IIA
104TH CONGRESS
1ST SESSION
H. R. 4
IN THE SENATE OF THE UNITED STATES
MARCH 29 (legislative day, MARCH 27), 1995
Received; read twice and referred to the Committee on Finance
AN ACT
To restore the American family, reduce illegitimacy, control
welfare spending and reduce welfare dependence.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Personal Responsibility
Act of 1995’’.
SEC. 2. TABLE OF CONTENTS.
The table of contents of this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
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TITLE I—BLOCK GRANTS FOR TEMPORARY ASSISTANCE FOR
NEEDY FAMILIES
Sec. 100. Sense of the Congress.
Sec. 101. Block grants to States.
Sec. 102. Report on data processing.
Sec. 103. Transfers.
Sec. 104. Conforming amendments to the Social Security Act.
Sec. 105. Conforming amendments to other laws.
Sec. 106. Continued application of current standards under medicaid program.
Sec. 107. Effective date.
TITLE II—CHILD PROTECTION BLOCK GRANT PROGRAM
Sec. 201. Establishment of program.
Sec. 202. Conforming amendments.
Sec. 203. Continued application of current standards under medicaid program.
Sec. 204. Effective date.
Sec. 205. Sense of the Congress regarding timely adoption of children.
TITLE III—BLOCK GRANTS FOR CHILD CARE AND FOR
NUTRITION ASSISTANCE
Subtitle A—Child Care Block Grants
Sec. 301. Amendments to the Child Care and Development Block Grant Act of
1990.
Sec. 302. Repeal of child care assistance authorized by Acts other than the So-
cial Security Act.
Subtitle B—Family and School-Based Nutrition Block Grants
CHAPTER 1—FAMILY NUTRITION BLOCK GRANT PROGRAM
Sec. 321. Amendment to Child Nutrition Act of 1966.
CHAPTER 2—SCHOOL-BASED NUTRITION BLOCK GRANT PROGRAM
Sec. 341. Amendment to National School Lunch Act.
CHAPTER 3—MISCELLANEOUS PROVISIONS
Sec. 361. Repealers.
Subtitle C—Other Repealers and Conforming Amendments
Sec. 371. Amendments to laws relating to child protection block grant.
Subtitle D—Related Provisions
Sec. 381. Requirement that data relating to the incidence of poverty in the
United States be published at least every 2 years.
Sec. 382. Data on program participation and outcomes.
Subtitle E—General Effective Date; Preservation of Actions, Obligations, and
Rights
Sec. 391. Effective date.
Sec. 392. Application of amendments and repealers.
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TITLE IV—RESTRICTING WELFARE AND PUBLIC BENEFITS FOR
ALIENS
Sec. 400. Statements of national policy concerning welfare and immigration.
Subtitle A—Eligibility for Federal Benefits Programs
Sec. 401. Ineligibility of illegal aliens for certain public benefits programs.
Sec. 402. Ineligibility of nonimmigrants for certain public benefits programs.
Sec. 403. Limited eligibility of immigrants for 5 specified Federal public bene-
fits programs.
Sec. 404. Notification.
Subtitle B—Eligibility for State and Local Public Benefits Programs
Sec. 411. Ineligibility of illegal aliens for State and local public benefits pro-
grams.
Sec. 412. Ineligibility of nonimmigrants for State and local public benefits pro-
grams.
Sec. 413. State authority to limit eligibility of immigrants for State and local
means-tested public benefits programs.
Subtitle C—Attribution of Income and Affidavits of Support
Sec. 421. Attribution of sponsor’s income and resources to family-sponsored im-
migrants.
Sec. 422. Requirements for sponsor’s affidavit of support.
Subtitle D—General Provisions
Sec. 431. Definitions.
Sec. 432. Construction.
Subtitle E—Conforming Amendments
Sec. 441. Conforming amendments relating to assisted housing.
TITLE V—FOOD STAMP REFORM AND COMMODITY DISTRIBUTION
Sec. 501. Short title.
Subtitle A—Commodity Distribution Provisions
Sec. 511. Short title.
Sec. 512. Availability of commodities.
Sec. 513. State, local and private supplementation of commodities.
Sec. 514. State plan.
Sec. 515. Allocation of commodities to States.
Sec. 516. Priority system for State distribution of commodities.
Sec. 517. Initial processing costs.
Sec. 518. Assurances; anticipated use.
Sec. 519. Authorization of appropriations.
Sec. 520. Commodity supplemental food program.
Sec. 521. Commodities not income.
Sec. 522. Prohibition against certain State charges.
Sec. 523. Definitions.
Sec. 524. Regulations.
Sec. 525. Finality of determinations.
Sec. 526. Sale of commodities prohibited.
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Sec. 527. Settlement and adjustment of claims.
Sec. 528. Repealers; amendments.
Subtitle B—Simplification and Reform of Food Stamp Program
Sec. 531. Short title.
CHAPTER 1—SIMPLIFIED FOOD STAMP PROGRAM AND STATE ASSISTANCE
FOR NEEDY FAMILIES
Sec. 541. Establishment of simplified food stamp program.
Sec. 542. Simplified food stamp program.
Sec. 543. Conforming amendments.
CHAPTER 2—FOOD STAMP PROGRAM
Sec. 551. Thrifty food plan.
Sec. 552. Income deductions and energy assistance.
Sec. 553. Vehicle allowance.
Sec. 554. Work requirements.
Sec. 555. Comparable treatment of disqualified individuals.
Sec. 556. Encourage electronic benefit transfer systems.
Sec. 557. Value of minimum allotment.
Sec. 558. Initial month benefit determination.
Sec. 559. Improving food stamp program management.
Sec. 560. Work supplementation or support program.
Sec. 561. Obligations and allotments.
CHAPTER 3—PROGRAM INTEGRITY
Sec. 571. Authority to establish authorization periods.
Sec. 572. Condition precedent for approval of retail food stores and wholesale
food concerns.
Sec. 573. Waiting period for retail food stores and wholesale food concerns that
are denied approval to accept coupons.
Sec. 574. Disqualification of retail food stores and wholesale food concerns.
Sec. 575. Authority to suspend stores violating program requirements pending
administrative and judicial review.
Sec. 576. Criminal forfeiture.
Sec. 577. Expanded definition of ‘‘coupon’’.
Sec. 578. Doubled penalties for violating food stamp program requirements.
Sec. 579. Disqualification of convicted individuals.
Sec. 580. Claims collection.
Sec. 581. Denial of food stamp benefits for 10 years to individuals found to
have fraudulently misrepresented residence in order to obtain
benefits simultaneously in 2 or more States.
Sec. 582. Disqualification relating to child support arrears.
Sec. 583. Elimination of food stamp benefits with respect to fugitive felons and
probation and parole violators.
Subtitle C—Effective Dates and Miscellaneous Provisions
Sec. 591. Effective dates.
Sec. 592. Sense of the Congress.
Sec. 593. Deficit reduction.
TITLE VI—SUPPLEMENTAL SECURITY INCOME
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Sec. 601. Denial of supplemental security income benefits by reason of disabil-
ity to drug addicts and alcoholics.
