104
‘‘(A) Compensation described in paragraph 
(1)(A)(ii)(V) shall not be subject to withholding 
pursuant to this section—
‘‘(i) for payment of alimony; or 
‘‘(ii) for payment of child support if 
the individual is fewer than 60 days in ar-
rears in payment of the support. 
‘‘(B) Not more than 50 percent of any 
payment of compensation described in para-
graph (1)(A)(ii)(V) may be withheld pursuant 
to this section.’’. 
(b) EFFECTIVE DATE.—The amendments made by 
subsection (a) shall take effect on October 1, 2005. 
SEC. 310. IMPROVING FEDERAL DEBT COLLECTION PRAC-
TICES. 
(a) IN GENERAL.—Section 3716(h)(3) of title 31, 
United States Code, is amended to read as follows: 
‘‘(3) In applying this subsection with respect to any 
debt owed to a State, other than past due support being 
enforced by the State, subsection (c)(3)(A) shall not apply. 
Subsection (c)(3)(A) shall apply with respect to past due 
support being enforced by the State notwithstanding any 
other
provision
of
law,
including
sections
207
and 
1631(d)(1) of the Social Security Act (42 U.S.C. 407 and 
1383(d)(1)), section 413(b) of Public law 91–173 (30
105
U.S.C. 923(b)), and section 14 of the Act of August 29, 
1935 (45 U.S.C. 231m).’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall take effect on October 1, 2004. 
SEC.
311.
MAINTENANCE
OF
TECHNICAL
ASSISTANCE 
FUNDING. 
Section 452(j) (42 U.S.C. 652(j)) is amended by in-
serting ‘‘or the amount appropriated under this paragraph 
for fiscal year 2002, whichever is greater,’’ before ‘‘which 
shall be available’’. 
SEC. 312. MAINTENANCE OF FEDERAL PARENT LOCATOR 
SERVICE FUNDING. 
Section 453(o) (42 U.S.C. 653(o)) is amended—
(1) in the 1st sentence, by inserting ‘‘or the 
amount appropriated under this paragraph for fiscal 
year 2002, whichever is greater,’’ before ‘‘which 
shall be available’’; and 
(2) in the 2nd sentence, by striking ‘‘for each 
of fiscal years 1997 through 2001’’. 
TITLE IV—CHILD WELFARE 
SEC. 401. EXTENSION OF AUTHORITY TO APPROVE DEM-
ONSTRATION PROJECTS. 
Section 1130(a)(2) (42 U.S.C. 1320a–9(a)(2)) is 
amended by striking ‘‘2002’’ and inserting ‘‘2008’’.
106
SEC. 402. ELIMINATION OF LIMITATION ON NUMBER OF 
WAIVERS. 
Section 1130(a)(2) (42 U.S.C. 1320a–9(a)(2)) is 
amended by striking ‘‘not more than 10’’. 
SEC. 403. ELIMINATION OF LIMITATION ON NUMBER OF 
STATES THAT MAY BE GRANTED WAIVERS TO 
CONDUCT
DEMONSTRATION
PROJECTS
ON 
SAME TOPIC. 
Section 1130 (42 U.S.C. 1320a–9) is amended by 
adding at the end the following: 
‘‘(h) NO LIMIT ON NUMBER OF STATES THAT MAY 
BE GRANTED WAIVERS TO CONDUCT SAME OR SIMILAR 
DEMONSTRATION PROJECTS.—The Secretary shall not 
refuse to grant a waiver to a State under this section on 
the grounds that a purpose of the waiver or of the dem-
onstration project for which the waiver is necessary would 
be the same as or similar to a purpose of another waiver 
or project that is or may be conducted under this sec-
tion.’’. 
SEC. 404. ELIMINATION OF LIMITATION ON NUMBER OF 
WAIVERS THAT MAY BE GRANTED TO A SIN-
GLE STATE FOR DEMONSTRATION PROJECTS. 
Section 1130 (42 U.S.C. 1320a–9) is further amend-
ed by adding at the end the following: 
‘‘(i) NO LIMIT ON NUMBER OF WAIVERS GRANTED 
TO, OR DEMONSTRATION PROJECTS THAT MAY BE CON-
107
DUCTED BY, A SINGLE STATE.—The Secretary shall not 
impose any limit on the number of waivers that may be 
granted to a State, or the number of demonstration 
projects that a State may be authorized to conduct, under 
this section.’’. 
