‘‘(I) consists of the entities car-
rying out a majority of the sexual as-
sault programs carried out in a State;
‘‘(II) collaborates and coordinates
activities with Federal, State, and
local entities to further the purposes
of sexual assault intervention and pre-
vention; and
‘‘(III) among other activities,
provides training and technical assist-
ance to entities carrying out sexual
assault programs in a State, territory,
political subdivision, or area under
Federal authority.
‘‘(iii) VICTIM
SERVICES
ORGANIZA-
TION.—The term ‘victim services organiza-
tion’ means a nonprofit, nongovernmental
organization that provides assistance to
victims of domestic or sexual violence or to
advocates for such victims, including a
rape crisis center, an organization carrying
out a domestic violence program, an orga-
nization operating a shelter or providing
counseling services, or an organization pro-
viding assistance through the legal process.
‘‘(iv) LICENSED
QUALIFIED
MENTAL
HEALTH
SERVICE
PROVIDER.—The term
‘licensed qualified mental health service
provider’ means a psychiatrist, clinical psy-
chologist, clinical social worker, community
mental health counselor, or other licensed
individual who has appropriate training in
the diagnosis and treatment of mental ill-
ness in children, adolescents, and adults or
provides mental health services reimbursed
under title XVIII or a State plan approved
under title XIX.
‘‘(v) QUALIFIED PROFESSIONAL.—The
term ‘qualified professional’ means—
‘‘(I) with respect to a disability, a
physician or other licensed medical
provider;
‘‘(II) with respect to substance
abuse, a licensed drug counselor or
clinician with expertise in the assess-
ment and treatment of parents with
drug addiction issues, who may be af-
filiated with an out-patient or residen-
tial family drug or alcohol treatment
program; or
‘‘(III) with respect to domestic or
sexual violence—
‘‘(aa) a State or tribal do-
mestic violence coalition or sexual
assault coalition; or
‘‘(bb) a State or local victim
services organization with recog-
nized expertise in the dynamics
of domestic or sexual violence
whose primary mission is to pro-
vide services to victims of domes-
tic or sexual violence, such as a
rape crisis center or domestic vio-
lence program.
‘‘(8) CERTIFICATION REGARDING ASSESSMENT
OF REGIONAL ECONOMIES AND INFORMING LOCAL-
ITIES OF SECTORAL LABOR SHORTAGES.—A certifi-
cation by the chief executive officer of the State
that, during the fiscal year, the State will assess its
regional economies and provide information to polit-
ical subdivisions of the State about the industrial
sectors that are experiencing a labor shortage and
that provide higher entry-level wage opportunities
for unemployed and underemployed job seekers.’’.
SEC. 103. FUNDING.
(a) FAMILY ASSISTANCE GRANT.—Section 403(a)(1)
(42 U.S.C. 603(a)(1)) is amended in each of subpara-
graphs (A) and (E) by striking ‘‘1996, 1997, 1998, 1999,
2000, 2001, and 2002’’ and inserting ‘‘1996 through
2008’’.
(b) REPLACEMENT
OF BONUS TO REWARD DE-
CREASE IN ILLEGITIMACY RATIO WITH CHILD POVERTY
REDUCTION
BONUS.—Section 403(a)(2) (42 U.S.C.
603(a)) is amended to read as follows:
‘‘(2) BONUS TO REWARD STATES THAT REDUCE
CHILD POVERTY.—
‘‘(A) IN GENERAL.—Beginning with fiscal
year 2003, the Secretary shall make a grant
pursuant to this paragraph to each State for
each fiscal year for which the State is a quali-
fied child poverty reduction State.
‘‘(B) AMOUNT OF GRANT.—
‘‘(i) IN
GENERAL.—Subject to this
subparagraph, the amount of the grant to
be made to a qualified child poverty reduc-
tion State for a fiscal year shall be an
amount equal to—
‘‘(I) the number of children who
had not attained 18 years of age by
the end of the then most recently
completed calendar year and who re-
sided in the State as of the end of
such calendar year, divided by the
number of such children who resided
in the United States as of the end of
such calendar year; multiplied by
‘‘(II) the amount appropriated
pursuant to subparagraph (F) for the
fiscal year.
‘‘(ii) LIMITATIONS.—
‘‘(I) 
MINIMUM
GRANT.—The
amount of the grant to be made to a
qualified child poverty reduction State
for a fiscal year shall be not less than
$1,000,000.
‘‘(II) 
MAXIMUM
GRANT.—The
amount of the grant to be made to a
qualified child poverty reduction State
for a fiscal year shall not exceed an
amount equal to 5 percent of the
State family assistance grant for the
fiscal year.
‘‘(iii) PRO
RATA
INCREASE.—If the
amount available for grants under this
paragraph for a fiscal year is greater than
the total amount of payments otherwise re-
quired to be made under this paragraph
for the fiscal year, then the amount other-
wise payable to any State for the fiscal
year under this paragraph shall, subject to
clause (ii)(II), be increased by such equal
percentage as may be necessary to ensure
that the total of the amounts payable for
the fiscal year under this paragraph equals
the amount available for the grants.
‘‘(iv) PRO RATA REDUCTION.—If the
amount available for grants under this
paragraph for a fiscal year is less than the
total amount of payments otherwise re-
quired to be made under this paragraph
for the fiscal year, then the amount other-
wise payable to any State for the fiscal
year under this paragraph shall, subject to
clause (ii)(I), be reduced by such equal
percentage as may be necessary to ensure
that the total of the amounts payable for
the fiscal year under this paragraph equals
the amount available for the grants.
‘‘(C) USE OF GRANT.—A State to which a
grant is made under this paragraph shall use
the grant for any purpose for which a grant
made under this part may be used.
‘‘(D) DEFINITIONS.—In this paragraph:
‘‘(i) QUALIFIED CHILD POVERTY RE-
DUCTION
STATE.—The term ‘qualified
child poverty reduction State’ means, with
respect to a fiscal year, a State if—
‘‘(I) 
the 
child 
poverty 
rate
achieved by the State for the then
most recently completed calendar year
for which such information is avail-
able is less than the lowest child pov-
erty rate achieved by the State during
the applicable period; and
‘‘(II) the average depth of child
poverty in the State for the then most
recently completed calendar year for
which such information is available is
not greater than the average depth of
child poverty in the State for the cal-
endar year that precedes such then
most 
recently 
completed 
calendar
year.
‘‘(ii) APPLICABLE PERIOD.—In clause
(i), the term ‘applicable period’ means,
with respect to a State and the calendar
year referred to in clause (i)(I), the period
that—
‘‘(I) begins with the calendar
year that, as of October 1, 2002, pre-
cedes the then most recently com-
pleted calendar year for which such
information is available; and
‘‘(II) ends with the calendar year
that precedes the calendar year re-
ferred to clause (i)(I).
‘‘(iii) CHILD
POVERTY
RATE.—The
term ‘child poverty rate’ means, with re-
spect to a State and a calendar year, the
percentage of children residing in the State
during the calendar year whose family in-
come for the calendar year is less than the
poverty line then applicable to the family.
‘‘(iv) AVERAGE DEPTH OF CHILD POV-
ERTY.—The term ‘average depth of child
poverty’ means with respect to a State and
a calendar year, the average dollar amount
by which family income is exceeded by the
poverty line, among children in the State
whose family income for the calendar year
is less than the applicable poverty line.
‘‘(v) POVERTY LINE.—The term ‘pov-
erty line’ has the meaning given the term
in section 673(2) of the Omnibus Budget
Reconciliation Act of 1981, including any
revision required by such section applicable
to a family of the size involved.
‘‘(E) FAMILY INCOME DETERMINATIONS.—
For purposes of this paragraph, family income
includes cash income, child support payments,
government cash payments, and benefits under
the Food Stamp Act of 1977 that are received
by any family member, and family income shall
be determined after payment of all taxes and
receipt of any tax refund or rebate by any fam-
ily member.
‘‘(F) APPROPRIATIONS.—
‘‘(i) IN GENERAL.—Out of any money
in the Treasury of the United States not
otherwise appropriated, there are appro-
priated for fiscal year 2003 and each fiscal
year thereafter $150,000,000 for grants
under this paragraph.
‘‘(ii) AVAILABILITY.—Amounts made
available under clause (i) shall remain
available until expended.’’.
(c) SUPPLEMENTAL GRANT FOR POPULATION IN-
CREASES IN CERTAIN STATES.—Section 403(a)(3) (42
U.S.C. 603(a)) is amended—
(1) in subparagraph (A)(ii), by striking ‘‘,
2000, and 2001’’ and inserting ‘‘through 2008’’;
(2) by striking subparagraphs (C) and (D) and
inserting the following:
‘‘(C) QUALIFYING
STATE.—For purposes
of this paragraph, a State is a qualifying State
for a fiscal year if rate at which the population
of the State with income less than 200 percent
of the poverty line has increased (as determined
by the Bureau of the Census) for the most re-
cent fiscal year for which information is avail-
able exceeds the such rate for all States (as so
determined) for such most recent fiscal year.
‘‘(D) STATE DEFINED.—In this paragraph,
the term ‘State’ means each of the 50 States of
the United States, the District of Columbia,
Puerto Rico, the United States Virgin Islands,
and Guam.’’; and
(3) in subparagraph (E)—
(A) by striking ‘‘1998, 1999, 2000, and
2001’’ and inserting ‘‘2003 through 2008’’; and
(B) by striking ‘‘$800,000,000’’ and in-
serting ‘‘$2,000,000,000’’.
(d) AMENDMENT OF BONUS TO REWARD HIGH PER-
FORMANCE
STATES.—Section 403(a)(4) (42 U.S.C.
