ASSETS FOR INDEPENDENCE ACT Public Law 105–285, as amended ASSETS FOR INDEPENDENCE ACT 285 114–95 Statute Compilation United States House of Representatives Office of the Legislative Counsel text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. GPO Statute Compilations USLM converter, version 20210527.1 2021-10-15 Assets for Independence Act Coats Human Services Reauthorization Act of 1998 Community Opportunities, Accountability and Educational Services Act of 1998 Community Opportunities, Accountability, and Training and Educational Services Act of 1998 11866 105 1998-10-27 ASSETS FOR INDEPENDENCE ACT [Title IV of Public Law 105–285; 42 U.S.C. 604 note] [As Amended Through P.L. 114–95, Enacted December 10, 2015] [Currency: This publication is a compilation of the text of Public Law 105–285. It was last amended by the public law listed in the As Amended Through note above and below at the bottom of each page of the pdf version and reflects current law through the date of the enactment of the public law listed at https://www.govinfo.gov/app/collection/comps/] [Note: While this publication does not represent an official version of any Federal statute, substantial efforts have been made to ensure the accuracy of its contents. The official version of Federal law is found in the United States Statutes at Large and in the United States Code. The legal effect to be given to the Statutes at Large and the United States Code is established by statute (1 U.S.C. 112, 204).]
AN ACTTo amend the Head Start Act, the Low-Income Home Energy Assistance Act of 1981, and the Community Services Block Grant Act to reauthorize and make improvements to those Acts, to establish demonstration projects that provide an opportunity for persons with limited means to accumulate assets, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE. This Act may be cited as the “Community Opportunities, Accountability, and Training and Educational Services Act of 1998” or the “Coats Human Services Reauthorization Act of 1998”.
SEC. 2. TABLE OF CONTENTS. The table of contents for this Act is as follows: Sec. 1. * * * * * * * TITLE IV— Sec. 401. Sec. 402. Sec. 403. Sec. 404. Sec. 405. Sec. 406. Sec. 407. Sec. 408. Sec. 409. Sec. 410. Sec. 411. Sec. 412. Sec. 413. Sec. 414. Sec. 415. Sec. 416. * * * * * * *
<num style="-uslm-dtd:enum" value="IV">TITLE IV—</num><heading style="-uslm-dtd:header">ASSETS FOR INDEPENDENCE </heading> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s401" styleType="OLC"> <num style="-uslm-dtd:enum" value="401">SEC. 401. </num><heading style="-uslm-dtd:header">SHORT TITLE. </heading> <content style="-uslm-dtd:text" class="block">This title may be cited as the “<shortTitle style="-uslm-dtd:quote"><inline style="-uslm-dtd:short-title">Assets for Independence Act</inline></shortTitle>”.</content> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s402" styleType="OLC"> <num style="-uslm-dtd:enum" value="402">SEC. 402. </num><heading style="-uslm-dtd:header">FINDINGS. </heading> <subsection style="-uslm-dtd:subsection" styleType="OLC" role="undesignated-level"><chapeau style="-uslm-dtd:text">Congress makes the following findings:</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s402/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">Economic well-being does not come solely from income, spending, and consumption, but also requires savings, investment, and accumulation of assets because assets can improve economic independence and stability, connect individuals with a viable and hopeful future, stimulate development of human and other capital, and enhance the welfare of offspring.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s402/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">Fully ½ of all Americans have either no, negligible, or negative assets available for investment, just as the price of entry to the economic mainstream, the cost of a house, an adequate education, and starting a business, is increasing. Further, the household savings rate of the United States lags far behind other industrial nations, presenting a barrier to economic growth.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s402/3" styleType="OLC"> <num style="-uslm-dtd:enum" value="3">(3) </num><content style="-uslm-dtd:text">In the current tight fiscal environment, the United States should invest existing resources in high-yield initiatives. There is reason to believe that the financial returns, including increased income, tax revenue, and decreased welfare cash assistance, resulting from individual development accounts will far exceed the cost of investment in those accounts.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s402/4" styleType="OLC"> <num style="-uslm-dtd:enum" value="4">(4) </num><content style="-uslm-dtd:text">Traditional public assistance programs concentrating on income and consumption have rarely been successful in promoting and supporting the transition to increased economic self-sufficiency. Income-based domestic policy should be complemented with asset-based policy because, while income-based policies ensure that consumption needs (including food, child care, rent, clothing, and health care) are met, asset-based policies provide the means to achieve greater independence and economic well-being.</content> </paragraph> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s403" styleType="OLC"> <num style="-uslm-dtd:enum" value="403">SEC. 403. </num><heading style="-uslm-dtd:header">PURPOSES. </heading> <subsection style="-uslm-dtd:subsection" styleType="OLC" role="undesignated-level"><chapeau style="-uslm-dtd:text">The purposes of this title are to provide for the establishment of demonstration projects designed to determine—</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s403/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">the social, civic, psychological, and economic effects of providing to individuals and families with limited means an incentive to accumulate assets by saving a portion of their earned income;</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s403/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">the extent to which an asset-based policy that promotes saving for postsecondary education, homeownership, and microenterprise development may be used to enable individuals and families with limited means to increase their economic self-sufficiency; and</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s403/3" styleType="OLC"> <num style="-uslm-dtd:enum" value="3">(3) </num><content style="-uslm-dtd:text">the extent to which an asset-based policy stabilizes and improves families and the community in which the families live.</content> </paragraph> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s404" styleType="OLC" role="definitions"> <num style="-uslm-dtd:enum" value="404">SEC. 404. </num><heading style="-uslm-dtd:header">DEFINITIONS. </heading> <subsection style="-uslm-dtd:subsection" styleType="OLC" role="undesignated-level"><chapeau style="-uslm-dtd:text">In this title:</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s404/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><heading style="-uslm-dtd:header">Applicable period.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">applicable period</term>” means, with respect to amounts to be paid from a grant made for a project year, the calendar year immediately preceding the calendar year in which the grant is made.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s404/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><heading style="-uslm-dtd:header">Eligible individual.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">eligible individual</term>” means an individual who is selected to participate in a demonstration project by a qualified entity under section 409.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s404/3" styleType="OLC"> <num style="-uslm-dtd:enum" value="3">(3) </num><heading style="-uslm-dtd:header">Emergency withdrawal.—</heading><chapeau style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">emergency withdrawal</term>” means a withdrawal by an eligible individual that—</chapeau> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s404/3/A" styleType="OLC"> <num style="-uslm-dtd:enum" value="A">(A) </num><content style="-uslm-dtd:text">is a withdrawal of only those funds, or a portion of those funds, deposited by the individual in the individual development account of the individual;</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s404/3/B" styleType="OLC"> <num style="-uslm-dtd:enum" value="B">(B) </num><content style="-uslm-dtd:text">is permitted by a qualified entity on a case-by-case basis; and</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s404/3/C" styleType="OLC"> <num style="-uslm-dtd:enum" value="C">(C) </num><chapeau style="-uslm-dtd:text">is made for—</chapeau> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/3/C/i" styleType="OLC"> <num style="-uslm-dtd:enum" value="i">(i) </num><content style="-uslm-dtd:text">expenses for medical care or necessary to obtain medical care, for the individual or a spouse or dependent of the individual described in paragraph (8)(D);</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/3/C/ii" styleType="OLC"> <num style="-uslm-dtd:enum" value="ii">(ii) </num><content style="-uslm-dtd:text">payments necessary to prevent the eviction of the individual from the residence of the individual, or foreclosure on the mortgage for the principal residence of the individual, as defined in paragraph (8)(B); or</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/3/C/iii" styleType="OLC"> <num style="-uslm-dtd:enum" value="iii">(iii) </num><content style="-uslm-dtd:text">payments necessary to enable the individual to meet necessary living expenses following loss of employment.