[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[S. 1643 Introduced in Senate (IS)]







104th CONGRESS
  2d Session
                                S. 1643

 To amend the Older Americans Act of 1965 to authorize appropriations 
      for fiscal years 1997 through 2001, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 26, 1966

  Mr. Gregg (for himself and Mrs. Kassebaum) introduced the following 
 bill; which was read twice and referred to the Committee on Labor and 
                            Human Resources

_______________________________________________________________________

                                 A BILL


 
 To amend the Older Americans Act of 1965 to authorize appropriations 
      for fiscal years 1997 through 2001, 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 ``Older Americans Amendments of 
1996''.

SEC. 2. TABLE OF CONTENTS.

    The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Amendment to the Older American Community Service Employment 
                            Act for fiscal year 1996.
Sec. 4. Amendment to the Older Americans Act of 1965.
Sec. 5. Conforming amendments.
Sec. 6. References to preceding fiscal year.
Sec. 7. Issuance of rules.
Sec. 8. Application of amendments.
Sec. 9. Transfer of functions.
Sec. 10. Effective dates.

SEC. 3. AMENDMENT TO THE OLDER AMERICAN COMMUNITY SERVICE EMPLOYMENT 
              ACT FOR FISCAL YEAR 1996.

    (a) In General.--The Older American Community Service Employment 
Act (42 U.S.C. 3056-3056i) is amended to read as follows:

         ``TITLE V--SENIOR COMMUNITY SERVICE EMPLOYMENT PROGRAM

``SEC. 501. SHORT TITLE.

    ``This title may be cited as the `Older American Community Service 
Employment Act'.

``SEC. 502. ALLOTMENT OF FUNDS FOR FISCAL YEAR 1996.

    ``(a) Allotment.--
            ``(1) Reservation of funds for tribal organizations.--Of 
        the amount appropriated under section 507 for fiscal year 1996, 
        the Assistant Secretary shall reserve not more than 1.3 percent 
        for making grants under this title to tribal organizations.
            ``(2) Allotment of funds.--
                    ``(A) Allotment.--After reserving funds under 
                paragraph (1), the Assistant Secretary shall allot the 
                remainder of the amount appropriated under section 507 
                for fiscal year 1996 among the States as follows:
                            ``(i) In general.--The product of the 
                        remainder for such fiscal year and the base 
                        percentage rate for such fiscal year shall be 
                        allotted among the States proportionately based 
                        on their respective shares of the funds 
                        appropriated for fiscal year 1995 and allotted 
                        for the States to carry out title V (as in 
                        effect on the day before the date of enactment 
                        of the Older Americans Amendments of 1995).
                            ``(ii) Balance.--The balance of the amount 
                        appropriated under section 507 for fiscal year 
                        1996 shall be allotted in accordance with 
                        subparagraph (C).
                    ``(B) Base percentage rates.--For purposes of 
                subparagraph (A)(i), the base percentage rate for 
                fiscal year 1996 shall be 80 percent.
                    ``(C) Allotments based on age and per capita 
                income.--The balance referred to in subparagraph 
                (A)(ii) shall be allotted as follows:
                            ``(i) Allotment.--Subject to clause (ii), 
                        each State shall be allotted the amount that 
                        bears the same ratio to the balance as the 
                        product of the number of individuals 55 years 
                        of age or older in the State and the allotment 
                        percentage of the State bears to the sum of the 
                        corresponding products for all the States.
                            ``(ii) Reduction.--The amounts allotted 
                        under clause (i) shall be reduced 
                        proportionately to the extent necessary to 
                        increase other allotments made under such 
                        clause to achieve the following:
                                    ``(I) States.--Each State shall be 
                                allotted not less than \1/2\ of 1 
                                percent of the balance for the fiscal 
                                year for which the determination is 
                                made.
                                    ``(II) Other jurisdictions.--Guam, 
                                American Samoa, the Virgin Islands of 
                                the United States, and the Commonwealth 
                                of the Northern Mariana Islands shall 
                                each be allotted not less than \1/4\ of 
                                1 percent of the balance for the fiscal 
                                year for which the determination is 
                                made or $50,000, whichever is greater.
                    ``(D) Allotment percentage.--For purposes of 
                subparagraph (C)(i)--
                            ``(i) except as provided in clauses (ii) 
                        through (iv), the allotment percentage of each 
                        State shall be 100 percent less the percentage 
                        that bears the same ratio to 50 percent as the 
                        per capita income of the State bears to the per 
                        capita income of all the States;
                            ``(ii) the allotment percentage for each 
                        State shall be not more than 75 percent and not 
                        less than 33\1/3\ percent;
                            ``(iii) the allotment percentage for Guam, 
                        American Samoa, the Virgin Islands of the 
                        United States, and the Commonwealth of the 
                        Northern Mariana Islands shall be 75 percent; 
                        and
                            ``(iv) subject to clause (ii), the 
                        allotment percentage for a State whose 
                        allotment percentage is not adjusted under 
                        clause (ii) or (iii) shall be adjusted 
                        proportionately to the extent necessary to 
                        achieve the percentages required under such 
                        clauses.
                    ``(E) Limitation.--For purposes of subparagraphs 
                (C)(ii)(I) and (D)(i), the term `State' does not 
                include Guam, American Samoa, the Virgin Islands of the 
                United States, or the Commonwealth of the Northern 
                Mariana Islands.
                    ``(F) Population and per capita income 
                determinations.--For purposes of this paragraph, the 
                number of individuals 55 years of age or older in each 
                State, and the per capita income of each State, shall 
                be determined by the Assistant Secretary on the basis 
                of the most recent data available from the Bureau of 
                the Census and other reliable demographic data 
                satisfactory to the Assistant Secretary.
    ``(b) Reallotment.--If any part of the amount allotted under this 
section to a State for a fiscal year is not distributed to the State 
for such fiscal year, such part shall be reallotted under this section 
for such fiscal year to the remaining eligible States.

``SEC. 503. SENIOR COMMUNITY SERVICE EMPLOYMENT PROGRAM.

    ``(a) Authority for Program.--
            ``(1) Grants.--With funds allotted under section 502(a), 
        the Assistant Secretary shall make grants to eligible States 
        and tribal organizations for the purpose of providing, to 
        unemployed low-income older individuals who have poor 
        employment prospects (as determined in accordance with 
        standards issued by the States and organizations), part-time 
        employment opportunities providing community services.
            ``(2) Use of funds.--
                    ``(A) Wages and benefits.--
                            ``(i) In general.--Except as provided in 
                        clause (ii) or subparagraph (C) or (D), not 
                        less than 90 percent of the funds made 
                        available through a grant made under paragraph 
                        (1) shall be used to pay wages and benefits for 
                        older individuals who are employed under 
                        projects carried out under this title.
                            ``(ii) Small states.--Except as provided in 
                        subparagraph (C) or (D), not less than 85 
                        percent of the funds made available through a 
                        grant made under paragraph (1) to a small State 
                        shall be used to pay wages and benefits for 
                        older individuals who are employed under 
                        projects carried out under this title.
                    ``(B) Administrative costs.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), not more than 10 percent of the 
                        funds made available through a grant made under 
                        paragraph (1) may be used to pay for 
                        administrative costs.
                            ``(ii) Small states.--Not more than 15 
                        percent of the funds made available through a 
                        grant made under paragraph (1) to a small State 
                        may be used to pay for administrative costs.
                    ``(C) Other participant costs; projects carried out 
                directly.--
                            ``(i) In general.--A State or tribal 
                        organization that receives a grant under 
                        paragraph (1) for a project and that elects to 
                        carry out the project directly, or through an 
                        agreement under subsection (b) with a political 
                        subdivision, may request that the Assistant 
                        Secretary provide for a fiscal year--
                                    ``(I) a general waiver of 
                                subparagraph (A); and
                                    ``(II) an additional waiver of 
                                subparagraph (A).
                            ``(ii) Request.--
                                    ``(I) In general.--The State or 
                                tribal organization shall submit such a 
                                request at such time, in such form, and 
                                containing such information as the 
                                Assistant Secretary may require by 
                                rule.
                                    ``(II) Information for additional 
                                waiver.--A State or tribal organization 
                                that requests such an additional waiver 
                                for a fiscal year shall submit with the 
                                request information demonstrating that 
                                at least 30 percent of the participants 
                                in the projects carried out through a 
                                grant made under paragraph (1) for the 
                                previous year to the State or 
                                organization were placed in 
                                unsubsidized employment.
                            ``(iii) Approval.--If the Assistant 
                        Secretary determines that the State or tribal 
                        organization has submitted a request that meets 
                        the requirements of clause (ii), the Assistant 
                        Secretary shall approve the request.
                            ``(iv) General waiver.--A general waiver 
                        referred to in this subparagraph shall permit 
                        the State or tribal organization to use a 
                        portion, but not more than 20 percent, of the 
                        funds made available through the grant for the 
                        fiscal year for which the waiver is requested 
                        for administrative costs or other participant 
                        costs, subject to clause (i) or (ii), as 
                        appropriate, of subparagraph (B).
                            ``(v) Additional waiver.--
                                    ``(I) In general.--An additional 
                                waiver referred to in this subparagraph 
                                shall permit the State or tribal 
                                organization to use a portion, but not 
                                more than 5 percent, of the funds made 
                                available through the grant for the 
                                fiscal year for which the waiver is 
                                requested for other participant costs.
                                    ``(II) Calculation.--If a State or 
                                tribal organization receives a general 
                                waiver described in clause (iv) and an 
                                additional waiver described in this 
                                clause, the State or organization may 
                                use the portion described in clause 
                                (iv) and the portion described in this 
                                clause for the fiscal year for which 
                                the waivers are requested for 
                                administrative costs or other 
                                participant costs, subject to clause 
                                (i) or (ii), as appropriate, of 
                                subparagraph (B).
                    ``(D) Other participant costs; projects carried out 
                under agreements.--
                            ``(i) In general.--An entity, other than a 
                        State, tribal organization, or political 
                        subdivision, that carries out a project under a 
                        grant made under paragraph (1) may request that 
                        the State or tribal organization that received 
                        the grant provide for a fiscal year--
                                    ``(I) a general waiver of 
                                subparagraph (A); and
                                    ``(II) an additional waiver of 
                                subparagraph (A).
                            ``(ii) Application of provisions.--The 
                        provisions of clauses (ii) through (v) of 
                        subparagraph (C) shall apply to such requests 
                        and such general and additional waivers, as 
                        appropriate, except that references in such 
                        provisions--
                                    ``(I) to a State or tribal 
                                organization shall be deemed to be 
                                references to the entity referred to in 
                                clause (i); and
                                    ``(II) to the Assistant Secretary 
                                shall be deemed to be references to the 
                                State or tribal organization that 
                                received the grant referred to in 
                                clause (i).
                    ``(E) Non-federal sources.--To the maximum extent 
                practicable, an entity that carries out a project under 
                this title shall provide for the payment of the costs 
                described in subparagraph (B), (C), or (D) from non-
                Federal sources.
    ``(b) Eligibility for Grants.--
            ``(1) Application and agreements.--To be eligible to 
        receive a grant under subsection (a), a State or tribal 
        organization shall submit to the Assistant Secretary an 
        application at such time, in such form, and containing such 
        information as the Assistant Secretary may require by rule, 
        including an assurance that funds made available through such 
grant--
                    ``(A) will be used by the State or tribal 
                organization to carry out projects for the purpose 
                specified in subsection (a)(1)--
                            ``(i) directly (in accordance with the 
                        requirements of subsection (d)); or
                            ``(ii) through agreements that satisfy the 
                        requirements of this subsection and subsection 
                        (d); and
                    ``(B) will not be used to carry out a project 
                involving the construction, operation, or maintenance 
                of any facility used or to be used as a place for 
                sectarian religious instruction or worship.
            ``(2) Participants in agreement.--Such agreements shall be 
        entered into by the State or tribal organization with--
                    ``(A) public or nonprofit private agencies or 
                organizations;
                    ``(B) political subdivisions of States having 
                elected or duly appointed governing officials (or 
                combinations of such political subdivisions);
                    ``(C) tribal organizations; and
                    ``(D) area agencies on aging.
            ``(3) Agreement with businesses.--At the election of a 
        State or tribal organization that receives a grant made under 
        subsection (a), not more than 5 percent of the funds made 
        available through the grant may be used to enter into 
        agreements with businesses (giving special consideration to 
        businesses in growth industries) to pay for not more than 50 
        percent of the cost of providing employment (including 
        arranging for the provision of employment) to older individuals 
        described in subsection (a).
    ``(c) Competitive Basis.--In selecting an entity with whom a State 
or tribal organization will enter into an agreement under subsection 
(b), the State or organization--
            ``(1) shall make the selection on a competitive basis; and
            ``(2) shall take into consideration, where appropriate, the 
        demonstrated ability of the entity to provide employment 
        (including arranging for the provision of employment) to older 
        individuals described in subsection (a).
    ``(d) Requirements.--
            ``(1) In general.--Each agreement entered into under 
        subsection (b) for a project shall provide that no payment 
        shall be made by the State or tribal organization toward the 
        cost of such project unless the State or tribal organization 
        determines that such project, or the entity that carries out 
        such project, as appropriate, will satisfy each of the 
        conditions described in paragraphs (2) through (13). Each State 
        or tribal organization that carries out a project directly 
        under subsection (b) shall ensure that such project or the 
        State or organization, as appropriate, will satisfy each of the 
        conditions described in paragraphs (2) through (13).
            ``(2) Federal share requirement.--
                    ``(A) In general.--The entity that carries out the 
                project shall use funds received for such project that 
                are made available through a grant made under 
                subsection (a) to pay for the Federal share of the cost 
                of the project.
                    ``(B) Federal share.--The Federal share of the cost 
                of the project shall be not more than 85 percent.
                    ``(C) Non-federal share.--The non-Federal share of 
                such cost shall be contributed in cash or in kind. In 
                determining the amount of the non-Federal share, the 
                Assistant Secretary may attribute fair market value to 
                services and facilities contributed from non-Federal 
                sources.
            ``(3) Personnel.--The project shall provide employment only 
        for older individuals described in subsection (a), except for 
        necessary technical, administrative, and supervisory personnel. 
        Such personnel shall, to the fullest extent possible, be 
        recruited from among older individuals described in subsection 
        (a).
            ``(4) Communities.--
                    ``(A) In general.--If such project is carried out 
                by or under an agreement with a State, the project 
                shall provide employment for such individuals in the 
                community in which such individuals reside, or in 
                nearby communities.
                    ``(B) Reservations.--If such project is carried out 
                by or under an agreement with a tribal organization, 
                the project shall provide employment for such 
                individuals who are Indians residing on an Indian 
                reservation.
            ``(5) Services.--The project (except a project carried out 
        under an agreement described in subsection (b)(3)) shall employ 
        older individuals described in subsection (a) in positions in 
        which the individuals provide services--
                    ``(A) related to publicly owned and operated 
                facilities or public projects; or
                    ``(B) related to projects sponsored by 
                organizations described in section 501(c)(3) of the 
                Internal Revenue Code of 1986 that are exempt from 
                taxation under section 501(a) of such Code.
            ``(6) General welfare.--The project shall contribute to the 
        general welfare of the community in which the project is 
        carried out.
            ``(7) Employment impacts.--The project shall--
                    ``(A) result in an increase in employment 
                opportunities over the opportunities that would 
                otherwise be available;
                    ``(B) not result in the displacement (including 
                partial displacement, such as a reduction in the hours 
                of nonovertime work or wages or employment benefits) of 
                currently employed workers (as of the date of the 
                beginning of the project); and
                    ``(C) not impair existing contracts (as of the date 
                of the beginning of the project) or result in the 
                substitution of Federal funds for other funds in 
                connection with work that would otherwise be performed.
            ``(8) Recruitment and selection.--In carrying out the 
        project, the entity shall utilize methods of recruitment and 
        selection (including listing job vacancies with an employment 
        agency operated by any State or political subdivision of a 
        State) that will ensure that the maximum number of older 
        individuals described in subsection (a) will have an 
        opportunity to participate in the project.
            ``(9) Training.--The project shall include such training as 
        may be necessary to make the most effective use of the skills 
        and talents of such individuals who are participating in the 
        project and assist in their transition into employment for 
        which no financial assistance is provided under this title.
            ``(10) Advice.--The entity shall establish or administer 
        the project after receiving the advice of--
                    ``(A) individuals competent in the field of service 
                in which the project will provide employment; and
                    ``(B) individuals who are knowledgeable with regard 
                to the needs of older individuals.
            ``(11) Assessment.--The entity shall prepare an assessment 
        of--
                    ``(A) the skills and talents of each participating 
                older individual;
                    ``(B) the need of the older individual for 
                supportive services; and
                    ``(C) the ability of the older individual to 
                perform community service employment;
        except to the extent that the project has an assessment of such 
        skills and talents, such need, or such ability, of the 
        individual that was prepared recently pursuant to another 
        Federal or State employment or job training program.
            ``(12) Notice and explanation.--The entity that carries out 
        such project shall post in the project workplace a notice, and 
        shall make available to each individual associated with such 
        project a written explanation, clarifying the law with respect 
        to allowable and unallowable political activities under chapter 
        15 of title 5, United States Code, applicable to the project 
        and to each category of individuals associated with such 
        project.
            ``(13) Priority in employment opportunities.--In providing 
        employment opportunities (including arranging for the provision 
        of employment opportunities) under the project, such entity 
        shall give priority to low-income older individuals described 
        in subsection (a) who are 60 years of age or older.
    ``(e) Prerequisite Determinations and Coordination.--
            ``(1) Determinations.--To effectively carry out subsection 
        (b), a State or tribal organization that receives a grant under 
        subsection (a) for a fiscal year shall, after consultation with 
        the appropriate area agencies on aging and with other 
        organizations that received funds under this title in the 
        preceding fiscal year--
                    ``(A) make a determination identifying the 
                localities in the State, or on an Indian reservation in 
                the case of a tribal organization, in which projects 
                described in subsection (b) are most needed;
                    ``(B) in making such determination, consider the 
                local employment situations and the types of skills 
                possessed by available local older individuals 
                described in subsection (a); and
                    ``(C) make a determination identifying potential 
                projects for, and the number and percentage of such 
                individuals in the local population of, each such 
                locality.
            ``(2) Coordination.--To increase job opportunities 
        available to older individuals, the State or tribal 
        organization shall coordinate the projects assisted under this 
        title with--
                    ``(A) other programs, projects, and activities 
                carried out under this Act; and
                    ``(B) other Federal or State employment or job 
                training programs.
            ``(3) Participants.--To the maximum extent practicable, the 
        State or tribal organization shall ensure that entities that 
        carry out projects under this title provide employment 
        (including arranging for the provision of employment) under 
        this title to older individuals who on the day before the 
        effective date of section 3 of the Older Americans Amendments 
        of 1995 were participants under an agreement entered into under 
        section 502(b) (as in effect on the day before such date).
    ``(f) Equitable Use of Funds.--To the maximum extent practicable, 
the State or tribal organization shall use funds available for this 
title to enter into agreements under subsection (b) or carry out this 
title in an equitable manner, taking into consideration the number of 
eligible older individuals in the various geographical areas served 
under the agreements or by the State or organization and the relative 
distribution of such individuals among urban and rural areas.
    ``(g) Prior Submission of Project Description.--If an entity 
carries out a project under this title in a planning and service area, 
and the entity is not the area agency on aging for the planning and 
service area, the entity shall carry out the project in consultation 
with the area agency on aging and shall submit to the area agency on 
aging, not less than 30 days before undertaking the project, a 
description (including the location) of such project.
    ``(h) Alternative Work Modes; Technical Assistance.--To assist 
entities carrying out, and participants in, projects assisted under 
this title, the State or tribal organization may develop alternatives 
for innovative work modes and provide technical assistance in creating 
job opportunities through work sharing and other experimental methods 
to groups representing business and industry and workers, as well as to 
individual employers, where appropriate.
    ``(i) Report.--If a State or tribal organization elects under 
subsection (b) to enter into agreements described in paragraph (3) of 
such subsection for a fiscal year, the State or tribal organization 
shall submit to the Assistant Secretary a report describing the 
projects carried out under such agreements.
    ``(j) Data Collection and Analysis.--A State or tribal organization 
that receives a grant under subsection (a) shall use a portion of the 
remaining funds described in subsection (a)(2)(B) to collect data and 
carry out analyses related to the need for community service employment 
within the population served under the grant and disseminate 
information obtained through the data collection and analyses.
    ``(k) Rules.--The Secretary shall issue, and amend from time to 
time, rules that require States and tribal organizations that receive 
grants under subsection (a) to establish, to the maximum extent 
practicable, for projects carried out under this title the goal of 
annually placing not less than 20 percent of project participants in 
employment for which no financial assistance is provided under this 
title.

``SEC. 504. PARTICIPANTS NOT FEDERAL EMPLOYEES.

    ``(a) Project Participants.--Older individuals described in section 
503(a) who participate in a project assisted under this title shall not 
be considered to be Federal employees as a result of such participation 
and shall not be subject to the provisions of part III of title 5, 
United States Code.
    ``(b) Workmen's Compensation.--No State or tribal organization 
shall enter into an agreement under section 503(b) with, or carry out 
such a project through, an entity who is, or whose employees are, under 
State law, exempted from operation of the State workmen's compensation 
law, generally applicable to employees, unless the entity shall 
undertake to provide either through insurance by a recognized carrier, 
or by self-insurance, as authorized by State law, that the individuals 
employed under the contract shall enjoy workmen's compensation coverage 
equal to such coverage provided by law for covered employment.

``SEC. 505. EMPLOYMENT ASSISTANCE AND FEDERAL HOUSING AND FOOD STAMP 
              PROGRAMS.

    ``Funds received by eligible individuals from projects carried out 
under this title shall not be considered to be income of such 
individuals for purposes of determining the eligibility of such 
individuals, or of any other persons, to participate in any housing 
program for which Federal funds may be available or for any income 
determination under the Food Stamp Act of 1977 (7 U.S.C. 2011 et seq.).

``SEC. 506. DEFINITIONS.

    ``As used in this title:
            ``(1) Administrative costs.--The term `administrative 
        costs', used with respect to a project, means--
                    ``(A) the costs of--
                            ``(i) salaries, wages, and fringe benefits 
                        for project administrators;
                            ``(ii) consumable office supplies used by 
                        project staff;
                            ``(iii) development, preparation, 
                        presentation, management, and evaluation of the 
                        project;
                            ``(iv) establishment and maintenance of 
                        accounting and management information systems;
                            ``(v) establishment and maintenance of 
                        advisory councils;
                            ``(vi) travel of the project 
                        administrators;
                            ``(vii) rent, utilities, custodial 
                        services, and indirect costs attributable to 
                        the project;
                            ``(viii) training of staff and technical 
                        assistance to subproject sponsor staff;
                            ``(ix) equipment and material for use by 
                        project staff; or
                            ``(x) audit services; and
                    ``(B) the costs and expenses described in paragraph 
                (5)(B).
            ``(2) Community services.--The term `community services' 
        means--
                    ``(A) social, health, welfare, and educational 
                services (particularly literacy tutoring);
                    ``(B) legal and other counseling services and 
                assistance, including tax counseling and assistance and 
                financial counseling;
                    ``(C) library, recreational, and other similar 
                services;
                    ``(D) conservation, maintenance, or restoration of 
                natural resources;
                    ``(E) community betterment or beautification;
                    ``(F) antipollution and environmental quality 
                efforts;
                    ``(G) weatherization activities;
                    ``(H) economic development; and
                    ``(I) such other services essential and necessary 
                to the community involved as the Secretary, by 
                regulation, may require.
            ``(3) Low-income.--The term `low-income', used with respect 
        to an individual, means an individual who is a member of a 
        family that has an income that is not more than 125 percent of 
        the poverty line.
            ``(4) Older individual--The term `older individual' means 
        an individual who is 55 years of age or older.
            ``(5) Other participant costs.--
                    ``(A) In general.--The term `other participant 
                costs' includes--
                            ``(i) the costs for participants of--
                                    ``(I) transportation;
                                    ``(II) training, including training 
                                described in section 503(d)(9); and
                                    ``(III) special job or personal 
                                counseling; and
                            ``(ii) incidental expenses necessary for 
                        the participation of the participants, such as 
                        workshoes, safety eyeglasses, uniforms, tools, 
                        and similar items.
                    ``(B) Exclusion.--The term shall not include--
                            ``(i) the costs of performing assessments, 
                        including the assessment described in section 
                        503(d)(11);
                            ``(ii) administrative expenses relating to 
                        the training of participants;
                            ``(iii) the costs of providing counseling 
                        to participants;
                            ``(iv) the costs of providing supportive 
                        services to participants;
                            ``(v) transportation costs incurred in 
                        training;
                            ``(vi) the costs of evaluating participants 
                        for continued participation in employment in a 
                        project described in this title; or
                            ``(vii) the costs of developing host agency 
                        assignments and unsubsidized employment for 
                        participants.
            ``(6) Placed in unsubsidized employment.--
                    ``(A) In general.--The term `placed in unsubsidized 
                employment' means, with respect to an individual who 
                was a participant in a project described in this title, 
                that--
                            ``(i)(I) the individual was placed in a 
                        position with an employer not later than 90 
                        days after the individual terminated 
                        participation in the project, and the position 
                        was not subsidized with Federal funds; and
                            ``(II) the placement was attibutable to 
                        participation in the project;
                            ``(ii) the employer intended, on the date 
                        of the placement, to employ the individual in 
                        the position for not less than 90 days;
                            ``(iii) the individual was still employed 
                        in the position 30 days after the placement; 
                        and
                            ``(iv) the individual was better off 
                        economically when employed in the position than 
                        the individual was when participating in the 
                        project.
                    ``(B) Better off economically.--As used in this 
                paragraph, the term `better off economically', used 
                with respect to an individual, means an individual who 
                was a participant in a project described in this title 
                and was placed in a position of employment if--
                            ``(i) the individual received greater 
                        income for employment in the position than for 
                        participation in the project;
                            ``(ii) the individual received greater 
                        benefits (as defined by the State in which the 
                        project is located) for employment in the 
                        position than for participation in the project; 
                        or
                            ``(iii) the position met 2 or more of the 
                        following criteria:
                                    ``(I) The position provided to the 
                                individual 20 or more hours of 
                                employment per week and a wage that is 
                                not less than the minimum wage 
                                determined in accordance with section 
                                6(a)(1) of the Fair Labor Standards Act 
                                of 1938 (29 U.S.C. 206(a)(1)).
                                    ``(II) The position was consistent 
                                with the individual development plan 
                                for the individual.
                                    ``(III) The position provided free 
                                housing to the individual.
                                    ``(IV) The position provided free 
                                food or meals to the individual.
                                    ``(V) The position provided health 
                                benefits to the individual.
                                    ``(VI) The position provided free 
                                transportation, or transportation at a 
                                reduced cost, to the individual.
                                    ``(VII) The position provided to 
                                the individual such economic benefits, 
                                other than the benefits described in 
                                subclauses (I) through (VI), as the 
                                State in which the project is located 
                                may determine to be appropriate.
            ``(7) Small state.--The term `small State' means--
                    ``(A) a State whose allotment under section 502 is 
                increased as a result of the condition specified in 
                section 502(a)(2)(C)(ii)(I); and
                    ``(B) a State referred to in section 
                502(a)(2)(C)(ii)(II).
            ``(8) State.--The term `State' means any of the several 
        States, the District of Columbia, the Commonwealth of Puerto 
        Rico, Guam, American Samoa, the Virgin Islands of the United 
        States, and the Commonwealth of the Northern Mariana Islands.
            ``(9) Tribal organization.--Notwithstanding section 102, 
        the term `tribal organization' means--
                    ``(A) the recognized governing body of an Indian 
                tribe;
                    ``(B) the legally established organization of 
                Indians that is controlled, sanctioned, or chartered by 
                the recognized governing body of an Indian tribe;
                    ``(C) a legally established organization of Indians 
                that is democratically elected by the adult members of 
                the Indian community to be served by such organization 
                and that includes the maximum participation of Indians 
                in all phases of the activities of the organization; 
                and
                    ``(D) a public or nonprofit private organization 
                that is primarily controlled by and comprised of 
                Indians or Indian tribes.

