H. R. 2015—353
(b) CLERICAL AMENDMENT.—The table of sections as contained
in section 2 of the Personal Responsibility and Work Opportunity
Reconciliation Act of 1996 is amended by adding after the item
relating to section 412 the following:
‘‘Sec. 413. Authorization for verification of eligibility for state and local public bene-
fits.’’.
SEC. 5308. EFFECTIVE DATE.
Except as otherwise provided, the amendments made by this
subtitle shall be effective as if included in the enactment of title
IV of the Personal Responsibility and Work Opportunity Reconcili-
ation Act of 1996.
Subtitle E—Unemployment Compensation
SEC. 5401. CLARIFYING PROVISION RELATING TO BASE PERIODS.
(a) IN GENERAL.—No provision of a State law under which
the base period for such State is defined or otherwise determined
shall, for purposes of section 303(a)(1) of the Social Security Act
(42 U.S.C. 503(a)(1)), be considered a provision for a method of
administration.
(b) DEFINITIONS.—For purposes of this section, the terms ‘‘State
law’’, ‘‘base period’’, and ‘‘State’’ shall have the meanings given
them under section 205 of the Federal-State Extended Unemploy-
ment Compensation Act of 1970 (26 U.S.C. 3304 note).
(c) EFFECTIVE DATE.—This section shall apply for purposes
of any period beginning before, on, or after the date of the enactment
of this Act.
SEC. 5402. INCREASE IN FEDERAL UNEMPLOYMENT ACCOUNT CEIL-
ING.
(a) IN GENERAL.—Section 902(a)(2) (42 U.S.C. 1102(a)(2)) is
amended by striking ‘‘0.25 percent’’ and inserting ‘‘0.5 percent’’.
(b) EFFECTIVE DATE.—This section and the amendment made
by this section—
(1) shall take effect on October 1, 2001, and
(2) shall apply to fiscal years beginning on or after that
date.
SEC. 5403. SPECIAL DISTRIBUTION TO STATES FROM UNEMPLOYMENT
TRUST FUND.
(a) IN GENERAL.—Subsection (a) of section 903 (42 U.S.C.
1103(a)) is amended by adding at the end the following new para-
graph:
‘‘(3)(A) Notwithstanding any other provision of this section,
for purposes of carrying out this subsection with respect to any
excess amount (referred to in paragraph (1)) remaining in the
employment security administration account as of the close of fiscal
year 1999, 2000, or 2001, such amount shall—
‘‘(i) to the extent of any amounts not in excess of
$100,000,000, be subject to subparagraph (B), and
‘‘(ii) to the extent of any amounts in excess of $100,000,000,
be subject to subparagraph (C).
‘‘(B) Paragraphs (1) and (2) shall apply with respect to any
amounts described in subparagraph (A)(i), except that—
‘‘(i) in carrying out the provisions of paragraph (2)(B) with
respect to such amounts (to determine the portion of such
H. R. 2015—354
amounts which is to be allocated to a State for a succeeding
fiscal year), the ratio to be applied under such provisions shall
be the same as the ratio that—
‘‘(I) the amount of funds to be allocated to such State
for such fiscal year pursuant to the base allocation formula
under title III, bears to
‘‘(II) the total amount of funds to be allocated to all
States for such fiscal year pursuant to the base allocation
formula under title III,
as determined by the Secretary of Labor, and
‘‘(ii) the amounts allocated to a State pursuant to this
subparagraph shall be available to such State, subject to the
last sentence of subsection (c)(2).
Nothing in this paragraph shall preclude the application of sub-
section (b) with respect to any allocation determined under this
subparagraph.
‘‘(C) Any amounts described in clause (ii) of subparagraph (A)
(remaining in the employment security administration account as
of the close of any fiscal year specified in such subparagraph)
shall, as of the beginning of the succeeding fiscal year, accrue
to the Federal unemployment account, without regard to the limit
provided in section 902(a).’’.
(b) CONFORMING AMENDMENT.—Paragraph (2) of section 903(c)
of the Social Security Act is amended by adding at the end, as
a flush left sentence, the following:
‘‘Any amount allocated to a State under this section for fiscal
year 2000, 2001, or 2002 may be used by such State only to
pay expenses incurred by it for the administration of its unemploy-
ment compensation law, and may be so used by it without regard
to any of the conditions prescribed in any of the preceding provisions
of this paragraph.’’.
SEC. 5404. INTEREST-FREE ADVANCES TO STATE ACCOUNTS IN
UNEMPLOYMENT TRUST FUND RESTRICTED TO STATES
WHICH MEET FUNDING GOALS.
(a) IN GENERAL.—Paragraph (2) of section 1202(b) (42 U.S.C.
1322(b)) is amended—
(1) by striking ‘‘and’’ at the end of subparagraph (A),
(2) by striking the period at the end of subparagraph (B)
and inserting ‘‘, and’’, and
(3) by adding at the end the following new subparagraph:
‘‘(C) such State meets funding goals, established under
regulations issued by the Secretary of Labor, relating to the
accounts of the States in the Unemployment Trust Fund.’’.
(b) EFFECTIVE DATE.—The amendments made by this section
shall apply to calendar years beginning after the date of the enact-
ment of this Act.
SEC. 5405. EXEMPTION OF SERVICE PERFORMED BY ELECTION WORK-
ERS FROM THE FEDERAL UNEMPLOYMENT TAX.
