I
107TH CONGRESS
1ST SESSION
H. R. 1990
To leave no child behind.
IN THE HOUSE OF REPRESENTATIVES
MAY 24, 2001
Mr. GEORGE MILLER of California (for himself, Mr. GILMAN, Mr. SANDERS,
Mr. KILDEE, Mrs. MORELLA, Mr. SCOTT, Mrs. DAVIS of California, Mr.
STARK, Ms. NORTON, Mr. FRANK, Mrs. MINK of Hawaii, Mr. BONIOR,
Ms. BROWN
of Florida, Ms. DELAURO, Mr. CUMMINGS, Mr.
LATOURETTE, Mr. KUCINICH, Mr. KENNEDY of Rhode Island, Mr.
BISHOP, Mr. HINOJOSA, Mr. JACKSON of Illinois, Mr. RODRIGUEZ, Ms.
JACKSON-LEE of Texas, Ms. SCHAKOWSKY, Mr. GUTIERREZ, and Mr.
OWENS) introduced the following bill; which was referred to the Com-
mittee on Ways and Means, and in addition to the Committees on Energy
and Commerce, Education and the Workforce, Agriculture, the Judiciary,
and Financial Services, for a period to be subsequently determined by the
Speaker, in each case for consideration of such provisions as fall within
the jurisdiction of the committee concerned
MAY 26 (legislative day, May 25), 2001
Deleted sponsors: Mr. BISHOP, Mr. GUTIERREZ, Mr. KUCINICH, Mrs. MINK
of Hawaii, Ms. NORTON, Ms. SCHAKOWSKY, Mr. BONIOR, Mr.
CUMMINGS, Mr. GILMAN, Mr. HINOJOSA, Ms. JACKSON-LEE of Texas,
Mr. LATOURETTE, Mrs. MORELLA, Mr. OWENS, and Mr. SCOTT (added
May 24, 2001; deleted May 26 (legislative day, May 25), 2001)
A BILL
To leave no child behind.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
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SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Leave No Child Behind
Act of 2001’’.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
TITLE I—HEALTHY START—CHILDREN’S HEALTH INSURANCE
Subtitle A—Children’s Health Insurance
Sec. 1001. MediKids health insurance.
Sec. 1002. Benefits for all children born after 2002.
Sec. 1003. MediKids premium.
Sec. 1004. Refundable credit for cost-sharing expenses under MediKids pro-
gram.
Sec. 1005. Report on long-term revenues.
Subtitle B—Children’s Health Insurance Eligibility Expansion and Enrollment
Improvements
CHAPTER 1—ELIGIBILITY EXPANSIONS
SUBCHAPTER A—MEDICAID AND SCHIP
Sec. 1101. Expansion of children’s eligibility for medicaid and SCHIP.
Sec. 1102. Optional coverage of legal immigrants under the medicaid program
and title XXI.
SUBCHAPTER B—FAMILY OPPORTUNITY ACT
Sec. 1111. Short title; amendments to Social Security Act.
Sec. 1112. Opportunity for families of disabled children to purchase medicaid
coverage for such children.
Sec. 1113. Treatment of inpatient psychiatric hospital services for individuals
under age 21 in home or community-based services waivers.
Sec. 1114. Demonstration of coverage under the medicaid program of children
with potentially severe disabilities.
Sec. 1115. Development and support of family-to-family health information cen-
ters.
Sec. 1116. Restoration of medicaid eligibility for certain SSI beneficiaries.
CHAPTER 2—ENROLLMENT IMPROVEMENTS
Sec. 1121. Application of simplified title XXI procedures under the medicaid
program.
Sec. 1122. Automatic enrollment of children born to title XXI parents.
CHAPTER 3—EFFECTIVE DATE
Sec. 1131. Effective date.
Subtitle C—Improving Access to Care
CHAPTER 1—COMMISSION
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Sec. 1201. Commission on Children’s Access to Care.
CHAPTER 2—CHILDREN’S HEALTH INSURANCE ACCOUNTABILITY
Sec. 1211. Short title.
Sec. 1212. Findings.
Sec. 1213. Amendments to the Public Health Service Act.
Sec. 1214. Amendments to the Employee Retirement Income Security Act of
1974.
Sec. 1215. Studies.
CHAPTER 3—EPSDT
Sec. 1221. Collection of data regarding the delivery of EPSDT services.
Subtitle D—Reducing Public Health Risks
CHAPTER 1—ASTHMA TREATMENTS
Sec. 1301. Findings.
Sec. 1302. Asthma, vision, and hearing screening for early Head Start and
Head Start programs.
Sec. 1303. Asthma, vision, and hearing screening and treatment for children
enrolled in public schools.
Sec. 1304. General effective date.
CHAPTER 2—INCREASE IN HUD PROGRAMS
Sec. 1311. Lead-based paint hazard control grants.
Sec. 1312. Healthy Homes Initiative program.
CHAPTER 3—YOUTH SMOKING CESSATION AND EDUCATION
Sec. 1321. Short title.
SUBCHAPTER A—PROTECTION OF CHILDREN FROM TOBACCO
PART I—FOOD AND DRUG ADMINISTRATION JURISDICTION AND GENERAL
AUTHORITY
Sec. 1331. Reference.
Sec. 1332. Statement of general authority.
Sec. 1333. Nonapplicability to other drugs or devices.
Sec. 1334. Conforming amendments to confirm jurisdiction.
Sec. 1335. General rule.
Sec. 1336. Safety and efficacy standard and recall authority.
PART II—REGULATION OF TOBACCO PRODUCTS
Sec. 1341. Performance standards.
Sec. 1342. Application of Federal Food, Drug, and Cosmetic Act to tobacco
products.
Sec. 1343. Funding.
Sec. 1344. Repeals.
SUBCHAPTER B—MISCELLANEOUS PROVISIONS
Sec. 1351. Nonapplication to tobacco producers.
Sec. 1352. Equal treatment of retail outlets.
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CHAPTER 4—COVERAGE OF CHILDHOOD IMMUNIZATIONS
Sec. 1361. Short title.
Sec. 1362. Amendments to the Employee Retirement Income Security Act of
1974.
Sec. 1363. Amendments to the Public Health Service Act.
Sec. 1364. Amendments to the Internal Revenue Code of 1986.
Sec. 1365. Effective dates.
Subtitle E—Reducing Environmental Health Risks
CHAPTER 1—ENVIRONMENTAL PROTECTION OF CHILDREN
Sec. 1401. Short title.
Sec. 1402. Environmental protection for children and other vulnerable sub-
populations.
Sec. 1403. Conforming amendment.
CHAPTER 2—SCHOOL ENVIRONMENTAL PROTECTION
Sec. 1411. Short title.
Sec. 1412. Integrated pest management systems for schools.
Sec. 1413. Conforming amendment.
Sec. 1414. Effective date.
TITLE II—HEALTHY START—SUPPORT FOR HEALTHY
DEVELOPMENT
Subtitle A—Promotion of State and Local Support
Sec. 2001. State and local parenting support and education grant program.
Subtitle B—Support for Parents Caring for Children
Sec. 2101. Short title.
Sec. 2102. Findings.
Sec. 2103. Coverage of employees.
Subtitle C—Paid Family Leave
Sec. 2201. Short title.
Sec. 2202. Findings.
Sec. 2203. Purposes.
Sec. 2204. Definitions.
Sec. 2205. Demonstration projects.
Sec. 2206. Evaluations and reports.
Sec. 2207. Authorization of appropriations.