``SEC. 507. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) In General.--There are authorized to be appropriated to carry 
out this title such sums as may be necessary for fiscal year 1996.
    ``(b) Program Year and Extensions.--
            ``(1) Program year.--Amounts appropriated under subsection 
        (a) for a fiscal year shall be used during the annual period 
        that--
                    ``(A) begins on July 1 of the calendar year 
                immediately following the beginning of such fiscal 
                year; and
                    ``(B) ends on June 30 of the following calendar 
                year.
            ``(2) Extensions.--The Secretary may extend the period 
        during which such amounts may be obligated or expended in the 
        case of a particular organization or agency receiving funds 
        under this title if the Secretary determines that such 
        extension is necessary to ensure the effective use of such 
        funds by such organization or agency. Any such extension shall 
        be for a period of not more than 60 days after the end of such 
        annual period.''.
    (b) Technical and Conforming Amendments.--
            (1) Section 102(1) (42 U.S.C. 3002(1)) is amended by 
        striking all that follows ``Services'' and inserting a period.
            (2) The second sentence of section 201(a) (42 U.S.C. 
        3011(a)) is amended by striking ``Except for title V, the'' and 
        inserting ``The''.
            (3) Section 203(a)(3)(A) (42 U.S.C. 3013(a)(3)(A)) is 
        amended by inserting ``(as in effect on the day before the date 
        of enactment of the Older Americans Amendments of 1995)'' after 
        ``507''.

SEC. 4. AMENDMENT TO THE OLDER AMERICANS ACT OF 1965.

    The Older Americans Act of 1965 (42 U.S.C. 3001 et seq.) is amended 
to read as follows:

``SECTION 1. SHORT TITLE.

    ``This Act may be cited as the `Older Americans Act of 1965'.

``SEC. 2. TABLE OF CONTENTS.

    ``The table of contents for this Act is as follows:

        ``Sec. 1. Short title.
        ``Sec. 2. Table of contents.
                     ``TITLE I--GENERAL PROVISIONS

             ``Subtitle A--Core Objectives and Definitions

        ``Sec. 101. Core objectives.
        ``Sec. 102. Definitions.
                      ``Subtitle B--Administration

        ``Sec. 111. Establishment of Administration on Aging.
        ``Sec. 112. Functions of the Assistant Secretary.
        ``Sec. 113. Reports.
        ``Sec. 114. Reduction of paperwork.
        ``Sec. 115. Surplus property eligibility.
        ``Sec. 116. Treatment of costs.
        ``Sec. 117. Disaster relief.
        ``Sec. 118. Authorization of appropriations.
                         ``Subtitle C--Funding

        ``Sec. 121. Allotments; Federal share.
        ``Sec. 122. Authorization of appropriations.
        ``Sec. 123. Additional funds available for nutrition services.
                  ``TITLE II--STATE PROGRAMS ON AGING

                    ``Subtitle A--General Provisions

        ``Sec. 201. Eligibility of States.
        ``Sec. 202. State plans.
        ``Sec. 203. Planning, coordination, evaluation, and 
                            administration of State plans.
        ``Sec. 204. Payments.
          ``Subtitle B--State Long-Term Care Ombudsman Program

        ``Sec. 211. Establishment.
        ``Sec. 212. Requirements for State long-term care ombudsman 
                            program.
       ``Subtitle C--Senior Community Service Employment Program

        ``Sec. 221. Short title.
        ``Sec. 222. Definitions.
        ``Sec. 223. Senior community service employment program.
        ``Sec. 224. Participants not Federal employees.
        ``Sec. 225. Employment assistance and Federal housing and food 
                            stamp programs.
         ``Subtitle D--Disease Prevention and Health Promotion

        ``Sec. 231. Establishment of grant program.
        ``Sec. 232. Distribution to area agencies on aging.
                  ``TITLE III--LOCAL PROGRAMS ON AGING

                    ``Subtitle A--General Provisions

        ``Sec. 301. Eligibility of local organizations.
        ``Sec. 302. Area plans.
          ``Subtitle B--Supportive Services and Senior Centers

        ``Sec. 311. Program authorized.
                    ``Subtitle C--Nutrition Services

        ``Sec. 321. Program authorized.
        ``Sec. 322. Additional requirements.
             ``TITLE IV--NATIVE AMERICAN PROGRAMS ON AGING

        ``Sec. 401. Grants for services to Native Americans.
        ``Sec. 402. Applications for grants.
        ``Sec. 403. Distribution of funds among eligible organizations.
        ``Sec. 404. Surplus educational facilities.
        ``Sec. 405. Administration.
        ``Sec. 406. Payments.
        ``Sec. 407. Authorization of appropriations.

                     ``TITLE I--GENERAL PROVISIONS

             ``Subtitle A--Core Objectives and Definitions

``SEC. 101. CORE OBJECTIVES.

    ``It is the purpose of this Act to fulfill the responsibility of 
the United States to assist older individuals to remain living 
independently and with dignity for as long as possible in their 
communities, and to encourage and assist State agencies, area agencies 
on aging, and Indian tribes in concentrating resources and 
collaborating with the private sector in order to--
            ``(1) develop greater capacity, and foster the development 
        and implementation of comprehensive and coordinated systems to 
        serve older individuals, by entering into cooperative 
        arrangements in each State for the planning and provision of 
        supportive services (including services to support multipurpose 
        senior centers), nutrition services, and employment and 
        volunteer services; and
            ``(2) achieve core objectives consisting of--
                    ``(A) securing and maintaining maximum independence 
                and dignity in a home environment for older individuals 
                capable of self-care with appropriate supportive 
                services and nutrition services;
                    ``(B) removing individual and social barriers to 
                personal independence for older individuals;
                    ``(C) promoting a continuum of care for vulnerable 
                older individuals;
                    ``(D) fostering ways for older individuals to 
                receive managed in-home and community-based long-term 
                care services;
                    ``(E) ensuring that older individuals will be 
                protected against abuse, neglect, and exploitation; and
                    ``(F) promoting employment opportunities and 
                community services for older individuals.

``SEC. 102. DEFINITIONS.

    ``As used in this Act:
            ``(1) Abuse.--The term `abuse' means (except when the term 
        is used as part of the term `drug and alcohol abuse') the 
        willful--
                    ``(A) infliction of injury, unreasonable 
                confinement, intimidation, or cruel punishment with 
                resulting physical harm, pain, or mental anguish; or
                    ``(B) deprivation by a person, including a 
                caregiver, of goods or services that are necessary to 
                avoid physical harm, mental anguish, or mental illness.
            ``(2) Administration.--The term `Administration' means the 
        Administration on Aging.
            ``(3) Adult child with a disability; adult children with 
        disabilities.--
                    ``(A) Adult child with a disability.--The term 
                `adult child with a disability' means a child who--
                            ``(i) is 18 years of age or older;
                            ``(ii) is financially dependent on an older 
                        individual who is a parent of the child; and
                            ``(iii) has a disability.
                    ``(B) Adult children with disabilities.--The term 
                `adult children with disabilities' means more than 1 
                adult child with a disability.
            ``(4) Alaska native.--The term `Alaska Native' means an 
        individual who is a member of an Alaska Native organization.
            ``(5) Alaska native organization.--The term `Alaska Native 
        organization' means a Native village, regional corporation, or 
        village corporation, as defined in or established pursuant to 
        the Alaska Native Claims Settlement Act (43 U.S.C. 1601 et 
        seq.), that is recognized as eligible for the special programs 
        and services provided by the United States to Alaska Natives 
        because of their status as Alaska Natives.
            ``(6) Area agency on aging.--The term `area agency on 
        aging' means an area agency on aging designated under section 
        201(a)(2)(A), a State agency performing the functions of an 
        area agency on aging as the result of a designation of the 
        entire State as a single planning and service area, or a State 
        agency that is administering a program under section 302(c)(3) 
        (for purposes of provisions relating to such program).
            ``(7) Assistant secretary.--The term `Assistant Secretary' 
        means the Assistant Secretary for Aging.
            ``(8) Assistive technology.--The term `assistive 
        technology' means technology, an engineering methodology, or a 
        scientific principle, appropriate to meet the needs of, and 
        address the barriers confronted by, older individuals with 
        functional limitations.
            ``(9) Board and care facility.--The term `board and care 
        facility' means an institution regulated by a State pursuant to 
        section 1616(e) of the Social Security Act (42 U.S.C. 
        1382e(e)).
            ``(10) Caregiver.--The term `caregiver' means an individual 
        who has the responsibility for the care of an older individual, 
        either voluntarily, by contract, by receipt of payment for 
        care, or as a result of the operation of law.
            ``(11) Caretaker.--The term `caretaker' means a family 
        member or other individual who provides (on behalf of such 
        individual or of a public or nonprofit private agency, 
        organization, or institution) uncompensated care to an older 
        individual who needs supportive services.
            ``(12) Case management service.--The term `case management 
        service'--
                    ``(A) means assessment, development, and 
                implementation, carried out in cooperation with an 
                older individual (or the caregiver or caretaker of the 
                individual, where appropriate), of a care plan--
                            ``(i) by an individual who is trained or 
                        experienced in the case management skills that 
                        are required to deliver the services and 
                        coordination described in subparagraph (B); and
                            ``(ii) to assess the needs, and to arrange, 
                        coordinate, and monitor an optimum package of 
                        services to meet the needs, of the older 
                        individual; and
                    ``(B) includes services and coordination such as--
                            ``(i) comprehensive assessment of the older 
                        individual (including the physical, 
                        psychological, environmental, economic, and 
                        social needs of the individual);
                            ``(ii) development and implementation of a 
                        service plan with the older individual to 
                        mobilize the formal and informal resources and 
                        services identified in the assessment, 
                        including assistive technology, to meet the 
                        needs of the older individual, including 
                        coordination of the resources and services--
                                    ``(I) with the services identified 
                                in any other plans that exist for 
                                various formal services, such as 
                                hospital discharge plans; and
                                    ``(II) with the information and 
                                assistance services provided under this 
                                Act;
                            ``(iii) coordination and monitoring of 
                        formal and informal service delivery, including 
                        coordination and monitoring to ensure that 
                        services specified in the plan, including 
                        assistive technology, are being provided;
                            ``(iv) periodic reassessment and revision 
                        of the status of the older individual with--
                                    ``(I) the older individual; or
                                    ``(II) if appropriate, a caregiver 
                                or caretaker of the older individual; 
                                and
                            ``(v) in accordance with the wishes of the 
                        older individual, advocacy on behalf of the 
                        older individual for needed services or 
                        resources.
            ``(13) Child.--The term `child' means (except when the term 
        appears as part of the term `adult child with a disability') an 
        individual who is less than 18 years of age.
            ``(14) Community services.--The term `community services' 
        means--
                    ``(A) social, health, welfare, and educational 
                services (particularly literacy tutoring);
                    ``(B) legal and other counseling services and 
                assistance, including tax counseling and assistance and 
                financial counseling;
                    ``(C) library, recreational, and other similar 
                services;
                    ``(D) conservation, maintenance, or restoration of 
                natural resources;
                    ``(E) community betterment or beautification;
                    ``(F) antipollution and environmental quality 
                efforts;
                    ``(G) weatherization activities;
                    ``(H) economic development; and
                    ``(I) such other services essential and necessary 
                to the community as the Secretary, by regulation, may 
                require.
            ``(15) Comprehensive and coordinated system.--The term 
        `comprehensive and coordinated system' means a system for 
        providing all necessary supportive services, including 
        nutrition services, in a manner designed to--
                    ``(A) facilitate accessibility to, and utilization 
                of, all supportive services and nutrition services 
                provided within the geographic area served by such 
                system by any public or nonprofit private agency, 
                organization, or institution;
                    ``(B) develop and make the most efficient use of 
                supportive services and nutrition services in meeting 
                the needs of older individuals;
                    ``(C) use available resources efficiently and with 
                a minimum of duplication; and
                    ``(D) encourage and assist public and private 
                entities that have unrealized potential for meeting the 
                service needs of older individuals to assist the older 
                individuals on a voluntary basis.
            ``(16) Disability.--The term `disability' means (except 
        when the term is used as part of the term `severe disability', 
        `developmental disabilities', `physical and mental 
        disabilities', or `physical disabilities') a condition 
        attributable to a mental or physical impairment, or a 
        combination of mental and physical impairments, that results in 
        substantial functional limitations in 1 or more of the 
        following major life activities:
                    ``(A) Self-care.
                    ``(B) Use of receptive and expressive language.
                    ``(C) Learning.
                    ``(D) Achievement of mobility.
                    ``(E) Self-direction.
                    ``(F) Independent living.
                    ``(G) Achievement of economic self-sufficiency.
                    ``(H) Cognitive functioning.
                    ``(I) Emotional adjustment.
            ``(17) Elder abuse, neglect, and exploitation.--The term 
        `elder abuse, neglect, and exploitation' means abuse, neglect, 
        and exploitation, of an older individual.
            ``(18) Exploitation.--The term `exploitation' means the 
        illegal or improper act or process of an individual, including 
        a caregiver, using the resources of an older individual for 
        monetary or personal benefit, profit, or gain.
            ``(19) Focal point.--The term `focal point' means an entity 
        that maximizes the collocation and coordination of services for 
        older individuals.
            ``(20) Frail.--The term `frail' means, with respect to an 
        older individual in a State, that the older individual is 
        determined to be functionally impaired because the individual--
                    ``(A)(i) is unable to perform at least 2 activities 
                of daily living without substantial human assistance, 
                including verbal reminding, physical cueing, or 
                supervision; or
                    ``(ii) at the option of the State, is unable to 
                perform at least 3 such activities without such 
                assistance; or
                    ``(B) due to a cognitive or other mental 
                impairment, requires substantial supervision because 
                the individual behaves in a manner that poses a serious 
                health or safety hazard to the individual or to another 
                individual.
            ``(21) Greatest economic need.--The term `greatest economic 
        need' means the need resulting from an income level at or below 
        the poverty line.
            ``(22) Greatest social need.--The term `greatest social 
        need' means the need caused by noneconomic factors that 
        include--
                    ``(A) physical and mental disabilities;
                    ``(B) language barriers; and
                    ``(C) cultural, social, or geographical isolation, 
                including isolation caused by racial or ethnic status, 
                that--
                            ``(i) restricts the ability of an 
                        individual to perform normal daily tasks; or
                            ``(ii) threatens the capacity of the 
                        individual to live independently.
            ``(23) In-home services.--The term `in-home services' 
        includes--
                    ``(A) homemaker and home health aides;
                    ``(B) visiting and telephone reassurance;
                    ``(C) chore maintenance;
                    ``(D) in-home respite care for families, and adult 
                day-care as a respite service for families;
                    ``(E) minor modification of homes that is necessary 
                to facilitate the ability of older individuals to 
                remain at home and that is not available under programs 
                carried out under other Acts, except that not more than 
                $150 per client may be expended under this Act for such 
                modification;
                    ``(F) personal care services; and
                    ``(G) other in-home services as defined--
                            ``(i) by the State agency in the State plan 
                        submitted in accordance with section 202; and
                            ``(ii) by the area agency on aging in the 
                        area plan submitted in accordance with section 
                        302.
            ``(24) Indian.--The term `Indian' means--
                    ``(A) except as used in title IV, an individual who 
                is a member of an Indian tribe; and
                    ``(B) as used in title IV, an individual who is a 
                member of an Indian tribe, as defined in paragraph 
                (25)(B).
            ``(25) Indian tribe.--The term `Indian tribe' means--
                    ``(A) except as used in title IV, any tribe, band, 
                nation, or other organized group or community that is--
                            ``(i) recognized as eligible for the 
                        special programs and services provided by the 
                        United States to Indians because of their 
                        status as Indians; or
                            ``(ii) located on, or in proximity to, a 
                        Federal reservation or rancheria; and
                    ``(B) as used in title IV, any tribe, band, nation, 
                or other organized group or community that is 
                recognized as eligible for the special programs and 
                services provided by the United States to Indians 
                because of their status as Indians.
            ``(26) Information and assistance service.--The term 
        `information and assistance service' means a service for older 
        individuals that--
                    ``(A) provides the individuals with current 
                information (as of the date the information 
is provided) on opportunities and services available to the individuals 
within their communities, including information relating to assistive 
technology;
                    ``(B) assesses the problems and capacities of the 
                individuals;
                    ``(C) links the individuals to the opportunities 
                and services that are available;
                    ``(D) educates the individuals about insurance 
                benefits and public benefits (including various health 
                care benefit options available to qualified medicare 
                beneficiaries, as defined in section 1905(p) of the 
                Social Security Act (42 U.S.C. 1396d(p)), within an 
                area, such as fee-for-service options, health 
                maintenance organization and other managed care 
                options, and benefits through medicare supplemental 
                policies);
                    ``(E) to the maximum extent practicable, ensures 
                that the individuals receive the services needed by the 
                individuals, and are aware of the opportunities 
                available to the individuals, by establishing adequate 
                followup procedures; and
                    ``(F) serves an entire community of older 
                individuals, particularly--
                            ``(i) older individuals with greatest 
                        social need; and
                            ``(ii) older individuals with greatest 
                        economic need.
            ``(27) Insurance benefit.--The term `insurance benefit' 
        means a benefit under--
                    ``(A) the medicare program established under title 
                XVIII of the Social Security Act (42 U.S.C. 1395 et 
                seq.);
                    ``(B) the medicaid program established under title 
                XIX of the Social Security Act (42 U.S.C. 1396 et 
                seq.);
                    ``(C) a public or private insurance program;
                    ``(D) a medicare supplemental policy; or
                    ``(E) a pension plan.
            ``(28) Legal assistance.--The term `legal assistance'--
                    ``(A) means legal advice and representation 
                provided by an attorney to an older individual with 
                economic or social needs; and
                    ``(B) includes--
                            ``(i) to the extent feasible, counseling or 
                        other appropriate assistance by a paralegal or 
                        law student under the direct supervision of an 
                        attorney to such an older individual; and
                            ``(ii) counseling or representation by a 
                        nonlawyer where permitted by law to such an 
                        older individual.
            ``(29) Long-term care facility.--The term `long-term care 
        facility' means--
                    ``(A) any skilled nursing facility, as defined in 
                section 1819(a) of the Social Security Act (42 U.S.C. 
                1395i-3(a));
                    ``(B) any nursing facility, as defined in section 
                1919(a) of the Social Security Act (42 U.S.C. 
                1396r(a));
                    ``(C) as used in section 212, a board and care 
                facility; and
                    ``(D) any other adult care home similar to a 
                facility or institution described in subparagraph (A), 
                (B), or (C).
            ``(30) Low-income.--The term `low-income', used with 
        respect to an individual, means an individual who is a member 
        of a family that has income that is not more than 150 percent 
        of the poverty line.
            ``(31) Medicare supplemental policy.--The term `medicare 
        supplemental policy' has the meaning given the term in section 
        1882(g)(1) of the Social Security Act (42 U.S.C. 1395ss(g)(1)).
            ``(32) Multipurpose senior center.--The term `multipurpose 
        senior center' means a community facility for the organization 
        and provision of a broad spectrum of services, which may 
        include the provision of health (including mental health), 
        social, nutritional, and educational services and the provision 
        of facilities for recreational activities, for older 
        individuals.
            ``(33) Native american.--The term `Native American' means--
                    ``(A) an Indian;
                    ``(B) an Alaska Native; or
                    ``(C) a Native Hawaiian.
            ``(34) Native hawaiian.--The term `Native Hawaiian' means 
        any individual any of whose ancestors were natives of the area 
        that consists of the Hawaiian Islands prior to 1778.
            ``(35) Neglect.--The term `neglect' means--
                    ``(A) the failure to provide for oneself the goods 
                or services that are necessary to avoid physical harm, 
                mental anguish, or mental illness; or
                    ``(B) the failure of a caregiver to provide the 
                goods or services.
            ``(36) Nonprofit.--The term `nonprofit', used with respect 
        to any agency, institution, or organization, means an agency, 
        institution, or organization that is, or is owned and operated 
        by, 1 or more corporations or associations no part of the net 
        earnings of which inures, or may lawfully inure, to the benefit 
        of any private shareholder or individual.
            ``(37) Nutrition services.--The term `nutrition services' 
        means the services authorized to be provided through a project 
        carried out under subtitle C of title III (including similar 
        services provided under title IV).
            ``(38) Older individual.--The term `older individual' 
        means--
                    ``(A) except as used in subtitle C of title II, an 
                individual who is 60 years of age or older; and
                    ``(B) as used in subtitle C of title II, an 
                individual who is 55 years of age or older.
            ``(39) Pension plan.--The term `pension plan' means an 
        employee pension benefit plan, as defined in section 3(2) of 
        the Employee Retirement Income Security Act of 1974 (29 U.S.C. 
        1002(2)).
            ``(40) Physical harm.--The term `physical harm' means 
        bodily injury, bodily impairment, or disease.
            ``(41) Planning and service area.--The term `planning and 
        service area' means an area designated by a State agency under 
        section 201(a)(1)(E), including a single planning and service 
        area described in section 301(a)(1)(E).
            ``(42) Poverty line.--The term `poverty line' means the 
        poverty line (as defined by the Office of Management and 
        Budget, and revised annually by the Secretary in accordance 
        with section 673(2) of the Community Services Block Grant Act 
        (42 U.S.C. 9902(2)) applicable to a family of the size 
        involved.
            ``(43) Public benefit.--The term `public benefit' means a 
        benefit under--
                    ``(A) the Federal Old-Age, Survivors, and 
                Disability Insurance Benefits programs under title II 
                of the Social Security Act (42 U.S.C. 401 et seq.);
                    ``(B) the medicare program established under title 
                XVIII of the Social Security Act, including benefits as 
                a qualified medicare beneficiary, as defined in section 
                1905(p) of the Social Security Act (42 U.S.C. 
                1396d(p));
                    ``(C) the medicaid program established under title 
                XIX of the Social Security Act;
                    ``(D) the program established under the Food Stamp 
                Act of 1977 (7 U.S.C. 2011 et seq.);
                    ``(E) the program established under the Low-Income 
                Home Energy Assistance Act of 1981 (42 U.S.C. 8621 et 
                seq.);
                    ``(F) the supplemental security income program 
                established under title XVI of the Social Security Act 
                (42 U.S.C. 1381 et seq.); or
                    ``(G) a program determined to be appropriate by the 
                Assistant Secretary.
            ``(44) Representative payee.--The term `representative 
        payee' means a person who is appointed by a governmental entity 
        to receive, on behalf of an older individual who is unable to 
        manage funds by reason of a physical or mental incapacity, any 
        funds owed to such individual by such entity.
            ``(45) Secretary.--The term `Secretary' means the Secretary 
        of Health and Human Services.
            ``(46) Severe disability.--The term `severe disability' 
        means a severe, chronic disability attributable to a mental or 
        physical impairment, or a combination of mental and physical 
        impairments, that--
                    ``(A) is likely to continue indefinitely; and
                    ``(B) results in substantial functional limitation 
                in 3 or more of the major life activities specified in 
                subparagraphs (A) through (I) of paragraph (16).
            ``(47) State.--The term `State' means any of the several 
        States, the District of Columbia, the Commonwealth of Puerto 
        Rico, Guam, American Samoa, the Virgin Islands of the United 
        States, and the Commonwealth of the Northern Mariana Islands.
            ``(48) State agency.--The term `State agency' means the 
        agency designated under section 201(a)(1).
            ``(49) Supportive service.--The term `supportive service' 
        means a service described in section 311.
            ``(50) Tribal organization.--
                    ``(A) In general.--Except as used in title IV, the 
                term `tribal organization' means--
                            ``(i) the recognized governing body of an 
                        Indian tribe;
                            ``(ii) the legally established organization 
                        of Indians that is controlled, sanctioned, or 
                        chartered by the recognized governing body of 
                        an Indian tribe;
                            ``(iii) a legally established organization 
                        of Indians that is democratically elected by 
                        the adult members of the Indian community to be 
                        served by such organization and that includes 
                        the maximum participation of Indians in all 
                        phases of the activities of the organization; 
                        and
                            ``(iv) a public or nonprofit private 
                        organization that is primarily controlled by 
                        and comprised of Indians or Indian tribes.
                    ``(B) Title iv.--
                            ``(i) Definition.--As used in title IV, the 
                        term `tribal organization' means--
                                    ``(I) the recognized governing body 
                                of an Indian tribe;
                                    ``(II) the legally established 
                                organization of Indians that is 
                                controlled, sanctioned, or chartered by 
                                the recognized governing body of an 
                                Indian tribe; and
                                    ``(III) a legally established 
                                organization of Indians that is 
                                democratically elected by the adult 
                                members of the Indian community to be 
                                served by such organization and that 
                                includes the maximum participation of 
                                Indians in all phases of the activities 
                                of the organization.
                            ``(ii) Clarification.--As used in this 
                        subparagraph, the terms `Indian' and `Indian 
                        tribe' have the meanings given the terms in 
                        paragraphs (24)(B) and (25)(B), respectively.
            ``(51) Unit of general purpose local government.--The term 
        `unit of general purpose local government' means a political 
        subdivision of a State, whose authority is general and not 
        limited to only 1 function or combination of related functions.