(a) IN GENERAL.—Paragraph (3) of section 3309(b) of the
Internal Revenue Code of 1986 (relating to exemption for certain
services) is amended—
(1) by striking ‘‘or’’ at the end of subparagraph (D),
(2) by adding ‘‘or’’ at the end of subparagraph (E), and
(3) by inserting after subparagraph (E) the following new
subparagraph:
H. R. 2015—355
‘‘(F) as an election official or election worker if the
amount of remuneration received by the individual during
the calendar year for services as an election official or
election worker is less than $1,000;’’.
(b) EFFECTIVE DATE.—The amendments made by this section
shall apply with respect to service performed after the date of
the enactment of this Act.
SEC. 5406. TREATMENT OF CERTAIN SERVICES PERFORMED BY
INMATES.
(a) IN GENERAL.—Subsection (c) of section 3306 of the Internal
Revenue Code of 1986 (defining employment) is amended—
(1) by striking ‘‘or’’ at the end of paragraph (19),
(2) by striking the period at the end of paragraph (20)
and inserting ‘‘; or’’, and
(3) by adding at the end the following new paragraph:
‘‘(21) service performed by a person committed to a penal
institution.’’.
(b) EFFECTIVE DATE.—The amendments made by this section
shall apply with respect to service performed after January 1,
1994.
SEC. 5407. EXEMPTION OF SERVICE PERFORMED FOR AN ELEMENTARY
OR SECONDARY SCHOOL OPERATED PRIMARILY FOR
RELIGIOUS PURPOSES FROM THE FEDERAL UNEMPLOY-
MENT TAX.
(a) IN GENERAL.—Paragraph (1) of section 3309(b) of the
Internal Revenue Code of 1986 (relating to exemption for certain
services) is amended—
(1) by striking ‘‘or’’ at the end of subparagraph (A), and
(2) by inserting before the semicolon at the end the follow-
ing: ‘‘, or (C) an elementary or secondary school which is oper-
ated primarily for religious purposes, which is described in
section 501(c)(3), and which is exempt from tax under section
501(a)’’.
(b) EFFECTIVE DATE.—The amendments made by this section
shall apply with respect to service performed after the date of
the enactment of this Act.
SEC. 5408. STATE PROGRAM INTEGRITY ACTIVITIES FOR UNEMPLOY-
MENT COMPENSATION.
Section 901(c) (42 U.S.C. 1101(c)) is amended by adding at
the end the following new paragraph:
‘‘(5)(A) There are authorized to be appropriated out of the
employment security administration account to carry out program
integrity activities, in addition to any amounts available under
paragraph (1)(A)(i)—
‘‘(i) $89,000,000 for fiscal year 1998;
‘‘(ii) $91,000,000 for fiscal year 1999;
‘‘(iii) $93,000,000 fiscal year 2000;
‘‘(iv) $96,000,000 for fiscal year 2001; and
‘‘(v) $98,000,000 for fiscal year 2002.
‘‘(B) In any fiscal year in which a State receives funds appro-
priated pursuant to this paragraph, the State shall expend a propor-
tion of the funds appropriated pursuant to paragraph (1)(A)(i) to
carry out program integrity activities that is not less than the
proportion of the funds appropriated under such paragraph that
H. R. 2015—356
was expended by the State to carry out program integrity activities
in fiscal year 1997.
‘‘(C) For purposes of this paragraph, the term ‘program integrity
activities’ means initial claims review activities, eligibility review
activities, benefit payments control activities, and employer liability
auditing activities.’’.
Subtitle F—Welfare Reform Technical
Corrections
CHAPTER 1—BLOCK GRANTS FOR TEMPORARY
ASSISTANCE TO NEEDY FAMILIES
SEC. 5501. ELIGIBLE STATES; STATE PLAN.
(a) LATER DEADLINE FOR SUBMISSION OF STATE PLANS.—Section
402(a) (42 U.S.C. 602(a)) is amended by striking ‘‘2-year period
immediately preceding’’ and inserting ‘‘27-month period ending with
the close of the 1st quarter of’’.
(b) CLARIFICATION OF SCOPE OF WORK PROVISIONS.—Section
402(a)(1)(A)(ii) (42 U.S.C. 602(a)(1)(A)(ii)) is amended by inserting
‘‘, consistent with section 407(e)(2)’’ before the period.
(c) CORRECTION OF CROSS-REFERENCE.—Section 402(a)(1)(A)(v)
(42 U.S.C. 602(a)(1)(A)(v)) is amended by striking ‘‘403(a)(2)(B)’’
and inserting ‘‘403(a)(2)(C)(iii)’’.
(d) NOTIFICATION
OF PLAN AMENDMENTS.—Section 402 (42
U.S.C. 602) is amended—
(1) by redesignating subsection (b) as subsection (c) and
inserting after subsection (a) the following:
‘‘(b) PLAN AMENDMENTS.—Within 30 days after a State amends
a plan submitted pursuant to subsection (a), the State shall notify
the Secretary of the amendment.’’; and
(2) in subsection (c) (as so redesignated), by inserting ‘‘or
plan amendment’’ after ‘‘plan’’.
SEC. 5502. GRANTS TO STATES.
(a) BONUS FOR DECREASE IN ILLEGITIMACY MODIFIED TO TAKE
ACCOUNT OF CERTAIN TERRITORIES.—
(1) 
IN
GENERAL.—Section 
403(a)(2)(B) 
(42 
U.S.C.