Subtitle D—Health Care for the Uninsured
Sec. 2301. Familycare coverage of parents under the medicaid program and
title XXI.
Subtitle E—Awareness of Environmental Risks to Children
Sec. 2401. Short title.
Sec. 2402. Finding.
CHAPTER 1—CHILDREN’S ENVIRONMENTAL PROTECTION
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SUBCHAPTER A—DISCLOSURE OF INDUSTRIAL RELEASES THAT PRESENT A
SIGNIFICANT RISK TO CHILDREN
Sec. 2411. Reporting requirements.
SUBCHAPTER B—DISCLOSURE OF HIGH HEALTH RISK CHEMICALS IN
CHILDREN’S CONSUMER PRODUCTS
Sec. 2421. List of toxic chemicals.
Sec. 2422. Reporting of toxic chemicals in consumer products.
Sec. 2423. Exemptions.
Sec. 2424. Private citizen enforcement.
CHAPTER 2—PUBLIC RIGHT TO KNOW ABOUT TOXIC CHEMICAL USE
Sec. 2431. Disclosure of toxic chemical use by comparable facilities.
Sec. 2432. Disclosure of toxic chemical use.
Sec. 2433. Streamlined data collection and dissemination.
Sec. 2434. Trade secret protection.
Subtitle F—Promoting Responsible Fatherhood
CHAPTER 1—BLOCK GRANTS
Sec. 2501. Block grants to States to encourage media campaigns.
Sec. 2502. Responsible fatherhood block grant.
CHAPTER 2—NATIONAL CLEARINGHOUSE
Sec. 2511. National clearinghouse for responsible fatherhood programs.
TITLE III—HEAD START AND CHILD CARE
Subtitle A—Infants and Toddlers
Sec. 3001. Reservation of Head Start Act funds for infants and toddlers.
Sec. 3002. Reservation of child care and development block grant funds for in-
fants and toddlers.
Subtitle B—Child Care Access
CHAPTER 1—IMPROVING ACCESS TO CHILD CARE
Sec. 3101. Payment rates.
CHAPTER 2—IMPROVEMENTS TO THE CHILD CARE AND DEVELOPMENT
BLOCK GRANT PROGRAM
Sec. 3111. Authorization of appropriations.
Sec. 3112. State plan requirements.
Sec. 3113. Definitions.
Subtitle C—Child Care Quality Improvement
CHAPTER 1—FOCUS ON COMMITTED AND UNDERPAID STAFF FOR
CHILDREN’S SAKE
Sec. 3201. Short title.
Sec. 3202. Findings and purpose.
Sec. 3203. Definitions.
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Sec. 3204. Funds for child care provider development and retention grants and
for child care provider scholarships.
Sec. 3205. Allotments to States.
Sec. 3206. Application and plan.
Sec. 3207. Child care provider development and retention grant program.
Sec. 3208. Child care provider scholarship program.
Sec. 3209. Annual report.
Sec. 3210. Authorization of appropriations.
CHAPTER 2—STRENGTHENING QUALITY THROUGH THE CHILD CARE AND
DEVELOPMENT BLOCK GRANT
Sec. 3231. State plan.
Sec. 3232. Child care quality improvements.
Sec. 3233. Administration and enforcement.
CHAPTER 3—CHILD CARE CENTERS IN FEDERAL FACILITIES
Sec. 3241. Short title.
Sec. 3242. Definitions.
Sec. 3243. Providing quality child care in Federal facilities.
Sec. 3244. Federal child care evaluation.
Sec. 3245. Child care services for Federal employees.
Sec. 3246. Miscellaneous provisions relating to child care provided by Federal
agencies.
CHAPTER 4—EARLY LEARNING
Sec. 3251. Short title; findings.
Sec. 3252. Purposes.
Sec. 3253. Definitions.
Sec. 3254. Prohibitions.
Sec. 3255. Authorization and appropriation of funds.
Sec. 3256. Allotments to States.
Sec. 3257. Administrative costs.
Sec. 3258. State requirements.
Sec. 3259. State administration.
Sec. 3260. Local application.
Sec. 3261. Local administration.
Sec. 3262. Use of funds.
Sec. 3263. Repealer.
Sec. 3264. Effective date.
CHAPTER 5—CHILD CARE FACILITIES FINANCING
Sec. 3271. Short title.
Sec. 3272. Technical and financial assistance grants.
Subtitle D—Head Start Access and Improvement
Sec. 3301. Authorization of appropriations.
Subtitle E—Education Improvements
CHAPTER 1—INCREASING ACCESS TO QUALITY PREKINDERGARTEN
PROGRAMS
Sec. 3401. Prekindergarten programs.
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CHAPTER 2—EXPANDING EARLY LITERACY EFFORTS
Sec. 3411. Early literacy.
Sec. 3412. Technical amendments.
CHAPTER 3—INCREASING THE AVAILABILITY OF BOOKS
Sec. 3421. Short title.
Sec. 3422. Findings.
Sec. 3423. Definitions.
Sec. 3424. Grants to State agencies.
Sec. 3425. Contracts to child care resource and referral agencies.
Sec. 3426. Use of funds.
Sec. 3427. Report to Congress.
Sec. 3428. Special postage stamps for child literacy.
Sec. 3429. Authorization of appropriations.
CHAPTER 4—INCREASED ACCOUNTABILITY
Sec. 3431. Low achieving children meet high standards.
Sec. 3432. Purpose and intent.
Sec. 3433. Authorization of appropriations.
Sec. 3434. Reservation and allocation.
Sec. 3435. State plans.
Sec. 3436. Local educational agency plans.
Sec. 3437. Targeted assistance schools.
Sec. 3438. School choice.
Sec. 3439. Assessment and local educational agency and school improvement.
Sec. 3440. State assistance for school support and improvement.
Sec. 3441. Academic achievement awards program; improving State assess-
ments.
Sec. 3442. Parental involvement changes.
Sec. 3443. Professional development.
Sec. 3444. Requirements; records.
Sec. 3445. Coordination requirements.
CHAPTER 5—QUALITY TEACHING AND LEADERSHIP
SUBCHAPTER A—AMENDMENTS TO TITLE II OF THE ELEMENTARY AND
SECONDARY EDUCATION ACT OF 1965
Sec. 3461. Amendments to title II.
SUBCHAPTER B—NATIONAL BOARD CERTIFICATION PROGRAM
Sec. 3471. Purpose.
Sec. 3472. Grants to expand participation in the national board certification
program.
SUBCHAPTER C—STUDENT LOAN FORGIVENESS FOR TEACHERS
Sec. 3481. Student loan forgiveness for teachers.
CHAPTER 6—SCHOOL CONSTRUCTION
SUBCHAPTER A—SCHOOL MODERNIZATION BONDS
Sec. 3501. Short title.
Sec. 3502. Expansion of incentives for public schools.
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Sec. 3503. Application of certain labor standards on construction projects fi-
nanced under public school modernization program.
SUBCHAPTER B—SCHOOLS AS CENTERS OF THE COMMUNITY
Sec. 3551. Findings.
Sec. 3552. Purpose.
Sec. 3553. Program authorized.
Sec. 3554. Use of funds.
Sec. 3555. Applications.
Sec. 3556. Authorization of appropriations.
CHAPTER 7—CHILD OPPORTUNITY ZONE FAMILY CENTERS
Sec. 3571. Child opportunity zone family centers.
TITLE IV—FAIR START—LIFTING CHILDREN OUT OF POVERTY
Subtitle A—Expanding the Child Tax Credit
Sec. 4001. Expansion of child tax credit; credit made partially refundable.
