A bill to support community-based group homes for young mothers and their children.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Second Chance Homes Promotion Act of 
2001''.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) The United States has the highest rates of teenage 
        pregnancy and births in the western industrialized world.
            (2) Teenage pregnancy costs the United States at least 
        $7,000,000,000 annually. Four in 10 young women become pregnant 
        at least once before they reach the age of 20, for a total of 
        nearly 1,000,000 teenage pregnancies a year. Eight in 10 of 
        these pregnancies are unintended, and 79 percent are to 
        unmarried teens.
            (3) Teenage mothers are less likely than other teens to 
        complete high school. Only \1/3\ of teenage mothers receive a 
        high school diploma. Teenage mothers are also more likely than 
        other individuals to become dependent on welfare, with nearly 
        80 percent of unmarried teenage mothers ending up on welfare.
            (4) The children of teenage mothers have lower birth 
        weights, are more likely to perform poorly in school, and are 
        at greater risk of abuse and neglect than are other children. 
        The sons of teenage mothers are 13 percent more likely than 
        other males to end up in prison, while daughters of teenage 
        mothers are 22 percent more likely than other females to become 
        teenage mothers themselves.
            (5) In the amendments made by the 1996 welfare reform 
        legislation, the Personal Responsibility and Work Opportunity 
        Reconciliation Act of 1996, Congress endorsed the concept of 
        ``second chance homes'' as an alternative for minor teenage 
        parents required by the law to live at home or under adult 
        supervision. The law required States to ``provide, or assist 
        the individual in locating, a second chance home, maternity 
        home, or other appropriate adult-supervised supportive living 
        arrangement''. According to a 1999 report by the Center for Law 
        and Social Policy, 18 States had no policy for helping families 
        with teenage parents find shelter. A 1998 survey by the Center 
        on Law and Social Policy found that in the 9 States that keep 
        data on minors ineligible for welfare, 1,300 teens were denied 
        assistance under State temporary assistance for needy families 
        programs because of their living situations.
            (6) Second chance homes offer the 3 elements that teenage 
        welfare mothers need to change their lives--
                    (A) socialization;
                    (B) nurturing and support; and
                    (C) structure and discipline.
            (7) These homes have produced the following notable and 
        promising results:
                    (A) Few second pregnancies.
                    (B) Slightly higher adoption rates.
                    (C) Less child abuse.
                    (D) Better maternal and child health.
                    (E) Dramatically increased school completion rates 
                for mothers.
                    (F) Higher employment rates.
                    (G) Reduced welfare dependency.

SEC. 3. SECOND CHANCE HOME PROGRAM AUTHORIZATION.

    (a) In General.--The Secretary of Health and Human Services 
(referred to in this Act as the ``Secretary'') is authorized to award 
grants to eligible entities to enable such eligible entities to carry 
out the activities described in section 6.
    (b) Process.--The Secretary shall award grants under this Act on a 
competitive basis, after reviewing all applications submitted under 
section 5.

SEC. 4. ELIGIBLE ENTITIES.

    (a) In General.--To be eligible to receive a grant under this Act, 
an entity shall be--
            (1) a State;
            (2) a unit of local government;
            (3) an Indian tribe; or
            (4) a public or private nonprofit agency, organization, or 
        institution, or other nonprofit entity, including a nonprofit 
        urban Indian organization or an Indian group or community that 
        is not an Indian tribe.
    (b) Definitions.--In this section--
            (1) Indian tribe.--The term ``Indian tribe'' has the 
        meaning given such term in section 4 of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450b).
            (2) State.--The term ``State'' means each of the 50 States, 
        the District of Columbia, the Commonwealth of Puerto Rico, 
        Guam, American Samoa, the United States Virgin Islands, and the 
        Commonwealth of the Northern Mariana Islands.

SEC. 5. APPLICATION.

