVISIONS FOR IMMU-
NITY FROM PROSECUTION.—A certification that the
State has in effect laws requiring immunity from
prosecution under State and local laws and regula-
tions for individuals making good faith reports of
suspected or known instances of child abuse or ne-
glect.
‘‘(6) CERTIFICATION OF PROVISIONS AND PRO-
CEDURES
RELATING
TO
APPEALS.—A certification
that not later than 2 years after the date of the en-
actment of this Act, the State shall have laws and
procedures in effect affording individuals an oppor-
532
tunity to appeal an official finding of abuse or ne-
glect.
‘‘(7) CERTIFICATION
OF
STATE
PROCEDURES
FOR DEVELOPING AND REVIEWING WRITTEN PLANS
FOR PERMANENT PLACEMENT OF REMOVED CHIL-
DREN.—A certification that the State has in effect
procedures for ensuring that a written plan is pre-
pared for children who have been removed from their
families. Such plan shall specify the goals for achiev-
ing a permanent placement for the child in a timely
fashion, for ensuring that the written plan is re-
viewed every 6 months (until such placement is
achieved), and for ensuring that information about
such children is collected regularly and recorded in
case records, and include a description of such pro-
cedures.
‘‘(8) CERTIFICATION OF STATE PROGRAM TO
PROVIDE INDEPENDENT LIVING SERVICES.—A cer-
tification that the State has in effect a program to
provide independent living services, for assistance in
making the transition to self-sufficient adulthood, to
individuals in the child protection program of the
State who are 16, but who are not 20 (or, at the op-
tion of the State, 22), years of age, and who do not
have a family to which to be returned.
533
‘‘(9) CERTIFICATION
OF
STATE
PROCEDURES
TO RESPOND TO REPORTING OF MEDICAL NEGLECT
OF DISABLED INFANTS.—
‘‘(A) IN
GENERAL.—A certification that
the State has in place for the purpose of re-
sponding to the reporting of medical neglect of
infants (including instances of withholding of
medically indicated treatment from disabled in-
fants with life-threatening conditions), proce-
dures or programs, or both (within the State
child protective services system), to provide
for—
‘‘(i) coordination and consultation
with individuals designated by and within
appropriate health-care facilities;
‘‘(ii) prompt notification by individ-
uals designated by and within appropriate
health-care facilities of cases of suspected
medical neglect (including instances of
withholding of medically indicated treat-
ment from disabled infants with life-threat-
ening conditions); and
‘‘(iii) authority, under State law, for
the State child protective service to pursue
any legal remedies, including the authority
534
to initiate legal proceedings in a court of
competent jurisdiction, as may be nec-
essary to prevent the withholding of medi-
cally indicated treatment from disabled in-
fants with life-threatening conditions.
‘‘(B) WITHHOLDING OF MEDICALLY INDI-
CATED TREATMENT.—As used in subparagraph
(A), the term ‘withholding of medically indi-
cated treatment’ means the failure to respond
to the infant’s life-threatening conditions by
providing treatment (including appropriate nu-
trition, hydration, and medication) which, in the
treating physician’s or physicians’ reasonable
medical judgment, will be most likely to be ef-
fective in ameliorating or correcting all such
conditions, except that such term does not in-
clude the failure to provide treatment (other
than appropriate nutrition, hydration, or medi-
cation) to an infant when, in the treating physi-
cian’s or physicians’ reasonable medical judg-
ment—
‘‘(i) the infant is chronically and irre-
versibly comatose;
‘‘(ii) the provision of such treatment
would—
535
‘‘(I) merely prolong dying;
‘‘(II) not be effective in amelio-
rating or correcting all of the infant’s
life-threatening conditions; or
‘‘(III) otherwise be futile in
terms of the survival of the infant; or
‘‘(iii) the provision of such treatment
would be virtually futile in terms of the
survival of the infant and the treatment it-
self under such circumstances would be in-
humane.
‘‘(10) IDENTIFICATION OF CHILD PROTECTION
GOALS.—The quantitative goals of the State child
protection program.
‘‘(11) CERTIFICATION OF CHILD PROTECTION
STANDARDS.—With respect to fiscal years beginning
on or after April 1, 1996, a certification that the
State—
‘‘(A) has completed an inventory of all
children who, before the inventory, had been in
foster care under the responsibility of the State
for 6 months or more, which determined—
‘‘(i) the appropriateness of, and neces-
sity for, the foster care placement;
536
‘‘(ii) whether the child could or should
be returned to the parents of the child or
should be freed for adoption or other per-
manent placement; and
‘‘(iii) the services necessary to facili-
tate the return of the child or the place-
ment of the child for adoption or legal
guardianship;
‘‘(B) is operating, to the satisfaction of the
Secretary—
‘‘(i) a statewide information system
from which can be readily determined the
status, demographic characteristics, loca-
tion, and goals for the placement of every
child who is (or, within the immediately
preceding 12 months, has been) in foster
care;
‘‘(ii) a case review system for each
child receiving foster care under the super-
vision of the State;
‘‘(iii) a service program designed to
help children—
‘‘(I) where appropriate, return to
families from which they have been
removed; or
537
‘‘(II) be placed for adoption, with
a legal guardian, or if adoption or
legal guardianship is determined not
to be appropriate for a child, in some
other planned, permanent living ar-
rangement; and
‘‘(iv) a preplacement preventive serv-
ices program designed to help children at
risk for foster care placement remain with
their families; and
‘‘(C)(i) has reviewed (or not later than Oc-
tober 1, 1997, will review) State policies and
administrative and judicial procedures in effect
for children abandoned at or shortly after birth
(including policies and procedures providing for
legal representation of such children); and
‘‘(ii) is implementing (or not later than Oc-
tober 1, 1997, will implement) such policies and
procedures as the State determines, on the
basis of the review described in clause (i), to be
necessary to enable permanent decisions to be
made expeditiously with respect to the place-
ment of such children.
‘‘(12) CERTIFICATION
OF
REASONABLE
EF-
FORTS BEFORE PLACEMENT OF CHILDREN IN FOS-
538
TER CARE.—A certification that the State in each
case will—
‘‘(A) make reasonable efforts prior to the
placement of a child in foster care, to prevent
or eliminate the need for removal of the child
from the child’s home, and to make it possible
for the child to return home; and
‘‘(B) with respect to families in which
abuse or neglect has been confirmed, provide
services or referral for services for families and
children where the State makes a determination
that the child may safely remain with the fam-
ily.
‘‘(13) CERTIFICATION
OF
CONFIDENTIALITY
AND
REQUIREMENTS
FOR
INFORMATION
DISCLO-
SURE.—
‘‘(A) IN
GENERAL.—A certification that
the State has in effect and operational—
‘‘(i) requirements ensuring that re-
ports and records made and maintained
pursuant to the purposes of this part shall
only be made available to—
‘‘(I) individuals who are the sub-
ject of the report;
539
‘‘(II) Federal, State, or local gov-
ernment entities, or any agent of such
entities, having a need for such infor-
mation in order to carry out their re-
sponsibilities under law to protect
children from abuse and neglect;
‘‘(III) child abuse citizen review
panels;
‘‘(IV) child fatality review panels;
‘‘(V) a grand jury or court, upon
a finding that information in the
record is necessary for the determina-
tion of an issue before the court or
grand jury; and
‘‘(VI) other entities or classes of
individuals statutorily authorized by
the State to receive such information
pursuant to a legitimate State pur-
pose; and
‘‘(ii) provisions that allow for public
disclosure of the findings or information
about cases of child abuse or neglect that
have resulted in a child fatality or near fa-
tality.
540
‘‘(B) LIMITATION.—Disclosures made pur-
suant to clause (i) or (ii) shall not include the
identifying information concerning the individ-
ual initiating a report or complaint alleging sus-
pected instances of child abuse or neglect.
‘‘(C) DEFINITION.—For purposes of this
paragraph, the term ‘near fatality’ means an
act that, as certified by a physician, places the
child in serious or critical condition.
‘‘(b) DETERMINATIONS.—The Secretary shall deter-
mine whether a plan submitted pursuant to subsection (a)
contains the material required by subsection (a), other
than the material described in paragraph (9) of such sub-
section. The Secretary may not require a State to include
in such a plan any material not described in subsection
(a).
‘‘SEC. 103. DATA COLLECTION AND REPORTING.
‘‘(a) NATIONAL CHILD ABUSE AND NEGLECT DATA
SYSTEM.—The Secretary shall establish a national data
collection and analysis program—
‘‘(1) which, to the extent practicable, coordi-
nates existing State child abuse and neglect reports
and which shall include—
541
‘‘(A) standardized data on substantiated,
as well as false, unfounded, or unsubstantiated
reports; and
‘‘(B) information on the number of deaths
due to child abuse and neglect; and
‘‘(2) which shall collect, compile, analyze, and
make available State child abuse and neglect report-
ing information which, to the extent practical, is uni-
versal and case-specific and integrated with other
case-based foster care and adoption data collected by
the Secretary.
‘‘(b) ADOPTION AND FOSTER CARE AND ANALYSIS
AND REPORTING SYSTEMS.—The Secretary shall imple-
ment a system for the collection of data relating to adop-
tion and foster care in the United States. Such data collec-
tion system shall—
‘‘(1) avoid unnecessary diversion of resources
from agencies responsible for adoption and foster
care;
‘‘(2) assure that any data that is collected is re-
liable and consistent over time and among jurisdic-
tions through the use of uniform definitions and
methodologies;
‘‘(3) provide comprehensive national informa-
tion with respect to—
542
‘‘(A) the demographic characteristics of
adoptive and foster children and their biological
and adoptive or foster parents;
‘‘(B) the status of the foster care popu-
lation (including the number of children in fos-
ter care, length of placement, type of place-
ment, availability for adoption, and goals for
ending or continuing foster care);
‘‘(C) the number and characteristics of—
‘‘(i) children placed in or removed
from foster care;
‘‘(ii) children adopted or with respect
to whom adoptions have been terminated;
and
‘‘(iii) children placed in foster care
outside the State which has placement and
care responsibility; and
‘‘(D) the extent and nature of assistance
provided by Federal, State, and local adoption
and foster care programs and the characteris-
tics of the children with respect to whom such
assistance is provided; and
‘‘(4) utilize appropriate requirements and incen-
tives to ensure that the system functions reliably
throughout the United States.
543
‘‘(c) ADDITIONAL
INFORMATION.—The Secretary
may require the provision of additional information under
the data collection system established under subsection (b)
if the addition of such information is agreed to by a major-
ity of the States.
‘‘(d) ANNUAL REPORT BY THE SECRETARY.—Within
6 months after the end of each fiscal year, the Secretary
shall prepare a report based on information provided by
the States for the fiscal year pursuant to this section, and
shall make the report and such information available to
the Congress and the public.
‘‘TITLE 
II—RESEARCH, 
DEM-
ONSTRATIONS, 
TRAINING,
AND TECHNICAL ASSISTANCE
‘‘SEC. 201. RESEARCH GRANTS.
‘‘(a) IN GENERAL.—The Secretary, in consultation
with appropriate Federal officials and recognized experts
in the field, shall award grants or contracts for the con-
duct of research in accordance with subsection (b).
‘‘(b) RESEARCH.—Research projects to be conducted
using amounts received under this section—
‘‘(1) shall be designed to provide information to
better protect children from abuse or neglect and to
improve the well-being of abused or neglected chil-
544
dren, with at least a portion of any such research
conducted under a project being field initiated;
‘‘(2) shall at a minimum, focus on—
‘‘(A) the nature and scope of child abuse
and neglect;
‘‘(B) the causes, prevention, assessment,
identification, treatment, cultural and socio-
economic distinctions, and the consequences of
child abuse and neglect;
‘‘(C) appropriate, effective and culturally
sensitive investigative, administrative, and judi-
cial procedures with respect to cases of child
abuse; and
‘‘(D) the national incidence of child abuse
and neglect, including—
‘‘(i) the extent to which incidents of
child abuse are increasing or decreasing in
number and severity;
‘‘(ii) the incidence of substantiated
and unsubstantiated reported child abuse
cases;
‘‘(iii) the number of substantiated
cases that result in a judicial finding of
child abuse or neglect or related criminal
court convictions;
545
‘‘(iv) the extent to which the number
of unsubstantiated, unfounded and false
reported cases of child abuse or neglect
have contributed to the inability of a State
to respond effectively to serious cases of
child abuse or neglect;
‘‘(v) the extent to which the lack of
adequate resources and the lack of ade-
quate training of reporters have contrib-
uted to the inability of a State to respond
effectively to serious cases of child abuse
and neglect;
‘‘(vi) the number of unsubstantiated,
false, or unfounded reports that have re-
sulted in a child being placed in substitute
care, and the duration of such placement;
‘‘(vii) the extent to which unsubstan-
tiated reports return as more serious cases
of child abuse or neglect;
‘‘(viii) the incidence and prevalence of
physical, sexual, and emotional abuse and
physical and emotional neglect in sub-
stitute care;
‘‘(ix) the incidence and outcomes of
abuse allegations reported within the con-
546
text of divorce, custody, or other family
court proceedings, and the interaction be-
tween this venue and the child protective
services system; and
‘‘(x) the cases of children reunited
with their families or receiving family pres-
ervation services that result in subsequent
substantiated reports of child abuse and
neglect, including the death of the child;
and
‘‘(3) may include the appointment of an advi-
sory board to—
‘‘(A) provide recommendations on coordi-
nating Federal, State, and local child abuse and
neglect activities at the State level with similar
activities at the State and local level pertaining
to family violence prevention;
‘‘(B) consider specific modifications needed
in State laws and programs to reduce the num-
ber of unfounded or unsubstantiated reports of
child abuse or neglect while enhancing the abil-
ity to identify and substantiate legitimate cases
of abuse or neglect which place a child in dan-
ger; and
547
‘‘(C) provide recommendations for modi-
fications needed to facilitate coordinated na-
tional and Statewide data collection with re-
spect to child protection and child welfare.
‘‘SEC. 202. NATIONAL CLEARINGHOUSE FOR INFORMATION
RELATING TO CHILD ABUSE.
‘‘(a) 
ESTABLISHMENT.—The 
Secretary 
shall,
through the Department of Health and Human Services,
or by one or more contracts of not less than 3 years dura-
tion provided through a competition, establish a national
clearinghouse for information relating to child abuse.
‘‘(b) FUNCTIONS.—The Secretary shall, through the
clearinghouse established by subsection (a)—
‘‘(1) maintain, coordinate, and disseminate in-
formation on all programs, including private pro-
grams, that show promise of success with respect to
the prevention, assessment, identification, and treat-
ment of child abuse and neglect;
‘‘(2) maintain and disseminate information re-
lating to—
‘‘(A) the incidence of cases of child abuse
and neglect in the United States;
‘‘(B) the incidence of such cases in popu-
lations determined by the Secretary under sec-
tion 105(a)(1) of the Child Abuse Prevention,
548
Adoption, and Family Services Act of 1988 (as
such section was in effect on the day before the
date of enactment of this Act); and
‘‘(C) the incidence of any such cases relat-
ed to alcohol or drug abuse;
‘‘(3) disseminate information related to data
collected and reported by States pursuant to section
103;
‘‘(4) compile, analyze, and publish a summary
of the research conducted under section 201; and
‘‘(5) solicit public comment on the components
of such clearinghouse.
‘‘SEC. 203. GRANTS FOR DEMONSTRATION PROJECTS.
‘‘(a) AWARDING OF GENERAL GRANTS.—The Sec-
retary may make grants to, and enter into contracts with,
public and nonprofit private agencies or organizations (or
combinations of such agencies or organizations) for the
purpose of developing, implementing, and operating time
limited, demonstration programs and projects for the fol-
lowing purposes:
‘‘(1) INNOVATIVE PROGRAMS AND PROJECTS.—
The Secretary may award grants to public agencies
that demonstrate innovation in responding to reports
of child abuse and neglect including programs of col-
laborative partnerships between the State child pro-
549
tective service agency, community social service
agencies and family support programs, schools,
churches and synagogues, and other community
agencies to allow for the establishment of a triage
system that—
‘‘(A) accepts, screens and assesses reports
received to determine which such reports re-
quire an intensive intervention and which re-
quire voluntary referral to another agency, pro-
gram or project;
‘‘(B) provides, either directly or through
referral, a variety of community-linked services
to assist families in preventing child abuse and
neglect; and
‘‘(C) provides further investigation and in-
tensive intervention where the child’s safety is
in jeopardy.