                      ``Subtitle B--Administration

``SEC. 111. ESTABLISHMENT OF ADMINISTRATION ON AGING.

    ``(a) Establishment.--There is established in the Office of the 
Secretary, an Administration on Aging, which shall be headed by an 
Assistant Secretary for Aging. This Act shall be administered through 
the Administration, acting under the supervision of the Secretary.
    ``(b) Assistant Secretary.--The Assistant Secretary shall be 
appointed by the President by and with the advice and consent of the 
Senate.
    ``(c) Designation Relating to the Administration of the State Long-
Term Care Ombudsman Program.--The Assistant Secretary shall designate 
an employee of the Administration who shall be responsible, under the 
supervision of the Assistant Secretary, for the administration of the 
State long-term care ombudsman program carried out under this Act.
    ``(d) Designation Relating to the Administration of the Senior 
Community Service Employment Program.--The Assistant Secretary shall 
designate an employee of the Administration who shall be responsible, 
under the supervision of the Assistant Secretary, for the 
administration of subtitle C of title II.
    ``(e) Designation Relating to the Administration of Nutrition 
Services.--
            ``(1) In general.--The Assistant Secretary shall designate 
        an employee of the Administration who shall be responsible, 
        under the supervision of the Assistant Secretary, for the 
        administration of subtitle C of title III.
            ``(2) Qualifications.--The employee described in paragraph 
        (1) shall--
                    ``(A) have expertise in nutrition and dietary 
                services and planning; and
                    ``(B)(i) be a registered dietitian;
                    ``(ii) be a credentialed nutrition professional; or
                    ``(iii) have education and training that is 
                substantially equivalent to the education and training 
                for a registered dietitian or a credentialed nutrition 
                professional.
    ``(f) Designation Relating to the Administration of Programs 
Affecting Native Americans.--The Assistant Secretary shall designate an 
employee of the Administration who has expertise with respect to 
programs and services affecting Native Americans, to be responsible, 
under the supervision of the Assistant Secretary, for the 
administration of title IV and for coordination of other programs, 
projects, and activities carried out under this Act that affect Native 
Americans.

``SEC. 112. FUNCTIONS OF THE ASSISTANT SECRETARY.

    ``(a) Duties.--The duties of the Assistant Secretary are as 
follows:
            ``(1) Administration.--The Assistant Secretary shall 
        effectively carry out this Act by administering grants made and 
        contracts entered into under this Act, and carrying out 
programs under this Act.
            ``(2) Technical assistance to states, political 
        subdivisions, and tribal organizations.--The Assistant 
        Secretary shall provide technical assistance to, and consult 
        with, States, political subdivisions of States, and tribal 
        organizations, with respect to programs for older individuals 
        and aging.
            ``(3) Assistance to secretary.--The Assistant Secretary 
        shall directly assist the Secretary in all matters pertaining 
        to problems of older individuals and aging.
            ``(4) Coordination of and assistance in planning.--The 
        Assistant Secretary shall coordinate, and assist in, the 
        planning and development by public agencies (including Federal, 
        State, and local agencies and tribal organizations) and private 
        agencies and organizations of programs for older individuals to 
        facilitate the establishment of a nationwide network of 
        comprehensive, coordinated services, and opportunities, for 
        older individuals.
            ``(5) Statistical data regarding assisted activities.--The 
        Assistant Secretary shall collect, for each fiscal year 
        beginning after September 30, 1996, directly or by contract, 
        statistical data regarding services and activities provided 
        with funds made available under this Act, including--
                    ``(A) with respect to each type of service or 
                activity provided with such funds (except any service 
                or activity relating to the State long-term care 
                ombudsman program described in subtitle B of title 
                II)--
                            ``(i) the aggregate amount of such funds 
                        expended to provide such service or activity;
                            ``(ii) the unduplicated number of 
                        individuals who received such service or 
                        participated in such activity;
                            ``(iii) the unduplicated number of minority 
                        individuals who received such service or 
                        participated in such activity; and
                            ``(iv) the number of units of such service 
                        or activity provided;
                    ``(B)(i) State long-term care ombudsman program 
                data, including numbers, types, and disposition of 
                cases and complaints;
                    ``(ii) major institutional care issues identified 
                and addressed by the State long-term care ombudsman 
                program; and
                    ``(iii) data on the statewide program development, 
                operations, and outreach of such program; and
                    ``(C) the number of multipurpose senior centers 
                that received such funds.
            ``(6) Uniform data collection procedures.--The Assistant 
        Secretary, in order to facilitate the collection of data 
        described in paragraph (5), shall, not later than 1 year after 
        the date of enactment of the Older Americans Amendments of 
        1996--
                    ``(A) design and implement uniform data collection 
                procedures for use by State agencies, including--
                            ``(i) standardized data collection 
                        procedures;
                            ``(ii) procedures for collecting 
                        information on gaps in services needed by older 
                        individuals, as identified by service providers 
                        who assist older individuals by providing, 
                        collectively, supportive services and nutrition 
                        services; and
                            ``(iii) procedures for assessing the unmet 
                        need for services provided under this Act; and
                    ``(B) prescribe uniform definitions and 
                nomenclature for the categories of data to be collected 
                (including standard definitions of terms, such as the 
                term `resolution of a complaint', to be used under the 
                State long-term care ombudsman program described in 
                subtitle B of title II).
            ``(7) Advocacy.--The Assistant Secretary shall serve as the 
        effective and visible advocate for older individuals, within 
        the Department of Health and Human Services and with other 
        departments, agencies, and instrumentalities of the Federal 
        Government by maintaining active review of and commenting on 
        all Federal policies affecting older individuals.
            ``(8) Information on community resources.--The Assistant 
        Secretary shall establish and operate, directly or by grant or 
        contract, a nationwide toll-free telephone line that provides 
        information and assistance that--
                    ``(A) enable individuals to locate community 
                resources that may be available to older individuals 
                and their caregivers; and
                    ``(B) build on, support, and are fully coordinated 
                with the activities of State agencies and area agencies 
                on aging.
    ``(b) Federal Agency Consultation.--The Assistant Secretary, in 
carrying out the purpose and provisions of this Act, shall coordinate 
activities with, advise, consult with, and cooperate with the head of 
each department, agency, or instrumentality of the Federal Government 
proposing or administering a program or service substantially related 
to the purpose of this Act, with respect to such program or service. 
The Assistant Secretary, in carrying out this Act, may request the 
technical assistance and cooperation of the heads of such departments, 
agencies, and instrumentalities of the Federal Government as the 
Assistant Secretary considers to be appropriate. The head of each 
department, agency, or instrumentality of the Federal Government 
proposing to establish or modify any program or service substantially 
related to the purpose of this Act shall coordinate activities, 
consult, and cooperate with the Assistant Secretary, with respect to 
such program or service.
    ``(c) Powers.--In carrying out this Act, the Assistant Secretary 
may exercise the following powers:
            ``(1) Consultation; technical assistance.--The Assistant 
        Secretary may consult with and provide technical assistance to 
        public or nonprofit private agencies, organizations, and 
        institutions.
            ``(2) Training; technical instruction.--The Assistant 
        Secretary may provide short-term training and technical 
        instruction.
            ``(3) Grants and contracts.--
                    ``(A) In general.--The Assistant Secretary, using 
                funds appropriated under section 118(b)(1), may make 
                grants to States, public or nonprofit private agencies, 
                organizations, and institutions, and tribal 
                organizations, and may enter into contracts with such 
                agencies, organizations, and institutions, and with 
                individuals, for activities--
                            ``(i) to design, to test, and to promote 
                        utilization of innovative ideas and best 
                        practices in programs and services for older 
                        individuals;
                            ``(ii) to help meet the needs for trained 
                        personnel in fields related to aging; and
                            ``(iii) to increase the awareness of 
                        citizens of all ages of the need to assume 
                        personal responsibility for their aging 
                        through--
                                    ``(I) education and training to 
                                develop an adequately trained workforce 
to work with and on behalf of older individuals;
                                    ``(II) research and policy analysis 
                                to improve access to and delivery of 
                                services for older individuals;
                                    ``(III) development of methods and 
                                practices to improve quality and 
                                effectiveness of such services;
                                    ``(IV) demonstration of new 
                                approaches to design, delivery, and 
                                coordination of services and activities 
                                for older individuals;
                                    ``(V) technical assistance in 
                                planning, development, implementation, 
                                evaluation, and improvement of 
                                programs, projects, and activities 
                                under this Act; and
                                    ``(VI) dissemination of information 
                                on issues related to aging and their 
                                impact on individuals and society and 
                                information relating to services and 
                                activities benefiting older 
                                individuals.
                    ``(B) Application.--To be eligible to receive a 
                grant or enter into a contract under this paragraph, an 
                entity or individual shall submit an application to the 
                Assistant Secretary at such time, in such form, and 
                containing such information as the Secretary may by 
                rule require.
            ``(4) Measurement and evaluation.--
                    ``(A) In general.--The Assistant Secretary may 
                provide for the measurement and evaluation of--
                            ``(i) the impact of all activities 
                        authorized under this Act;
                            ``(ii) the effectiveness of the activities 
                        in achieving stated goals of the activities, in 
                        general and in relation to the cost of the 
                        activities;
                            ``(iii) the impact of the activities on 
                        related programs;
                            ``(iv) the effectiveness of the activities 
                        in targeting for services under this Act older 
                        individuals with the greatest economic need and 
                        older individuals with the greatest social 
                        need; and
                            ``(v) the structure and mechanisms of the 
                        activities for delivery of services, including, 
                        where appropriate, comparisons with delivery of 
                        services to appropriate control groups, 
                        composed of persons who have not participated 
                        in such activities.
                    ``(B) Persons conducting measurement and 
                evaluation.--Measurement and evaluation of activities 
                under subparagraph (A) shall be conducted by persons 
                who are not immediately involved in the administration 
                of the activities.
            ``(5) National center on elder abuse.--The Assistant 
        Secretary may provide, through grants or contracts, for the 
        operation of a National Center on Elder Abuse (referred to in 
        this paragraph as the `Center') to--
                    ``(A) annually compile, publish, and disseminate a 
                summary of recently conducted research on elder abuse, 
                neglect, and exploitation;
                    ``(B) develop and maintain an information 
                clearinghouse on all programs (including private 
                programs) showing promise of success, for the 
                prevention, identification, and treatment of elder 
                abuse, neglect, and exploitation;
                    ``(C) compile, publish, and disseminate training 
                materials for personnel who are engaged or intend to 
                engage in the prevention, identification, and treatment 
                of elder abuse, neglect, and exploitation;
                    ``(D) provide technical assistance to State 
                agencies and to other public and nonprofit private 
                agencies and organizations to assist the agencies and 
                organizations in planning, improving, developing, and 
                carrying out programs and activities relating to the 
                special problems of elder abuse, neglect, and 
                exploitation; and
                    ``(E) conduct research and demonstration projects 
                regarding the causes, prevention, identification, and 
                treatment of elder abuse, neglect, and exploitation.

``SEC. 113. REPORTS.

    ``(a) In General.--Not later than 120 days after the end of each 
fiscal year beginning after September 30, 1996, the Assistant Secretary 
shall prepare and submit to the President and to Congress a complete 
report on the programs, projects, and activities carried out under this 
Act in such fiscal year.
    ``(b) Contents.--Such report shall include--
            ``(1) statistical data on services and activities provided 
        under this Act for older individuals during the fiscal year for 
        which such report is submitted;
            ``(2) statistical data collected under section 112(a)(5); 
        and
            ``(3) statistical data, and an analysis of information, 
        regarding the effectiveness of the State agencies and area 
        agencies on aging in targeting services to older individuals 
        with greatest economic need and older individuals with greatest 
        social need, with particular attention to low-income minority 
        individuals.

``SEC. 114. REDUCTION OF PAPERWORK.

    ``In order to reduce unnecessary, duplicative, or disruptive 
demands for information, the Assistant Secretary, in consultation with 
State agencies and other appropriate agencies and organizations, shall 
continually review and evaluate all requests by employees of the 
Administration for information under this Act and shall take such 
action as may be necessary to reduce the paperwork required under this 
Act. The Assistant Secretary shall request only such information as the 
Assistant Secretary determines to be essential to carry out the purpose 
and provisions of this Act and, in gathering such information, shall 
make use of uniform definitions and nomenclature to the extent that 
such definitions and nomenclature are available.

``SEC. 115. SURPLUS PROPERTY ELIGIBILITY.

    ``Any State or local government agency, and any nonprofit private 
organization or institution, that receives funds appropriated for an 
activity for older individuals under this Act, under title IV or XX of 
the Social Security Act (42 U.S.C. 601 et seq. or 1397 et seq.), under 
title VIII or X of the Economic Opportunity Act of 1964 (42 U.S.C. 2991 
et seq. or 2996 et seq.), or under the Community Services Block Grant 
Act (42 U.S.C. 9901 et seq.), shall be deemed eligible to receive for 
such activity, property that is declared surplus to the needs of the 
Federal Government in accordance with laws applicable to surplus 
property.

``SEC. 116. TREATMENT OF COSTS.

          ``No part of the costs of any activity carried out under this 
Act may be treated as income or benefits of any eligible individual 
(other than any wage or salary to such individual) for the purpose of 
any other activity or provision of Federal or State law.

``SEC. 117. DISASTER RELIEF.

    ``(a) Reservation of Amounts.--At the beginning of each fiscal 
year, the Assistant Secretary shall reserve a portion equal to .06 
percent of the total amount appropriated under subsections (d) and (e) 
of section 122 for such fiscal year, to provide assistance to entities 
under this section.
    ``(b) Assistance.--The Assistant Secretary may provide assistance 
to eligible entities for the delivery of supportive services, nutrition 
services, and related supplies during any major disaster declared by 
the President under the Robert T. Stafford Disaster Relief and 
Emergency Assistance Act (42 U.S.C. 5122 et seq.).
    ``(c) Eligible Entities.--To be eligible to receive assistance 
under this section, an entity shall be a recipient of funding under 
this Act (other than this section).
    ``(d) Applications.--To be eligible to receive assistance under 
this section, an entity shall submit an application to the Assistant 
Secretary at such time, in such manner, and containing such information 
as the Assistant Secretary may require.
    ``(e) Unused Funds.--Funds that are reserved under subsection (a) 
for a fiscal year and that are not distributed by the end of the fiscal 
year shall be allotted to States as provided in section 121(c), for use 
in the following fiscal year.
    ``(f) Clarification.--Nothing in this section shall be construed to 
prohibit recipients of assistance under this section from making 
expenditures for disaster relief for older individuals, in excess of 
amounts provided under this section, by using funds made available to 
the recipients under another section of this Act, under another 
provision of Federal or State law, or from a private source.

``SEC. 118. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) Administration.--There are authorized to be appropriated to 
the Administration to carry out this Act (except to make grants and 
enter into contracts under paragraph (3) or (5) of section 112(c) and 
to carry out section 112(a)(8)) such sums as may be necessary for 
fiscal years 1997 through 2001.
    ``(b) Innovative Approaches and Best Practices; Information on 
Community Resources; National Center on Elder Abuse.--There are 
authorized to be appropriated to the Administration to carry out 
paragraphs (3) and (5) of section 112(c) and section 112(a)(8) such 
sums as may be necessary for fiscal years 1997 through 2001.

                         ``Subtitle C--Funding

``SEC. 121. ALLOTMENTS; FEDERAL SHARE.

    ``(a) Allotment of Funds for Ombudsman Program.--
            ``(1) Population.--In carrying out the program described in 
        subtitle B of title II, the Assistant Secretary shall initially 
        allot to each State, from the funds appropriated under section 
        122(a) for each fiscal year, an amount that bears the same 
        ratio to the funds as the population of older individuals in 
        the State bears to the population of older individuals in all 
        States.
            ``(2) Minimum allotments.--
                    ``(A) In general.--After making the initial 
                allotments described in paragraph (1), the Assistant 
                Secretary shall adjust the allotments on a pro rata 
                basis in accordance with subparagraph (B).
                    ``(B) General minimum allotments.--No State shall 
                be allotted less than one-half of 1 percent of the 
                funds appropriated under section 122(a) for the fiscal 
                year for which the determination is made.
                    ``(C) Definition.--For the purposes of this 
                paragraph, the term `State' does not include Guam, 
                American Samoa, the United States Virgin Islands, and 
                the Commonwealth of the Northern Mariana Islands.
    ``(b) Allotment of Funds for Senior Community Service Employment 
Program.--
            ``(1) Reservation of funds for tribal organizations.--Of 
        the amount appropriated under section 122(b) for each of fiscal 
        years 1997 through 2001, the Assistant Secretary shall reserve 
        not more than 1.3 percent for making grants under subtitle C of 
        title II to tribal organizations.
            ``(2) Allotment of funds for fiscal years 1997 through 
        2001.--
                    ``(A) Allotment.--After reserving funds under 
                paragraph (1), the Assistant Secretary shall allot the 
                remainder of the amount appropriated under section 
                122(b) for each of fiscal years 1997 through 2001 among 
                the States as follows:
                            ``(i) Fiscal years 1997 through 1999.--For 
                        each of fiscal years 1997, 1998, and 1999--
                                    ``(I) the product of the remainder 
                                for such fiscal year and the base 
                                percentage rate for such fiscal year 
                                shall be allotted among the States 
                                proportionately based on their 
                                respective shares of the funds 
                                appropriated for fiscal year 1995 and 
                                allotted for the States to carry out 
                                title V (as in effect on the day before 
                                the date of enactment of the Older 
                                Americans Amendments of 1996); and
                                    ``(II) the balance of the amount 
                                appropriated under section 122(b) for 
                                such fiscal year shall be allotted in 
                                accordance with subparagraph (C).
                            ``(ii) Fiscal years 2000 and 2001.--After 
                        reserving funds under paragraph (1), the 
                        Assistant Secretary shall allot the balance of 
                        the amount appropriated under section 122(b) 
                        for each of fiscal years 2000 and 2001 in 
                        accordance with subparagraph (C).
                    ``(B) Base percentage rates.--For purposes of 
                subparagraph (A)(i)(I), the base percentage rates shall 
                be the following:

``Fiscal year:                                    Base percentage rate:
    1997..........................................          60 percent 
    1998..........................................          40 percent 
    1999..........................................          20 percent.

                    ``(C) Allotments based on age and per capita 
                income.--Each balance referred to in clauses (i)(II) 
                and (ii) of subparagraph (A) shall be allotted as 
                follows:
                            ``(i) Allotment.--Subject to clause (ii), 
                        each State shall be allotted the amount that 
                        bears the same ratio to the balance as the 
                        product of the number of individuals 55 years 
                        of age or older in the State and the allotment 
                        percentage of the State bears to the sum of the 
                        corresponding products for all the States.
                            ``(ii) Reduction.--The amounts allotted 
                        under clause (i) shall be reduced 
                        proportionately to the extent necessary to 
                        increase other allotments made under such 
                        clause to achieve the following:
                                    ``(I) States.--Each State shall be 
                                allotted not less than \1/2\ of 1 
                                percent of the balance for the fiscal 
                                year for which the determination is 
                                made.
                                    ``(II) Other jurisdictions.--Guam, 
                                American Samoa, the Virgin Islands of 
                                the United States, and the Commonwealth 
                                of the Northern Mariana Islands shall 
                                each be allotted not less than \1/4\ of 
                                1 percent of the balance for the fiscal 
                                year for which the determination is 
                                made or $50,000, whichever is greater.
                    ``(D) Allotment percentage.--For purposes of 
                subparagraph (C)(i)--
                            ``(i) except as provided in clauses (ii) 
                        through (iv), the allotment percentage of each 
State shall be 100 percent less the percentage that bears the same 
ratio to 50 percent as the per capita income of the State bears to the 
per capita income of all the States;
                            ``(ii) the allotment percentage for each 
                        State shall be not more than 75 percent and not 
                        less than 33\1/3\ percent;
                            ``(iii) the allotment percentage for Guam, 
                        American Samoa, the Virgin Islands of the 
                        United States, and the Commonwealth of the 
                        Northern Mariana Islands shall be 75 percent; 
                        and
                            ``(iv) subject to clause (ii), the 
                        allotment percentage for a State whose 
                        allotment percentage is not adjusted under 
                        clause (ii) or (iii) shall be adjusted 
                        proportionately to the extent necessary to 
                        achieve the percentages required under such 
                        clauses.
                    ``(E) Limitation.--For purposes of subparagraphs 
                (C)(ii)(I) and (D)(i), the term `State' does not 
                include Guam, American Samoa, the Virgin Islands of the 
                United States, or the Commonwealth of the Northern 
                Mariana Islands.
                    ``(F) Population and per capita income 
                determinations.--For purposes of this paragraph, the 
                number of individuals 55 years of age or older in each 
                State, and the per capita income of each State, shall 
                be determined by the Assistant Secretary on the basis 
                of the most recent data available from the Bureau of 
                the Census and other reliable demographic data 
                satisfactory to the Assistant Secretary.
    ``(c) Allotment of Funds for Supportive Services and Multipurpose 
Senior Centers, and Nutrition Services.--
            ``(1) Allotment of funds for fiscal years 1997 through 
        2001.--
                    ``(A) Allotment.--Subject to subparagraphs (B) and 
                (C), after reserving funds under section 117, the 
                Assistant Secretary shall allot the remainder of the 
                sum of the amounts appropriated under subsections (d) 
                and (e) of section 122 for each of fiscal years 1997 
                through 2001 among the States as follows:
                            ``(i) Fiscal years 1997 through 2000.--For 
                        each of fiscal years 1997, 1998, 1999, and 
                        2000--
                                    ``(I) the product of such remainder 
                                for such fiscal year and the base 
                                percentage rate for such fiscal year 
                                shall be allotted among the States 
                                proportionately based on their 
                                respective shares of the funds 
                                appropriated for fiscal year 1996 and 
                                allotted for the States to carry out 
                                titles III and VII (as in effect on the 
                                day before the date of enactment of the 
                                Older Americans Amendments of 1996); 
                                and
                                    ``(II) the balance of such 
                                remainder for such fiscal year shall be 
                                allotted among the States 
                                proportionately based on their 
                                respective shares of the population of 
                                individuals 60 years of age or older in 
                                the States.
                            ``(ii) Base percentage rates.--For purposes 
                        of clause (i)(I), the base percentage rates 
                        shall be the following:

``Fiscal year:                                    Base percentage rate:
    1997..........................................          80 percent 
    1998..........................................          60 percent 
    1999..........................................          40 percent 
    2000..........................................          20 percent.

