[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 2117 Introduced in Senate (IS)]







107th CONGRESS
  2d Session
                                S. 2117

  To amend the Child Care and Development Block Grant Act of 1990 to 
              reauthorize the Act, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 11, 2002

Mr. Dodd (for himself, Ms. Snowe, Mr. Jeffords, Mr. DeWine, Mr. Breaux, 
 Mr. Reed, Mr. Rockefeller, and Ms. Collins) introduced the following 
  bill; which was read twice and referred to the Committee on Health, 
                     Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL


 
  To amend the Child Care and Development Block Grant Act of 1990 to 
              reauthorize the Act, 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; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Access to High 
Quality Child Care Act'' or as the ``2002 ACCESS Act''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

                  TITLE I--ACCESS TO HIGH QUALITY CARE

Sec. 101. Goals.
Sec. 102. Authorization of appropriations.
Sec. 103. Lead agency.
Sec. 104. State plan requirements.
Sec. 105. Child care quality improvements.
Sec. 106. Improving parent access to quality child care.
Sec. 107. Child care research and data.
Sec. 108. Technical amendment.
Sec. 109. Child care provider development.
Sec. 110. Activities for infants and toddlers.
Sec. 111. Technical and financial assistance grants.
Sec. 112. Quality child care, development, and education incentive 
                            grants.
Sec. 113. Conforming amendments.
Sec. 114. Annual reports.
Sec. 115. Definitions.
           TITLE II--CHILD CARE CENTERS IN FEDERAL FACILITIES

Sec. 201. Short title.
Sec. 202. Definitions.
Sec. 203. Providing quality child care in Federal facilities.
Sec. 204. Enhancing security at child care centers in Federal 
                            facilities.
Sec. 205. Federal child care evaluation.
Sec. 206. Miscellaneous provisions relating to child care provided by 
                            Federal agencies.
                    TITLE III--CHILD CARE UNDER TANF

Sec. 301. Mandatory funding for child care.
Sec. 302. Restoration of authority to transfer up to 10 percent of TANF 
                            funds to the Social Services Block Grant.
Sec. 303. Clarification of authority of States to use TANF funds 
                            carried over from prior years to provide 
                            TANF benefits and services and to transfer 
                            such funds for child care and social 
                            services.
Sec. 304. Child care or other work support services not considered 
                            assistance.
Sec. 305. Assessment of child care needs and needs for supervision and 
                            appropriate activities for children of TANF 
                            recipients.
Sec. 306. Data collection regarding TANF funds spent directly on child 
                            care.
Sec. 307. Application of Child Care and Development Block Grant health 
                            and safety standards to TANF funds spent on 
                            child care.
Sec. 308. Training and coordination of staff to increase use of child 
                            care assistance.
Sec. 309. Sense of the Senate regarding retaining authority to deem 
                            certain single parents with young children 
                            as meeting the TANF work requirement.
Sec. 310. Sense of the Senate regarding retaining prohibition and 
                            penalty for State sanction of single 
                            parents with young children who are unable 
                            to find or afford child care.
Sec. 311. Effective date.

                  TITLE I--ACCESS TO HIGH QUALITY CARE

SEC. 101. GOALS.

    Section 658A(b) of the Child Care and Development Block Grant Act 
of 1990 (42 U.S.C. 9801 note) is amended--
            (1) in paragraph (4), by striking ``assistance; and'' and 
        inserting ``assistance, and to low-income parents struggling to 
        meet child care costs;'';
            (2) in paragraph (5)--
                    (A) by inserting ``training,'' after ``safety,''; 
                and
                    (B) by striking the period and inserting ``; and''; 
                and
            (3) by adding at the end the following:
            ``(6) to assist States to provide access to high quality 
        child care that promotes early learning and facilitates school 
        readiness.''.

SEC. 102. AUTHORIZATION OF APPROPRIATIONS.

    Section 658B of the Child Care and Development Block Grant Act of 
1990 (42 U.S.C. 9858) is amended by striking ``$1,000,000,000'' and all 
that follows and inserting ``such sums as may be necessary for each of 
fiscal years 2003 through 2007.''.

SEC. 103. LEAD AGENCY.

