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(b) PAYMENTS.—For each calendar quarter in which
there is a qualified program approved under this sub-
section, the Secretary shall pay to the operator of the
qualified program, for no more than 20 calendar quarters,
an amount equal to the aggregate amount that would oth-
erwise have been payable to the State with respect to par-
ticipants in the program for such calendar quarter, in the
absence of the program, for cash assistance and child care
under part A of title IV of the Social Security Act, for
medical assistance under title XIX of such Act, and for
administrative expenses related to such assistance. The
amount payable to the operator of the program under this
section shall not include the costs of evaluating the effects
of the program.
(c) DEMONSTRATION PROJECT DESCRIBED.—For
purposes of this section, the term ‘‘qualified program’’
means a program operated—
(1) by The New Hope Project, Inc., a private,
not-for-profit corporation incorporated under the
laws of the State of Wisconsin (in this section re-
ferred to as the ‘‘operator’’), which offers low-income
residents of Milwaukee, Wisconsin, employment,
wage supplements, child care, health care, and coun-
seling and training for job retention or advancement;
and
182
(2) in accordance with an application submitted
by the operator of the program and approved by the
Secretary based on the Secretary’s determination
that the application satisfies the requirements of
subsection (d).
(d) CONTENTS OF APPLICATION.—The operator of
the qualified program shall provide, in its application to
conduct a demonstration project for the program, that the
following terms and conditions will be met:
(1) The operator will develop and implement an
evaluation plan designed to provide valid and reliable
information on the impact and implementation of
the program. The evaluation plan will include ade-
quately sized groups of project participants and con-
trol groups assigned at random.
(2) The operator will develop and implement a
plan addressing the services and assistance to be
provided by the program, the timing and determina-
tion of payments from the Secretary to the operator
of the program, and the roles and responsibilities of
the Secretary and the operator with respect to meet-
ing the requirements of this paragraph.
(3) The operator will specify a reliable meth-
odology for determining expenditures to be paid to
the operator by the Secretary, with assistance from
183
the Secretary in calculating the amount that would
otherwise have been payable to the State in the ab-
sence of the program, pursuant to subsection (b).
(4) The operator will issue an interim and final
report on the results of the evaluation described in
paragraph (1) to the Secretary at such times as re-
quired by the Secretary.
(e) EFFECTIVE DATE.—This section shall take effect
on the first day of the first calendar quarter that begins
after the date of the enactment of this Act.
SEC. 234. DELAY 
IN 
REQUIREMENT 
THAT 
OUTLYING
AREAS OPERATE AN AFDC–UP PROGRAM.
(a) IN GENERAL.—Section 401(g)(2) of the Family
Support Act of 1988 (42 U.S.C. 602 note; 102 Stat.
2396) is amended by striking ‘‘October 1, 1992’’ and in-
serting ‘‘the date of the repeal of the limitations contained
in section 1108(a) of the Social Security Act on payments
to such jurisdictions for purposes of making maintenance
payments under parts A and E of title IV of such Act’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall take effect as if included in the provi-
sion of the Family Support Act of 1988 to which the
amendment relates at the time such provision became law.
184
SEC. 235. STATE OPTION TO USE RETROSPECTIVE BUDG-
ETING WITHOUT MONTHLY REPORTING.
(a) IN GENERAL.—Section 402(a)(13) (42 U.S.C.
602(a)(13)) is amended—
(1) by striking all that precedes subparagraph
(A) and inserting the following:
‘‘(13) provide, at the option of the State and
with respect to such category or categories as the
State may select and identify in the State plan,
that—’’; and
(2) in each of subparagraphs (A) and (B), by
striking ‘‘, in the case of families who are required
to report monthly to the State agency pursuant to
paragraph (14)’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall take effect on October 1, 1994, and
shall apply to payments under part A of title IV of the
Social Security Act for fiscal year 1994 and such pay-
ments for succeeding fiscal years.
Subtitle E—JOBS Program
SEC. 241. EXPANSION OF COVERAGE FOR INDIAN TRIBES.
(a) IN GENERAL.—Section 482(i)(2)(A) (42 U.S.C.
682(i)(2)(A)) is amended by striking ‘‘members of such
Indian tribe receiving aid to families with dependent chil-
dren’’ and inserting ‘‘Indians receiving aid to families with
185
dependent children who reside on the reservation or within
the designated service area’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall take effect on October 1, 1995.
SEC. 242. REPORT TO THE CONGRESS WITH RESPECT TO
PERFORMANCE STANDARDS IN THE JOBS
PROGRAM.