603(a)(4)) is amended to read as follows:
‘‘(4) BONUS TO REWARD HIGH PERFORMANCE
STATES.—
‘‘(A) IN
GENERAL.—The Secretary shall
make a grant pursuant to this paragraph to
each State for each bonus year for which the
State is a high performing State with respect to
a category described in subparagraph (C).
‘‘(B) AMOUNT OF GRANT.—
‘‘(i) IN GENERAL.—Subject to clause
(ii) of this subparagraph, the Secretary
shall determine the amount of the grant
payable under this paragraph to a high
performing State for a bonus year with re-
spect to a category, which shall be based
on the score assigned to the State under
subparagraph (D)(i) with respect to the
category for the fiscal year that imme-
diately precedes the bonus year.
‘‘(ii) LIMITATION.—The total of the
amounts payable to a State under this
paragraph for a bonus year shall not ex-
ceed 5 percent of the State family assist-
ance grant.
‘‘(C) FORMULA
FOR
MEASURING
STATE
PERFORMANCE.—Not later than October 1,
2003, the Secretary shall, in consultation with
affected groups, including recipient groups and
State governors, issue regulations implementing
criteria for awarding of bonuses under this
paragraph in the following categories:
‘‘(i) PREPARATION
AND
PLACEMENT
OF
RECIPIENTS
IN
EMPLOYMENT
THAT
WILL MOVE FAMILIES OUT OF POVERTY.—
The degree of success in implementing em-
ployment-related measures, including job
entry, job retention and earnings gain
rates, improvement in each of such meas-
ures, and the success of States in—
‘‘(I) 
meeting 
self-sufficiency
needs for welfare leavers;
‘‘(II) training, placing and re-
taining welfare leavers in higher-
waged jobs identified in the assess-
ment most recently submitted by the
State pursuant to section 411(d);
‘‘(III) training, placing and re-
taining welfare leavers in technical,
professional, or nontraditional occupa-
tions for women;
‘‘(IV) providing career develop-
ment assistance related to higher-
waged jobs including reliable, up-to-
date career counseling services, em-
ployability assessments on available
employment that pays a sustainable
wage, nontraditional training and edu-
cation options, and employment op-
portunities;
‘‘(V) encouraging participation in
post-secondary educational programs;
‘‘(VI) encouraging use of effec-
tive literacy programs that strengthen
basic skills in the context of employ-
ment; and
‘‘(VII) encouraging participation
in vocational education programs for
occupations identified in the assess-
ment most recently submitted by the
State pursuant to section 411(d).
‘‘(ii) REMOVAL OF BARRIERS TO SELF
SUFFICIENCY.—The degree of success in
removing mental health, substance abuse,
disability, or domestic or sexual violence
barriers to escaping poverty, which shall be
based on an equal weighting of the fol-
lowing:
‘‘(I) NOTIFICATION.—The per-
centage of individuals receiving assist-
ance under this part who report hav-
ing been notified of the option to be
assessed for and receive services to
manage a barrier to escaping poverty.
A State shall not be eligible for a
grant under this paragraph with re-
spect to the category described in this
subparagraph unless at least 75 per-
cent of the individuals surveyed by the
State respond in the affirmative to the
question of whether the individual has
received the notification.
‘‘(II) TRAINING.—The percent-
age of caseworkers, supervisors, and
new employees who have been trained
in a curriculum developed by or in col-
laboration with qualified professionals
in each of mental health, substance
abuse, disability, or domestic or sexual
violence services. A State shall not be
eligible for a grant under this para-
graph with respect to the category de-
scribed in this subparagraph unless at
least 80 percent of the caseworkers,
supervisors, and employees admin-
istering the State program funded
under this part have been trained in
the curriculum.
‘‘(III) ASSESSMENT
AND
SERV-
ICES.—The State must certify that
the State has contracts with or em-
ploys qualified professionals in mental
health, substance abuse, disability, or
domestic or sexual violence services,
and that the contract requires that
where an individual has multiple bar-
riers the professional service providers
will collaborate to provide the indi-
vidual holistic services.
‘‘(iii) PROVISION
OF
WORK
SUP-
PORTS.—The extent to which the State has
increased the percentages described to in
the following subclauses in comparison to
the percentages achieved in fiscal year
2001:
‘‘(I) FOOD STAMPS MEASURES.—
Of the number of families with chil-
dren in the State who are eligible to
receive food stamp benefits under the
Food Stamp Act of 1977, the percent-
age who receive such benefits.
‘‘(II) 
MEDICAID
AND
SCHIP
MEASURES.—Of the individuals who
have ceased receiving assistance under
the State program funded under this
part for 4 or more months, and are el-
igible to receive medical assistance
under a State plan approved under
title XIX or the child health assist-
ance under a State plan approved
under title XXI, the percentage who
receive such medical or child health
assistance.
‘‘(III) CHILD CARE MEASURES.—
Of the children in the State who meet
the maximum allowable Federal eligi-
bility requirements for benefits under
the Child Care and Development
Block Grant Act of 1990, the percent-
age who receive such benefits, includ-
ing any such children who receive
child care benefits provided with addi-
tional State or Federal funds, includ-
ing Head Start Funds. In taking the
percentage into account for purposes
of this clause, the Secretary shall also
consider (aa) the affordability of child
care subsidies by including a compari-
son of co-payment rates charged to el-
igible families, and (bb) the propor-
tion of market rates paid to providers
of subsidized child care as determined
by a market rate survey that was
taken not more than 2 years earlier.
‘‘(D) SCORING OF STATE PERFORMANCE;
SETTING
OF
PERFORMANCE
THRESHOLDS.—
For each bonus year, the Secretary shall—
‘‘(i) use the formula developed under
subparagraph (C) for a measure to assign
a score to each eligible State with respect
to the measure for the fiscal year that im-
mediately precedes the bonus year; and
‘‘(ii) prescribe a performance thresh-
old for each such measure in such a man-
ner so as to ensure that—
‘‘(I) the total amount of grants
to be made under this paragraph with
respect to a measure for a bonus year
is not less than $60,000,000;
‘‘(II) the average annual total
amount of grants to be made under
this paragraph for each bonus year
equals $260,000,000; and
‘‘(III) the total amount of grants
to be made under this paragraph for
all 
bonus 
years 
equals
$1,820,000,000.
‘‘(E) DEFINITIONS.—In this paragraph:
‘‘(i) BONUS YEAR.—The term ‘bonus
year’ means fiscal years 2002 through
2008.
‘‘(ii) HIGH PERFORMING STATE.—The
term ‘high performing State’ means, with
respect to a measure and a bonus year, an
eligible State whose score assigned pursu-
ant to subparagraph (D)(i) with respect to
the measure for the fiscal year immediately
preceding the bonus year equals or exceeds
the 
performance 
threshold 
prescribed
under subparagraph (D)(ii) with respect to
the measure for such preceding fiscal year.
‘‘(F) APPROPRIATION.—Out of any money
in the Treasury of the United States not other-
wise appropriated, there are appropriated for
fiscal years 2002 through 2008 $1,820,000,000
for grants under this paragraph.’’.
(e) ELIMINATION OF WELFARE-TO-WORK GRANTS.—
(1) IN GENERAL.—
(A) GRANTS TO STATES.—Section 403(a)
(42 U.S.C. 603(a)) is amended by striking
paragraph (5).
(B) GRANTS TO INDIAN TRIBES.—Section
412(a) (42 U.S.C. 612(a)) is amended by strik-
ing paragraph (3).
(2) CONFORMING AMENDMENTS.—
(A) Section 413 (42 U.S.C. 613) is amend-
ed by striking subsection (j).
(B) Section 510 (42 U.S.C. 710) is re-
pealed.
(C) Section 404(k)(1)(C) (42 U.S.C.
604(k)(1)(C)) is amended—
(i) by adding ‘‘and’’ at the end of
clause (ii);
(ii) by striking clause (iii); and
(iii) by redesignating clause (iv) as
clause (iii).
(f) 50 PERCENT FEDERAL MATCH
FOR STATE
FUNDING IN EXCESS OF REQUIRED MAINTENANCE OF
EFFORT LEVEL.—Section 403(a) (42 U.S.C. 603(a)), as
amended by subsection (e)(1)(A) of this section, is amend-
ed by adding at the end the following:
‘‘(5) MATCHING GRANTS FOR STATE EXPENDI-
TURES EXCEEDING REQUIRED MAINTENANCE OF EF-
FORT LEVEL.—
‘‘(A) IN
GENERAL.—Each eligible State
shall be entitled to receive from the Secretary
for a fiscal year a grant in an amount equal to
the amount (if any) by which the total of the
qualified State expenditures (as defined in sec-
tion 409(a)(7)(B)(i)) for the fiscal year exceeds
the applicable percentage (as defined in section
409(a)(7)(B)(ii)) of historic State expenditures
(as defined in section 409(a)(7)(B)(iii)) with re-
spect to the fiscal year.
‘‘(B) APPROPRIATION.—Out of any money
in the Treasury of the United States not other-
wise appropriated, there are appropriated such
sums as are necessary for grants under this
section for fiscal years 2002 through 2008.’’.
(g) CONTINGENCY FUND.—
(1) IN GENERAL.—Section 403(b) (42 U.S.C.
603(b)) is amended by striking paragraphs (2)
through (7) and inserting the following:
‘‘(2) DEPOSITS INTO FUND.—Out of any money
in the Treasury of the United States not otherwise
appropriated, there are appropriated for each of fis-
cal years 1997 through 2008 such sums as are nec-
essary for grants under this section for the fiscal
year.
‘‘(3) GRANTS.—The Secretary shall make a
grant to a needy State, for each eligible month with
respect to the State, in an amount equal to the
amount described in paragraph (6).