Subtitle B—Strengthening the Earned Income Tax Credit
Sec. 4101. Short title.
Sec. 4102. Increased earned income tax credit for 2 or more qualifying chil-
dren.
Sec. 4103. Simplification of definition of earned income.
Sec. 4104. Simplification of definition of child dependent.
Sec. 4105. Other modifications to earned income tax credit.
Subtitle C—Marriage Penalty Relief
Sec. 4201. Marriage penalty relief for earned income credit.
Subtitle D—Expanding the Dependent Care Tax Credit
Sec. 4301. Dependent care tax credit.
TITLE V—FAIR START—SUPPORT TO PROMOTE WORK AND
REDUCE POVERTY
Subtitle A—Gateways Grant Program
Sec. 5001. Gateways grant program.
Subtitle B—Support From Both Parents
CHAPTER 1—CHILD SUPPORT DISTRIBUTION
Sec. 5101. Short title.
SUBCHAPTER A—DISTRIBUTION OF CHILD SUPPORT
Sec. 5111. Distribution of child support collected by States on behalf of chil-
dren receiving certain welfare benefits.
SUBCHAPTER B—REVIEW AND ADJUSTMENT OF CHILD SUPPORT ORDERS
Sec. 5116. Mandatory review and modification of child support orders for
TANF recipients.
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SUBCHAPTER C—DEMONSTRATIONS OF EXPANDED INFORMATION AND
ENFORCEMENT
Sec. 5121. Guidelines for involvement of public non-IV-D child support enforce-
ment agencies in child support enforcement.
Sec. 5122. Demonstrations involving establishment and enforcement of child
support obligations by public non-IV-D child support enforce-
ment agencies.
Sec. 5123. GAO report to Congress on private child support enforcement agen-
cies.
Sec. 5124. Effective date.
SUBCHAPTER D—EXPANDED ENFORCEMENT
Sec. 5126. Decrease in amount of child support arrearage triggering passport
denial.
Sec. 5127. Use of tax refund intercept program to collect past-due child sup-
port on behalf of children who are not minors.
Sec. 5128. Garnishment of compensation paid to veterans for service-connected
disabilities in order to enforce child support obligations.
SUBCHAPTER E—MISCELLANEOUS
Sec. 5131. Report on undistributed child support payments.
Sec. 5132. Use of new hire information to assist in administration of unemploy-
ment compensation programs.
Sec. 5133. Immigration provisions.
Sec. 5134. Correction of errors in conforming amendments in the welfare-to-
work and child support amendments of 1999.
Sec. 5135. Increase in payment rate to States for expenditures for short-term
training of staff of certain child welfare agencies.
Sec. 5136. Effective date.
CHAPTER 2—CHILD SUPPORT DEMONSTRATION PROGRAMS
Sec. 5141. Short title.
Sec. 5142. Purposes.
Sec. 5143. Definitions.
Sec. 5144. Establishment of child support assurance demonstration projects.
Subtitle C—Fair Wages and Unemployment Insurance
CHAPTER 1—FAIR MINIMUM WAGE
Sec. 5201. Short title.
Sec. 5202. Minimum wage.
Sec. 5203. Applicability of minimum wage to the Commonwealth of the North-
ern Mariana Islands.
CHAPTER 2—LIVABLE WAGES FOR EMPLOYEES UNDER FEDERAL
CONTRACTS
Sec. 5211. Short title.
Sec. 5212. Findings.
Sec. 5213. Poverty level wage.
Sec. 5214. Effective date.
CHAPTER 3—UNEMPLOYMENT INSURANCE
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Sec. 5221. Parity for part-time workers, fair counting of wages, and use of im-
proved technology for making wage data available.
Sec. 5222. Ensuring unemployment compensation for individuals that are sepa-
rated from employment due to domestic violence.
Sec. 5223. Loss of child care as good cause for leaving employment.
Subtitle D—Jobs for Low-Income Parents
Sec. 5301. Disregard of months engaged in work for purposes of 5-year TANF
assistance limit.
Sec. 5302. Strengthening TANF education and training requirements.
Sec. 5303. Addition of poverty reduction bonus to TANF.
Sec. 5304. Participation in workforce investment boards.
Sec. 5305. Clarification of TANF purpose.
Sec. 5306. Effective date.
Subtitle E—Incentives to Serve Families
Sec. 5401. Development of model caseworker training materials.
Sec. 5402. Exception to limit on TANF administrative expenditures for case-
worker bonuses and other State initiatives to eliminate barriers
to work.
Sec. 5403. Strengthening of TANF individual responsibility plans.
Sec. 5404. Effective date.
Subtitle F—Addressing Work Barriers
Sec. 5501. Funding to access to jobs program.
Sec. 5502. Requirement to identify and provide services to address barriers to
employment of TANF recipients.
Sec. 5503. State option to establish exceptions from time limit for receipt of
TANF assistance based on severe barriers to employment.
Sec. 5504. Effective date.
Subtitle G—Protection for Families in Need
Sec. 5601. Earn-back of months of TANF assistance.
Sec. 5602. Establishment of a fair conciliation process for families under
TANF.
Sec. 5603. Effective date.
Subtitle H—TANF Reauthorization
Sec. 5701. Reauthorization of TANF State family assistance grants.
Sec. 5702. Prohibition on supplantation of TANF funds.
TITLE VI—FAIR START
Subtitle A—Child and Adult Care Food Program
Sec. 6001. Participation of for-profit care centers in child and adult care food
program.
Sec. 6002. Categorical eligibility requirements.
Sec. 6003. Increase in administrative reimbursement rates.
Sec. 6004. Program for at-risk school children.
Subtitle B—Food Stamp Program
Sec. 6101. Limited eligibility of food stamp benefits for qualified aliens.
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Sec. 6102. Conforming food stamp and medicaid income definitions; simplified
income calculations.
Sec. 6103. Prevention of hunger among families with children.
Sec. 6104. Encouragement of collection of child support.
Sec. 6105. Elimination of excess shelter expense deduction cap for families with
high shelter costs.
Sec. 6106. Periodic redetermination of eligibility.
Sec. 6107. Transitional benefits option.
Sec. 6108. Improving State incentives to serve working families.
Sec. 6109. Authorization of appropriations for additional commodities under
emergency food assistance program.
TITLE VII—FAIR START HOUSING
Subtitle A—Section 8 Vouchers
Sec. 7001. Rental assistance voucher program.
Sec. 7002. Voucher success fund.
Subtitle B—National Affordable Housing Trust Fund
Sec. 7101. Purposes.
Sec. 7102. National Affordable Housing Trust Fund.
Sec. 7103. Administration of National Affordable Housing Trust Fund.
Sec. 7104. Regulations.
Subtitle C—Housing Preservation Matching Grants
Sec. 7201. Short title.
Sec. 7202. Findings and purposes.
Sec. 7203. Definitions.
Sec. 7204. Authority.
Sec. 7205. Applications.
Sec. 7206. Use of grants.
Sec. 7207. Grant amount limitation.
Sec. 7208. Matching requirements.
Sec. 7209. Treatment of subsidy layering requirements.
Sec. 7210. Regulations.
Sec. 7211. Authorization of appropriations.
TITLE VIII—SAFE START
Subtitle A—Promotion of Permanency for Children
Sec. 8001. Reimbursement for preventive, protective, crisis, permanency, inde-
pendent living, and post-permanency services and activities.
Sec. 8002. Child and family service plan and case reviews.
Sec. 8003. Kinship guardianship assistance payments for children.