603(a)(2)(B)) is amended to read as follows:
‘‘(B) AMOUNT OF GRANT.—
‘‘(i) IN
GENERAL.—If, for a bonus year, none of
the eligible States is Guam, the Virgin Islands, or
American Samoa, then the amount of the grant shall
be—
‘‘(I) $20,000,000 if there are 5 eligible States;
or
‘‘(II) $25,000,000 if there are fewer than 5
eligible States.
‘‘(ii) 
AMOUNT
IF
CERTAIN
TERRITORIES
ARE
ELIGIBLE.—If, for a bonus year, Guam, the Virgin
Islands, or American Samoa is an eligible State, then
the amount of the grant shall be—
‘‘(I) in the case of such a territory, 25 percent
of the mandatory ceiling amount (as defined in
section 1108(c)(4)) with respect to the territory;
and
H. R. 2015—357
‘‘(II) in the case of a State that is not such
a territory—
‘‘(aa) if there are 5 eligible States other
than such territories, $20,000,000, minus 1⁄5
of the total amount of the grants payable
under this paragraph to such territories for
the bonus year; or
‘‘(bb) if there are fewer than 5 such eligible
States, $25,000,000, or such lesser amount as
may be necessary to ensure that the total
amount of grants payable under this para-
graph for the bonus year does not exceed
$100,000,000.’’.
(2) CERTAIN TERRITORIES TO BE IGNORED IN RANKING OTHER
STATES.—Section 
403(a)(2)(C)(i)(I)(aa) 
(42 
U.S.C.
603(a)(2)(C)(i)(I)(aa)) is amended by adding at the end the
following: ‘‘In the case of a State that is not a territory specified
in subparagraph (B), the comparative magnitude of the decrease
for the State shall be determined without regard to the mag-
nitude of the corresponding decrease for any such territory.’’.
(b) COMPUTATION
OF BONUS BASED
ON RATIOS
OF OUT-OF-
WEDLOCK BIRTHS TO ALL BIRTHS INSTEAD OF NUMBERS OF OUT-
OF-WEDLOCK BIRTHS.—Section 403(a)(2) (42 U.S.C. 603(a)(2)) is
amended—
(1) in the paragraph heading, by inserting ‘‘RATIO’’ before
the period;
(2) in subparagraph (A), by striking all that follows ‘‘bonus
year’’ and inserting a period; and
(3) in subparagraph (C)—
(A) in clause (i)—
(i) in subclause (I)(aa)—
(I) by striking ‘‘number of out-of-wedlock
births that occurred in the State during’’ and
inserting ‘‘illegitimacy ratio of the State for’’; and
(II) by striking ‘‘number of such births that
occurred during’’ and inserting ‘‘illegitimacy ratio
of the State for’’; and
(ii) in subclause (II)(aa)—
(I) by striking ‘‘number of out-of-wedlock
births that occurred in’’ each place such term
appears and inserting ‘‘illegitimacy ratio of’’; and
(II) by striking ‘‘calculate the number of out-
of-wedlock births’’ and inserting ‘‘calculate the
illegitimacy ratio’’; and
(B) by adding at the end the following:
‘‘(iii) ILLEGITIMACY RATIO.—The term ‘illegitimacy
ratio’ means, with respect to a State and a period—
‘‘(I) the number of out-of-wedlock births to
mothers residing in the State that occurred during
the period; divided by
‘‘(II) the number of births to mothers residing
in the State that occurred during the period.’’.
(c) USE OF CALENDAR YEAR DATA INSTEAD OF FISCAL YEAR
DATA
IN CALCULATING BONUS
FOR DECREASE
IN ILLEGITIMACY
RATIO.—Section 403(a)(2)(C) (42 U.S.C. 603(a)(2)(C)) is amended—
(1) in clause (i)—
(A) in subclause (I)(bb)—
H. R. 2015—359
‘‘(II) any amount paid to the State under para-
graph (3) during the fiscal year that is expended
by the State under the State program funded
under this part.’’.
(f) ADMINISTRATION OF CONTINGENCY FUND TRANSFERRED TO
THE SECRETARY OF HHS.—Section 403(b)(7) (42 U.S.C. 603(b)(7))
is amended to read as follows:
‘‘(7) STATE DEFINED.—As used in this subsection, the term
‘State’ means each of the 50 States and the District of Colum-
bia.’’.
SEC. 5503. USE OF GRANTS.
Section 404(a)(2) (42 U.S.C. 604(a)(2)) is amended by inserting
‘‘, or (at the option of the State) August 21, 1996’’ before the
period.
SEC. 5504. MANDATORY WORK REQUIREMENTS.
(a) FAMILY WITH A DISABLED PARENT NOT TREATED AS A 2-
PARENT FAMILY.—Section 407(b)(2) (42 U.S.C. 607(b)(2)) is amended
by adding at the end the following:
‘‘(C) FAMILY WITH A DISABLED PARENT NOT TREATED
AS A 2-PARENT FAMILY.—A family that includes a disabled
parent shall not be considered a 2-parent family for pur-
poses of subsections (a) and (b) of this section.’’.
(b) CORRECTION
OF HEADING.—Section 407(b)(3) (42 U.S.C.
607(b)(3)) is amended in the heading by inserting ‘‘AND NOT RESULT-
ING FROM CHANGES IN STATE ELIGIBILITY CRITERIA’’ before the period.
(c) STATE OPTION TO INCLUDE INDIVIDUALS RECEIVING ASSIST-
ANCE UNDER A TRIBAL WORK PROGRAM IN PARTICIPATION RATE
CALCULATION.—Section 407(b)(4) (42 U.S.C. 607(b)(4)) is amended—
(1) in the heading, by inserting ‘‘OR TRIBAL WORK PROGRAM’’
before the period; and
(2) by inserting ‘‘or under a tribal work program to which
funds are provided under this part’’ before the period.