Section 487(a) (42 U.S.C. 687(a)) is amended—
(1) by striking ‘‘3’’ and inserting ‘‘4’’;
(2) in paragraph (1), by inserting ‘‘criteria for’’
after ‘‘develop’’;
(3) in paragraph (2), by striking ‘‘for’’ and in-
serting ‘‘with respect to’’; and
(4) in the second sentence, by striking ‘‘under
this subsection’’ and inserting ‘‘with respect to the
program under this part’’.
Subtitle F—Other Provisions
SEC. 261. EXTENSION OF DEMONSTRATION TO EXPAND
JOB OPPORTUNITIES.
(a) IN GENERAL.—Section 505 of the Family Sup-
port Act of 1988 (42 U.S.C. 1315 note; 102 Stat. 2404)
is amended—
(1) in subsection (e), by striking ‘‘3-year pe-
riod’’ and inserting ‘‘6-year period’’,
186
(2) in subsection (f)(2), by striking ‘‘January 1,
1993’’ and inserting ‘‘January 1, 1995’’, and
(3) in subsection (g), by striking ‘‘1991, and
1992’’ and inserting ‘‘1991, 1992, 1993, 1994,
1995, and 1996’’.
(b) EFFECTIVE DATE.—The amendments made by
subsection (a) shall take effect on October 1, 1993.
SEC. 262. EARLY CHILDHOOD DEVELOPMENT PROJECTS.
Section 501(a) of the Family Support Act of 1988
(42 U.S.C. 1315 note; 102 Stat. 2400) is amended by add-
ing at the end the following:
‘‘(4) For grants to States to conduct demonstration
projects under this subsection, there are authorized to be
appropriated not to exceed $3,000,000 for each of the fis-
cal years 1995 through 1999.’’.
SEC. 263. REALLOCATION OF FUNDS UNDER TITLE XX FOR
EMPOWERMENT AND ENTERPRISE GRANTS.
Section 2007 (42 U.S.C. 1397f), as added by section
13761 of OBRA–1993, is amended—
(1) by redesignating subsection (e) as sub-
section (f); and
(2) by inserting after subsection (d) the follow-
ing new subsection:
‘‘(e) REALLOCATION OF REMAINING FUNDS.—
187
‘‘(1) REMITTED AMOUNTS.—The amount speci-
fied in section 2003(c) for any fiscal year is hereby
increased by the total of the amounts remitted dur-
ing the fiscal year pursuant to subsection (d) of this
section.
‘‘(2) AMOUNTS NOT PAID TO THE STATES.—
The amount specified in section 2003(c) for fiscal
year 1998 is hereby increased by the amount made
available for grants under this section that has not
been paid to any State by the end of fiscal year
1997.’’.
SEC. 264. CORRECTIONS RELATED TO THE INCOME SECU-
RITY AND HUMAN RESOURCES PROVISIONS
OF THE OBRA–1990.
(a) 
AMENDMENT
RELATED
TO
SECTION
5035(a)(2).—Section 5035(a)(2) of OBRA–1990 is
amended by striking ‘‘a semicolon’’ and inserting
‘‘ ‘; and’ ’’.
(b) AMENDMENT RELATED TO SECTION 5040.—Sec-
tion 1631(n) (42 U.S.C. 1383(n)) is amended by striking
‘‘subsection’’ and inserting ‘‘section’’.
(c) AMENDMENT RELATED TO SECTION 5051(a).—
Section 402(a)(14) (42 U.S.C. 602(a)(14)) is amended to
read as follows:
188
‘‘(14) at the option of the State and with re-
spect to such category or categories as the State
may select and identify in the plan, provide that—
‘‘(A) the State agency will require each
family to which the State provides (or, but for
paragraph (22) or (32), would provide) aid to
families with dependent children, as a condition
to the continued receipt of such aid (or to con-
tinuing to be deemed to be a recipient of such
aid), to report to the State agency monthly (or
less frequently in the case of such categories of
recipients as the State may select) on—
‘‘(i) the income of the family, the
composition of the family, and other rel-
evant circumstances during the prior
month; and
‘‘(ii) the income and resources the
family expects to receive, or any changes in
circumstances affecting continued eligi-
bility for, or amount of benefits, the family
expects to occur, in that month or in fu-
ture months; and
‘‘(B) in addition to any action that may be
appropriate based on other reports or informa-
189
tion received by the State agency, the State
agency will—
‘‘(i) take prompt action to adjust the
amount of assistance payable, as may be
appropriate, on the basis of the informa-
tion contained in the report (or upon the
failure of the family to submit a timely re-
port); and
‘‘(ii) give the family an appropriate
explanatory notice concurrent with any ac-
tion taken under clause (i);’’.