</content> </clause> </subparagraph> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s404/4" styleType="OLC"> <num style="-uslm-dtd:enum" value="4">(4) </num><heading style="-uslm-dtd:header">Household.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">household</term>” means all individuals who share use of a dwelling unit as primary quarters for living and eating separate from other individuals.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s404/5" styleType="OLC"> <num style="-uslm-dtd:enum" value="5">(5) </num><heading style="-uslm-dtd:header">Individual development account.—</heading> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s404/5/A" styleType="OLC"> <num style="-uslm-dtd:enum" value="A">(A) </num><heading style="-uslm-dtd:header">In general.—</heading><chapeau style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">individual development account</term>” means a trust created or organized in the United States exclusively for the purpose of paying the qualified expenses of an eligible individual, or enabling the eligible individual to make an emergency withdrawal, but only if the written governing instrument creating the trust contains the following requirements:</chapeau> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/5/A/i" styleType="OLC"> <num style="-uslm-dtd:enum" value="i">(i) </num><content style="-uslm-dtd:text">No contribution will be accepted unless the contribution is in cash or by check.</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/5/A/ii" styleType="OLC"> <num style="-uslm-dtd:enum" value="ii">(ii) </num><content style="-uslm-dtd:text">The trustee is a federally insured financial institution, or a State insured financial institution if no federally insured financial institution is available.</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/5/A/iii" styleType="OLC"> <num style="-uslm-dtd:enum" value="iii">(iii) </num><content style="-uslm-dtd:text">The assets of the trust will be invested in accordance with the direction of the eligible individual after consultation with the qualified entity providing deposits for the individual under section 410.</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/5/A/iv" styleType="OLC"> <num style="-uslm-dtd:enum" value="iv">(iv) </num><content style="-uslm-dtd:text">The assets of the trust will not be commingled with other property except in a common trust fund or common investment fund.</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/5/A/v" styleType="OLC"> <num style="-uslm-dtd:enum" value="v">(v) </num><content style="-uslm-dtd:text">Except as provided in clause (vi), any amount in the trust that is attributable to a deposit provided under section 410 may be paid or distributed out of the trust only for the purpose of paying the qualified expenses of the eligible individual.</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/5/A/vi" styleType="OLC"> <num style="-uslm-dtd:enum" value="vi">(vi) </num><content style="-uslm-dtd:text">Any balance in the trust on the day after the date on which the individual for whose benefit the trust is established dies shall be distributed within 30 days of that date as directed by that individual to another individual development account established for the benefit of an eligible individual.</content> </clause> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s404/5/B" styleType="OLC"> <num style="-uslm-dtd:enum" value="B">(B) </num><heading style="-uslm-dtd:header">Custodial accounts.—</heading><content style="-uslm-dtd:text">For purposes of subparagraph (A), a custodial account shall be treated as a trust if the assets of the custodial account are held by a bank (as defined in section 408(n) of the Internal Revenue Code of 1986) or another person who demonstrates, to the satisfaction of the Secretary, that the manner in which such person will administer the custodial account will be consistent with the requirements of this title, and if the custodial account would, except for the fact that it is not a trust, constitute an individual development account described in subparagraph (A). For purposes of this title, in the case of a custodial account treated as a trust by reason of the preceding sentence, the custodian of that custodial account shall be treated as the trustee of the account.</content> </subparagraph> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s404/6" styleType="OLC"> <num style="-uslm-dtd:enum" value="6">(6) </num><heading style="-uslm-dtd:header">Project year.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">project year</term>” means, with respect to a demonstration project, any of the 5 consecutive 12-month periods beginning on the date the project is originally authorized to be conducted.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s404/7" styleType="OLC"> <num style="-uslm-dtd:enum" value="7">(7) </num><heading style="-uslm-dtd:header">Qualified entity.—</heading> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s404/7/A" styleType="OLC"> <num style="-uslm-dtd:enum" value="A">(A) </num><heading style="-uslm-dtd:header">In general.—</heading><chapeau style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">qualified entity</term>” means—</chapeau> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/7/A/i" styleType="OLC"> <num style="-uslm-dtd:enum" value="i">(i) </num><content style="-uslm-dtd:text">one or more not-for-profit organizations described in section 501(c)(3) of the Internal Revenue Code of 1986 and exempt from taxation under section 501(a) of such Code; </content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/7/A/ii" styleType="OLC"> <num style="-uslm-dtd:enum" value="ii">(ii) </num><content style="-uslm-dtd:text">a State or local government agency, or a tribal government, submitting an application under section 405 jointly with an organization described in clause (i); or</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/7/A/iii" styleType="OLC"> <num style="-uslm-dtd:enum" value="iii">(iii) </num><chapeau style="-uslm-dtd:text">an entity that—</chapeau> <subclause style="-uslm-dtd:subclause" identifier="/us/sComp/105/285/tIV/s404/7/A/iii/I" styleType="OLC"> <num style="-uslm-dtd:enum" value="I">(I) </num><chapeau style="-uslm-dtd:text">is—</chapeau> <item style="-uslm-dtd:item" identifier="/us/sComp/105/285/tIV/s404/7/A/iii/I/aa" styleType="OLC"> <num style="-uslm-dtd:enum" value="aa">(aa) </num><content style="-uslm-dtd:text">a credit union designated as a low-income credit union by the National Credit Union Administration (NCUA); or</content> </item> <item style="-uslm-dtd:item" identifier="/us/sComp/105/285/tIV/s404/7/A/iii/I/bb" styleType="OLC"> <num style="-uslm-dtd:enum" value="bb">(bb) </num><content style="-uslm-dtd:text">an organization designated as a community development financial institution by the Secretary of the Treasury (or the Community Development Financial Institutions Fund); and</content> </item> </subclause> <subclause style="-uslm-dtd:subclause" identifier="/us/sComp/105/285/tIV/s404/7/A/iii/II" styleType="OLC"> <num style="-uslm-dtd:enum" value="II">(II) </num><content style="-uslm-dtd:text">can demonstrate a collaborative relationship with a local community-based organization whose activities are designed to address poverty in the community and the needs of community members for economic independence and stability.</content> </subclause> </clause> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s404/7/B" styleType="OLC"> <num style="-uslm-dtd:enum" value="B">(B) </num><heading style="-uslm-dtd:header">Rule of construction.—</heading><content style="-uslm-dtd:text">Nothing in this paragraph shall be construed as preventing an organization described in subparagraph (A)(i) from collaborating with a financial institution or for-profit community development corporation to carry out the purposes of this title.</content> </subparagraph> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s404/8" styleType="OLC"> <num style="-uslm-dtd:enum" value="8">(8) </num><heading style="-uslm-dtd:header">Qualified expenses.—</heading><chapeau style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">qualified expenses</term>” means one or more of the following, as provided by a qualified entity:</chapeau> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s404/8/A" styleType="OLC"> <num style="-uslm-dtd:enum" value="A">(A) </num><heading style="-uslm-dtd:header">Postsecondary educational expenses.