(d) SHARING OF 35-HOUR WORK REQUIREMENT BETWEEN PAR-
ENTS
IN
2-PARENT
FAMILIES.—Section 407(c)(1)(B) (42 U.S.C.
607(c)(1)(B)) is amended—
(1) in clause (i)—
(A) by striking ‘‘is’’ and inserting ‘‘and the other parent
in the family are’’; and
(B) by inserting ‘‘a total of’’ before ‘‘at least’’; and
(2) in clause (ii)—
(A) by striking ‘‘individual’s spouse is’’ and inserting
‘‘individual and the other parent in the family are’’;
(B) by inserting ‘‘for a total of at least 55 hours per
week’’ before ‘‘during the month’’;
(C) by striking ‘‘20’’ and inserting ‘‘50’’; and
(D) by striking ‘‘or (7)’’ and inserting ‘‘(6), (7), (8),
or (12)’’.
(e) CLARIFICATION OF EFFORT REQUIRED IN WORK ACTIVITIES.—
Section 407(c)(1)(B) (42 U.S.C. 607(c)(1)(B)) is amended by striking
‘‘making progress’’ each place such term appears and inserting
‘‘participating’’.
(f) ADDITIONAL CONDITION UNDER WHICH 12 WEEKS OF JOB
SEARCH MAY COUNT AS WORK.—Section 407(c)(2)(A)(i) (42 U.S.C.
607(c)(2)(A)(i)) is amended by inserting ‘‘or the State is a needy
State (within the meaning of section 403(b)(6))’’ after ‘‘United
States’’.
H. R. 2015—360
(g) CARETAKER RELATIVE
OF CHILD UNDER AGE 6 DEEMED
TO BE MEETING WORK REQUIREMENTS IF ENGAGED IN WORK FOR
20 HOURS PER WEEK.—Section 407(c)(2)(B) (42 U.S.C. 607(c)(2)(B))
is amended—
(1) in the heading, by inserting ‘‘OR RELATIVE’’ after ‘‘PAR-
ENT’’ each place such term appears; and
(2) by striking ‘‘in a 1-parent family who is the parent’’
and inserting ‘‘who is the only parent or caretaker relative
in the family’’.
(h) EXTENSION
TO MARRIED TEENS
OF RULE THAT RECEIPT
OF SUFFICIENT EDUCATION IS ENOUGH TO MEET WORK PARTICIPA-
TION REQUIREMENTS.—Section 407(c)(2)(C) (42 U.S.C. 607(c)(2)(C))
is amended—
(1) in the heading, by striking ‘‘TEEN HEAD OF HOUSEHOLD’’
and inserting ‘‘SINGLE TEEN HEAD OF HOUSEHOLD OR MARRIED
TEEN’’;
(2) by striking ‘‘a single’’ and inserting ‘‘married or a’’;
and
(3) by striking ‘‘, subject to subparagraph (D) of this para-
graph,’’.
(i) CLARIFICATION
OF NUMBER
OF HOURS
OF PARTICIPATION
IN EDUCATION DIRECTLY RELATED
TO EMPLOYMENT THAT ARE
REQUIRED IN ORDER FOR SINGLE TEEN HEAD OF HOUSEHOLD OR
MARRIED TEEN TO BE DEEMED TO BE ENGAGED IN WORK.—Section
407(c)(2)(C)(ii) (42 U.S.C. 607(c)(2)(C)(ii)) is amended by striking
‘‘at least’’ and all that follows through ‘‘subsection’’ and inserting
‘‘an average of at least 20 hours per week during the month’’.
(j) CLARIFICATION
OF REFUSAL TO WORK
FOR PURPOSES
OF
WORK PENALTIES FOR INDIVIDUALS.—Section 407(e)(2) (42 U.S.C.
607(e)(2)) is amended by striking ‘‘work’’ and inserting ‘‘engage
in work required in accordance with this section’’.
SEC. 5505. PROHIBITIONS; REQUIREMENTS.
(a) ELIMINATION OF REDUNDANT LANGUAGE; CLARIFICATION OF
HOME
RESIDENCE
REQUIREMENT.—Section 408(a)(1) (42 U.S.C.
608(a)(1)) is amended to read as follows:
‘‘(1) NO
ASSISTANCE
FOR
FAMILIES
WITHOUT
A
MINOR
CHILD.—A State to which a grant is made under section 403
shall not use any part of the grant to provide assistance to
a family, unless the family includes a minor child who resides
with the family (consistent with paragraph (10)) or a pregnant
individual.’’.
(b) CLARIFICATION
OF TERMINOLOGY.—Section 408(a)(3) (42
U.S.C. 608(a)(3)) is amended—
(1) by striking ‘‘leaves’’ the 1st, 3rd, and 4th places such
term appears and inserting ‘‘ceases to receive assistance under’’;
and
(2) by striking ‘‘the date the family leaves the program’’
the 2nd place such term appears and inserting ‘‘such date’’.
(c) ELIMINATION OF SPACE.—Section 408(a)(5)(A)(ii) (42 U.S.C.
608(a)(5)(A)(ii)) is amended by striking ‘‘DESCRIBED.— For’’ and
inserting ‘‘DESCRIBED.—For’’.