‘‘(4) NEEDY STATE.—A State is a needy State
for purposes of this paragraph if—
‘‘(A) the rate of total unemployment in the
State (seasonally adjusted) for the most recent
month for which such information is available—
‘‘(i) is at least 5.5 percent; or
‘‘(ii) has increased by the lesser of 50
percent, or 1.5 percentage points, over the
lesser of the average rate of total unem-
ployment in the State (seasonally adjusted)
for the preceding fiscal year or such aver-
age rate for the 2nd preceding fiscal year;
or
‘‘(B) the number of families participating
in eligible State programs is at least 10 percent
greater than the average monthly number of
families who participated in the programs dur-
ing the 2 consecutive calendar quarters of the
then most recent 8 such quarters in which such
average monthly number was the least.
‘‘(5) ELIGIBLE MONTH.—In paragraph (3), the
term ‘eligible month’ means, with respect to a State,
any month for which the State is a needy State, and
each subsequent month until—
‘‘(A) 3 months has elapsed since the end
of the most recent month in which the 3-month
moving average of the rate of total unemploy-
ment in the State (seasonally adjusted) was less
than the monthly unemployment rate in the
State in the most recent month in which the
State became (or, in the absence of paragraph
(4)(B), would have become) a needy State by
reason of paragraph (4)(A); and
‘‘(B) 4 months has elapsed since the end
of the most recent month in which the number
of families participating in eligible State pro-
grams was at least as great as the number of
families so participating in the most recent
month in which the State became (or, in the ab-
sence of paragraph (4)(A), would have become)
a needy State by reason of paragraph (4)(B).
‘‘(6) GRANT AMOUNT.—The amount described
in this paragraph with respect to a State is an
amount equal to 110 percent of—
‘‘(A) 80 percent of the average total
amount expended by the State under all eligible
State programs in the 2 consecutive calendar
quarters of the then most recent 8 such quar-
ters in which the average monthly number of
families participating in the programs was the
least; multiplied by
‘‘(B) the percentage by which the monthly
number of families participating in eligible
State programs has increased over the average
monthly number of families so participating
during the 2 consecutive quarters referred to in
subparagraph (A).
‘‘(7) ELIGIBLE STATE PROGRAM DEFINED.—In
this subsection, the term ‘eligible State program’
means, with respect to a State, any program under
which a State expenditure could be considered a
qualified State expenditure (as defined in section
409(a)(7)(B)(i)).’’.
(2) EASING OF RELATED MAINTENANCE OF EF-
FORT
REQUIREMENT.—Section 
409(a)(10) 
(42
U.S.C. 609(a)(10)) is amended by striking ‘‘100
percent’’ and inserting ‘‘the applicable percentage
(as defined in paragraph (7)(B)(ii) of this sub-
section)’’.
(h) FEDERAL LOANS FOR STATE WELFARE PRO-
GRAMS.—Section 406 (42 U.S.C. 606) is amended—
(1) in subsection (d), by striking ‘‘10’’ and in-
serting ‘‘20’’; and
(2) 
in 
subsection 
(e), 
by 
striking
‘‘$1,700,000,000’’ and inserting ‘‘$2,000,000,000’’.
(i) GRANTS
FOR
INDIAN
TRIBES.—Paragraphs
(1)(A) and (2)(A) of section 412(a) (42 U.S.C.
612(a)(1)(A), (2)(A)) are each amended by striking
‘‘1997, 1998, 1999, 2000, 2001, and 2002’’ and inserting
‘‘1997 through 2008’’.
(j) 
STUDIES
AND
DEMONSTRATIONS.—Section
413(h)(1) (42 U.S.C. 613(h)(1)) is amended by striking
‘‘2002’’ and inserting ‘‘2008’’.
(k) STUDY
BY
THE
CENSUS
BUREAU.—Section
414(b) (42 U.S.C. 614(b)) is amended by striking ‘‘1996,
1997, 1998, 1999, 2000, 2001, and 2002’’ and inserting
‘‘1996 through 2008’’.
SEC. 104. USE OF FUNDS.
(a) ELIMINATION OF AUTHORITY TO TREAT INTER-
STATE
IMMIGRANTS
UNDER
RULES
OF
FORMER
STATE.—Section 404 (42 U.S.C. 604) is amended by
striking subsection (c).
(b) MODIFICATIONS TO INDIVIDUAL DEVELOPMENT
ACCOUNTS.—Section 404(h) (42 U.S.C. 604(h)) is
amended—
(1) in paragraph (2), by striking subparagraph
(C) and redesignating subparagraph (D) as subpara-
graph (C);
(2) in paragraph (5)(A), by adding at the end
the following:
‘‘(iii) An institution that offers a
course of study leading to adult literacy, in
English as a second language, or a certifi-
cate of high school equivalency.’’; and
(3) in paragraph (5)(F), by striking ‘‘and in-
ventory’’ and inserting ‘‘inventory, and transpor-
tation’’.
(c) CONFORMING AMENDMENTS.—Section 404 (42
U.S.C. 404) is amended by striking subsections (i) and
(j) and redesignating subsection (k) as subsection (i).
TITLE II—WORK REQUIREMENTS
SEC. 201. REDUCED WORK REQUIREMENT FOR PARENTS
OF SCHOOL-AGE CHILDREN WHO CANNOT
FIND ADEQUATE CHILD CARE.
Section 407(c)(1)(A) (42 U.S.C. 607(c)(1)(A)) is
amended by adding at the end the following:
‘‘Notwithstanding the preceding sentence, the
maximum average number of hours per week
shall be 20 for any week in which the recipient
is the parent or caretaker relative of a child
who has attained 6 years of age and does not
have meaningful access to safe, appropriate, af-
fordable, and quality after-school or summer
care for the child.’’.
SEC. 202. CONFORMING THE NUMBER OF WEEKS TO THE
UNEMPLOYMENT 
INSURANCE 
COMPENSA-
TION STANDARD.
Section 407(c)(2)(A)(i) (42 U.S.C. 607(c)(2)(A)(i))
is amended by striking ‘‘6 weeks’’ and inserting ‘‘12
weeks’’.
SEC. 203. REVISION OF WORK ACTIVITIES.
(a) IN
GENERAL.—Section 407(d) (42 U.S.C.
607(d)) is amended—
(1) by striking paragraph (4) and inserting the
following:
‘‘(4) transitional work experience leading to
jobs that provide an income of not less than 250
percent of the poverty line;’’;
(2) by striking paragraph (7) and inserting the
following:
‘‘(7) voluntary participation in a community
service program;’’;
(3) in paragraph (8), by striking ‘‘(not to ex-
ceed 12 months with respect to any individual)’’;
and
(4) by striking paragraphs (10) through (12)
and inserting the following:
‘‘(10) participation in a State or Federal work-
study program under part C of title IV of the High-
er Education Act of 1965;’’;
‘‘(11) education, including not more than 6
hours of home study per week, in the case of a re-
cipient who is enrolled—
‘‘(A) at an elementary or secondary school
(as defined in the Elementary and Secondary
Education Act of 1965);
‘‘(B) in a course of study leading to adult
literacy, English as a second language, or a cer-
tificate of high school equivalency; or
‘‘(C) at an institution of higher education
(as defined in section 102 of the Higher Edu-
cation Act of 1965), regardless of the content
of the course of study;
‘‘(12) the provision of appropriate care to a
child who has a disability or a serious health condi-
tion (as defined in section 101(11) of the Family
Medical Leave Act) or has not attained 6 years of
age, by a recipient who is a parent or caretaker rel-
ative of the child; and
‘‘(13) participation in treatment or an edu-
cational activity designed to address a mental health
problem, disability, substance abuse, or domestic or
sexual violence.’’.
(b) CONFORMING AMENDMENTS.—Section 407 of
such Act (42 U.S.C. 607) is amended—
(1) in subsection (b), by striking paragraph (5);
and
(2) in subsection (c)—
(A) in each of subparagraphs (A) and
(B)(i) of paragraph (1), by striking ‘‘not fewer
than’’ and all that follows through ‘‘subsection
(d),’’;
(B) in paragraph (1)(B)(ii), by striking
‘‘not fewer than’’ and all that follows through
‘‘subsection (d)’’; and
(C) in paragraph (2), by striking subpara-
graph (D).
SEC. 204. PENALTIES AGAINST INDIVIDUALS FOR UNJUSTI-
FIED REFUSAL TO WORK; ADDITIONAL JUS-
TIFICATIONS.
(a) IN GENERAL.—Section 407(e) (42 U.S.C. 607(e))
is amended—
(1) by striking paragraph (1) and inserting the
following:
‘‘(1) IN GENERAL.—Except as otherwise pro-
vided in this subsection, if an individual in a family
receiving assistance under the State program funded
under this part refuses to engage in work required
in accordance with this section, the State shall, sub-
ject to such good cause and other exceptions as the
State may establish, reduce the amount of assistance
otherwise payable to the family on a pro rata basis,
but to not less than the amount that would be pay-
able to a family with the same number of children
but with no adults, with respect to any period during
a month in which the individual so refuses.’’;
(2) in paragraph (2)—
(A) by striking ‘‘EXCEPTION’’ and insert-
ing ‘‘CHILD CARE EXCEPTION’’; and
(B) by striking ‘‘proves that the individual
has a demonstrated inability (as determined by
the State)’’ and inserting ‘‘certifies that the in-
dividual is unable’’; and
(3) by adding at the end the following:
‘‘(3) ADDITIONAL CHILD CARE EXCEPTIONS.—
Notwithstanding paragraph (1), a State may not re-
duce or terminate assistance under the State pro-
gram funded under this part based on a refusal of
an individual to engage in work required in accord-
ance with this section if the individual is a custodial
parent or caretaker relative caring for—
‘‘(A) a child who has a disability or a seri-
ous health condition (as defined in section
101(11) of the Family Medical Leave Act), and
the individual does not have meaningful access
to safe, appropriate, affordable, and quality
care for the child; or
‘‘(B) a child who has attained 6 years of
age, and the individual does not have meaning-
ful access to safe, appropriate, affordable, and
quality after-school or summer care for the
child.