—</heading><chapeau style="-uslm-dtd:text">Postsecondary educational expenses paid from an individual development account directly to an eligible educational institution. In this subparagraph:</chapeau> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/8/A/i" styleType="OLC"> <num style="-uslm-dtd:enum" value="i">(i) </num><heading style="-uslm-dtd:header">Postsecondary educational expenses.—</heading><chapeau style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">postsecondary educational expenses</term>” means the following:</chapeau> <subclause style="-uslm-dtd:subclause" identifier="/us/sComp/105/285/tIV/s404/8/A/i/I" styleType="OLC"> <num style="-uslm-dtd:enum" value="I">(I) </num><heading style="-uslm-dtd:header">Tuition and fees.—</heading><content style="-uslm-dtd:text">Tuition and fees required for the enrollment or attendance of a student at an eligible educational institution.</content> </subclause> <subclause style="-uslm-dtd:subclause" identifier="/us/sComp/105/285/tIV/s404/8/A/i/II" styleType="OLC"> <num style="-uslm-dtd:enum" value="II">(II) </num><heading style="-uslm-dtd:header">Fees, books, supplies, and equipment.—</heading><content style="-uslm-dtd:text">Fees, books, supplies, and equipment required for courses of instruction at an eligible educational institution.</content> </subclause> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/8/A/ii" styleType="OLC"> <num style="-uslm-dtd:enum" value="ii">(ii) </num><heading style="-uslm-dtd:header">Eligible educational institution.—</heading><chapeau style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">eligible educational institution</term>” means the following:</chapeau> <subclause style="-uslm-dtd:subclause" identifier="/us/sComp/105/285/tIV/s404/8/A/ii/I" styleType="OLC"> <num style="-uslm-dtd:enum" value="I">(I) </num><heading style="-uslm-dtd:header">Institution of higher education.—</heading><content style="-uslm-dtd:text">An institution described in section 101 or 102 of the Higher Education Act of 1965.</content> </subclause> <subclause style="-uslm-dtd:subclause" identifier="/us/sComp/105/285/tIV/s404/8/A/ii/II" styleType="OLC"> <num style="-uslm-dtd:enum" value="II">(II) </num><heading style="-uslm-dtd:header">Postsecondary vocational education school.—</heading><content style="-uslm-dtd:text">An area vocational education school (as defined in subparagraph (C) or (D) of section 521(4) of the Carl D. Perkins Vocational and Applied Technology Education Act (20 U.S.C. 2471(4))) which is in any State (as defined in section 521(33) of such Act), as such sections are in effect on the date of enactment of this title.</content> </subclause> </clause> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s404/8/B" styleType="OLC"> <num style="-uslm-dtd:enum" value="B">(B) </num><heading style="-uslm-dtd:header">First-home purchase.—</heading><chapeau style="-uslm-dtd:text">Qualified acquisition costs with respect to a principal residence for a qualified first-time homebuyer, if paid from an individual development account directly to the persons to whom the amounts are due. In this subparagraph:</chapeau> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/8/B/i" styleType="OLC"> <num style="-uslm-dtd:enum" value="i">(i) </num><heading style="-uslm-dtd:header">Principal residence.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">principal residence</term>” means a main residence, the qualified acquisition costs of which do not exceed 120 percent of the average area purchase price applicable to such residence.</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/8/B/ii" styleType="OLC"> <num style="-uslm-dtd:enum" value="ii">(ii) </num><heading style="-uslm-dtd:header">Qualified acquisition costs.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">qualified acquisition costs</term>” means the costs of acquiring, constructing, or reconstructing a residence. The term includes any usual or reasonable settlement, financing, or other closing costs.</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/8/B/iii" styleType="OLC"> <num style="-uslm-dtd:enum" value="iii">(iii) </num><heading style="-uslm-dtd:header">Qualified first-time homebuyer.—</heading> <subclause style="-uslm-dtd:subclause" identifier="/us/sComp/105/285/tIV/s404/8/B/iii/I" styleType="OLC"> <num style="-uslm-dtd:enum" value="I">(I) </num><heading style="-uslm-dtd:header">In general.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">qualified first-time homebuyer</term>” means an individual participating in the project involved (and, if married, the individual's spouse) who has no present ownership interest in a principal residence during the 3-year period ending on the date of acquisition of the principal residence to which this subparagraph applies.</content> </subclause> <subclause style="-uslm-dtd:subclause" identifier="/us/sComp/105/285/tIV/s404/8/B/iii/II" styleType="OLC"> <num style="-uslm-dtd:enum" value="II">(II) </num><heading style="-uslm-dtd:header">Date of acquisition.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">date of acquisition</term>” means the date on which a binding contract to acquire, construct, or reconstruct the principal residence to which this subparagraph applies is entered into.</content> </subclause> </clause> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s404/8/C" styleType="OLC"> <num style="-uslm-dtd:enum" value="C">(C) </num><heading style="-uslm-dtd:header">Business capitalization.—</heading><chapeau style="-uslm-dtd:text">Amounts paid from an individual development account directly to a business capitalization account that is established in a federally insured financial institution (or in a State insured financial institution if no federally insured financial institution is available) and is restricted to use solely for qualified business capitalization expenses. In this subparagraph:</chapeau> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/8/C/i" styleType="OLC"> <num style="-uslm-dtd:enum" value="i">(i) </num><heading style="-uslm-dtd:header">Qualified business capitalization expenses.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">qualified business capitalization expenses</term>” means qualified expenditures for the capitalization of a qualified business pursuant to a qualified plan.</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/8/C/ii" styleType="OLC"> <num style="-uslm-dtd:enum" value="ii">(ii) </num><heading style="-uslm-dtd:header">Qualified expenditures.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">qualified expenditures</term>” means expenditures included in a qualified plan, including capital, plant, equipment, working capital, and inventory expenses.</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/8/C/iii" styleType="OLC"> <num style="-uslm-dtd:enum" value="iii">(iii) </num><heading style="-uslm-dtd:header">Qualified business.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">qualified business</term>” means any business that does not contravene any law or public policy (as determined by the Secretary).</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/8/C/iv" styleType="OLC"> <num style="-uslm-dtd:enum" value="iv">(iv) </num><heading style="-uslm-dtd:header">Qualified plan.—</heading><chapeau style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">qualified plan</term>” means a business plan, or a plan to use a business asset purchased, which—</chapeau> <subclause style="-uslm-dtd:subclause" identifier="/us/sComp/105/285/tIV/s404/8/C/iv/I" styleType="OLC"> <num style="-uslm-dtd:enum" value="I">(I) </num><content style="-uslm-dtd:text">is approved by a financial institution, a microenterprise development organization, or a nonprofit loan fund having demonstrated fiduciary integrity;</content> </subclause> <subclause style="-uslm-dtd:subclause" identifier="/us/sComp/105/285/tIV/s404/8/C/iv/II" styleType="OLC"> <num style="-uslm-dtd:enum" value="II">(II) </num><content style="-uslm-dtd:text">includes a description of services or goods to be sold, a marketing plan, and projected financial statements; and</content> </subclause> <subclause style="-uslm-dtd:subclause" identifier="/us/sComp/105/285/tIV/s404/8/C/iv/III" styleType="OLC"> <num style="-uslm-dtd:enum" value="III">(III) </num><content style="-uslm-dtd:text">may require the eligible individual to obtain the assistance of an experienced entrepreneurial adviser.</content> </subclause> </clause> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s404/8/D" styleType="OLC"> <num style="-uslm-dtd:enum" value="D">(D) </num><heading style="-uslm-dtd:header">Transfers to idas of family members.