Sec. 602. Supplemental security income benefits for disabled children.
Sec. 603. Examination of mental listings used to determine eligibility of chil-
dren for SSI benefits by reason of disability.
Sec. 604. Limitation on payments to Puerto Rico, the Virgin Islands, and
Guam under programs of aid to the aged, blind, or disabled.
Sec. 605. Repeal of maintenance of effort requirements applicable to optional
State programs for supplementation of SSI benefits.
Sec. 606. Denial of SSI benefits for 10 years to individuals found to have
fraudulently misrepresented residence in order to obtain bene-
fits simultaneously in 2 or more States.
Sec. 607. Denial of SSI benefits for fugitive felons and probation and parole
violators.
TITLE VII—CHILD SUPPORT
Sec. 700. References.
Subtitle A—Eligibility for Services; Distribution of Payments
Sec. 701. State obligation to provide child support enforcement services.
Sec. 702. Distribution of child support collections.
Sec. 703. Privacy safeguards.
Subtitle B—Locate and Case Tracking
Sec. 711. State case registry.
Sec. 712. Collection and disbursement of support payments.
Sec. 713. State directory of new hires.
Sec. 714. Amendments concerning income withholding.
Sec. 715. Locator information from interstate networks.
Sec. 716. Expansion of the Federal Parent Locator Service.
Sec. 717. Collection and use of social security numbers for use in child support
enforcement.
Subtitle C—Streamlining and Uniformity of Procedures
Sec. 721. Adoption of uniform State laws.
Sec. 722. Improvements to full faith and credit for child support orders.
Sec. 723. Administrative enforcement in interstate cases.
Sec. 724. Use of forms in interstate enforcement.
Sec. 725. State laws providing expedited procedures.
Subtitle D—Paternity Establishment
Sec. 731. State laws concerning paternity establishment.
Sec. 732. Outreach for voluntary paternity establishment.
Sec. 733. Cooperation by applicants for and recipients of temporary family as-
sistance.
Subtitle E—Program Administration and Funding
Sec. 741. Federal matching payments.
Sec. 742. Performance-based incentives and penalties.
Sec. 743. Federal and State reviews and audits.
Sec. 744. Required reporting procedures.
Sec. 745. Automated data processing requirements.
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Sec. 746. Technical assistance.
Sec. 747. Reports and data collection by the Secretary.
Subtitle F—Establishment and Modification of Support Orders
Sec. 751. Simplified process for review and adjustment of child support orders.
Sec. 752. Furnishing consumer reports for certain purposes relating to child
support.
Subtitle G—Enforcement of Support Orders
Sec. 761. Federal income tax refund offset.
Sec. 762. Authority to collect support from Federal employees.
Sec. 763. Enforcement of child support obligations of members of the Armed
Forces.
Sec. 764. Voiding of fraudulent transfers.
Sec. 765. Sense of the Congress that States should suspend drivers’, business,
and occupational licenses of persons owing past-due child sup-
port.
Sec. 766. Work requirement for persons owing past-due child support.
Sec. 767. Definition of support order.
Sec. 768. Liens.
Sec. 769. State law authorizing suspension of licenses.
Subtitle H—Medical Support
Sec. 771. Technical correction to ERISA definition of medical child support
order.
Subtitle I—Enhancing Responsibility and Opportunity for Nonresidential
Parents
Sec. 781. Grants to States for access and visitation programs.
Subtitle J—Effect of Enactment
Sec. 791. Effective dates.
TITLE VIII—MISCELLANEOUS PROVISIONS
Sec. 801. Scoring.
Sec. 802. Provisions to encourage electronic benefit transfer systems.
TITLE I—BLOCK GRANTS FOR
TEMPORARY 
ASSISTANCE
FOR NEEDY FAMILIES
SEC. 100. SENSE OF THE CONGRESS.
It is the sense of the Congress that—
(1) marriage is the foundation of a successful
society;
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(2) marriage is an essential social institution
which promotes the interests of children and society
at large;
(3) the negative consequences of an out-of-wed-
lock birth on the child, the mother, and society are
well documented as follows:
(A) the illegitimacy rate among black
Americans was 26 percent in 1965, but today
the rate is 68 percent and climbing;
(B) the illegitimacy rate among white
Americans has risen tenfold, from 2.29 percent
in 1960 to 22 percent today;
(C) the total of all out-of-wedlock births
between 1970 and 1991 has risen from 10 per-
cent to 30 percent and if the current trend con-
tinues, 50 percent of all births by the year 2015
will be out-of-wedlock;
(D) 3⁄4 of illegitimate births among whites
are to women with a high school education or
less;
(E) the 1-parent family is 6 times more
likely to be poor than the 2-parent family;
(F) children born into families receiving
welfare assistance are 3 times more likely than
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children not born into families receiving welfare
to be on welfare when they reach adulthood;
(G) teenage single parent mothering is the
single biggest contributor to low birth weight
babies;
(H) children born out-of-wedlock are more
likely to experience low verbal cognitive attain-
ment, child abuse, and neglect;
(I) young people from single parent or
stepparent families are 2 to 3 times more likely
to have emotional or behavioral problems than
those from intact families;
(J) young white women who were raised in
a single parent family are more than twice as
likely to have children out-of-wedlock and to be-
come parents as teenagers, and almost twice as
likely to have their marriages end in divorce, as
are children from 2-parent families;
(K) the younger the single parent mother,
the less likely she is to finish high school;
(L) young women who have children before
finishing high school are more likely to receive
welfare assistance for a longer period of time;
(M) between 1985 and 1990, the public
cost of births to teenage mothers under the aid
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to families with dependent children program,
the food stamp program, and the medicaid pro-
gram has been estimated at $120,000,000,000;
(N) the absence of a father in the life of
a child has a negative effect on school perform-
ance and peer adjustment;
(O) the likelihood that a young black man
will engage in criminal activities doubles if he
is raised without a father and triples if he lives
in a neighborhood with a high concentration of
single parent families; and
(P) the greater the incidence of single par-
ent families in a neighborhood, the higher the
incidence of violent crime and burglary; and
(4) in light of this demonstration of the crisis
in our Nation, the reduction of out-of-wedlock births
is an important government interest and the policy
contained in provisions of this title address the
crisis.
SEC. 101. BLOCK GRANTS TO STATES.
Title IV of the Social Security Act (42 U.S.C. 601
et seq.) is amended by striking part A, except sections
403(h) and 417, and inserting the following:
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‘‘PART A—BLOCK GRANTS TO STATES FOR
TEMPORARY ASSISTANCE FOR NEEDY FAMILIES
‘‘SEC. 401. PURPOSE.
‘‘The purpose of this part is to increase the flexibility
of States in operating a program designed to—
‘‘(1) provide assistance to needy families so that
the children in such families may be cared for in
their homes or in the homes of relatives;
‘‘(2) end the dependence of needy parents on
government benefits by promoting work and mar-
riage; and
‘‘(3) discourage out-of-wedlock births.
‘‘SEC. 402. ELIGIBLE STATES; STATE PLAN.
