I 
108TH CONGRESS 
1ST SESSION 
H. R. 535
To provide access to welfare tools to help Americans get back to work. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 5, 2003
Mr. ACEVEDO-VILA´ (for himself, Mrs. CHRISTENSEN, Mr. RANGEL, Mr. 
TOWNS, Ms. VELA´ZQUEZ, Mr. BACA, Mr. SERRANO, Mr. GUTIERREZ, Ms. 
BORDALLO, Ms. SOLIS, Mrs. NAPOLITANO, Mr. BECERRA, and Mr. PAS-
TOR) introduced the following bill; which was referred to the Committee 
on Ways and Means, and in addition to the Committee on Energy and 
Commerce, for a period to be subsequently determined by the Speaker, 
in each case for consideration of such provisions as fall within the juris-
diction of the committee concerned 
A BILL 
To provide access to welfare tools to help Americans get 
back to work.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. ELIGIBILITY OF PUERTO RICO, THE UNITED 
STATES VIRGIN ISLANDS, AND GUAM FOR 
THE TANF SUPPLEMENTAL GRANT FOR POP-
ULATION INCREASES. 
(a) IN GENERAL.—Section 403(a)(3)(D)(iii) of the 
Social Security Act (42 U.S.C. 603(a)(3)(D)(iii)) is
amended by striking ‘‘and the District of Columbia.’’ and 
inserting ‘‘, the District of Columbia, Puerto Rico, the 
United States Virgin Islands, and Guam. For fiscal years 
beginning after the effective date of this sentence, this 
paragraph shall be applied and administered as if the term 
‘State’ included the Commonwealth of Puerto Rico, the 
United States Virgin Islands, and Guam for fiscal year 
1998 and thereafter.’’. 
(b) GRANT PAYMENT DISREGARDED FOR PURPOSES 
OF SECTION 1108 LIMITATION.—Section 1108(a)(2) of 
such Act (42 U.S.C. 1308(a)(2)) is amended by inserting 
‘‘, or any payment made to the Commonwealth of Puerto 
Rico, the United States Virgin Islands, or Guam under 
section 403(a)(3)’’ before the period. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on October 1, 2003, and shall 
apply to expenditures for fiscal years beginning with fiscal 
year 2004. 
SEC. 2. ELIGIBILITY OF PUERTO RICO, THE UNITED STATES 
VIRGIN ISLANDS, AND GUAM FOR THE TANF 
CONTINGENCY FUND. 
(a) IN GENERAL.—Section 403(b)(7) of the Social 
Security Act (42 U.S.C. 603(b)(7)) is amended by striking 
‘‘and the District of Columbia’’ and inserting ‘‘, the Dis-
trict of Columbia, the Commonwealth of Puerto Rico, the 
United States Virgin Islands, and Guam.’’. 
(b) GRANT PAYMENT DISREGARDED FOR PURPOSES 
OF SECTION 1108 LIMITATION.—Section 1108(a)(2) of 
such Act (42 U.S.C. 1308(a)(2)), as amended by section 
1(b) of this Act, is amended by inserting ‘‘or 403(b)’’ after 
‘‘403(a)(3)’’ before the period. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on October 1, 2003, and shall 
apply to expenditures for fiscal years beginning with fiscal 
year 2004. 
SEC. 3. ELIGIBILITY OF PUERTO RICO, THE UNITED STATES 
VIRGIN ISLANDS, AND GUAM FOR CHILD 
CARE ENTITLEMENT FUNDS. 
(a) IN GENERAL.—Section 418(d) of the Social Secu-
rity Act (42 U.S.C. 618(d)) is amended by striking ‘‘and 
the District of Columbia’’ and inserting ‘‘, the District of 
Columbia, the Commonwealth of Puerto Rico, the United 
States Virgin Islands, and Guam’’. 