                            ``(iii) Fiscal year 2001.--Such remainder 
                        for fiscal year 2001 shall be allotted among 
                        the States proportionately based on their 
                        respective shares of the population of 
                        individuals 60 years of age or older in the 
                        States.
                    ``(B) Reduction.--The amounts allotted under 
                subparagraph (A) shall be reduced proportionately to 
                the extent necessary to increase other allotments made 
                under such subparagraph to achieve the following:
                            ``(i) States.--Each State shall be allotted 
                        not less than \1/2\ of 1 percent of the 
                        remainder described in subparagraph (A) for the 
                        fiscal year for which the determination is 
                        made.
                            ``(ii) Guam; virgin islands.--Guam and the 
                        Virgin Islands of the United States shall each 
                        be allotted not less than \1/4\ of 1 percent of 
                        the remainder described in subparagraph (A) for 
                        the fiscal year for which the determination is 
                        made.
                            ``(iii) American samoa; northern mariana 
                        islands.--American Samoa and the Commonwealth 
                        of the Northern Mariana Islands shall each be 
                        allotted not less than \1/16\ of 1 percent of 
                        the remainder described in subparagraph (A) for 
                        the fiscal year for which the determination is 
                        made.
                    ``(C) Limitation.--For the purposes of subparagraph 
                (B)(i), the term `State' does not include Guam, 
                American Samoa, the Virgin Islands of the United 
                States, and the Commonwealth of the Northern Mariana 
                Islands.
                    ``(D) Population determinations.--For purposes of 
                this paragraph, the number of individuals 60 years of 
                age or older in each State shall be determined by the 
                Assistant Secretary on the basis of the most recent 
                data available from the Bureau of the Census and other 
                reliable demographic data satisfactory to the Assistant 
                Secretary.
            ``(2) Federal share requirement.--
                    ``(A) In general.--A State that receives an 
                allotment under this subsection for a fiscal year shall 
                use funds made available through the allotment to pay 
                for the Federal share of the cost of carrying out 
                subtitles B and C of title III for such fiscal year.
                    ``(B) Federal share.--The Federal share of the cost 
                of carrying out such subtitles shall be not more than 
                85 percent.
                    ``(C) Non-federal share.--The non-Federal share of 
                such cost shall be contributed in cash or in kind. In 
                determining the amount of the non-Federal share, the 
                Assistant Secretary may attribute fair market value to 
                services and facilities contributed from non-Federal 
                sources.
    ``(d) Permitted Use of Allotments.--
            ``(1) Administration of state plans.--
                    ``(A) States.--Except as provided in subparagraph 
                (B), an amount equal to the greater of 5 percent, or 
                $500,000, of the aggregate of the allotments made to a 
                State under subsections (a) and (c) for a fiscal year 
                shall be available to the State to use for such fiscal 
                year in accordance with section 203(a).
                    ``(B) Other jurisdictions.--In the case of 
                allotments made under subsections (a) and (c) to Guam, 
                American Samoa, the Virgin Islands of the United 
                States, or the Commonwealth of the Northern Mariana 
                Islands, an amount equal to the greater of 5 percent, 
                or $100,000, of the aggregate of such allotments for a 
                fiscal year shall be available to the State to use for 
                such fiscal year in accordance with section 203(a).
            ``(2) Application to use additional funds.--
                    ``(A) Determination.--If a State submits an 
                application in which the State requests permission to 
                use additional funds, above the amount that would 
                otherwise be permitted under paragraph (1), from the 
                aggregate of the allotments described in paragraph 
                (1)(A) in accordance with section 203(a), the Assistant 
                Secretary may approve the application if the Assistant 
                Secretary determines, based on a particularized showing 
                of need, that--
                            ``(i) the State will be unable to fully and 
                        effectively administer the State plan of the 
                        State submitted under section 202 and to carry 
                        out programs, projects, and activities 
                        authorized under subtitle B of title II, and 
                        subtitles B and C of title III, unless the 
                        additional funds are made available by the 
                        Assistant Secretary;
                            ``(ii) the State is making full and 
                        effective use of the allotments described in 
                        paragraph (1)(A) and of the personnel of the 
                        State agency and area agencies on aging in the 
                        administration of the State plan in accordance 
                        with section 203(a); and
                            ``(iii) the State agency and area agencies 
                        on aging are carrying out, on a full-time 
                        basis, programs, projects, and activities that 
                        are in furtherance of the objectives of 
                        subtitle B of title II and subtitles B and C of 
                        title III.
                    ``(B) Part of additional funds.--Subject to 
                subparagraph (C), the Assistant Secretary may approve 
                any part of the additional funds requested in such 
                application that the Assistant Secretary determines is 
                justified in such application.
                    ``(C) Limit on amount.--The additional funds 
                available under this paragraph to a particular State 
                for any fiscal year may not exceed \3/4\ of 1 percent 
                of the aggregate of the allotments described in 
                paragraph (1)(A) that are provided to the State for 
                such fiscal year.
                    ``(D) Assurances.--
                            ``(i) In general.--The Assistant Secretary 
                        may not approve an application submitted under 
                        subparagraph (A) by a State unless the 
                        application contains the assurance described in 
                        clause (ii).
                            ``(ii) Prohibition on replacement of 
                        employees with participants supported under 
                        this act.--The application shall contain an 
                        assurance that the State will not use any funds 
                        made available under this subsection for the 
                        uses described in subparagraph (A) to hire any 
                        individual to fill a job opening created by an 
                        action of the State that consists of laying off 
                        or terminating the employment of any regular 
                        employee not supported under this Act in 
                        anticipation of filling the job opening so 
                        created by hiring a participant to be supported 
                        through use of such funds.
            ``(3) Additional use.--Of the amount that is made available 
        to a State through allotments made under subsections (a) and 
        (c) for a fiscal year and that remains after the application of 
        paragraphs (1) and (2), such part as the State agency 
        determines to be appropriate, but not more than 10 percent of 
        such remaining amount, may be used to pay such percentage as 
        the State agency determines to be appropriate, but not more 
        than 85 percent, of the administrative costs incurred to carry 
        out area plans submitted in accordance with section 302.
            (4) Ombudsman program.--Of the amount that is made 
        available to a State for supportive services (including 
        services to support multipurpose senior centers) through an 
        allotment made under subsection (c) for a fiscal year and that 
        remains after the application of paragraphs (1), (2), and (3), 
        such amount as the State agency determines to be adequate for 
        conducting an effective ombudsman program in accordance with 
        subtitle B of title II shall be available for conducting such 
        program.
            ``(5) Reallotment.--If any part of the amount allotted 
        under a subsection of this section to a State for a fiscal year 
        is not distributed to the State for such fiscal year, such part 
        shall be reallotted under such subsection for such fiscal year 
        to the remaining eligible States.

``SEC. 122. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) State Long-Term Care Ombudsman Program.--There are authorized 
to be appropriated to carry out subtitle B of title II, such sums as 
may be necessary for fiscal years 1997 through 2001.
    ``(b) Senior Community Service Employment Program.--There are 
authorized to be appropriated to carry out subtitle C of title II, such 
sums as may be necessary for fiscal years 1997 through 2001.
    ``(c) Disease Prevention and Health Promotion.--There are 
authorized to be appropriated to carry out subtitle D of title II, such 
sums as may be necessary for fiscal years 1997 through 2001.
    ``(d) Supportive Services and Senior Centers.--There are authorized 
to be appropriated to carry out subtitle B of title III, such sums as 
may be necessary for fiscal years 1997 through 2001.
    ``(e) Nutrition Services.--There are authorized to be appropriated 
to carry out subtitle C of title III, such sums as may be necessary for 
fiscal years 1997 through 2001.
    ``(f) Program Year and Extensions.--
            ``(1) Program year.--Amounts appropriated under subsection 
        (b) for any fiscal year shall be used during the annual period 
        that--
                    ``(A) begins on July 1 of the calendar year 
                immediately following the beginning of such fiscal 
                year; and
                    ``(B) ends on June 30 of the following calendar 
                year.
            ``(2) Extensions.--If, in accordance with section 
        121(d)(5), any part of an allotment is reallotted to a State 
        for a fiscal year, such part shall be considered to be a 
        portion of the appropriate allotment of the State for the 
        fiscal year, but shall remain available until the end of the 
        succeeding fiscal year.

``SEC. 123. ADDITIONAL FUNDS AVAILABLE FOR NUTRITION SERVICES.

    ``(a) Funds Available.--There are authorized to be appropriated to 
the Secretary of Agriculture (in addition to the amount appropriated to 
the Secretary of Health and Human Services under section 122(e)) to 
provide nutrition services under subtitle C of title III $156,625,000 
for fiscal year 1997 and such sums as may be necessary for fiscal years 
1998 through 2001.
    ``(b) Division of Funds.--The Secretary of Agriculture shall divide 
the funds that are made available under subsection (a) so that--
            ``(1) 98.9 percent of such funds is allotted to States in 
        accordance with subsection (c) to provide nutrition services 
        under subtitle C of title III; and
            ``(2) the balance is available to make grants under title 
        IV to provide nutrition services.
    ``(c) Allotment.--In providing funds for nutrition services under 
subsection (b)(1) for a fiscal year, the Secretary of Agriculture shall 
determine a per meal rate equal to the amount appropriated under 
subsection (a) for the fiscal year, divided by the number of meals 
served in the preceding fiscal year. The Secretary of Agriculture shall 
allot to each State, for the fiscal year for which the determination is 
made, the product of the per meal rate and the number of meals served 
in the State in the preceding fiscal year.
    ``(d) Receipt of Commodities in Lieu of Cash.--A State or area 
agency on aging that receives funds allotted under subsection (b)(1), 
or a recipient of a grant referred to in subsection (b)(2), may elect 
to enter into an agreement with the Secretary of Agriculture to 
purchase commodities with all or part of such funds or of the funds 
made available through such grant, through authorities including 
section 32 of the Act entitled ``An Act to amend the Agricultural 
Adjustment Act, and for other purposes'', approved August 24, 1935 (7 
U.S.C. 612c), section 416 of the Agricultural Act of 1949 (7 U.S.C. 
1431), and section 709 of the Food and Agriculture Act of 1965 (7 
U.S.C. 1446a-1).

                  ``TITLE II--STATE PROGRAMS ON AGING

                    ``Subtitle A--General Provisions

``SEC. 201. ELIGIBILITY OF STATES.

    ``(a) Eligibility of States.--For a State to be eligible to receive 
funds allotted under subsection (a) or (c) of section 121, or 
assistance available under section 123 or 231--
            ``(1) the State shall, in accordance with rules issued by 
        the Secretary, designate a State agency as the sole State 
        agency to--
                    ``(A) develop a State plan to be submitted to the 
                Assistant Secretary for approval under section 202;
                    ``(B) administer the State plan within the State;
                    ``(C) be responsible for the planning, policy 
                development, administration, coordination, priority 
                setting, and evaluation of all activities specified in 
                the State plan and related to carrying out subtitles B 
                and C, and subtitles B and C of title III;
                    ``(D) serve as an effective and visible advocate 
                for older individuals by reviewing and commenting on 
                all State plans, budgets, and policies that affect 
                older individuals, and provide technical assistance to 
                any agency, organization, or association representing 
                the needs of older individuals; and
                    ``(E) except as provided in subsection (c)--
                            ``(i) divide the State into distinct 
                        planning and service areas, after considering--
                                    ``(I) the geographical distribution 
                                of older individuals in the State;
                                    ``(II) the incidence of the need 
                                for supportive services (including 
                                services to support multipurpose senior 
                                centers) and nutrition services;
                                    ``(III) the distribution of older 
                                individuals who have the greatest 
                                economic need or the greatest social 
                                need;
                                    ``(IV) the distribution of 
                                resources available to provide the 
                                services and centers described in 
                                subclause (II);
                                    ``(V) the boundaries of existing 
                                (as of the date of the division) 
                                planning and service areas within the 
                                State;
                                    ``(VI) the characteristics of the 
                                local government within the State; and
                                    ``(VII) other relevant factors; or
                            ``(ii) designate the entire State as a 
                        single planning and service area; and
            ``(2) the State agency shall--
                    ``(A) designate an area agency on aging for each 
                planning and service area;
                    ``(B) take into account in the development and 
                administration of the State plan for any fiscal year, 
                the views of--
                            ``(i) recipients of services through the 
                        State long-term care ombudsman program, 
                        community service employment, supportive 
                        services, or nutrition services, as the case 
                        may be, provided under such plan; and
                            ``(ii) individuals using multipurpose 
                        senior centers provided under such plan;
                    ``(C) after consultation with area agencies on 
                aging and using the best available data, develop and 
                publish for review and comment a formula for 
                distribution within the State of funds received to 
                carry out subtitles B and C of title III that takes 
                into account--
                            ``(i) the geographical distribution of 
                        older individuals in the State; and
                            ``(ii) the distribution among planning and 
                        service areas of older individuals with 
                        greatest economic need and older individuals 
                        with greatest social need; and
                    ``(D) provide an assurance that the State will give 
                preference, in providing services under subtitles B and 
                C, and subtitles B and C of title III, to older 
                individuals with greatest economic need and older 
                individuals with greatest social need, with particular 
                attention to low-income minority individuals, and 
                include in the State plan proposed methods of carrying 
                out the preference.
    ``(b) Due Process.--
            ``(1) In general.--A State agency shall establish and 
        publish, after consultation with area agencies on aging, 
        procedures that the State agency shall follow to provide due 
        process to affected parties if the State agency initiates an 
        action or proceeding to change the designation of any 
        designated planning and service area or of any designated area 
agency on aging.
            ``(2) Procedures.--At a minimum, such procedures shall 
        include procedures for--
                    ``(A) providing notice of an action to change the 
                designation of a designated planning and service area 
                or of a designated area agency on aging;
                    ``(B) providing documentation of the need for such 
                action; and
                    ``(C) at the request of the area agency on aging, 
                conducting a public hearing concerning such action.
    ``(c) Grandfather Provision.--A State that on or before October 1, 
1980, had designated, with the approval of the Commissioner on Aging, a 
single planning and service area covering all of the older individuals 
in the State, in which the State agency was administering the area 
plan, may after such date designate 1 or more additional planning and 
service areas within the State to be administered by public or 
nonprofit private agencies, organizations, or institutions as area 
agencies on aging. The State agency shall continue to perform the 
functions of an area agency on aging for any area of the State not 
included in a planning and service area for which an area agency on 
aging has been designated.
    ``(d) Interstate Planning and Service Areas.--The chief executive 
officer of each State that contains a region of an interstate 
geographic area or of an interstate Indian reservation, may apply to 
the Assistant Secretary to request redesignation of the geographic area 
or reservation as an interstate planning and service area. If the 
Assistant Secretary approves the application, the Assistant Secretary 
shall adjust the allotment of each State containing a region of the 
interstate planning and service area, to reflect the number of older 
individuals within the region.
    ``(e) Nondesignation of Indian Reservations.--If a State declines 
to designate an Indian reservation as a planning and service area, the 
Indian tribe residing on the reservation may appeal the decision of the 
State to the Assistant Secretary. The Assistant Secretary may order the 
State to designate the Indian reservation as a planning and service 
area as a condition of receiving funding under this Act.

``SEC. 202. STATE PLANS.

