761
(3) The Child Care and Development Block
Grant Act of 1990 (relating to block grants for child
care).
SEC. 1102. ELIMINATION OF HOUSING ASSISTANCE WITH
RESPECT TO FUGITIVE FELONS AND PROBA-
TION AND PAROLE VIOLATORS.
(a) ELIGIBILITY
FOR
ASSISTANCE.—The United
States Housing Act of 1937 (42 U.S.C. 1437 et seq.) is
amended—
(1) in section 6(l)—
(A) in paragraph (5), by striking ‘‘and’’ at
the end;
(B) in paragraph (6), by striking the pe-
riod at the end and inserting ‘‘; and’’; and
(C) by inserting immediately after para-
graph (6) the following new paragraph:
‘‘(7) provide that it shall be cause for imme-
diate termination of the tenancy of a public housing
tenant if such tenant—
‘‘(A) is fleeing to avoid prosecution, or cus-
tody or confinement after conviction, under the
laws of the place from which the individual
flees, for a crime, or attempt to commit a
crime, which is a felony under the laws of the
place from which the individual flees, or which,
762
in the case of the State of New Jersey, is a
high misdemeanor under the laws of such State;
or
‘‘(2) is violating a condition of probation or pa-
role imposed under Federal or State law.’’; and
(2) in section 8(d)(1)(B)—
(A) in clause (iii), by striking ‘‘and’’ at the
end;
(B) in clause (iv), by striking the period at
the end and inserting ‘‘; and’’; and
(C) by adding after clause (iv) the follow-
ing new clause:
‘‘(v) it shall be cause for termination
of the tenancy of a tenant if such tenant—
‘‘(I) is fleeing to avoid prosecu-
tion, or custody or confinement after
conviction, under the laws of the place
from which the individual flees, for a
crime, or attempt to commit a crime,
which is a felony under the laws of
the place from which the individual
flees, or which, in the case of the
State of New Jersey, is a high mis-
demeanor under the laws of such
State; or
763
‘‘(II) is violating a condition of
probation or parole imposed under
Federal or State law;’’.
(b) PROVISION OF INFORMATION TO LAW ENFORCE-
MENT AGENCIES.—Title I of the United States Housing
Act of 1937 (42 U.S.C. 1437 et seq.), as amended by sec-
tions 404(d) and 601 of this Act, is amended by adding
at the end the following:
‘‘SEC. 29. EXCHANGE OF INFORMATION WITH LAW EN-
FORCEMENT AGENCIES.
‘‘Notwithstanding any other provision of law, each
public housing agency that enters into a contract for as-
sistance under section 6 or 8 of this Act with the Secretary
shall furnish any Federal, State, or local law enforcement
officer, upon the request of the officer, with the current
address, Social Security number, and photograph (if appli-
cable) of any recipient of assistance under this Act, if the
officer—
‘‘(1) furnishes the public housing agency with
the name of the recipient; and
‘‘(2) notifies the agency that—
‘‘(A) such recipient—
‘‘(i) is fleeing to avoid prosecution, or
custody or confinement after conviction,
under the laws of the place from which the
764
individual flees, for a crime, or attempt to
commit a crime, which is a felony under
the laws of the place from which the indi-
vidual flees, or which, in the case of the
State of New Jersey, is a high mis-
demeanor under the laws of such State; or
‘‘(ii) is violating a condition of proba-
tion or parole imposed under Federal or
State law; or
‘‘(iii) has information that is nec-
essary for the officer to conduct the offi-
cer’s official duties;
‘‘(B) the location or apprehension of the
recipient is within such officer’s official duties;
and
‘‘(C) the request is made in the proper ex-
ercise of the officer’s official duties.’’.
SEC. 1103. SENSE OF THE SENATE REGARDING ENTER-
PRISE ZONES.
(a) FINDINGS.—The Senate finds that:
(1) Many of the Nation’s urban centers are
places with high levels of poverty, high rates of wel-
fare dependency, high crime rates, poor schools, and
joblessness;
765
(2) Federal tax incentives and regulatory re-
forms can encourage economic growth, job creation
and small business formation in many urban centers;
(3) Encouraging private sector investment in
America’s economically distressed urban and rural
areas is essential to breaking the cycle of poverty
and the related ills of crime, drug abuse, illiteracy,
welfare dependency, and unemployment;
(4) The empowerment zones enacted in 1993
should be enhanced by providing incentives to in-
crease entrepreneurial growth, capital formation, job
creation, educational opportunities, and home owner-
ship in the designated communities and zones.