‘‘(2) 
KINSHIP
CARE
PROGRAMS
AND
PROJECTS.—The Secretary may award grants to
public entities to assist such entities in developing or
implementing procedures using adult relatives as the
preferred placement for children removed from their
home, where such relatives are determined to be ca-
pable of providing a safe nurturing environment for
the child and where, to the maximum extent prac-
550
ticable, such relatives comply with relevant State
child protection standards.
‘‘(3) ADOPTION
OPPORTUNITIES.—The Sec-
retary may award grants to public entities to assist
such entities in developing or implementing pro-
grams to expand opportunities for the adoption of
children with special needs.
‘‘(4) FAMILY RESOURCE CENTERS.—The Sec-
retary may award grants to public or nonprofit pri-
vate entities to provide for the establishment of fam-
ily resource programs and support services that—
‘‘(A) develop, expand, and enhance state-
wide networks of community-based, prevention-
focused centers, programs, or services that pro-
vide comprehensive support for families;
‘‘(B) promote the development of parental
competencies and capacities in order to increase
family stability;
‘‘(C) support the additional needs of fami-
lies with children with disabilities;
‘‘(D) foster the development of a contin-
uum of preventive services for children and
families through State and community-based
collaborations and partnerships (both public
and private); and
551
‘‘(E) maximize funding for the financing,
planning, community mobilization, collabora-
tion, assessment, information and referral,
startup, training and technical assistance, infor-
mation management, reporting, and evaluation
costs for establishing, operating, or expanding a
statewide network of community-based, preven-
tion-focused family resource and support serv-
ices.
‘‘(5) OTHER
INNOVATIVE
PROGRAMS.—The
Secretary may award grants to public or private
nonprofit organizations to assist such entities in de-
veloping or implementing innovative programs and
projects that show promise of preventing and treat-
ing cases of child abuse and neglect (such as Par-
ents Anonymous).
‘‘(b) GRANTS
FOR
ABANDONED
INFANT
PRO-
GRAMS.—The Secretary may award grants to public and
nonprofit private entities to assist such entities in develop-
ing or implementing procedures—
‘‘(1) to prevent the abandonment of infants and
young children, including the provision of services to
members of the natural family for any condition that
increases the probability of abandonment of an in-
fant or young child;
552
‘‘(2) to identify and address the needs of aban-
doned infants and young children;
‘‘(3) to assist abandoned infants and young
children to reside with their natural families or in
foster care, as appropriate;
‘‘(4) to recruit, train, and retain foster families
for abandoned infants and young children;
‘‘(5) to carry out residential care programs for
abandoned infants and young children who are un-
able to reside with their families or to be placed in
foster care;
‘‘(6) to carry out programs of respite care for
families and foster families of infants and young
children; and
‘‘(7) to recruit and train health and social serv-
ices personnel to work with families, foster care fam-
ilies, and residential care programs for abandoned
infants and young children.
‘‘(c) EVALUATION.—In making grants for demonstra-
tion projects under this section, the Secretary shall require
all such projects to be evaluated for their effectiveness.
Funding for such evaluations shall be provided either as
a stated percentage of a demonstration grant or as a sepa-
rate grant entered into by the Secretary for the purpose
553
of evaluating a particular demonstration project or group
of projects.
‘‘SEC. 204. TECHNICAL ASSISTANCE.
‘‘(a) CHILD ABUSE AND NEGLECT.—
‘‘(1) IN GENERAL.—The Secretary shall provide
technical assistance under this title to States to as-
sist such States in planning, improving, developing,
and carrying out programs and activities relating to
the prevention, assessment identification, and treat-
ment of child abuse and neglect.
‘‘(2) EVALUATION.—Technical assistance pro-
vided under paragraph (1) may include an evalua-
tion or identification of—
‘‘(A) various methods and procedures for
the investigation, assessment, and prosecution
of child physical and sexual abuse cases;
‘‘(B) ways to mitigate psychological trau-
ma to the child victim; and
‘‘(C) effective programs carried out by the
States under this Act.
‘‘(b) ADOPTION
OPPORTUNITIES.—The Secretary
shall provide, directly or by grant to or contract with pub-
lic or private nonprofit agencies or organizations—
‘‘(1) technical assistance and resource and re-
ferral information to assist State or local govern-
554
ments with termination of parental rights issues, in
recruiting and retaining adoptive families, in the
successful placement of children with special needs,
and in the provision of pre- and post-placement serv-
ices, including post-legal adoption services; and
‘‘(2) other assistance to help State and local
governments replicate successful adoption-related
projects from other areas in the United States.
‘‘SEC. 205. TRAINING RESOURCES.
‘‘(a) TRAINING
PROGRAMS.—The Secretary may
award grants to public or private nonprofit organiza-
tions—
‘‘(1) for the training of professional and para-
professional personnel in the fields of medicine, law,
education, law enforcement, social work, and other
relevant fields who are engaged in, or intend to work
in, the field of prevention, identification, and treat-
ment of child abuse and neglect, including the links
between domestic violence and child abuse;
‘‘(2) to provide culturally specific instruction in
methods of protecting children from child abuse and
neglect to children and to persons responsible for the
welfare of children, including parents of and persons
who work with children with disabilities; and
555
‘‘(3) to improve the recruitment, selection, and
training of volunteers serving in private and public
nonprofit children, youth and family service organi-
zations in order to prevent child abuse and neglect
through collaborative analysis of current recruit-
ment, selection, and training programs and develop-
ment of model programs for dissemination and rep-
lication nationally.
‘‘(b) DISSEMINATION OF INFORMATION.—The Sec-
retary may provide for and disseminate information relat-
ing to various training resources available at the State and
local level to—
‘‘(1) individuals who are engaged, or who intend
to engage, in the prevention, identification, assess-
ment, and treatment of child abuse and neglect; and
‘‘(2) appropriate State and local officials, in-
cluding prosecutors, to assist in training law en-
forcement, legal, judicial, medical, mental health,
education, and child welfare personnel in appropriate
methods of interacting during investigative, adminis-
trative, and judicial proceedings with children who
have been subjected to abuse.
556
‘‘SEC. 206. APPLICATIONS AND AMOUNTS OF GRANTS.
‘‘(a) REQUIREMENT
OF APPLICATION.—The Sec-
retary may not make a grant to a State or other entity
under this title unless—
‘‘(1) an application for the grant is submitted
to the Secretary;
‘‘(2) with respect to carrying out the purpose
for which the grant is to be made, the application
provides assurances of compliance satisfactory to the
Secretary; and
‘‘(3) the application otherwise is in such form,
is made in such manner, and contains such agree-
ments, assurances, and information as the Secretary
determines to be necessary to carry out this title.
‘‘(b) AMOUNT OF GRANT.—The Secretary shall de-
termine the amount of a grant to be awarded under this
title.
‘‘SEC. 207. PEER REVIEW FOR GRANTS.
‘‘(a) ESTABLISHMENT OF PEER REVIEW PROCESS.—
‘‘(1) IN GENERAL.—The Secretary shall, in con-
sultation with experts in the field and other Federal
agencies, establish a formal, rigorous, and meritori-
ous peer review process for purposes of evaluating
and reviewing applications for grants under this title
and determining the relative merits of the projects
for which such assistance is requested. The purpose
557
of this process is to enhance the quality and useful-
ness of research in the field of child abuse and ne-
glect.
‘‘(2) REQUIREMENTS FOR MEMBERS.—In estab-
lishing the process required by paragraph (1), the
Secretary shall appoint to the peer review panels
only members who are experts in the field of child
abuse and neglect or related disciplines, with appro-
priate expertise in the application to be reviewed,
and who are not individuals who are officers or em-
ployees of the Administration for Children and Fam-
ilies. The panels shall meet as often as is necessary
to facilitate the expeditious review of applications for
grants and contracts under this title, but may not
meet less than once a year. The Secretary shall en-
sure that the peer review panel utilizes scientifically
valid review criteria and scoring guidelines for re-
view committees.
‘‘(b) REVIEW OF APPLICATIONS FOR ASSISTANCE.—
Each peer review panel established under subsection
(a)(1) that reviews any application for a grant shall—
‘‘(1) determine and evaluate the merit of each
project described in such application;
‘‘(2) rank such application with respect to all
other applications it reviews in the same priority
558
area for the fiscal year involved, according to the rel-
ative merit of all of the projects that are described
in such application and for which financial assist-
ance is requested; and
‘‘(3) make recommendations to the Secretary
concerning whether the application for the project
shall be approved.
The Secretary shall award grants under this title on the
basis of competitive review.
‘‘(c) NOTICE OF APPROVAL.—
‘‘(1) IN GENERAL.—The Secretary shall provide
grants under this title from among the projects
which the peer review panels established under sub-
section (a)(1) have determined to have merit.
‘‘(2) REQUIREMENT OF EXPLANATION.—In the
instance in which the Secretary approves an applica-
tion for a program under this title without having
approved all applications ranked above such applica-
tion, the Secretary shall append to the approved ap-
plication a detailed explanation of the reasons relied
on for approving the application and for failing to
approve each pending application that is superior in
merit.
559
‘‘SEC. 208. NATIONAL RANDOM SAMPLE STUDY OF CHILD
WELFARE.
‘‘(a) IN GENERAL.—The Secretary shall conduct a
national study based on random samples of children who
are at risk of child abuse or neglect, or are determined
by States to have been abused or neglected, and such other
research as may be necessary.
‘‘(b) REQUIREMENTS.—The study required by sub-
section (a) shall—
‘‘(1) have a longitudinal component; and
‘‘(2) yield data reliable at the State level for as
many States as the Secretary determines is feasible.
‘‘(c) PREFERRED CONTENTS.—In conducting the
study required by subsection (a), the Secretary should—
‘‘(1) collect data on the child protection pro-
grams of different small States (or different groups
of such States) in different years to yield an occa-
sional picture of the child protection programs of
such States;
‘‘(2) carefully consider selecting the sample
from cases of confirmed abuse or neglect; and
‘‘(3) follow each case for several years while ob-
taining information on, among other things—
‘‘(A) the type of abuse or neglect involved;
‘‘(B) the frequency of contact with State
or local agencies;
560
‘‘(C) whether the child involved has been
separated from the family, and, if so, under
what circumstances;
‘‘(D) the number, type, and characteristics
of out-of-home placements of the child; and
‘‘(E) the average duration of each place-
ment.
‘‘(d) REPORTS.—
‘‘(1) IN
GENERAL.—From time to time, the
Secretary shall prepare reports summarizing the re-
sults of the study required by subsection (a).
‘‘(2) AVAILABILITY.—The Secretary shall make
available to the public any report prepared under
paragraph (1), in writing or in the form of an elec-
tronic data tape.
‘‘(3) AUTHORITY TO CHARGE FEE.—The Sec-
retary may charge and collect a fee for the furnish-
ing of reports under paragraph (2).
‘‘(4) FUNDING.—The Secretary shall carry out
this section using amounts made available under sec-
tion 425 of the Social Security Act.
561
‘‘TITLE III—GENERAL
PROVISIONS
‘‘SEC. 301. AUTHORIZATION OF APPROPRIATIONS.
‘‘(a) TITLE I.—There are authorized to be appro-
priated to carry out title I, $230,000,000 for fiscal year
1996, and such sums as may be necessary for each of the
fiscal years 1997 through 2002.
‘‘(b) TITLE II.—
‘‘(1) IN
GENERAL.—Of the amount appro-
priated under subsection (a) for a fiscal year, the
Secretary shall make available 12 percent of such
amount to carry out title II (except for sections 203
and 208).
‘‘(2) 
GRANTS
FOR
DEMONSTRATION
PROJECTS.—Of the amount made available under
paragraph (1) for a fiscal year, the Secretary shall
make available not less than 40 percent of such
amount to carry out section 203.
‘‘(c) INDIAN TRIBES.—Of the amount appropriated
under subsection (a) for a fiscal year, the Secretary shall
make available 1 percent of such amount to provide grants
and contracts to Indian tribes and Tribal Organizations.
‘‘(d) AVAILABILITY OF APPROPRIATIONS.—Amounts
appropriated under subsection (a) shall remain available
until expended.
562
‘‘SEC. 302. GRANTS TO STATES FOR PROGRAMS RELATING
TO THE INVESTIGATION AND PROSECUTION
OF CHILD ABUSE AND NEGLECT CASES.
‘‘(a) GRANTS TO STATES.—The Secretary, in con-
sultation with the Attorney General, is authorized to make
grants to the States for the purpose of assisting States
in developing, establishing, and operating programs de-
signed to improve—
‘‘(1) the handling of child abuse and neglect
cases, particularly cases of child sexual abuse and
exploitation, in a manner which limits additional
trauma to the child victim;
‘‘(2) the handling of cases of suspected child
abuse or neglect related fatalities; and
‘‘(3) the investigation and prosecution of cases
of child abuse and neglect, particularly child sexual
abuse and exploitation.
‘‘(b) ELIGIBILITY REQUIREMENTS.—In order for a
State to qualify for assistance under this section, such
State shall—
‘‘(1) be an eligible State under section 102;
‘‘(2) establish a task force as provided in sub-
section (c);
‘‘(3) fulfill the requirements of subsection (d);
‘‘(4) submit annually an application to the Sec-
retary at such time and containing such information
563
and assurances as the Secretary considers necessary,
including an assurance that the State will—
‘‘(A) make such reports to the Secretary as
may reasonably be required; and
‘‘(B) maintain and provide access to
records relating to activities under subsection
(a); and
‘‘(5) submit annually to the Secretary a report
on the manner in which assistance received under
this program was expended throughout the State,
with particular attention focused on the areas de-
scribed in paragraphs (1) through (3) of subsection
(a).
‘‘(c) STATE TASK FORCES.—
‘‘(1) GENERAL RULE.—Except as provided in
paragraph (2), a State requesting assistance under
this section shall establish or designate, and main-
tain, a State multidisciplinary task force on chil-
dren’s justice (hereafter in this section referred to as
‘State task force’) composed of professionals with
knowledge and experience relating to the criminal
justice system and issues of child physical abuse,
child neglect, child sexual abuse and exploitation,
and child maltreatment related fatalities. The State
task force shall include—
564
‘‘(A) individuals representing the law en-
forcement community;
‘‘(B) judges and attorneys involved in both
civil and criminal court proceedings related to
child abuse and neglect (including individuals
involved with the defense as well as the prosecu-
tion of such cases);
‘‘(C) child advocates, including both attor-
neys for children and, where such programs are
in operation, court appointed special advocates;
‘‘(D) health and mental health profes-
sionals;
‘‘(E) individuals representing child protec-
tive service agencies;
‘‘(F) individuals experienced in working
with children with disabilities;
‘‘(G) parents; and
‘‘(H) representatives of parents’ groups.
‘‘(2) EXISTING
TASK
FORCE.—As determined
by the Secretary, a State commission or task force
established after January 1, 1983, with substantially
comparable membership and functions, may be con-
sidered the State task force for purposes of this sub-
section.
565
‘‘(d) STATE TASK FORCE STUDY.—Before a State
receives assistance under this section, and at 3–year inter-
vals thereafter, the State task force shall comprehen-
sively—
‘‘(1) review and evaluate State investigative, ad-
ministrative and both civil and criminal judicial han-
dling of cases of child abuse and neglect, particularly
child sexual abuse and exploitation, as well as cases
involving suspected child maltreatment related fatali-
ties and cases involving a potential combination of
jurisdictions, such as interstate, Federal-State, and
State-Tribal; and
‘‘(2) make policy and training recommendations
in each of the categories described in subsection (e).
The task force may make such other comments and rec-
ommendations as are considered relevant and useful.