    ``(a) Plan.--Each State, in order to be eligible for grants from 
the allotment made for the State under subsection (a), (b), or (c) of 
section 121, or assistance available under section 123 or 231, for any 
fiscal year, shall prepare and submit to the Assistant Secretary a 
State plan, which incorporates input from area agencies on aging in the 
State, for a 2-, 3-, or 4-year period determined by the State agency, 
with such annual revisions as are necessary. Each such plan shall 
comply with all of the following requirements:
            ``(1) Uniform area plan format.--The plan shall contain 
        assurances that the State plan will be based on area plans 
        developed by area agencies on aging within the State and that 
        the State will prepare and distribute a uniform format for use 
        by area agencies on aging in developing area plans under 
        section 302.
            ``(2) Approval of area plan.--The plan shall provide that 
        each such area agency on aging will prepare, develop, and 
        submit to the State agency for approval an area plan that 
        complies with section 302.
            ``(3) Hearings.--The plan shall provide that the State 
        agency will establish a grievance procedure that will afford an 
        opportunity for a hearing on request to any area agency on 
        aging submitting a plan under section 302, to any provider of a 
        service under such a plan, or to any applicant to provide a 
        service under such a plan. The State agency shall establish and 
        publish the procedures for requesting and conducting such 
        hearing.
            ``(4) Fiscal control and fund accounting; conflicts of 
        interest.--
                    ``(A) Fiscal control and fund accounting 
                procedures.--The plan shall provide a satisfactory 
                assurance that the State will adopt such fiscal control 
                and fund accounting procedures as may be necessary to 
                assure proper disbursement of, and accounting for, 
                funds made available through allotments made under 
                subsections (a), (b), and (c) of section 121, and 
                assistance made available under section 123 or 231, to 
                the State, including any such funds paid to the 
                recipients of a grant or contract with the State.
                    ``(B) Conflicts of interest.--The plan shall 
                provide assurances that--
                            ``(i) no individual (appointed or 
                        otherwise) involved in the designation of the 
                        State agency or an area agency on aging in the 
                        State, or in the designation of the head of the 
                        State agency, such an area agency on aging, or 
                        any subdivision of the State agency or of such 
                        an area agency on aging, is subject to a 
                        conflict of interest prohibited under this Act;
                            ``(ii) no officer, employee, or other 
                        representative of the State agency or an area 
                        agency on aging in the State is subject to a 
                        conflict of interest prohibited under this Act; 
                        and
                            ``(iii) mechanisms are in place to identify 
                        and remove conflicts of interest prohibited 
                        under this Act.
                    ``(C) Integrity; public purpose; enhancement.--The 
                plan shall provide assurances that the State agency and 
                each area agency on aging in the State will--
                            ``(i) maintain the integrity and public 
                        purpose of service providers utilized, and 
                        services provided, under the State plan in all 
                        contractual and commercial relationships; and
                            ``(ii) demonstrate that the quantity or 
                        quality of the services to be provided under 
                        the State plan will be enhanced as a result of 
                        such contract or such relationship.
            ``(5) Information and assistance services.--
                    ``(A) In general.--It shall be a primary 
                responsibility of the State agency to ensure that the 
                plan provides for establishing and maintaining 
                information and assistance services in sufficient 
                numbers to ensure, to the maximum extent practicable, 
                that all older individuals in the State who are not 
                furnished adequate information and assistance services 
                under section 302(a)(3) will have reasonably convenient 
                access to such services.
                    ``(B) Insurance benefits and public benefits.--The 
                plan shall contain an assurance that each area agency 
                on aging in the State, in providing information and 
                assistance services--
                            ``(i) will carry out a program for 
                        provision of outreach, counseling, and 
                        assistance to aid older individuals in 
                        obtaining insurance benefits and public 
                        benefits; and
                            ``(ii) will expend, to carry out the 
                        program, a specific percentage, stated in the 
                        State plan, of the agency's share of funds made 
available under section 122(d) and allotted to the State under section 
121(c).
            ``(6) Limitations.--
                    ``(A) Prohibition on direct provision of 
                services.--Except as provided in subparagraphs (B) and 
                (C) and section 302(c)(3), the plan shall provide that 
                no supportive services or nutrition services, including 
                home-delivered services, will be directly provided by 
                the State agency or an area agency on aging.
                    ``(B) Administrative exceptions.--Subparagraph (A) 
                shall not apply when, in the judgment of the State 
                agency--
                            ``(i) provision of services described in 
                        subparagraph (A) by the State agency or an area 
                        agency on aging is necessary to ensure an 
                        adequate supply of such services;
                            ``(ii) such services are directly related 
                        to the administrative functions of the State 
                        agency or area agency on aging; or
                            ``(iii) such services of comparable quality 
                        can be provided more economically by the State 
                        agency or area agency on aging.
                    ``(C) Exception for certain services.--Subparagraph 
                (A) shall not apply with respect to information and 
                assistance services, case management services, and 
                outreach.
            ``(7) State long-term care ombudsman program.--The plan 
        shall provide assurances that the State agency will carry out a 
        State long-term care ombudsman program that complies with all 
        the requirements specified in subtitle B.
            ``(8) Legal assistance.--The plan shall contain assurances, 
        with respect to legal assistance, that each area agency on 
        aging in the State will--
                    ``(A) expend, for the delivery of legal assistance, 
                a specific percentage, stated in the State plan, of the 
                agency's share of funds made available under section 
                122(d) and allotted to the State under section 121(c); 
                and
                    ``(B)(i) enter into contracts with providers of 
                legal assistance that can demonstrate the experience or 
                capacity to deliver legal assistance; and
                    ``(ii) attempt to involve private attorneys in 
                legal assistance activities authorized under subtitle B 
                of title III, including groups among private attorneys 
                who are furnishing services to older individuals on a 
                pro bono basis or on a reduced fee basis.
            ``(9) Prevention of elder abuse, neglect, and 
        exploitation.--Whenever the State desires to provide for 
        programs for the prevention of elder abuse, neglect, and 
        exploitation for a fiscal year, the plan shall--
                    ``(A) contain an assurance that each area agency on 
                aging in the State will expend, to carry out a program 
                for the prevention of elder abuse, neglect, and 
                exploitation, a specific percentage, stated in the 
                State plan, of the agency's share of funds made 
                available under section 122(d) and allotted to the 
                State under section 121(c);
                    ``(B) contain an assurance that the State has in 
                effect laws relating to elder abuse, neglect, and 
                exploitation that include provisions for immunity for 
                persons who report instances of elder abuse, neglect, 
                and exploitation, from prosecution under any State or 
                local law arising out of such reporting;
                    ``(C) contain an assurance that individuals who 
                provide services to prevent elder abuse, neglect, and 
                exploitation are trained to effectively deal with such 
                reported instances;
                    ``(D) contain an assurance that involuntary or 
                coerced participation in such program by alleged 
                victims, alleged abusers, or members of the households 
                of alleged victims or alleged abusers will not be 
                permitted;
                    ``(E) contain an assurance that the State requires 
                that all information gathered in the course of 
                receiving reports on instances of, and of making 
                referrals relating to, elder abuse, neglect, and 
                exploitation remain confidential except--
                            ``(i) if all parties to the complaint that 
                        is the subject of the report or referral 
                        consent in writing to the release of such 
                        information;
                            ``(ii) if the release of such information 
                        is to a law enforcement agency, public 
                        protective service agency, licensing or 
                        certification agency, ombudsman program, or 
                        protection or advocacy system; or
                            ``(iii) upon court order;
                    ``(F) contain an assurance that the State agency 
                will make all reasonable efforts to resolve any 
                conflicts with other public agencies with respect to 
                confidentiality of the information described in 
                subparagraph (E);
                    ``(G) contain an assurance that the State agency 
                will coordinate the State programs for the prevention 
                of elder abuse, neglect, and exploitation with--
                            ``(i) law enforcement officials;
                            ``(ii) courts of competent jurisdiction; 
                        and
                            ``(iii) entities carrying out other 
                        relevant State and local programs, including--
                                    ``(I) area agencies on aging; and
                                    ``(II) agencies that, collectively, 
                                administer adult protective services, 
                                medicaid fraud and abuse services 
                                (including services provided by a State 
                                medicaid fraud control unit, as defined 
                                in section 1903(q) of the Social 
                                Security Act (42 U.S.C. 1396b(q)), and 
                                victim assistance programs, and State 
                                agencies responsible for surveys and 
                                certification under section 1919(g) of 
                                the Social Security Act (42 U.S.C. 
                                1396r(g));
                    ``(H) contain an assurance that older individuals 
                participate in decisions under the program regarding 
                their welfare; and
                    ``(I) specify other activities that the State 
                agency determines to be beneficial in the prevention of 
                elder abuse, neglect, and exploitation and intends to 
                carry out under such program.
            ``(10) Outreach.--The plan shall provide assurances that 
        the State agency will require outreach efforts that will--
                    ``(A) identify individuals eligible for assistance 
                under subtitle B or C, or under subtitle B or C of 
                title III, with special emphasis on--
                            ``(i) older individuals residing in rural 
                        areas;
                            ``(ii) older individuals with greatest 
                        economic need;
                            ``(iii) older individuals with greatest 
                        social need, with particular attention to low-
                        income minority individuals;
                            ``(iv) older individuals with severe 
                        disabilities;
                            ``(v) older individuals with limited 
                        English-speaking ability;
                            ``(vi) older individuals with Alzheimer's 
                        disease or related disorders and with 
                        neurological or organic brain dysfunction (and 
                        the caretakers of such individuals); and
                            ``(vii) low-income minority older 
                        individuals; and
                    ``(B) inform the older individuals referred to in 
                clauses (i) through (vii) of subparagraph (A), and the 
                caretakers of such individuals, of the availability of 
                such assistance.
            ``(11) Individuals with disabilities.--The plan shall 
        provide, with respect to the needs of individuals with 
        disabilities, assurances that the State agency will coordinate 
        planning, identification, assessment of needs, and services for 
        individuals with disabilities (with particular attention to 
        individuals with severe disabilities) with the State agencies 
        with primary responsibility for individuals with disabilities 
        (including severe disabilities).
            ``(12) Coordination of community-based long-term care 
        services.--The plan shall provide assurances that area agencies 
        on aging will conduct efforts to facilitate the coordination of 
        community-based long-term care services, pursuant to section 
        302(a)(5)(G), for older individuals who--
                    ``(A) reside at home and are at risk of 
                institutionalization because of limitations on their 
                ability to function independently;
                    ``(B) are patients in hospitals and are at risk of 
                prolonged institutionalization; or
                    ``(C) are patients in long-term care facilities, 
                but who can return to their homes if community-based 
                services are provided to the individuals.
            ``(13) Prohibition on misuse of funds.--The plan shall 
        provide assurances that funds received from allotments made 
        under subsections (a), (b), and (c) of section 121, and 
        assistance made available under section 123 or 231, will not be 
        used to pay any part of a cost (including an administrative 
        cost) incurred by the State or an area agency on aging to carry 
        out a contract or commercial arrangement that is not carried 
        out to implement subtitle B or C, or subtitle B or C of title 
        III.
            ``(14) Coordination of services; provision of 
        multigenerational services.--The plan shall provide assurances 
        that the State will make demonstrable efforts--
                    ``(A) to coordinate services provided under 
                subtitles B and C, and subtitles B and C of title III, 
                with other State services that benefit older 
                individuals; and
                    ``(B) to provide multigenerational activities, such 
                as opportunities for older individuals to serve as 
                mentors or advisers in programs that, collectively, 
                provide child care, youth day care, educational 
                assistance, at-risk youth intervention, juvenile 
                delinquency treatment, and family support.
            ``(15) Quality assurance.--The plan shall include 
        assurances that the State has in effect a mechanism to provide 
        for quality in the provision of services under subtitles B and 
        C, and subtitles B and C of title III.
            ``(16) Cost sharing.--If the State, after consultation with 
        area agencies on aging and service providers, elects to require 
        cost sharing by recipients of services under the State plan (or 
        to require or permit area agencies on aging to require cost 
        sharing by recipients of services under area plans), the plan 
        shall--
                    ``(A) provide that no cost sharing shall be 
                required for information and assistance services, 
                outreach, benefits counseling, case management 
                services, or ombudsman or other protective services;
                    ``(B) exempt from cost-sharing requirements low-
                income individuals, or individuals with incomes below a 
                reasonable low-income threshold set by the State;
                    ``(C) set cost-sharing rates for individuals 
                subject to the requirements on a sliding-fee scale 
                based on income;
                    ``(D) provide that the income of older individuals 
                will be determined by self-declaration;
                    ``(E) provide that the confidentiality of 
                individual information related to such cost sharing 
                will be maintained at all times; and
                    ``(F) provide that no older individual will be 
                denied a service under the plan because of inability to 
                pay.
            ``(17) Solicitation of voluntary contributions.--The plan 
        shall provide that the State will permit area agencies on aging 
        to permit service providers to solicit, for services provided 
        under the plan, voluntary contributions--
                    ``(A) in amounts that are based on the ability of 
                older individuals to make such contributions; and
                    ``(B) that will be used to increase, or expand 
                access to, services provided under the plan.
    ``(b) Approval of State Plan.--The Assistant Secretary shall 
approve any State plan that fulfills the requirements of subsection 
(a).
    ``(c) Disapproval of State Plan.--
            ``(1) Determination following due process.--The Assistant 
        Secretary shall not make a final determination disapproving any 
        State plan, or any revision of a State plan, or make a final 
        determination that a State is ineligible under section 201, 
        without first affording the State reasonable notice and an 
        opportunity for a hearing.
            ``(2) Withholding of assistance.--
                    ``(A) In general.--If the Assistant Secretary makes 
                a determination, in accordance with paragraph (1), 
                disapproving a State plan, the Assistant Secretary 
                shall withhold from the State assistance allotted under 
                subsections (a), (b), and (c) of section 121, and 
                assistance available under section 123 or 231, for the 
                fiscal year for which such plan is submitted.
                    ``(B) Disbursal.--
                            ``(i) Entity.--The Assistant Secretary 
                        shall disburse the assistance withheld under 
                        subparagraph (A) directly to a public or 
                        nonprofit private agency, organization, or 
                        institution, or political subdivision of the 
                        State, that submits and obtains approval of a 
                        plan described in clause (ii).
                            ``(ii) Plan.--The plan referred to in 
                        clause (i) shall be submitted and approved in 
                        accordance with this section.
                            ``(iii) Authorities and requirements.--The 
                        Secretary shall issue regulations specifying 
                        authorities and requirements applicable to 
                        States under this Act, including the limitation 
                        specified in section 121(c)(2), that shall 
                        apply with respect to the use of such funds by 
                        the agency, organization, institution, or 
                        political subdivision that receives such funds.
            ``(3) Review by secretary.--Not later than 30 days after 
        such final determination, a State dissatisfied with such final 
        determination may appeal such final determination to the 
Secretary for review. If the State appeals such final determination in 
a timely manner in accordance with subsection (e)(1), the Secretary 
shall dismiss the appeal filed under this paragraph.
            ``(4) Appellate review of decision by secretary.--
                    ``(A) In general.--If the State is dissatisfied 
                with the decision of the Secretary after review under 
                paragraph (3), the State may appeal such decision in a 
                timely manner in accordance with subsection (e)(1).
                    ``(B) Construction.--For purposes of appellate 
                review under subparagraph (A), a reference in 
                subsection (e) to the Assistant Secretary shall be 
                deemed to be a reference to the Secretary.
    ``(d) Notification of State of Ineligibility or Noncompliance.--
            ``(1) In general.--
                    ``(A) Finding.--The Assistant Secretary shall make 
                the notification described in subparagraph (B) if the 
                Assistant Secretary, after providing reasonable notice 
                and an opportunity for a hearing to the State agency, 
                finds that--
                            ``(i) the State is not eligible under 
                        section 201;
                            ``(ii) the State plan has been so revised 
                        that the plan no longer complies substantially 
                        with any provision of subsection (a); or
                            ``(iii) in the administration of the plan 
                        there is a failure to comply substantially with 
                        any provision of subsection (a).
                    ``(B) Notification.--
                            ``(i) In general.--On making the finding 
                        described in subparagraph (A), the Assistant 
                        Secretary shall notify the State agency that no 
                        further assistance will be provided to the 
                        State from the allotment of the State under 
                        subsection (a), (b), or (c) of section 121, or 
                        under section 123 or 231, as appropriate (or, 
                        in the discretion of the Assistant Secretary, 
                        that further assistance to the State under such 
                        subsection or section will be limited to 
                        projects under the State plan that are not 
                        affected by the noncompliance that is the basis 
                        for the finding), until the Assistant Secretary 
                        is satisfied that there will no longer be any 
                        ineligibility or failure to comply.
                            ``(ii) Withholding of assistance.--Until 
                        the Assistant Secretary is so satisfied, no 
                        further assistance shall be provided to the 
                        State from the allotment of the State under 
                        subsection (a), (b), or (c) of section 121, or 
                        under section 123 or 231, as appropriate (or, 
                        in the discretion of the Assistant Secretary, 
                        further assistance to the State under such 
                        subsection or section shall be limited to 
                        projects described in clause (i) and the 
                        remainder of the assistance available for 
                        allotment to the State under such subsection or 
                        available to the State under such section shall 
                        be withheld).
            ``(2) Use of withheld assistance.--
                    ``(A) Eligible organizations.--The Assistant 
                Secretary shall, in accordance with rules the Secretary 
                shall issue, disburse the assistance withheld under 
                paragraph (1)(B)(ii) directly to a public or nonprofit 
                private agency, organization, or institution, or 
                political subdivision of the State, that submits and 
                obtains approval of a plan in accordance with the 
                provisions of this section.
                    ``(B) Authorities and requirements.--The Secretary 
                shall issue regulations specifying authorities and 
                requirements applicable to States under this Act, 
                including the limitation specified in section 
                121(c)(2), that shall apply with respect to the use of 
                such funds by the agency, organization, institution, or 
                political subdivision that receives such funds.
    ``(e) Appeal.--
            ``(1) In general.--A State that is dissatisfied with a 
        final action of the Assistant Secretary under subsection (c) or 
        (d) may appeal to the United States court of appeals for the 
        circuit in which the State is located, by filing a petition 
        with such court within 30 days after such final action. A copy 
        of the petition shall be transmitted by the clerk of the court 
        to the Assistant Secretary, or any officer designated by the 
        Assistant Secretary for such purpose. The Assistant Secretary 
        shall file in the court the record of the proceedings on which 
        the action of the Assistant Secretary is based, as provided in 
        section 2112 of title 28, United States Code.
            ``(2) Procedure.--
                    ``(A) Jurisdiction.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), on the filing of such petition, 
                        the court shall have jurisdiction to affirm the 
                        order issued by the Assistant Secretary with 
                        respect to the action or to set the order 
                        aside, in whole or in part, temporarily or 
                        permanently.
                            ``(ii) Action of assistant secretary.--
                        Until the filing of the record, the Assistant 
                        Secretary may modify or set aside the order of 
                        the Assistant Secretary.
                    ``(B) Evidence.--The findings of the Assistant 
                Secretary as to the facts, if supported by substantial 
                evidence, shall be conclusive, but the court for good 
                cause shown may remand the case to the Assistant 
                Secretary to take further evidence, and the Assistant 
                Secretary shall, within 30 days, file in the court the 
                record of the proceedings to obtain such further 
                evidence. The new or modified findings of fact 
                resulting from the proceedings shall likewise be 
                conclusive if supported by substantial evidence.
                    ``(C) Review.--The judgment of the court affirming 
                or setting aside, in whole or in part, any action of 
                the Assistant Secretary shall be final, subject to 
                review by the Supreme Court of the United States on 
                certiorari or certification as provided in section 1254 
                of title 28, United States Code.
            ``(3) No stay.--The commencement of proceedings under this 
        subsection shall not operate as a stay of the action of the 
        Assistant Secretary, unless such a stay is specifically ordered 
        by the court.
    ``(f) Preservation of Attorney-Client Privilege.--Neither a State, 
nor a State agency, may require any provider of legal assistance under 
subtitle B of title III to reveal any information that is protected by 
the attorney-client privilege.

``SEC. 203. PLANNING, COORDINATION, EVALUATION, AND ADMINISTRATION OF 
              STATE PLANS.

    ``(a) Grants for State Activities.--
            ``(1) Cost of administration of state plan.--Amounts 
        available to a State under paragraph (1) or (2) of section 
        121(d) may be used to make a grant to the State to pay such 
        percentage as the State agency determines, but not more than 85 
        percent, of the cost of the administration of the State plan of 
        the State, including--
                    ``(A) the preparation of the State plan;
                    ``(B) the evaluation of activities carried out 
                under such plan;
                    ``(C) the collection of data and the carrying out 
                of analyses related to the need for supportive services 
                (including services to support multipurpose senior 
                centers), and nutrition services (taking into 
                consideration the comparative need for home-delivered 
                nutrition services, congregate nutrition services, and 
                adult day care nutrition services), within the State, 
                and dissemination of information obtained through the 
                data collection and analyses;
                    ``(D) the provision of short-term training to 
                personnel of public or nonprofit private agencies, 
                organizations, and institutions engaged in the 
                operation of programs, projects, and activities 
                authorized by subtitle B, and subtitles B and C of 
                title III; and
                    ``(E) the carrying out of demonstration projects of 
                statewide significance relating to the initiation, 
                expansion, or improvement of services and activities 
                provided under subtitle B, and subtitles B and C of 
                title III.
            ``(2) Cost of administration of area plans.--Any assistance 
        available to a State under section 121(d)(1) for part of the 
        cost of the administration of the State plan of the State that 
        the State determines are not needed for such administration may 
        be used by the State to supplement the amount available under 
        section 121(d)(3) to cover part of the cost of the 
        administration of area plans.
            ``(3) Use of funds not needed for administration of state 
        plan.--The portion of the assistance made available under 
        section 121(d)(1) to a State for any fiscal year, that the 
        State determines will not be required by the State for such 
        year for the purposes described in paragraph (1), shall be 
        available to the State to provide services under subtitle B, or 
        subtitle B or C of title III, in the State.
            ``(4) Single planning and service areas.--Any State that is 
        designated, under section 201(a)(1)(E), as a single planning 
        and service area covering all, or substantially all, of the 
        older individuals in the State, as determined by the Assistant 
        Secretary, may elect to pay part of the costs of the 
        administration of State and area plans either out of the amount 
        of funds available under paragraph (1) or (2) of section 121(d) 
        or out of the amount of funds made available for the 
        administration of area plans under section 121(d)(3), but shall 
        not pay such costs out of both such amounts.
    ``(b) Authority To Transfer Funds.--
            ``(1) Transfers.--
                    ``(A) In general.--Notwithstanding any other 
                provision of this subtitle or title III and except as 
                provided in subparagraph (B), using the sums received 
                by a State attributable to funds appropriated under 
                subsection (d) or (e) of section 122, as appropriate, 
                the State (after consultation with area agencies on 
                aging and with service providers) may elect to transfer 
                not more than 25 percent of such sums for any fiscal 
                year between programs under subtitle B of title III and 
                programs under subtitle C of title III, for use as the 
                State considers appropriate. The State shall notify the 
                Assistant Secretary of any such election.
                    ``(B) Waiver.--If a State submits an application to 
                the Assistant Secretary in which the State 
                demonstrates, to the satisfaction of the Assistant 
                Secretary, that funds received by the State and 
                attributable to funds appropriated under subsection (d) 
                or (e) of section 122 (including funds transferred 
                under subparagraph (A) without regard to this 
                subparagraph) for any fiscal year are insufficient to 
                satisfy the need for services under subtitle B or C of 
                title III, as appropriate, the Assistant Secretary may 
                grant a waiver that permits the State to transfer under 
                subparagraph (A) to satisfy such need an additional 25 
                percent of the funds so received for such fiscal year.
                    ``(C) Application.--At a minimum, the application 
                described in subparagraph (B) shall include a 
                description of the additional amount to be transferred, 
                the purposes of the transfer, the need for the 
                transfer, and the impact of the transfer on the 
                provision of services from which the funding will be 
                transferred. The Assistant Secretary shall approve or 
                deny the application in writing.
            ``(2) Delegation of authority to make transfers.--After 
        consultation with service providers, a State agency may 
        delegate to an area agency on aging or any other entity the 
        authority to make a transfer under paragraph (1).
            ``(3) Data collection.--The Assistant Secretary shall 
        annually collect, and include in the report required by section 
        113, data regarding the transfers described in paragraph (1), 
        including--
                    ``(A) the amount of funds involved in the 
                transfers, analyzed by State; and
                    ``(B) the effect of the transfers on the provision 
                of services provided under--
                            ``(i) subtitle B of title III; and
                            ``(ii) subtitle C of title III, including 
                        the effect on the number of meals served.

``SEC. 204. PAYMENTS.

    ``Payments provided through grants made, or contracts entered into, 
under subtitle B, C, or D, or subtitle B or C of title III, may be 
provided (after necessary adjustments resulting from previously made 
overpayments or underpayments) in advance or by way of reimbursement, 
and in such installments, as the Assistant Secretary may determine to 
be appropriate.

          ``Subtitle B--State Long-Term Care Ombudsman Program

``SEC. 211. ESTABLISHMENT.

    ``(a) In General.--With funds allotted under section 121(a), the 
Assistant Secretary shall make grants to eligible States to carry out 
long-term care ombudsman programs.
    ``(b) Office and Program.--In order to be eligible to receive a 
grant under subsection (a), a State shall--
            ``(1) establish and operate an Office of the State Long-
        Term Care Ombudsman (referred to in this subtitle as the 
        `Office'); and
            ``(2) carry out through the Office a State long-term care 
        ombudsman program.
    ``(c) Ombudsman.--The Office shall be headed by an individual, to 
be known as the State Long-Term Care Ombudsman (referred to in this 
subtitle as the `Ombudsman'), who shall be selected from among 
individuals with expertise and experience in the fields of long-term 
care and advocacy.

``SEC. 212. REQUIREMENTS FOR STATE LONG-TERM CARE OMBUDSMAN PROGRAM.

    ``(a) Duties.--The Ombudsman shall serve on a full-time basis, and 
shall, personally or through representatives of the Office--
            ``(1) identify, investigate, and resolve complaints that--
                    ``(A) are made by, or on behalf of, older 
                individuals who are residents of long-term care 
                facilities (referred to individually in this section as 
                a `resident'); and
                    ``(B) relate to action, inaction, or decisions, 
                that may adversely affect the health, safety, welfare, 
                or rights of such residents (including the welfare and 
                rights of such residents with respect to the 
                appointment and activities of guardians and 
                representative payees), by providers (or 
                representatives of providers) of long-term care 
                services, public agencies, or health and social service 
                agencies;
            ``(2) provide services to assist such residents in 
        protecting the health, safety, welfare, and rights of such 
        residents;
            ``(3) inform such residents about means of obtaining 
        services provided by providers or agencies described in 
        paragraph (1)(B) or identification, investigation, and 
        resolution services described in paragraph (1);
            ``(4) ensure that such residents have regular and timely 
        access to the services provided through the State long-term 
        care ombudsman program and that residents and complainants on 
        behalf of residents (referred to individually in this section 
        as a `complainant') receive timely responses to their 
        complaints from representatives of the State long-term care 
        ombudsman program (referred to individually in this section as 
        a `program representative');
            ``(5) represent the interests of such residents before 
        governmental agencies and seek administrative, legal, and other 
        remedies to protect the health, safety, welfare, and rights of 
        the residents;
            ``(6) provide administrative and technical assistance to 
        entities designated under subsection (c) to assist the entities 
        in participating in the program;
            ``(7)(A) analyze, comment on, and monitor the development 
        and implementation of Federal, State, and local laws, rules, 
        and other government policies and actions, that pertain to the 
        health, safety, welfare, and rights of the residents, with 
        respect to the adequacy of long-term care facilities and 
        services in the State; and
            ``(B) recommend such changes in such laws, rules, policies, 
        and actions as the Ombudsman determines to be appropriate;
            ``(8) provide for training for program representatives of 
        the Office;
            ``(9) collect information, as specified by the Assistant 
        Secretary, on the total number of such residents in the State 
        and the number of complaints described in paragraph (1) 
        received by the State, analyzed by type of facility (such as a 
        nursing home or board and care facility); and
            ``(10) carry out such other activities as the State agency 
        determines to be appropriate.
    ``(b) Contracts and Arrangements.--
            ``(1) In general.--Except as provided in paragraph (2), the 
        State agency may establish and operate the Office, and carry 
        out the program, directly or by contract or other arrangement 
        with any public or nonprofit private organization, agency, or 
        institution.
            ``(2) Ineligible entities.--The State agency may not enter 
        into a contract or other arrangement described in paragraph (1) 
        with--
                    ``(A) an agency or organization that is responsible 
                for licensing or certifying long-term care services in 
                the State; or
                    ``(B) an association (or an affiliate of such an 
                association) of long-term care facilities, or of any 
                other residential facilities for older individuals.
    ``(c) Designation of Local Ombudsman Entities and 
Representatives.--
            ``(1) Designation.--In carrying out the duties specified in 
        subsection (a), the Ombudsman may designate an entity as a 
        local Ombudsman entity, and may designate an individual 
        (including an employee or volunteer) to represent the entity.
            ``(2)  Eligibility for designation.--Entities eligible to 
        be designated as local Ombudsman entities, and individuals 
        eligible to be designated as representatives of such entities, 
        shall--
                    ``(A) have demonstrated capability to carry out the 
                responsibilities of the Office;
                    ``(B) be free of conflicts of interest;
                    ``(C) in the case of the entities, be public or 
                nonprofit private entities; and
                    ``(D) meet such additional requirements as the 
                Ombudsman may specify.
            ``(3) Authorities of local ombudsman.--An individual so 
        designated may, in accordance with the policies and procedures 
        established by the Office and the State agency--
                    ``(A) provide services to protect the health, 
                safety, welfare, and rights of residents;
                    ``(B) ensure that residents in the planning and 
                service area of the entity have regular, timely access 
                to representatives of the State long-term care 
                ombudsman program and timely responses to complaints 
                and requests for assistance;
                    ``(C) identify, investigate, and resolve complaints 
                made by or on behalf of such residents that relate to 
                action, inaction, or decisions, that may adversely 
                affect the health, safety, welfare, or rights of such 
                residents;
                    ``(D) represent the interests of such residents 
                before government agencies and seek administrative, 
                legal, and other remedies to protect the health, 
                safety, welfare, and rights of such residents;
                    ``(E)(i) analyze, comment on, and monitor the 
                development and implementation of Federal, State, and 
                local laws, rules, and other government policies and 
                actions, that pertain to the health, safety, welfare, 
                and rights of the residents, with respect to the 
                adequacy of long-term care facilities and services in 
                the State; and
                    (ii) recommend such changes in such laws, rules, 
                policies, and actions as the individual determines to 
                be appropriate;
                    ``(F) facilitate the ability of the public to 
                comment on such laws, rules, policies, and actions;
                    ``(G) support the development of resident and 
                family councils; and
                    ``(H) carry out such other activities as the 
                Ombudsman determines to be appropriate.
            ``(4) Monitoring policies and procedures.--
                    ``(A) In general.--The State agency shall 
                establish, in accordance with the Office, policies and 
                procedures for monitoring local Ombudsman entities 
                designated to carry out the duties specified in 
                subsection (a) and their representatives.
                    ``(B) Consultation and comment.--If the entities 
                are grant recipients, or the representatives are 
                employees, of area agencies on aging, the State agency 
                shall develop the policies and procedures after 
                consultation with the area agencies on aging. The 
                policies and procedures shall provide for participation 
                and comment by such agencies and for resolution of 
                concerns with respect to case activity.
                    ``(C) Confidentiality and conflict of interest.--
                The State agency shall develop the policies and 
                procedures in accordance with all provisions of 
                subtitle A, this subtitle, and title III regarding 
                confidentiality and conflict of interest.
    ``(d) Procedures for Access.--The State shall ensure, and shall 
establish procedures that ensure, that a program representative of the 
Office shall have--
            ``(1) access to long-term care facilities and residents;
            ``(2)(A) appropriate access to review the medical and 
        social records of a resident, if the representative has the 
        permission of the resident (or the legal representative of the 
        resident), or the resident is unable to consent to the review 
        and has no legal representative; or
            ``(B) such access to such records as is necessary to 
        investigate a complaint if a legal guardian of the resident 
        refuses to give the permission, a program representative of the 
        Office has reasonable cause to believe that the guardian is not 
        acting in the best interests of the resident, and the program 
        representative obtains the approval of the Ombudsman;
            ``(3) access to the administrative records, policies, and 
        documents, to which the residents have or the general public 
        has access, of long-term care facilities; and
            ``(4) access to and, on request, copies of all licensing 
        and certification records maintained by the State with respect 
        to long-term care facilities.
    ``(e) Data Collection and Reporting.--The State agency shall--
            ``(1) collect and analyze data relating to complaints and 
        conditions in long-term care facilities and to residents, for 
        the purpose of identifying and resolving significant problems;
            ``(2) document the program operations and outreach 
        activities of the State long-term care ombudsman program; and
            ``(3) submit to the Assistant Secretary and other State 
        agencies, and make available to the public, annual reports 
        containing the data and documentation specified in paragraphs 
        (1) and (2).
    ``(f) Disclosure.--
            ``(1) Establishment of procedures.--The State agency shall 
        establish procedures for the disclosure by the Ombudsman or 
        local Ombudsman entities of files maintained by the State long-
        term care ombudsman program, including records, policies, 
        documents, and data described in subsections (d) and (e).
            ``(2) Disclosure only at discretion of ombudsman.--The 
        procedures described in paragraph (1) shall provide that, 
        subject to paragraph (3), the files described in paragraph (1) 
        may be disclosed only at the discretion of the Ombudsman.
            ``(3) Nondisclosure of identity.--The procedures described 
        in paragraph (1) shall prohibit the disclosure of the identity 
        of any complainant, or resident of a long-term care facility, 
        with respect to whom the Office maintains such files unless--
                    ``(A) the complainant or resident, or the legal 
                representative of the complainant or resident, consents 
                to the disclosure and the consent is given in writing;
                    ``(B) the complainant or resident gives consent 
                orally and the consent is documented contemporaneously 
                in writing made by a program representative of the 
                Office in accordance with such requirements as the 
                State agency shall establish; or
                    ``(C) the disclosure is required by court order.
    ``(g) Consultation.--In planning and operating the State long-term 
care ombudsman program, the State agency shall consider the views of 
area agencies on aging, older individuals, and providers of long-term 
care.
    ``(h) Conflict of Interest.--The State agency shall--
            ``(1) ensure that no individual, or member of the immediate 
        family of an individual, involved in the designation of the 
        Ombudsman (whether by appointment or otherwise) or the 
        designation of an entity designated under subsection (c), is 
        subject to a conflict of interest;
            ``(2) ensure that no officer or employee of the Office, 
        representative of a local Ombudsman entity, or member of the 
        immediate family of the officer, employee, or representative, 
        is subject to a conflict of interest;
            ``(3) ensure that the Ombudsman--
                    ``(A) does not have a direct involvement in the 
                licensing or certification of a long-term care facility 
                or of a provider of a long-term care service;
                    ``(B) does not have an ownership or investment 
                interest (represented by equity, debt, or other 
                financial relationship) in a long-term care facility or 
                a long-term care service;
                    ``(C) is not employed by, or participating in the 
                management of, a long-term care facility; and
                    ``(D) does not receive, or have the right to 
                receive, directly or indirectly, remuneration (in cash 
                or in kind) under a compensation arrangement with an 
                owner or operator of a long-term care facility; and
            ``(4) establish, and specify in writing, mechanisms to 
        identify and remove conflicts of interest referred to in 
        paragraphs (1) and (2), and to identify and eliminate the 
        relationships described in subparagraphs (A) through (D) of 
        paragraph (3), including such mechanisms as--
                    ``(A) the methods by which the State agency will 
                examine individuals, and immediate family members, to 
                identify the conflicts; and
                    ``(B) the actions that the State agency will 
                require the individuals and such family members to take 
                to remove such conflicts.
    ``(i) Legal Counsel.--The State agency shall ensure that--
            ``(1)(A) adequate legal counsel is available and able to 
        provide advice and consultation needed to protect the health, 
        safety, welfare, and rights of residents, and to assist the 
        Ombudsman and the program representatives of the Office in the 
        performance of the official duties of the Ombudsman and 
        representatives; and
            ``(B) legal representation is provided to any program 
        representative of the Office against whom suit or other legal 
        action is brought or threatened to be brought in connection 
        with the performance of the official duties of the Ombudsman or 
        such a representative; and
            ``(2) the Office pursues administrative, legal, and other 
        appropriate remedies on behalf of residents.
    ``(j) Liability.--The State shall ensure that no program 
representative of the Office will be liable under State law for the 
good faith performance of official duties described in this Act.
    ``(k) Noninterference.--The State shall--
            ``(1) ensure that willful interference with the 
        representatives of the Office in the performance of official 
        duties under the State long-term care ombudsman program shall 
        be unlawful;
            ``(2) prohibit retaliation and reprisals by a long-term 
        care facility or other entity with respect to any resident, 
        employee, or other person for filing a complaint with, 
        providing information to, or otherwise cooperating with any 
        representative of, the Office; and
            ``(3) provide for appropriate sanctions with respect to the 
        interference, retaliation, and reprisals.