(b) SENSE OF THE SENATE.—Therefore, it is the
Sense of the Senate that the Congress should adopt enter-
prise zone legislation in the One Hundred Fourth Con-
gress, and that such enterprise zone legislation provide the
following incentives and provisions:
(1) Federal tax incentives that expand access to
capital, increase the formation and expansion of
small businesses, and promote commercial revitaliza-
tion;
(2) Regulatory reforms that allow localities to
petition Federal agencies, subject to the relevant
agencies’ approval, for waivers or modifications of
766
regulations to improve job creation, small business
formation and expansion, community development,
or economic revitalization objectives of the enterprise
zones;
(3) Home ownership incentives and grants to
encourage resident management of public housing
and home ownership of public housing;
(4) School reform pilot projects in certain des-
ignated enterprise zones to provide low-income par-
ents with new and expanded educational options for
their children’s elementary and secondary schooling.
SEC. 1104. SENSE OF THE SENATE REGARDING THE IN-
ABILITY OF THE NON-CUSTODIAL PARENT TO
PAY CHILD SUPPORT.
It is the sense of the Senate that—
(a) States should diligently continue their efforts to
enforce child support payments by the non-custodial par-
ent to the custodial parent, regardless of the employment
status or location of the non-custodial parent; and
(b) States are encouraged to pursue pilot programs
in which the parents of a non-adult, non-custodial parent
who refuses to or is unable to pay child support must—
(1) pay or contribute to the child support owed
by the non-custodial parent; or
767
(2) otherwise fulfill all financial obligations and
meet all conditions imposed on the non-custodial
parent, such as participation in a work program or
other related activity.
SEC. 1105. FOOD STAMP ELIGIBILITY.
Section 6(f) of the Food Stamp Act of 1977 (7
U.S.C. 2015(f)) is amended by striking the third sentence
and inserting the following:
‘‘The State agency shall, at its option, consider either
all income and financial resources of the individual ren-
dered ineligible to participate in the food stamp program
under this subsection, or such income, less a pro rata
share, and the financial resources of the ineligible individ-
ual, to determine the eligibility and the value of the allot-
ment of the household of which such individual is a mem-
ber.’’.
SEC. 1106. ESTABLISHING NATIONAL GOALS TO PREVENT
TEENAGE PREGNANCIES.
(a) IN GENERAL.—Not later than January 1, 1997,
the Secretary of Health and Human Services shall estab-
lish and implement a strategy for—
(1) preventing out-of-wedlock teenage preg-
nancies, and
768
(2) assuring that at least 25 percent of the
communities in the United States have teenage preg-
nancy prevention programs in place.
(b) REPORT.—Not later than June 30, 1998, and an-
nually thereafter, the Secretary shall report to the Con-
gress with respect to the progress that has been made in
meeting the goals described in paragraphs (1) and (2) of
subsection (a).
SEC. 1107. SENSE OF THE SENATE REGARDING ENFORCE-
MENT OF STATUTORY RAPE LAWS.
It is the sense of the Senate that States and local
jurisdictions should aggressively enforce statutory rape
laws.
SEC. 1108. SANCTIONING FOR TESTING POSITIVE FOR
CONTROLLED SUBSTANCES.
Notwithstanding any other provision of law, States
shall not be prohibited by the Federal Government from
sanctioning welfare recipients who test positive for use of
controlled substances.
SEC. 1109. ABSTINENCE EDUCATION.
(a) INCREASES IN FUNDING.—Section 501(a) of the
Social Security Act (42 U.S.C. 701(a)) is amended in the
matter preceding paragraph (1) by striking ‘‘Fiscal year
1990 and each fiscal year thereafter’’ and inserting ‘‘Fis-
769
cal years 1990 through 1995 and $761,000,000 for fiscal
year 1996 and each fiscal year thereafter’’.
(b) ABSTINENCE EDUCATION.—Section 501(a)(1) of
such Act (42 U.S.C. 701(a)(1)) is amended—
(1) in subparagraph (C), by striking ‘‘and’’ at
the end;
(2) in subparagraph (D), by adding ‘‘and’’ at
the end; and
(3) by adding at the end the following new sub-
paragraph:
‘‘(E) to provide abstinence education, and
at the option of the State, where appropriate,
mentoring, counseling, and adult supervision to
promote abstinence from sexual activity, with a
focus on those groups which are most likely to
bear children out-of-wedlock.’’.