(d) CORRECTIONS TO 5-YEAR LIMIT ON ASSISTANCE.—
(1) CLARIFICATION
OF
LIMITATION
ON
HARDSHIP
EXEMP-
TION.—Section 408(a)(7)(C)(ii) (42 U.S.C. 608(a)(7)(C)(ii)) is
amended—
H. R. 2015—361
(A) by striking ‘‘The number’’ and inserting ‘‘The aver-
age monthly number’’; and
(B) by inserting ‘‘during the fiscal year or the imme-
diately preceding fiscal year (but not both), as the State
may elect’’ before the period.
(2) RESIDENCE EXCEPTION MADE MORE UNIFORM AND EASIER
TO ADMINISTER.—Section 408(a)(7)(D) (42 U.S.C. 608(a)(7)(D))
is amended to read as follows:
‘‘(D) DISREGARD OF MONTHS OF ASSISTANCE RECEIVED
BY ADULT WHILE LIVING IN INDIAN COUNTRY OR AN ALASKAN
NATIVE VILLAGE WITH 50 PERCENT UNEMPLOYMENT.—
‘‘(i) IN GENERAL.—In determining the number of
months for which an adult has received assistance
under a State or tribal program funded under this
part, the State or tribe shall disregard any month
during which the adult lived in Indian country or an
Alaskan Native village if the most reliable data avail-
able with respect to the month (or a period including
the month) indicate that at least 50 percent of the
adults living in Indian country or in the village were
not employed.
‘‘(ii) INDIAN COUNTRY DEFINED.—As used in clause
(i), the term ‘Indian country’ has the meaning given
such term in section 1151 of title 18, United States
Code.’’.
(e) REINSTATEMENT OF DEEMING AND OTHER RULES APPLICABLE
TO ALIENS WHO ENTERED THE UNITED STATES UNDER AFFIDAVITS
OF SUPPORT FORMERLY USED.—Section 408 (42 U.S.C. 608), as
amended by section 5001(h)(1) of this Act, is amended by striking
subsection (e) and inserting the following:
‘‘(e) SPECIAL RULES RELATING
TO TREATMENT
OF CERTAIN
ALIENS.—For special rules relating to the treatment of certain
aliens, see title IV of the Personal Responsibility and Work Oppor-
tunity Reconciliation Act of 1996.
‘‘(f) SPECIAL RULES RELATING
TO
THE TREATMENT
OF NON-
213A ALIENS.—The following rules shall apply if a State elects
to take the income or resources of any sponsor of a non-213A
alien into account in determining whether the alien is eligible
for assistance under the State program funded under this part,
or in determining the amount or types of such assistance to be
provided to the alien:
‘‘(1) DEEMING OF SPONSOR’S INCOME AND RESOURCES.—For
a period of 3 years after a non-213A alien enters the United
States:
‘‘(A) INCOME DEEMING RULE.—The income of any spon-
sor of the alien and of any spouse of the sponsor is deemed
to be income of the alien, to the extent that the total
amount of the income exceeds the sum of—
‘‘(i) the lesser of—
‘‘(I) 20 percent of the total of any amounts
received by the sponsor or any such spouse in
the month as wages or salary or as net earnings
from self-employment, plus the full amount of any
costs incurred by the sponsor and any such spouse
in producing self-employment income in such
month; or
‘‘(II) $175;
H. R. 2015—362
‘‘(ii) the cash needs standard established by the
State for purposes of determining eligibility for assist-
ance under the State program funded under this part
for a family of the same size and composition as the
sponsor and any other individuals living in the same
household as the sponsor who are claimed by the spon-
sor as dependents for purposes of determining the
sponsor’s Federal personal income tax liability but
whose needs are not taken into account in determining
whether the sponsor’s family has met the cash needs
standard;
‘‘(iii) any amounts paid by the sponsor or any
such spouse to individuals not living in the household
who are claimed by the sponsor as dependents for
purposes of determining the sponsor’s Federal personal
income tax liability; and
‘‘(iv) any payments of alimony or child support
with respect to individuals not living in the household.
‘‘(B) RESOURCE
DEEMING
RULE.—The resources of a
sponsor of the alien and of any spouse of the sponsor
are deemed to be resources of the alien to the extent
that the aggregate value of the resources exceeds $1,500.
‘‘(C) SPONSORS
OF
MULTIPLE
NON-213A
ALIENS.—If a
person is a sponsor of 2 or more non-213A aliens who
are living in the same home, the income and resources
of the sponsor and any spouse of the sponsor that would
be deemed income and resources of any such alien under
subparagraph (A) shall be divided into a number of equal
shares equal to the number of such aliens, and the State
shall deem the income and resources of each such alien
to include 1 such share.
‘‘(2) INELIGIBILITY OF NON-213A ALIENS SPONSORED BY AGEN-
CIES; EXCEPTION.—A non-213A alien whose sponsor is or was
a public or private agency shall be ineligible for assistance
under a State program funded under this part, during a period
of 3 years after the alien enters the United States, unless
the State agency administering the program determines that
the sponsor either no longer exists or has become unable to
meet the alien’s needs.
‘‘(3) INFORMATION PROVISIONS.—
‘‘(A) DUTIES OF NON-213A ALIENS.—A non-213A alien,
as a condition of eligibility for assistance under a State
program funded under this part during the period of 3
years after the alien enters the United States, shall be
required to provide to the State agency administering the
program—
‘‘(i) such information and documentation with
respect to the alien’s sponsor as may be necessary
in order for the State agency to make any determina-
tion required under this subsection, and to obtain any
cooperation from the sponsor necessary for any such
determination; and
‘‘(ii) such information and documentation as the
State agency may request and which the alien or the
alien’s sponsor provided in support of the alien’s
immigration application.