       ``Subtitle C--Senior Community Service Employment Program

``SEC. 221. SHORT TITLE.

    ``This subtitle may be cited as the `Older American Community 
Service Employment Act'.

``SEC. 222. DEFINITIONS.

    ``As used in this subtitle:
            ``(1) Administrative costs.--The term `administrative 
        costs', used with respect to a project, means--
                    ``(A) the costs of--
                            ``(i) salaries, wages, and fringe benefits 
                        for project administrators;
                            ``(ii) consumable office supplies used by 
                        project staff;
                            ``(iii) development, preparation, 
                        presentation, management, and evaluation of the 
                        project;
                            ``(iv) establishment and maintenance of 
                        accounting and management information systems;
                            ``(v) establishment and maintenance of 
                        advisory councils;
                            ``(vi) travel of the project 
                        administrators;
                            ``(vii) rent, utilities, custodial 
                        services, and indirect costs attributable to 
                        the project;
                            ``(viii) training of staff and technical 
                        assistance to subproject sponsor staff;
                            ``(ix) equipment and material for use by 
                        project staff; or
                            ``(x) audit services; and
                    ``(B) the costs and expenses described in paragraph 
                (2)(B).
            ``(2) Other participant costs.--
                    ``(A) In general.--The term `other participant 
                costs' includes--
                            ``(i) the costs for participants of--
                                    ``(I) transportation;
                                    ``(II) training, including training 
                                described in section 223(d)(9); and
                                    ``(III) special job or personal 
                                counseling; and
                            ``(ii) incidental expenses necessary for 
                        the participation of the participants, such as 
                        workshoes, safety eyeglasses, uniforms, tools, 
                        and similar items.
                    ``(B) Exclusion.--The term shall not include--
                            ``(i) the costs of performing assessments, 
                        including the assessment described in section 
                        223(d)(11);
                            ``(ii) administrative expenses relating to 
                        the training of participants;
                            ``(iii) the costs of providing counseling 
                        to participants;
                            ``(iv) the costs of providing supportive 
                        services to participants;
                            ``(v) transportation costs incurred in 
                        training;
                            ``(vi) the costs of evaluating participants 
                        for continued participation in employment in a 
                        project described in this subtitle; or
                            ``(vii) the costs of developing host agency 
                        assignments and unsubsidized employment for 
                        participants.
            ``(3) Placed in unsubsidized employment.--
                    ``(A) In general.--The term `placed in unsubsidized 
                employment' means, with respect to an individual who 
                was a participant in a project described in this 
                subtitle, that--
                            ``(i)(I) the individual was placed in a 
                        position with an employer not later than 90 
                        days after the individual terminated 
                        participation in the project, and the position 
                        was not subsidized with Federal funds; and
                            ``(II) the placement was attibutable to 
                        participation in the project;
                            ``(ii) the employer intended, on the date 
                        of the placement, to employ the individual in 
                        the position for not less than 90 days;
                            ``(iii) the individual was still employed 
                        in the position 30 days after the placement; 
                        and
                            ``(iv) the individual was better off 
                        economically when employed in the position than 
                        the individual was when participating in the 
                        project.
                    ``(B) Better off economically.--As used in this 
                paragraph, the term `better off economically', used 
                with respect to an individual, means an individual who 
                was a participant in a project described in this 
                subtitle and was placed in a position of employment 
                if--
                            ``(i) the individual received greater 
                        income for employment in the position than for 
                        participation in the project;
                            ``(ii) the individual received greater 
                        benefits (as defined by the State in which the 
                        project is located) for employment in the 
                        position than for participation in the project; 
                        or
                            ``(iii) the position met 2 or more of the 
                        following criteria:
                                    ``(I) The position provided to the 
                                individual 20 or more hours of 
                                employment per week and a wage that is 
                                not less than the minimum wage 
                                determined in accordance with section 
                                6(a)(1) of the Fair Labor Standards Act 
                                of 1938 (29 U.S.C. 206(a)(1)).
                                    ``(II) The position was consistent 
                                with the individual development plan 
                                for the individual.
                                    ``(III) The position provided free 
                                housing to the individual.
                                    ``(IV) The position provided free 
                                food or meals to the individual.
                                    ``(V) The position provided health 
                                benefits to the individual.
                                    ``(VI) The position provided free 
                                transportation, or transportation at a 
                                reduced cost, to the individual.
                                    ``(VII) The position provided to 
                                the individual such economic benefits, 
                                other than the benefits described in 
                                subclauses (I) through (VI), as the 
                                State in which the project is located 
                                may determine to be appropriate.
            ``(4) Small state.--The term `small State' means--
                    ``(A) a State whose allotment under section 121 is 
                increased as a result of the condition specified in 
                section 121(b)(2)(C)(ii)(I); and
                    ``(B) a State referred to in section 
                121(b)(2)(C)(ii)(II).

``SEC. 223. SENIOR COMMUNITY SERVICE EMPLOYMENT PROGRAM.

    ``(a) Authority for Program.--
            ``(1) Grants.--With funds allotted under section 121(b), 
        the Assistant Secretary shall make grants to eligible States 
        and tribal organizations for the purpose of providing, to 
        unemployed low-income older individuals who have poor 
        employment prospects (as determined in accordance with 
        standards issued by the States and organizations), part-time 
        employment opportunities providing community services.
            ``(2) Use of funds.--
                    ``(A) Wages and benefits.--
                            ``(i) In general.--Except as provided in 
                        clause (ii) or subparagraph (C) or (D), not 
                        less than 90 percent of the funds made 
                        available through a grant made under paragraph 
                        (1) shall be used to pay wages and benefits for 
                        older individuals who are employed under 
                        projects carried out under this subtitle.
                            ``(ii) Small states.--Except as provided in 
                        subparagraph (C) or (D), not less than 85 
                        percent of the funds made available through a 
                        grant made under paragraph (1) to a small State 
                        shall be used to pay wages and benefits for 
                        older individuals who are employed under 
                        projects carried out under this subtitle.
                    ``(B) Administrative costs.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), not more than 10 percent of the 
                        funds made available through a grant made under 
                        paragraph (1) may be used to pay for 
                        administrative costs.
                            ``(ii) Small states.--Not more than 15 
                        percent of the funds made available through a 
                        grant made under paragraph (1) to a small State 
                        may be used to pay for administrative costs.
                    ``(C) Other participant costs; projects carried out 
                directly.--
                            ``(i) In general.--A State or tribal 
                        organization that receives a grant under 
                        paragraph (1) for a project and that elects to 
                        carry out the project directly, or through an 
                        agreement under subsection (b) with a political 
                        subdivision, may request that the Assistant 
                        Secretary provide for a fiscal year--
                                    ``(I) a general waiver of 
                                subparagraph (A); and
                                    ``(II) an additional waiver of 
                                subparagraph (A).
                            ``(ii) Request.--
                                    ``(I) In general.--The State or 
                                tribal organization shall submit such a 
                                request at such time, in such form, and 
                                containing such information as the 
                                Assistant Secretary may require by 
                                rule.
                                    ``(II) Information for additional 
                                waiver.--A State or tribal organization 
                                that requests such an additional waiver 
                                for a fiscal year shall submit with the 
                                request information demonstrating that 
                                at least 30 percent of the participants 
                                in the projects carried out through a 
                                grant made under paragraph (1) for the 
                                previous year to the State or 
                                organization were placed in 
                                unsubsidized employment.
                            ``(iii) Approval.--If the Assistant 
                        Secretary determines that the State or tribal 
                        organization has submitted a request that meets 
                        the requirements of clause (ii), the Assistant 
                        Secretary shall approve the request.
                            ``(iv) General waiver.--A general waiver 
                        referred to in this subparagraph shall permit 
                        the State or tribal organization to use a 
                        portion, but not more than 20 percent, of the 
                        funds made available through the grant for the 
                        fiscal year for which the waiver is requested 
                        for administrative costs or other participant 
                        costs, subject to clause (i) or (ii), as 
                        appropriate, of subparagraph (B).
                            ``(v) Additional waiver.--
                                    ``(I) In general.--An additional 
                                waiver referred to in this subparagraph 
                                shall permit the State or tribal 
                                organization to use a portion, but not 
                                more than 5 percent, of the funds made 
                                available through the grant for the 
                                fiscal year for which the waiver is 
                                requested for other participant costs.
                                    ``(II) Calculation.--If a State or 
                                tribal organization receives a general 
                                waiver described in clause (iv) and an 
                                additional waiver described in this 
                                clause, the State or organization may 
                                use the portion described in clause 
                                (iv) and the portion described in this 
                                clause for the fiscal year for which 
                                the waivers are requested for 
                                administrative costs or other 
                                participant costs, subject to clause 
                                (i) or (ii), as appropriate, of 
                                subparagraph (B).
                    ``(D) Other participant costs; projects carried out 
                under agreements.--
                            ``(i) In general.--An entity, other than a 
                        State, tribal organization, or political 
                        subdivision, that carries out a project under a 
                        grant made under paragraph (1) may request that 
                        the State or tribal organization that received 
                        the grant provide for a fiscal year--
                                    ``(I) a general waiver of 
                                subparagraph (A); and
                                    ``(II) an additional waiver of 
                                subparagraph (A).
                            ``(ii) Application of provisions.--The 
                        provisions of clauses (ii) through (v) of 
                        subparagraph (C) shall apply to such requests 
                        and such general and additional waivers, as 
                        appropriate, except that references in such 
                        provisions--
                                    ``(I) to a State or tribal 
                                organization shall be deemed to be 
                                references to the entity referred to in 
                                clause (i); and
                                    ``(II) to the Assistant Secretary 
                                shall be deemed to be references to the 
                                State or tribal organization that 
                                received the grant referred to in 
                                clause (i).
                    ``(E) Non-federal sources.--To the maximum extent 
                practicable, an entity that carries out a project under 
                this subtitle shall provide for the payment of the 
                costs described in subparagraph (B), (C), or (D) from 
                non-Federal sources.
    ``(b) Eligibility for Grants.--
            ``(1) Application and agreements.--To be eligible to 
        receive a grant under subsection (a), a State or tribal 
        organization shall submit to the Assistant Secretary an annual 
        application at such time, in such form, and containing such 
        information as the Assistant Secretary may require by rule, 
        including an assurance that funds made available through such 
        grant--
                    ``(A) will be used by the State or tribal 
                organization to carry out projects for the purpose 
                specified in subsection (a)(1)--
                            ``(i) directly (in accordance with the 
                        requirements of subsection (d)); or
                            ``(ii) through agreements that satisfy the 
                        requirements of this subsection and subsection 
                        (d); and
                    ``(B) will not be used to carry out a project 
                involving the construction, operation, or maintenance 
                of any facility used or to be used as a place for 
                sectarian religious instruction or worship.
            ``(2) Participants in agreement.--Such agreements shall be 
        entered into by the State or tribal organization with--
                    ``(A) public or nonprofit private agencies or 
                organizations;
                    ``(B) political subdivisions of States having 
                elected or duly appointed governing officials (or 
                combinations of such political subdivisions);
                    ``(C) tribal organizations; and
                    ``(D) area agencies on aging.
            ``(3) Agreement with businesses.--At the election of a 
        State or tribal organization that receives a grant made under 
        subsection (a), not more than 5 percent of the funds made 
        available through the grant may be used to enter into 
        agreements with businesses (giving special consideration to 
        businesses in growth industries) to pay for not more than 50 
        percent of the cost of providing employment (including 
        arranging for the provision of employment) to older individuals 
        described in subsection (a).
    ``(c) Competitive Basis.--In selecting an entity with whom a State 
or tribal organization will enter into an agreement under subsection 
(b), the State or organization--
            ``(1) shall make the selection on a competitive basis; and
            ``(2) shall take into consideration, where appropriate, the 
        demonstrated ability of the entity to provide employment 
        (including arranging for the provision of employment) to older 
        individuals described in subsection (a).
    ``(d) Requirements.--
            ``(1) In general.--Each agreement entered into under 
        subsection (b) for a project shall provide that no payment 
        shall be made by the State or tribal organization toward the 
        cost of such project unless the State or tribal organization 
        determines that such project, or the entity that carries out 
        such project, as appropriate, will satisfy each of the 
        conditions described in paragraphs (2) through (13). Each State 
        or tribal organization that carries out a project directly 
        under subsection (b) shall ensure that such project or the 
        State or organization, as appropriate, will satisfy each of the 
        conditions described in paragraphs (2) through (13).
            ``(2) Federal share requirement.--
                    ``(A) In general.--The entity that carries out the 
                project shall use funds received for such project that 
                are made available through a grant made under 
                subsection (a) to pay for the Federal share of the cost 
                of the project.
                    ``(B) Federal share.--The Federal share of the cost 
                of the project shall be not more than 85 percent.
                    ``(C) Non-federal share.--The non-Federal share of 
                such cost shall be contributed in cash or in kind. In 
                determining the amount of the non-Federal share, the 
                Assistant Secretary may attribute fair market value to 
                services and facilities contributed from non-Federal 
                sources.
            ``(3) Personnel.--The project shall provide employment only 
        for older individuals described in subsection (a), except for 
        necessary technical, administrative, and supervisory personnel. 
        Such personnel shall, to the fullest extent possible, be 
        recruited from among older individuals described in subsection 
        (a).
            ``(4) Communities.--
                    ``(A) In general.--If such project is carried out 
                by or under an agreement with a State, the project 
                shall provide employment for such individuals in the 
                community in which such individuals reside, or in 
                nearby communities.
                    ``(B) Reservations.--If such project is carried out 
                by or under an agreement with a tribal organization, 
                the project shall provide employment for such 
                individuals who are Indians residing on an Indian 
                reservation.
            ``(5) Services.--The project (except a project carried out 
        under an agreement described in subsection (b)(3)) shall employ 
        older individuals described in subsection (a) in positions in 
        which the individuals provide services--
                    ``(A) related to publicly owned and operated 
                facilities or public projects; or
                    ``(B) related to projects sponsored by 
                organizations described in section 501(c)(3) of the 
                Internal Revenue Code of 1986 that are exempt from 
                taxation under section 501(a) of such Code.
            ``(6) General welfare.--The project shall contribute to the 
        general welfare of the community in which the project is 
        carried out.
            ``(7) Employment impacts.--The project shall--
                    ``(A) result in an increase in employment 
                opportunities over the opportunities that would 
                otherwise be available;
                    ``(B) not result in the displacement (including 
                partial displacement, such as a reduction in the hours 
                of nonovertime work or wages or employment benefits) of 
                currently employed workers (as of the date of the 
                beginning of the project); and
                    ``(C) not impair existing contracts (as of the date 
                of the beginning of the project) or result in the 
                substitution of Federal funds for other funds in 
                connection with work that would otherwise be performed.
            ``(8) Recruitment and selection.--In carrying out the 
        project, the entity shall utilize methods of recruitment and 
        selection (including listing job vacancies with an employment 
        agency operated by any State or political subdivision of a 
        State) that will ensure that the maximum number of older 
        individuals described in subsection (a) will have an 
        opportunity to participate in the project.
            ``(9) Training.--The project shall include such training as 
        may be necessary to make the most effective use of the skills 
        and talents of such individuals who are participating in the 
        project and assist in their transition into employment for 
        which no financial assistance is provided under this subtitle.
            ``(10) Advice.--The entity shall establish or administer 
        the project after receiving the advice of--
                    ``(A) individuals competent in the field of service 
                in which the project will provide employment; and
                    ``(B) individuals who are knowledgeable with regard 
                to the needs of older individuals.
            ``(11) Assessment.--The entity shall prepare an assessment 
        of--
                    ``(A) the skills and talents of each participating 
                older individual;
                    ``(B) the need of the older individual for 
                supportive services; and
                    ``(C) the ability of the older individual to 
                perform community service employment;
        except to the extent that the project has an assessment of such 
        skills and talents, such need, or such ability, of the 
        individual that was prepared recently pursuant to another 
        Federal or State employment or job training program.
            ``(12) Notice and explanation.--The entity that carries out 
        such project shall post in the project workplace a notice, and 
        shall make available to each individual associated with such 
        project a written explanation, clarifying the law with respect 
        to allowable and unallowable political activities under chapter 
        15 of title 5, United States Code, applicable to the project 
        and to each category of individuals associated with such 
        project.
            ``(13) Priority in employment opportunities.--In providing 
        employment opportunities (including arranging for the provision 
        of employment opportunities) under the project, such entity 
        shall give priority to low-income older individuals described 
        in subsection (a) who are 60 years of age or older.
    ``(e) Prerequisite Determinations and Coordination.--
            ``(1) Determinations.--To effectively carry out subsection 
        (b), a State or tribal organization that receives a grant under 
        subsection (a) for a fiscal year shall, after consultation with 
        the appropriate area agencies on aging and with other 
        organizations that received funds under this subtitle in the 
        preceding fiscal year--
                    ``(A) make a determination identifying the 
                localities in the State, or on an Indian reservation in 
                the case of a tribal organization, in which projects 
                described in subsection (b) are most needed;
                    ``(B) in making such determination, consider the 
                local employment situations and the types of skills 
                possessed by available local older individuals 
                described in subsection (a); and
                    ``(C) make a determination identifying potential 
                projects for, and the number and percentage of such 
                individuals in the local population of, each such 
                locality.
            ``(2) Coordination.--To increase job opportunities 
        available to older individuals, the State or tribal 
        organization shall coordinate the projects assisted under this 
        subtitle with--
                    ``(A) other programs, projects, and activities 
                carried out under this Act; and
                    ``(B) other Federal or State employment or job 
                training programs.
            ``(3) Participants.--To the maximum extent practicable, the 
        State or tribal organization shall ensure that entities that 
        carry out projects under this subtitle provide employment 
        (including arranging for the provision of employment) under 
        this subtitle to older individuals who on the day before the 
        effective date of section 3 of the Older Americans Amendments 
        of 1996 were participants under an agreement entered into under 
        section 502(b) (as in effect on the day before such date).
    ``(f) Equitable Use of Funds.--To the maximum extent practicable, 
the State or tribal organization shall use funds available for this 
subtitle to enter into agreements under subsection (b) or carry out 
this subtitle in an equitable manner, taking into consideration the 
number of eligible older individuals in the various geographical areas 
served under the agreements or by the State or organization and the 
relative distribution of such individuals among urban and rural areas.
    ``(g) Prior Submission of Project Description.--If an entity 
carries out a project under this subtitle in a planning and service 
area, and the entity is not the area agency on aging for the planning 
and service area, the entity shall carry out the project in 
consultation with the area agency on aging and shall submit to the area 
agency on aging, not less than 30 days before undertaking the project, 
a description (including the location) of such project.
    ``(h) Alternative Work Modes; Technical Assistance.--To assist 
entities carrying out, and participants in, projects assisted under 
this subtitle, the State or tribal organization may develop 
alternatives for innovative work modes and provide technical assistance 
in creating job opportunities through work sharing and other 
experimental methods to groups representing business and industry and 
workers, as well as to individual employers, where appropriate.
    ``(i) Report.--If a State or tribal organization elects under 
subsection (b) to enter into agreements described in paragraph (3) of 
such subsection for a fiscal year, the State or tribal organization 
shall submit to the Assistant Secretary a report describing the 
projects carried out under such agreements.
    ``(j) Data Collection and Analysis.--A State or tribal organization 
that receives a grant under subsection (a) shall use a portion of the 
remaining funds described in subsection (a)(2)(B) to collect data and 
carry out analyses related to the need for community service employment 
within the population served under the grant and disseminate 
information obtained through the data collection and analyses.
    ``(k) Rules.--The Secretary shall issue, and amend from time to 
time, rules that require States and tribal organizations that receive 
grants under subsection (a) to establish, to the maximum extent 
practicable, for projects carried out under this subtitle the goal of 
annually placing not less than 20 percent of project participants in 
employment for which no financial assistance is provided under this 
subtitle.

``SEC. 224. PARTICIPANTS NOT FEDERAL EMPLOYEES.

    ``(a) Project Participants.--Older individuals described in section 
223(a) who participate in a project assisted under this subtitle shall 
not be considered to be Federal employees as a result of such 
participation and shall not be subject to the provisions of part III of 
title 5, United States Code.
    ``(b) Workmen's Compensation.--No State or tribal organization 
shall enter into an agreement under section 223(b) with, or carry out 
such a project through, an entity who is, or whose employees are, under 
State law, exempted from operation of the State workmen's compensation 
law, generally applicable to employees, unless the entity shall 
undertake to provide either through insurance by a recognized carrier, 
or by self-insurance, as authorized by State law, that the individuals 
employed under the contract shall enjoy workmen's compensation coverage 
equal to such coverage provided by law for covered employment.

``SEC. 225. EMPLOYMENT ASSISTANCE AND FEDERAL HOUSING AND FOOD STAMP 
              PROGRAMS.

    ``Funds received by eligible individuals from projects carried out 
under this subtitle shall not be considered to be income of such 
individuals for purposes of determining the eligibility of such 
individuals, or of any other persons, to participate in any housing 
program for which Federal funds may be available or for any income 
determination under the Food Stamp Act of 1977 (7 U.S.C. 2011 et seq.).

         ``Subtitle D--Disease Prevention and Health Promotion

``SEC. 231. ESTABLISHMENT OF GRANT PROGRAM.

    ``(a) Authority.--The Assistant Secretary shall carry out a program 
for making grants to States to enable the States, to assist eligible 
area agencies on aging to provide disease prevention and health 
promotion services and information at multipurpose senior centers, at 
congregate meal sites, through home-delivered meal programs, or at 
other appropriate sites. In carrying out such program, the Assistant 
Secretary shall consult with the Director of the Centers for Disease 
Control and Prevention and the Director of the National Institute on 
Aging.
    ``(b) Services.--Each State, in consultation with the Assistant 
Secretary, shall determine the services to be provided as disease 
prevention and health promotion services in the State under this 
subtitle. The State may not include services for which payment may be 
made under title XVIII of the Social Security Act (42 U.S.C. 1395 et 
seq.).
    ``(c) Use of Services.--Each State, to the extent possible, shall 
assure that area agencies on aging use services provided by other 
community organizations and agencies in carrying out the provisions of 
this subtitle.

``SEC. 232. DISTRIBUTION TO AREA AGENCIES ON AGING.

    ``The State agency shall give priority, in assisting area agencies 
on aging under this subtitle, to agencies serving areas of the State--
            ``(1) that are medically underserved; and
            ``(2) in which there are large numbers of older individuals 
        with greatest economic need who are in need of such services.

                  ``TITLE III--LOCAL PROGRAMS ON AGING

                    ``Subtitle A--General Provisions

``SEC. 301. ELIGIBILITY OF LOCAL ORGANIZATIONS.