Sec. 8004. Elimination of financial eligibility requirement for foster care main-
tenance and adoption assistance payments.
Sec. 8005. Establishment of uniform Federal matching rate.
Sec. 8006. Elimination of disincentive for foster parents to adopt children with
special needs who have been in their foster care.
Sec. 8007. Extension of adoption assistance payments.
Sec. 8008. Reimbursement for room and board in foster family homes, child
care institutions, or supervised living arrangements for young
people aging out of foster care.
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Sec. 8009. Funding for vouchers to assist young people aging out of foster care
make the transition to self-sufficiency.
Sec. 8010. Additional accountability.
Sec. 8011. Authority of Indian tribes to receive Federal funds for foster care
and adoption assistance.
Subtitle B—Promoting Safe and Stable Families
Sec. 8101. Expansion of the promoting safe and stable families program.
Subtitle C—Social Services Block Grant
Sec. 8201. Short title.
Sec. 8202. Findings.
Sec. 8202. Restoration of authority to transfer up to 10 percent of TANF
funds to the social services block grant.
Sec. 8204. Restoration of funds for the social services block grant.
Sec. 8205. Requirement to submit annual report on State activities.
Subtitle D—Child Protection and Alcohol and Drug Partnerships
Sec. 8301. Short title.
Sec. 8302. Child protection/alcohol and drug partnerships for children.
Subtitle E—Permanency Grants
Sec. 8401. Establishment of permanency grants program.
Subtitle F—Addressing the Needs of Children Exposed to Domestic Violence
Sec. 8501. Purposes.
Sec. 8502. Definitions.
Sec. 8503. Grants to address the needs of children who are exposed to domestic
violence.
Sec. 8504.
Training and coordination of child welfare agencies and domestic
violence service providers.
Sec. 8505. Research and data collection on the impact of domestic violence on
children.
Sec. 8506. Grants to schools and early education and child care programs for
prevention of violence against women.
Sec. 8507. Training of law enforcement and court personnel.
Subtitle G—Enhancing Healthy Emotional Development in Young Children
Sec. 8601. Enhancing healthy emotional development.
TITLE IX—SUCCESSFUL TRANSITION TO ADULTHOOD
Subtitle A—21st Century Community Learning Centers
Sec. 9001. Centers.
Subtitle B—Youth Development
CHAPTER 1—SHORT TITLE; POLICY; FINDINGS; DEFINITIONS
Sec. 9101. Short title.
Sec. 9102. A national youth policy.
Sec. 9103. Findings.
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Sec. 9104. Definitions.
CHAPTER 2—COORDINATION OF NATIONAL YOUTH POLICY
Sec. 9111. Office on National Youth Policy.
Sec. 9112. Council on National Youth Policy.
CHAPTER 3—GRANTS FOR STATE AND COMMUNITY PROGRAMS
Sec. 9121. Purpose.
Sec. 9122. Authorization of appropriations.
Sec. 9123. Allotments to States.
Sec. 9124. State agencies and planning and mobilization areas.
Sec. 9125. State plans.
Sec. 9126. Distribution of funds for State activities and local allocations.
Sec. 9127. Community boards and area agencies on youth.
Sec. 9128. Area plans.
Sec. 9129. Grants and contracts to eligible entities.
Sec. 9130. Eligible entities.
Sec. 9131. Applications.
Sec. 9132. Youth development programs.
CHAPTER 4—TRAINING, RESEARCH, AND EVALUATION
Sec. 9141. Purpose.
Sec. 9142. Grants and contracts.
Sec. 9143. Authorization of appropriations.
Subtitle C—Youth Programs
Sec. 9201. Americorps.
Sec. 9202. Youthbuild program.
Sec. 9203. Youth workforce investment activities.
Sec. 9204. Transition training for reintegrating youth offenders.
TITLE X—SAFE START—JUVENILE JUSTICE
Subtitle A—Juvenile Delinquency Prevention and Protection
Sec. 10001. Definition of juvenile.
Sec. 10002. State plan allocation.
Sec. 10003. State plan requirements.
Sec. 10004. Repeal of part H.
Sec. 10005. Funding of Federal assistance for State and local programs.
Sec. 10006. Funding of grants for prevention programs.
Sec. 10007. Authorization of appropriations.
Subtitle B—Mental Health Juvenile Justice
Sec. 10101. Short title.
Sec. 10102. Training of justice system personnel.
Sec. 10103. Block grant funding for treatment and diversion programs.
Sec. 10104. Initiative for comprehensive, intersystem programs.
Sec. 10105. Federal Coordinating Council on the Criminalization of Juveniles
With Mental Disorders.
Sec. 10106. Mental health screening and treatment for prisoners.
Sec. 10107. Inapplicability of amendments.
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Subtitle C—Juvenile Justice and Accountability
Sec. 10201. Short title.
Sec. 10202. Grant program.
Sec. 10203. Increase in funding for title III of the JJDPA.
Sec. 10204. Funding for the services for youthful offenders.
Sec. 10205. Authorization for the Juvenile Justice and Delinquency Prevention
Act of 1974.
TITLE XI—SAFE START—GUN SAFETY
Subtitle A—Closing the Gun Show Loophole
Sec. 11001. Extension of Brady background checks to gun shows.
Subtitle B—Child Safety Locks
Sec. 11101. Requirement of child handgun safety locks.
Subtitle C—Unlawful Weapons Transfers
Sec. 11201. Unlawful weapons transfers to juveniles.
Subtitle D—Large Capacity Ammunition Feeding Devices
Sec. 11301. Ban on importing large capacity ammunition feeding devices.
Subtitle E—Enforcement of Gun Laws
Sec. 11401. Enhance enforcement of gun violence laws.
Subtitle F—Miscellaneous
Sec. 11501. Study of marketing practices of the firearms industry.
Sec. 11502. Regulation of Internet firearms transfers.
Sec. 11503. Reduction of gun trafficking.
TITLE XII—MISCELLANEOUS
Sec. 12001. Advisory Committee on Private Sector Support for Children and
Families.
Sec. 12002. Improvement of data collection and reporting regarding children
and families.
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TITLE 
I—HEALTHY 
START—
CHILDREN’S HEALTH INSUR-
ANCE
Subtitle A—Children’s Health
Insurance
SEC. 1001. MEDIKIDS HEALTH INSURANCE.
(a) SHORT TITLE OF TITLE.—This title may be cited
as the ‘‘MediKids Health Insurance Act of 2001’’.
(b) FINDINGS.—Congress finds the following:
(1) More than 11 million American children are
uninsured.
(2) Children who are uninsured receive less
medical care and less preventive care and have a
poorer level of health, which result in lifetime costs
to themselves and to the entire American economy.
(3) Although SCHIP and Medicaid are success-
fully extending a health coverage safety net to a
growing portion of the vulnerable low-income popu-
lation of uninsured children, we now see that they
alone cannot achieve 100 percent health insurance
coverage for our nation’s children due to inevitable
gaps during outreach and enrollment, fluctuations in
eligibility, and variations in access to private insur-
ance at all income levels.
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(4) As all segments of our society continue to
become more and more transient, with many
changes in employment over the working lifetime of
parents, the need for a reliable safety net of health
insurance which follows children across State lines,
already a major problem for the children of migrant
and seasonal farmworkers, will become a major con-
cern for all families in the United States.
(5) The Medicare program has successfully
evolved over the years to provide a stable, universal
source of health insurance for the nation’s disabled
and those over age 65, and therefore provides a test-
ed model for designing a program to reach out to
America’s children.