‘‘(4) MENTAL HEALTH PROBLEM, DISABILITY,
SUBSTANCE ABUSE, OR DOMESTIC OR SEXUAL VIO-
LENCE
EXCEPTION.—Notwithstanding 
paragraph
(1), a State may not reduce or terminate assistance
under the State program funded under this part
based on the failure of any individual who has a
mental health problem, disability, or substance abuse
problem, or who is a victim of sexual or domestic vi-
olence to engage in work required in accordance with
this section if—
‘‘(A) the individual is in the process of
being screened or assessed for the mental
health problem, disability, substance abuse
problem, or sexual or domestic violence situa-
tion but the screening or assessment has not
been completed;
‘‘(B) the individual has not been offered
treatment to address the problem or disability;
or
‘‘(C) the individual cannot comply because
of the need to seek medical, legal, or other serv-
ices in relation to the mental health problem,
disability, or sexual or domestic violence situa-
tion.
‘‘(5) MINIMUM
WAGE
EXCEPTION.—Notwith-
standing paragraph (1), a State may not impose a
sanction under the State program funded under this
part on the basis of the refusal of an individual to
accept any employment (including any employment
offered under the program), if the wage rate for the
employment does not equal or exceed the greater
of—
‘‘(A) the minimum wage rate then in effect
under section 6 of the Fair Labor Standards
Act of 1938; or
‘‘(B) any minimum wage rate prescribed
by or under the law of the State.
‘‘(6) DISCRIMINATION EXCEPTION.—
‘‘(A) IN GENERAL.—Notwithstanding para-
graph (1), a State may not reduce or terminate
assistance under the State program funded
under this part based on the failure of any indi-
vidual to engage in work required in accordance
with this section if the individual certifies in a
manner described in subparagraph (B) that the
individual has left or refused work based on dis-
crimination.
‘‘(B) CERTIFICATION.—An individual may
provide a certification required by subparagraph
(A) by sworn written statement or by providing
other documentation, including a police or court
record or documentation by a shelter worker, an
employee of a victim assistance program, an at-
torney, a member of the clergy, or a medical or
other professional from whom the individual has
sought assistance as a victim.’’.
(b) 
CONFORMING
AMENDMENTS.—Section
409(a)(11) (42 U.S.C 609(a)(11)) is amended—
(1) in the paragraph heading, by striking ‘‘WHO
CANNOT
OBTAIN
CHILD
CARE
FOR
CHILD
UNDER
AGE 6’’ and inserting ‘‘WITH JUSTIFIED REFUSAL TO
WORK’’; and
(2) 
in 
subparagraph 
(A), 
by 
striking
‘‘407(e)(2)’’ and inserting ‘‘407(e)’’.
SEC. 205. ELIMINATION OF MISCELLANEOUS PROVISIONS.
Section 407 (42 U.S.C. 607) is amended by striking
subsections (g), (h), and (i).
SEC. 206. ASSESSMENT OF INDIVIDUALS FOR JOB PREPA-
RATION.
Section 407 (42 U.S.C. 607), as amended by section
205 of this Act, is amended by adding at the end the fol-
lowing:
‘‘(g) ASSESSMENT OF INDIVIDUALS FOR JOB PREPA-
RATION.—At the option of a recipient of assistance under
a State program funded under this part, the State shall,
before assigning the recipient to a work activity under the
program, perform an individual assessment for the prepa-
ration that is needed for the recipient to obtain and main-
tain a job at a monthly wage that is at least 200 percent
of the poverty line applicable to the family of the recipi-
ent.’’.
TITLE III—PROHIBITIONS;
REQUIREMENTS
SEC. 301. REPLACEMENT OF REQUIREMENT TO SANCTION
INDIVIDUAL FOR NONCOOPERATION IN ES-
TABLISHING 
PATERNITY 
OR 
OBTAINING
CHILD SUPPORT WITH PROHIBITION ON RE-
QUIRING SUCH COOPERATION.
(a) IN GENERAL.—Section 408(a)(2) (42 U.S.C.
608(a)(2)) is amended to read as follows:
‘‘(2) PROHIBITION
ON
REQUIRING
COOPERA-
TION IN ESTABLISHING PATERNITY OR OBTAINING
CHILD SUPPORT.—A State to which a grant is made
under section 403 shall not penalize an individual
under the State program funded under this part by
reason of the failure of the individual to cooperate
in establishing paternity or establishing, modifying,
or enforcing a child support order with respect to a
child of the recipient.’’.
(b) CONFORMING AMENDMENTS.—Section 454(29)
(42 U.S.C. 654(29)) is amended—
(1) by striking ‘‘the State program funded
under part A,’’ each place it appears; and
(2) in subparagraph (A)(i), by striking ‘‘E,’’
and inserting ‘‘E’’.
SEC. 302. PROHIBITION ON REQUIRING ASSIGNMENT OF
SUPPORT RIGHTS TO THE STATE; RETURN OF
SUPPORT RIGHTS ASSIGNED TO THE STATE.
(a) IN GENERAL.—Section 408(a)(3) (42 U.S.C.
608(a)(3)) is amended to read as follows:
‘‘(3) PROHIBITION ON REQUIRING ASSIGNMENT
OF SUPPORT RIGHTS TO THE STATE; REQUIREMENT
TO
RETURN
SUPPORT
RIGHTS
ASSIGNED
TO
THE
STATE.—A State to which a grant is made under
section 403 shall not penalize an individual or family
under the State program funded under this part by
reason of the failure of the individual to assign to
the State any rights any person may have (on behalf
of the person or of any other person for whom the
individual has applied for or is receiving assistance)
to support from any other person. If any person has
assigned any such rights to the State, the State
shall assign such rights back to the person.’’.
(b) CONFORMING AMENDMENTS.—
(1) Section 452 (42 U.S.C. 652) is amended—
(A) in subsection (a)(10)(C), by striking
‘‘pursuant to section 408(a)(3) or’’; and
(B) in subsection (h), by striking ‘‘or with
respect to whom an assignment pursuant to
section 408(a)(3) is in effect’’.
(2) Section 454(5) (42 U.S.C. 654(5)) is
amended by striking ‘‘(A)’’ and all that follows
through ‘‘(B)’’.
(3) Section 456(a)(1) (42 U.S.C. 656(a)(1)) is
amended by striking ‘‘assigned to the State pursuant
to section 408(a)(3) or’’.
(4) Section 464(a)(1) (42 U.S.C. 664(a)(1)) is
amended by striking ‘‘section 408(a)(3) or’’.
(5) 
Section 
466(a)(3)(B) 
(42 
U.S.C.
666(a)(3)(B)) is amended by striking ‘‘section
408(a)(3) or’’.
SEC. 303. ELIMINATION OF SANCTION AGAINST TEENAGE
PARENTS NOT ATTENDING HIGH SCHOOL OR
OTHER EQUIVALENT TRAINING PROGRAM.
Section 408(a) (42 U.S.C. 608(a)) is amended by
striking paragraph (4).
SEC. 304. REQUIREMENTS RELATING TO DISREGARD OF
CHILD SUPPORT.
(a) IN
GENERAL.—Section 408(a) (42 U.S.C.
608(a)), as amended by section 303 of this Act, is amend-
ed by inserting after paragraph (3) the following:
‘‘(4) LIMITED
DISREGARD
OF
CHILD
SUP-
PORT.—In determining the amount and type of as-
sistance for which a family is eligible under the
State program funded under this part, a State to
which a grant is made under section 403 shall
disregard—
‘‘(A) the first $200 (or, if the family in-
cludes 2 or more children, $400) per month dis-
tributed to any family member by the State
under section 457; and
‘‘(B) all child support (as defined in sec-
tion 459(i)(2)) received by any family member
from any other source.’’.
(b) REQUIREMENT TO PASS THROUGH ALL CHILD
SUPPORT.—
(1) IN GENERAL.—Section 457 (42 U.S.C. 657)
is amended to read as follows:
‘‘SEC. 457. DISTRIBUTION OF COLLECTED CHILD SUPPORT.
‘‘(a) IN GENERAL.—Except as provided in subsection
(b), all amounts collected on behalf of a family as support
by a State pursuant to a plan approved under this part
shall be distributed to the family.
‘‘(b) EXCEPTION.—In the case of an amount collected
for a family in accordance with a cooperative agreement
under section 454(33), the State shall distribute the
amount pursuant to the agreement.’’.
(2) CONFORMING AMENDMENTS.—
(A) Section 409(a)(7)(B)(i)(I)(aa) (42
U.S.C. 609(a)(7)(B)(i)(I)(aa)) is amended by
striking ‘‘457(a)(1)(B)’’ and inserting ‘‘457’’.
(B) 
Section 
454B(c)(1) 
(42 
U.S.C.
654b(c)(1)) is amended by striking ‘‘457(a)’’
and inserting ‘‘457’’.
SEC. 305. ELIMINATION OF SANCTION AGAINST TEENAGE
PARENTS NOT LIVING IN ADULT-SUPERVISED
SETTINGS.
Section 408(a) (42 U.S.C. 608(a)) is amended by
striking paragraph (5).
SEC. 306. PROTECTION FOR CHILDREN BORN INTO POV-
ERTY.
Section 408(a) (42 U.S.C. 608(a)), as amended by
section 305 of this Act, is amended by inserting after
paragraph (4) the following:
‘‘(5) PROTECTION FOR CHILDREN.—A State to
which a grant is made under section 403 shall not
deny or limit assistance to a child born into a family
receiving assistance under the State program funded
under this part.’’.