(c) ABSTINENCE
EDUCATION
DEFINED.—Section
501(b) of such Act (42 U.S.C. 701(b)) is amended by add-
ing at the end the following new paragraph:
‘‘(5) ABSTINENCE EDUCATION.—For purposes
of this subsection, the term ‘abstinence education’
means an educational or motivational program
which—
770
‘‘(A) has as its exclusive purpose, teaching
the social, psychological, and health gains to be
realized by abstaining from sexual activity;
‘‘(B) teaches abstinence from sexual activ-
ity outside marriage as the expected standard
for all school age children;
‘‘(C) teaches that abstinence from sexual
activity is the only certain way to avoid out-of-
wedlock pregnancy, sexually transmitted dis-
eases, and other associated health problems;
‘‘(D) teaches that a mutually faithful
monogamous relationship in context of marriage
is the expected standard of human sexual activ-
ity;
‘‘(E) teaches that sexual activity outside of
the context of marriage is likely to have harm-
ful psychological and physical effects;
‘‘(F) teaches that bearing children out-of-
wedlock is likely to have harmful consequences
for the child, the child’s parents, and society;
‘‘(G) teaches young people how to reject
sexual advances and how alcohol and drug use
increases vulnerability to sexual advances; and
771
‘‘(H) teaches the importance of attaining
self-sufficiency before engaging in sexual activ-
ity.’’.
(d) SET-ASIDE.—
(1) IN GENERAL.—Section 502(c) of such Act
(42 U.S.C. 702(c)) is amended in the matter preced-
ing paragraph (1) by striking ‘‘From’’ and inserting
‘‘Except as provided in subsection (e), from’’.
(2) SET-ASIDE.—Section 502 of such Act (42
U.S.C. 702) is amended by adding at the end the
following new subsection:
‘‘(e) Of the amounts appropriated under section
501(a) for any fiscal year, the Secretary shall set aside
$75,000,000 for abstinence education in accordance with
section 501(a)(1)(E).’’.
SEC. 1110. PROVISIONS TO ENCOURAGE ELECTRONIC BEN-
EFIT TRANSFER SYSTEMS.
Section 904 of the Electronic Fund Transfer Act (15
U.S.C. 1693b) is amended—
(1) by striking ‘‘(d) In the event’’ and inserting
‘‘(d) 
APPLICABILITY
TO
SERVICE
PROVIDERS
OTHER
THAN
CERTAIN
FINANCIAL
INSTITU-
TIONS.—
‘‘(1) IN GENERAL.—In the event’’; and
772
(2) by adding at the end the following new
paragraph:
‘‘(2) STATE AND LOCAL GOVERNMENT ELEC-
TRONIC BENEFIT TRANSFER PROGRAMS.—
‘‘(A) EXEMPTION
GENERALLY.—The dis-
closures, protections, responsibilities, and rem-
edies established under this title, and any regu-
lation prescribed or order issued by the Board
in accordance with this title, shall not apply to
any electronic benefit transfer program estab-
lished under State or local law or administered
by a State or local government.
‘‘(B) EXCEPTION
FOR
DIRECT
DEPOSIT
INTO
RECIPIENT’S
ACCOUNT.—Subparagraph
(A) shall not apply with respect to any elec-
tronic funds transfer under an electronic benefit
transfer program for deposits directly into a
consumer account held by the recipient of the
benefit.
‘‘(C) RULE OF CONSTRUCTION.—No provi-
sion of this paragraph may be construed as—
‘‘(i) affecting or altering the protec-
tions otherwise applicable with respect to
benefits established by Federal, State, or
local law; or
773
‘‘(ii) otherwise superseding the appli-
cation of any State or local law.
‘‘(D) ELECTRONIC
BENEFIT
TRANSFER
PROGRAM
DEFINED.—For purposes of this
paragraph, the term ‘electronic benefit transfer
program’—
‘‘(i) means a program under which a
government agency distributes needs-tested
benefits by establishing accounts to be
accessed by recipients electronically, such
as through automated teller machines, or
point-of-sale terminals; and
‘‘(ii) does not include employment-re-
lated payments, including salaries and pen-
sion, retirement, or unemployment benefits
established by Federal, State, or local gov-
ernments.’’.
SEC. 1111. REDUCTION IN BLOCK GRANTS TO STATES FOR
SOCIAL SERVICES.
Section 2003(c) of the Social Security Act (42 U.S.C.