(6) The problem of insuring 100 percent of all
American children could be gradually solved by auto-
matically enrolling all children born after December
31, 2002, in a program modeled after Medicare (and
to be known as ‘‘MediKids’’), and allowing those
children to be transferred into other equivalent or
better insurance programs, including either private
insurance, SCHIP, or Medicaid, if they are eligible
to do so, but maintaining the child’s default enroll-
ment in MediKids for any times when the child’s ac-
cess to other sources of insurance is lost.
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(7) A family’s freedom of choice to use other in-
surers to cover children would not be interfered with
in any way, and children eligible for SCHIP and
Medicaid would continue to be enrolled in those pro-
grams, but the underlying safety net of MediKids
would always be available to cover any gaps in insur-
ance due to changes in medical condition, employ-
ment, income, or marital status, or other changes af-
fecting a child’s access to alternate forms of insur-
ance.
(8) The MediKids program can be administered
without impacting the finances or status of the exist-
ing Medicare program.
(9) The MediKids benefit package can be tai-
lored to the special needs of children and updated
over time.
(10) The financing of the program can be ad-
ministered without difficulty by a yearly payment of
affordable premiums through a family’s tax filing (or
adjustment of a family’s earned income tax credit).
(11) The cost of the program will gradually rise
as the number of children using MediKids as the in-
surer of last resort increases, and a future Congress
always can accelerate or slow down the enrollment
process as desired, while the societal costs for emer-
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gency room usage, lost productivity and work days,
and poor health status for the next generation of
Americans will decline.
(12) Over time 100 percent of American chil-
dren will always have basic health insurance, and we
can therefore expect a healthier, more equitable, and
more productive society.
SEC. 1002. BENEFITS FOR ALL CHILDREN BORN AFTER
2002.
(a) IN GENERAL.—The Social Security Act is amend-
ed by adding at the end the following new title:
‘‘TITLE XXII—MEDIKIDS PROGRAM
‘‘SEC. 2201. ELIGIBILITY.
‘‘(a) ELIGIBILITY OF INDIVIDUALS BORN AFTER DE-
CEMBER 31, 2002; ALL CHILDREN UNDER 23 YEARS OF
AGE IN SIXTH YEAR.—An individual who meets the fol-
lowing requirements with respect to a month is eligible to
enroll under this title with respect to such month:
‘‘(1) AGE.—
‘‘(A) FIRST YEAR.—During the first year
in which this title is effective, the individual has
not attained 6 years of age.
‘‘(B) SECOND YEAR.—During the second
year in which this title is effective, the indi-
vidual has not attained 11 years of age.
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‘‘(C) THIRD YEAR.—During the third year
in which this title is effective, the individual has
not attained 16 years of age.
‘‘(D) FOURTH YEAR.—During the fourth
year in which this title is effective, the indi-
vidual has not attained 21 years of age.
‘‘(E) FIFTH AND SUBSEQUENT YEARS.—
During the fifth year in which this title is effec-
tive and each subsequent year, the individual
has not attained 23 years of age.
‘‘(2) CITIZENSHIP.—The individual is a citizen
or national of the United States or is lawfully resid-
ing in the United States.
‘‘(b) ENROLLMENT PROCESS.—An individual may
enroll in the program established under this title only in
such manner and form as may be prescribed by regula-
tions, and only during an enrollment period prescribed by
the Secretary consistent with the provisions of this section.
Such regulations shall provide a process under which—
‘‘(1) individuals who are born in the United
States after December 31, 2002, are deemed to be
enrolled at the time of birth and a parent or guard-
ian of such an individual is permitted to pre-enroll
in the month prior to the expected month of birth;
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‘‘(2) individuals who are born outside the
United States after such date and who become eligi-
ble to enroll by virtue of immigration into (or an ad-
justment of immigration status in) the United
States are deemed enrolled at the time of entry or
adjustment of status;
‘‘(3) eligible individuals may otherwise be en-
rolled at such other times and manner as the Sec-
retary shall specify, including the use of outstationed
eligibility 
sites 
as 
described 
in 
section
1902(a)(55)(A) and the use of presumptive eligi-
bility provisions like those described in section
1920A; and
‘‘(4) at the time of automatic enrollment of a
child, the Secretary provides for issuance to a parent
or custodian of the individual a card evidencing cov-
erage under this title and for a description of such
coverage.
The provisions of section 1837(h) apply with respect to
enrollment under this title in the same manner as they
apply to enrollment under part B of title XVIII.
‘‘(c) DATE COVERAGE BEGINS.—
‘‘(1) IN GENERAL.—The period during which
an individual is entitled to benefits under this title
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shall begin as follows, but in no case earlier than
January 1, 2003:
‘‘(A) In the case of an individual who is
enrolled under paragraph (1) or (2) of sub-
section (b), the date of birth or date of obtain-
ing appropriate citizenship or immigration sta-
tus, as the case may be.
‘‘(B) In the case of an another individual
who enrolls (including pre-enrolls) before the
month in which the individual satisfies eligi-
bility for enrollment under subsection (a), the
first day of such month of eligibility.
‘‘(C) In the case of an another individual
who enrolls during or after the month in which
the individual first satisfies eligibility for enroll-
ment under such subsection, the first day of the
following month.
‘‘(2) AUTHORITY
TO
PROVIDE
FOR
PARTIAL
MONTHS
OF
COVERAGE.—Under regulations, the
Secretary may, in the Secretary’s discretion, provide
for coverage periods that include portions of a
month in order to avoid lapses of coverage.
‘‘(3) LIMITATION ON PAYMENTS.—No payments
may be made under this title with respect to the ex-
penses of an individual enrolled under this title un-
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less such expenses were incurred by such individual
during a period which, with respect to the individual,
is a coverage period under this section.
‘‘(d) EXPIRATION OF ELIGIBILITY.—An individual’s
coverage period under this part shall continue until the
individual’s enrollment has been terminated because the
individual no longer meets the requirements of subsection
(a) (whether because of age or change in immigration sta-
tus).
‘‘(e) ENTITLEMENT TO MEDIKIDS BENEFITS FOR
ENROLLED INDIVIDUALS.—An individual enrolled under
this section is entitled to the benefits described in section
2202.
‘‘(f) LOW-INCOME INFORMATION.—At the time of en-
rollment of a child under this title, the Secretary shall
make an inquiry as to whether or not the family income
of the family that includes the child is less than 150 per-
cent of the poverty line for a family of the size involved.
If the family income is below such level, the Secretary shall
encode in the identification card issued in connection with
eligibility under this title a code indicating such fact. The
Secretary also shall provide for a toll-free telephone line
at which providers can verify whether or not such a child
is in a family the income of which is below such level.
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‘‘(g) CONSTRUCTION.—Nothing in this title shall be
construed as requiring (or preventing) an individual who
is enrolled under this section from seeking medical assist-
ance under a State medicaid plan under title XIX or child
health assistance under a State child health plan under
title XXI.
‘‘SEC. 2202. BENEFITS.
‘‘(a) SECRETARIAL
SPECIFICATION
OF
BENEFIT
PACKAGE.—
‘‘(1) IN GENERAL.—The Secretary shall specify
the benefits to be made available under this title
consistent with the provisions of this section and in
a manner designed to meet the health needs of chil-
dren.
‘‘(2) UPDATING.—The Secretary shall update
the specification of benefits over time to ensure the
inclusion of age-appropriate benefits as the enrollee
population gets older.
‘‘(3) ANNUAL UPDATING.—The Secretary shall
establish procedures for the annual review and up-
dating of such benefits to account for changes in
medical practice, new information from medical re-
search, and other relevant developments in health
science.