    Section 658D(b) of the Child Care and Development Block Grant Act 
of 1990 (42 U.S.C. 9858b(b)) is amended by striking paragraph (2) and 
inserting the following:
            ``(2) Consultation in development of plan.--
                    ``(A) Parties consulted.--In the development of the 
                State plan described in paragraph (1)(B), the lead 
                agency shall consult with--
                            ``(i) appropriate representatives of units 
                        of general purpose local government;
                            ``(ii) parents and child care providers 
                        (including center-based child care providers, 
                        group home child care providers, and family 
                        child care providers);
                            ``(iii) representatives of State agencies 
                        responsible for children and families, 
                        including agencies with jurisdiction over 
                        education programs, health services, child 
                        protective services, the program of block 
                        grants to States to provide temporary 
                        assistance to needy families under part A of 
                        title IV of the Social Security Act (42 U.S.C. 
                        601 et seq.), and employment and training 
                        activities;
                            ``(iv) businesses, community-based 
                        organizations (including faith-based 
                        organizations), and philanthropic 
                        organizations;
                            ``(v) institutions of higher education and 
                        other entities that provide professional 
                        development for early childhood educators and 
                        child care providers; and
                            ``(vi) other public and private providers 
                        of child and family support services, such as 
                        providers of services through Head Start 
                        programs, family literacy programs, 
                        institutions of higher education, and child 
                        care resource and referral organizations, and 
                        other organizations and individuals.
                    ``(B) Goals of consultation.--The lead agency shall 
                engage in consultation, as described in subparagraph 
                (A), in order to--
                            ``(i) develop a State plan under section 
                        658E that meets the needs of working parents 
                        and the social, emotional, physical, and 
                        cognitive developmental needs of children;
                            ``(ii) enable the lead agency, and the 
                        organizations and individuals described in 
                        subparagraph (A), to coordinate and utilize 
                        resources for early childhood development and 
                        child care for school-age children in a manner 
                        that provides a continuum of quality services 
                        for children and families;
                            ``(iii) enable the lead agency, 
                        organizations, and individuals to provide for 
                        resources for children with special needs and 
                        their families in planning and delivering 
                        services for children and families, in order to 
                        improve access to integrated community-based 
                        services for all children and families; and
                            ``(iv) promote inclusion of organizations 
                        or individuals that provide direct services for 
                        children and families, and parents, in the 
                        design and delivery of such services.''.

SEC. 104. STATE PLAN REQUIREMENTS.

    Section 658E(c) of the Child Care and Development Block Grant Act 
of 1990 (42 U.S.C. 9858c(c)) is amended--
            (1) in paragraph (2)--
                    (A) in subparagraph (A)(i)(II), by striking 
                ``658P(2)'' and inserting ``658V(2)'';
                    (B) by striking subparagraph (D) and inserting the 
                following:
                    ``(D) Consumer education information.--Certify that 
                the State will collect and disseminate to parents of 
                eligible children and the general public, consumer 
                education information that will promote informed child 
                care choices, including information about quality child 
                care that meets the social, emotional, physical, and 
                cognitive development needs of children, and describe 
                how the State will inform parents receiving assistance 
                under a State program funded under part A of title IV 
                of the Social Security Act (42 U.S.C. 601 et seq.) and 
                low-income parents about eligibility for assistance 
                under this subchapter.'';
                    (C) in subparagraph (G), by inserting ``, and that 
                the procedures include unannounced visits, not more 
                than twice each year, for each such child care provider 
                (other than a relative of the child who is a provider 
                described in section 658V(5)(B)) and the facility in 
                which the provider provides child care'' before the 
                period; and
                    (D) by adding at the end the following new 
                subparagraphs:
                    ``(I) Quality child development and education.--In 
                the case of a State that receives a grant under section 
                658L, certify that the State has established indicators 
                of school readiness described in section 658L(b)(2)(B) 
                and requires eligible child care providers (other than 
                a relative of the child involved who is a provider 
                described in section 658V(5)(B)) described in 
                subparagraph (G) to use the indicators to improve 
                school readiness.
                    ``(J) Coordination and integration of services.--
                Describe how the State will--
                            ``(i) coordinate the provision of services 
                        under this subchapter with other Federal, 
                        State, and local child care and early childhood 
                        development programs; and
                            ``(ii) increase coordination between, and 
                        improve the ability of children to make 
                        transitions between--
                                    ``(I) early childhood care, 
                                development, and education programs; 
                                and
                                    ``(II) elementary schools.
                    ``(K) Availability of staff.--Describe how the 
                State will ensure that staff from the lead agency 
                described in section 658D will coordinate activities 
                with the staff of the State program funded under part A 
                of title IV of the Social Security Act, and be 
                available to the participants in the program to provide 
                information about eligibility for assistance under this 
                subchapter.
                    ``(L) Eligibility redetermination.--Demonstrate 
                that each child that receives assistance under this 
                subchapter in the State will receive such assistance 
                for not less than 1 year before the State redetermines 
                the eligibility of the child under this subchapter.
                    ``(M) Training in early learning and childhood 
                development.--Certify that there are in effect within 
                the State training requirements, designed to enable 
                child care providers to promote the social, emotional, 
                physical, and cognitive development of children, that 
                are applicable to child care providers that provide 
                services for which assistance is made available under 
                this subchapter (except relatives of the children 
                involved who are providers described in section 
                658V(5)(B)).
                    ``(N) Information on food programs.--Certify that 
                the State will collect and disseminate, to each child 
                care provider that provides services for which 
                assistance is made available under this subparagraph, 
                materials that include--
                            ``(i) an explanation of the benefits, and 
                        the importance to children and providers, of 
                        the child and adult care food program 
                        established under section 17 of the Richard B. 
                        Russell National School Lunch Act (42 U.S.C. 
                        1766); and
                            ``(ii) information concerning how benefits 
                        under the program may be obtained.'';
            (2) in paragraph (4)--
                    (A) by redesignating subparagraph (B) as 
                subparagraph (C); and
                    (B) by inserting after subparagraph (A) the 
                following:
                    ``(B) Market rates.--In submitting the State plan, 
                the State shall meet the applicable requirements of 
                paragraphs (1) and (2) of section 658H(b).''; and
            (3) by adding at the end the following:
            ``(6) Child care provider development.--In submitting the 
        State plan, the State shall meet the applicable requirements of 
        section 658I(d).''.