(d) REPEAL
OF PROVISION INADVERTENTLY IN-
CLUDED.—Section 5057 of OBRA–1990, and the amend-
ment made by such section, are hereby repealed, and sec-
tion 1139(d) of the Social Security Act shall be applied
and administered as if such section 5057 had never been
enacted.
(e) 
AMENDMENT
RELATED
TO
SECTION
5105(a)(1)(B).—The second paragraph of section 1631(a)
(42 U.S.C. 1383(a)) is amended by striking ‘‘(A)(i) Pay-
ments’’ and inserting ‘‘(2)(A)(i) Payments’’.
(f) AMENDMENTS RELATED TO SECTION 5105(b).—
Section 1631(a)(2)(C) (42 U.S.C. 1383(a)(2)(C)) is
amended—
190
(1) in clause (i), by striking ‘‘to representative’’
and inserting ‘‘to a representative’’;
(2) by striking clause (ii);
(3) by redesignating clauses (iii), (iv), and (v)
as clauses (ii), (iii), and (iv), respectively; and
(4) in clause (iv) (as so redesignated), by strik-
ing ‘‘(iii), and (iv)’’ and inserting ‘‘and (iii)’’.
(g) 
AMENDMENTS
RELATED
TO
SECTION
5107(a)(2)(B).—Section 
1631(c)(1)(B) 
(42 
U.S.C.
1383(c)(1)(B)) is amended by striking ‘‘paragraph (1)’’
each place such term appears and inserting ‘‘subpara-
graph (A)’’.
(h) EFFECTIVE DATE.—Each amendment made by
this section shall take effect as if included in the provision
of OBRA–1990 to which the amendment relates at the
time such provision became law.
SEC. 265. TECHNICAL CORRECTIONS RELATED TO THE
HUMAN RESOURCE AND INCOME SECURITY
PROVISIONS OF THE OBRA–1989.
(a) AMENDMENT RELATING TO SECTION 8004(a).—
Section 408(m)(2)(A) (42 U.S.C. 608(m)(2)(A)) is
amended by striking ‘‘a fiscal’’ and inserting ‘‘the fiscal’’.
(b) AMENDMENT RELATING TO SECTION 8006(a).—
Section 473(a)(6)(B) (42 U.S.C. 673(a)(6)(B)) is amend-
191
ed 
by 
striking 
‘‘474(a)(3)(B)’’ 
and 
inserting
‘‘474(a)(3)(C)’’.
(c) 
AMENDMENT
RELATING
TO
SECTION
8007(b)(3).—Subparagraph (D) of section 475(5) (42
U.S.C. 675(5)(D)) is amended by moving such subpara-
graph 2 ems to the right so that the left margin of such
subparagraph is aligned with the left margin of subpara-
graph (C) of such section.
(d) EFFECTIVE DATE.—Each amendment made by
this section shall take effect as if the amendment had been
included in the provision of OBRA–1989 to which the
amendment relates, at the time the provision became law.
SEC. 266. TECHNICAL 
CORRECTION 
RELATED 
TO 
THE
HUMAN RESOURCE AND INCOME SECURITY
PROVISIONS OF THE OBRA–1993.
(a) 
AMENDMENT
RELATING
TO
SECTION
13713(a).—Section 
473(a)(6)(B) 
(42 
U.S.C.
673(a)(6)(B)) is amended by striking ‘‘474(a)(3)(C)’’ and
inserting ‘‘474(a)(3)(E)’’.
(b) EFFECTIVE DATE.—The amendment made by
this section shall take effect as if the amendment had been
included in the provision of OBRA–1993 to which the
amendment relates, at the time the provision became law.
192
SEC. 267. ELIMINATION OF OBSOLETE PROVISIONS RELAT-
ING TO TREATMENT OF THE EARNED IN-
COME TAX CREDIT.
(a) TREATMENT OF EITC AS EARNED INCOME.—
Section 1612(a)(1) (42 U.S.C. 1382a(a)(1)) is amended
by striking subparagraph (C) and by redesignating sub-
paragraphs (D) and (E) as subparagraphs (C) and (D),
respectively.
(b) ADJUSTMENT OF BENEFITS DUE TO TREAT-
MENT OF EITC AS EARNED INCOME.—Section 1631(b)
(42 U.S.C. 1383(b)) is amended by striking paragraph (3)
and by redesignating paragraphs (4) and (5) as para-
graphs (3) and (4), respectively.
SEC. 268. REDESIGNATION OF CERTAIN PROVISIONS.
Section 1631(e)(6) (42 U.S.C. 1383(e)(6)) is amend-
ed by redesignating subparagraphs (1) and (2) as sub-
paragraphs (A) and (B), respectively.
Passed the House of Representatives October 7,
1994.
Attest:
DONNALD K. ANDERSON,
Clerk.
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