‘‘(a) IN GENERAL.—As used in this part, the term
‘eligible State’ means, with respect to a fiscal year, a State
that, during the 3-year period immediately preceding the
fiscal year, has submitted to the Secretary a plan that in-
cludes the following:
‘‘(1) OUTLINE
OF
FAMILY
ASSISTANCE
PRO-
GRAM.—A written document that outlines how the
State intends to do the following:
‘‘(A) Conduct a program designed to—
‘‘(i) provide cash benefits to needy
families with children; and
‘‘(ii) provide parents of children in
such families with work experience, assist-
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ance in finding employment, and other
work preparation activities and support
services that the State considers appro-
priate to enable such families to leave the
program and become self-sufficient.
‘‘(B) Require at least 1 parent of a child
in any family which has received benefits for
more than 24 months (whether or not consecu-
tive) under the program to engage in work ac-
tivities (as defined by the State).
‘‘(C) Ensure that parents receiving assist-
ance under the program engage in work activi-
ties in accordance with section 404.
‘‘(D) Treat interstate immigrants, if fami-
lies including such immigrants are to be treated
differently than other families.
‘‘(E) Take such reasonable steps as the
State deems necessary to restrict the use and
disclosure of information about individuals and
families receiving benefits under the program.
‘‘(F) Take actions to reduce the incidence
of out-of-wedlock pregnancies, which may in-
clude providing unmarried mothers and unmar-
ried fathers with services which will help
them—
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‘‘(i) avoid subsequent pregnancies;
and
‘‘(ii) provide adequate care to their
children.
‘‘(G) Reduce teenage pregnancy, including
(at the option of the State) through the provi-
sion of education and counseling to male and
female teenagers.
‘‘(2) CERTIFICATION
THAT
THE
STATE
WILL
OPERATE
A
CHILD
SUPPORT
ENFORCEMENT
PRO-
GRAM.—A certification by the Governor of the State
that, during the fiscal year, the State will operate a
child support enforcement program under the State
plan approved under part D, in a manner that com-
plies with the requirements of such part.
‘‘(3) CERTIFICATION
THAT
THE
STATE
WILL
OPERATE A CHILD PROTECTION PROGRAM.—A cer-
tification by the Governor of the State that, during
the fiscal year, the State will operate a child protec-
tion program in accordance with part B, which in-
cludes a foster care program and an adoption assist-
ance program.
‘‘(b) DETERMINATIONS.—The Secretary shall deter-
mine whether a plan submitted pursuant to subsection (a)
contains the material required by subsection (a).
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‘‘SEC. 403. PAYMENTS TO STATES.
‘‘(a) ENTITLEMENTS.—
‘‘(1) GRANTS FOR FAMILY ASSISTANCE.—
‘‘(A) IN
GENERAL.—Each eligible State
shall be entitled to receive from the Secretary
for each of fiscal years 1996, 1997, 1998,
1999, and 2000 a grant in an amount equal to
the State family assistance grant for the fiscal
year.
‘‘(B) GRANT
INCREASED
TO
REWARD
STATES
THAT
REDUCE
OUT-OF-WEDLOCK
BIRTHS.—The amount of the grant payable to
a State under subparagraph (A) for fiscal year
1998 or any succeeding fiscal year shall be in-
creased by—
‘‘(i) 5 percent if the illegitimacy ratio
of the State for the fiscal year is at least
1 percentage point lower than the illegit-
imacy ratio of the State for fiscal year
1995; or
‘‘(ii) 10 percent if the illegitimacy
ratio of the State for the fiscal year is at
least 2 percentage points lower than the il-
legitimacy ratio of the State for fiscal year
1995.
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‘‘(2) SUPPLEMENTAL GRANTS TO ADJUST FOR
POPULATION INCREASES.—In addition to any grant
under paragraph (1), each eligible State shall be en-
titled to receive from the Secretary for each of fiscal
years 1997, 1998, 1999, and 2000, a grant in an
amount 
equal 
to 
the 
State 
proportion 
of
$100,000,000.
‘‘(b) DEFINITIONS.—As used in this section:
‘‘(1) STATE FAMILY ASSISTANCE GRANT.—
‘‘(A) IN GENERAL.—The term ‘State fam-
ily assistance grant’ means, with respect to a
fiscal year, the provisional State family assist-
ance grant adjusted in accordance with sub-
paragraph (C).
‘‘(B) PROVISIONAL STATE FAMILY ASSIST-
ANCE
GRANT.—The term ‘provisional State
family assistance grant’ means—
‘‘(i) the greater of—
‘‘(I) 1⁄3 of the total amount of ob-
ligations to the State under section
403 of this title (as in effect before
October 1, 1995) for fiscal years
1992, 1993, and 1994 (other than
with respect to amounts expended for
child care under subsection (g) or (i)
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of section 402 of this title (as so in ef-
fect)); or
‘‘(II) the total amount of obliga-
tions to the State under such section
403 for fiscal year 1994 (other than
with respect to amounts expended for
child care under subsection (g) or (i)
of section 402 of this title (as so in ef-
fect)); multiplied by
‘‘(ii)(I) the total amount of outlays to
all of the States under such section 403
for fiscal year 1994 (other than with re-
spect to amounts expended for child care
under subsection (g) or (i) of section 402
of this title (as so in effect)); divided by
‘‘(II) the total amount of obligations
to all of the States under such section 403
for fiscal year 1994 (other than with re-
spect to amounts expended for child care
under subsection (g) or (i) of section 402
of this title (as so in effect)).
‘‘(C) PROPORTIONAL
ADJUSTMENT.—The
Secretary shall determine the percentage (if
any) by which each provisional State family as-
sistance grant must be reduced or increased to
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ensure that the sum of such grants equals
$15,390,296,000, and shall adjust each provi-
sional State family assistance grant by the per-
centage so determined.
‘‘(2) ILLEGITIMACY RATIO.—The term ‘illegit-
imacy ratio’ means, with respect to a State and a
fiscal year—
‘‘(A) the sum of—
‘‘(i) the number of out-of-wedlock
births that occurred in the State during
the most recent fiscal year for which such
information is available; and
‘‘(ii) the amount (if any) by which the
number of abortions performed in the
State during the most recent fiscal year for
which such information is available exceeds
the number of abortions performed in the
State during the fiscal year that imme-
diately precedes such most recent fiscal
year; divided by
‘‘(B) the number of births that occurred in
the State during the most recent fiscal year for
which such information is available.
‘‘(3) STATE
PROPORTION.—The term ‘State
proportion’ means, with respect to a fiscal year, the
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amount that bears the same ratio to the amount
specified in subsection (a)(2) as the increase (if any)
in the population of the State for the most recent
fiscal year for which such information is available
over the population of the State for the fiscal year
that immediately precedes such most recent fiscal
year bears to the total increase in the population of
all States which have such an increase in population,
as determined by the Secretary using data from the
Bureau of the Census.
‘‘(4) FISCAL
YEAR.—The term ‘fiscal year’
means any 12-month period ending on September 30
of a calendar year.
‘‘(5) STATE.—The term ‘State’ includes the
several States, the District of Columbia, the Com-
monwealth of Puerto Rico, the United States Virgin
Islands, Guam, and American Samoa.