SEC. 405. STREAMLINED PROCESS FOR CONSIDERATION OF 
AMENDMENTS TO AND EXTENSIONS OF DEM-
ONSTRATION
PROJECTS
REQUIRING
WAIV-
ERS. 
Section 1130 (42 U.S.C. 1320a–9) is further amend-
ed by adding at the end the following: 
‘‘(j) STREAMLINED PROCESS FOR CONSIDERATION 
OF AMENDMENTS
AND EXTENSIONS.—The Secretary 
shall develop a streamlined process for consideration of 
amendments and extensions proposed by States to dem-
onstration projects conducted under this section.’’. 
SEC. 406. AVAILABILITY OF REPORTS. 
Section 1130 (42 U.S.C. 1320a–9) is further amend-
ed by adding at the end the following: 
‘‘(k) AVAILABILITY
OF REPORTS.—The Secretary 
shall make available to any State or other interested party 
any report provided to the Secretary under subsection 
(f)(2), and any evaluation or report made by the Secretary 
with respect to a demonstration project conducted under
108
this section, with a focus on information that may promote 
best practices and program improvements.’’. 
SEC. 407. TECHNICAL CORRECTION. 
Section 1130(b)(1) (42 U.S.C. 1320a–9(b)(1)) is 
amended
by
striking
‘‘422(b)(9)’’
and
inserting 
‘‘422(b)(10)’’. 
TITLE V—SUPPLEMENTAL 
SECURITY INCOME 
SEC. 501. REVIEW OF STATE AGENCY BLINDNESS AND DIS-
ABILITY DETERMINATIONS. 
Section 1633 (42 U.S.C. 1383b) is amended by add-
ing at the end the following: 
‘‘(e)(1) The Commissioner of Social Security shall re-
view determinations, made by State agencies pursuant to 
subsection (a) in connection with applications for benefits 
under this title on the basis of blindness or disability, that 
individuals who have attained 18 years of age are blind 
or disabled as of a specified onset date. The Commissioner 
of Social Security shall review such a determination before 
any action is taken to implement the determination. 
‘‘(2)(A) In carrying out paragraph (1), the Commis-
sioner of Social Security shall review—
‘‘(i) at least 20 percent of all determinations re-
ferred to in paragraph (1) that are made in fiscal 
year 2004;
109
‘‘(ii) at least 40 percent of all such determina-
tions that are made in fiscal year 2005; and 
‘‘(iii) at least 50 percent of all such determina-
tions that are made in fiscal year 2006 or thereafter. 
‘‘(B) In carrying out subparagraph (A), the Commis-
sioner of Social Security shall, to the extent feasible, select 
for review the determinations which the Commissioner of 
Social Security identifies as being the most likely to be 
incorrect.’’. 
TITLE VI—STATE AND LOCAL 
FLEXIBILITY 
SEC.
601.
PROGRAM
COORDINATION
DEMONSTRATION 
PROJECTS. 
(a) PURPOSE.—The purpose of this section is to es-
tablish a program of demonstration projects in a State or 
portion of a State to coordinate multiple public assistance, 
workforce development, and other programs, for the pur-
pose of supporting working individuals and families, help-
ing families escape welfare dependency, promoting child 
well-being, or helping build stronger families, using inno-
vative approaches to strengthen service systems and pro-
vide more coordinated and effective service delivery. 
(b) DEFINITIONS.—In this section: 
(1)
ADMINISTERING
SECRETARY.—The
term 
‘‘administering Secretary’’ means, with respect to a
110
qualified program, the head of the Federal agency 
responsible for administering the program. 
(2) QUALIFIED PROGRAM.—The term ‘‘qualified 
program’’ means—
(A) a program under part A of title IV of 
the Social Security Act; 
(B) the program under title XX of such 
Act; 
(C) activities funded under title I of the 
Workforce Investment Act of 1998, except sub-
title C of such title; 
(D) a demonstration project authorized 
under section 505 of the Family Support Act of 
1988; 
(E) activities funded under the Wagner-
Peyser Act; 
(F) activities funded under the Adult Edu-
cation and Family Literacy Act; 
(G) activities funded under the Child Care 
and Development Block Grant Act of 1990; 
(H) activities funded under the United 
States Housing Act of 1937 (42 U.S.C. 1437 et 
seq.), except that such term shall not include—
111
(i) any program for rental assistance 
under section 8 of such Act (42 U.S.C. 