1397b(c)) is amended—
(1) by striking ‘‘and’’ at the end of paragraph
(4); and
(2) by striking paragraph (5) and inserting the
following:
774
‘‘(5) $2,800,000,000 for each of the fiscal years
1990 through 1996;
‘‘(6) $2,380,000,000 for the fiscal year 1997;
‘‘(7) $2,240,000,000 for each of the fiscal years
1997 through 2002; and
‘‘(8) $2,380,000,000 for the fiscal year 2003
and each succeeding fiscal year.’’.
DIVISION B—RESTRUCTURING
MEDICAID
SEC. 2001. SHORT TITLE OF DIVISION.
This division may be cited as the ‘‘Medicaid Restruc-
turing Act of 1996’’.
SEC. 2002. FINDING; GOALS FOR MEDICAID RESTRUCTUR-
ING.
(a) FINDING.—The Congress finds that the National
Governors’ Association on February 6, 1996, adopted
unanimously and on a bipartisan basis goals to guide the
restructuring of the medicaid program.
(b) GOALS FOR RESTRUCTURING.—The following are
the 4 primary goals so adopted:
(1) The basic health care needs of the nation’s
most vulnerable populations must be guaranteed.
(2) The growth in health care expenditures
must be brought under control.
775
(3) States must have maximum flexibility in the
design and implementation of cost-effective systems
of care.
(4) States must be protected from unantici-
pated program costs resulting from economic fluc-
tuations in the business cycle, changing demo-
graphics, and natural disasters.
SEC. 2003. RESTRUCTURING THE MEDICAID PROGRAM.
The Social Security Act is amended by inserting after
title XIV the following new title:
‘‘TITLE XV—PROGRAM OF MEDICAL ASSISTANCE FOR LOW-
INCOME INDIVIDUALS AND FAMILIES
‘‘TABLE OF CONTENTS OF TITLE
‘‘Sec. 1500. Purpose; State plans.
‘‘PART A—ELIGIBILITY AND BENEFITS
‘‘Sec. 1501. Guaranteed eligibility and benefits.
‘‘Sec. 1502. Other provisions relating to eligibility and benefits.
‘‘Sec. 1503. Premiums and cost-sharing.
‘‘Sec. 1504. Description of process for developing capitation payment rates.
‘‘Sec. 1505. Preventing spousal impoverishment.
‘‘Sec. 1506. Preventing family impoverishment.
‘‘Sec. 1507. State flexibility.
‘‘Sec. 1508. Private rights of action.
‘‘PART B—PAYMENTS TO STATES
‘‘Sec. 1511. Allotment of funds among States.
‘‘Sec. 1512. Payments to States.
‘‘Sec. 1513. Limitation on use of funds; disallowance.
‘‘PART C—ESTABLISHMENT AND AMENDMENT OF STATE PLANS
‘‘Sec. 1521. Description of strategic objectives and performance goals.
‘‘Sec. 1522. Annual reports.
‘‘Sec. 1523. Periodic, independent evaluations.
‘‘Sec. 1524. Description of process for State plan development.
‘‘Sec. 1525. Consultation in State plan development.
‘‘Sec. 1526. Submittal and approval of State plans.
‘‘Sec. 1527. Submittal and approval of plan amendments.
‘‘Sec. 1528. Process for State withdrawal from program.
‘‘Sec. 1529. Sanctions for noncompliance.
776
‘‘Sec. 1530. Secretarial authority.
‘‘PART D—PROGRAM INTEGRITY AND QUALITY
‘‘Sec. 1551. Use of audits to achieve fiscal integrity.
‘‘Sec. 1552. Fraud prevention program.
‘‘Sec. 1553. Information concerning sanctions taken by State licensing authori-
ties against health care practitioners and providers.
‘‘Sec. 1554. State fraud control units.
‘‘Sec. 1555. Recoveries from third parties and others.
‘‘Sec. 1556. Assignment of rights of payment.
‘‘Sec. 1557. Quality assurance requirements for nursing facilities.
‘‘Sec. 1558. Other provisions promoting program integrity.
‘‘PART E—GENERAL PROVISIONS
‘‘Sec. 1571. Definitions.
‘‘Sec. 1572. Treatment of territories.
‘‘Sec. 1573. Description of treatment of Indian Health Service facilities.
‘‘Sec. 1574. Application of certain general provisions.
‘‘Sec. 1575. Optional master drug rebate agreements.