H. R. 2015—363
‘‘(B) DUTIES
OF
FEDERAL
AGENCIES.—The Secretary
shall enter into agreements with the Secretary of State
and the Attorney General under which any information
available to them and required in order to make any deter-
mination under this subsection will be provided by them
to the Secretary (who may, in turn, make the information
available, upon request, to a concerned State agency).
‘‘(4) NON-213A
ALIEN
DEFINED.—An alien is a non-213A
alien for purposes of this subsection if the affidavit of support
or similar agreement with respect to the alien that was executed
by the sponsor of the alien’s entry into the United States
was executed other than pursuant to section 213A of the
Immigration and Nationality Act.
‘‘(5) INAPPLICABILITY TO ALIEN MINOR SPONSORED BY A PAR-
ENT.—This subsection shall not apply to an alien who is a
minor child if the sponsor of the alien or any spouse of the
sponsor is a parent of the alien.
‘‘(6) INAPPLICABILITY TO CERTAIN CATEGORIES OF ALIENS.—
This subsection shall not apply to an alien who is—
‘‘(A) admitted to the United States as a refugee under
section 207 of the Immigration and Nationality Act;
‘‘(B) paroled into the United States under section
212(d)(5) of such Act for a period of at least 1 year; or
‘‘(C) granted political asylum by the Attorney General
under section 208 of such Act.’’.
SEC. 5506. PENALTIES.
(a) STATES GIVEN MORE TIME TO FILE QUARTERLY REPORTS.—
Section 409(a)(2)(A) (42 U.S.C. 609(a)(2)(A)) is amended by striking
‘‘1 month’’ and inserting ‘‘45 days’’.
(b) TREATMENT OF SUPPORT PAYMENTS PASSED THROUGH TO
FAMILIES
AS
QUALIFIED
STATE
EXPENDITURES.—Section
409(a)(7)(B)(i)(I)(aa) (42 U.S.C. 609(a)(7)(B)(i)(I)(aa)) is amended by
inserting ‘‘, including any amount collected by the State as support
pursuant to a plan approved under part D, on behalf of a family
receiving assistance under the State program funded under this
part, that is distributed to the family under section 457(a)(1)(B)
and disregarded in determining the eligibility of the family for,
and the amount of, such assistance’’ before the period.
(c) DISREGARD OF EXPENDITURES MADE TO REPLACE PENALTY
GRANT
REDUCTIONS.—Section 
409(a)(7)(B)(i) 
(42 
U.S.C.
609(a)(7)(B)(i)) is amended by redesignating subclause (III) as sub-
clause (IV) and by inserting after subclause (II) the following:
‘‘(III) EXCLUSION OF AMOUNTS EXPENDED TO
REPLACE PENALTY GRANT REDUCTIONS.—Such term
does not include any amount expended in order
to comply with paragraph (12).’’.
(d) TREATMENT OF FAMILIES OF CERTAIN ALIENS AS ELIGIBLE
FAMILIES.—Section 409(a)(7)(B)(i)(IV) (42 U.S.C. 609(a)(7)(B)(i)(IV)),
as so redesignated by subsection (c) of this section, is amended—
(1) by striking ‘‘and families’’ and inserting ‘‘families’’; and
(2) by striking ‘‘Act or section 402’’ and inserting ‘‘Act,
and families of aliens lawfully present in the United States
that would be eligible for such assistance but for the application
of title IV’’.
H. R. 2015—364
(e) 
ELIMINATION
OF
MEANINGLESS
LANGUAGE.—Section
409(a)(7)(B)(ii) (42 U.S.C. 609(a)(7)(B)(ii)) is amended by striking
‘‘reduced (if appropriate) in accordance with subparagraph (C)(ii)’’.
(f) CLARIFICATION OF SOURCE OF DATA TO BE USED IN DETER-
MINING HISTORIC STATE EXPENDITURES.—Section 409(a)(7)(B) (42
U.S.C. 609(a)(7)(B)) is amended by adding at the end the following:
‘‘(v) SOURCE
OF
DATA.—In determining expendi-
tures by a State for fiscal years 1994 and 1995, the
Secretary shall use information which was reported
by the State on ACF Form 231 or (in the case of
expenditures under part F) ACF Form 331, available
as of the dates specified in clauses (ii) and (iii) of
section 403(a)(1)(D).’’.
(g) CONFORMING
TITLE
IV–A PENALTIES
TO
TITLE
IV–D
PERFORMANCE-BASED
STANDARDS.—Section 409(a)(8) (42 U.S.C.