‘‘(e) ADOPTION
OF
STATE
TASK
FORCE
REC-
OMMENDATIONS.—
‘‘(1) GENERAL
RULE.—Subject to the provi-
sions of paragraph (2), before a State receives as-
sistance under this section, a State shall adopt rec-
ommendations of the State task force in each of the
following categories—
‘‘(A) investigative, administrative, and ju-
dicial handling of cases of child abuse and ne-
566
glect, particularly child sexual abuse and exploi-
tation, as well as cases involving suspected child
maltreatment related fatalities and cases involv-
ing a potential combination of jurisdictions,
such as interstate, Federal-State, and State-
Tribal, in a manner which reduces the addi-
tional trauma to the child victim and the vic-
tim’s family and which also ensures procedural
fairness to the accused;
‘‘(B) experimental, model and demonstra-
tion programs for testing innovative approaches
and techniques which may improve the prompt
and successful resolution of civil and criminal
court proceedings or enhance the effectiveness
of judicial and administrative action in child
abuse and neglect cases, particularly child sex-
ual abuse and exploitation cases, including the
enhancement of performance of court-appointed
attorneys and guardians ad litem for children;
and
‘‘(C) reform of State laws, ordinances, reg-
ulations, protocols and procedures to provide
comprehensive protection for children from
abuse, particularly child sexual abuse and ex-
567
ploitation, while ensuring fairness to all affected
persons.
‘‘(2) EXEMPTION.—As determined by the Sec-
retary, a State shall be considered to be in fulfill-
ment of the requirements of this subsection if—
‘‘(A) the State adopts an alternative to the
recommendations of the State task force, which
carries out the purpose of this section, in each
of the categories under paragraph (1) for which
the State task force’s recommendations are not
adopted; or
‘‘(B) the State is making substantial
progress toward adopting recommendations of
the State task force or a comparable alternative
to such recommendations.
‘‘(f) FUNDS AVAILABLE.—For grants under this sec-
tion, the Secretary shall use the amount authorized by sec-
tion 1404A of the Victims of Crime Act of 1984.
‘‘SEC. 303. TRANSITIONAL PROVISION.
‘‘A State or other entity that has a grant, contract,
or cooperative agreement in effect, on the date of enact-
ment of this Act, under the Family Resource and Support
Program, the Community-Based Family Resource Pro-
gram, the Family Support Center Program, the Emer-
gency Child Abuse Prevention Grant Program, or the
568
Temporary Child Care for Children with Disabilities and
Crisis Nurseries Programs shall continue to receive funds
under such grant, contract, or cooperative agreement, sub-
ject to the original terms under which such funds were
provided, through the end of the applicable grant, con-
tract, or agreement cycle.
‘‘SEC. 304. RULE OF CONSTRUCTION.
‘‘(a) IN GENERAL.—Nothing in this Act, or in part
B or E of title IV of the Social Security Act, shall be con-
strued—
‘‘(1) as establishing a Federal requirement that
a parent or legal guardian provide a child any medi-
cal service or treatment against the religious beliefs
of the parent or legal guardian; and
‘‘(2) to require that a State find, or to prohibit
a State from finding, abuse or neglect in cases in
which a parent or legal guardian relies solely or par-
tially upon spiritual means rather than medical
treatment, in accordance with the religious beliefs of
the parent or legal guardian.
‘‘(b) STATE REQUIREMENT.—Notwithstanding sub-
section (a), a State shall have in place authority under
State law to permit the child protective service system of
the State to pursue any legal remedies, including the au-
thority to initiate legal proceedings in a court of competent
569
jurisdiction, to provide medical care or treatment for a
child when such care or treatment is necessary to prevent
or remedy serious harm to the child, or to prevent the
withholding of medically indicated treatment from children
with life threatening conditions. Except with respect to the
withholding of medically indicated treatments from dis-
abled infants with life threatening conditions, case by case
determinations concerning the exercise of the authority of
this subsection shall be within the sole discretion of the
State.’’.
SEC. 752. REAUTHORIZATIONS.
(a) MISSING CHILDREN’S ASSISTANCE ACT.—Section
408 of the Missing Children’s Assistance Act (42 U.S.C.
5777) is amended—
(1) by striking ‘‘To’’ and inserting ‘‘(a) IN
GENERAL.—’’
(2) by striking ‘‘and 1996’’ and inserting
‘‘1996, and 1997’’; and
(3) by adding at the end thereof the following
new subsection:
‘‘(b) EVALUATION.—The Administrator shall use not
more than 5 percent of the amount appropriated for a fis-
cal year under subsection (a) to conduct an evaluation of
the effectiveness of the programs and activities established
and operated under this title.’’.
570
(b) VICTIMS OF CHILD ABUSE ACT OF 1990.—Sec-
tion 214B of the Victims of Child Abuse Act of 1990 (42
U.S.C. 13004) is amended—
(1) in subsection (a)(2), by striking ‘‘and 1996’’
and inserting ‘‘1996, and 1997’’; and
(2) in subsection (b)(2), by striking ‘‘and
1996’’ and inserting ‘‘1996 and 1997’’.
SEC. 753. REPEALS.
(a) IN GENERAL.—The following provisions of law
are repealed:
(1) Title II of the Child Abuse Prevention and
Treatment and Adoption Reform Act of 1978 (42
U.S.C. 5111 et seq.).
(2) The Abandoned Infants Assistance Act of
1988 (42 U.S.C. 670 note).
(3) The Temporary Child Care for Children
with Disabilities and Crisis Nurseries Act of 1986
(42 U.S.C. 5117 et seq.).
(4) Subtitle F of title VII of the Stewart B.
McKinney Homeless Assistance Act (42 U.S.C.
11481 et seq.).
(b) CONFORMING AMENDMENTS.—
(1) RECOMMENDED LEGISLATION.—After con-
sultation with the appropriate committees of the
Congress and the Director of the Office of Manage-
571
ment and Budget, the Secretary of Health and
Human Services shall prepare and submit to the
Congress a legislative proposal in the form of an im-
plementing bill containing technical and conforming
amendments to reflect the repeals made by this sec-
tion.
(2) SUBMISSION TO CONGRESS.—Not later than
6 months after the date of enactment of this chap-
ter, the Secretary of Health and Human Services
shall submit the implementing bill referred to under
paragraph (1).
TITLE VIII—CHILD CARE
SEC. 801. SHORT TITLE AND REFERENCES.
(a) SHORT TITLE.—This title may be cited as the
‘‘Child Care and Development Block Grant Amendments
of 1996’’.
(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.).
572
SEC. 802. 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
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.’’.
573
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) is
amended—
(1) by redesignating section 418 as section 419;
and
(2) by inserting after section 417, the following
new section:
‘‘SEC. 418. 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—
‘‘(A) the sum of the total amount required
to be paid to the State under former section
403 for fiscal year 1994 or 1995 (whichever is
574
greater) with respect to amounts expended for
child care under section—
‘‘(i) 402(g) of this Act (as such sec-
tion was in effect before October 1, 1995);
and
‘‘(ii) 403(i) of this Act (as so in ef-
fect); or
‘‘(B) the average of the total amounts re-
quired to be paid to the State for fiscal years
1992 through 1994 under the sections referred
to in subparagraph (A);
whichever is greater.
‘‘(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 (4) 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
575
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 paragraph (1)(A) for such
year and the amount of State expenditures in
fiscal year 1994 that equal the non-Federal
share for the programs described in subpara-
graph (A) of paragraph (1).
‘‘(D) REDISTRIBUTION.—
‘‘(i) IN
GENERAL.—With respect to
any fiscal year, if the Secretary determines
(in accordance with clause (ii)) that
amounts under any grant awarded to a
State under this paragraph for such fiscal
year will not be used by such State during
such fiscal year for carrying out the pur-
pose for which the grant is made, the Sec-
retary shall make such amounts available
576
in the subsequent fiscal year for carrying
out such purpose to 1 or more States
which apply for such funds to the extent
the Secretary determines that such States
will be able to use such additional amounts
for carrying out such purpose. Such avail-
able amounts shall be redistributed to a
State pursuant to section 402(i) (as such
section was in effect before October 1,
1995) by substituting ‘the number of chil-
dren residing in all States applying for
such funds’ for ‘the number of children re-
siding in the United States in the second
preceding fiscal year’.
‘‘(ii) TIME OF DETERMINATION AND
DISTRIBUTION.—The determination of the
Secretary under clause (i) for a fiscal year
shall be made not later than the end of the
first quarter of the subsequent fiscal year.
The redistribution of amounts under clause
(i) shall be made as close as practicable to
the date on which such determination is
made. Any amount made available to a
State from an appropriation for a fiscal
year in accordance with this subparagraph
577
shall, for purposes of this part, be re-
garded as part of such State’s payment (as
determined under this subsection) for the
fiscal year in which the redistribution is
made.
‘‘(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) $2,717,000,000 for fiscal year 2002.
‘‘(4) 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. Amounts received by a State
under a grant under subsection (a)(1) shall be avail-
578
able for use by the State without fiscal year limita-
tion.
‘‘(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
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. 804. LEAD AGENCY.
Section 658D(b) (42 U.S.C. 9858b(b)) is amended—
579
(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
of the notice of such hearing,’’ after ‘‘hearing in
the State’’; and
(2) in paragraph (2), by striking the second
sentence.
SEC. 805. 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
580
(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)—
(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-
581
tion that will promote informed child care
choices.’’;
(v) in subparagraph (E), to read as
follows:
‘‘(E) COMPLIANCE WITH STATE LICENSING
REQUIREMENTS.—
‘‘(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
582
and tribal organization receiving assistance
under this subchapter.’’;
(vi) by striking subparagraph (F);
(vii) in subparagraph (G)—
(I) by redesignating such sub-
paragraph as subparagraph (F);
(II) by striking ‘‘Provide assur-
ances’’ and inserting ‘‘Certify’’; and
(III) by striking ‘‘as described in
subparagraph (F)’’; and
(viii) by striking subparagraphs (H),
(I), and (J) and inserting the following:
‘‘(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
that are at risk of becoming dependent on such
assistance program.’’;
(B) in paragraph (3)—
583
(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);
(iii) by amending subparagraph (C) to
read as follows:
584
‘‘(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 418(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 under
this subchapter in each fiscal year is used to
provide assistance to low-income working fami-
lies other than families described in paragraph
(2)(F).’’; and
(C) in paragraph (4)(A)—
585
(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. 806. 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. 807. 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-
signed to provide comprehensive consumer education to
586
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. 808. REPEAL OF EARLY CHILDHOOD DEVELOPMENT
AND BEFORE- AND AFTER-SCHOOL CARE RE-
QUIREMENT.
Section 658H (42 U.S.C. 9858f) is repealed.
SEC. 809. 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.’’.
587
SEC. 810. PAYMENTS.
Section 658J(c) (42 U.S.C. 9858h(c)) is amended by
striking ‘‘expended’’ and inserting ‘‘obligated’’.
SEC. 811. 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;
588
‘‘(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;
589
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;
590
‘‘(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. 812. REPORT BY THE SECRETARY.
Section 658L (42 U.S.C. 9858j) is amended—
(1) by striking ‘‘1993’’ and inserting ‘‘1997’’;
591
(2) by striking ‘‘annually’’ and inserting ‘‘bien-
nially’’; and
(3) by striking ‘‘Education and Labor’’ and in-
serting ‘‘Economic and Educational Opportunities’’.
SEC. 813. 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
592
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
593
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. 814. 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
594
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
595
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. 815. 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
596
(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. 816. 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 IX—CHILD NUTRITION
PROGRAMS
Subtitle A—National School Lunch
Act
SEC. 901. 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;
597
(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
‘‘(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.
598
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. 902. 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—
(1) in paragraph (2)—
(A) by striking subparagraph (A); and
(B) by redesignating subparagraphs (B)
and (C) as subparagraphs (A) and (B), respec-
tively;
599
(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
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—
600
‘‘(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
(B) in subparagraph (A), as so redesig-
nated, by redesignating subclauses (I) and (II)
as clauses (i) and (ii), respectively; and
601
(6) in paragraph (4), as redesignated by para-
graph (3), by striking ‘‘subparagraph (C)’’ and in-
serting ‘‘paragraph (3)’’.
(f) USE OF RESOURCES.—Section 9 of the Act is
amended by striking subsection (h).
SEC. 903. 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 902(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
cause for requiring the school to submit a policy
statement.’’.
SEC. 904. SPECIAL ASSISTANCE.
(a) FINANCING BASED ON NEED.—Section 11(b) of
the National School Lunch Act (42 U.S.C. 1759a(b)) is
amended—
602
(1) in the second sentence, by striking ‘‘, with-
in’’ and all that follows through ‘‘all States,’’; and
(2) by striking the third sentence.
(b) 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. 905. 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-
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 901(b), is further amended—
603
(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.
(f) WAIVER.—Section 12(l) of the Act is amended—
(1) 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;
604
(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;
(2) in paragraph (3)—
(A) by striking ‘‘(A)’’; and
(B) by striking subparagraphs (B) through
(D);
(3) in paragraph (4)—
(A) in the matter preceding subparagraph
(A), by striking ‘‘of any requirement relating’’
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
(4) in paragraph (6)—
(A) by striking ‘‘(A)(i)’’ and all that fol-
lows through ‘‘(B)’’; and
605
(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. 906. 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)—
(A) in the first sentence, by striking ‘‘initi-
ate, maintain, and expand’’ and inserting ‘‘initi-
ate 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.—
606
‘‘(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—
‘‘(i) $1.82 for each lunch and supper
served;
‘‘(ii) $1.13 for each breakfast served;
and
‘‘(iii) 46 cents for each meal supple-
ment served.
‘‘(C) ADJUSTMENTS.—Amounts specified
in subparagraph (B) shall be adjusted on Janu-
ary 1, 1997, and each January 1 thereafter, to
the nearest lower cent increment in accordance
with the changes for the 12-month period end-
ing the preceding November 30 in the series for
food away from home of the Consumer Price
Index for All Urban Consumers published by
the Bureau of Labor Statistics of the Depart-
607
ment 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—
(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
608
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’’;
(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)’’;
609
(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:
‘‘(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);
610
(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—
(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);
611
(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, 1997.
SEC. 907. 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).
612
(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. 908. 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
(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
613
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) REIMBURSEMENT
OF CHILD CARE INSTITU-
TIONS.—Section 17(f)(2)(B) of the Act (42 U.S.C.
1766(f)(2)(B)) is amended by striking ‘‘two meals and two
supplements or three meals and one supplement’’ and in-
serting ‘‘two meals and one supplement’’.
(e) IMPROVED TARGETING OF DAY CARE HOME RE-
IMBURSEMENTS.—
(1) RESTRUCTURED
DAY
CARE
HOME
REIM-
BURSEMENTS.—Section 17(f)(3) of the Act is
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
614
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,
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
615
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-
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
616
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 July 1, 1996.
‘‘(IV) ADJUSTMENTS.—The re-
imbursement factors under this sub-
paragraph shall be adjusted on 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 available. The re-
imbursement factors under this sub-
paragraph shall be rounded to the
nearest lower cent increment and
617
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 90
cents for lunches and suppers, 25
cents for breakfasts, and 10
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
618
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
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
619
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
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
620
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-
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
621
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-
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.—
622
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
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.
623
‘‘(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).
‘‘(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.—
624
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 1997.
‘‘(II) PURPOSE.—The Secretary
shall use the funds made available
under subclause (I) to provide grants
to States for the purpose of provid-
ing—
‘‘(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
625
‘‘(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
908(e)(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-
pating in the program in a State dur-
ing fiscal year 1995 as a percentage
of the number of all family day care
homes participating in the program
during fiscal year 1995.
‘‘(iii) RETENTION OF FUNDS.—Of the
amount of funds made available to a State
for fiscal year 1997 under clause (i), the
State may retain not to exceed 30 percent
626
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
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.
627
‘‘(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
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
628
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
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
629
this section,’’ each place it appears in paragraphs
(1), (2), and (3).
(f) 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
(IV) by striking ‘‘and expansion
funds’’ each place it appears; and
(ii) by striking clause (ii); and
(2) by striking paragraph (4).