—</heading><chapeau style="-uslm-dtd:text">Amounts paid from an individual development account directly into another such account established for the benefit of an eligible individual who is—</chapeau> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/8/D/i" styleType="OLC"> <num style="-uslm-dtd:enum" value="i">(i) </num><content style="-uslm-dtd:text">the individual's spouse; or</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s404/8/D/ii" styleType="OLC"> <num style="-uslm-dtd:enum" value="ii">(ii) </num><content style="-uslm-dtd:text">any dependent of the individual with respect to whom the individual is allowed a deduction under section 151 of the Internal Revenue Code of 1986.</content> </clause> </subparagraph> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s404/9" styleType="OLC"> <num style="-uslm-dtd:enum" value="9">(9) </num><heading style="-uslm-dtd:header">Qualified savings of the individual for the period.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">qualified savings of the individual for the period</term>” means the aggregate of the amounts contributed by an individual to the individual development account of the individual during the period.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s404/10" styleType="OLC"> <num style="-uslm-dtd:enum" value="10">(10) </num><heading style="-uslm-dtd:header">Secretary.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">Secretary</term>” means the Secretary of Health and Human Services, acting through the Director of Community Services.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s404/11" styleType="OLC"> <num style="-uslm-dtd:enum" value="11">(11) </num><heading style="-uslm-dtd:header">Tribal government.—</heading><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">tribal government</term>” means a tribal organization, as defined in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450b) or a Native Hawaiian organization, as defined in section 6207 of the Native Hawaiian Education Act.</content> </paragraph> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s405" styleType="OLC"> <num style="-uslm-dtd:enum" value="405">SEC. 405. </num><heading style="-uslm-dtd:header">APPLICATIONS. </heading> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s405/a" styleType="OLC"> <num style="-uslm-dtd:enum" value="a">(a) </num><heading style="-uslm-dtd:header">Announcement of Demonstration Projects.—</heading><content style="-uslm-dtd:text">Not later than 3 months after the date of enactment of this title, the Secretary shall publicly announce the availability of funding under this title for demonstration projects and shall ensure that applications to conduct the demonstration projects are widely available to qualified entities.</content> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s405/b" styleType="OLC"> <num style="-uslm-dtd:enum" value="b">(b) </num><heading style="-uslm-dtd:header">Submission.—</heading><content style="-uslm-dtd:text">Not later than 6 months after the date of enactment of this title, a qualified entity may submit to the Secretary an application to conduct a demonstration project under this title.</content> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s405/c" styleType="OLC"> <num style="-uslm-dtd:enum" value="c">(c) </num><heading style="-uslm-dtd:header">Criteria.—</heading><chapeau style="-uslm-dtd:text">In considering whether to approve an application to conduct a demonstration project under this title, the Secretary shall assess the following:</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s405/c/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><heading style="-uslm-dtd:header">Sufficiency of project.—</heading><content style="-uslm-dtd:text">The degree to which the project described in the application appears likely to aid project participants in achieving economic self-sufficiency through activities requiring one or more qualified expenses.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s405/c/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><heading style="-uslm-dtd:header">Administrative ability.—</heading><content style="-uslm-dtd:text">The experience and ability of the applicant to responsibly administer the project.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s405/c/3" styleType="OLC"> <num style="-uslm-dtd:enum" value="3">(3) </num><heading style="-uslm-dtd:header">Ability to assist participants.—</heading><content style="-uslm-dtd:text">The experience and ability of the applicant in recruiting, educating, and assisting project participants to increase their economic independence and general well-being through the development of assets.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s405/c/4" styleType="OLC"> <num style="-uslm-dtd:enum" value="4">(4) </num><heading style="-uslm-dtd:header">Commitment of non-federal funds.—</heading><content style="-uslm-dtd:text">The aggregate amount of direct funds from non-Federal public sector and from private sources that are formally committed to the project as matching contributions.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s405/c/5" styleType="OLC"> <num style="-uslm-dtd:enum" value="5">(5) </num><heading style="-uslm-dtd:header">Adequacy of plan for providing information for evaluation.—</heading><content style="-uslm-dtd:text">The adequacy of the plan for providing information relevant to an evaluation of the project.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s405/c/6" styleType="OLC"> <num style="-uslm-dtd:enum" value="6">(6) </num><heading style="-uslm-dtd:header">Other factors.—</heading><content style="-uslm-dtd:text">Such other factors relevant to the purposes of this title as the Secretary may specify.</content> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s405/d" styleType="OLC"> <num style="-uslm-dtd:enum" value="d">(d) </num><heading style="-uslm-dtd:header">Preferences.—</heading><chapeau style="-uslm-dtd:text">In considering an application to conduct a demonstration project under this title, the Secretary shall give preference to an application that—</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s405/d/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">demonstrates the willingness and ability to select individuals described in section 408 who are predominantly from households in which a child (or children) is living with the child's biological or adoptive mother or father, or with the child's legal guardian;</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s405/d/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">provides a commitment of non-Federal funds with a proportionately greater amount of such funds committed from private sector sources; and</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s405/d/3" styleType="OLC"> <num style="-uslm-dtd:enum" value="3">(3) </num><content style="-uslm-dtd:text">targets such individuals residing within one or more relatively well-defined neighborhoods or communities (including rural communities) that experience high rates of poverty or unemployment.</content> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s405/e" styleType="OLC"> <num style="-uslm-dtd:enum" value="e">(e) </num><heading style="-uslm-dtd:header">Approval.—</heading><content style="-uslm-dtd:text">Not later than 9 months after the date of enactment of this title, the Secretary shall, on a competitive basis, approve such applications to conduct demonstration projects under this title as the Secretary considers to be appropriate, taking into account the assessments required by subsections (c) and (d). The Secretary shall ensure, to the maximum extent practicable, that the applications that are approved involve a range of communities (both rural and urban) and diverse populations.</content> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s405/f" styleType="OLC"> <num style="-uslm-dtd:enum" value="f">(f) </num><heading style="-uslm-dtd:header">Contracts With Nonprofit Entities.—</heading><chapeau style="-uslm-dtd:text">The Secretary may contract with an entity described in section 501(c)(3) of the Internal Revenue Code of 1986 and exempt from taxation under section 501(a) of such Code to carry out any responsibility of the Secretary under this section or section 412 if—</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s405/f/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">such entity demonstrates the ability to carry out such responsibility; and</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s405/f/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">the Secretary can demonstrate that such responsibility would not be carried out by the Secretary at a lower cost.</content> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s405/g" styleType="OLC"> <num style="-uslm-dtd:enum" value="g">(g) </num><heading style="-uslm-dtd:header">Grandfathering of Existing Statewide Programs.