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‘‘(4) INPUT.—The Secretary shall seek the
input of the pediatric community in specifying and
updating such benefits.
‘‘(5) LIMITATION ON UPDATING.—In no case
shall updating of benefits under this subsection re-
sult in a failure to provide benefits required under
subsection (b).
‘‘(b) INCLUSION OF CERTAIN BENEFITS.—
‘‘(1) MEDICARE CORE BENEFITS.—Such bene-
fits shall include (to the extent consistent with other
provisions of this section) at least the same benefits
(including coverage, access, availability, duration,
and beneficiary rights) that are available under
parts A and B of title XVIII.
‘‘(2) ALL
REQUIRED
MEDICAID
BENEFITS.—
Such benefits shall also include all items and serv-
ices for which medical assistance is required to be
provided under section 1902(a)(10)(A) to individuals
described in such section, including early and peri-
odic screening, diagnostic services, and treatment
services.
‘‘(3) INCLUSION
OF
PRESCRIPTION
DRUGS.—
Such benefits also shall include (as specified by the
Secretary) prescription drugs and biologicals.
‘‘(4) COST-SHARING.—
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‘‘(A) IN
GENERAL.—Subject to subpara-
graph (B), such benefits also shall include the
cost-sharing (in the form of deductibles, coin-
surance, and copayments) applicable under title
XVIII with respect to comparable items and
services, except that no cost-sharing shall be
imposed with respect to early and periodic
screening and diagnostic services included
under paragraph (2).
‘‘(B) NO COST-SHARING FOR LOWEST IN-
COME CHILDREN.—Such benefits shall not in-
clude any cost-sharing for children in families
the income of which (as determined for pur-
poses of section 1905(p)) does not exceed 150
percent of the official income poverty line (re-
ferred to in such section) applicable to a family
of the size involved.
‘‘(C) REFUNDABLE
CREDIT
FOR
COST-
SHARING
FOR
OTHER
LOW-INCOME
CHIL-
DREN.—For a refundable credit for cost-shar-
ing in the case of children in certain families,
see section 35 of the Internal Revenue Code of
1986.
‘‘(c) PAYMENT SCHEDULE.—The Secretary, with the
assistance of the Medicare Payment Advisory Commission,
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shall develop and implement a payment schedule for bene-
fits covered under this title. To the extent feasible, such
payment schedule shall be consistent with comparable pay-
ment schedules and reimbursement methodologies applied
under parts A and B of title XVIII.
‘‘(d) INPUT.—The Secretary shall specify such bene-
fits and payment schedules only after obtaining input from
appropriate child health providers and experts.
‘‘(e) ENROLLMENT IN HEALTH PLANS.—The Sec-
retary shall provide for the offering of benefits under this
title through enrollment in a health benefit plan that
meets the same (or similar) requirements as the require-
ments that apply to Medicare+Choice plans under part
C of title XVIII. In the case of individuals enrolled under
this title in such a plan, the Medicare+Choice capitation
rate described in section 1853(c) shall be adjusted in an
appropriate manner to reflect differences between the pop-
ulation served under this title and the population under
title XVIII.
‘‘SEC. 2203. PREMIUMS.
‘‘(a) AMOUNT OF MONTHLY PREMIUMS.—
‘‘(1) IN GENERAL.—The Secretary shall, during
September of each year (beginning with 2002), es-
tablish a monthly MediKids premium. Subject to
paragraph (2), the monthly MediKids premium for
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a year is equal to 1⁄12 of the annual premium rate
computed under subsection (b).
‘‘(2) ELIMINATION OF MONTHLY PREMIUM FOR
DEMONSTRATION
OF
EQUIVALENT
COVERAGE
(IN-
CLUDING
COVERAGE
UNDER
LOW-INCOME
PRO-
GRAMS).—The amount of the monthly premium im-
posed under this section for an individual for a
month shall be zero in the case of an individual who
demonstrates to the satisfaction of the Secretary
that the individual has basic health insurance cov-
erage for that month the actuarial value of which,
as determined by the Secretary, is at least actuari-
ally equivalent to the benefits available under this
title. For purposes of the previous sentence enroll-
ment in a medicaid plan under title XIX, a State
child health insurance plan under title XXI, or
under the medicare program under title XVIII is
deemed to constitute basic health insurance coverage
described in such sentence.
‘‘(b) ANNUAL PREMIUM.—
‘‘(1) NATIONAL, PER
CAPITA
AVERAGE.—The
Secretary shall estimate the average, annual per
capita amount that would be payable under this title
with respect to individuals residing in the United
States who meet the requirement of section
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2201(a)(1) as if all such individuals were eligible for
(and enrolled) under this title during the entire year
(and assuming that section 1862(b)(2)(A)(i) did not
apply).
‘‘(2) ANNUAL PREMIUM.—Subject to subsection
(d), the annual premium under this subsection for
months in a year is equal to 25 percent of the aver-
age, annual per capita amount estimated under
paragraph (1) for the year.
‘‘(c) PAYMENT OF MONTHLY PREMIUM.—
‘‘(1) PERIOD OF PAYMENT.—In the case of an
individual who participates in the program estab-
lished by this title, subject to subsection (d), the
monthly premium shall be payable for the period
commencing with the first month of the individual’s
coverage period and ending with the month in which
the individual’s coverage under this title terminates.
‘‘(2) COLLECTION
THROUGH
TAX
RETURN.—
For provisions providing for the payment of monthly
premiums under this subsection, see section 59B of
the Internal Revenue Code of 1986.
‘‘(3) 
PROTECTIONS
AGAINST
FRAUD
AND
ABUSE.—The Secretary shall develop, in coordina-
tion with States and other health insurance issuers,
administrative systems to ensure that claims which
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are submitted to more than one payor are coordi-
nated and duplicate payments are not made.
‘‘(d) REDUCTION IN PREMIUM FOR CERTAIN LOW-
INCOME FAMILIES.—For provisions reducing the premium
under this section for certain low-income families, see sec-
tion 59B(c) of the Internal Revenue Code of 1986.
‘‘SEC. 2204. MEDIKIDS TRUST FUND.
‘‘(a) ESTABLISHMENT OF TRUST FUND.—
‘‘(1) IN GENERAL.—There is hereby created on
the books of the Treasury of the United States a
trust fund to be known as the ‘MediKids Trust
Fund’ (in this section referred to as the ‘Trust
Fund’). The Trust Fund shall consist of such gifts
and bequests as may be made as provided in section
201(i)(1) and such amounts as may be deposited in,
or appropriated to, such fund as provided in this
title.
‘‘(2) PREMIUMS.—Premiums collected under
section 2203 shall be transferred to the Trust Fund.
‘‘(b) INCORPORATION OF PROVISIONS.—
‘‘(1) IN GENERAL.—Subject to paragraph (2),
subsections (b) through (i) of section 1841 shall
apply with respect to the Trust Fund and this title
in the same manner as they apply with respect to
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the Federal Supplementary Medical Insurance Trust
Fund and part B, respectively.
‘‘(2) MISCELLANEOUS REFERENCES.—In apply-
ing provisions of section 1841 under paragraph
(1)—
‘‘(A) any reference in such section to ‘this
part’ is construed to refer to title XXII;
‘‘(B) any reference in section 1841(h) to
section 1840(d) and in section 1841(i) to sec-
tions 1840(b)(1) and 1842(g) are deemed ref-
erences to comparable authority exercised under
this title;
‘‘(C) payments may be made under section
1841(g) to the Trust Funds under sections
1817 and 1841 as reimbursement to such funds
for payments they made for benefits provided
under this title; and
‘‘(D) the Board of Trustees of the
MediKids Trust Fund shall be the same as the
Board of Trustees of the Federal Supple-
mentary Medical Insurance Trust Fund.