(g) 
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.
630
(h) 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.’’.
(i) 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’’.
(j) MODIFICATION
OF ADULT CARE FOOD PRO-
GRAM.—Section 17(o) of the Act is amended—
(1) in the first sentence of paragraph (1)—
(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
631
(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’’.
(k) UNNEEDED PROVISION.—Section 17 of the Act
is amended by striking subsection (q).
(l) CONFORMING AMENDMENTS.—
(1) Section 17B(f) of the Act (42 U.S.C.
1766b(f)) is amended—
(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’’.
632
(4) Section 3(1) of the Healthy Meals for
Healthy Americans Act of 1994 (Public Law 103–
448) is amended by striking ‘‘and adult’’.
(m) 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) and (4) of subsection (e) shall be-
come effective on July 1, 1997.
(3) REGULATIONS.—
(A) INTERIM
REGULATIONS.—Not later
than January 1, 1997, the Secretary shall issue
interim regulations to implement—
(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
July 1, 1997, the Secretary shall issue final
633
regulations to implement the provisions of law
referred to in subparagraph (A).
(n) 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
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
634
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
U.S.C. 1766) shall submit to the Secretary data
on—
(A) the number of family day care homes
participating in the program on June 30, 1997,
and June 30, 1998;
(B) the number of family day care homes
licensed, certified, registered, or approved for
635
service on June 30, 1997, and June 30, 1998;
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. 909. 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.
(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
636
(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)’’.
SEC. 910. REDUCTION OF PAPERWORK.
Section 19 of the National School Lunch Act (42
U.S.C. 1769a) is repealed.
SEC. 911. INFORMATION ON INCOME ELIGIBILITY.
Section 23 of the National School Lunch Act (42
U.S.C. 1769d) is repealed.
637
SEC. 912. NUTRITION GUIDANCE FOR CHILD NUTRITION
PROGRAMS.
Section 24 of the National School Lunch Act (42
U.S.C. 1769e) is repealed.
SEC. 913. 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. 921. SPECIAL MILK PROGRAM.
Section 3(a)(3) of the Child Nutrition Act of 1966
(42 U.S.C. 1772(a)(3)) is amended by striking ‘‘the Trust
Territory of the Pacific Islands’’ and inserting ‘‘the Com-
monwealth of the Northern Mariana Islands’’.
SEC. 922. 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
the policy of a school, such as an annual adjust-
638
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. 923. 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. 924. 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.
639
(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. 925. 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), by striking ‘‘may’’ and in-
serting ‘‘shall’’.
SEC. 926. 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’’.
640
SEC. 927. 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. 928. 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
striking ‘‘at all times be available’’ and inserting ‘‘be avail-
able at any reasonable time’’.
SEC. 929. 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)—
641
(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’’;
(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.’’;
642
(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
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;’’;
643
(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
(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;
644
(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.
(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—
645
(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;
(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
646
(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’’.
(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.—
647
‘‘(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
‘‘(C) shall not be subject to judicial or ad-
ministrative review.’’.
SEC. 930. CASH GRANTS FOR NUTRITION EDUCATION.
Section 18 of the Child Nutrition Act of 1966 (42
U.S.C. 1787) is repealed.
SEC. 931. 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-
648
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)’’;
(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
649
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).
(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.
650
‘‘(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
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. 932. BREASTFEEDING PROMOTION PROGRAM.
Section 21 of the Child Nutrition Act of 1966 (42
U.S.C. 1790) is repealed.
651
TITLE X—FOOD STAMPS AND
COMMODITY DISTRIBUTION
SEC. 1001. SHORT TITLE.
This title may be cited as the ‘‘Food Stamp Reform
and Commodity Distribution Act of 1996’’.
Subtitle A—Food Stamp Program
SEC. 1011. 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. 1012. 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
card, cash or check issued in lieu of a coupon, or an access
device, including an electronic benefit transfer card or per-
sonal identification number,’’.
SEC. 1013. 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
652
striking ‘‘(who are not themselves parents living with their
children or married and living with their spouses)’’.
SEC. 1014. OPTIONAL ADDITIONAL CRITERIA FOR SEPA-
RATE HOUSEHOLD DETERMINATIONS.
Section 3(i) of the Food Stamp Act of 1977 (7 U.S.C.
2012(i)) is amended by inserting after the third sentence
the following: ‘‘Notwithstanding the preceding sentences,
a State may establish criteria that prescribe when individ-
uals who live together, and who would be allowed to par-
ticipate as separate households under the preceding sen-
tences, shall be considered a single household, without re-
gard to the common purchase of food and preparation of
meals.’’.
SEC. 1015. 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
‘‘scale;
‘‘(2) make’’;
(3) by striking ‘‘Alaska, (3) make’’ and insert-
ing the following: ‘‘Alaska;
‘‘(3) make’’; and
653
(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. 1016. 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. 1017. STATE OPTION FOR ELIGIBILITY STANDARDS.
Section 5(b) of the Food Stamp Act of 1977 (7
U.S.C. 2014(d)) is amended by striking ‘‘(b) The Sec-
retary’’ and inserting the following:
‘‘(b) ELIGIBILITY STANDARDS.—Except as otherwise
provided in this Act, the Secretary’’.
SEC. 1018. EARNINGS OF STUDENTS.
Section 5(d)(7) of the Food Stamp Act of 1977 (7
U.S.C. 2014(d)(7)) is amended by striking ‘‘21’’ and in-
serting ‘‘19’’.
654
SEC. 1019. ENERGY ASSISTANCE.
(a) IN GENERAL.—Section 5(d) of the Food Stamp
Act of 1977 (7 U.S.C. 2014(d)) is amended by striking
paragraph (11) and inserting the following: ‘‘(11) a 1-time
payment or allowance made under a Federal or State law
for the costs of weatherization or emergency repair or re-
placement of an unsafe or inoperative furnace or other
heating or cooling device,’’.
(b) CONFORMING AMENDMENTS.—
(1) Section 5(k) of the 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) in paragraph (2), by striking subpara-
graph (C) and inserting the following:
‘‘(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.—
655
‘‘(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
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).
SEC. 1020. DEDUCTIONS FROM INCOME.
(a) IN GENERAL.—Section 5 of the Food Stamp Act
of 1977 (7 U.S.C. 2014) is amended by striking sub-
section (e) and inserting the following:
‘‘(e) DEDUCTIONS FROM INCOME.—
656
‘‘(1) STANDARD
DEDUCTION.—The Secretary
shall allow a standard deduction for each household
in the 48 contiguous States and the District of Co-
lumbia, Alaska, Hawaii, Guam, and the Virgin Is-
lands of the United States of $134, $229, $189,
$269, and $118, respectively.
‘‘(2) EARNED INCOME DEDUCTION.—
‘‘(A) DEFINITION OF EARNED INCOME.—
In this paragraph, the term ‘earned income’
does not include income excluded by subsection
(d) or any portion of income earned under a
work supplementation or support program, as
defined under section 16(b), that is attributable
to public assistance.
‘‘(B) DEDUCTION.—Except as provided in
subparagraph (C), a household with earned in-
come shall be allowed a deduction of 20 percent
of all earned income to compensate for taxes,
other mandatory deductions from salary, and
work expenses.
‘‘(C) 
EXCEPTION.—The 
deduction 
de-
scribed in subparagraph (B) shall not be al-
lowed with respect to determining an overissu-
ance due to the failure of a household to report
earned income in a timely manner.
657
‘‘(3) DEPENDENT CARE DEDUCTION.—
‘‘(A) IN GENERAL.—A household shall be
entitled, with respect to expenses (other than
excluded expenses described in subparagraph
(B)) for dependent care, to a dependent care
deduction, the maximum allowable level of
which shall be $200 per month for each depend-
ent child under 2 years of age and $175 per
month for each other dependent, for the actual
cost of payments necessary for the care of a
dependent if the care enables a household mem-
ber to accept or continue employment, or train-
ing or education that is preparatory for employ-
ment.
‘‘(B) EXCLUDED
EXPENSES.—The ex-
cluded expenses referred to in subparagraph
(A) are—
‘‘(i) expenses paid on behalf of the
household by a third party;
‘‘(ii) amounts made available and ex-
cluded for the expenses referred to in sub-
paragraph (A) under subsection (d)(3);
and
‘‘(iii) expenses that are paid under
section 6(d)(4).
658
‘‘(4) DEDUCTION
FOR
CHILD
SUPPORT
PAY-
MENTS.—
‘‘(A) IN GENERAL.—A household shall be
entitled to a deduction for child support pay-
ments made by a household member to or for
an individual who is not a member of the
household if the household member is legally
obligated to make the payments.
‘‘(B) 
METHODS
FOR
DETERMINING
AMOUNT.—The Secretary may prescribe by reg-
ulation the methods, including calculation on a
retrospective basis, that a State agency shall
use to determine the amount of the deduction
for child support payments.
‘‘(5) HOMELESS
SHELTER
ALLOWANCE.—A
State agency may develop a standard homeless shel-
ter allowance, which shall not exceed $143 per
month, for such expenses as may reasonably be ex-
pected to be incurred by households in which all
members are homeless individuals but are not receiv-
ing free shelter throughout the month. A State agen-
cy that develops the allowance may use the allow-
ance in determining eligibility and allotments for the
households, except that the State agency may pro-
659
hibit the use of the allowance for households with
extremely low shelter costs.
‘‘(6) EXCESS MEDICAL EXPENSE DEDUCTION.—
‘‘(A) IN GENERAL.—A household contain-
ing an elderly or disabled member shall be enti-
tled, with respect to expenses other than ex-
penses paid on behalf of the household by a
third party, to an excess medical expense de-
duction for the portion of the actual costs of al-
lowable medical expenses, incurred by the elder-
ly or disabled member, exclusive of special diets,
that exceeds $35 per month.
‘‘(B) METHOD
OF
CLAIMING
DEDUC-
TION.—
‘‘(i) IN
GENERAL.—A State agency
shall offer an eligible household under sub-
paragraph (A) a method of claiming a de-
duction for recurring medical expenses that
are initially verified under the excess medi-
cal expense deduction in lieu of submitting
information or verification on actual ex-
penses on a monthly basis.
‘‘(ii) 
METHOD.—The 
method 
de-
scribed in clause (i) shall—
660
‘‘(I) be designed to minimize the
burden for the eligible elderly or dis-
abled household member choosing to
deduct the recurrent medical expenses
of the member pursuant to the meth-
od;
‘‘(II) rely on reasonable estimates
of the expected medical expenses of
the member for the certification pe-
riod (including changes that can be
reasonably anticipated based on avail-
able information about the medical
condition of the member, public or
private medical insurance coverage,
and the current verified medical ex-
penses incurred by the member); and
‘‘(III) not require further report-
ing or verification of a change in med-
ical expenses if such a change has
been anticipated for the certification
period.
‘‘(7) EXCESS
SHELTER
EXPENSE
DEDUC-
TION.—
‘‘(A) IN GENERAL.—A household shall be
entitled, with respect to expenses other than ex-
661
penses paid on behalf of the household by a
third party, to an excess shelter expense deduc-
tion to the extent that the monthly amount ex-
pended by a household for shelter exceeds an
amount equal to 50 percent of monthly house-
hold income after all other applicable deduc-
tions have been allowed.
‘‘(B) MAXIMUM
AMOUNT
OF
DEDUC-
TION.—In the case of a household that does not
contain an elderly or disabled individual, the ex-
cess shelter expense deduction shall not ex-
ceed—
‘‘(i) in the 48 contiguous States and
the District of Columbia, $247 per month;
and
‘‘(ii) in Alaska, Hawaii, Guam, and
the Virgin Islands of the United States,
$429, $353, $300, and $182 per month,
respectively.
‘‘(C) STANDARD UTILITY ALLOWANCE.—
‘‘(i) IN GENERAL.—In computing the
excess shelter expense deduction, a State
agency may use a standard utility allow-
ance in accordance with regulations pro-
mulgated by the Secretary, except that a
662
State agency may use an allowance that
does not fluctuate within a year to reflect
seasonal variations.
‘‘(ii) RESTRICTIONS ON HEATING AND
COOLING EXPENSES.—An allowance for a
heating or cooling expense may not be used
in the case of a household that—
‘‘(I) does not incur a heating or
cooling expense, as the case may be;
‘‘(II) does incur a heating or
cooling expense but is located in a
public housing unit that has central
utility meters and charges households,
with regard to the expense, only for
excess utility costs; or
‘‘(III) shares the expense with,
and lives with, another individual not
participating in the food stamp pro-
gram, another household participating
in the food stamp program, or both,
unless the allowance is prorated be-
tween the household and the other in-
dividual, household, or both.
‘‘(iii) MANDATORY ALLOWANCE.—
663
‘‘(I) 
IN
GENERAL.—A 
State
agency may make the use of a stand-
ard utility allowance mandatory for all
households 
with 
qualifying 
utility
costs if—
‘‘(aa) the State agency has
developed 1 or more standards
that include the cost of heating
and cooling and 1 or more stand-
ards that do not include the cost
of heating and cooling; and
‘‘(bb) the Secretary finds
that the standards will not result
in an increased cost to the Sec-
retary.
‘‘(II) HOUSEHOLD
ELECTION.—
A State agency that has not made the
use of a standard utility allowance
mandatory under subclause (I) shall
allow a household to switch, at the
end of a certification period, between
the standard utility allowance and a
deduction based on the actual utility
costs of the household.
664
‘‘(iv) AVAILABILITY
OF
ALLOWANCE
TO RECIPIENTS OF ENERGY ASSISTANCE.—
‘‘(I) IN
GENERAL.—Subject to
subclause (II), if a State agency elects
to use a standard utility allowance
that reflects heating or cooling costs,
the standard utility allowance shall be
made available to households receiving
a payment, or on behalf of which a
payment is made, under the Low-In-
come Home Energy Assistance Act of
1981 (42 U.S.C. 8621 et seq.) or
other similar energy assistance pro-
gram, if the household still incurs out-
of-pocket heating or cooling expenses
in excess of any assistance paid on be-
half of the household to an energy
provider.
‘‘(II) SEPARATE ALLOWANCE.—A
State agency may use a separate
standard utility allowance for house-
holds on behalf of which a payment
described in subclause (I) is made,
but may not be required to do so.
665
‘‘(III) STATES NOT ELECTING TO
USE SEPARATE ALLOWANCE.—A State
agency that does not elect to use a
separate allowance but makes a single
standard utility allowance available to
households incurring heating or cool-
ing expenses (other than a household
described in subclause (I) or (II) of
subparagraph (C)(ii)) may not be re-
quired to reduce the allowance due to
the provision (directly or indirectly) of
assistance 
under 
the 
Low-Income
Home Energy Assistance Act of 1981
(42 U.S.C. 8621 et seq.).
‘‘(IV) PRORATION
OF
ASSIST-
ANCE.—For the purpose of the food
stamp program, assistance provided
under the Low-Income Home Energy
Assistance Act of 1981 (42 U.S.C.
8621 et seq.) shall be considered to be
prorated over the entire heating or
cooling season for which the assist-
ance was provided.’’.
(b) CONFORMING AMENDMENT.—Section 11(e)(3) of
the Act (7 U.S.C. 2020(e)(3)) is amended by striking ‘‘.
666
Under rules prescribed’’ and all that follows through
‘‘verifies higher expenses’’.
SEC. 1021. VEHICLE ALLOWANCE.
Section 5(g) of the Food Stamp Act of 1977 (7
U.S.C. 2014(g)) is amended by striking paragraph (2) and
inserting the following:
‘‘(2) INCLUDED ASSETS.—
‘‘(A) IN GENERAL.—Subject to the other
provisions of this paragraph, the Secretary
shall, in prescribing inclusions in, and exclu-
sions from, financial resources, follow the regu-
lations in force as of June 1, 1982 (other than
those relating to licensed vehicles and inacces-
sible resources).