—</heading><content style="-uslm-dtd:text">Any statewide individual asset-building program that is carried out in a manner consistent with the purposes of this title, that is established under State law as of the date of enactment of this Act, and that as of such date is operating with an annual State appropriation of not less than $1,000,000 in non-Federal funds, shall be deemed to meet the eligibility requirements of this subtitle, and the entity carrying out the program shall be deemed to be a qualified entity. The Secretary shall consider funding the statewide program as a demonstration project described in this subtitle. In considering the statewide program for funding, the Secretary shall review an application submitted by the entity carrying out such statewide program under this section, notwithstanding the preference requirements listed in subsection (d). Any program requirements under sections 407 through 411 that are inconsistent with State statutory requirements in effect on the date of enactment of this Act, governing such statewide program, shall not apply to the program.</content> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s406" styleType="OLC"> <num style="-uslm-dtd:enum" value="406">SEC. 406. </num><heading style="-uslm-dtd:header">DEMONSTRATION AUTHORITY; ANNUAL GRANTS. </heading> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s406/a" styleType="OLC"> <num style="-uslm-dtd:enum" value="a">(a) </num><heading style="-uslm-dtd:header">Demonstration Authority.—</heading><content style="-uslm-dtd:text">If the Secretary approves an application to conduct a demonstration project under this title, the Secretary shall, not later than 10 months after the date of enactment of this title, authorize the applicant to conduct the project for 5 project years in accordance with the approved application and the requirements of this title.</content> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s406/b" styleType="OLC"> <num style="-uslm-dtd:enum" value="b">(b) </num><heading style="-uslm-dtd:header">Grant Authority.—</heading><chapeau style="-uslm-dtd:text">For each project year of a demonstration project conducted under this title, the Secretary may make a grant to the qualified entity authorized to conduct the project. In making such a grant, the Secretary shall make the grant on the first day of the project year in an amount not to exceed the lesser of—</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s406/b/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">the aggregate amount of funds committed as matching contributions from non-Federal public or private sector sources; or</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s406/b/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">$1,000,000.</content> </paragraph> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s407" styleType="OLC"> <num style="-uslm-dtd:enum" value="407">SEC. 407. </num><heading style="-uslm-dtd:header">RESERVE FUND. </heading> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s407/a" styleType="OLC"> <num style="-uslm-dtd:enum" value="a">(a) </num><heading style="-uslm-dtd:header">Establishment.—</heading><content style="-uslm-dtd:text">A qualified entity under this title, other than a State or local government agency or a tribal government, shall establish a Reserve Fund that shall be maintained in accordance with this section.</content> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s407/b" styleType="OLC"> <num style="-uslm-dtd:enum" value="b">(b) </num><heading style="-uslm-dtd:header">Amounts in Reserve Fund.—</heading> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s407/b/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><heading style="-uslm-dtd:header">In general.—</heading><chapeau style="-uslm-dtd:text">As soon after receipt as is practicable, a qualified entity shall deposit in the Reserve Fund established under subsection (a)—</chapeau> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s407/b/1/A" styleType="OLC"> <num style="-uslm-dtd:enum" value="A">(A) </num><content style="-uslm-dtd:text">all funds provided to the qualified entity from any public or private source in connection with the demonstration project; and</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s407/b/1/B" styleType="OLC"> <num style="-uslm-dtd:enum" value="B">(B) </num><content style="-uslm-dtd:text">the proceeds from any investment made under subsection (c)(2).</content> </subparagraph> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s407/b/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><heading style="-uslm-dtd:header">Uniform accounting regulations.—</heading><content style="-uslm-dtd:text">The Secretary shall prescribe regulations with respect to accounting for amounts in the Reserve Fund established under subsection (a).</content> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s407/c" styleType="OLC"> <num style="-uslm-dtd:enum" value="c">(c) </num><heading style="-uslm-dtd:header">Use of Amounts in the Reserve Fund.—</heading> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s407/c/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><heading style="-uslm-dtd:header">In general.—</heading><chapeau style="-uslm-dtd:text">A qualified entity shall use the amounts in the Reserve Fund established under subsection (a) to—</chapeau> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s407/c/1/A" styleType="OLC"> <num style="-uslm-dtd:enum" value="A">(A) </num><content style="-uslm-dtd:text">assist participants in the demonstration project in obtaining the skills (including economic literacy, budgeting, credit, and counseling skills) and information necessary to achieve economic self-sufficiency through activities requiring qualified expenses;</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s407/c/1/B" styleType="OLC"> <num style="-uslm-dtd:enum" value="B">(B) </num><content style="-uslm-dtd:text">provide deposits in accordance with section 410 for individuals selected by the qualified entity to participate in the demonstration project;</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s407/c/1/C" styleType="OLC"> <num style="-uslm-dtd:enum" value="C">(C) </num><content style="-uslm-dtd:text">administer the demonstration project; and</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s407/c/1/D" styleType="OLC"> <num style="-uslm-dtd:enum" value="D">(D) </num><content style="-uslm-dtd:text">provide the research organization evaluating the demonstration project under section 414 with such information with respect to the demonstration project as may be required for the evaluation.</content> </subparagraph> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s407/c/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><heading style="-uslm-dtd:header">Authority to invest funds.—</heading> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s407/c/2/A" styleType="OLC"> <num style="-uslm-dtd:enum" value="A">(A) </num><heading style="-uslm-dtd:header">Guidelines.—</heading><content style="-uslm-dtd:text">The Secretary shall establish guidelines for investing amounts in the Reserve Fund established under subsection (a) in a manner that provides an appropriate balance between return, liquidity, and risk.</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s407/c/2/B" styleType="OLC"> <num style="-uslm-dtd:enum" value="B">(B) </num><heading style="-uslm-dtd:header">Investment.—</heading><content style="-uslm-dtd:text">A qualified entity shall invest the amounts in its Reserve Fund that are not immediately needed to carry out the provisions of paragraph (1), in accordance with the guidelines established under subparagraph (A).</content> </subparagraph> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s407/c/3" styleType="OLC"> <num style="-uslm-dtd:enum" value="3">(3) </num><heading style="-uslm-dtd:header">Limitation on uses.—</heading><content style="-uslm-dtd:text">Not more than 15 percent of the amounts provided to a qualified entity under section 406(b) shall be used by the qualified entity for the purposes described in subparagraphs (A), (C), and (D) of paragraph (1), of which not less than 2 percent of the amounts shall be used by the qualified entity for the purposes described in paragraph (1)(D). Of the total amount specified in this paragraph, not more than 7.5 percent shall be used for administrative functions under paragraph (1)(C), including program management, reporting requirements, recruitment and enrollment of individuals, and monitoring. The remainder of the total amount specified in this paragraph (not including the amount specified for use for the purposes described in paragraph (1)(D)) shall be used for nonadministrative functions described in paragraph (1)(A), including case management, budgeting, economic literacy, and credit counseling. If the cost of nonadministrative functions described in paragraph (1)(A) is less than 5.5 percent of the total amount specified in this paragraph, such excess funds may be used for administrative functions. If two or more qualified entities are jointly administering a project, no qualified entity shall use more than its proportional share for the purposes described in subparagraphs (A), (C), and (D) of paragraph (1).</content> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s407/d" styleType="OLC"> <num style="-uslm-dtd:enum" value="d">(d) </num><heading style="-uslm-dtd:header">Unused Federal Grant Funds Transferred to the Secretary When Project Terminates.