‘‘SEC. 2205. OVERSIGHT AND ACCOUNTABILITY.
‘‘(a) THROUGH ANNUAL REPORTS OF TRUSTEES.—
The Board of Trustees of the MediKids Trust Fund under
section 2204(b)(1) shall report on an annual basis to Con-
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gress concerning the status of the Trust Fund and the
need for adjustments in the program under this title to
maintain financial solvency of the program under this
title.
‘‘(b) PERIODIC GAO REPORTS.—The Comptroller
General of the United States shall periodically submit to
Congress reports on the adequacy of the financing of cov-
erage provided under this title. The Comptroller General
shall include in such report such recommendations for ad-
justments in such financing and coverage as the Comp-
troller General deems appropriate in order to maintain fi-
nancial solvency of the program under this title.
‘‘SEC. 2206. INCLUSION OF CARE COORDINATION SERVICES.
‘‘(a) IN GENERAL.—
‘‘(1) PROGRAM
AUTHORITY.—The Secretary,
beginning in 2003, may implement a care coordina-
tion services program in accordance with the provi-
sions of this section under which, in appropriate cir-
cumstances, eligible individuals may elect to have
health care services covered under this title managed
and coordinated by a designated care coordinator.
‘‘(2) ADMINISTRATION
BY
CONTRACT.—The
Secretary may administer the program under this
section through a contract with an appropriate pro-
gram administrator.
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‘‘(3) COVERAGE.—Care coordination services
furnished in accordance with this section shall be
treated under this title as if they were included in
the definition of medical and other health services
under section 1861(s) and benefits shall be available
under this title with respect to such services without
the application of any deductible or coinsurance.
‘‘(b) ELIGIBILITY CRITERIA; IDENTIFICATION AND
NOTIFICATION OF ELIGIBLE INDIVIDUALS.—
‘‘(1) INDIVIDUAL ELIGIBILITY CRITERIA.—The
Secretary shall specify criteria to be used in making
a determination as to whether an individual may ap-
propriately be enrolled in the care coordination serv-
ices program under this section, which shall include
at least a finding by the Secretary that for cohorts
of individuals with characteristics identified by the
Secretary, professional management and coordina-
tion of care can reasonably be expected to improve
processes or outcomes of health care and to reduce
aggregate costs to the programs under this title.
‘‘(2) PROCEDURES
TO
FACILITATE
ENROLL-
MENT.—The Secretary shall develop and implement
procedures designed to facilitate enrollment of eligi-
ble individuals in the program under this section.
‘‘(c) ENROLLMENT OF INDIVIDUALS.—
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‘‘(1) SECRETARY’S DETERMINATION OF ELIGI-
BILITY.—The Secretary shall determine the eligi-
bility for services under this section of individuals
who are enrolled in the program under this section
and who make application for such services in such
form and manner as the Secretary may prescribe.
‘‘(2) ENROLLMENT PERIOD.—
‘‘(A) EFFECTIVE DATE AND DURATION.—
Enrollment of an individual in the program
under this section shall be effective as of the
first day of the month following the month in
which the Secretary approves the individual’s
application under paragraph (1), shall remain
in effect for one month (or such longer period
as the Secretary may specify), and shall be
automatically renewed for additional periods,
unless terminated in accordance with such pro-
cedures as the Secretary shall establish by regu-
lation. Such procedures shall permit an indi-
vidual to disenroll for cause at any time and
without cause at re-enrollment intervals.
‘‘(B) LIMITATION
ON
REENROLLMENT.—
The Secretary may establish limits on an indi-
vidual’s eligibility to reenroll in the program
under this section if the individual has
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disenrolled from the program more than once
during a specified time period.
‘‘(d) PROGRAM.—The care coordination services pro-
gram under this section shall include the following ele-
ments:
‘‘(1) BASIC CARE COORDINATION SERVICES.—
‘‘(A) IN GENERAL.—Subject to the cost-ef-
fectiveness criteria specified in subsection
(b)(1), except as otherwise provided in this sec-
tion, enrolled individuals shall receive services
described in section 1905(t)(1) and may receive
additional items and services as described in
subparagraph (B).
‘‘(B) ADDITIONAL
BENEFITS.—The Sec-
retary may specify additional benefits for which
payment would not otherwise be made under
this title that may be available to individuals
enrolled in the program under this section (sub-
ject to an assessment by the care coordinator of
an individual’s circumstance and need for such
benefits) in order to encourage enrollment in, or
to improve the effectiveness of, such program.
‘‘(2) CARE
COORDINATION
REQUIREMENT.—
Notwithstanding any other provision of this title, the
Secretary may provide that an individual enrolled in
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the program under this section may be entitled to
payment under this title for any specified health
care items or services only if the items or services
have been furnished by the care coordinator, or co-
ordinated through the care coordination services pro-
gram. Under such provision, the Secretary shall pre-
scribe exceptions for emergency medical services as
described in section 1852(d)(3), and other excep-
tions determined by the Secretary for the delivery
of timely and needed care.
‘‘(e) CARE COORDINATORS.—
‘‘(1) CONDITIONS OF PARTICIPATION.—In order
to be qualified to furnish care coordination services
under this section, an individual or entity shall—
‘‘(A) be a health care professional or entity
(which may include physicians, physician group
practices, or other health care professionals or
entities the Secretary may find appropriate)
meeting such conditions as the Secretary may
specify;
‘‘(B) have entered into a care coordination
agreement; and
‘‘(C) meet such criteria as the Secretary
may establish (which may include experience in
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the provision of care coordination or primary
care physician’s services).
‘‘(2) AGREEMENT TERM; PAYMENT.—
‘‘(A) DURATION AND RENEWAL.—A care
coordination agreement under this subsection
shall be for one year and may be renewed if the
Secretary is satisfied that the care coordinator
continues to meet the conditions of participa-
tion specified in paragraph (1).
‘‘(B) PAYMENT FOR SERVICES.—The Sec-
retary may negotiate or otherwise establish pay-
ment terms and rates for services described in
subsection (d)(1).
‘‘(C) LIABILITY.—Case coordinators shall
be subject to liability for actual health damages
which may be suffered by recipients as a result
of the care coordinator’s decisions, failure or
delay in making decisions, or other actions as
a care coordinator.
‘‘(D) TERMS.—In addition to such other
terms as the Secretary may require, an agree-
ment under this section shall include the terms
specified in subparagraphs (A) through (C) of
section 1905(t)(3).
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‘‘SEC. 2207. ADMINISTRATION AND MISCELLANEOUS.
‘‘(a) IN GENERAL.—Except as otherwise provided in
this title—
‘‘(1) the Secretary shall enter into appropriate
contracts with providers of services, other health
care providers, carriers, and fiscal intermediaries,
taking into account the types of contracts used
under title XVIII with respect to such entities, to
administer the program under this title;
‘‘(2) individuals enrolled under this title shall
be treated for purposes of title XVIII as though the
individual were entitled to benefits under part A and
enrolled under part B of such title;
‘‘(3) benefits described in section 2202 that are
payable under this title to such individuals shall be
paid in a manner specified by the Secretary (taking
into account, and based to the greatest extent prac-
ticable upon, the manner in which they are provided
under title XVIII);
‘‘(4) provider participation agreements under
title XVIII shall apply to enrollees and benefits
under this title in the same manner as they apply
to enrollees and benefits under title XVIII; and
‘‘(5) individuals entitled to benefits under this
title may elect to receive such benefits under health
plans in a manner, specified by the Secretary, simi-
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lar to the manner provided under part C of title
XVIII.