‘‘SEC. 1500. PURPOSE; STATE PLANS.
‘‘(a) PURPOSE.—The purpose of this title is to pro-
vide funds to States to enable them to provide medical
assistance to low-income individuals and families in a
more effective, efficient, and responsive manner.
‘‘(b) STATE PLAN REQUIRED.—A State is not eligible
for payment under section 1512 unless the State has sub-
mitted to the Secretary under part C a plan (in this title
referred to as a ‘State plan’) that—
‘‘(1) sets forth how the State intends to use the
funds provided under this title to provide medical as-
sistance to needy individuals and families consistent
with the provisions of this title, and
‘‘(2) is approved under such part.
‘‘(c) CONTINUED APPROVAL.—An approved State
plan shall continue in effect unless and until—
777
‘‘(1) the State amends the plan under section
1527,
‘‘(2) the State terminates participation under
this title under section 1528, or
‘‘(3) the Secretary finds substantial noncompli-
ance of the plan with the requirements of this title
under section 1529.
‘‘(d) STATE ENTITLEMENT.—This title constitutes
budget authority in advance of appropriations Acts and
represents the obligation of the Federal Government to
provide for the payment to States of amounts provided
under part B.
‘‘(e) EFFECTIVE DATE.—No State is eligible for pay-
ments under section 1512 for any calendar quarter begin-
ning before October 1, 1996.
‘‘PART A—ELIGIBILITY AND BENEFITS
‘‘SEC. 1501. GUARANTEED ELIGIBILITY AND BENEFITS.
‘‘(a) GUARANTEED COVERAGE AND BENEFITS FOR
CERTAIN POPULATIONS.—
‘‘(1) IN GENERAL.—Each State plan shall pro-
vide for making medical assistance available for ben-
efits in the guaranteed benefit package (as defined
in paragraph (2) and as subject to subsection (d))
to individuals within each of the following categories:
778
‘‘(A) POOR PREGNANT WOMEN.—Pregnant
women with family income below 133 percent of
the poverty line.
‘‘(B) 
CHILDREN
UNDER
6.—Children
under 6 years of age whose family income does
not exceed 133 percent of the poverty line.
‘‘(C) CHILDREN 6 TO 12.—Children over 5
years of age, but under 13 years of age, whose
family income does not exceed 100 percent of
the poverty line.
‘‘(D) DISABLED INDIVIDUALS.—As elected
by the State under paragraph (3), either—
‘‘(i) disabled individuals (as defined
by the State) who meet the income and re-
source standards established under the
plan, or
‘‘(ii) individuals who are under 65
years of age, who are disabled (as deter-
mined under section 1614(a)(3)), and who
meet the income and resource standards
for the payment of supplemental security
income benefits under title XVI.
‘‘(E) POOR ELDERLY INDIVIDUALS.—Sub-
ject to paragraph (4), elderly individuals who
meet the income and resource standards for the
779
payment of supplemental security income bene-
fits under title XVI.
‘‘(F) CHILDREN RECEIVING FOSTER CARE
OR
ADOPTION
ASSISTANCE.—Subject to para-
graph (5), children who meet the requirements
for receipt of foster care maintenance payments
or adoption assistance under title IV.
‘‘(G) CERTAIN
LOW-INCOME
FAMILIES.—
Subject to paragraph (6), individuals and mem-
bers of families who meet current AFDC in-
come and resource standards (as defined in
paragraph (6)(C)) in the State.
‘‘(2) GUARANTEED
BENEFITS
PACKAGE.—In
this title, the term ‘guaranteed benefit package’
means benefits (in an amount, duration, and scope
specified under the State plan) for at least the fol-
lowing categories of services:
‘‘(A) Inpatient and outpatient hospital
services.
‘‘(B) Physicians’ surgical and medical serv-
ices.
‘‘(C) Laboratory and x-ray services.
‘‘(D) Nursing facility services.
‘‘(E) Home health care.
780
‘‘(F) Federally-qualified health center serv-
ices and rural health clinic services, during the
first 8 quarters in which this title is in effect
in a State.
‘‘(G) Immunizations for children (in ac-
cordance with a schedule for immunizations es-
tablished by the Health Department of the
State in consultation with the State agency re-
sponsible for the administration of the plan).
‘‘(H) Prepregnancy family planning serv-
ices and supplies (as specified by the State).
‘‘(I) Prenatal care.
‘‘(J) Pediatric and family nurse practi-
tioner services and nurse midwife services.