SEC. 105. CHILD CARE QUALITY IMPROVEMENTS.

    Section 658G of the Child Care and Development Block Grant Act of 
1990 (42 U.S.C. 9858e) is amended to read as follows:

``SEC. 658G. ACTIVITIES TO IMPROVE THE QUALITY OF CHILD CARE.

    ``(a) In General.--A State that receives funds to carry out this 
subchapter for a fiscal year shall reserve and use not less than 5 
percent of the funds for 1 or more activities consisting of--
            ``(1) providing child care resource and referral services 
        directly, or providing financial assistance to private 
        nonprofit organizations or public entities (including units of 
        general purpose local government) for the development, 
        establishment, expansion, operation, and coordination of, child 
        care resource and referral services;
            ``(2) making grants or providing loans to eligible child 
        care providers to assist the providers in meeting applicable 
        State and local relating to child care licensing or regulation 
        and recognized accreditation standards;
            ``(3) making grants to support training of family child 
        care providers and relatives who are providers described in 
        section 658V(5)(B), with respect to the social, emotional, 
        physical, and cognitive development of children, including 
        activities to promote preliteracy and oral language 
        development;
            ``(4) improving the ability of State or local government, 
        as applicable, to monitor compliance with, and to enforce, 
        State and local licensing, regulatory, and registration 
        requirements applicable to child care providers;
            ``(5) providing training and technical assistance in areas 
        relating to the provision of child care services, such as 
        training relating to the social, emotional, physical, and 
        cognitive development of children, the promotion of health and 
        safety, parent involvement, promotion of good nutrition, 
        provision of first aid, recognition of communicable diseases, 
        child abuse detection and prevention, care of children with 
        special needs, and program and business management;
            ``(6) improving salaries and other compensation paid to 
        full-time and part-time staff who provide child care services 
for which assistance is made available under this subchapter;
            ``(7) improving payment rates for child care providers who 
        provide such services, to ensure that parents have real choices 
        among child care providers in their communities;
            ``(8) improving and expanding positive youth development 
        activities for school-age children; or
            ``(9) carrying out such other activities to improve the 
        quality of child care as the State may determine to be 
        appropriate, including providing emergency child care.
    ``(b) Child Care Resource and Referral System.--The State may use a 
portion of the funds reserved under subsection (a) to establish or 
support a system of local child care resource and referral 
organizations coordinated by a statewide private, nonprofit, community-
based lead child care resource and referral organization. The local 
child care resource and referral organizations shall--
            ``(1) provide parents in the State with information, 
        consumer education, and support concerning child care options, 
        including child care provided through emergency child care 
        centers, in their communities;
            ``(2)(A) collect and analyze data on the supply of and 
        demand for child care in political subdivisions within the 
        State; and
            ``(B) submit reports to the Secretary containing data and 
        analysis described in subparagraph (A);
            ``(3) engage businesses, community-based organizations 
        (including faith-based organizations), labor organizations, 
        educational organizations (including schools), and 
        philanthropic organizations in expanding quality child care 
        services, including providing emergency child care, in the 
        State and in political subdivisions in the State;
            ``(4) provide, or facilitate the provision of, as 
        appropriate, health care services, mental health services, 
        early literacy services, services for children with special 
        needs, and child care for infants and toddlers, to support and 
        supplement the services provided by child care providers in the 
        communities involved; and
            ``(5) provide training related to the social, emotional, 
        physical, and cognitive development of children, or facilitate 
        connections to such training, for child care providers in the 
        communities involved.
    ``(c) Reservations for Resource and Referral and Other 
Activities.--
            ``(1) In general.--A State that receives funds to carry out 
        this subchapter for a fiscal year shall reserve and use, from 
        the amount reserved under subsection (a)--
                    ``(A) not less than the State covered activities 
                amount for that fiscal year for child care resource and 
                referral services and school-age child care activities; 
                and
                    ``(B) not less than the State hotline amount for 
                that fiscal year for the Child Care Aware toll-free 
                hotline.
            ``(2) Definitions.--In this subsection:
                    ``(A) State covered activities amount.--The term 
                `State covered activities amount', used with respect to 
                a fiscal year, means the product of--
                            ``(i) $18,000,000; and
                            ``(ii) the State percentage for that fiscal 
                        year.
                    ``(B) State hotline amount.--The term `State 
                hotline amount', used with respect to a fiscal year, 
                means the product of--
                            ``(i) $1,000,000; and
                            ``(ii) the State percentage for that fiscal 
                        year.
                    ``(C) State percentage.--The term `State 
                percentage', used with respect to a fiscal year, means 
                the percentage received by the State of the funds 
                allotted to States under section 658O for that fiscal 
                year.''.