1437f); and 
(ii) the program under section 7 of 
such Act (42 U.S.C. 1437e) for desig-
nating public housing for occupancy by 
certain populations; 
(I) activities funded under title I, II, III, 
or IV of the McKinney-Vento Homeless Assist-
ance Act (42 U.S.C. 11301 et seq.); or 
(J) the food stamp program as defined in 
section 3(h) of the Food Stamp Act of 1977 (7 
U.S.C. 2012(h)). 
(c) APPLICATION REQUIREMENTS.—The head of a 
State entity or of a sub-State entity administering 2 or 
more qualified programs proposed to be included in a dem-
onstration project under this section shall (or, if the 
project is proposed to include qualified programs adminis-
tered by 2 or more such entities, the heads of the admin-
istering entities (each of whom shall be considered an ap-
plicant for purposes of this section) shall jointly) submit 
to the administering Secretary of each such program an 
application that contains the following: 
(1) PROGRAMS INCLUDED.—A statement identi-
fying each qualified program to be included in the
112
project, and describing how the purposes of each 
such program will be achieved by the project. 
(2) POPULATION SERVED.—A statement identi-
fying the population to be served by the project and 
specifying the eligibility criteria to be used. 
(3) DESCRIPTION AND JUSTIFICATION.—A de-
tailed description of the project, including—
(A) a description of how the project is ex-
pected to improve or enhance achievement of 
the purposes of the programs to be included in 
the project, from the standpoint of quality, of 
cost-effectiveness, or of both; and 
(B) a description of the performance objec-
tives for the project, including any proposed 
modifications to the performance measures and 
reporting requirements used in the programs. 
(4) WAIVERS
REQUESTED.—A description of 
the statutory and regulatory requirements with re-
spect to which a waiver is requested in order to 
carry out the project, and a justification of the need 
for each such waiver. 
(5) COST NEUTRALITY.—Such information and 
assurances as necessary to establish to the satisfac-
tion of the administering Secretary, in consultation 
with the Director of the Office of Management and
113
Budget, that the proposed project is reasonably ex-
pected to meet the applicable cost neutrality require-
ments of subsection (d)(4). 
(6) EVALUATION AND REPORTS.—An assurance 
that the applicant will conduct ongoing and final 
evaluations of the project, and make interim and 
final reports to the administering Secretary, at such 
times and in such manner as the administering Sec-
retary may require. 
(7) PUBLIC HOUSING AGENCY PLAN.—In the 
case of an application proposing a demonstration 
project that includes activities referred to in sub-
section (b)(2)(H) of this section—
(A) a certification that the applicable an-
nual public housing agency plan of any agency 
affected by the project that is approved under 
section 5A of the United States Housing Act of 
1937 (42 U.S.C. 1437c–1) by the Secretary in-
cludes the information specified in paragraphs 
(1) through (4) of this subsection; and 
(B)
any
resident
advisory
board
rec-
ommendations, and other information, relating 
to
the
project
that,
pursuant
to
section 
5A(e)(2) of the United States Housing Act of 
1937 (42 U.S.C. 1437c–1(e)(2), is required to
114
be included in the public housing agency plan of 
any public housing agency affected by the 
project. 
(8) OTHER INFORMATION AND ASSURANCES.—
Such other information and assurances as the ad-
ministering Secretary may require. 
(d) APPROVAL OF APPLICATIONS.—
(1) IN GENERAL.—The administering Secretary 
with respect to a qualified program that is identified 
in an application submitted pursuant to subsection 
(c) may approve the application and, except as pro-
vided in paragraph (2), waive any requirement appli-
cable to the program, to the extent consistent with 
this section and necessary and appropriate for the 
conduct of the demonstration project proposed in the 
application, if the administering Secretary deter-
mines that the project—
(A) has a reasonable likelihood of achieving 
the objectives of the programs to be included in 
the project; 
(B) may reasonably be expected to meet 
the applicable cost neutrality requirements of 
paragraph (4), as determined by the Director of 
the Office of Management and Budget; and