‘‘(b) 
COORDINATION
WITH
MEDICAID
AND
SCHIP.—Notwithstanding any other provision of law, in-
dividuals entitled to benefits for items and services under
this title who also qualify for benefits under title XIX or
XXI or any other Federally funded program may continue
to qualify and obtain benefits under such other title or
program, and in such case such an individual shall elect
either—
‘‘(1) such other title or program to be primary
payor to benefits under this title, in which case no
benefits shall be payable under this title and the
monthly premium under section 2203 shall be zero;
or
‘‘(2) benefits under this title shall be primary
payor to benefits provided under such program or
title, in which case the Secretary shall enter into
agreements with States as may be appropriate to
provide that, in the case of such individuals, the ben-
efits under titles XIX and XXI or such other pro-
gram (including reduction of cost-sharing) are pro-
vided on a ‘wrap-around’ basis to the benefits under
this title.’’.
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priate to reflect differences between the population
served under such title and the population under
parts A and B.’’.
(c) MAINTENANCE OF MEDICAID ELIGIBILITY AND
BENEFITS FOR CHILDREN.—
(1) IN GENERAL.—In order for a State to con-
tinue to be eligible for payments under section
1903(a) of the Social Security Act (42 U.S.C.
1396b(a))—
(A) the State may not reduce standards of
eligibility, or benefits, provided under its State
medicaid plan under title XIX of the Social Se-
curity Act or under its State child health plan
under title XXI of such Act for individuals
under 23 years of age below such standards of
eligibility, and benefits, in effect on the date of
the enactment of this Act; and
(B) the State shall demonstrate to the sat-
isfaction of the Secretary of Health and Human
Services that any savings in State expenditures
under title XIX or XXI of the Social Security
Act that results from children from enrolling
under title XXII of such Act shall be used in
a manner that improves services to beneficiaries
under title XIX of such Act, such as through
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increases in provider payment rates, expansion
of eligibility, improved nurse and nurse aide
staffing and improved inspections of nursing fa-
cilities, and coverage of additional services.
(2) MEDIKIDS AS PRIMARY PAYOR.—In apply-
ing title XIX of the Social Security Act, the
MediKids program under title XXII of such Act
shall be treated as a primary payor in cases in which
the election described in section 2207(b)(2) of such
Act, as added by subsection (a), has been made.
(d) EXPANSION OF MEDPAC MEMBERSHIP TO 19.—
(1) IN GENERAL.—Section 1805(c) of the So-
cial Security Act (42 U.S.C. 1395b–6(c)) is
amended—
(A) in paragraph (1), by striking ‘‘17’’ and
inserting ‘‘19’’; and
(B) in paragraph (2)(B), by inserting ‘‘ex-
perts in children’s health,’’ after ‘‘other health
professionals,’’.
(2) INITIAL
TERMS
OF
ADDITIONAL
MEM-
BERS.—
(A) IN GENERAL.—For purposes of stag-
gering the initial terms of members of the
Medicare Payment Advisory Commission under
section 1805(c)(3) of the Social Security Act
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(42 U.S.C. 1395b–6(c)(3)), the initial terms of
the 2 additional members of the Commission
provided for by the amendment under sub-
section (a)(1) are as follows:
(i) One member shall be appointed for
1 year.
(ii) One member shall be appointed
for 2 years.
(B) COMMENCEMENT
OF
TERMS.—Such
terms shall begin on January 1, 2002.
SEC. 1003. MEDIKIDS PREMIUM.
(a) GENERAL RULE.—Subchapter A of chapter 1 of
the Internal Revenue Code of 1986 (relating to determina-
tion of tax liability) is amended by adding at the end the
following new part:
‘‘PART VIII—MEDIKIDS PREMIUM
‘‘Sec. 59B. MediKids premium.
‘‘SEC. 59B. MEDIKIDS PREMIUM.
‘‘(a) IMPOSITION OF TAX.—In the case of an indi-
vidual to whom this section applies, there is hereby im-
posed (in addition to any other tax imposed by this sub-
title) a MediKids premium for the taxable year.
‘‘(b) INDIVIDUALS SUBJECT TO PREMIUM.—
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‘‘(1) IN GENERAL.—This section shall apply to
an individual if the taxpayer has a MediKid at any
time during the taxable year.
‘‘(2) MEDIKID.—For purposes of this section,
the term ‘MediKid’ means, with respect to a tax-
payer, any individual with respect to whom the tax-
payer is required to pay a premium under section
2203(c) of the Social Security Act for any month of
the taxable year.
‘‘(c) AMOUNT OF PREMIUM.—For purposes of this
section, the MediKids premium for a taxable year is the
sum of the monthly premiums under section 2203 of the
Social Security Act for months in the taxable year.
‘‘(d) EXCEPTIONS BASED ON ADJUSTED GROSS IN-
COME.—
‘‘(1) EXEMPTION FOR VERY LOW-INCOME TAX-
PAYERS.—
‘‘(A) IN GENERAL.—No premium shall be
imposed by this section on any taxpayer having
an adjusted gross income not in excess of the
exemption amount.
‘‘(B) EXEMPTION AMOUNT.—For purposes
of this paragraph, with respect to a family, the
exemption amount is the amount equal to 150
percent of the income official poverty line (as
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defined by the Office of Management and
Budget, and revised annually in accordance
with section 673(2) of the Omnibus Budget
Reconciliation Act of 1981) applicable to a fam-
ily of the size involved.
‘‘(C) PHASEOUT OF EXEMPTION.—In the
case of a taxpayer having an adjusted gross in-
come which exceeds the exemption amount but
does not exceed twice the exemption amount,
the premium shall be the amount which bears
the same ratio to the premium which would
(but for this subparagraph) apply to the tax-
payer as such excess bears to the exemption
amount.
‘‘(2) PREMIUM LIMITED TO 5 PERCENT OF AD-
JUSTED GROSS INCOME.—In no event shall any tax-
payer be required to pay a premium under this sec-
tion in excess of an amount equal to 5 percent of the
taxpayer’s adjusted gross income.
‘‘(e) COORDINATION WITH OTHER PROVISIONS.—
‘‘(1) NOT TREATED AS MEDICAL EXPENSE.—
For purposes of this chapter, any premium paid
under this section shall not be treated as expense for
medical care.
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‘‘(2) NOT TREATED AS TAX FOR CERTAIN PUR-
POSES.—The premium paid under this section shall
not be treated as a tax imposed by this chapter for
purposes of determining—
‘‘(A) the amount of any credit allowable
under this chapter, or
‘‘(B) the amount of the minimum tax im-
posed by section 55.
‘‘(3) TREATMENT
UNDER
SUBTITLE
F.—For
purposes of subtitle F, the premium paid under this
section shall be treated as if it were a tax imposed
by section 1.’’.
(b) TECHNICAL AMENDMENTS.—
(1) Subsection (a) of section 6012 of such Code
is amended by inserting after paragraph (9) the fol-
lowing new paragraph:
‘‘(10) Every individual liable for a premium
under section 59B.’’.
(2) The table of parts for subchapter A of chap-
ter 1 of such Code is amended by adding at the end
the following new item:
‘‘Part VIII. MediKids premium.’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall apply to months beginning after Decem-
ber 2002, in taxable years ending after such date.