‘‘(c) USE OF GRANT.—
‘‘(1) IN GENERAL.—A State to which a grant
is made under this section may use the grant in any
manner that is reasonably calculated to accomplish
the purpose of this part, subject to this part, includ-
ing to provide noncash assistance to mothers who
have not attained 18 years of age and their children
and to provide low income households with assist-
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ance in meeting home heating and cooling costs.
Notwithstanding any other provision of this Act, a
State to which a grant is made under section 403
may not use any part of the grant to provide medi-
cal services.
‘‘(2) AUTHORITY TO TREAT INTERSTATE IMMI-
GRANTS UNDER RULES OF FORMER STATE.—A State
to which a grant is made under this section may
apply to a family the rules of the program operated
under this part of another State if the family has
moved to the State from the other State and has re-
sided in the State for less than 12 months.
‘‘(3) AUTHORITY TO USE PORTION OF GRANT
FOR OTHER PURPOSES.—
‘‘(A) IN GENERAL.—A State may use not
more than 30 percent of the amount of the
grant made to the State under this section for
a fiscal year to carry out a State program pur-
suant to any or all of the following provisions
of law:
‘‘(i) Part B of this title.
‘‘(ii) Title XX of this Act.
‘‘(iii) Any provision of law, enacted
into law during the 104th Congress, under
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which grants are made to States for food
and nutrition.
‘‘(iv) The Child Care and Develop-
ment Block Grant Act of 1990.
‘‘(B) APPLICABLE
RULES.—Any amount
paid to the State under this part that is used
to carry out a State program pursuant to a pro-
vision of law specified in subparagraph (A)
shall not be subject to the requirements of this
part, but shall be subject to the requirements
that apply to Federal funds provided directly
under the provision of law to carry out the
program.
‘‘(4) 
AUTHORITY
TO
RESERVE
CERTAIN
AMOUNTS
FOR
EMERGENCY
BENEFITS.—A State
may reserve amounts paid to the State under this
section for any fiscal year for the purpose of provid-
ing emergency assistance under the State program
operated under this part.
‘‘(5) IMPLEMENTATION OF ELECTRONIC BENE-
FIT TRANSFER SYSTEM.—A State to which a grant
is made under this section is encouraged to imple-
ment an electronic benefit transfer system for pro-
viding assistance under the State program funded
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under this part, and may use the grant for such
purpose.
‘‘(d) TIMING OF PAYMENTS.—The Secretary shall
pay each grant payable to a State under this section in
quarterly installments.
‘‘(e) PENALTIES.—
‘‘(1) FOR
USE
OF
GRANT
IN
VIOLATION
OF
THIS PART.—
‘‘(A) IN GENERAL.—If an audit conducted
pursuant to chapter 75 of title 31, United
States Code, finds that an amount paid to a
State under this section for a fiscal year has
been used in violation of this part, then the
Secretary shall reduce the amount of the grant
otherwise payable to the State under this sec-
tion for the immediately succeeding fiscal year
by the amount so used.
‘‘(B) LIMITATION
ON
AMOUNT
OF
PEN-
ALTY.—In carrying out subparagraph (A), the
Secretary shall not reduce any quarterly pay-
ment by more than 25 percent.
‘‘(C) CARRYFORWARD
OF
UNRECOVERED
PENALTIES.—To the extent that subparagraph
(B) prevents the Secretary from recovering dur-
ing a fiscal year the full amount of a penalty
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imposed on a State under subparagraph (A) for
a prior fiscal year, the Secretary shall apply
subparagraph (A) to the grant otherwise pay-
able to the State under this section for the im-
mediately succeeding fiscal year.
‘‘(2) FOR FAILURE TO SUBMIT REQUIRED RE-
PORT.—
‘‘(A) IN GENERAL.—If the Secretary deter-
mines that a State has not, within 6 months
after the end of a fiscal year, submitted the re-
port required by section 406 for the fiscal year,
the Secretary shall reduce by 3 percent the
amount of the grant that would (in the absence
of this subsection, subsection (a)(1)(B) of this
section, and section 404(c)(2)) be payable to
the State under subsection (a)(1)(A) for the im-
mediately succeeding fiscal year.
‘‘(B) RESCISSION OF PENALTY.—The Sec-
retary shall rescind a penalty imposed on a
State under subparagraph (A) with respect to a
report for a fiscal year if the State submits the
report before the end of the immediately suc-
ceeding fiscal year.
‘‘(3) FOR FAILURE TO PARTICIPATE IN THE IN-
COME AND ELIGIBILITY VERIFICATION SYSTEM.—If
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the Secretary determines that a State program fund-
ed under this part is not participating during a fis-
cal year in the income and eligibility verification sys-
tem required by section 1137, the Secretary shall re-
duce by 1 percent the amount of the grant that
would (in the absence of this subsection, subsection
(a)(1)(B) of this section, and section 404(c)(2)) be
payable to the State under subsection (a)(1)(A) for
the fiscal year.
‘‘(f) LIMITATION
ON FEDERAL AUTHORITY.—The
Secretary may not regulate the conduct of States under
this part or enforce any provision of this part, except to
the extent expressly provided in this part.
‘‘(g) FEDERAL RAINY DAY FUND.—
‘‘(1) ESTABLISHMENT.—There is hereby estab-
lished in the Treasury of the United States a revolv-
ing loan fund which shall be known as the ‘Federal
Rainy Day Fund’.
‘‘(2) DEPOSITS INTO FUND.—
‘‘(A) APPROPRIATION.—Out of any money
in the Treasury of the United States not other-
wise appropriated, $1,000,000,000 are hereby
appropriated for fiscal year 1996 for payment
to the Federal Rainy Day Fund.
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‘‘(B) LOAN REPAYMENTS.—The Secretary
shall deposit into the fund any principal or in-
terest payment received with respect to a loan
made under this subsection.
‘‘(3) AVAILABILITY.—Amounts in the fund are
authorized to remain available without fiscal year
limitation for the purpose of making loans and re-
ceiving payments of principal and interest on such
loans, in accordance with this subsection.
‘‘(4) USE OF FUND.—
‘‘(A) LOANS TO QUALIFIED STATES.—
‘‘(i) IN
GENERAL.—The Secretary
shall make loans from the fund to any
qualified State for a period to maturity of
not more than 3 years.
‘‘(ii) RATE OF INTEREST.—The Sec-
retary shall charge and collect interest on
any loan made under clause (i) at a rate
equal to the current average market yield
on outstanding marketable obligations of
the United States with remaining periods
to maturity comparable to the period to
maturity of the loan.
‘‘(iii) MAXIMUM LOAN.—The amount
of any loan made to a State under clause
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(i) during a fiscal year shall not exceed the
lesser of—
‘‘(I) 50 percent of the amount of
the grant payable to the State under
this section for the fiscal year; or
‘‘(II) $100,000,000.