‘‘(B) ADDITIONAL
INCLUDED
ASSETS.—
The Secretary shall include in financial re-
sources—
‘‘(i) any boat, snowmobile, or airplane
used for recreational purposes;
‘‘(ii) any vacation home;
‘‘(iii) any mobile home used primarily
for vacation purposes;
‘‘(iv) subject to subparagraph (C), any
licensed vehicle that is used for household
transportation or to obtain or continue em-
667
ployment to the extent that the fair market
value of the vehicle exceeds $4,600; and
‘‘(v) any savings or retirement ac-
count (including an individual account), re-
gardless of whether there is a penalty for
early withdrawal.
‘‘(C) EXCLUDED
VEHICLES.—A vehicle
(and any other property, real or personal, to the
extent the property is directly related to the
maintenance or use of the vehicle) shall not be
included in financial resources under this para-
graph if the vehicle is—
‘‘(i) used to produce earned income;
‘‘(ii) necessary for the transportation
of a physically disabled household member;
or
‘‘(iii) depended on by a household to
carry fuel for heating or water for home
use and provides the primary source of fuel
or water, respectively, for the household.’’.
SEC. 1022. VENDOR PAYMENTS FOR TRANSITIONAL HOUS-
ING COUNTED AS INCOME.
Section 5(k)(2) of the Food Stamp Act of 1977 (7
U.S.C. 2014(k)(2)) is amended—
(1) by striking subparagraph (F); and
668
(2) by redesignating subparagraphs (G) and
(H) as subparagraphs (F) and (G), respectively.
SEC. 1023. DOUBLED PENALTIES FOR VIOLATING FOOD
STAMP PROGRAM REQUIREMENTS.
Section 6(b)(1) of the Food Stamp Act of 1977 (7
U.S.C. 2015(b)(1)) is amended—
(1) in clause (i), by striking ‘‘six months’’ and
inserting ‘‘1 year’’; and
(2) in clause (ii), by striking ‘‘1 year’’ and in-
serting ‘‘2 years’’.
SEC. 1024. DISQUALIFICATION OF CONVICTED INDIVID-
UALS.
Section 6(b)(1)(iii) of the Food Stamp Act of 1977
(7 U.S.C. 2015(b)(1)(iii)) is amended—
(1) in subclause (II), by striking ‘‘or’’ at the
end;
(2) in subclause (III), by striking the period at
the end and inserting ‘‘; or’’; and
(3) by inserting after subclause (III) the follow-
ing:
‘‘(IV) a conviction of an offense under sub-
section (b) or (c) of section 15 involving an
item covered by subsection (b) or (c) of section
15 having a value of $500 or more.’’.
669
SEC. 1025. DISQUALIFICATION.
(a) IN GENERAL.—Section 6(d) of the Food Stamp
Act of 1977 (7 U.S.C. 2015(d)) is amended by striking
‘‘(d)(1) Unless otherwise exempted by the provisions’’ and
all that follows through the end of paragraph (1) and in-
serting the following:
‘‘(d) CONDITIONS OF PARTICIPATION.—
‘‘(1) WORK REQUIREMENTS.—
‘‘(A) IN
GENERAL.—No physically and
mentally fit individual over the age of 15 and
under the age of 60 shall be eligible to partici-
pate in the food stamp program if the individ-
ual—
‘‘(i) refuses, at the time of application
and every 12 months thereafter, to register
for employment in a manner prescribed by
the Secretary;
‘‘(ii) refuses without good cause to
participate in an employment and training
program under paragraph (4), to the ex-
tent required by the State agency;
‘‘(iii) refuses without good cause to
accept an offer of employment, at a site or
plant not subject to a strike or lockout at
the time of the refusal, at a wage not less
than the higher of—
670
‘‘(I) the applicable Federal or
State minimum wage; or
‘‘(II) 80 percent of the wage that
would have governed had the mini-
mum 
hourly 
rate 
under 
section
6(a)(1) of the Fair Labor Standards
Act of 1938 (29 U.S.C. 206(a)(1))
been applicable to the offer of employ-
ment;
‘‘(iv) refuses without good cause to
provide a State agency with sufficient in-
formation to allow the State agency to de-
termine the employment status or the job
availability of the individual;
‘‘(v) voluntarily and without good
cause—
‘‘(I) quits a job; or
‘‘(II) reduces work effort and,
after the reduction, the individual is
working less than 30 hours per week;
or
‘‘(vi) fails to comply with section 20.
‘‘(B) HOUSEHOLD
INELIGIBILITY.—If an
individual who is the head of a household be-
comes ineligible to participate in the food stamp
671
program under subparagraph (A), the house-
hold shall, at the option of the State agency,
become ineligible to participate in the food
stamp program for a period, determined by the
State agency, that does not exceed the lesser
of—
‘‘(i) the duration of the ineligibility of
the individual determined under subpara-
graph (C); or
‘‘(ii) 180 days.
‘‘(C) DURATION OF INELIGIBILITY.—
‘‘(i) FIRST
VIOLATION.—The first
time that an individual becomes ineligible
to participate in the food stamp program
under subparagraph (A), the individual
shall remain ineligible until the later of—
‘‘(I) the date the individual be-
comes eligible under subparagraph
(A);
‘‘(II) the date that is 1 month
after the date the individual became
ineligible; or
‘‘(III) a date determined by the
State agency that is not later than 3
672
months after the date the individual
became ineligible.
‘‘(ii) SECOND
VIOLATION.—The sec-
ond time that an individual becomes ineli-
gible to participate in the food stamp pro-
gram under subparagraph (A), the individ-
ual shall remain ineligible until the later
of—
‘‘(I) the date the individual be-
comes eligible under subparagraph
(A);
‘‘(II) the date that is 3 months
after the date the individual became
ineligible; or
‘‘(III) a date determined by the
State agency that is not later than 6
months after the date the individual
became ineligible.
‘‘(iii) THIRD OR SUBSEQUENT VIOLA-
TION.—The third or subsequent time that
an individual becomes ineligible to partici-
pate in the food stamp program under sub-
paragraph (A), the individual shall remain
ineligible until the later of—
673
‘‘(I) the date the individual be-
comes eligible under subparagraph
(A);
‘‘(II) the date that is 6 months
after the date the individual became
ineligible;
‘‘(III) a date determined by the
State agency; or
‘‘(IV) at the option of the State
agency, permanently.
‘‘(D) ADMINISTRATION.—
‘‘(i) GOOD
CAUSE.—The Secretary
shall determine the meaning of good cause
for the purpose of this paragraph.
‘‘(ii) VOLUNTARY
QUIT.—The Sec-
retary shall determine the meaning of vol-
untarily quitting and reducing work effort
for the purpose of this paragraph.
‘‘(iii) 
DETERMINATION
BY
STATE
AGENCY.—
‘‘(I) IN
GENERAL.—Subject to
subclause (II) and clauses (i) and (ii),
a State agency shall determine—
‘‘(aa) the meaning of any
term in subparagraph (A);
674
‘‘(bb) the procedures for de-
termining whether an individual
is in compliance with a require-
ment under subparagraph (A);
and
‘‘(cc) whether an individual
is in compliance with a require-
ment under subparagraph (A).
‘‘(II) NOT LESS RESTRICTIVE.—
A State agency may not determine a
meaning, procedure, or determination
under subclause (I) to be less restric-
tive than a comparable meaning, pro-
cedure, or determination under a
State program funded under part A of
title IV of the Social Security Act (42
U.S.C. 601 et seq.).
‘‘(iv) STRIKE AGAINST THE GOVERN-
MENT.—For the purpose of subparagraph
(A)(v), an employee of the Federal Govern-
ment, a State, or a political subdivision of
a State, who is dismissed for participating
in a strike against the Federal Govern-
ment, the State, or the political subdivision
675
of the State shall be considered to have
voluntarily quit without good cause.
‘‘(v) SELECTING A HEAD OF HOUSE-
HOLD.—
‘‘(I) IN GENERAL.—For the pur-
pose of this paragraph, the State
agency shall allow the household to se-
lect any adult parent of a child in the
household as the head of the house-
hold if all adult household members
making application under the food
stamp program agree to the selection.
‘‘(II) TIME
FOR
MAKING
DES-
IGNATION.—A household may des-
ignate the head of the household
under subclause (I) each time the
household is certified for participation
in the food stamp program, but may
not change the designation during a
certification period unless there is a
change in the composition of the
household.
‘‘(vi) CHANGE
IN
HEAD
OF
HOUSE-
HOLD.—If the head of a household leaves
the household during a period in which the
676
household is ineligible to participate in the
food stamp program under subparagraph
(B)—
‘‘(I) the household shall, if other-
wise eligible, become eligible to par-
ticipate in the food stamp program;
and
‘‘(II) if the head of the household
becomes the head of another house-
hold, the household that becomes
headed by the individual shall become
ineligible to participate in the food
stamp program for the remaining pe-
riod of ineligibility.’’.
(b) CONFORMING AMENDMENT.—
(1) The second sentence of section 17(b)(2) of
the Act (7 U.S.C. 2026(b)(2)) is amended by strik-
ing ‘‘6(d)(1)(i)’’ and inserting ‘‘6(d)(1)(A)(i)’’.
(2) Section 20 of the Act (7 U.S.C. 2029) is
amended by striking subsection (f) and inserting the
following:
‘‘(f) DISQUALIFICATION.—An individual or a house-
hold may become ineligible under section 6(d)(1) to par-
ticipate in the food stamp program for failing to comply
with this section.’’.
677
SEC. 1026. CARETAKER EXEMPTION.
Section 6(d)(2) of the Food Stamp Act of 1977 (7
U.S.C. 2015(d)(2)) is amended by striking subparagraph
(B) and inserting the following: ‘‘(B) a parent or other
member of a household with responsibility for the care of
(i) a dependent child under the age of 6 or any lower age
designated by the State agency that is not under the age
of 1, or (ii) an incapacitated person;’’.
SEC. 1027. EMPLOYMENT AND TRAINING.
(a) IN GENERAL.—Section 6(d)(4) of the Food
Stamp Act of 1977 (7 U.S.C. 2015(d)(4)) is amended—
(1) in subparagraph (A)—
(A) by striking ‘‘Not later than April 1,
1987, each’’ and inserting ‘‘Each’’;
(B) by inserting ‘‘work,’’ after ‘‘skills,
training,’’; and
(C) by adding at the end the following:
‘‘Each component of an employment and train-
ing program carried out under this paragraph
shall be delivered through a statewide workforce
development system, unless the component is
not available locally through the statewide
workforce development system.’’;
(2) in subparagraph (B)—
(A) in the matter preceding clause (i), by
striking the colon at the end and inserting the
678
following: ‘‘, except that the State agency shall
retain the option to apply employment require-
ments prescribed under this subparagraph to a
program applicant at the time of application:’’;
(B) in clause (i), by striking ‘‘with terms
and conditions’’ and all that follows through
‘‘time of application’’; and
(C) in clause (iv)—
(i) by striking subclauses (I) and (II);
and
(ii) by redesignating subclauses (III)
and (IV) as subclauses (I) and (II), respec-
tively;
(3) in subparagraph (D)—
(A) in clause (i), by striking ‘‘to which the
application’’ and all that follows through ‘‘30
days or less’’;
(B) in clause (ii), by striking ‘‘but with re-
spect’’ and all that follows through ‘‘child
care’’; and
(C) in clause (iii), by striking ‘‘, on the
basis of’’ and all that follows through ‘‘clause
(ii)’’ and inserting ‘‘the exemption continues to
be valid’’;
679
(4) in subparagraph (E), by striking the third
sentence;
(5) in subparagraph (G)—
(A) by striking ‘‘(G)(i) The State’’ and in-
serting ‘‘(G) The State’’; and
(B) by striking clause (ii);
(6) in subparagraph (H), by striking ‘‘(H)(i)
The Secretary’’ and all that follows through ‘‘(ii)
Federal funds’’ and inserting ‘‘(H) Federal funds’’;
(7) in subparagraph (I)(i)(II), by striking ‘‘, or
was in operation,’’ and all that follows through ‘‘So-
cial Security Act’’ and inserting the following: ‘‘),
except that no such payment or reimbursement shall
exceed the applicable local market rate’’;
(8)(A) by striking subparagraphs (K) and (L)
and inserting the following:
‘‘(K) LIMITATION ON FUNDING.—Notwith-
standing any other provision of this paragraph,
the amount of funds a State agency uses to
carry out this paragraph (including under sub-
paragraph (I)) for participants who are receiv-
ing benefits under a State program funded
under part A of title IV of the Social Security
Act (42 U.S.C. 601 et seq.) shall not exceed the
amount of funds the State agency used in fiscal
680
year 1995 to carry out this paragraph for par-
ticipants who were receiving benefits in fiscal
year 1995 under a State program funded under
part A of title IV of the Act (42 U.S.C. 601 et
seq.).’’; and
(B) by redesignating subparagraphs (M) and
(N) as subparagraphs (L) and (M), respectively; and
(9) in subparagraph (L), as redesignated by
paragraph (8)(B)—
(A) by striking ‘‘(L)(i) The Secretary’’ and
inserting ‘‘(L) The Secretary’’; and
(B) by striking clause (ii).
(b) FUNDING.—Section 16(h) of the Act (7 U.S.C.
2025(h)) is amended by striking ‘‘(h)(1)(A) The Sec-
retary’’ and all that follows through the end of paragraph
(1) and inserting the following:
‘‘(h) FUNDING
OF EMPLOYMENT
AND TRAINING
PROGRAMS.—
‘‘(1) IN GENERAL.—
‘‘(A) AMOUNTS.—To carry out employ-
ment and training programs, the Secretary
shall reserve for allocation to State agencies
from funds made available for each fiscal year
under section 18(a)(1) the amount of—
‘‘(i) for fiscal year 1996, $75,000,000;
681
‘‘(ii) 
for 
fiscal 
year 
1997,
$79,000,000;
‘‘(iii) 
for 
fiscal 
year 
1998,
$81,000,000;
‘‘(iv) 
for 
fiscal 
year 
1999,
$84,000,000;
‘‘(v) 
for 
fiscal 
year 
2000,
$86,000,000;
‘‘(vi) 
for 
fiscal 
year 
2001,
$88,000,000; and
‘‘(vii) 
for 
fiscal 
year 
2002,
$90,000,000.
‘‘(B) ALLOCATION.—The Secretary shall
allocate the amounts reserved under subpara-
graph (A) among the State agencies using a
reasonable formula (as determined by the Sec-
retary) that gives consideration to the popu-
lation in each State affected by section 6(o).
‘‘(C) REALLOCATION.—
‘‘(i) NOTIFICATION.—A State agency
shall promptly notify the Secretary if the
State agency determines that the State
agency will not expend all of the funds al-
located to the State agency under subpara-
graph (B).
682
‘‘(ii) REALLOCATION.—On notification
under clause (i), the Secretary shall reallo-
cate the funds that the State agency will
not expend as the Secretary considers ap-
propriate and equitable.
‘‘(D) MINIMUM
ALLOCATION.—Notwith-
standing subparagraphs (A) through (C), the
Secretary shall ensure that each State agency
operating an employment and training program
shall receive not less than $50,000 in each fis-
cal year.’’.
(c) 
ADDITIONAL
MATCHING
FUNDS.—Section
16(h)(2) of the Act (7 U.S.C. 2025(h)(2)) is amended by
inserting before the period at the end the following: ‘‘, in-
cluding the costs for case management and casework to
facilitate the transition from economic dependency to self-
sufficiency through work’’.
(d) REPORTS.—Section 16(h) of the Act (7 U.S.C.
2025(h)) is amended—
(1) in paragraph (5)—
(A) by striking ‘‘(5)(A) The Secretary’’
and inserting ‘‘(5) The Secretary’’; and
(B) by striking subparagraph (B); and
(2) by striking paragraph (6).
683
SEC. 1028. COMPARABLE TREATMENT FOR DISQUALIFICA-
TION.