SEC. 307. 5-YEAR TIME LIMIT.
(a) REMOVAL OF LIMITATIONS.—
(1) ELIMINATION OF LIMITATION ON HARDSHIP
EXCEPTION.—Section 
408(a)(7)(C) 
(42 
U.S.C.
608(a)(7)(C)) is amended by striking clause (ii) and
redesignating clause (iii) as clause (ii).
(2) 
COMPLIANCE
EXCEPTION.—Section
408(a)(7) (42 U.S.C. 608(a)(7)) is amended by add-
ing at the end the following:
‘‘(H) COMPLIANCE EXCEPTION.—In deter-
mining the number of months for which an in-
dividual has received assistance under the State
program funded under this part, the State shall
disregard any month throughout which the indi-
vidual is in compliance with all applicable re-
quirements of the State program.’’.
(b) UNIFORM DURATION OF ASSISTANCE.—Section
408(a)(7)(E) (42 U.S.C. 608(a)(7)(E)) is amended to
read as follows:
‘‘(E) REQUIREMENT TO PROVIDE ASSIST-
ANCE FOR 5 YEARS.—Notwithstanding section
407(e), a State to which a grant is made under
section 403 shall not impose a limitation of
fewer than 60 months on the period for which
a recipient is eligible for assistance under the
State program funded under this part.’’.
(c) PROTECTION
AGAINST
RECESSION.—Section
408(a)(7) (42 U.S.C. 608(a)(7)), as amended by sub-
section (a)(2) of this section, is amended by adding at the
end the following:
‘‘(I) SPECIAL RULES RELATING TO MONTH
IN WHICH UNEMPLOYMENT IS HIGH OR HAS IN-
CREASED SHARPLY OVER PRIOR 2 YEARS.—
‘‘(i) CLOCK STOPPED FOR CURRENT
RECIPIENTS.—In determining the number
of months for which an individual has re-
ceived assistance under the State program
funded under this part, the State shall dis-
regard any month that is a trigger month.
‘‘(ii) TREATMENT OF FORMER RECIPI-
ENTS WHO REACHED TIME LIMIT.—
‘‘(I) NOTICE; 
DETERMINATION
OF ELIGIBILITY.—On the occurrence
of a trigger month, the State shall—
‘‘(aa) issue a public notice
that a trigger month has oc-
curred; and
‘‘(bb) on request of an indi-
vidual who had become ineligible
for assistance under the State
program funded under this part
by reason of this paragraph, de-
termine the eligibility of the indi-
vidual for such assistance as if
the individual had received such
assistance for 59 months.
‘‘(II) ADDITIONAL MONTH OF AS-
SISTANCE FOR OTHERWISE ELIGIBLE
FORMER
RECIPIENTS.—If the indi-
vidual is so determined to be eligible
for such assistance, the State shall,
notwithstanding subparagraph (A),
provide such assistance to the indi-
vidual for any month that is a trigger
month, but shall not provide such as-
sistance to the individual for any
month that is not a trigger month.
‘‘(iii) TRIGGER MONTH.—In this sub-
paragraph, 
the 
term 
‘trigger 
month’
means, with respect to a State, any month
for which the unemployment rate of the
State—
‘‘(I) is at least 5.5 percent; or
‘‘(II) has increased by the lesser
of 50 percent, or 1.5 percentage
points, over the lesser of the average
rate of total unemployment in the
State (seasonally adjusted) for the
preceding fiscal year or the average
unemployment rate of the State for
the 2nd preceding fiscal year.’’.
SEC. 308. REQUIREMENT TO PROVIDE NOTICE OF RIGHTS
OF RECIPIENTS, AND TRAIN PROGRAM PER-
SONNEL IN CARRYING OUT PROGRAM CON-
SISTENT WITH THE RIGHTS.
Section 408(a) (42 U.S.C. 608(a)) is amended by
adding at the end the following:
‘‘(12) REQUIREMENT TO PROVIDE NOTICE OF
RIGHTS OF RECIPIENTS, AND TRAIN PROGRAM PER-
SONNEL TO CARRY OUT PROGRAM CONSISTENT WITH
THE RIGHTS.—A State to which a grant is made
under section 403 shall—
‘‘(A) notify each recipient of assistance
under the program of the rights of recipients
under all laws applicable to the activities of the
State program funded under this part, and
shall provide the notice—
‘‘(i) to a recipient when the recipient
enters the program;
‘‘(ii) to all such recipients on a semi-
annual basis; and
‘‘(iii) orally and in writing, in the na-
tive language of the recipient and at a 6th
grade level, and if the native language is
not English, a culturally competent trans-
lation shall be provided; and
‘‘(B) train all program personnel on a reg-
ular basis in how to carry out the program con-
sistent with the rights.’’.
SEC. 309. REQUIREMENT TO PROVIDE INFORMATION TO IN-
DIVIDUALS WHO ARE, OR ARE AT RISK OF
BEING, SANCTIONED.
Section 408(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(13) STATE REQUIRED TO PROVIDE INFORMA-
TION TO INDIVIDUAL WHO HAS BEEN, OR IS AT RISK
OF BEING SANCTIONED.—A State to which a grant
is made under section 403 shall provide to any indi-
vidual who has been, or is at risk of being, sanc-
tioned under the State program funded under this
part, orally and in writing, at not more than a 6th
grade level in the native language of the individual
(and if the native language is not English, a cul-
turally competent translation shall be provided),
that—
‘‘(A) program requirements may be waived
for people dealing with a mental health, dis-
ability, substance abuse, domestic violence, or
sexual assault issue;
‘‘(B) an individual dealing with a mental
health, disability, substance abuse, domestic vi-
olence, or sexual assault issue may request (or
if the individual has left or been removed from
the program, may return to the program and
request) to be assessed under the program for
services to address those issues, including ap-
propriate treatment, counseling, vocational re-
habilitation, job training, or other services; and
‘‘(C) the State is required to keep any such
information strictly confidential.’’.
SEC. 310. BAN ON COUNTING INCOME, SCHOLARSHIP, OR
GIFT RECEIVED BY DEPENDENT MINORS.
Section 408(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(14) PROHIBITION
ON
COUNTING
INCOME,
SCHOLARSHIP, OR GIFT RECEIVED BY DEPENDENT
MINOR.—In determining the eligibility of a family
for, and the amount and type of assistance to be
provided to a family under, a State program funded
under this part, the State shall disregard any in-
come, scholarship, or gift received by a dependent
minor child in the family.’’.
SEC. 311. BAN ON DIVERSION OF POTENTIAL APPLICANTS
FOR ASSISTANCE.
Section 408(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(15) BAN ON DIVERSION OF POTENTIAL AP-
PLICANTS
FOR
ASSISTANCE.—A State may not
refuse to accept, at the time of application, an appli-
cation for assistance from the State program funded
under this part, or give an individual reason to be-
lieve that, at the time of application, the State will
not unconditionally accept such an application from
any individual.’’.
SEC. 312. PROHIBITION ON REQUIRING RECIPIENTS TO RE-
SPOND TO SURVEYS CONDUCTED TO OBTAIN
INFORMATION FOR QUARTERLY REPORTS.
Section 408(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(16) PROHIBITION ON REQUIRING RECIPIENTS
TO RESPOND TO SURVEYS CONDUCTED TO OBTAIN
INFORMATION FOR QUARTERLY REPORTS.—A State
to which a grant is made under section 403 shall not
penalize an individual under the State program
funded under this part by reason of the failure of
the individual to respond to a survey conducted to
obtain information for use in a report required by
section 411(a).’’.
SEC. 313. CONFIDENTIALITY OF PROGRAM INFORMATION.
Section 408(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(17) CONFIDENTIALITY OF PROGRAM INFOR-
MATION.—A State to which a grant is made under
section 403 shall ensure that any information pro-
vided by an individual to a State officer or employee
for use by the State program funded under this part
shall not be disclosed to any other person, except to
the extent that the disclosure is necessary to admin-
ister the program or is consented to by the indi-
vidual.’’.
SEC. 314. NONDISCRIMINATION.
Section 408(a) (42 U.S.C. 608(a) is amended by add-
ing at the end the following:
‘‘(18) NONDISCRIMINATION.—A State to which
a grant is made under section 403 shall ensure equi-
table treatment of needy families in the State, and
shall not discriminate among families based on mar-
ital status or applicant or recipient status.’’.
SEC. 315. REQUIREMENT TO PROVIDE OPPORTUNITY TO
APPEAL ADVERSE DECISION.
Section 408(a) (42 U.S.C. 608(a) is amended by add-
ing at the end the following:
‘‘(19) REQUIREMENT
TO
PROVIDE
OPPOR-
TUNITY TO APPEAL ADVERSE DECISION.—A State to
which a grant is made under section 403 shall pro-
vide a recipient of assistance under the State pro-
gram funded under this part with the opportunity to
appeal any adverse decision made with respect to the
recipient under the program.’’.
SEC. 316. CLARIFICATION OF PENALTY FOR FAILURE TO
COMPLY WITH INDIVIDUAL RESPONSIBILITY
PLAN.
Section 408(b)(3) (42 U.S.C. 608(b)(3)) is amended
by striking ‘‘a family that includes’’.
SEC. 317. APPLICABILITY OF CIVIL RIGHTS LAWS.
Section 408(d) (42 U.S.C. 608(d)) is amended—
(1) in paragraph (3), by inserting ‘‘, or any
provision of State law relating to individuals with
physical or mental disabilities’’ before the 2nd pe-
riod; and
(2) by adding at the end the following:
‘‘(5) Title VII of the Civil Rights Act of 1964
(42 U.S.C. 2000e et seq.), or any provision of State
law relating to discrimination on the basis of race,
color, national origin, religion, gender, sex, parental
or marital status, or sexual orientation.