609(a)(8)) is amended to read as follows:
‘‘(8) NONCOMPLIANCE OF STATE CHILD SUPPORT ENFORCE-
MENT PROGRAM WITH REQUIREMENTS OF PART D.—
‘‘(A) IN GENERAL.—If the Secretary finds, with respect
to a State’s program under part D, in a fiscal year begin-
ning on or after October 1, 1997—
‘‘(i)(I) on the basis of data submitted by a State
pursuant to section 454(15)(B), or on the basis of the
results of a review conducted under section 452(a)(4),
that the State program failed to achieve the paternity
establishment percentages (as defined in section
452(g)(2)), or to meet other performance measures that
may be established by the Secretary;
‘‘(II) on the basis of the results of an audit or
audits conducted under section 452(a)(4)(C)(i) that the
State data submitted pursuant to section 454(15)(B)
is incomplete or unreliable; or
‘‘(III) on the basis of the results of an audit or
audits conducted under section 452(a)(4)(C) that a
State failed to substantially comply with 1 or more
of the requirements of part D; and
‘‘(ii) that, with respect to the succeeding fiscal
year—
‘‘(I) the State failed to take sufficient corrective
action to achieve the appropriate performance lev-
els or compliance as described in subparagraph
(A)(i); or
‘‘(II) the data submitted by the State pursuant
to section 454(15)(B) is incomplete or unreliable;
the amounts otherwise payable to the State under this
part for quarters following the end of such succeeding
fiscal year, prior to quarters following the end of the first
quarter throughout which the State program has achieved
the paternity establishment percentages or other perform-
ance measures as described in subparagraph (A)(i)(I), or
is in substantial compliance with 1 or more of the require-
ments of part D as described in subparagraph (A)(i)(III),
as appropriate, shall be reduced by the percentage specified
in subparagraph (B).
‘‘(B) AMOUNT OF REDUCTIONS.—The reductions required
under subparagraph (A) shall be—
‘‘(i) not less than 1 nor more than 2 percent;
H. R. 2015—365
‘‘(ii) not less than 2 nor more than 3 percent,
if the finding is the 2nd consecutive finding made
pursuant to subparagraph (A); or
‘‘(iii) not less than 3 nor more than 5 percent,
if the finding is the 3rd or a subsequent consecutive
such finding.
‘‘(C) DISREGARD
OF
NONCOMPLIANCE
WHICH
IS
OF
A
TECHNICAL NATURE.—For purposes of this section and sec-
tion 452(a)(4), a State determined as a result of an audit—
‘‘(i) to have failed to have substantially complied
with 1 or more of the requirements of part D shall
be determined to have achieved substantial compliance
only if the Secretary determines that the extent of
the noncompliance is of a technical nature which does
not adversely affect the performance of the State’s
program under part D; or
‘‘(ii) to have submitted incomplete or unreliable
data pursuant to section 454(15)(B) shall be deter-
mined to have submitted adequate data only if the
Secretary determines that the extent of the incomplete-
ness or unreliability of the data is of a technical nature
which does not adversely affect the determination of
the level of the State’s paternity establishment percent-
ages (as defined under section 452(g)(2)) or other
performance measures that may be established by the
Secretary.’’.
(h) CORRECTION OF REFERENCE TO 5-YEAR LIMIT ON ASSIST-
ANCE.—Section 409(a)(9) (42 U.S.C. 609(a)(9)) is amended by strik-
ing ‘‘408(a)(1)(B)’’ and inserting ‘‘408(a)(7)’’.
(i) CORRECTION OF ERRORS IN PENALTY FOR FAILURE TO MEET
MAINTENANCE
OF
EFFORT
REQUIREMENT
APPLICABLE
TO
THE
CONTINGENCY FUND.—Section 409(a)(10) (42 U.S.C. 609(a)(10)) is
amended—
(1) by striking ‘‘the expenditures under the State program
funded under this part for the fiscal year (excluding any
amounts made available by the Federal Government)’’ and
inserting ‘‘the qualified State expenditures (as defined in para-
graph (7)(B)(i) (other than the expenditures described in sub-
clause (I)(bb) of that paragraph)) under the State program
funded under this part for the fiscal year’’;
(2) by inserting ‘‘excluding any amount expended by the
State for child care under subsection (g) or (i) of section 402
(as in effect during fiscal year 1994) for fiscal year 1994,’’
after ‘‘(as defined in paragraph (7)(B)(iii) of this subsection),’’;
and
(3) by inserting ‘‘that the State has not remitted under
section 403(b)(6)’’ before the period.
(j) PENALTY FOR STATE FAILURE TO EXPEND ADDITIONAL STATE
FUNDS TO REPLACE GRANT REDUCTIONS.—Section 409(a)(12) (42
U.S.C. 609(a)(12)) is amended—
(1) in the heading—
(A) by striking ‘‘FAILURE’’ and inserting ‘‘REQUIRE-
MENT’’; and
(B) by striking ‘‘REDUCTIONS’’ and inserting ‘‘REDUC-
TIONS; PENALTY FOR FAILURE TO DO SO’’; and
(2) by adding at the end the following: ‘‘If the State fails
during such succeeding fiscal year to make the expenditure
H. R. 2015—366
required by the preceding sentence from its own funds, the
Secretary may reduce the grant payable to the State under
section 403(a)(1) for the fiscal year that follows such succeeding
fiscal year by an amount equal to the sum of—
‘‘(A) not more than 2 percent of the State family assist-
ance grant; and
‘‘(B) the amount of the expenditure required by the
preceding sentence.’’.
(k) ELIMINATION
OF
CERTAIN
REASONABLE
CAUSE
EXCEP-
TIONS.—Section 409(b)(2) (42 U.S.C. 609(b)(2)) is amended by strik-
ing ‘‘(7) or (8)’’ and inserting ‘‘(6), (7), (8), (10), or (12)’’.
(l) CLARIFICATION OF WHAT IT MEANS TO CORRECT A VIOLA-
TION.—Section 409(c) (42 U.S.C. 609(c)) is amended—
(1) in each of subparagraphs (A) and (B) of paragraph
(1), by inserting ‘‘or discontinue, as appropriate,’’ after ‘‘correct’’;
(2) in paragraph (2)—
(A) in the heading, by inserting ‘‘OR DISCONTINUING’’
after ‘‘CORRECTING’’; and
(B) by inserting ‘‘or discontinues, as appropriate’’ after
‘‘corrects’’; and
(3) in paragraph (3)—
(A) in the heading, by inserting ‘‘OR DISCONTINUE’’ after
‘‘CORRECT’’; and
(B) by inserting ‘‘or discontinue, as appropriate,’’ before
‘‘the violation’’.