(a) IN GENERAL.—Section 6 of the Food Stamp Act
of 1977 (7 U.S.C. 2015) is amended—
(1) by redesignating subsection (i), as added by
section 107, as subsection (p); and
(2) by inserting after subsection (h) the follow-
ing:
‘‘(i) COMPARABLE TREATMENT FOR DISQUALIFICA-
TION.—
‘‘(1) IN GENERAL.—If a disqualification is im-
posed on a member of a household for a failure of
the member to perform an action required under a
Federal, State, or local law relating to a means-test-
ed public assistance program, the State agency may
impose the same disqualification on the member of
the household under the food stamp program.
‘‘(2) RULES AND PROCEDURES.—If a disquali-
fication is imposed under paragraph (1) for a failure
of an individual to perform an action required under
part A of title IV of the Social Security Act (42
U.S.C. 601 et seq.), the State agency may use the
rules and procedures that apply under part A of title
IV of the Act to impose the same disqualification
under the food stamp program.
684
‘‘(3) APPLICATION
AFTER
DISQUALIFICATION
PERIOD.—A member of a household disqualified
under paragraph (1) may, after the disqualification
period has expired, apply for benefits under this Act
and shall be treated as a new applicant, except that
a prior disqualification under subsection (d) shall be
considered in determining eligibility.’’.
(b) STATE PLAN PROVISIONS.—Section 11(e) of the
Act (7 U.S.C. 2020(e)) is amended—
(1) in paragraph (24), by striking ‘‘and’’ at the
end;
(2) in paragraph (25), by striking the period at
the end and inserting a semicolon; and
(3) by adding at the end the following:
‘‘(26) the guidelines the State agency uses in
carrying out section 6(i); and’’.
(c) CONFORMING AMENDMENT.—Section 6(d)(2)(A)
of the Act (7 U.S.C. 2015(d)(2)(A)) is amended by strik-
ing ‘‘that is comparable to a requirement of paragraph
(1)’’.
SEC. 1029. DISQUALIFICATION FOR RECEIPT OF MULTIPLE
FOOD STAMP BENEFITS.
Section 6 of the Food Stamp Act of 1977 (7 U.S.C.
2015), as amended by section 1028, is further amended
by inserting after subsection (i) the following:
685
‘‘(j) DISQUALIFICATION FOR RECEIPT OF MULTIPLE
FOOD STAMP BENEFITS.—An individual shall be ineligible
to participate in the food stamp program as a member
of any household for a 10-year period if the individual is
found by a State agency to have made, or is convicted
in a Federal or State court of having made, a fraudulent
statement or representation with respect to the identity
or place of residence of the individual in order to receive
multiple benefits simultaneously under the food stamp
program.’’.
SEC. 1030. DISQUALIFICATION OF FLEEING FELONS.
Section 6 of the Food Stamp Act of 1977 (7 U.S.C.
2015), as amended by section 1029, is further amended
by inserting after subsection (j) the following:
‘‘(k) DISQUALIFICATION OF FLEEING FELONS.—No
member of a household who is otherwise eligible to partici-
pate in the food stamp program shall be eligible to partici-
pate in the program as a member of that or any other
household during any period during which the individual
is—
‘‘(1) fleeing to avoid prosecution, or custody or
confinement after conviction, under the law of the
place from which the individual is fleeing, for a
crime, or attempt to commit a crime, that is a felony
under the law of the place from which the individual
686
is fleeing or that, in the case of New Jersey, is a
high misdemeanor under the law of New Jersey; or
‘‘(2) violating a condition of probation or parole
imposed under a Federal or State law.’’.
SEC. 1031. COOPERATION WITH CHILD SUPPORT AGENCIES.
Section 6 of the Food Stamp Act of 1977 (7 U.S.C.
2015), as amended by section 1030, is further amended
by inserting after subsection (k) the following:
‘‘(l) CUSTODIAL
PARENT’S
COOPERATION
WITH
CHILD SUPPORT AGENCIES.—
‘‘(1) IN GENERAL.—At the option of a State
agency, subject to paragraphs (2) and (3), no natu-
ral or adoptive parent or other individual (collec-
tively referred to in this subsection as ‘the individ-
ual’) who is living with and exercising parental con-
trol over a child under the age of 18 who has an ab-
sent parent shall be eligible to participate in the food
stamp program unless the individual cooperates with
the State agency administering the program estab-
lished under part D of title IV of the Social Security
Act (42 U.S.C. 651 et seq.)—
‘‘(A) in establishing the paternity of the
child (if the child is born out of wedlock); and
‘‘(B) in obtaining support for—
‘‘(i) the child; or
687
‘‘(ii) the individual and the child.
‘‘(2) GOOD
CAUSE
FOR
NONCOOPERATION.—
Paragraph (1) shall not apply to the individual if
good cause is found for refusing to cooperate, as de-
termined by the State agency in accordance with
standards prescribed by the Secretary in consulta-
tion with the Secretary of Health and Human Serv-
ices. The standards shall take into consideration cir-
cumstances under which cooperation may be against
the best interests of the child.
‘‘(3) FEES.—Paragraph (1) shall not require
the payment of a fee or other cost for services pro-
vided under part D of title IV of the Social Security
Act (42 U.S.C. 651 et seq.).
‘‘(m) NON-CUSTODIAL
PARENT’S
COOPERATION
WITH CHILD SUPPORT AGENCIES.—
‘‘(1) IN GENERAL.—At the option of a State
agency, subject to paragraphs (2) and (3), a puta-
tive or identified non-custodial parent of a child
under the age of 18 (referred to in this subsection
as ‘the individual’) shall not be eligible to participate
in the food stamp program if the individual refuses
to cooperate with the State agency administering the
program established under part D of title IV of the
Social Security Act (42 U.S.C. 651 et seq.)—
688
‘‘(A) in establishing the paternity of the
child (if the child is born out of wedlock); and
‘‘(B) in providing support for the child.
‘‘(2) REFUSAL TO COOPERATE.—
‘‘(A) GUIDELINES.—The Secretary, in con-
sultation with the Secretary of Health and
Human Services, shall develop guidelines on
what constitutes a refusal to cooperate under
paragraph (1).
‘‘(B) PROCEDURES.—The State agency
shall develop procedures, using guidelines devel-
oped under subparagraph (A), for determining
whether an individual is refusing to cooperate
under paragraph (1).
‘‘(3) FEES.—Paragraph (1) shall not require
the payment of a fee or other cost for services pro-
vided under part D of title IV of the Social Security
Act (42 U.S.C. 651 et seq.).
‘‘(4) PRIVACY.—The State agency shall provide
safeguards to restrict the use of information col-
lected by a State agency administering the program
established under part D of title IV of the Social Se-
curity Act (42 U.S.C. 651 et seq.) to purposes for
which the information is collected.’’.
689
SEC. 1032. DISQUALIFICATION RELATING TO CHILD SUP-
PORT ARREARS.
Section 6 of the Food Stamp Act of 1977 (7 U.S.C.
2015), as amended by section 1031, is further amended
by inserting after subsection (m) the following:
‘‘(n) DISQUALIFICATION FOR CHILD SUPPORT AR-
REARS.—
‘‘(1) IN GENERAL.—At the option of the State
agency, no individual shall be eligible to participate
in the food stamp program as a member of any
household during any month that the individual is
delinquent in any payment due under a court order
for the support of a child of the individual.
‘‘(2) EXCEPTIONS.—Paragraph (1) shall not
apply if—
‘‘(A) a court is allowing the individual to
delay payment; or
‘‘(B) the individual is complying with a
payment plan approved by a court or the State
agency designated under part D of title IV of
the Social Security Act (42 U.S.C. 651 et seq.)
to provide support for the child of the individ-
ual.’’.
SEC. 1033. WORK REQUIREMENT.
(a) IN GENERAL.—Section 6 of the Food Stamp Act
of 1977 (7 U.S.C. 2015), as amended by section 1032,
690
is further amended by inserting after subsection (n) the
following:
‘‘(o) WORK REQUIREMENT.—
‘‘(1) DEFINITION OF WORK PROGRAM.—In this
subsection, the term ‘work program’ means—
‘‘(A) a program under the Job Training
Partnership Act (29 U.S.C. 1501 et seq.);
‘‘(B) a program under section 236 of the
Trade Act of 1974 (19 U.S.C. 2296); or
‘‘(C) a program of employment or training
operated or supervised by a State or political
subdivision of a State that meets standards ap-
proved by the Governor of the State, including
a program under section 6(d)(4), other than a
job search program or a job search training
program.
‘‘(2) WORK
REQUIREMENT.—Subject to the
other provisions of this subsection, no individual
shall be eligible to participate in the food stamp pro-
gram as a member of any household if, during the
preceding 12-month period, the individual received
food stamp benefits for not less than 4 months dur-
ing which the individual did not—
‘‘(A) work 20 hours or more per week,
averaged monthly; or
691
‘‘(B) participate in and comply with the re-
quirements of a work program for 20 hours or
more per week, as determined by the State
agency; or
‘‘(C) participate in a program under sec-
tion 20 or a comparable program established by
a State or political subdivision of a State.
‘‘(3) EXCEPTION.—Paragraph (2) shall not
apply to an individual if the individual is—
‘‘(A) under 18 or over 50 years of age;
‘‘(B) medically certified as physically or
mentally unfit for employment;
‘‘(C) a parent or other member of a house-
hold with responsibility for a dependent child;
‘‘(D) otherwise exempt under section
6(d)(2); or
‘‘(E) a pregnant woman.
‘‘(4) WAIVER.—
‘‘(A) IN GENERAL.—On the request of a
State agency, the Secretary may waive the ap-
plicability of paragraph (2) to any group of in-
dividuals in the State if the Secretary makes a
determination that the area in which the indi-
viduals reside—
692
‘‘(i) has an unemployment rate of over
10 percent; or
‘‘(ii) does not have a sufficient num-
ber of jobs to provide employment for the
individuals.
‘‘(B) REPORT.—The Secretary shall report
the basis for a waiver under subparagraph (A)
to the Committee on Agriculture of the House
of Representatives and the Committee on Agri-
culture, Nutrition, and Forestry of the Senate.
‘‘(5) SUBSEQUENT ELIGIBILITY.—
‘‘(A) IN
GENERAL.—Paragraph (2) shall
cease to apply to an individual if, during a 30-
day period, the individual—
‘‘(i) works 80 or more hours;
‘‘(ii) participates in and complies with
the requirements of a work program for 80
or more hours, as determined by a State
agency; or
‘‘(iii) participates in a program under
section 20 or a comparable program estab-
lished by a State or political subdivision of
a State.
‘‘(B) LIMITATION.—During the subsequent
12-month period, the individual shall be eligible
693
to participate in the food stamp program for
not more than 4 months during which the indi-
vidual does not—
‘‘(i) work 20 hours or more per week,
averaged monthly;
‘‘(ii) participate in and comply with
the requirements of a work program for 20
hours or more per week, as determined by
the State agency; or
‘‘(iii) participate in a program under
section 20 or a comparable program estab-
lished by a State or political subdivision of
a State.’’.
(b) TRANSITION PROVISION.—Prior to 1 year after
the date of enactment of this Act, the term ‘‘preceding
12-month period’’ in section 6(o) of the Food Stamp Act
of 1977, as amended by subsection (a), means the preced-
ing period that begins on the date of enactment of this
Act.
SEC. 1034. ENCOURAGE ELECTRONIC BENEFIT TRANSFER
SYSTEMS.
(a) IN GENERAL.—Section 7(i) of the Food Stamp
Act of 1977 (7 U.S.C. 2016(i)) is amended—
(1) by striking paragraph (1) and inserting the
following:
694
‘‘(1) ELECTRONIC BENEFIT TRANSFERS.—
‘‘(A) 
IMPLEMENTATION.—Each 
State
agency shall implement an electronic benefit
transfer system in which household benefits de-
termined under section 8(a) or 24 are issued
from and stored in a central databank before
October 1, 2002, unless the Secretary provides
a waiver for a State agency that faces unusual
barriers to implementing an electronic benefit
transfer system.
‘‘(B) TIMELY
IMPLEMENTATION.—State
agencies are encouraged to implement an elec-
tronic benefit transfer system under subpara-
graph (A) as soon as practicable.
‘‘(C) STATE
FLEXIBILITY.—Subject to
paragraph (2), a State agency may procure and
implement an electronic benefit transfer system
under the terms, conditions, and design that
the State agency considers appropriate.
‘‘(D) OPERATION.—An electronic benefit
transfer system should take into account gen-
erally accepted standard operating rules based
on—
‘‘(i) 
commercial 
electronic 
funds
transfer technology;
695
‘‘(ii) the need to permit interstate op-
eration and law enforcement monitoring;
and
‘‘(iii) the need to permit monitoring
and investigations by authorized law en-
forcement agencies.’’;
(2) in paragraph (2)—
(A) by striking ‘‘effective no later than
April 1, 1992,’’;
(B) in subparagraph (A)—
(i) by striking ‘‘, in any 1 year,’’; and
(ii) by striking ‘‘on-line’’;
(C) by striking subparagraph (D) and in-
serting the following:
‘‘(D)(i) measures to maximize the security
of a system using the most recent technology
available that the State agency considers appro-
priate and cost effective and which may include
personal identification numbers, photographic
identification on electronic benefit transfer
cards, and other measures to protect against
fraud and abuse; and
‘‘(ii) effective not later than 2 years after
the effective date of this clause, to the extent
practicable, measures that permit a system to
696
differentiate items of food that may be acquired
with an allotment from items of food that may
not be acquired with an allotment.’’;
(D) in subparagraph (G), by striking
‘‘and’’ at the end;
(E) in subparagraph (H), by striking the
period at the end and inserting ‘‘; and’’; and
(F) by adding at the end the following:
‘‘(I) procurement standards.’’; and
(3) by adding at the end the following:
‘‘(7) REPLACEMENT
OF
BENEFITS.—Regula-
tions issued by the Secretary regarding the replace-
ment of benefits and liability for replacement of ben-
efits under an electronic benefit transfer system
shall be similar to the regulations in effect for a
paper food stamp issuance system.
‘‘(8) REPLACEMENT CARD FEE.—A State agen-
cy may collect a charge for replacement of an elec-
tronic benefit transfer card by reducing the monthly
allotment of the household receiving the replacement
card.
‘‘(9) OPTIONAL
PHOTOGRAPHIC
IDENTIFICA-
TION.—
‘‘(A) IN GENERAL.—A State agency may
require that an electronic benefit card contain
697
a photograph of 1 or more members of a house-
hold.
‘‘(B) OTHER
AUTHORIZED
USERS.—If a
State agency requires a photograph on an elec-
tronic benefit card under subparagraph (A), the
State agency shall establish procedures to en-
sure that any other appropriate member of the
household or any authorized representative of
the household may utilize the card.’’.
(b) SENSE OF CONGRESS.—It is the sense of Con-
gress that a State that operates an electronic benefit
transfer system under the Food Stamp Act of 1977 (7
U.S.C. 2011 et seq.) should operate the system in a man-
ner that is compatible with electronic benefit transfer sys-
tems operated by other States.
SEC. 1035. VALUE OF MINIMUM ALLOTMENT.
The proviso in section 8(a) of the Food Stamp Act
of 1977 (7 U.S.C. 2017(a)) is amended by striking ‘‘, and
shall be adjusted’’ and all that follows through ‘‘$5’’.
SEC. 1036. BENEFITS ON RECERTIFICATION.
Section 8(c)(2)(B) of the Food Stamp Act of 1977
(7 U.S.C. 2017(c)(2)(B)) is amended by striking ‘‘of more
than one month’’.
698
SEC. 1037. OPTIONAL COMBINED ALLOTMENT FOR EXPE-
DITED HOUSEHOLDS.
Section 8(c) of the Food Stamp Act of 1977 (7
U.S.C. 2017(c)) is amended by striking paragraph (3) and
inserting the following:
‘‘(3) OPTIONAL
COMBINED
ALLOTMENT
FOR
EXPEDITED
HOUSEHOLDS.—A State agency may
provide to an eligible household applying after the
15th day of a month, in lieu of the initial allotment
of the household and the regular allotment of the
household for the following month, an allotment that
is equal to the total amount of the initial allotment
and the first regular allotment. The allotment shall
be provided in accordance with section 11(e)(3) in
the case of a household that is not entitled to expe-
dited service and in accordance with paragraphs (3)
and (9) of section 11(e) in the case of a household
that is entitled to expedited service.’’.