‘‘(6) The Age Discrimination in Employment
Act of 1967 (29 U.S.C. 621–634), or any provision
of State law relating to age discrimination.
‘‘(7) Title IX of the Education Amendments of
1972 (20 U.S.C. 1681 et seq.), or any provision of
State law relating to discrimination in education.
‘‘(8) The Fair Labor Standards Act of 1938
(29 U.S.C. 201 et seq.), or any provision of State
law relating to labor or to a term or condition of em-
ployment.
‘‘(9) The Occupational Safety and Health Act
of 1970 (29 U.S.C. 651 et seq).
‘‘(10) The National Labor Relations Act (29
U.S.C. 151 et seq.).
‘‘(11) The Railway Labor Act (45 U.S.C. 151
et seq.).
‘‘(12) Any Federal law providing employee pro-
tections against discrimination for union activity.
‘‘(13) Any other provision of Federal or State
law the purpose of which is to provide or protect a
civil right.’’.
SEC. 318. ELIMINATION OF SPECIAL RULES RELATING TO
TREATMENT OF ALIENS.
(a) AMENDMENTS
TO
THE PERSONAL RESPONSI-
BILITY AND WORK OPPORTUNITY RECONCILIATION ACT
OF 1996.—
(1) Section 401(c)(2) of the Personal Responsi-
bility and Work Opportunity Reconciliation Act of
1996 (8 U.S.C. 1611(c)(2)) is amended—
(A) by striking ‘‘or’’ at the end of subpara-
graph (B);
(B) by striking the period at the end and
inserting ‘‘; or’’; and
(C) by adding at the end the following:
‘‘(D) to any assistance provided under a
State program funded under the program of
block grants to States for temporary assistance
for needy families under part A of title IV of
the Social Security Act.’’.
(2)(A) Section 402(b)(3) of such Act (8 U.S.C.
1612(b)(3)) is amended by striking subparagraph
(A) and redesignating subparagraphs (B) and (C) as
subparagraphs (A) and (B), respectively.
(B) Section 402(b)(2)(A)(ii) of such Act (8
U.S.C. 1612(b)(2)(A)(ii)) is amended by striking
‘‘(C)’’ and inserting ‘‘(B)’’.
(3) Section 403(c)(2) of such Act (8 U.S.C.
1613(c)(2)) is amended by adding at the end the fol-
lowing:
‘‘(L) Assistance under a State program
funded under the program of block grants to
States for temporary assistance for needy fami-
lies under part A of title IV of the Social Secu-
rity Act.’’.
(4) Section 423(d) of such Act (8 U.S.C. 1138a
note) is amended by adding at the end the following:
‘‘(12) Assistance under a State program funded
under the program of block grants to States for
temporary assistance for needy families under part
A of title IV of the Social Security Act.’’.
(b) CONFORMING AMENDMENTS.—
(1) Section 408 (42 U.S.C. 608) is amended by
striking subsections (e) and (f) and by redesignating
subsection (g) as subsection (e).
(2) Section 409(a)(7)(B)(i)(IV) (42 U.S.C.
609(a)(7)(B)(i)(IV)) is amended—
(A) by striking ‘‘part,’’ and inserting ‘‘part
and’’; and
(B) by striking ‘‘, and families of aliens
lawfully present in the United States that would
be eligible for such assistance but for the appli-
cation of title IV of the Personal Responsibility
and Work Opportunity Reconciliation Act of
1996’’.
TITLE IV—PENALTIES
SEC. 401. INCREASE IN PENALTY FOR FAILURE TO SUBMIT
REQUIRED REPORT.
Section 409(a)(2)(A) (42 U.S.C. 609(a)(2)(A)) is
amended by striking ‘‘4’’ and inserting ‘‘5’’.
SEC. 402. REPLACEMENT OF PENALTY AGAINST STATE FOR
FAILURE TO COMPLY WITH PATERNITY ES-
TABLISHMENT 
AND 
CHILD 
SUPPORT 
EN-
FORCEMENT REQUIREMENTS WITH PENALTY
FOR REQUIRING COOPERATION IN ESTAB-
LISHING PATERNITY OR OBTAINING CHILD
SUPPORT (INCLUDING ASSIGNING SUPPORT
RIGHTS TO THE STATE) OR FAILING TO RE-
TURN SUPPORT RIGHTS ASSIGNED TO THE
STATE.
Section 409(a)(5) (42 U.S.C. 609(a)(5)) is amended
to read as follows:
‘‘(5) PENALTY FOR REQUIRING COOPERATION
IN ESTABLISHING PATERNITY OR OBTAINING CHILD
SUPPORT (INCLUDING ASSIGNING SUPPORT RIGHTS
TO THE STATE) OR FAILING TO RETURN SUPPORT
RIGHTS ASSIGNED TO THE STATE.—If the Secretary
determines that a State to which a grant is made
under section 403 for a fiscal year has violated para-
graph (2) or (3) of section 408(a) during the fiscal
year, the Secretary shall reduce the grant payable to
the State under section 403(a)(1) for the imme-
diately succeeding fiscal year by an amount equal to
5 percent of the State family assistance grant.’’.
SEC. 403. EXTENSION OF MAINTENANCE OF EFFORT RE-
QUIREMENT.
Section 409(a)(7)(A) (42 U.S.C. 609(a)(7)(A)) is
amended by striking ‘‘or 2003’’ and inserting ‘‘2003,
2004, 2005, 2006, 2007, or 2008’’.
SEC. 404. PENALTY FOR FAILURE OF STATE TO COMPLY
WITH CHILD SUPPORT DISREGARD REQUIRE-
MENTS.
Section 409(a) (42 U.S.C. 609(a)) is amended by
adding at the end the following:
‘‘(15) PENALTY FOR FAILURE TO COMPLY WITH
CHILD
SUPPORT
DISREGARD
REQUIREMENTS.—If
the Secretary determines that a State to which a
grant is made under section 403 for a fiscal year
has violated section 408(a)(4) during the fiscal year,
the Secretary shall reduce the grant payable to the
State under section 403(a)(1) for the immediately
succeeding fiscal year by an amount equal to 5 per-
cent of the State family assistance grant.’’.
SEC. 405. PENALTY FOR PENALIZING BIRTH OF CHILD.
Section 409(a) (42 U.S.C. 609(a)) is further amend-
ed by adding at the end the following:
‘‘(16) PENALTY
FOR
PENALIZING
BIRTH
OF
CHILD.—If the Secretary determines that a State to
which a grant is made under section 403 for a fiscal
year has violated section 408(a)(5) during the fiscal
year, the Secretary shall reduce the grant payable to
the State under section 403(a)(1) for the imme-
diately succeeding fiscal year by an amount equal to
5 percent of the State family assistance grant.’’.
SEC. 406. PENALTY FOR FAILURE TO NOTIFY RECIPIENTS
OF RIGHTS, OR TRAIN PROGRAM PERSONNEL
IN RESPECTING RIGHTS OF RECIPIENTS.
Section 409(a) (42 U.S.C. 609(a)) is further amend-
ed by adding at the end the following:
‘‘(17) PENALTY FOR FAILURE TO NOTIFY RE-
CIPIENTS
OF
RIGHTS, OR
TRAIN
PROGRAM
PER-
SONNEL IN RESPECTING RIGHTS OF RECIPIENTS.—
If the Secretary determines that a State to which a
grant is made under section 403 for a fiscal year
has violated section 408(a)(12) during the fiscal
year, the Secretary shall reduce the grant payable to
the State under section 403(a)(1) for the imme-
diately succeeding fiscal year by an amount equal to
5 percent of the State family assistance grant.’’.
SEC. 407. PENALTY FOR FAILURE TO PROVIDE INFORMA-
TION TO INDIVIDUALS WHO ARE, OR ARE AT
RISK OF BEING, SANCTIONED.
Section 409(a) (42 U.S.C. 609(a)) is further amend-
ed by adding at the end the following:
‘‘(18) PENALTY FOR FAILURE TO PROVIDE IN-
FORMATION TO INDIVIDUAL WHO HAS BEEN, OR IS
AT RISK OF BEING SANCTIONED.—If the Secretary
determines that a State to which a grant is made
under section 403 for a fiscal year has violated sec-
tion 408(a)(13) during the fiscal year, the Secretary
shall reduce the grant payable to the State under
section 403(a)(1) for the immediately succeeding fis-
cal year by an amount equal to 5 percent of the
State family assistance grant.’’.
SEC. 408. PENALTY FOR COUNTING INCOME, SCHOLARSHIP,
OR GIFT RECEIVED BY DEPENDENT MINOR.
Section 409(a) (42 U.S.C. 608(a)) is amended by
adding at the end the following:
‘‘(19) 
PENALTY
FOR
COUNTING
INCOME,
SCHOLARSHIP, OR GIFT RECEIVED BY DEPENDENT
MINOR.—If the Secretary determines that a State to
which a grant is made under section 403 for a fiscal
year has violated section 408(a)(14) during the fis-
cal year, the Secretary shall reduce the grant pay-
able to the State under section 403(a)(1) for the im-
mediately succeeding fiscal year by an amount equal
to 5 percent of the State family assistance grant.’’.
SEC. 409. PENALTY FOR DIVERTING POTENTIAL APPLI-
CANT FOR ASSISTANCE.
Section 409(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(20) PENALTY FOR DIVERTING POTENTIAL AP-
PLICANT FOR ASSISTANCE.—If the Secretary deter-
mines that a State to which a grant is made under
section 403 for a fiscal year has violated section
408(a)(15) during the fiscal year, the Secretary
shall reduce the grant payable to the State under
section 403(a)(1) for the immediately succeeding fis-
cal year by an amount equal to 5 percent of the
State family assistance grant.’’.