—</heading><chapeau style="-uslm-dtd:text">Notwithstanding subsection (c), upon the termination of any demonstration project authorized under this section, the qualified entity conducting the project shall transfer to the Secretary an amount equal to—</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s407/d/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">the amounts in its Reserve Fund at the time of the termination; multiplied by</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s407/d/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><chapeau style="-uslm-dtd:text">a percentage equal to—</chapeau> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s407/d/2/A" styleType="OLC"> <num style="-uslm-dtd:enum" value="A">(A) </num><content style="-uslm-dtd:text">the aggregate amount of grants made to the qualified entity under section 406(b); divided by</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s407/d/2/B" styleType="OLC"> <num style="-uslm-dtd:enum" value="B">(B) </num><content style="-uslm-dtd:text">the aggregate amount of all funds provided to the qualified entity from all sources to conduct the project.</content> </subparagraph> </paragraph> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s408" styleType="OLC"> <num style="-uslm-dtd:enum" value="408">SEC. 408. </num><heading style="-uslm-dtd:header">ELIGIBILITY FOR PARTICIPATION. </heading> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s408/a" styleType="OLC"> <num style="-uslm-dtd:enum" value="a">(a) </num><heading style="-uslm-dtd:header">In General.—</heading><chapeau style="-uslm-dtd:text">Any individual who is a member of a household that is eligible for assistance under the State temporary assistance for needy families program established under part A of title IV of the Social Security Act (42 U.S.C. 601 et seq.), or that meets each of the following requirements shall be eligible to participate in a demonstration project conducted under this title:</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s408/a/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><heading style="-uslm-dtd:header">Income test.—</heading><content style="-uslm-dtd:text">The adjusted gross income of the household is equal to or less than 200 percent of the poverty line (as determined by the Office of Management and Budget) or the earned income amount described in section 32 of the Internal Revenue Code of 1986 (taking into account the size of the household).</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s408/a/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><heading style="-uslm-dtd:header">Net worth test.—</heading> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s408/a/2/A" styleType="OLC"> <num style="-uslm-dtd:enum" value="A">(A) </num><heading style="-uslm-dtd:header">In general.—</heading><content style="-uslm-dtd:text">The net worth of the household, as of the end of the calendar year preceding the determination of eligibility, does not exceed $10,000.</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s408/a/2/B" styleType="OLC"> <num style="-uslm-dtd:enum" value="B">(B) </num><heading style="-uslm-dtd:header">Determination of net worth.—</heading><chapeau style="-uslm-dtd:text">For purposes of subparagraph (A), the net worth of a household is the amount equal to—</chapeau> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s408/a/2/B/i" styleType="OLC"> <num style="-uslm-dtd:enum" value="i">(i) </num><content style="-uslm-dtd:text">the aggregate market value of all assets that are owned in whole or in part by any member of the household; minus</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s408/a/2/B/ii" styleType="OLC"> <num style="-uslm-dtd:enum" value="ii">(ii) </num><content style="-uslm-dtd:text">the obligations or debts of any member of the household.</content> </clause> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s408/a/2/C" styleType="OLC"> <num style="-uslm-dtd:enum" value="C">(C) </num><heading style="-uslm-dtd:header">Exclusions.—</heading><content style="-uslm-dtd:text">For purposes of determining the net worth of a household, a household's assets shall not be considered to include the primary dwelling unit and one motor vehicle owned by a member of the household.</content> </subparagraph> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s408/b" styleType="OLC"> <num style="-uslm-dtd:enum" value="b">(b) </num><heading style="-uslm-dtd:header">Individuals Unable To Complete the Project.—</heading><content style="-uslm-dtd:text">The Secretary shall establish such regulations as are necessary to ensure compliance with this title if an individual participating in the demonstration project moves from the community in which the project is conducted or is otherwise unable to continue participating in that project, including regulations prohibiting future eligibility to participate in any other demonstration project conducted under this title.</content> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s409" styleType="OLC"> <num style="-uslm-dtd:enum" value="409">SEC. 409. </num><heading style="-uslm-dtd:header">SELECTION OF INDIVIDUALS TO PARTICIPATE. </heading> <subsection style="-uslm-dtd:subsection" styleType="OLC" role="undesignated-level"><chapeau style="-uslm-dtd:text">From among the individuals eligible to participate in a demonstration project conducted under this title, each qualified entity shall select the individuals—</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s409/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">that the qualified entity determines to be best suited to participate; and</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s409/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">to whom the qualified entity will provide deposits in accordance with section 410.</content> </paragraph> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s410" styleType="OLC"> <num style="-uslm-dtd:enum" value="410">SEC. 410. </num><heading style="-uslm-dtd:header">DEPOSITS BY QUALIFIED ENTITIES. </heading> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s410/a" styleType="OLC"> <num style="-uslm-dtd:enum" value="a">(a) </num><heading style="-uslm-dtd:header">In General.—</heading><chapeau style="-uslm-dtd:text">Not less than once every 3 months during each project year, each qualified entity under this title shall deposit in the individual development account of each individual participating in the project, or into a parallel account maintained by the qualified entity—</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s410/a/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">from the non-Federal funds described in section 405(c)(4), a matching contribution of not less than $0.50 and not more than $4 for every $1 of earned income (as defined in section 911(d)(2) of the Internal Revenue Code of 1986) deposited in the account by a project participant during that period;</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s410/a/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">from the grant made under section 406(b), an amount equal to the matching contribution made under paragraph (1); and</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s410/a/3" styleType="OLC"> <num style="-uslm-dtd:enum" value="3">(3) </num><content style="-uslm-dtd:text">any interest that has accrued on amounts deposited under paragraph (1) or (2) on behalf of that individual into the individual development account of the individual or into a parallel account maintained by the qualified entity.</content> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s410/b" styleType="OLC"> <num style="-uslm-dtd:enum" value="b">(b) </num><heading style="-uslm-dtd:header">Limitation on Deposits for an Individual.—</heading><content style="-uslm-dtd:text">Not more than $2,000 from a grant made under section 406(b) shall be provided to any one individual over the course of the demonstration project.</content> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s410/c" styleType="OLC"> <num style="-uslm-dtd:enum" value="c">(c) </num><heading style="-uslm-dtd:header">Limitation on Deposits for a Household.—</heading><content style="-uslm-dtd:text">Not more than $4,000 from a grant made under section 406(b) shall be provided to any one household over the course of the demonstration project.</content> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s410/d" styleType="OLC"> <num style="-uslm-dtd:enum" value="d">(d) </num><heading style="-uslm-dtd:header">Withdrawal of Funds.—</heading><content style="-uslm-dtd:text">The Secretary shall establish such guidelines as may be necessary to ensure that funds held in an individual development account are not withdrawn, except for one or more qualified expenses, or for an emergency withdrawal. Such guidelines shall include a requirement that a responsible official of the qualified entity conducting a project approve a withdrawal from such an account in writing. The guidelines shall provide that no individual may withdraw funds from an individual development account earlier than 6 months after the date on which the individual first deposits funds in the account.