    (a) In General.--An eligible entity that desires a grant under this 
Act shall submit an application to the Secretary at such time, in such 
manner, and containing such information as the Secretary shall 
reasonably require.
    (b) Priority.--In awarding grants under this Act, the Secretary 
shall give priority to an eligible entity that submits an application--
            (1) proposing to establish a new second chance home, 
        especially in a rural area or tribal community;
            (2) proposing to collaborate with a non-profit entity in 
        establishing, expanding, or enhancing a second chance home; or
            (3) demonstrating that the eligible entity will use funds 
        under a State temporary assistance for needy families program 
        under part A of title IV of the Social Security Act (42 U.S.C. 
        601 et seq.) to support a portion of the operating costs of the 
        applicable second chance home.

SEC. 6. USE OF FUNDS.

    (a) In General.--An eligible entity that receives a grant under 
this Act shall use such grant funds to establish, expand, or enhance a 
second chance home.
    (b) Second Chance Home.--In this Act, the term ``second chance 
home'' means a community-based, adult-supervised group home that 
provides young mothers and their children with a supportive and 
supervised living arrangement in which such mothers are required to 
learn parenting skills, including child development, family budgeting, 
health and nutrition, and other skills to promote their long-term 
economic independence and the well-being of their children.
    (c) Requirement.--A second chance home that receives grant funds 
under this Act shall provide services to mothers who are not more than 
23 years of age and their children.

SEC. 7. MATCHING FUNDS.

    The Secretary shall not award a grant to an eligible entity under 
this Act unless the eligible entity agrees that, with respect to the 
costs to be incurred in carrying out the activities for which the grant 
was awarded, the eligible entity will make available non-Federal 
contributions in an amount equal to not less than 20 percent of the 
Federal funds provided under the grant. Such contributions may be 
provided in cash or in kind, fairly valued, including plant, equipment, 
or services.

SEC. 8. DURATION.

    Grants under this Act shall be awarded for a period of 5 years.

SEC. 9. CONTRACT FOR EVALUATION.

    (a) In General.--The Secretary shall enter into a contract with a 
public or private entity for the evaluation of the second chance homes 
that are supported by grant funds under this Act.
    (b) Information.--The evaluation shall include the collection of 
information about the relevant characteristics of individuals who 
benefit from second chance homes such as those that are supported by 
grant funds under this Act and what services provided by such second 
chance homes are most beneficial to such individuals.
    (c) Report.--
            (1) In general.--The entity conducting the evaluation under 
        this section shall submit to Congress an interim report and a 
        final report in accordance with paragraph (2) containing the 
        results of the evaluation.
            (2) Date.--
                    (A) Interim report.--The interim report shall be 
                submitted not later than 2 years after the date on 
                which the entity enters into a contract.
                    (B) Final report.--The final report shall be 
                submitted not later than 5 years after the date on 
                which the entity enters into a contract.

SEC. 10. TECHNICAL ASSISTANCE.

    (a) In General.--From amounts appropriated under section 11(a), the 
Secretary may use an amount not to exceed $500,000 to enter into a 
contract, with a public or private entity, for the provision of 
technical assistance to eligible entities receiving grant funds under 
this Act.
    (b) Conferences.--The technical assistance provided under this 
section may include conferences for the purpose of disseminating 
information concerning best practices for second chance homes.

SEC. 11. AUTHORIZATION OF APPROPRIATIONS.

    (a) In General.--There is authorized to be appropriated to carry 
out this Act, other than section 9, $45,000,000 for fiscal year 2002.
    (b) Evaluation.--There is authorized to be appropriated to carry 
out section 9, $1,000,000 for fiscal year 2002.
    (c) Availability.--Any amounts authorized under the authority of 
subsections (a) and (b) shall remain available until expended.

Summary: Second Chance Homes Promotion Act of 2001 Authorizes the Secretary of Health and Human Services to award grants on a competitive and matching-funds basis to enable eligible entities to establish, expand, or enhance a community-based, adult-supervised group home that provides mothers age 23 or under and their children with a supportive and supervised living arrangement in which such mothers are required to learn parenting skills, including child development, family budgeting, health and nutrition, and other skills to promote their long-term economic independence and the well-being of their children.