SEC. 410. PENALTY FOR REQUIRING RECIPIENT TO RE-
SPOND TO SURVEY CONDUCTED TO OBTAIN
INFORMATION FOR QUARTERLY REPORT.
Section 409(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(21) PENALTY FOR REQUIRING RECIPIENT TO
RESPOND TO SURVEY CONDUCTED TO OBTAIN IN-
FORMATION FOR QUARTERLY REPORT.—If the Sec-
retary determines that a State to which a grant is
made under section 403 for a fiscal year has violated
section 408(a)(16) during the fiscal year, the Sec-
retary shall reduce the grant payable to the State
under section 403(a)(1) for the immediately suc-
ceeding fiscal year by an amount equal to 5 percent
of the State family assistance grant.’’.
SEC. 411. PENALTY FOR UNAUTHORIZED DISCLOSURE OF
INFORMATION PROVIDED BY RECIPIENT.
Section 409(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(22) PENALTY FOR UNAUTHORIZED DISCLO-
SURE OF INFORMATION PROVIDED BY RECIPIENT.—
If the Secretary determines that a State to which a
grant is made under section 403 for a fiscal year
has violated section 408(a)(17) during the fiscal
year, the Secretary shall reduce the grant payable to
the State under section 403(a)(1) for the imme-
diately succeeding fiscal year by an amount equal to
5 percent of the State family assistance grant.’’.
SEC. 412. PENALTY FOR DISCRIMINATION.
Section 409(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(23) PENALTY FOR DISCRIMINATION.—If the
Secretary determines that a State to which a grant
is made under section 403 for a fiscal year has vio-
lated section 408(a)(18) during the fiscal year, the
Secretary shall reduce the grant payable to the State
under section 403(a)(1) for the immediately suc-
ceeding fiscal year by an amount equal to 5 percent
of the State family assistance grant.’’.
SEC. 413. PENALTY FOR FAILURE TO PROVIDE OPPOR-
TUNITY TO APPEAL ADVERSE DECISION.
Section 409(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(24) PENALTY FOR FAILURE TO PROVIDE OP-
PORTUNITY TO APPEAL ADVERSE DECISION.—If the
Secretary determines that a State to which a grant
is made under section 403 for a fiscal year has vio-
lated section 408(a)(19) during the fiscal year, the
Secretary shall reduce the grant payable to the State
under section 403(a)(1) for the immediately suc-
ceeding fiscal year by an amount equal to 5 percent
of the State family assistance grant.’’.
SEC. 414. PENALTY FOR FAILURE TO COMPLY WITH MIN-
IMUM BENEFIT RULES.
Section 409(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(25) PENALTY FOR FAILURE TO COMPLY WITH
MINIMUM BENEFIT RULES.—If the Secretary deter-
mines that a State to which a grant is made under
section 403 for a fiscal year has violated section 417
during the fiscal year, the Secretary shall reduce the
grant payable to the State under section 403(a)(1)
for the immediately succeeding fiscal year by an
amount equal to 5 percent of the State family assist-
ance grant.’’.
SEC. 415. PENALTY FOR FAILURE TO PROVIDE INDIVIDUAL
CHILD CARE ENTITLEMENT.
Section 409(a) (42 U.S.C. 608(a)) is further amend-
ed by adding at the end the following:
‘‘(26) PENALTY FOR FAILURE TO PROVIDE IN-
DIVIDUAL
CHILD
CARE
ENTITLEMENT.—Effective
January 1, 2005, if the Secretary determines that a
State to which a grant is made under section 403
for a fiscal year has violated section 418(b) during
the fiscal year, the Secretary shall reduce the grant
payable to the State under section 403(a)(1) for the
immediately succeeding fiscal year by an amount
equal to 5 percent of the State family assistance
grant.’’.
SEC. 416. FAILURE TO SUBMIT REPORT ON WELFARE AC-
CESS AND OUTCOMES.
Section 409(a) (42 U.S.C. 609(a)) is further amend-
ed by adding at the end the following:
‘‘(27) FAILURE TO SUBMIT REPORT ON WEL-
FARE ACCESS AND OUTCOMES.—If the Secretary de-
termines that a State has not, within 45 days after
the end of a fiscal year, submitted the report re-
quired by section 411(c) for the fiscal year, the Sec-
retary shall reduce the grant payable to the State
under section 403(a)(1) for the immediately suc-
ceeding fiscal year by an amount equal to 5 percent
of the State family assistance grant.’’.
SEC. 417. ELIMINATION OF REASONABLE CAUSE EXCEP-
TION.
Section 409 (42 U.S.C. 609) is amended by striking
subsection (b).
SEC. 418. MODIFICATION OF AVAILABILITY OF CORREC-
TIVE COMPLIANCE PLAN OPTION.
Section 409(c)(4) (42 U.S.C. 609(c)(4)) is amended
to read as follows:
‘‘(4) LIMITATION ON OPPORTUNITY TO SUBMIT
CORRECTIVE
COMPLIANCE
PLAN.—The preceding
provisions of this subsection shall not apply with re-
spect to a violation of a provision of this part by a
State if the State has violated the provision on 2 or
more prior occasions.’’.
SEC. 419. REPEAL OF BAN ON ASSISTANCE FOR PERSONS
CONVICTED OF A DRUG FELONY.
Section 115 of the Personal Responsibility and Work
Opportunity Reconciliation Act of 1996 (42 U.S.C. 862a)
is repealed.
TITLE V—STUDIES AND
REPORTS
SEC. 501. ADDITIONAL INFORMATION TO BE INCLUDED IN
QUARTERLY STATE REPORTS.
Section 411(a) (42 U.S.C. 611(a)) is amended—
(1) in paragraph (1)(A)—
(A) in each of clauses (vii) and (viii) by
striking ‘‘race’ and inserting ‘‘race, gender,’’;
(B) in clause (xi)(I), by inserting ‘‘, broken
down by education level’’;
(C) by striking clause (xvi) and redesig-
nating clause (xvii) and clause (xvi); and
(D) by adding at the end the following:
‘‘(xvii) The amount (if any) of child
support collected on behalf of any indi-
vidual in the family, the amount (if any) of
any such collected support that has been
distributed to any such individual, and the
amount (if any) of such distributed sup-
port that has been disregarded pursuant to
section 408(a)(4).
‘‘(xviii) The number of families receiv-
ing child care assistance under section
418.
‘‘(xix) With respect to sanctions im-
posed under the program, the following in-
formation broken down by race and gen-
der:
‘‘(I) The number of families
against whom a sanction is in effect.
‘‘(II) The number of times sanc-
tions have been imposed.
‘‘(III) The reasons for imposition
of sanctions.
‘‘(IV) The percentage of sanction
determinations that have been re-
viewed.
‘‘(V) The percentage of reviewed
sanction determinations that have
been reversed.
‘‘(VI) The number of families
leaving the program as a result of
sanctions.
‘‘(xx) The number of families who
have returned to the program after having
left the program, and the length of the in-
tervening period.
‘‘(xxi) The percentage of families who
report having been notified of the option to
be assessed for and receive services to
manage a barrier to escaping poverty.’’;
and
(2) by redesignating paragraph (7) as para-
graph (8) and inserting after paragraph (6) the fol-
lowing:
‘‘(7) REPORT
ON
TRAINING.—The report re-
quired by paragraph (1) for a fiscal quarter shall in-
clude a statement of the percentage of caseworkers,
supervisors, and new employees who received train-
ing to carry out the State program funded under
this part during the quarter.’’.
SEC. 502. ELIMINATION FROM SECRETARIAL REPORT TO
THE CONGRESS OF INFORMATION ON OUT-
OF-WEDLOCK PREGNANCIES.
Section 411(b)(1)(B)(ii) (42 U.S.C. 611(b)(1)(B)(ii))
is amended by striking ‘‘out-of-wedlock pregnancies and’’.
SEC. 503. ACCESS TO WELFARE; WELFARE OUTCOMES.
Section 411 (42 U.S.C. 611) is amended by adding
at the end the following:
‘‘(c) ANNUAL REPORTS ON WELFARE ACCESS AND
OUTCOMES.—
‘‘(1) STATE REPORTS.—Not later than January
1 of each fiscal year, each eligible State shall collect
and report to the Secretary, with respect to the pre-
ceding fiscal year, the following information:
‘‘(A) The number of applications for as-
sistance from the State program funded under
this part, the percentage that are approved
versus those that are disapproved, and the rea-
sons for disapproval, broken down by race.
‘‘(B) A copy of all rules and policies gov-
erning the State program funded under this
part that are not required by Federal law, and
a summary of the rules and policies, including
the amounts and types of assistance provided
and the types of sanctions imposed under the
program.
‘‘(C) The types of occupations of, types of
job training received by, and types and levels of
educational attainment of recipients of assist-
ance from the State program funded under this
part, broken down by gender and race.
‘‘(D) The incidence of homelessness, of the
use of food pantries and soup kitchens, and of
the use of shelters among recipients of assist-
ance from the State program funded under this
part and among individuals to whom assistance
under the State programs funded are this part
has ended within the past 12 months. The in-
formation described in this subparagraph may
be provided by submitting disaggregated case
record information on a sample of families.
‘‘(E) The number of individuals to whom
assistance under the State program funded
under this part has ended during the year, bro-
ken down by the reasons why the assistance has
ended (including employment, marriage, sanc-
tion, time limit, or State policy.