‘‘(B) QUALIFIED
STATE
DEFINED.—A
State is a qualified State for purposes of sub-
paragraph (A) if the unemployment rate of the
State (as determined by the Bureau of Labor
Statistics) for the most recent 3-month period
for which such information is available is—
‘‘(i) more than 6.5 percent; and
‘‘(ii) at least 110 percent of such rate
for the corresponding 3-month period in ei-
ther of the 2 immediately preceding cal-
endar years.
‘‘SEC. 404. MANDATORY WORK REQUIREMENTS.
‘‘(a) PARTICIPATION RATE REQUIREMENTS.—
‘‘(1) REQUIREMENT APPLICABLE TO ALL FAMI-
LIES RECEIVING ASSISTANCE.—
‘‘(A) IN GENERAL.—A State to which a
grant is made under section 403 for a fiscal
year shall achieve the minimum participation
rate specified in the following table for the fis-
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cal year with respect to all families receiving as-
sistance under the State program funded under
this part:
The minimum
participation
‘‘If the fiscal year is:
rate is:
1996 ...............................................................
1997 ...............................................................
1998 ...............................................................
1999 ...............................................................
2000 ...............................................................
2001 ...............................................................
2002 ...............................................................
2003 or thereafter .........................................
50.
‘‘(B) PRO RATA REDUCTION OF PARTICIPA-
TION
RATE
DUE
TO
CASELOAD
REDUCTIONS
NOT REQUIRED BY FEDERAL LAW.—The mini-
mum participation rate otherwise required by
subparagraph (A) for a fiscal year shall be re-
duced by a percentage equal to the percentage
(if any) by which the number of families receiv-
ing assistance during the fiscal year under the
State program funded under this part is less
than the number of families that received aid
under the State plan approved under part A of
this title (as in effect before October 1, 1995)
during the fiscal year immediately preceding
such effective date, except to the extent that the
Secretary determines that the reduction in the
number of families receiving such assistance is
required by Federal law.
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‘‘(C) PARTICIPATION RATE.—For purposes
of this paragraph:
‘‘(i) AVERAGE MONTHLY RATE.—The
participation rate of a State for a fiscal
year is the average of the participation
rates of the State for each month in the
fiscal year.
‘‘(ii) 
MONTHLY
PARTICIPATION
RATES.—The participation rate of a State
for a month is—
‘‘(I) the number of families re-
ceiving cash assistance under the
State program funded under this part
which include an individual who is en-
gaged in work activities for the
month; divided by
‘‘(II) the total number of families
receiving cash assistance under the
State program funded under this part
during the month which include an in-
dividual who has attained 18 years of
age.
‘‘(iii) ENGAGED.—A recipient is en-
gaged in work activities for a month in a
fiscal year if the recipient is making
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The minimum
participation
‘‘If the fiscal year is:
rate is:
1996 ...............................................................
1997 ...............................................................
1998 or thereafter .........................................
90.
‘‘(B) PARTICIPATION RATE.—For purposes
of this paragraph:
‘‘(i) AVERAGE MONTHLY RATE.—The
participation rate of a State for a fiscal
year is the average of the participation
rates of the State for each month in the
fiscal year.
‘‘(ii) 
MONTHLY
PARTICIPATION
RATES.—The participation rate of a State
for a month is—
‘‘(I) the number of 2-parent fam-
ilies receiving cash assistance under
the State program funded under this
part which include at least 1 adult
who is engaged in work activities for
the month; divided by
‘‘(II) the total number of 2-par-
ent families receiving cash assistance
under the State program funded
under this part during the month.
‘‘(iii) ENGAGED.—An adult is engaged
in work activities for a month in a fiscal
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year if the adult is making progress in
such activities for at least 35 hours per
week during the month, not fewer than 30
hours per week of which are attributable to
an activity described in subparagraph (A),
(B), (C), or (D) of subsection (b)(1) (or, in
the case of the first 4 weeks for which the
recipient is required under this section to
participate in work activities, an activity
described in subsection (b)(1)(E)).
‘‘(b) DEFINITIONS.—As used in this section:
‘‘(1) WORK ACTIVITIES.—The term ‘work ac-
tivities’ means—
‘‘(A) unsubsidized employment;
‘‘(B) subsidized private sector employment;
‘‘(C) subsidized public sector employment
or work experience (including work associated
with the refurbishing of publicly assisted hous-
ing) only if sufficient private sector employment
is not available;
‘‘(D) on-the-job training;
‘‘(E) job search and job readiness assist-
ance;
‘‘(F) education directly related to employ-
ment, in the case of a recipient who has not at-
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tained 20 years of age, and has not received a
high school diploma or a certificate of high
school equivalency;
‘‘(G) job skills training directly related to
employment; or
‘‘(H) at the option of the State, satisfac-
tory attendance at secondary school, in the case
of a recipient who—
‘‘(i) has not completed secondary
school; and
‘‘(ii) is a dependent child, or a head of
household who has not attained 20 years
of age.
‘‘(2) FISCAL
YEAR.—The term ‘fiscal year’
means any 12-month period ending on September 30
of a calendar year.
‘‘(c) PENALTIES.—
‘‘(1) AGAINST INDIVIDUALS.—
‘‘(A) APPLICABLE TO ALL FAMILIES.—A
State to which a grant is made under section
403 shall ensure that the amount of cash as-
sistance paid under the State program funded
under this part to a recipient of assistance
under the program who refuses to engage (with-
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in the meaning of subsection (a)(1)(C)(iii)) in
work activities required under this section shall
be less than the amount of cash assistance that
would otherwise be paid to the recipient under
the program, subject to such good cause and
other exceptions as the State may establish.
‘‘(B) APPLICABLE
TO
2-PARENT
FAMI-
LIES.—A State to which a grant is made under
section 403 shall reduce the amount of cash as-
sistance otherwise payable to a 2-parent family
for a month under the State program funded
under this part with respect to an adult in the
family who is not engaged (within the meaning
of subsection (a)(2)(B)(iii)) in work activities
for at least 35 hours per week during the
month, pro rata (or more, at the option of the
State) with respect to any period during the
month for which the adult is not so engaged.
‘‘(C) LIMITATION ON FEDERAL AUTHOR-
ITY.—No officer or employee of the Federal
Government may regulate the conduct of States
under this paragraph or enforce this paragraph
against any State.
‘‘(2) AGAINST STATES.—
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‘‘(A) IN GENERAL.—If the Secretary deter-
mines that a State to which a grant is made
under section 403 for a fiscal year has failed to
comply with subsection (a) for the fiscal year,
the Secretary shall reduce by not more than 5
percent the amount of the grant that would (in
the absence of this paragraph and subsections
(a)(1)(B) and (e) of section 403) be payable to
the State under section 403(a)(1)(A) for the
immediately succeeding fiscal year.
‘‘(B) PENALTY
BASED
ON
SEVERITY
OF
FAILURE.—The Secretary shall impose reduc-
tions under subparagraph (A) based on the de-
gree of noncompliance.
‘‘(d) RULE OF INTERPRETATION.—This section shall
not be construed to prohibit a State from offering recipi-
ents of assistance under the State program funded under
this part an opportunity to participate in an education or
training program, consistent with the requirements of this
section.