(m) CERTAIN PENALTIES NOT AVOIDABLE THROUGH CORRECTIVE
COMPLIANCE PLANS.—Section 409(c)(4) (42 U.S.C. 609(c)(4)) is
amended to read as follows:
‘‘(4) INAPPLICABILITY
TO
CERTAIN
PENALTIES.—This sub-
section shall not apply to the imposition of a penalty against
a State under paragraph (6), (7), (8), (10), or (12) of subsection
(a).’’.
(n) FAILURE TO SATISFY MINIMUM PARTICIPATION RATES.—Sec-
tion 409(a)(3) (42 U.S.C. 609(a)(3)) is amended—
(1) in subparagraph (A), by striking ‘‘not more than’’; and
(2) in subparagraph (C), by inserting before the period
the following: ‘‘or if the noncompliance is due to extraordinary
circumstances such as a natural disaster or regional recession.
The Secretary shall provide a written report to Congress to
justify any waiver or penalty reduction due to such extraor-
dinary circumstances’’.
SEC. 5507. DATA COLLECTION AND REPORTING.
Section 411(a) (42 U.S.C. 611(a)) is amended—
(1) in paragraph (1)—
(A) in subparagraph (A)—
(i) by striking clause (ii) and inserting the follow-
ing:
‘‘(ii) Whether a child receiving such assistance or
an adult in the family is receiving—
‘‘(I) Federal disability insurance benefits;
‘‘(II) benefits based on Federal disability sta-
tus;
‘‘(III) aid under a State plan approved under
title XIV (as in effect without regard to the amend-
ment made by section 301 of the Social Security
Amendments of 1972));
H. R. 2015—367
‘‘(IV) aid or assistance under a State plan
approved under title XVI (as in effect without
regard to such amendment) by reason of being
permanently and totally disabled; or
‘‘(V) supplemental security income benefits
under title XVI (as in effect pursuant to such
amendment) by reason of disability.’’;
(ii) in clause (iv), by striking ‘‘youngest child in’’
and inserting ‘‘head of’’;
(iii) in each of clauses (vii) and (viii), by striking
‘‘status’’ and inserting ‘‘level’’; and
(iv) by adding at the end the following:
‘‘(xvii) With respect to each individual in the family
who has not attained 20 years of age, whether the
individual is a parent of a child in the family.’’; and
(B) in subparagraph (B)—
(i) in the heading, by striking ‘‘ESTIMATES’’ and
inserting ‘‘SAMPLES’’; and
(ii) in clause (i), by striking ‘‘an estimate which
is obtained’’ and inserting ‘‘disaggregated case record
information on a sample of families selected’’; and
(2) by redesignating paragraph (6) as paragraph (7) and
inserting after paragraph (5) the following:
‘‘(6) REPORT
ON
FAMILIES
RECEIVING
ASSISTANCE.—The
report required by paragraph (1) for a fiscal quarter shall
include for each month in the quarter—
‘‘(A) the number of families and individuals receiving
assistance under the State program funded under this part
(including the number of 2-parent and 1-parent families);
and
‘‘(B) the total dollar value of such assistance received
by all families.’’.
SEC. 5508. DIRECT FUNDING AND ADMINISTRATION BY INDIAN TRIBES.
(a) PRORATING OF TRIBAL FAMILY ASSISTANCE GRANTS.—Section
412(a)(1)(A) (42 U.S.C. 612(a)(1)(A)) is amended by inserting ‘‘which
shall be reduced for a fiscal year, on a pro rata basis for each
quarter, in the case of a tribal family assistance plan approved
during a fiscal year for which the plan is to be in effect,’’ before
‘‘and shall’’.
(b) TRIBAL OPTION TO OPERATE WORK ACTIVITIES PROGRAM.—
Section 412(a)(2)(A) (42 U.S.C. 612(a)(2)(A)) is amended by striking
‘‘The Secretary’’ and all that follows through ‘‘2002’’ and inserting
‘‘For each of fiscal years 1997, 1998, 1999, 2000, 2001, and 2002,
the Secretary shall pay to each eligible Indian tribe that proposes
to operate a program described in subparagraph (C)’’.
(c) DISCRETION
OF TRIBES TO SELECT POPULATION TO BE
SERVED
BY
TRIBAL
WORK
ACTIVITIES
PROGRAM.—Section
412(a)(2)(C) (42 U.S.C. 612(a)(2)(C)) is amended by striking ‘‘mem-
bers of the Indian tribe’’ and inserting ‘‘such population and such
service area or areas as the tribe specifies’’.
(d) REDUCTION OF APPROPRIATION FOR TRIBAL WORK ACTIVITIES
PROGRAMS.—Section 412(a)(2)(D) (42 U.S.C. 612(a)(2)(D)) is amend-
ed by striking ‘‘$7,638,474’’ and inserting ‘‘$7,633,287’’.
(e) AVAILABILITY OF CORRECTIVE COMPLIANCE PLANS TO INDIAN
TRIBES.—Section 412(f)(1) (42 U.S.C. 612(f)(1)) is amended by strik-
ing ‘‘and (b)’’ and inserting ‘‘(b), and (c)’’.