‘‘(F) The economic conditions of individ-
uals to whom assistance under the State pro-
grams funded are this part has ended, including
the types of occupations of, the duration of em-
ployment of, the income of, the benefits pro-
vided to, the types of job training received by,
the types and levels of educational attainment
of, and the incidence of homelessness, of the
use of food pantries or soup kitchens, and of
the use of shelters among, such individuals, bro-
ken down by gender and race.
‘‘(G) The effects of applying the 5-year
time limit to individuals who, in the absence of
the limit, would continue to be eligible for as-
sistance from the State program funded under
this part, including the economic and social cir-
cumstances of the individuals, including income,
employment, homelessness, use of food pantries
or soup kitchens, and change in child custody
arrangements.
‘‘(2) USE OF SAMPLING.—A State may comply
with this subsection by using a scientifically accept-
able sampling method approved by the Secretary.
‘‘(3) REPORT TO THE CONGRESS.—Not later
than June 1 of each fiscal year, the Secretary shall
prepare and submit to the Committee on Ways and
Means of the House of Representatives and the
Committee on Finance of the Senate, publish in the
Federal Register, and make available to the public
a compilation of the reports submitted pursuant to
paragraph (1) for the preceding fiscal year.’’.
SEC. 504. ASSESSMENT OF REGIONAL ECONOMIES TO IDEN-
TIFY HIGHER ENTRY LEVEL WAGE OPPORTU-
NITIES 
IN 
INDUSTRIES 
EXPERIENCING
LABOR SHORTAGES.
Section 411 (42 U.S.C. 611) is further amended by
adding at the end the following:
‘‘(d) ASSESSMENT
OF REGIONAL ECONOMIES
TO
IDENTIFY HIGHER ENTRY LEVEL WAGE OPPORTUNITIES
IN INDUSTRIES EXPERIENCING LABOR SHORTAGES.—
‘‘(1) IN GENERAL.—An eligible State shall con-
duct annually an assessment of its regional econo-
mies that are experiencing a labor shortage and that
provide higher entry-level wage opportunities for job
seekers pursuant to section 402(a)(8).
‘‘(2) MATTERS TO BE ASSESSED.—
‘‘(A) LABOR
MARKET.—The assessment
shall—
‘‘(i) identify industries or occupations
that have or expect to grow, that have or
expect a loss of skilled workers, or that
have a need for workers;
‘‘(ii) identify the entry-level education
and skills requirements for the industries
or occupations that have or expect a need
for workers; and
‘‘(iii) analyze the entry-level wages
and benefits in identified industries or oc-
cupations.
‘‘(B) JOB SEEKERS.—The assessment shall
create a profile of the characteristics of the un-
employed and underemployed residents of the
State, including educational attainment, bar-
riers to employment, geographic concentrations,
self-sufficiency needs, and access to needed sup-
port services.
‘‘(C) EDUCATION
AND
TRAINING
INFRA-
STRUCTURE.—The assessment shall create a
profile of the education, training, and support
services in place in the State to prepare workers
for the industries or occupations identified pur-
suant to subparagraph (A).
‘‘(D) ALIGNING
INDUSTRIES
AND
JOB
SEEKERS.—The assessment shall compare the
characteristics of the industries or occupations
identified pursuant to subparagraph (A) to the
profile of the job seekers in the State and the
profile of the education and training infrastruc-
ture in the State.
‘‘(3) SHARING OF INFORMATION WITH LOCAL-
ITIES.—The State shall share with the political sub-
divisions of the State information obtained pursuant
to this subsection regarding higher entry-wage job
opportunities in industries experiencing labor short-
ages, and information regarding opportunities for
collaboration with institutions of higher education,
community-based organizations, and economic devel-
opment and welfare agencies.
‘‘(4) REPORTS OF ASSESSMENT OF REGIONAL
ECONOMIES.—Each eligible state shall submit to the
Secretary annually a report hat contains the annual
assessment conducted pursuant to this subsection.’’.
SEC. 505. RESEARCH, EVALUATIONS, AND NATIONAL STUD-
IES.
Section 413 (42 U.S.C. 613) is amended—
(1) in subsection (a), by striking the 2nd sen-
tence;
(2) in subsection (b)—
(A) in the subsection heading by striking
‘‘WELFARE DEPENDENCY’’ and inserting ‘‘POV-
ERTY’’; and
(B) in paragraph (1), by striking ‘‘welfare
dependency’’ and inserting ‘‘poverty’’;
(3) by striking subsections (d), (e), (g), and (j);
(4) in subsection (h)—
(A) in paragraph (1)—
(i) in subparagraph (B), by striking
welfare dependency’’ and inserting ‘‘pov-
erty’’; and
(ii) in subparagraph (C), by striking
‘‘(f)’’ and inserting ‘‘(d)’’; and
(B) by adding at the end the following:
‘‘(4) TECHNICAL ASSISTANCE IN ASSESSING RE-
GIONAL ECONOMIES.—
‘‘(A) IN
GENERAL.—The Secretary may
provide technical assistance to an eligible State
to enable the State to conduct the assessments
required by section 411(d).
‘‘(B) LIMITATIONS ON AUTHORIZATION OF
APPROPRIATIONS.—For the cost of providing
technical assistance under subparagraph (A),
there are authorized to be appropriated to the
Secretary not more than $1,500,000 for each of
fiscal years 2002 through 2008.’’;
(5) in subsection (i)—
(A) in paragraph (1), by adding at the end
the following: ‘‘The statement shall include de-
tailed information on the depth of child poverty
in the State.’’; and
(B) in paragraph (5), by inserting ‘‘and
the depth of child poverty’’ before ‘‘in the
State’’; and
(6) by redesignating subsections (f), (h), and (i)
as subsections (d) through (f), respectively.
SEC. 506. STUDY BY THE CENSUS BUREAU.
Section 414(a) (42 U.S.C. 614(a)) is amended by
striking all that follows ‘‘low-income families’’ and insert-
ing a period.
TITLE VI—WAIVERS
SEC. 601. WAIVERS.
Section 415(a) (42 U.S.C. 615(a)) is amended in
each of paragraphs (1)(A) and (2)(A) by striking ‘‘(deter-
mined without regard to any extensions)’’.
TITLE VII—REPEAL OF LIMITA-
TION ON FEDERAL AUTHOR-
ITY.
SEC. 701. REPEAL OF LIMITATION ON FEDERAL AUTHOR-
ITY.
Section 417 (42 U.S.C. 617) is repealed.
TITLE VIII—MINIMUM BENEFIT
RULES
SEC. 801. MINIMUM BENEFIT RULES.
Part A of title IV (42 U.S.C. 601–619), as amended
by section 701 of this Act, is amended by inserting after
section 416 the following:
‘‘SEC. 417. MINIMUM BENEFIT RULES.
‘‘(a) IN GENERAL.—After taking into account all
costs of living and family size in each State with a pro-
gram funded under this part, the Secretary shall, by regu-
lation, prescribe a minimum cash benefit in accordance
with subsection (b), which shall be payable by the State
to each recipient of assistance under the program.
‘‘(b) LIMITATION.—The minimum cash benefit pre-
scribed for a family under subsection (a) shall be an
amount that is not less than the sum of the poverty line
applicable to the family, plus the amount (if any) by which
the housing costs of the family exceeds 30 percent of the
poverty line applicable to the family.’’.
TITLE IX—CHILD CARE
SEC. 901. INDIVIDUAL ENTITLEMENT TO CHILD CARE.
Section 418 (42 U.S.C. 618) is amended—
(1) by striking subsection (b) and inserting the
following:
‘‘(b) USE OF FUNDS TO PROVIDE INDIVIDUAL ENTI-
TLEMENT TO CHILD CARE.—A State to which a grant is
made under this section shall use the grant, without fiscal
year limitation, only to guarantee safe, appropriate, af-
fordable, and quality care for any child of (or with respect
to whom any of the following is acting as a caretaker rel-
ative)—
‘‘(1) any recipient of assistance under the State
program funded under this part who is employed or
participating in a work activity required pursuant to
this part (except for full-time participation in a work
activity described in section 407(d)(12)); and
‘‘(2) any other employed individual who is a
member of a family whose income is less than 250
percent of the poverty line and who, during the past
24 months, ceased to receive assistance under any
State program funded under this part.’’; and
(2) in subsection (c), by inserting ‘‘, but subject
to subsection (b) of this section’’ after the 1st
comma.
TITLE X—DEFINITION OF
POVERTY LINE
SEC. 1001. DEFINITION OF POVERTY LINE.
Section 419 (42 U.S.C. 619) is amended by adding
at the end the following:
‘‘(6) POVERTY LINE.—The term ‘poverty line’
has the meaning given the term in section 673(2) of
the Omnibus Budget Reconciliation Act of 1981, in-
cluding any revision required by such section appli-
cable to a family of the size involved.’’.
TITLE XI—SERVICE PROVIDERS
SEC. 1101. PROTECTION FOR BENEFICIARIES.
Section 104 of the Personal Responsibility and Work
Opportunity Reconciliation Act of 1996 (42 U.S.C. 604a)
is amended—
(1) in subsection (e), by striking ‘‘RIGHTS OF
BENEFICIARIES
OF
ASSISTANCE’’ and inserting
‘‘PROTECTION FOR BENEFICIARIES’’; and
(2) by adding at the end the following:
‘‘(l) NO DISCRIMINATION IN HIRING WITH TAX-
PAYER DOLLARS.—Sections 702 and 703(e)(2) of the
Civil Rights Act of 1964 shall not apply to a nongovern-
mental organization that receives funds under a program
described in subsection (a)(2) of this section with respect
to an individual who provides, or would provide, services
funded in whole or in part under such a program, or indi-
viduals whose employment is, or would be, funded in whole
or in part under such a program.
‘‘(m) BENEFICIARY RIGHTS.—A nongovernmental
organization that receives funds under a program funded