</content> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s410/e" styleType="OLC"> <num style="-uslm-dtd:enum" value="e">(e) </num><heading style="-uslm-dtd:header">Reimbursement.—</heading><content style="-uslm-dtd:text">An individual shall reimburse an individual development account for any funds withdrawn from the account for an emergency withdrawal, not later than 12 months after the date of the withdrawal. If the individual fails to make the reimbursement, the qualified entity administering the account shall transfer the funds deposited into the account or a parallel account under this section to the Reserve Fund of the qualified entity, and use the funds to benefit other individuals participating in the demonstration project involved.</content> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s411" styleType="OLC"> <num style="-uslm-dtd:enum" value="411">SEC. 411. </num><heading style="-uslm-dtd:header">LOCAL CONTROL OVER DEMONSTRATION PROJECTS. </heading> <content style="-uslm-dtd:text" class="block">A qualified entity under this title, other than a State or local government agency or a tribal government, shall, subject to the provisions of section 413, have sole authority over the administration of the project. The Secretary may prescribe only such regulations or guidelines with respect to demonstration projects conducted under this title as are necessary to ensure compliance with the approved applications and the requirements of this title.</content> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s412" styleType="OLC"> <num style="-uslm-dtd:enum" value="412">SEC. 412. </num><heading style="-uslm-dtd:header">ANNUAL PROGRESS REPORTS. </heading> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s412/a" styleType="OLC"> <num style="-uslm-dtd:enum" value="a">(a) </num><heading style="-uslm-dtd:header">In General.—</heading><chapeau style="-uslm-dtd:text">Each qualified entity under this title shall prepare an annual report on the progress of the demonstration project. Each report shall include both program and participant information and shall specify for the period covered by the report the following information:</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s412/a/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">The number and characteristics of individuals making a deposit into an individual development account.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s412/a/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">The amounts in the Reserve Fund established with respect to the project.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s412/a/3" styleType="OLC"> <num style="-uslm-dtd:enum" value="3">(3) </num><content style="-uslm-dtd:text">The amounts deposited in the individual development accounts.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s412/a/4" styleType="OLC"> <num style="-uslm-dtd:enum" value="4">(4) </num><content style="-uslm-dtd:text">The amounts withdrawn from the individual development accounts and the purposes for which such amounts were withdrawn.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s412/a/5" styleType="OLC"> <num style="-uslm-dtd:enum" value="5">(5) </num><content style="-uslm-dtd:text">The balances remaining in the individual development accounts.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s412/a/6" styleType="OLC"> <num style="-uslm-dtd:enum" value="6">(6) </num><content style="-uslm-dtd:text">The savings account characteristics (such as threshold amounts and match rates) required to stimulate participation in the demonstration project, and how such characteristics vary among different populations or communities.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s412/a/7" styleType="OLC"> <num style="-uslm-dtd:enum" value="7">(7) </num><content style="-uslm-dtd:text">What service configurations of the qualified entity (such as configurations relating to peer support, structured planning exercises, mentoring, and case management) increased the rate and consistency of participation in the demonstration project and how such configurations varied among different populations or communities.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s412/a/8" styleType="OLC"> <num style="-uslm-dtd:enum" value="8">(8) </num><content style="-uslm-dtd:text">Such other information as the Secretary may require to evaluate the demonstration project.</content> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s412/b" styleType="OLC"> <num style="-uslm-dtd:enum" value="b">(b) </num><heading style="-uslm-dtd:header">Submission of Reports.—</heading><chapeau style="-uslm-dtd:text">The qualified entity shall submit each report required to be prepared under subsection (a) to—</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s412/b/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">the Secretary; and</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s412/b/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">the Treasurer (or equivalent official) of the State in which the project is conducted, if the State or a local government or a tribal government committed funds to the demonstration project.</content> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s412/c" styleType="OLC"> <num style="-uslm-dtd:enum" value="c">(c) </num><heading style="-uslm-dtd:header">Timing.—</heading><content style="-uslm-dtd:text">The first report required by subsection (a) shall be submitted not later than 60 days after the end of the project year in which the Secretary authorized the qualified entity to conduct the demonstration project, and subsequent reports shall be submitted every 12 months thereafter, until the conclusion of the project.</content> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s413" styleType="OLC"> <num style="-uslm-dtd:enum" value="413">SEC. 413. </num><heading style="-uslm-dtd:header">SANCTIONS. </heading> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s413/a" styleType="OLC"> <num style="-uslm-dtd:enum" value="a">(a) </num><heading style="-uslm-dtd:header">Authority To Terminate Demonstration Project.—</heading><content style="-uslm-dtd:text">If the Secretary determines that a qualified entity under this title is not operating a demonstration project in accordance with the entity's approved application under section 405 or the requirements of this title (and has not implemented any corrective recommendations directed by the Secretary), the Secretary shall terminate such entity's authority to conduct the demonstration project.</content> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s413/b" styleType="OLC"> <num style="-uslm-dtd:enum" value="b">(b) </num><heading style="-uslm-dtd:header">Actions Required Upon Termination.—</heading><chapeau style="-uslm-dtd:text">If the Secretary terminates the authority to conduct a demonstration project, the Secretary—</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s413/b/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">shall suspend the demonstration project;</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s413/b/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">shall take control of the Reserve Fund established pursuant to section 407;</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s413/b/3" styleType="OLC"> <num style="-uslm-dtd:enum" value="3">(3) </num><content style="-uslm-dtd:text">shall make every effort to identify another qualified entity (or entities) willing and able to conduct the project in accordance with the approved application (or, if modification is necessary to incorporate the recommendations, the application as modified) and the requirements of this title;</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s413/b/4" styleType="OLC"> <num style="-uslm-dtd:enum" value="4">(4) </num><chapeau style="-uslm-dtd:text">shall, if the Secretary identifies an entity (or entities) described in paragraph (3)—</chapeau> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s413/b/4/A" styleType="OLC"> <num style="-uslm-dtd:enum" value="A">(A) </num><content style="-uslm-dtd:text">authorize the entity (or entities) to conduct the project in accordance with the approved application (or, if modification is necessary to incorporate the recommendations, the application as modified) and the requirements of this title;</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s413/b/4/B" styleType="OLC"> <num style="-uslm-dtd:enum" value="B">(B) </num><content style="-uslm-dtd:text">transfer to the entity (or entities) control over the Reserve Fund established pursuant to section 407; and</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s413/b/4/C" styleType="OLC"> <num style="-uslm-dtd:enum" value="C">(C) </num><chapeau style="-uslm-dtd:text">consider, for purposes of this title—</chapeau> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s413/b/4/C/i" styleType="OLC"> <num style="-uslm-dtd:enum" value="i">(i) </num><content style="-uslm-dtd:text">such other entity (or entities) to be the qualified entity (or entities) originally authorized to conduct the demonstration project; and</content> </clause> <clause style="-uslm-dtd:clause" identifier="/us/sComp/105/285/tIV/s413/b/4/C/ii" styleType="OLC"> <num style="-uslm-dtd:enum" value="ii">(ii) </num><content style="-uslm-dtd:text">the date of such authorization to be the date of the original authorization; and</content> </clause> </subparagraph> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s413/b/5" styleType="OLC"> <num style="-uslm-dtd:enum" value="5">(5) </num><chapeau style="-uslm-dtd:text">if, by the end of the 1-year period beginning on the date of the termination, the Secretary has not found a qualified entity (or entities) described in paragraph (3), shall—</chapeau> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s413/b/5/A" styleType="OLC"> <num style="-uslm-dtd:enum" value="A">(A) </num><content style="-uslm-dtd:text">terminate the project; and</content> </subparagraph> <subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/105/285/tIV/s413/b/5/B" styleType="OLC"> <num style="-uslm-dtd:enum" value="B">(B) </num><content style="-uslm-dtd:text">from the amount remaining in the Reserve Fund established as part of the project, remit to each source that provided funds under section 405(c)(4) to the entity originally authorized to conduct the project, an amount that bears the same ratio to the amount so remaining as the amount provided from the source under section 405(c)(4) bears to the amount provided from all such sources under that section.</content> </subparagraph> </paragraph> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s414" styleType="OLC"> <num style="-uslm-dtd:enum" value="414">SEC. 414. </num><heading style="-uslm-dtd:header">EVALUATIONS. </heading> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s414/a" styleType="OLC"> <num style="-uslm-dtd:enum" value="a">(a) </num><heading style="-uslm-dtd:header">In General.—</heading><content style="-uslm-dtd:text">Not later than 10 months after the date of enactment of this title, the Secretary shall enter into a contract with an independent research organization to evaluate the demonstration projects conducted under this title, individually and as a group, including evaluating all qualified entities participating in and sources providing funds for the demonstration projects conducted under this title.</content> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s414/b" styleType="OLC"> <num style="-uslm-dtd:enum" value="b">(b) </num><heading style="-uslm-dtd:header">Factors To Evaluate.—</heading><chapeau style="-uslm-dtd:text">In evaluating any demonstration project conducted under this title, the research organization shall address the following factors:</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/b/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">The effects of incentives and organizational or institutional support on savings behavior in the demonstration project.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/b/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">The savings rates of individuals in the demonstration project based on demographic characteristics including gender, age, family size, race or ethnic background, and income.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/b/3" styleType="OLC"> <num style="-uslm-dtd:enum" value="3">(3) </num><content style="-uslm-dtd:text">The economic, civic, psychological, and social effects of asset accumulation, and how such effects vary among different populations or communities.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/b/4" styleType="OLC"> <num style="-uslm-dtd:enum" value="4">(4) </num><content style="-uslm-dtd:text">The effects of individual development accounts on savings rates, homeownership, level of postsecondary education attained, and self-employment, and how such effects vary among different populations or communities.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/b/5" styleType="OLC"> <num style="-uslm-dtd:enum" value="5">(5) </num><content style="-uslm-dtd:text">The potential financial returns to the Federal Government and to other public sector and private sector investors in individual development accounts over a 5-year and 10-year period of time.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/b/6" styleType="OLC"> <num style="-uslm-dtd:enum" value="6">(6) </num><content style="-uslm-dtd:text">The lessons to be learned from the demonstration projects conducted under this title and if a permanent program of individual development accounts should be established.</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/b/7" styleType="OLC"> <num style="-uslm-dtd:enum" value="7">(7) </num><content style="-uslm-dtd:text">Such other factors as may be prescribed by the Secretary.</content> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s414/c" styleType="OLC"> <num style="-uslm-dtd:enum" value="c">(c) </num><heading style="-uslm-dtd:header">Methodological Requirements.—</heading><chapeau style="-uslm-dtd:text">In evaluating any demonstration project conducted under this title, the research organization shall—</chapeau> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/c/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">for at least one site, use control groups to compare participants with nonparticipants;</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/c/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">before, during, and after the project, obtain such quantitative data as are necessary to evaluate the project thoroughly; and</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/c/3" styleType="OLC"> <num style="-uslm-dtd:enum" value="3">(3) </num><content style="-uslm-dtd:text">develop a qualitative assessment, derived from sources such as in-depth interviews, of how asset accumulation affects individuals and families.</content> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s414/d" styleType="OLC"> <num style="-uslm-dtd:enum" value="d">(d) </num><heading style="-uslm-dtd:header">Reports by the Secretary.—</heading> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/d/1" styleType="OLC"> <num style="-uslm-dtd:enum" value="1">(1) </num><heading style="-uslm-dtd:header">Interim reports.—</heading><content style="-uslm-dtd:text">Not later than 90 days after the end of the project year in which the Secretary first authorizes a qualified entity to conduct a demonstration project under this title, and every 12 months thereafter until all demonstration projects conducted under this title are completed, the Secretary shall submit to Congress an interim report setting forth the results of the reports submitted pursuant to section 412(b).</content> </paragraph> <paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/105/285/tIV/s414/d/2" styleType="OLC"> <num style="-uslm-dtd:enum" value="2">(2) </num><heading style="-uslm-dtd:header">Final reports.—</heading><content style="-uslm-dtd:text">Not later than 12 months after the conclusion of all demonstration projects conducted under this title, the Secretary shall submit to Congress a final report setting forth the results and findings of all reports and evaluations conducted pursuant to this title.</content> </paragraph> </subsection> <subsection style="-uslm-dtd:subsection" identifier="/us/sComp/105/285/tIV/s414/e" styleType="OLC"> <num style="-uslm-dtd:enum" value="e">(e) </num><heading style="-uslm-dtd:header">Evaluation Expenses.—</heading><content style="-uslm-dtd:text">Of the amount appropriated under section 416 for a fiscal year, the Secretary may expend not more than $500,000 for such fiscal year to carry out the objectives of this section.</content> </subsection> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s415" styleType="OLC"> <num style="-uslm-dtd:enum" value="415">SEC. 415. </num><heading style="-uslm-dtd:header">NO REDUCTION IN BENEFITS. </heading> <content style="-uslm-dtd:text" class="block">Notwithstanding any other provision of Federal law (other than the Internal Revenue Code of 1986) that requires consideration of one or more financial circumstances of an individual, for the purpose of determining eligibility to receive, or the amount of, any assistance or benefit authorized by such law to be provided to or for the benefit of such individual, funds (including interest accruing) in an individual development account under this Act shall be disregarded for such purpose with respect to any period during which such individual maintains or makes contributions into such an account.</content> </section> <section style="-uslm-dtd:section" identifier="/us/sComp/105/285/tIV/s416" styleType="OLC"> <num style="-uslm-dtd:enum" value="416">SEC. 416. </num><heading style="-uslm-dtd:header">AUTHORIZATION OF APPROPRIATIONS. </heading> <content style="-uslm-dtd:text" class="block">There is authorized to be appropriated to carry out this title, $25,000,000 for each of fiscal years 1999, 2000, 2001, 2002, and 2003, to remain available until expended.</content> </section>