SEC. 1038. FAILURE TO COMPLY WITH OTHER MEANS-TEST-
ED PUBLIC ASSISTANCE PROGRAMS.
Section 8 of the Food Stamp Act of 1977 (7 U.S.C.
2017) is amended by striking subsection (d) and inserting
the following:
‘‘(d) REDUCTION
OF PUBLIC ASSISTANCE BENE-
FITS.—
699
‘‘(1) IN GENERAL.—If the benefits of a house-
hold are reduced under a Federal, State, or local law
relating to a means-tested public assistance program
for the failure of a member of the household to per-
form an action required under the law or program,
for the duration of the reduction—
‘‘(A) the household may not receive an in-
creased allotment as the result of a decrease in
the income of the household to the extent that
the decrease is the result of the reduction; and
‘‘(B) the State agency may reduce the al-
lotment of the household by not more than 25
percent.
‘‘(2) RULES AND PROCEDURES.—If the allot-
ment of a household is reduced under this subsection
for a failure to perform an action required under
part A of title IV of the Social Security Act (42
U.S.C. 601 et seq.), the State agency may use the
rules and procedures that apply under part A of title
IV of the Act to reduce the allotment under the food
stamp program.’’.
SEC. 1039. ALLOTMENTS FOR HOUSEHOLDS RESIDING IN
CENTERS.
Section 8 of the Food Stamp Act of 1977 (7 U.S.C.
2017) is amended by adding at the end the following:
700
‘‘(f) ALLOTMENTS FOR HOUSEHOLDS RESIDING IN
CENTERS.—
‘‘(1) IN GENERAL.—In the case of an individual
who resides in a center for the purpose of a drug or
alcoholic treatment program described in the last
sentence of section 3(i), a State agency may provide
an allotment for the individual to—
‘‘(A) the center as an authorized represent-
ative of the individual for a period that is less
than 1 month; and
‘‘(B) the individual, if the individual leaves
the center.
‘‘(2) DIRECT PAYMENT.—A State agency may
require an individual referred to in paragraph (1) to
designate the center in which the individual resides
as the authorized representative of the individual for
the purpose of receiving an allotment.’’.
SEC. 1040. CONDITION PRECEDENT FOR APPROVAL OF RE-
TAIL FOOD STORES AND WHOLESALE FOOD
CONCERNS.
Section 9(a)(1) of the Food Stamp Act of 1977 (7
U.S.C. 2018(a)(1)) is amended by adding at the end the
following: ‘‘No retail food store or wholesale food concern
of a type determined by the Secretary, based on factors
that include size, location, and type of items sold, shall
701
be approved to be authorized or reauthorized for participa-
tion in the food stamp program unless an authorized em-
ployee of the Department of Agriculture, a designee of the
Secretary, or, if practicable, an official of the State or local
government designated by the Secretary has visited the
store or concern for the purpose of determining whether
the store or concern should be approved or reauthorized,
as appropriate.’’.
SEC. 1041. AUTHORITY TO ESTABLISH AUTHORIZATION PE-
RIODS.
Section 9(a) of the Food Stamp Act of 1977 (7
U.S.C. 2018(a)) is amended by adding at the end the fol-
lowing:
‘‘(3) AUTHORIZATION PERIODS.—The Secretary
shall establish specific time periods during which au-
thorization to accept and redeem coupons, or to re-
deem benefits through an electronic benefit transfer
system, shall be valid under the food stamp pro-
gram.’’.
SEC. 1042. INFORMATION FOR VERIFYING ELIGIBILITY FOR
AUTHORIZATION.
Section 9(c) of the Food Stamp Act of 1977 (7
U.S.C. 2018(c)) is amended—
702
(1) in the first sentence, by inserting ‘‘, which
may include relevant income and sales tax filing doc-
uments,’’ after ‘‘submit information’’; and
(2) by inserting after the first sentence the fol-
lowing: ‘‘The regulations may require retail food
stores and wholesale food concerns to provide writ-
ten authorization for the Secretary to verify all rel-
evant tax filings with appropriate agencies and to
obtain corroborating documentation from other
sources so that the accuracy of information provided
by the stores and concerns may be verified.’’.
SEC. 1043. WAITING PERIOD FOR STORES THAT FAIL TO
MEET AUTHORIZATION CRITERIA.
Section 9(d) of the Food Stamp Act of 1977 (7
U.S.C. 2018(d)) is amended by adding at the end the fol-
lowing: ‘‘A retail food store or wholesale food concern that
is denied approval to accept and redeem coupons because
the store or concern does not meet criteria for approval
established by the Secretary may not, for at least 6
months, submit a new application to participate in the
program. The Secretary may establish a longer time pe-
riod under the preceding sentence, including permanent
disqualification, that reflects the severity of the basis of
the denial.’’.
703
SEC. 1044. OPERATION OF FOOD STAMP OFFICES.
Section 11 of the Food Stamp Act of 1977 (7 U.S.C.
2020), as amended by section 1020(b), is further amend-
ed—
(1) in subsection (e)—
(A) by striking paragraph (2) and insert-
ing the following:
‘‘(2)(A) that the State agency shall establish
procedures governing the operation of food stamp of-
fices that the State agency determines best serve
households in the State, including households with
special needs, such as households with elderly or dis-
abled members, households in rural areas with low-
income members, homeless individuals, households
residing on reservations, and households in areas in
which a substantial number of members of low-in-
come households speak a language other than Eng-
lish.
‘‘(B) In carrying out subparagraph (A), a State
agency—
‘‘(i) shall provide timely, accurate, and fair
service to applicants for, and participants in,
the food stamp program;
‘‘(ii) shall develop an application contain-
ing the information necessary to comply with
this Act;
704
‘‘(iii) shall permit an applicant household
to apply to participate in the program on the
same day that the household first contacts a
food stamp office in person during office hours;
‘‘(iv) shall consider an application that
contains the name, address, and signature of
the applicant to be filed on the date the appli-
cant submits the application;
‘‘(v) shall require that an adult representa-
tive of each applicant household certify in writ-
ing, under penalty of perjury, that—
‘‘(I) the information contained in the
application is true; and
‘‘(II) all members of the household
are citizens or are aliens eligible to receive
food stamps under section 6(f);
‘‘(vi) shall provide a method of certifying
and issuing coupons to eligible homeless individ-
uals, to ensure that participation in the food
stamp program is limited to eligible households;
and
‘‘(vii) may establish operating procedures
that vary for local food stamp offices to reflect
regional and local differences within the State.
705
‘‘(C) Nothing in this Act shall prohibit the use
of signatures provided and maintained electronically,
storage of records using automated retrieval systems
only, or any other feature of a State agency’s appli-
cation system that does not rely exclusively on the
collection and retention of paper applications or
other records.
‘‘(D) The signature of any adult under this
paragraph shall be considered sufficient to comply
with any provision of Federal law requiring a house-
hold member to sign an application or statement.’’;
(B) in paragraph (3)—
(i) by striking ‘‘shall—’’ and all that
follows through ‘‘provide each’’ and insert-
ing ‘‘shall provide each’’; and
(ii) by striking ‘‘(B) assist’’ and all
that follows through ‘‘representative of the
State agency;’’;
(C) by striking paragraphs (14) and (25);
(D)(i) by redesignating paragraphs (15)
through (24) as paragraphs (14) through (23),
respectively; and
(ii) by redesignating paragraph (26) as
paragraph (24); and
(2) in subsection (i)—
706
(A) by striking ‘‘(i) Notwithstanding’’ and
all that follows through ‘‘(2)’’ and inserting the
following:
‘‘(i) APPLICATION AND DENIAL PROCEDURES.—
‘‘(1) 
APPLICATION
PROCEDURES.—Notwith-
standing any other provision of law,’’; and
(B) by striking ‘‘; (3) households’’ and all
that follows through ‘‘title IV of the Social Se-
curity Act. No’’ and inserting a period and the
following:
‘‘(2) DENIAL AND TERMINATION.—Other than
in a case of disqualification as a penalty for failure
to comply with a public assistance program rule or
regulation, no’’.
SEC. 1045. STATE EMPLOYEE AND TRAINING STANDARDS.
Section 11(e)(6) of the Food Stamp Act of 1977 (7
U.S.C. 2020(e)(6)) is amended—
(1) by striking ‘‘that (A) the’’ and inserting
‘‘that—
‘‘(A) the’’;
(2) by striking ‘‘Act; (B) the’’ and inserting
‘‘Act; and
‘‘(B) the’’;
707
(3) in subparagraph (B), by striking ‘‘United
States Civil Service Commission’’ and inserting ‘‘Of-
fice of Personnel Management’’; and
(4) by striking subparagraphs (C) through (E).
SEC. 1046. EXCHANGE OF LAW ENFORCEMENT INFORMA-
TION.
Section 11(e)(8) of the Food Stamp Act of 1977 (7
U.S.C. 2020(e)(8)) is amended—
(1) by striking ‘‘that (A) such’’ and inserting
the following: ‘‘that—
‘‘(A) the’’;
(2) by striking ‘‘law, (B) notwithstanding’’ and
inserting the following: ‘‘law;
‘‘(B) notwithstanding’’;
(3) by striking ‘‘Act, and (C) such’’ and insert-
ing the following: ‘‘Act;
‘‘(C) the’’; and
(4) by adding at the end the following:
‘‘(D) notwithstanding any other provision
of law, the address, social security number, and,
if available, photograph of any member of a
household shall be made available, on request,
to any Federal, State, or local law enforcement
officer if the officer furnishes the State agency
708
with the name of the member and notifies the
agency that—
‘‘(i) the member—
‘‘(I) is fleeing to avoid prosecu-
tion, or custody or confinement after
conviction, for a crime (or attempt to
commit a crime) that, under the law
of the place the member is fleeing, is
a felony (or, in the case of New Jer-
sey, a high misdemeanor), or is violat-
ing a condition of probation or parole
imposed under Federal or State law;
or
‘‘(II) has information that is nec-
essary for the officer to conduct an of-
ficial duty related to subclause (I);
‘‘(ii) locating or apprehending the
member is an official duty; and
‘‘(iii) the request is being made in the
proper exercise of an official duty; and
‘‘(E) the safeguards shall not prevent com-
pliance with paragraph (16);’’.
SEC. 1047. EXPEDITED COUPON SERVICE.
Section 11(e)(9) of the Food Stamp Act of 1977 (7
U.S.C. 2020(e)(9)) is amended—
709
(1) in subparagraph (A)—
(A) by striking ‘‘five days’’ and inserting
‘‘7 days’’; and
(B) by inserting ‘‘and’’ at the end;
(2) by striking subparagraphs (B) and (C);
(3) by redesignating subparagraph (D) as sub-
paragraph (B); and
(4) in subparagraph (B), as redesignated by
paragraph (3), by striking ‘‘, (B), or (C)’’.
SEC. 1048. WITHDRAWING FAIR HEARING REQUESTS.
Section 11(e)(10) of the Food Stamp Act of 1977 (7
U.S.C. 2020(e)(10)) is amended by inserting before the
semicolon at the end a period and the following: ‘‘At the
option of a State, at any time prior to a fair hearing deter-
mination under this paragraph, a household may with-
draw, orally or in writing, a request by the household for
the fair hearing. If the withdrawal request is an oral re-
quest, the State agency shall provide a written notice to
the household confirming the withdrawal request and pro-
viding the household with an opportunity to request a
hearing’’.
SEC. 1049. INCOME, ELIGIBILITY, AND IMMIGRATION STA-
TUS VERIFICATION SYSTEMS.
Section 11 of the Food Stamp Act of 1977 (7 U.S.C.
2020) is amended—
710
(1) in subsection (e)(18), as redesignated by
section 1044(1)(D)—
(A) by striking ‘‘that information is’’ and
inserting ‘‘at the option of the State agency,
that information may be’’; and
(B) by striking ‘‘shall be requested’’ and
inserting ‘‘may be requested’’; and
(2) by adding at the end the following:
‘‘(p) STATE VERIFICATION OPTION.—Notwithstand-
ing any other provision of law, in carrying out the food
stamp program, a State agency shall not be required to
use an income and eligibility or an immigration status ver-
ification system established under section 1137 of the So-
cial Security Act (42 U.S.C. 1320b–7).’’.
SEC. 1050. DISQUALIFICATION OF RETAILERS WHO INTEN-
TIONALLY SUBMIT FALSIFIED APPLICATIONS.
Section 12(b) of the Food Stamp Act of 1977 (7
U.S.C. 2021(b)) is amended—
(1) in paragraph (2), by striking ‘‘and’’ at the
end;
(2) in paragraph (3), by striking the period at
the end and inserting ‘‘; and’’; and
(3) by adding at the end the following:
‘‘(4) for a reasonable period of time to be deter-
mined by the Secretary, including permanent dis-
711
qualification, on the knowing submission of an appli-
cation for the approval or reauthorization to accept
and redeem coupons that contains false information
about a substantive matter that was a part of the
application.’’.
SEC. 1051. DISQUALIFICATION OF RETAILERS WHO ARE
DISQUALIFIED UNDER THE WIC PROGRAM.
Section 12 of the Food Stamp Act of 1977 (7 U.S.C.
2021) is amended by adding at the end the following:
‘‘(g) DISQUALIFICATION OF RETAILERS WHO ARE
DISQUALIFIED UNDER THE WIC PROGRAM.—
‘‘(1) IN GENERAL.—The Secretary shall issue
regulations providing criteria for the disqualification
under this Act of an approved retail food store and
a wholesale food concern that is disqualified from
accepting benefits under the special supplemental
nutrition program for women, infants, and children
established under section 17 of the Child Nutrition
Act of 1966 (7 U.S.C. 1786).
‘‘(2) TERMS.—A disqualification under para-
graph (1)—
‘‘(A) shall be for the same length of time
as the disqualification from the program re-
ferred to in paragraph (1);
712
‘‘(B) may begin at a later date than the
disqualification from the program referred to in
paragraph (1); and
‘‘(C) notwithstanding section 14, shall not
be subject to judicial or administrative review.’’.
SEC. 1052. COLLECTION OF OVERISSUANCES.
(a) COLLECTION OF OVERISSUANCES.—Section 13 of
the Food Stamp Act of 1977 (7 U.S.C. 2022) is amend-
ed—
(1) by striking subsection (b) and inserting the
following:
‘‘(b) COLLECTION OF OVERISSUANCES.—
‘‘(1) IN GENERAL.—Except as otherwise pro-
vided in this subsection, a State agency shall collect
any overissuance of coupons issued to a household
by—
‘‘(A) reducing the allotment of the house-
hold;
‘‘(B) withholding amounts from unemploy-
ment compensation from a member of the
household under subsection (c);
‘‘(C) recovering from Federal pay or a
Federal income tax refund under subsection
(d); or
‘‘(D) any other means.
713
‘‘(2) COST
EFFECTIVENESS.—Paragraph (1)
shall not apply if the State agency demonstrates to
the satisfaction of the Secretary that all of the
means referred to in paragraph (1) are not cost ef-
fective.
‘‘(3) MAXIMUM REDUCTION ABSENT FRAUD.—
If a household received an overissuance of coupons
without any member of the household being found
ineligible to participate in the program under section
6(b)(1) and a State agency elects to reduce the allot-
ment of the household under paragraph (1)(A), the
State agency shall not reduce the monthly allotment
of the household under paragraph (1)(A) by an
amount in excess of the greater of—
‘‘(A) 10 percent of the monthly allotment
of the household; or
‘‘(B) $10.
‘‘(4) PROCEDURES.—A State agency shall col-
lect an overissuance of coupons issued to a house-
hold under paragraph (1) in accordance with the re-
quirements established by the State agency for pro-
viding notice, electing a means of payment, and es-
tablishing a time schedule for payment.’’; and
(2) in subsection (d)—
714
(A) by striking ‘‘as determined under sub-
section (b) and except for claims arising from
an error of the State agency,’’ and inserting ‘‘,
as determined under subsection (b)(1),’’; and
(B) by inserting before the period at the
end the following: ‘‘or a Federal income tax re-
fund as authorized by section 3720A of title 31,
United States Code’’.