‘‘(e) RESEARCH.—The Secretary shall conduct re-
search on the costs and benefits of State activities under
this section.
‘‘(f) EVALUATION OF INNOVATIVE APPROACHES TO
EMPLOYING
RECIPIENTS
OF
ASSISTANCE.—The Sec-
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retary shall evaluate innovative approaches to employing
recipients of assistance under State programs funded
under this part.
‘‘(g) ANNUAL RANKING OF STATES AND REVIEW OF
MOST AND LEAST SUCCESSFUL WORK PROGRAMS.—
‘‘(1) ANNUAL RANKING OF STATES.—The Sec-
retary shall rank the States to which grants are paid
under section 403 in the order of their success in
moving recipients of assistance under the State pro-
gram funded under this part into long-term private
sector jobs.
‘‘(2) ANNUAL
REVIEW
OF
MOST
AND
LEAST
SUCCESSFUL WORK PROGRAMS.—The Secretary shall
review the programs of the 3 States most recently
ranked highest under paragraph (1) and the 3
States most recently ranked lowest under paragraph
(1) that provide parents with work experience, as-
sistance in finding employment, and other work
preparation activities and support services to enable
the families of such parents to leave the program
and become self-sufficient.
‘‘(h) SENSE OF THE CONGRESS.—In complying with
this section, each State that operates a program funded
under this part is encouraged to assign the highest prior-
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ity to requiring families that include older preschool or
school-age children to be engaged in work activities.
‘‘(i) SENSE
OF
THE
CONGRESS
THAT
STATES
SHOULD
IMPOSE
CERTAIN
REQUIREMENTS
ON
NONCUSTODIAL, NONSUPPORTING MINOR PARENTS.—It
is the sense of the Congress that the States should require
noncustodial, nonsupporting parents who have not at-
tained 18 years of age to fulfill community work obliga-
tions and attend appropriate parenting or money manage-
ment classes after school.
‘‘SEC. 405. PROHIBITIONS.
‘‘(a) IN GENERAL.—
‘‘(1) NO ASSISTANCE FOR FAMILIES WITHOUT A
MINOR CHILD.—A State to which a grant is made
under section 403 may not use any part of the grant
to provide assistance to a family, unless the family
includes a minor child.
‘‘(2) CERTAIN
PAYMENTS
NOT
TO
BE
DIS-
REGARDED IN DETERMINING THE AMOUNT OF AS-
SISTANCE TO BE PROVIDED TO A FAMILY.—
‘‘(A) INCOME SECURITY PAYMENTS.—If a
State to which a grant is made under section
403 uses any part of the grant to provide as-
sistance for any individual who is receiving a
payment under a State plan for old-age assist-
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‘‘(4) NO
ASSISTANCE
FOR
OUT-OF-WEDLOCK
BIRTHS TO MINORS.—
‘‘(A) GENERAL RULE.—A State to which a
grant is made under section 403 may not use
any part of the grant to provide cash benefits
for a child born out-of-wedlock to an individual
who has not attained 18 years of age, or for the
individual, until the individual attains such age.
‘‘(B) EXCEPTION FOR RAPE OR INCEST.—
Subparagraph (A) shall not apply with respect
to a child who is born as a result of rape or in-
cest.
‘‘(C) STATE OPTION.—Nothing in subpara-
graph (A) shall be construed to prohibit a State
from using funds provided by section 403 from
providing aid in the form of vouchers that may
be used only to pay for particular goods and
services specified by the State as suitable for
the care of the child such as diapers, clothing,
and school supplies.
‘‘(5) NO
ADDITIONAL
CASH
ASSISTANCE
FOR
CHILDREN BORN TO FAMILIES RECEIVING ASSIST-
ANCE.—
‘‘(A) GENERAL RULE.—A State to which a
grant is made under section 403 may not use
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any part of the grant to provide cash benefits
for a minor child who is born to—
‘‘(i) a recipient of benefits under the
program operated under this part; or
‘‘(ii) a person who received such bene-
fits at any time during the 10-month pe-
riod ending with the birth of the child.
‘‘(B) EXCEPTION
FOR
VOUCHERS.—Sub-
paragraph (A) shall not apply to vouchers
which are provided in lieu of cash benefits and
which may be used only to pay for particular
goods and services specified by the State as
suitable for the care of the child involved.
‘‘(C) EXCEPTION FOR RAPE OR INCEST.—
Subparagraph (A) shall not apply with respect
to a child who is born as a result of rape or in-
cest.
‘‘(6) NO
ASSISTANCE
FOR
MORE
THAN
YEARS.—
‘‘(A) IN GENERAL.—A State to which a
grant is made under section 403 may not use
any part of the grant to provide cash benefits
for the family of an individual who, after at-
taining 18 years of age, has received benefits
under the program operated under this part for
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60 months (whether or not consecutive) after
the effective date of this part, except as pro-
vided under subparagraph (B).
‘‘(B) HARDSHIP EXCEPTION.—
‘‘(i) IN GENERAL.—The State may ex-
empt a family from the application of sub-
paragraph (A) by reason of hardship.
‘‘(ii) LIMITATION.—The number of
families with respect to which an exemp-
tion made by a State under clause (i) is in
effect shall not exceed 10 percent of the
number of families to which the State is
providing assistance under the program op-
erated under this part.
‘‘(7) NO ASSISTANCE FOR FAMILIES NOT CO-
OPERATING
IN
PATERNITY
ESTABLISHMENT
OR
CHILD
SUPPORT.—Notwithstanding 
section
403(c)(1), a State to which a grant is made under
section 403 may not use any part of the grant to
provide assistance to a family that includes an indi-
vidual whom the agency responsible for administer-
ing the State plan approved under part D deter-
mines is not cooperating with the State in establish-
ing the paternity of any child of the individual, or
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in establishing, modifying, or enforcing a support
order with respect to such a child.
‘‘(8) NO ASSISTANCE FOR FAMILIES NOT AS-
SIGNING
SUPPORT
RIGHTS
TO
THE
STATE.—Not-
withstanding section 403(c)(1), a State to which a
grant is made under section 403 may not use any
part of the grant to provide assistance to a family
that includes an individual who has not assigned to
the State any rights the individual may have (on be-
half of the individual or of any other person for
whom the individual has applied for or is receiving
such assistance) to support from any other person
for any period for which the individual receives such
assistance.
‘‘(9) WITHHOLDING
OF
PORTION
OF
ASSIST-
ANCE
FOR
FAMILIES
WHICH
INCLUDE
A
CHILD
WHOSE PATERNITY IS NOT ESTABLISHED.—
‘‘(A) IN GENERAL.—A State to which a
grant is made under section 403 may not fail
to—
‘‘(i) withhold assistance under the
State program funded under this part from
a family which includes a child whose pa-
ternity is not established, in an amount
equal to $50 or 15 percent of the amount
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of the amount of the assistance that would
(in the absence of this paragraph) be pro-
vided to the family with respect to the
child, whichever the State elects; or
‘‘(ii) provide to the family the total
amount of assistance so withheld once the
paternity of the child is established, if the
family is then eligible for such assistance.