    ``(a) Designation of Area Agencies on Aging.--An area agency on 
aging designated under section 201(a)--
            ``(1) shall be--
                    ``(A) an established office of aging;
                    ``(B) any office or agency of a unit of general 
                purpose local government, that is designated to 
                function only for the purpose of serving as an area 
                agency on aging by the chief elected official of such 
                unit;
                    ``(C) any office or agency designated by the 
                appropriate chief elected officials of any combination 
                of units of general purpose local government to act on 
                behalf of such combination only for such purpose;
                    ``(D) any public or nonprofit private agency in a 
                planning and service area, or any separate 
                organizational unit within such agency, that is under 
                the supervision or direction for such purpose of the 
                designated State agency and that can and will engage 
                only in the planning or provision of a broad range of 
                supportive services, or of nutrition services, within 
                the planning and service area; or
                    ``(E) in the case of a State designated under 
                section 201(a)(1)(E) as a single planning and service 
                area, the State agency; and
            ``(2) shall provide an assurance, determined to be adequate 
        by the State agency, that the area agency on aging will have 
        the ability to develop an area plan in accordance with section 
        302 and to carry out, directly or through contractual or other 
        arrangements, a program in accordance with the plan within the 
        planning and service area.
    ``(b) Preference.--In designating an area agency on aging within 
the planning and service area, including any unit of general purpose 
local government designated as a planning and service area, the State 
shall give preference to an established office on aging, unless the 
State agency finds that no such office within the planning and service 
area will have the capacity to carry out the area plan.

``SEC. 302. AREA PLANS.

    ``(a) Plan.--To be eligible for designation as an area agency on 
aging in a State, an entity shall prepare, develop, and submit to the 
State agency an area plan for a planning and service area for a 2-, 3-, 
or 4-year period determined by the State agency, with such annual 
revisions as may be necessary. Each such plan shall be based on a 
uniform format for area plans within the State. Each such plan shall 
comply with all of the following requirements:
            ``(1) Scope of plan.--The plan shall provide, through a 
        comprehensive and coordinated system, for--
                    ``(A) supportive services (including, where 
                appropriate, services to support the establishment or 
                maintenance of multipurpose senior centers), nutrition 
                services (including home-delivered nutrition services 
                and congregate nutrition services), within the planning 
                and service area covered by the plan;
                    ``(B) determining the extent of need for supportive 
                services (including services to support multipurpose 
                senior centers), and nutrition services (taking into 
                consideration the comparative need for home-delivered 
                nutrition services, congregate nutrition services, and 
                adult day care nutrition services), in such area 
                (taking into consideration, among other things, the 
                number of low-income older individuals residing in such 
                area, the number of older individuals with greatest 
                economic need residing in such area, the number of 
                older individuals with greatest social need residing in 
                such area, the number of older individuals who are 
                Indians residing in such area, and the efforts of 
                voluntary organizations in the community);
                    ``(C) evaluating the effectiveness of the use of 
                resources in meeting such need; and
                    ``(D) entering into agreements with providers of 
                supportive services (including services to support 
                multipurpose senior centers) and nutrition services in 
                such area, for the provision of such services or 
                centers to meet such need.
            ``(2) Promotion of independent living.--The plan shall 
        promote independent living through the use of home- and 
        community-based care for older individuals, address the 
        nutrition and health promotion needs of older individuals, 
        provide advocacy for and protect the rights of vulnerable older 
        individuals in both community-based and institutional settings, 
        specify efforts to be undertaken to ensure the quality of 
        supportive services and nutrition services provided in such 
        settings, enhance access to services provided under the plan, 
        and encourage community participation in carrying out the plan.
            ``(3) Information and assistance services.--The plan shall 
        provide for the establishment and maintenance of information 
        and assistance services to ensure that older individuals within 
        the planning and service area covered by the plan will have 
        reasonably convenient access to services provided under the 
        plan, with particular emphasis on linking services available 
        to--
                    ``(A) isolated older individuals; and
                    ``(B) older individuals with Alzheimer's disease or 
                related disorders and with neurological or organic 
                brain dysfunction (and the caretakers of such 
                individuals).
            ``(4) Specific objectives; outreach.--
                    ``(A) Objectives.--The plan shall contain an 
                assurance that the area agency on aging will set 
                specific objectives for providing services to older 
                individuals with greatest economic need, older 
                individuals with greatest social need, and older 
                individuals residing in rural areas.
                    ``(B) Outreach.--The plan shall contain assurances 
                that the area agency on aging will use outreach efforts 
                that will--
                            ``(i) identify individuals eligible for 
                        assistance under subtitles B and C, with 
                        special emphasis on--
                                    ``(I) older individuals residing in 
                                rural areas;
                                    ``(II) older individuals with 
                                greatest economic need;
                                    ``(III) older individuals with 
                                greatest social need, with particular 
                                attention to low-income minority 
                                individuals;
                                    ``(IV) older individuals with 
                                severe disabilities;
                                    ``(V) older individuals with 
                                limited-English speaking ability;
                                    ``(VI) older individuals with 
                                Alzheimer's disease or related 
                                disorders and with neurological or 
                                organic brain dysfunction (and the 
                                caretakers of such individuals); and
                                    ``(VII) low-income minority older 
                                individuals; and
                            ``(ii) inform the older individuals 
                        referred to in subclauses (I) through (VII) of 
                        clause (i), and the caretakers of such 
                        individuals, of the availability of such 
                        assistance.
            ``(5) Evaluations; technical assistance and information; 
        advocacy; advisory council.--The plan shall provide that the 
        area agency on aging will--
                    ``(A) furnish appropriate technical assistance, and 
                information in a timely manner, to providers of 
                supportive services (including services to support 
                multipurpose senior centers) and nutrition services in 
                the planning and service area covered by the area plan;
                    ``(B) take into account, in connection with matters 
                of general policy arising in the development and 
                administration of the area plan, the views of 
                recipients of services under the plan;
                    ``(C) serve as the advocate and focal point for 
                older individuals within communities in the planning 
                and service area by (in cooperation with agencies, 
                organizations, institutions, and individuals 
                participating in activities under the plan) monitoring, 
                evaluating, and commenting on all policies, programs, 
                hearings, levies, and community actions within the area 
                that will affect older individuals;
                    ``(D) establish an advisory council consisting of 
                older individuals who are participants or who are 
                eligible to participate in programs carried out under 
                this subtitle, representatives of older individuals, 
                local elected officials, providers of veterans' health 
                care (if appropriate), and the general public, to 
                advise continuously the area agency on aging on all 
                matters relating to the development of the area plan, 
                the administration of the plan, and operations 
                conducted under the plan;
                    ``(E) facilitate the coordination of community-
                based, long-term care services for older individuals 
                designed to--
                            ``(i) retain individuals in their homes, 
                        thereby deferring unnecessary, costly 
                        institutionalization; and
                            ``(ii) include the development of case 
                        management services as a component of the long-
                        term care services;
                    ``(F) facilitate the involvement of long-term care 
                providers in the coordination of community-based long-
                term care services for older individuals and work to 
                ensure community awareness of, and involvement in, 
                addressing the needs of residents of long-term care 
                facilities;
                    ``(G) coordinate services and activities carried 
                out under the area plan with--
                            ``(i) activities of community-based 
                        organizations, established for the benefit of 
                        older individuals with Alzheimer's disease or 
                        related disorders and with neurological or 
                        organic brain dysfunction (and the families of 
                        such individuals); and
                            ``(ii) the mental health services provided 
                        by community health centers and by other public 
                        and nonprofit private agencies, organizations, 
                        and institutions; and
                    ``(H) establish a grievance procedure for older 
                individuals who are dissatisfied with services 
                provided, or who are denied services, under subtitle B 
                or C.
            ``(6) Volunteers.--The plan shall encourage, and enlist the 
        services of, local volunteer groups to provide assistance and 
        services appropriate to the unique needs of older individuals 
        within the planning and service area.
            ``(7) Prevention of elder abuse, neglect, and 
        exploitation.--Whenever the State desires to provide for 
        programs for the prevention of elder abuse, neglect, and 
        exploitation for a fiscal year, the plan shall--
                    ``(A) contain an assurance that the area agency on 
                aging will conduct such a program in a manner 
                consistent with the provisions of this Act;
                    ``(B) contain an assurance that the area agency on 
                aging will provide public education and outreach to 
                identify and prevent elder abuse, neglect, and 
                exploitation;
                    ``(C) contain an assurance that the area agency on 
                aging--
                            ``(i) will establish procedures for receipt 
                        of reports of elder abuse, neglect, and 
                        exploitation; and
                            ``(ii) on receipt of a report of a known or 
                        suspected instance of abuse, neglect, or 
                        exploitation of an older individual, will 
                        promptly refer the reported matter to the 
                        proper authorities for investigation and action 
                        consistent with State law; and
                    ``(D) specify other activities that the area agency 
                determines to be beneficial in the prevention of elder 
                abuse, neglect, and exploitation and intends to carry 
                out under such program.
            ``(8) Description of activities.--The plan shall--
                    ``(A) describe all activities of the area agency on 
                aging for which financial assistance is provided to 
                carry out subtitles B and C; and
                    ``(B) contain an assurance that such activities 
                conform with--
                            ``(i) the responsibilities of the area 
                        agency on aging, as set forth in this 
                        subsection; and
                            ``(ii) the laws, rules, and policies of the 
                        State in which the area agency on aging is 
                        carrying out an area plan.
            ``(9) Disclosure of sources and expenditures of funds.--The 
        plan shall contain an assurance that the area agency on aging 
        will, on the request of the State and for the purpose of 
        monitoring compliance with this Act (including conducting an 
        audit), disclose all sources and expenditures of funds such 
        agency receives or expends to provide assistance to older 
        individuals.
            ``(10) Prohibition on misuse of funds.--The plan shall 
        provide assurances that funds received from allotments made 
        under section 121(c) and assistance made available under 
        section 123 will not be used to pay any part of a cost 
        (including an administrative cost) incurred by the area agency 
        on aging to carry out a contract or commercial arrangement that 
        is not carried out to implement subtitle B or C.
            ``(11) Case management services.--The plan shall provide 
        that case management services provided under this title through 
        the area agency on aging will--
                    ``(A) not duplicate case management services 
                provided through other Federal and State programs;
                    ``(B) be coordinated with services described in 
                subparagraph (A);
                    ``(C) include the provision, to consumers, of a 
                list of available service providers for appropriate 
                care in the planning and service area served by the 
                agency;
                    ``(D) be provided in a manner that gives a consumer 
                the right to choose a provider of preference; and
                    ``(E) be provided by--
                            ``(i) a public agency; or
                            ``(ii) a nonprofit private agency that--
                                    ``(I) does not provide, and does 
                                not have a direct or indirect ownership 
                                or controlling interest in, or a direct 
                                or indirect affiliation or relationship 
                                with, an entity that provides services 
                                (other than case management services, 
                                outreach, and information and referral) 
                                under this title;
                                    ``(II) is located in a rural area 
                                and obtains a waiver of the requirement 
                                described in subclause (I); or
                                    ``(III) is a community-based 
                                organization described in section 
                                223(d)(5)(B), and is located in a 
                                planning and service area for which the 
                                area agency on aging contracted with a 
                                nonprofit private agency to provide 
                                case management services in fiscal year 
                                1992.
            ``(12) Cost sharing.--The plan shall contain an assurance 
        that any requirements for cost sharing by recipients of 
        services provided under the plan will be consistent with the 
        provisions of the State plan that satisfy the requirement 
        specified in section 202(a)(16).
    ``(b) Preservation of Attorney-Client Privilege.--An area agency on 
aging may not require any provider of legal assistance under this title 
to reveal any information that is protected by the attorney-client 
privilege.
    ``(c) State Authority To Withhold Assistance.--
            ``(1) Failure to comply.--If the head of a State agency 
        finds that an area agency on aging has failed to comply with 
        Federal or State laws (including the area plan requirements of 
        this section), rules, or policies, the State may withhold from 
        the area agency on aging a portion of the assistance available 
        under the allotment made under section 121(c) and the 
        assistance available under sections 123 and 231.
            ``(2) Due process.--
                    ``(A) In general.--The head of the State agency 
                shall not withhold assistance under paragraph (1) 
                without first affording the area agency on aging due 
                process in accordance with procedures established by 
                the State agency.
                    ``(B) Procedures.--At a minimum, such procedures 
                shall include procedures for--
                            ``(i) providing notice of an action to 
                        withhold assistance;
                            ``(ii) providing documentation of the need 
                        for such action; and
                            ``(iii) at the request of the area agency 
                        on aging, conducting a public hearing 
                        concerning such action.
            ``(3) Direct administration of programs.--
                    ``(A) In general.--If the State agency withholds 
                the assistance under paragraphs (1) and (2), the State 
                agency may use the assistance withheld to directly 
                administer programs under subtitles B and C in the 
                planning and service area served by the area agency on 
                aging for a period of not to exceed 180 days, except as 
                provided in subparagraph (B).
                    ``(B) Extension of period.--If the State agency 
                determines that the area agency on aging has not taken 
                corrective action, or if the State agency does not 
                approve the corrective action, during the 180-day 
                period described in subparagraph (A), the State agency 
                may extend the period until the area agency on aging 
                takes satisfactory corrective action, but not for 
                longer than 1 year. If, at the end of the 1-year 
                extension, the area agency on aging has not taken 
                satisfactory corrective action, the State shall 
                designate a new area agency on aging to serve the 
                planning and service area.

          ``Subtitle B--Supportive Services and Senior Centers

``SEC. 311. PROGRAM AUTHORIZED.

    ``The Assistant Secretary shall carry out a program for making 
grants to States, under State plans approved under section 202, to 
enable the States to assist eligible area agencies on aging in carrying 
out any of the following supportive services that are necessary for the 
general welfare of older individuals:
            ``(1) Health (including mental health), education and 
        training, welfare, informational, recreational, homemaker, 
        counseling, or referral services.
            ``(2) Services (including information and assistance 
        services) designed to encourage and assist older individuals to 
        use the facilities and services available to the individuals, 
        including language translation services to assist older 
        individuals with limited-English speaking ability to obtain 
        services under this subtitle.
            ``(3) Services designed--
                    ``(A) to assist older individuals to obtain 
                adequate housing, including residential repair and 
                renovation projects designed to enable older 
                individuals to maintain their residences in conformity 
                with minimum housing standards;
                    ``(B) to adapt residences to meet the needs of 
                older individuals with disabilities;
                    ``(C) to prevent unlawful entry into residences of 
                older individuals, through the installation of security 
                devices and through structural modifications or 
                alterations of such residences; or
                    ``(D) to receive applications from older 
                individuals for housing under section 202 of the 
                Housing Act of 1959 (12 U.S.C. 1701q).
            ``(4) Services designed to assist older individuals to 
        avoid institutionalization, and services designed to assist 
        individuals in long-term care institutions who are able to 
        return to their communities, including--
                    ``(A) client assessment services and development 
                and coordination of community-based services;
                    ``(B) in-home services for frail older individuals, 
                including services for older individuals with 
                Alzheimer's disease and related disorders and with 
                neurological or organic brain dysfunction (and for 
                families of such individuals);
                    ``(C) supportive activities to meet the special 
                needs of caregivers, including caregivers who provide 
                in-home services to frail older individuals; and
                    ``(D) in-home and other community-based services to 
                assist older individuals to live independently in a 
                home environment, including home health, homemaker, 
                shopping, escort, reader, and letter-writing services.
            ``(5) Services designed to provide to older individuals 
        legal assistance and other counseling services and assistance, 
        including--
                    ``(A) tax counseling and assistance, financial 
                counseling, and counseling regarding appropriate health 
                and life insurance coverage;
                    ``(B) representation--
                            ``(i) of individuals who are wards (or are 
                        allegedly incapacitated); and
                            ``(ii) in guardianship proceedings of older 
                        individuals who seek to become guardians, if 
                        other adequate representation is unavailable in 
                        the proceedings; and
                    ``(C) provision, to older individuals who provide 
                uncompensated care to their adult children with 
                disabilities, of counseling to assist such older 
                individuals with permanency planning for such children.
            ``(6) Services designed to enable older individuals to 
        attain and maintain physical and mental well-being through 
        programs of regular physical activity.
            ``(7) Activities designed to promote disease prevention and 
        health promotion.
            ``(8) Services designed to provide, for older individuals, 
        preretirement counseling and assistance in planning for and 
        assessing future post-retirement needs with regard to insurance 
        benefits, public benefits, lifestyle changes, relocation, legal 
        matters, leisure time, and other appropriate matters.
            ``(9) Services that are designed to meet the unique needs 
        of older individuals who are disabled and of older individuals 
        who provide uncompensated care to their adult children with 
        disabilities.
            ``(10) Services to encourage the employment of older 
        individuals (which shall be coordinated with the assistance 
        provided through the community service employment program 
        carried out under subtitle C of title II), including job and 
        second career counseling and, in an appropriate case, job 
        development, referral, and placement.
            ``(11) Services for the prevention of abuse, neglect, and 
        exploitation of older individuals.
            ``(12) Crime prevention services, and victim assistance 
        programs, for older individuals.
            ``(13) Health and nutrition education services, including 
        information concerning prevention, diagnosis, treatment, and 
        rehabilitation relating to age-related diseases and chronic 
        disabling conditions.
            ``(14) Services designed to enable mentally impaired older 
        individuals to attain and maintain emotional well-being and 
        independent living through a comprehensive and coordinated 
        system of services described in the other paragraphs of this 
        section.
            ``(15) Services designed to provide information and 
        training for individuals who are or may become guardians or 
        representative payees of older individuals, including 
        information on the powers and duties of guardians and 
        representative payees and on alternatives to guardianships.
            ``(16) Services to encourage and facilitate regular 
        interaction between school-age children and older individuals, 
        including visits in long-term care facilities, multipurpose 
        senior centers, and other settings.
            ``(17) Services to assist in the operation of multipurpose 
        senior centers.
            ``(18) Services that provide reasonable opportunities for 
        older individuals to participate on a voluntary basis in 
        multigenerational activities.
            ``(19) Transportation services to facilitate access to the 
        services authorized to be provided under any other paragraph of 
        this section.
            ``(20) Services provided through a State long-term care 
        ombudsman program in accordance with subtitle B of title II.
            ``(21) Any other services, if provision of the services is 
        consistent with the core objectives described in section 
        101(2).

                    ``Subtitle C--Nutrition Services

``SEC. 321. PROGRAM AUTHORIZED.

    ``(a) Nutrition Services.--The Assistant Secretary shall carry out 
a program for making grants to States, under State plans approved under 
section 202, to enable the States to assist eligible area agencies on 
aging in establishing and operating nutrition projects that provide, 5 
or more days a week (or less frequently in a rural area where such 
frequency is not feasible or in a State for which a lesser frequency is 
approved by the State agency)--
            ``(1) meals to eligible individuals in congregate meals 
        settings; and
            ``(2) meals to eligible individuals in their homes.
    ``(b) Requirements.--Entities providing meals under a grant or 
contract made under this subtitle shall provide eligible older 
individuals with at least 1 meal per day and any additional meals per 
day that the recipient of the grant or contract may elect to provide.

``SEC. 322. ADDITIONAL REQUIREMENTS.

    ``A State that establishes and operates a nutrition project under 
this subtitle shall--
            ``(1) solicit the advice of a dietitian or an individual 
        with comparable expertise in the planning of nutritional 
        services; and
            ``(2) ensure that--
                    ``(A) the project provides meals that--
                            ``(i) comply with the Dietary Guidelines 
                        for Americans, published by the Secretary and 
                        the Secretary of Agriculture;
                            ``(ii) provide to each participating older 
                        individual--
                                    ``(I) a minimum of 33\1/3\ percent 
                                of the daily recommended dietary 
                                allowances established by the Food and 
                                Nutrition Board of the Institute of 
                                Medicine of the National Academy of 
                                Sciences, if the project provides 1 
                                meal per day;
                                    ``(II) a minimum of 66\2/3\ percent 
                                of the allowances, if the project 
                                provides 2 meals per day; and
                                    ``(III) 100 percent of the 
                                allowances, if the project provides 3 
                                meals per day; and
                            ``(iii) to the maximum extent practicable, 
                        are adjusted to meet any special dietary needs 
                        of program participants;
                    ``(B) the agency carrying out the project provides 
                flexibility to local meal providers in designing meals 
                that are appealing to program participants;
                    ``(C) the agency carrying out the project 
                encourages meal providers to enter into contracts that 
                limit the amount of time that meals may spend in 
                transit before the meals are consumed;
                    ``(D) the agency carrying out the project, where 
                feasible, encourages arrangements with schools and 
                other facilities serving meals to children in order to 
                promote intergenerational meal programs;
                    ``(E) the agency carrying out the project provides 
                that meals, other than home-delivered meals, are 
                provided in settings in as close proximity to the 
                majority of the residences of eligible older 
                individuals served by the project as is feasible;
                    ``(F) the agency carrying out the project ensures 
                that meal providers carry out such project with the 
                advice of dietitians (or individuals with comparable 
                expertise in the planning of nutritional services), 
                meal participants, and other individuals who are 
                knowledgeable with regard to the needs of older 
                individuals;
                    ``(G) the agency carrying out the project ensures 
                that each participating area agency on aging 
                establishes procedures that allow nutrition project 
                administrators the option to offer a meal, on the same 
                basis as meals provided to participating older 
                individuals, to individuals providing volunteer 
                services during the meal hours, and to individuals with 
                disabilities who reside at home with, and accompany to 
                the meal, older individuals eligible for a meal under 
                this subtitle;
                    ``(H) the agency carrying out the project ensures 
                that nutrition services will be available to older 
                individuals and to their spouses, and may be made 
                available to individuals with disabilities who are not 
                older individuals but who reside in housing facilities 
                that are occupied primarily by older individuals and at 
                which congregate nutrition services are provided;
                    ``(I) the project, where appropriate, provides for 
                nutrition education, counseling, and screening; and
                    ``(J) the agency carrying out the project ensures 
                that meal providers carry out such project in 
                accordance with applicable State and local laws 
                relating to food service.

             ``TITLE IV--NATIVE AMERICAN PROGRAMS ON AGING

``SEC. 401. GRANTS FOR SERVICES TO NATIVE AMERICANS.

    ``(a) Authority To Make Grants.--The Assistant Secretary may make 
grants to organizations that meet the requirements of subsection (b) 
and section 402 (referred to individually in this title as an `eligible 
organization') to pay for 100 percent of the costs of projects for 
delivery of supportive services, and nutrition services, for older 
individuals who are Native Americans.
    ``(b) Eligibility of Organizations.--An organization shall be 
eligible to receive a grant under this title only if the organization 
is--
            ``(1) a tribal organization that--
                    ``(A) represents at least 50 older individuals; and
                    ``(B) demonstrates the ability to deliver 
                supportive services and nutrition services;
            ``(2) an Alaska Native organization that--
                    ``(A) represents at least 50 older individuals; and
                    ``(B) demonstrates the ability to deliver 
                supportive services and nutrition services; or
            ``(3) a public or nonprofit private organization that--
                    ``(A) is primarily controlled by and comprised of 
                Native Hawaiians;
                    ``(B) will serve at least 50 older individuals who 
                are Native Hawaiians; and
                    ``(C) demonstrates the ability to deliver 
                supportive services and nutrition services.

``SEC. 402. APPLICATIONS FOR GRANTS.

    ``(a) Requirement.--To be eligible to receive a grant under this 
title, an organization shall submit an application to the Assistant 
Secretary at such time, in such form, and containing such information 
as the Assistant Secretary may establish by rule. Each such application 
shall--
            ``(1) provide an assurance that such organization will 
        evaluate the need for supportive services and nutrition 
        services among older individuals who are--
                    ``(A) Indians represented by the organization 
                submitting the application if such organization is a 
                tribal organization described in section 401(b)(1);
                    ``(B) Alaska Natives represented by the 
                organization submitting the application if such 
                organization is an Alaska Native organization described 
                in section 401(b)(2); or
                    ``(C) Native Hawaiians to be served by the 
                organization submitting the application if such 
                organization is an organization described in section 
                401(b)(3);
            ``(2) provide for the use of such methods of administration 
        as are necessary for the proper and efficient administration of 
        the project to be carried out with such grant;
            ``(3) provide an assurance that such organization will make 
        such reports at such time, in such form, and containing such 
information, as the Assistant Secretary may reasonably require, and 
comply with such requirements as the Assistant Secretary may impose to 
ensure the correctness of such reports;
            ``(4) provide for periodic evaluation of the project to be 
        carried out with such grant;
            ``(5) contain information describing objectives toward 
        which such project will be directed, identify obstacles to the 
        attainment of such objectives, and indicate the manner in which 
        such organization proposes to overcome such obstacles;
            ``(6) provide for establishing and maintaining information 
        and assistance services to ensure that older individuals who 
        are served by such project will have reasonably convenient 
        access to the services and activities provided by such project;
            ``(7) provide an assurance that the organization will, 
        whenever feasible, give preference to older individuals who are 
        Native Americans in hiring individuals for full- or part-time 
        staff positions;
            ``(8) provide an assurance that, either directly or by way 
        of grant or contract with appropriate entities, the 
        organization will--
                    ``(A) ensure that nutrition services will be 
                delivered to older individuals as described in 
                paragraph (1); and
                    ``(B) substantially comply with subtitle C of title 
                III, except that in any case in which the need of such 
                individuals for nutrition services is already met from 
                other sources, such organization may expend for 
                supportive services the funds otherwise required to be 
                expended under this paragraph;
            ``(9) provide an assurance that in providing any legal 
        services or ombudsman services to older individuals as 
        described in paragraph (1), the organization will substantially 
        comply with the provisions of subtitles A and B of title II, 
        and subtitles A and B of title III, relating to furnishing 
        similar services;
            ``(10) provide an assurance that the organization will 
        adopt such fiscal control and fund accounting procedures as may 
        be necessary to ensure proper disbursement of, and accounting 
        for, Federal funds paid under this title to such organization, 
        including any funds paid by such organization to a recipient of 
        a grant or contract under this title;
            ``(11) provide an assurance that such organization will 
        coordinate services provided under this title with services 
        provided under subtitles B and C of title II, and subtitles B 
        and C of title III, in the same geographical area; and
            ``(12) if the organization elects to solicit voluntary 
        contributions from older individuals, provide an assurance that 
        such organization will ensure that--
                    ``(A) the amount of the contributions will be based 
                on the ability of the older individuals to make such 
                contributions; and
                    ``(B) the contributions will be used to increase, 
                or to expand access to, services provided under this 
                title.
    ``(b) Population Statistics.--For the purpose of obtaining 
information for any application submitted under subsection (a) for a 
grant, an organization may develop population statistics for the 
population to be served under the grant, with a certification from the 
Bureau of Indian Affairs, in order to establish eligibility to receive 
a grant under this title.
    ``(c) Approval of Application.--The Assistant Secretary shall 
approve any application that complies with subsection (a).
    ``(d) Application Not Approved.--Whenever the Assistant Secretary 
determines that the Assistant Secretary will not approve an application 
submitted under subsection (a) by an organization the Assistant 
Secretary shall--
            ``(1) provide objections relating to the application in 
        writing to the organization within 60 days after such 
        determination;
            ``(2) provide, to the extent practicable, technical 
        assistance to the organization to overcome such objections; and
            ``(3) provide the organization with a hearing, under such 
        rules as the Assistant Secretary may issue.
    ``(e) Period Funded.--Whenever the Assistant Secretary approves an 
application of an organization under subsection (c), the Assistant 
Secretary shall make a grant to the organization under this title for a 
period of not less than 12 months.