(b) AMOUNT OF PAYMENT.—
(1) 
GENERAL
ENTITLEMENT.—Section 
418(a)(1) of such Act (42 U.S.C. 618(a)(1)) is 
amended by striking ‘‘the greater of—’’ and all that 
follows and inserting the following:
‘‘(A) in the case of the Commonwealth of 
Puerto Rico, the United States Virgin Islands, 
and Guam, 60 percent of the amount required 
to be paid to the State for fiscal year 2001 
under the Child Care and Development Block 
Grant Act of 1990; or 
‘‘(B) in the case of any other State, the 
greater of—
‘‘(i) the total amount required to be 
paid to the State under section 403 for fis-
cal year 1994 or 1995 (whichever is great-
er) with respect to expenditures for child 
care under subsections (g) and (i) of sec-
tion 402 (as in effect before October 1, 
1995); or 
‘‘(ii) the average of the total amounts 
required to be paid to the State for fiscal 
years 1992 through 1994 under the sub-
sections referred to in clause (i).’’; 
(2) 
ALLOTMENT
OF
REMAINDER.—Section 
418(a)(2)(B) of such Act (42 U.S.C. 618(a)(2)(B)) 
is amended to read as follows: 
‘‘(B) ALLOTMENTS
TO
STATES.—Of the 
total amount available for payments to States
under this paragraph, as determined under sub-
paragraph (A) of this paragraph—
‘‘(i) an amount equal to 65 percent of 
the amount required to be paid to each of 
the Commonwealth of Puerto Rico, the 
United States Virgin Islands, and Guam 
for fiscal year 2001 under the Child Care 
and Development Block Grant Act of 
1990, shall be allotted to the Common-
wealth of Puerto Rico, the United States 
Virgin Islands, and Guam, respectively; 
and 
‘‘(ii) the remainder shall be allotted 
among the other States based on the for-
mula used for determining the amount of 
Federal payments to each State under sec-
tion 403(n) of this Act (as in effect before 
October 1, 1995).’’. 
(c) GRANT PAYMENT DISREGARDED FOR PURPOSES 
OF SECTION 1108 LIMITATION.—Section 1108(a)(2) of 
such Act (42 U.S.C. 1308(a)(2)), as amended by sections 
1(b) and 2(b) of this Act, is amended by striking ‘‘or 
403(b)’’ and inserting ‘‘, 403(b), or 418’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on October 1, 2003, and shall
apply to expenditures for fiscal years beginning with fiscal 
year 2004. 
SEC. 4. FOSTER CARE PAYMENTS TO PUERTO RICO, THE 
UNITED STATES VIRGIN ISLANDS, AND GUAM 
DISREGARDED FOR PURPOSES OF THE LIMI-
TATION OF PAYMENTS TO TERRITORIES. 
(a) IN GENERAL.—Section 1108(a)(2) of the Social 
Security Act (42 U.S.C. 1308(a)(2)), as amended by sec-
tions 1(b), 2(b), and 3(c) of this Act, is amended by insert-
ing ‘‘, or any payment made to the Commonwealth of 
Puerto Rico, the United States Virgin Islands, or Guam 
under part E of title IV with respect to foster care’’ before 
the period. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on October 1, 2003, and shall 
apply to expenditures for fiscal years beginning with fiscal 
year 2004. 
SEC. 5. EXEMPT MEDICAID TRANSITIONAL MEDICAL AS-
SISTANCE IN PUERTO RICO, THE VIRGIN IS-
LANDS, AND GUAM FROM THE CURRENT 
MEDICAID CAP ON SPENDING. 
(a) IN GENERAL.—Section 1108 of the Social Secu-
rity Act (42 U.S.C. 1308) is amended—
(1) in subsection (f), by striking ‘‘subsection 
(g)’’ and inserting ‘‘subsections (g) and (h)’’; and
(2) by adding at the end the following new sub-
section: 
‘‘(h) SPECIAL RULE FOR TRANSITIONAL MEDICAL 
ASSISTANCE IN PUERTO RICO, THE VIRGIN ISLANDS, AND 
GUAM.—Expenditures for transitional medical assistance 
under section 1925 in Puerto Rico, the Virgin Islands, and 
Guam shall not be subject to the payment limitations of 
subsection (f).’’. 
(b) PERMITTING APPLICATION OF SECTION 1925 IN 
PUERTO RICO, THE VIRGIN ISLANDS, AND GUAM.—Sec-
tion 1925(c)(2) of such Act (42 U.S.C. 1396r–6(c)(2)) is 
amended by inserting before the period at the end the fol-
lowing: ‘‘, except that such provisions may apply in Puerto 
Rico, the Virgin Islands, and Guam if elected by the Gov-
ernment of the respective commonwealth or territory’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on October 1, 2003, and shall 
apply to expenditures for fiscal years beginning with fiscal 
year 2004.
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