‘‘(B) EXCEPTION FOR RAPE OR INCEST.—Sub-
paragraph (A) shall not apply with respect to a child
who is born as a result of rape or incest.
‘‘(10) DENIAL OF ASSISTANCE FOR 10 YEARS
TO A PERSON FOUND TO HAVE FRAUDULENTLY MIS-
REPRESENTED
RESIDENCE
IN
ORDER
TO
OBTAIN
BENEFITS IN 2 OR MORE STATES.—An individual
shall not be considered an eligible individual for the
purposes of this title during the 10-year period that
begins with the date the individual is found by a
State to have made, or is convicted in Federal or
State court of having made a fraudulent statement
or representation with respect to the place of resi-
dence of the person in order to receive benefits or
services simultaneously from 2 or more States under
programs that are funded under this part, title XIX,
or the Food Stamp Act of 1977, or benefits in 2 or
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more States under the supplemental security income
program under title XVI.
‘‘(11) DENIAL OF ASSISTANCE FOR FUGITIVE
FELONS
AND
PROBATION
AND
PAROLE
VIOLA-
TORS.—
‘‘(A) IN GENERAL.—A State to which a
grant is made under section 403 may not use
any part of the grant to provide assistance to
any individual who is—
‘‘(i) fleeing to avoid prosecution, or
custody or confinement after conviction,
under the laws of the place from which the
individual flees, for a crime, or an attempt
to commit a crime, which is a felony under
the laws of the place from which the indi-
vidual flees, or which, in the case of the
State of New Jersey, is a high mis-
demeanor under the laws of such State; or
‘‘(ii) violating a condition of probation
or parole imposed under Federal or State
law.
‘‘(B) EXCHANGE OF INFORMATION WITH
LAW ENFORCEMENT AGENCIES.—If a State to
which a grant is made under section 403 estab-
lishes safeguards against the use or disclosure
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of information about applicants or recipients of
assistance under the State program funded
under this part, the safeguards shall not pre-
vent the State agency administering the pro-
gram from furnishing a Federal, State, or local
law enforcement officer, upon the request of the
officer, with the current address of any recipi-
ent if the officer furnishes the agency with the
name of the recipient and notifies the agency
that—
(i) such recipient—
(I) is fleeing to avoid prosecution,
or custody or confinement after con-
viction, under the laws of the place
from which the recipient flees, for a
crime, or an attempt to commit a
crime, which is a felony under the
laws of the place from which the re-
cipient flees, or which, in the case of
the State of New Jersey, is a high
misdemeanor under the laws of such
State;
(II) is violating a condition of
probation or parole imposed under
Federal or State law; or
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(III) has information that is nec-
essary for the officer to conduct the
official duties of the officer; and
(ii) the location or apprehension of the
recipient is within such official duties.
‘‘(12) DENIAL
OF
ASSISTANCE
FOR
MINOR
CHILDREN WHO ARE ABSENT FROM THE HOME FOR
A SIGNIFICANT PERIOD.—
‘‘(A) IN GENERAL.—A State to which a
grant is made under section 403 may not use
any part of the grant to provide assistance for
a minor child who has been, or is expected by
a parent (or other caretaker relative) of the
child to be, absent from the home for a period
of 45 consecutive days or, at the option of the
State, such period of not less than 30 and not
more than 90 consecutive days as the State
may provide for in the State plan submitted
pursuant to section 402.
‘‘(B) STATE
AUTHORITY
TO
ESTABLISH
GOOD CAUSE EXCEPTIONS.—The State may es-
tablish such good cause exceptions to subpara-
graph (A) as the State considers appropriate if
such exceptions are provided for in the State
plan submitted pursuant to section 402.
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‘‘(C) DENIAL
OF
ASSISTANCE
FOR
REL-
ATIVE WHO FAILS TO NOTIFY STATE AGENCY
OF ABSENCE OF CHILD.—A State to which a
grant is made under section 403 may not use
any part of the grant to provide assistance for
an individual who is a parent (or other care-
taker relative) of a minor child and who fails to
notify the agency administering the State pro-
gram funded under this part, of the absence of
the minor child from the home for the period
specified in or provided for under subparagraph
(A), by the end of the 5-day period that begins
with the date that it becomes clear to the par-
ent (or relative) that the minor child will be ab-
sent for such period so specified or provided
for.
‘‘(b) MINOR CHILD DEFINED.—As used in sub-
section (a), the term ‘minor child’ means an individual—
‘‘(1) who has not attained 18 years of age; or
‘‘(2) who—
‘‘(A) has not attained 19 years of age; and
‘‘(B) is a full-time student in a secondary
school (or in the equivalent level of vocational
or technical training).
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‘‘SEC. 406. DATA COLLECTION AND REPORTING.
‘‘(a) IN GENERAL.—Each State to which a grant is
made under section 403 for a fiscal year shall, not later
than 6 months after the end of the fiscal year, transmit
to the Secretary the following aggregate information on
families to which assistance was provided during the fiscal
year under the State program operated under this part
or an equivalent State program:
‘‘(1) The number of adults receiving such as-
sistance.
‘‘(2) The number of children receiving such as-
sistance and the average age of the children.
‘‘(3) The employment status of such adults, and
the average earnings of employed adults receiving
such assistance.
‘‘(4) The number of 1-parent families in which
the parent is a widow or widower, is divorced, is sep-
arated, or has never married.
‘‘(5) The age, race, and educational attainment
of the adults receiving such assistance.
‘‘(6) The average assistance provided to the
families under the program.
‘‘(7) Whether, at the time of application for as-
sistance under the program, the families or any
member of the families receives benefits under any
of the following:
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‘‘(A) Any housing program.
‘‘(B) The food stamp program under the
Food Stamp Act of 1977.
‘‘(C) The Head Start programs carried out
under the Head Start Act.
‘‘(D) Any job training program.
‘‘(8) The number of months, since the most re-
cent application for assistance under the program,
for which such assistance has been provided to the
families.
‘‘(9) The total number of months for which as-
sistance has been provided to the families under the
program.
‘‘(10) Any other data necessary to indicate
whether the State is in compliance with the plan
most recently submitted by the State pursuant to
section 402.
‘‘(11) The components of any program carried
out by the State to provide employment and training
activities in order to comply with section 404, and
the average monthly number of adults in each such
component.
‘‘(12) The number of part-time job placements
and the number of full-time job placements made
through the program referred to in paragraph (11),
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the number of cases with reduced assistance, and
the number of cases closed due to employment.
‘‘(b) AUTHORITY OF STATES TO USE ESTIMATES.—
A State may comply with the requirement to provide pre-
cise numerical information described in subsection (a) by
submitting an estimate which is obtained through the use
of scientifically acceptable sampling methods.
‘‘(c) REPORT
ON USE
OF FEDERAL FUNDS
TO
COVER ADMINISTRATIVE COSTS AND OVERHEAD.—The
report required by subsection (a) for a fiscal year shall
include a statement of the percentage of the funds paid
to the State under this part for the fiscal year that are
used to cover administrative costs or overhead.