``SEC. 403. DISTRIBUTION OF FUNDS AMONG ELIGIBLE ORGANIZATIONS.

    ``(a) Maintenance of 1991 Amounts.--Subject to the availability of 
appropriations to carry out this title, the amount of a grant (if any) 
made under this title to an eligible organization for fiscal year 1997 
or a subsequent fiscal year shall be not less than the amount of the 
grant made to the eligible organization for fiscal year 1991 under part 
A or B of title VI (as in effect on September 30, 1990).
    ``(b) Use of Additional Amounts Appropriated.--If the amount 
appropriated to carry out this title for fiscal year 1997 or a 
subsequent fiscal year exceeds the amount appropriated to carry out 
parts A and B of such title VI for fiscal year 1991, the amount of the 
grant (if any) made under this title to an eligible organization for 
such subsequent fiscal year shall be--
            ``(1) increased by such amount as the Assistant Secretary 
        considers to be appropriate, in addition to any amount required 
        by subsection (a), so that the grant equals or more closely 
        approaches the amount of the grant made to the eligible 
        organization for fiscal year 1980 under part A of title VI (as 
        in effect on September 30, 1979) or for fiscal year 1995 under 
        part B of title VI (as in effect on September 30, 1994); or
            ``(2) an amount the Assistant Secretary considers to be 
        sufficient, if the eligible organization did not receive a 
        grant under part A or B of title VI for either fiscal year 1980 
        or fiscal year 1991 (as in effect on September 30, 1979 or 
        September 30, 1990, as appropriate).

``SEC. 404. SURPLUS EDUCATIONAL FACILITIES.

    ``(a) Requirement.--
            ``(1) Availability.--Notwithstanding any other provision of 
        law, the Secretary of the Interior shall--
                    ``(A) make a surplus Indian educational facility or 
                a surplus Alaska Native educational facility available 
                for use as a multipurpose senior center--
                            ``(i) to an organization described in 
                        section 401(b)(1) or an organization described 
                        in section 401(b)(2), respectively; or
                            ``(ii) with the approval of the Indian 
                        tribe or Alaska Native organization involved, 
                        to a public or nonprofit private organization; 
                        and
                    ``(B) make any other surplus educational facility 
                that is under the control of the Secretary of the 
                Interior and is located in Hawaii available for use as 
                a multipurpose senior center, to an organization 
                described in section 401(b)(3).
            ``(2) Alteration to provide certain services.--Such centers 
        may be altered so as to provide extended care facilities, 
        community center facilities, nutrition services, adult day-care 
services, child care services, or other supportive services.
    ``(b) Application.--To be eligible to receive a surplus educational 
facility made available under subsection (a), an organization described 
in section 401(b) shall submit an application to the Secretary of the 
Interior at such time, in such form, and containing such information, 
as the Secretary of the Interior determines to be necessary to carry 
out this section.

``SEC. 405. ADMINISTRATION.

    ``For the purpose of issuing rules to carry out this title, the 
Secretary, acting through the Assistant Secretary, shall consult with 
the Secretary of the Interior.

``SEC. 406. PAYMENTS.

    ``Payments may be made under this title (after necessary 
adjustments on account of previously made overpayments or 
underpayments) in advance or by way of reimbursement and in such 
installments and on such conditions as the Assistant Secretary may 
determine to be appropriate.

``SEC. 407. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated to carry out this title, 
such sums as may be necessary for fiscal years 1997 through 2001.''.

SEC. 5. CONFORMING AMENDMENTS.

    (a) Agriculture and Food Act of 1981.--Section 1114(2) of the 
Agriculture and Food Act of 1981 (7 U.S.C. 1431e(2)) is amended in 
subparagraphs (C) and (D) by striking ``section 311(a)(4) of the Older 
Americans Act of 1965 (42 U.S.C. 3030a(a)(4))'' each place it appears 
and inserting ``subtitle C of title III of the Older Americans Act of 
1965''.
    (b) Job Training Partnership Act.--
            (1) Section 204(d) of the Job Training Partnership Act (29 
        U.S.C. 1604(d)) is amended--
                    (A) in paragraph (4) by striking ``title V of the 
                Older Americans Act of 1965 (42 U.S.C. 3056 et seq.)'' 
                and inserting ``subtitle C of title II of the Older 
                Americans Act of 1965''; and
                    (B) in paragraph (5)(B)(i) by striking ``title V of 
                the Older Americans Act of 1965 (42 U.S.C. 3056 et 
                seq.)'' and inserting ``subtitle C of title II of the 
                Older Americans Act of 1965''.
            (2) Section 205(a)(8) of such Act (29 U.S.C. 1605(a)(8)) is 
        amended to read as follows:
            ``(8) subtitle C of title II of the Older Americans Act of 
        1965;''.
            (3) Section 455(b) of such Act (29 U.S.C. 1735(b)) is 
        amended by striking ``title V of the Older Americans Act of 
        1965 (42 U.S.C. 3056 et seq.)'' and inserting ``subtitle C of 
        title II of the Older Americans Act of 1965''.
    (c) Technology-Related Assistance for Individuals With Disabilities 
Act of 1988.--Section 102(e)(23)(G) of the Technology-Related 
Assistance for Individuals With Disabilities Act of 1988 (29 U.S.C. 
2212(e)(23)(G)) is amended by striking ``any council established under 
section 204, 206(g)(2)(A), or 712(a)(3)(H) of the Older Americans Act 
of 1965 (42 U.S.C. 3015, 3017(g)(2)(A), or 3058g(a)(3)(H))'' and 
inserting ``section 212(c)(3)(G) or 302(a)(5)(D) of the Older Americans 
Act of 1965''.
    (d) Title 31, United States Code.--Section 3803(c)(2)(C)(xi) of 
title 31, United States Code is amended by striking ``benefits under 
section 336 of the Older Americans Act'' and inserting ``benefits under 
subtitle C of title III of the Older Americans Act of 1965''.
    (e) Omnibus Budget Reconciliation Act of 1990.--Section 
4360(d)(1)(C)(ii) of the Omnibus Budget Reconciliation Act of 1990 (42 
U.S.C. 1395b-4(d)(1)(C)(ii)) is amended by inserting ``of 1965'' after 
``Older Americans Act''.
    (f) Social Security Act.--
            (1) Section 1819 of the Social Security Act (42 U.S.C. 
        1395i-3) is amended--
                    (A) in subsection (b)(4)(C)(ii)(IV) by striking 
                ``section 307(a)(12) of the Older Americans Act of 
                1965'' and inserting ``subtitle B of title II of the 
                Older Americans Act of 1965'';
                    (B) in subsection (c)(2)(B)(iii)(II) by striking 
                ``title III or VII of the Older Americans Act of 1965 
                in accordance with section 712 of the Act'' and 
                inserting ``subtitle B of title II of the Older 
                Americans Act of 1965''; and
                    (C) in subsection (g)(5)(B) by striking ``title III 
                or VII of the Older Americans Act of 1965 in accordance 
                with section 712 of the Act'' and inserting ``subtitle 
                B of title II of the Older Americans Act of 1965''.
            (2) Section 1919 of such Act (42 U.S.C. 1396r) is amended--
                    (A) in subsection (b)(4)(C)(ii)(IV) by striking 
                ``section 307(a)(12) of the Older Americans Act of 
                1965'' and inserting ``subtitle B of title II of the 
                Older Americans Act of 1965'';
                    (B) in subsection (c)(2)(B)(iii)(II) by striking 
                ``title III or VII of the Older Americans Act of 1965'' 
                and inserting ``subtitle B of title II of the Older 
                Americans Act of 1965''; and
                    (C) in subsection (g)(5)(B) by striking ``title III 
                or VII of the Older Americans Act of 1965 in accordance 
                with section 712 of the Act'' and inserting ``subtitle 
                B of title II of the Older Americans Act of 1965''.
    (g) Housing and Community Development Act of 1974.--The last 
sentence of section 209 of the Housing and Community Development Act of 
1974 (42 U.S.C. 1438) is amended by striking ``title III of the Older 
Americans Act of 1965'' and inserting ``subtitle A of title II, and 
subtitle A of title III, of the Older Americans Act of 1965''.
    (h) National School Lunch Act.--
            (1) Section 14 of the National School Lunch Act (42 U.S.C. 
        1762a) is amended--
                    (A) in subsection (a)(1) by striking ``title III of 
                the Older Americans Act of 1965'' and inserting 
                ``subtitle C of title III of the Older Americans Act of 
                1965''; and
                    (B) in subsection (c) by striking ``section 
                311(a)(4) of the Older Americans Act of 1965 (42 U.S.C. 
                3030(a)(4)) or for cash payments in lieu of such 
                donations under section 311(b)(1) of such Act (42 
                U.S.C. 3030(b)(1))'' and inserting ``subtitle C of 
                title III of the Older Americans Act of 1965''.
            (2) Section 17(o)(3)(B) of such Act (42 U.S.C. 
        1766(o)(3)(B)) is amended by striking ``part C of title III of 
        the Older Americans Act of 1965'' and inserting ``subtitle C of 
        title III of the Older Americans Act of 1965''.
    (i) Environmental Programs Assistance Act of 1984.--Section 2(a) of 
the Environmental Programs Assistance Act of 1984 (42 U.S.C. 4368a(a)) 
is amended by striking ``title V of the Older Americans Act of 1965'' 
each place it appears and inserting ``subtitle C of title II of the 
Older Americans Act of 1965''.
    (j) Intergovernmental Personnel Act of 1970.--Section 208(a)(3)(B) 
of the Intergovernmental Personnel Act of 1970 (42 U.S.C. 
4728(a)(3)(B)) is amended by inserting before the semicolon the 
following ``(as in effect on January 4, 1971)''.
    (k) Noise Control Act of 1972.--Section 14(g) of the Noise Control 
Act of 1972 (42 U.S.C. 4913(g)) is amended by inserting ``of 1965'' 
after ``Older Americans Act''.
    (l) Domestic Volunteer Service Act of 1973.--Section 
221(a)(2)(A)(ii) of the Domestic Volunteer Service Act of 1973 (42 
U.S.C. 5021(a)(2)(A)(ii)) is amended by striking ``title III of the 
Older Americans Act of 1965'' and inserting ``subtitle B of title II, 
and subtitles B and C of title III, of the Older Americans Act of 
1965''.
    (m) Developmental Disabilities Assistance and Bill of Rights Act.--
Section 124(b)(3) of the Developmental Disabilities Assistance and Bill 
of Rights Act (42 U.S.C. 6024(b)(3)) is amended by inserting ``of 
1965'' after ``Older Americans Act''.
    (n) Energy Conservation in Existing Buildings Act of 1976.--Section 
412(6) of the Energy Conservation in Existing Buildings Act of 1976 (42 
U.S.C. 6862(6)) is amended by striking ``paragraphs (4), (5), and (6), 
respectively, of section 102 of the Older Americans Act of 1965'' and 
inserting ``paragraphs (24)(A), (25)(A), and (50)(A), respectively, of 
section 102 of the Older Americans Act of 1965''.
    (o) Cranston-Gonzalez National Affordable Housing Act.--
            (1) Section 802(d)(2)(B)(i) of the Cranston-Gonzalez 
        National Affordable Housing Act (42 U.S.C. 8011(d)(2)(B)(i)) is 
        amended by striking ``title III of the Older Americans Act of 
        1965'' and inserting ``subtitle C of title III of the Older 
        Americans Act of 1965''.
            (2) Section 803(d)(12) of such Act (42 U.S.C. 8012(d)(12)) 
        is amended by striking ``under title III of the Older Americans 
        Act of 1965'' and inserting ``designated under title II of the 
        Older Americans Act of 1965''.
    (p) Alzheimer's Disease and Related Dementias Research Act of 
1992.--
            (1) Section 934(b)(4) of the Alzheimer's Disease and 
        Related Dementias Research Act of 1992 (42 U.S.C. 11261(b)(4)) 
        is amended by striking ``section 305(a) (1) and (2)(A) of the 
        Older Americans Act of 1965 (42 U.S.C. 3025(a) (1) and 
        (2)(A))'' and inserting ``paragraphs (1) and (2)(A) of section 
        201(a) of the Older Americans Act of 1965''.
            (2) Section 962(d) of such Act (42 U.S.C. 11292(d)) is 
        amended by striking ``section 305(a)(1) of the Older Americans 
        Act of 1965'' and inserting ``section 201(a)(1) of the Older 
        Americans Act of 1965''.

SEC. 6. REFERENCES TO PRECEDING FISCAL YEAR.

    Any reference in the Older Americans Act of 1965 to ``the preceding 
fiscal year'' that applies with respect to funds received to carry out 
a program, project, or activity under such Act for a fiscal year shall 
be deemed to be a reference to funds received to carry out the 
corresponding program, project, or activity under such Act for the 
preceding fiscal year.

SEC. 7. ISSUANCE OF RULES.

    In addition to the rules issued under section 9(f), not later than 
180 days after the date of enactment of this Act, the Secretary of 
Health and Human Services shall issue, and publish in the Federal 
Register, proposed rules for the administration of the Older Americans 
Act of 1965 (as amended in section 4). After allowing a reasonable 
period for public comment on such proposed rules, and not later than 90 
days after such publication, the Secretary shall issue final rules for 
the administration of such Act.

SEC. 8. APPLICATION OF AMENDMENTS.

    (a) Fiscal Year 1996.--
            (1) Community service employment.--The amendment made by 
        section 3 shall apply only with respect to fiscal year 1996 and 
        to funds appropriated for such fiscal year to carry out title V 
        of the Older Americans Act of 1965 (42 U.S.C. 3056 et seq.).
            (2) Enforcement.--The authority of the Secretary of Labor 
        to enforce compliance with the requirements applicable to such 
        title with respect to actions taken prior to the effective date 
        of section 3, shall not be affected by the amendment made by 
        section 3.
    (b) Fiscal Years 1997-2001.--The amendment made by section 4 shall 
not apply with respect to fiscal years beginning before October 1, 
1996.

SEC. 9. TRANSFER OF FUNCTIONS.

    (a) Definitions.--For purposes of this section, unless otherwise 
provided or indicated by the context--
            (1) the term ``Federal agency'' has the meaning given to 
        the term ``agency'' by section 551(1) of title 5, United States 
        Code;
            (2) the term ``function'' means any duty, obligation, 
        power, authority, responsibility, right, privilege, activity, 
        or program; and
            (3) the term ``office'' includes any office, 
        administration, agency, institute, unit, organizational entity, 
        or component thereof.
    (b) Transfer of Functions.--
            (1) In general.--There are transferred to the Department of 
        Health and Human Services all functions that the Secretary of 
        Labor exercised before the effective date of this section 
        (including all related functions of any officer or employee of 
        the Department of Labor) that--
                    (A) relate to title V of the Older Americans Act of 
                1965 (as in effect on the day before the effective date 
                of this section); and
                    (B) that are minimally necessary to carry out title 
                V of such Act (as in effect on the day after the 
                effective date of this section).
            (2) Termination of authority.--Except as otherwise 
        specifically provided in this Act, the authority of a 
        transferred employee to carry out a function that relates to 
        title V of the Older Americans Act of 1965 (as in effect on the 
        day before the effective date of this section) and is not 
        transferred under this Act shall terminate on the effective 
        date of this section.
    (c) Determinations of Certain Functions by the Office of Management 
and Budget.--If necessary, the Office of Management and Budget shall 
make any determination of the functions that are transferred under 
subsection (b).
    (d) Delegation and Assignment.--Except where otherwise expressly 
prohibited by law or otherwise provided by this section, the Secretary 
of Health and Human Services may delegate any of the functions 
transferred to the Department of Health and Human Services by this 
section and any function transferred or granted to the Department of 
Health and Human Services after the effective date of this section to 
such officers and employees of the Department of Health and Human 
Services as the Secretary of Health and Human Services may designate, 
and may authorize successive redelegations of such functions as may be 
necessary or appropriate. No delegation of functions by the Secretary 
of Health and Human Services under this subsection or under any other 
provision of this section shall relieve such Secretary of Health and 
Human Services of responsibility for the administration of such 
functions.
    (e) Reorganization.--The Secretary of Health and Human Services may 
allocate or reallocate any function transferred under subsection (b) 
among the officers of the Department of Health and Human Services, and 
establish, consolidate, alter, or discontinue such organizational 
entities in the Department of Health and Human Services as may be 
necessary or appropriate.
    (f) Rules.--Not later than 30 days after the date of enactment of 
this Act, the Secretary of Health and Human Services shall issue, and 
publish in the Federal Register, proposed rules for the administration 
of title V of the Older Americans Act of 1965 (as amended in section 
3). After allowing a reasonable period for public comment on such 
proposed rules, and not later than July 1, 1996, the Secretary shall 
issue final rules for the administration of such title.
    (g) Transfer and Allocations of Appropriations and Personnel.--
            (1) In general.--Except as otherwise provided in this 
        section, the personnel employed in connection with, and the 
        assets, liabilities, contracts, grants, property, records, and 
        unexpended balances of appropriations, authorizations, 
        allocations, and other funds employed, used, held, arising 
        from, available to, or to be made available in connection with 
        the functions transferred by this section, subject to section 
        1531 of title 31, United States Code, shall be transferred to 
        the Department of Health and Human Services. Unexpended funds 
        transferred pursuant to this subsection shall be used only to 
        carry out the functions of the Department of Health and Human 
        Services under title V of the Older Americans Act of 1965 (as 
        in effect on the day after the effective date of this section).
            (2) Existing facilities and other federal resources.--
        Pursuant to paragraph (1), the Secretary of Health and Human 
        Services shall supply such office facilities, office supplies, 
        support services, and related expenses as may be minimally 
        necessary to carry out such functions. None of the funds made 
        available under this Act, or an amendment made by this Act, may 
        be used for the construction of office facilities.
    (h) Incidental Transfers.--The Director of the Office of Management 
and Budget, at such time or times as the Director shall provide, may 
make such determinations as may be necessary with regard to the 
functions transferred by this section, and make such additional 
incidental dispositions of personnel, assets, liabilities, grants, 
contracts, property, records, and unexpended balances of 
appropriations, authorizations, allocations, and other funds held, 
used, arising from, available to, or to be made available in connection 
with such functions, as may be necessary to carry out this section. The 
Director of the Office of Management and Budget shall provide for the 
termination of the affairs of all entities terminated by this section 
and for such further measures and dispositions as may be necessary to 
effectuate the objectives of this section.
    (i) Effect on Personnel.--
            (1) Termination of certain positions.--Positions whose 
        incumbents are appointed by the President, by and with the 
        advice and consent of the Senate, the functions of which are 
        transferred by this section, shall terminate on the effective 
        date of this section.
            (2) Actions.--The Secretary of Health and Human Services 
        shall take such actions as may be necessary, including 
        reduction in force actions, consistent with sections 3502 and 
        3595 of title 5, United States Code, to ensure that the 
        personnel whose positions relate to a function described in 
        subsection (b)(1)(A) and are not transferred under subsection 
        (b) are separated from service.
    (j) Savings Provisions.--
            (1) Continuing effect of legal documents.--All orders, 
        determinations, rules, regulations, permits, agreements, 
        grants, contracts, certificates, licenses, registrations, 
        privileges, and other administrative actions--
                    (A) that have been issued, made, granted, or 
                allowed to become effective by the President, any 
                Federal agency or official of a Federal agency, or by a 
                court of competent jurisdiction, in the performance of 
                functions that are transferred under this section; and
                    (B) that were in effect before the effective date 
                of this section, or were final before the effective 
                date of this section and are to become effective on or 
                after the effective date of this section;
        shall continue in effect according to their terms until 
        modified, terminated, superseded, set aside, or revoked in 
        accordance with law by the President, the Secretary of Health 
        and Human Services or other authorized official, a court of 
        competent jurisdiction, or by operation of law.
            (2) Proceedings not affected.--
                    (A) In general.--This section shall not affect any 
                proceedings, including notices of proposed rulemaking, 
                or any application for any license, permit, 
                certificate, or financial assistance pending before the 
                Department of Labor on the effective date of this 
                section, with respect to functions transferred by this 
                section.
                    (B) Continuation.--Such proceedings and 
                applications shall be continued. Orders shall be issued 
                in such proceedings, appeals shall be taken from the 
                orders, and payments shall be made pursuant to the 
                orders, as if this section had not been enacted, and 
                orders issued in any such proceedings shall continue in 
effect until modified, terminated, superseded, or revoked by a duly 
authorized official, by a court of competent jurisdiction, or by 
operation of law.
                    (C) Construction.--Nothing in this paragraph shall 
                be construed to prohibit the discontinuance or 
                modification of any such proceeding under the same 
                terms and conditions and to the same extent that such 
                proceeding could have been discontinued or modified if 
                this section had not been enacted.
            (3) Suits not affected.--This section shall not affect 
        suits commenced before the effective date of this section, and 
        in all such suits, proceedings shall be had, appeals taken, and 
        judgments rendered in the same manner and with the same effect 
        as if this section had not been enacted.
            (4) Nonabatement of actions.--No suit, action, or other 
        proceeding commenced by or against the Department of Labor, or 
        by or against any individual in the official capacity of such 
        individual as an officer of the Department of Labor, shall 
        abate by reason of the enactment of this section.
            (5) Administrative actions relating to promulgation of 
        regulations.--Any administrative action relating to the 
        preparation or promulgation of a regulation by the Department 
        of Labor relating to a function transferred under this section 
        may be continued by the Department of Health and Human Services 
        with the same effect as if this section had not been enacted.
    (k) Transition.--The Secretary of Health and Human Services may 
utilize--
            (1) the services of officers, employees, and other 
        personnel of the Department of Labor with respect to functions 
        transferred to the Department of Health and Human Services by 
        this section; and
            (2) funds appropriated to such functions;
for such period of time as may reasonably be needed to facilitate the 
orderly implementation of this section.
    (l) References.--A reference in any other Federal law, Executive 
order, rule, regulation, or delegation of authority, or any document of 
or relating to--
            (1) the Secretary of Labor with regard to functions 
        transferred under subsection (b), shall be deemed to refer to 
        the Secretary of Health and Human Services; and
            (2) the Department of Labor with regard to functions 
        transferred under subsection (b), shall be deemed to refer to 
        the Department of Health and Human Services.
    (m) Additional Conforming Amendments.--
            (1) Recommended legislation.--After consultation with the 
        appropriate committees of Congress and the Director of the 
        Office of Management and Budget, the Secretary of Health and 
        Human Services shall prepare and submit to Congress recommended 
        legislation containing technical and conforming amendments to 
        reflect the changes made by this section.
            (2) Submission to congress.--Not later than 90 days after 
        the date of enactment of this Act, the Secretary of Health and 
        Human Services shall submit the recommended legislation 
        referred to in paragraph (1).

SEC. 10. EFFECTIVE DATES.

    (a) General Effective Date.--Except as provided in subsection (b), 
this Act and the amendments made by this Act shall take effect on the 
date of enactment of this Act.
    (b) Special Effective Dates.--
            (1) Community service employment.--Section 9 (other than 
        subsections (f) and (m) of such section), and the amendment 
        made by section 3, shall take effect on July 1, 1996.
            (2) Other programs.--The amendments made by sections 4 and 
        5 shall take effect on October 1, 1996.
                                 <all>