(b) CONFORMING AMENDMENTS.—Section 11(e)(8)
of the Act (7 U.S.C. 2020(e)(8)) is amended—
(1) by striking ‘‘and excluding claims’’ and all
that follows through ‘‘such section’’; and
(2) by inserting before the semicolon at the end
the following: ‘‘or a Federal income tax refund as
authorized by section 3720A of title 31, United
States Code’’.
(c) RETENTION RATE.—Section 16(a) of the Act (7
U.S.C. 2025(a)) is amended by striking ‘‘25 percent dur-
ing the period beginning October 1, 1990’’ and all that
follows through ‘‘error of a State agency’’ and inserting
the following: ‘‘25 percent of the overissuances collected
by the State agency under section 13, except those
overissuances arising from an error of the State agency’’.
715
SEC. 1053. AUTHORITY TO SUSPEND STORES VIOLATING
PROGRAM REQUIREMENTS PENDING ADMIN-
ISTRATIVE AND JUDICIAL REVIEW.
Section 14(a) of the Food Stamp Act of 1977 (7
U.S.C. 2023(a)) is amended—
(1) by redesignating the first through seven-
teenth sentences as paragraphs (1) through (17), re-
spectively; and
(2) by adding at the end the following:
‘‘(18) SUSPENSION
OF
STORES
PENDING
RE-
VIEW.—Notwithstanding any other provision of this
subsection, any permanent disqualification of a retail
food store or wholesale food concern under para-
graph (3) or (4) of section 12(b) shall be effective
from the date of receipt of the notice of disqualifica-
tion. If the disqualification is reversed through ad-
ministrative or judicial review, the Secretary shall
not be liable for the value of any sales lost during
the disqualification period.’’.
SEC. 1054. EXPANDED CRIMINAL FORFEITURE FOR VIOLA-
TIONS.
(a) FORFEITURE OF ITEMS EXCHANGED IN FOOD
STAMP TRAFFICKING.—The first sentence of section
15(g) of the Food Stamp Act of 1977 (7 U.S.C. 2024(g))
is amended by striking ‘‘or intended to be furnished’’.
716
(b) CRIMINAL FORFEITURE.—Section 15 of the Act
(7 U.S.C. 2024) is amended by adding at the end the fol-
lowing:
‘‘(h) CRIMINAL FORFEITURE.—
‘‘(1) IN GENERAL.—In imposing a sentence on
a person convicted of an offense in violation of sub-
section (b) or (c), a court shall order, in addition to
any other sentence imposed under this subsection,
that the person forfeit to the United States all prop-
erty described in paragraph (2).
‘‘(2) PROPERTY SUBJECT TO FORFEITURE.—All
property, real and personal, used in a transaction or
attempted transaction, to commit, or to facilitate the
commission of, a violation (other than a mis-
demeanor) of subsection (b) or (c), or proceeds
traceable to a violation of subsection (b) or (c), shall
be subject to forfeiture to the United States under
paragraph (1).
‘‘(3) INTEREST
OF
OWNER.—No interest in
property shall be forfeited under this subsection as
the result of any act or omission established by the
owner of the interest to have been committed or
omitted without the knowledge or consent of the
owner.
717
‘‘(4) PROCEEDS.—The proceeds from any sale
of forfeited property and any monies forfeited under
this subsection shall be used—
‘‘(A) first, to reimburse the Department of
Justice for the costs incurred by the Depart-
ment to initiate and complete the forfeiture pro-
ceeding;
‘‘(B) second, to reimburse the Department
of Agriculture Office of Inspector General for
any costs the Office incurred in the law enforce-
ment effort resulting in the forfeiture;
‘‘(C) third, to reimburse any Federal or
State law enforcement agency for any costs in-
curred in the law enforcement effort resulting
in the forfeiture; and
‘‘(D) fourth, by the Secretary to carry out
the approval, reauthorization, and compliance
investigations of retail stores and wholesale
food concerns under section 9.’’.
SEC. 1055. LIMITATION OF FEDERAL MATCH.
Section 16(a)(4) of the Food Stamp Act of 1977 (7
U.S.C. 2025(a)(4)) is amended by inserting after the
comma at the end the following: ‘‘but not including re-
cruitment activities,’’.
718
SEC. 1056. STANDARDS FOR ADMINISTRATION.
(a) IN GENERAL.—Section 16 of the Food Stamp Act
of 1977 (7 U.S.C. 2025) is amended by striking sub-
section (b).
(b) CONFORMING AMENDMENTS.—
(1) The first sentence of section 11(g) of the
Act (7 U.S.C. 2020(g)) is amended by striking ‘‘the
Secretary’s standards for the efficient and effective
administration of the program established under sec-
tion 16(b)(1) or’’.
(2) Section 16(c)(1)(B) of the Act (7 U.S.C.
2025(c)(1)(B)) is amended by striking ‘‘pursuant to
subsection (b)’’.
SEC. 1057. WORK SUPPLEMENTATION OR SUPPORT PRO-
GRAM.
Section 16 of the Food Stamp Act of 1977 (7 U.S.C.
2025), as amended by section 1056(a), is further amended
by inserting after subsection (a) the following:
‘‘(b) WORK SUPPLEMENTATION OR SUPPORT PRO-
GRAM.—
‘‘(1) DEFINITION OF WORK SUPPLEMENTATION
OR
SUPPORT
PROGRAM.—In this subsection, the
term ‘work supplementation or support program’
means a program under which, as determined by the
Secretary, public assistance (including any benefits
provided under a program established by the State
719
and the food stamp program) is provided to an em-
ployer to be used for hiring and employing a public
assistance recipient who was not employed by the
employer at the time the public assistance recipient
entered the program.
‘‘(2) PROGRAM.—A State agency may elect to
use an amount equal to the allotment that would
otherwise be issued to a household under the food
stamp program, but for the operation of this sub-
section, for the purpose of subsidizing or supporting
a job under a work supplementation or support pro-
gram established by the State.
‘‘(3) PROCEDURE.—If a State agency makes an
election under paragraph (2) and identifies each
household that participates in the food stamp pro-
gram that contains an individual who is participat-
ing in the work supplementation or support pro-
gram—
‘‘(A) the Secretary shall pay to the State
agency an amount equal to the value of the al-
lotment that the household would be eligible to
receive but for the operation of this subsection;
‘‘(B) the State agency shall expend the
amount received under subparagraph (A) in ac-
cordance with the work supplementation or sup-
720
port program in lieu of providing the allotment
that the household would receive but for the op-
eration of this subsection;
‘‘(C) for purposes of—
‘‘(i) sections 5 and 8(a), the amount
received under this subsection shall be ex-
cluded from household income and re-
sources; and
‘‘(ii) section 8(b), the amount received
under this subsection shall be considered to
be the value of an allotment provided to
the household; and
‘‘(D) the household shall not receive an al-
lotment from the State agency for the period
during which the member continues to partici-
pate in the work supplementation or support
program.
‘‘(4) OTHER WORK REQUIREMENTS.—No indi-
vidual shall be excused, by reason of the fact that
a State has a work supplementation or support pro-
gram, from any work requirement under section
6(d), except during the periods in which the individ-
ual is employed under the work supplementation or
support program.
721
‘‘(5) LENGTH
OF
PARTICIPATION.—A State
agency shall provide a description of how the public
assistance recipients in the program shall, within a
specific period of time, be moved from supplemented
or supported employment to employment that is not
supplemented or supported.
‘‘(6) DISPLACEMENT.—A work supplementation
or support program shall not displace the employ-
ment of individuals who are not supplemented or
supported.’’.
SEC. 1058. WAIVER AUTHORITY.
Section 17(b)(1) of the Food Stamp Act of 1977 (7
U.S.C. 2026(b)(1)) is amended—
(1) by redesignating subparagraph (B) as sub-
paragraph (C); and
(2) in subparagraph (A)—
(A) by striking the second sentence; and
(B) by striking ‘‘benefits to eligible house-
holds, including’’ and inserting the following:
‘‘benefits to eligible households, and may waive
any requirement of this Act to the extent nec-
essary for the project to be conducted.
‘‘(B) PROJECT REQUIREMENTS.—
‘‘(i) PROGRAM GOAL.—The Secretary
may not conduct a project under subpara-
722
graph (A) unless the project is consistent
with the goal of the food stamp program of
providing food assistance to raise levels of
nutrition among low-income individuals.
‘‘(ii) PERMISSIBLE
PROJECTS.—The
Secretary may conduct a project under
subparagraph (A) to—
‘‘(I) improve program adminis-
tration;
‘‘(II) increase the self-sufficiency
of food stamp recipients;
‘‘(III) test innovative welfare re-
form strategies; and
‘‘(IV) allow greater conformity
with the rules of other programs than
would be allowed but for this para-
graph.
‘‘(iii) IMPERMISSIBLE
PROJECTS.—
The Secretary may not conduct a project
under subparagraph (A) that—
‘‘(I) involves the payment of the
value of an allotment in the form of
cash, unless the project was approved
prior to the date of enactment of this
subparagraph;
723
‘‘(II) 
substantially 
transfers
funds made available under this Act
to services or benefits provided pri-
marily through another public assist-
ance program; or
‘‘(III) is not limited to a specific
time period.
‘‘(iv) 
ADDITIONAL
INCLUDED
PROJECTS.—Pilot or experimental projects
may include’’.
SEC. 1059. AUTHORIZATION OF PILOT PROJECTS.
Section 17(b)(1)(B) of the Food Stamp Act of 1977
(7 U.S.C. 2026(b)(1)(B)), as amended by section 1058,
is further amended—
(1) in clause (iv), by striking ‘‘coupons. Any
pilot’’ and inserting the following: ‘‘coupons.
‘‘(v) 
CASH
PAYMENT
PILOT
PROJECTS.—Any pilot’’; and
(2) in clause (v), as so amended, by striking
‘‘1995’’ and inserting ‘‘2002’’.
SEC. 1060. RESPONSE TO WAIVERS.
Section 17(b)(1) of the Food Stamp Act of 1977 (7
U.S.C. 2026(b)(1)), as amended by section 1058, is fur-
ther amended by adding at the end the following:
‘‘(D) RESPONSE TO WAIVERS.—
724
‘‘(i) RESPONSE.—Not later than 60
days after the date of receiving a request
for a waiver under subparagraph (A), the
Secretary shall provide a response that—
‘‘(I) approves the waiver request;
‘‘(II) denies the waiver request
and explains any modification needed
for approval of the waiver request;
‘‘(III) denies the waiver request
and explains the grounds for the de-
nial; or
‘‘(IV) requests clarification of the
waiver request.
‘‘(ii) FAILURE TO RESPOND.—If the
Secretary does not provide a response in
accordance with clause (i), the waiver shall
be considered approved, unless the ap-
proval is specifically prohibited by this Act.
‘‘(iii) NOTICE OF DENIAL.—On denial
of a waiver request under clause (i)(III),
the Secretary shall provide a copy of the
waiver request and a description of the
reasons for the denial to the Committee on
Agriculture of the House of Representa-
725
tives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate.’’.
SEC. 1061. EMPLOYMENT INITIATIVES PROGRAM.
Section 17 of the Food Stamp Act of 1977 (7 U.S.C.
2026) is amended by striking subsection (d) and inserting
the following:
‘‘(d) EMPLOYMENT INITIATIVES PROGRAM.—
‘‘(1) ELECTION TO PARTICIPATE.—
‘‘(A) IN GENERAL.—Subject to the other
provisions of this subsection, a State may elect
to carry out an employment initiatives program
under this subsection.
‘‘(B) REQUIREMENT.—A State shall be eli-
gible to carry out an employment initiatives
program under this subsection only if not less
than 50 percent of the households that received
food stamp benefits during the summer of 1993
also received benefits under a State program
funded under part A of title IV of the Social
Security Act (42 U.S.C. 601 et seq.) during the
summer of 1993.
‘‘(2) PROCEDURE.—
‘‘(A) IN
GENERAL.—A State that has
elected to carry out an employment initiatives
program under paragraph (1) may use amounts
726
equal to the food stamp allotments that would
otherwise be issued to a household under the
food stamp program, but for the operation of
this subsection, to provide cash benefits in lieu
of the food stamp allotments to the household
if the household is eligible under paragraph (3).
‘‘(B) PAYMENT.—The Secretary shall pay
to each State that has elected to carry out an
employment initiatives program under para-
graph (1) an amount equal to the value of the
allotment that each household would be eligible
to receive under this Act but for the operation
of this subsection.
‘‘(C) OTHER
PROVISIONS.—For purposes
of the food stamp program (other than this
subsection)—
‘‘(i) cash assistance under this sub-
section shall be considered to be an allot-
ment; and
‘‘(ii) each household receiving cash
benefits under this subsection shall not re-
ceive any other food stamp benefit for the
period for which the cash assistance is pro-
vided.
727
‘‘(D) 
ADDITIONAL
PAYMENTS.—Each
State that has elected to carry out an employ-
ment initiatives program under paragraph (1)
shall—
‘‘(i) increase the cash benefits pro-
vided to each household under this sub-
section to compensate for any State or
local sales tax that may be collected on
purchases of food by any household receiv-
ing cash benefits under this subsection, un-
less the Secretary determines on the basis
of information provided by the State that
the increase is unnecessary on the basis of
the limited nature of the items subject to
the State or local sales tax; and
‘‘(ii) pay the cost of any increase in
cash benefits required by clause (i).
‘‘(3) ELIGIBILITY.—A household shall be eligi-
ble to receive cash benefits under paragraph (2) if
an adult member of the household—
‘‘(A) has worked in unsubsidized employ-
ment for not less than the preceding 90 days;
‘‘(B) has earned not less than $350 per
month from the employment referred to in sub-
728
paragraph (A) for not less than the preceding
90 days;
‘‘(C)(i) is receiving benefits under a State
program funded under part A of title IV of the
Social Security Act (42 U.S.C. 601 et seq.); or
‘‘(ii) was receiving benefits under a State
program funded under part A of title IV of the
Social Security Act (42 U.S.C. 601 et seq.) at
the time the member first received cash benefits
under this subsection and is no longer eligible
for the State program because of earned in-
come;
‘‘(D) is continuing to earn not less than
$350 per month from the employment referred
to in subparagraph (A); and
‘‘(E) elects to receive cash benefits in lieu
of food stamp benefits under this subsection.
‘‘(4) EVALUATION.—A State that operates a
program under this subsection for 2 years shall pro-
vide to the Secretary a written evaluation of the im-
pact of cash assistance under this subsection. The
State agency, with the concurrence of the Secretary,
shall determine the content of the evaluation.’’.
729
SEC. 1062. REAUTHORIZATION.
The first sentence of section 18(a)(1) of the Food
Stamp Act of 1977 (7 U.S.C. 2027(a)(1)) is amended by
striking ‘‘1991 through 1997’’ and inserting ‘‘1996
through 2002’’.
SEC. 1063. SIMPLIFIED FOOD STAMP PROGRAM.
(a) IN GENERAL.—The Food Stamp Act of 1977 (7
U.S.C. 2011 et seq.) is amended by adding at the end
the following:
‘‘SEC. 26. SIMPLIFIED FOOD STAMP PROGRAM.
‘‘(a) DEFINITION OF FEDERAL COSTS.—In this sec-
tion, the term ‘Federal costs’ does not include any Federal
costs incurred under section 17.
‘‘(b) ELECTION.—Subject to subsection (d), a State
may elect to carry out a Simplified Food Stamp Program
(referred to in this section as a ‘Program’), statewide or
in a political subdivision of the State, in accordance with
this section.
‘‘(c) OPERATION OF PROGRAM.—If a State elects to
carry out a Program, within the State or a political sub-
division of the State—
‘‘(1) a household in which all members receive
assistance under a State program funded under part
A of title IV of the Social Security Act (42 U.S.C.
601 et seq.) shall automatically be eligible to partici-
pate in the Program; and