‘‘(d) REPORT ON STATE EXPENDITURES ON PRO-
GRAMS FOR NEEDY FAMILIES.—The report required by
subsection (a) for a fiscal year shall include a statement
of the total amount expended by the State during the fis-
cal year on programs for needy families.
‘‘(e) REPORT ON NONCUSTODIAL PARENTS PARTICI-
PATING IN WORK ACTIVITIES.—The report required by
subsection (a) for a fiscal year shall include the number
of noncustodial parents in the State who participated in
work activities (as defined in section 404(b)(1)) during the
fiscal year.
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‘‘SEC. 407. RESEARCH, EVALUATIONS, AND NATIONAL STUD-
IES.
‘‘(a) RESEARCH.—The Secretary may conduct re-
search on the effects, costs, and benefits of State pro-
grams funded under this part.
‘‘(b) DEVELOPMENT AND EVALUATION OF INNOVA-
TIVE APPROACHES
TO EMPLOYING WELFARE RECIPI-
ENTS.—The Secretary may assist States in developing,
and shall evaluate, innovative approaches to employing re-
cipients of cash assistance under programs funded under
this part. In performing such evaluations, the Secretary
shall, to the maximum extent feasible, use random assign-
ment to experimental and control groups.
‘‘(c) STUDIES OF WELFARE CASELOADS.—The Sec-
retary may conduct studies of the caseloads of States oper-
ating programs funded under this part.
‘‘(d) DISSEMINATION OF INFORMATION.—The Sec-
retary shall develop innovative methods of disseminating
information on any research, evaluations, and studies con-
ducted under this section, including the facilitation of the
sharing of information and best practices among States
and localities through the use of computers and other
technologies.
‘‘SEC. 408. STUDY BY THE CENSUS BUREAU.
‘‘(a) IN GENERAL.—The Bureau of the Census shall
expand the Survey of Income and Program Participation
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as necessary to obtain such information as will enable in-
terested persons to evaluate the impact of the amendments
made by title I of the Personal Responsibility Act of 1995
on a random national sample of recipients of assistance
under State programs funded under this part and (as ap-
propriate) other low income families, and in doing so, shall
pay particular attention to the issues of out-of-wedlock
birth, welfare dependency, the beginning and end of wel-
fare spells, and the causes of repeat welfare spells.
‘‘(b) APPROPRIATION.—Out of any money in the
Treasury of the United States not otherwise appropriated,
the Secretary of the Treasury shall pay to the Bureau of
the Census $10,000,000 for each of fiscal years 1996,
1997, 1998, 1999, and 2000 to carry out subsection (a).’’.
SEC. 102. REPORT ON DATA PROCESSING.
(a) IN GENERAL.—Within 6 months after the date
of the enactment of this Act, the Secretary of Health and
Human Services shall prepare and submit to the Congress
a report on—
(1) the status of the automated data processing
systems operated by the States to assist manage-
ment in the administration of State programs under
part A of title IV of the Social Security Act (wheth-
er in effect before or after October 1, 1995); and
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(2) what would be required to establish a sys-
tem capable of—
(A) tracking participants in public pro-
grams over time; and
(B) checking case records of the States to
determine whether individuals are participating
in public programs of 2 or more States.
(b) PREFERRED CONTENTS.—The report required by
subsection (a) should include—
(1) a plan for building on the automated data
processing systems of the States to establish a sys-
tem with the capabilities described in subsection
(a)(2); and
(2) an estimate of the amount of time required
to establish such a system and of the cost of estab-
lishing such a system.
SEC. 103. TRANSFERS.
(a) CHILD SUPPORT REVIEW PENALTIES.—
(1) TRANSFER OF PROVISION.—Section 403 of
the Social Security Act, as added by the amendment
made by section 101 of this Act, is amended by add-
ing at the end subsection (h) of section 403, as in
effect immediately before the effective date of this
title.
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(2) 
CONFORMING
AMENDMENT.—Section
403(h)(3) of such Act, as in effect pursuant to para-
graph (1) of this subsection, is amended by striking
‘‘, section 402(a)(27),’’.
(b) ASSISTANT SECRETARY FOR FAMILY SUPPORT.—
(1) REDESIGNATION
OF
PROVISION.—Section
417 of such Act (42 U.S.C. 617), as in effect imme-
diately before the effective date of this title, is
amended by striking the following:
‘‘ASSISTANT SECRETARY FOR FAMILY SUPPORT
‘‘SEC. 417.’’
and inserting the following:
‘‘SEC. 409. ASSISTANT SECRETARY FOR FAMILY SUPPORT.’’.
(2) TRANSFER OF PROVISION.—Part A of title
IV of such Act, as added by the amendment made
by section 101 of this Act, is amended by adding at
the end the section amended by paragraph (1) of
this subsection.
(3) CONFORMING
AMENDMENT.—Section 409
of such Act, as added by paragraph (2) of this sub-
section is amended by striking ‘‘, part D, and part
F’’ and inserting ‘‘and part D’’.
SEC. 104. CONFORMING AMENDMENTS TO THE SOCIAL
SECURITY ACT.
(a) AMENDMENTS TO TITLE II.—
HR 4 RFS
medical neglect (including instances of
withholding of medically indicated treat-
ment from disabled infants with life-threat-
ening conditions); and
‘‘(iii) authority, under State law, for
the State child protective service to pursue
any legal remedies, including the authority
to initiate legal proceedings in a court of
competent jurisdiction, as may be nec-
essary to prevent the withholding of medi-
cally indicated treatment from disabled in-
fants with life-threatening conditions.
‘‘(B) WITHHOLDING OF MEDICALLY INDI-
CATED TREATMENT.—As used in subparagraph
(A), the term ‘withholding of medically indi-
cated treatment’ means the failure to respond
to the infant’s life-threatening conditions by
providing treatment (including appropriate nu-
trition, hydration, and medication) which, in the
treating physician’s or physicians’ reasonable
medical judgment, will be most likely to be ef-
fective in ameliorating or correcting all such
conditions, except that such term does not in-
clude the failure to provide treatment (other
than appropriate nutrition, hydration, or medi-
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that would (in the absence of this subsection)
be payable to the State under this section for
the immediately succeeding fiscal year by the
amount so used.
‘‘(B) LIMITATION.—In carrying out sub-
paragraph (A), the Secretary shall not reduce
any quarterly payment by more than 25
percent.
‘‘(C) CARRYFORWARD
OF
UNRECOVERED
PENALTY.—To the extent that subparagraph
(B) prevents the Secretary from recovering dur-
ing a fiscal year the full amount of a penalty
imposed on a State under subparagraph (A) for
a prior fiscal year, the Secretary shall apply
subparagraph (A) to the grant otherwise pay-
able to the State under this section for the im-
mediately succeeding fiscal year.
‘‘(2) FOR FAILURE TO MAINTAIN EFFORT.—If
an audit conducted pursuant to chapter 75 of title
31, United States Code, finds that the amount ex-
pended by a State (other than from amounts pro-
vided by the Federal Government) during fiscal year
1996 or 1997 to carry out the State program funded
under this part is less than the total amount ex-
pended by the State (other than from amounts pro-