‘‘(K) EPSDT services (as defined in sec-
tion 1571(e)) for individuals who are under the
age of 21.
A State may establish criteria, including utilization
review, and cost effectiveness of alternative covered
services, for purposes of specifying the amount, du-
ration, and scope of benefits provided under the
State plan.
‘‘(3) STATE ELECTION OF DISABLED INDIVID-
UALS TO BE GUARANTEED COVERAGE.—
781
‘‘(A) IN
GENERAL.—Each State shall
specify in its State plan, before the beginning of
each Federal fiscal year, whether to guarantee
coverage of disabled individuals under the plan
under the option described in paragraph
(1)(D)(i) or under the option described in para-
graph (1)(D)(ii). An election under this para-
graph shall continue in effect for the subse-
quent fiscal year unless the election is changed
before the beginning of the fiscal year.
‘‘(B) CONSEQUENCES OF ELECTION.—
‘‘(i) STATE FLEXIBLE DEFINITION OP-
TION.—If a State elects the option de-
scribed in paragraph (1)(D)(i) for a fiscal
year—
‘‘(I) the State plan must provide
under section 1502(c) for a set aside
of funds for disabled individuals for
the fiscal year, and
‘‘(II) disabled individuals are not
taken into account in determining a
State supplemental umbrella allotment
under section 1511(g).
782
‘‘(ii) SSI DEFINITION OPTION.—If a
State elects the option described in para-
graph (1)(D)(ii) for a fiscal year—
‘‘(I) section 1502(c) shall not
apply for the fiscal year, and
‘‘(II) the State is eligible for an
increase under section 1511(g) in its
outlay allotment for the fiscal year
based on an increase in the number of
guaranteed and optional disabled indi-
viduals covered under the plan.
‘‘(4) CONTINUATION OF SPECIAL ELIGIBILITY
STANDARDS FOR SECTION 209(b) STATES.—
‘‘(A) IN
GENERAL.—A section 209(b)
State (as defined in subparagraph (B)) may
elect to treat any reference in paragraph (1)(E)
to ‘elderly individuals who meet the income and
resource standards for the payment of supple-
mental security income benefits under title
XVI’ as a reference to ‘elderly individuals who
meet the standards described in the first sen-
tence of section 1902(f) (as in effect on the day
before the date of the enactment of this title)’.
‘‘(B) SECTION 209(b) STATE DEFINED.—In
subparagraph (A), the term ‘section 209(b)
783
State’ means a State to which section 1902(f)
applied as of the day before the date of the en-
actment of this title.
(5) OPTION FOR APPLICATION OF CURRENT RE-
QUIREMENTS
FOR
CERTAIN
CHILDREN.—A State
may elect to apply paragraph (1)(F) by treating any
reference to ‘requirements for receipt of foster care
maintenance payments or adoption assistance under
title IV’ as a reference to ’requirements for receipt
of foster care maintenance payments or adoption as-
sistance as in effect under its State plan under part
E of title IV as of the date of the enactment of this
title’.
‘‘(6) SPECIAL RULES FOR LOW-INCOME FAMI-
LIES.—
‘‘(A) OPTIONAL USE OF LOWER NATIONAL
AVERAGE STANDARDS.—In the case of a State
in which the current AFDC income and re-
source standards are above the national average
of the current AFDC income and resource
standards for the 50 States and the District of
Columbia, as determined and published by the
Secretary, in applying paragraph (1)(G), the
State may elect to substitute such national av-
erage income and resource standards for the
784
current AFDC income and resource standards
in that State.
‘‘(B) OPTIONAL
ELIGIBILITY
BASED
ON
LINK TO OTHER ASSISTANCE.—
‘‘(i) IN GENERAL.—Subject to clause
(ii), in the case of a State which maintains
a link between eligibility for aid or assist-
ance under one or more parts of title IV
and eligibility for medical assistance under
this title, in applying paragraph (1)(G),
the State may elect to treat any reference
in such paragraph to ‘individuals and
members of families who meet current
AFDC income and resource standards in
the State’ as a reference to ‘members of
families who are receiving assistance under
a State plan under part A or E of title IV’.
‘‘(ii) LIMITATION
ON
ELECTION.—A
State may only make the election described
in clause (i) if, and so long as, the State
demonstrates to the satisfaction of the Sec-
retary that the such election does not re-
sult in Federal expenditures under this
title (taking into account any supplemental
amounts provided pursuant to section