SEC. 106. IMPROVING PARENT ACCESS TO QUALITY CHILD CARE.

    The Child Care and Development Block Grant Act of 1990 (42 U.S.C. 
9858 et seq.) is amended by inserting after section 658G the following:

``SEC. 658H. IMPROVING PARENT ACCESS TO QUALITY CHILD CARE.

    ``(a) In General.--A State that receives funds to carry out this 
subchapter for a fiscal year shall reserve and use not less than 5 
percent of the funds for activities described in this section.
    ``(b) Eligibility.--
            ``(1) State plan requirement.--To be eligible to receive 
        funds to carry out this subchapter, a State shall submit a 
        State plan under section 658E that--
                    ``(A) demonstrates that the State has conducted a 
                statistically valid survey of the market rates for 
                child care services in the State within the 2 years 
                preceding the date of the submission of the 
                application;
                    ``(B) details the methodology and results of the 
                State market rates survey conducted pursuant to 
                subparagraph (A);
                    ``(C) describes the State's plan to increase 
                payment rates from the initial baseline determined 
                under subparagraph (B); and
                    ``(D) describes how the State will increase payment 
                rates in accordance with the market rates survey 
                results.
            ``(2) Continuing eligibility requirement.--In submitting a 
        State plan under section 658E for fiscal year 2004 or a 
        subsequent fiscal year, each State shall demonstrate that the 
        State has made progress, through the activities assisted under 
        this subchapter, in increasing payment rates for child care 
        providers to rates that reflect the market rates, including the 
        market rates for various types of child care providers and 
        market rates for child care of children at various ages.
    ``(c) Use of Funds.--
            ``(1) Priority use.--An eligible State that receives funds 
        under this subchapter to carry out this section shall use the 
        funds to increase the payment rate for the provision of child 
        care assistance in accordance with this subchapter to a rate at 
        not less than the 80th percentile, and not more than the 100th 
        percentile, of the market rate determined under the survey 
        described in subsection (b)(1)(A), except as provided in 
        paragraph (2).
            ``(2) Tiered reimbursement.--An eligible State that 
        demonstrates to the Secretary that the State has achieved a 
        payment rate for such assistance at not less than the 80th 
        percentile of the market rate determined under the survey 
        described in subsection (b)(1)(A) may use funds described in 
        paragraph (1) to provide tiered reimbursement to child care 
        providers. Such tiered reimbursement shall consist of regular 
        compensation plus additional compensation for child care that 
        is in limited supply, such as care of infants, care at unusual 
        hours, care for children with special needs, care for children 
        in low-income or rural communities, and care provided by 
        accredited child care providers. In providing the tiered 
        reimbursement, the State may provide a payment rate that 
        exceeds the 100th percentile of the market rate.
            ``(3) Supplement not supplant.--Amounts paid to a State 
        under this subchapter to carry out this section shall be used 
to supplement and not supplant other Federal, State, or local funds 
provided to the State under this subchapter or any other provision of 
law.
    ``(d) Evaluations and Reports.--
            ``(1) State evaluations.--Each State described in 
        subsection (c)(1) shall submit to the Secretary, at such time 
        and in such form and manner as the Secretary may require, 
        information regarding the State's efforts to increase payment 
        rates and the impact increased rates are having on the quality 
        of, and accessibility to, child care in the State.
            ``(2) Reports to congress.--The Secretary shall submit 
        biennial reports to Congress on the information described in 
        paragraph (1). Such reports shall include data from the 
        applications described in subsection (b) as a baseline for 
        determining the progress of each eligible State in maintaining 
        increased payment rates.
    ``(e) Payment Rate.--In this section, the term `payment rate' means 
the rate of reimbursement to providers for subsidized child care.
    ``(f) Trigger.--This section takes effect on October 1 of the first 
fiscal year for which the amount made available under section 418 of 
the Social Security Act (42 U.S.C. 618) exceeds 105 percent of the 
amount made available under that section for fiscal year 2002.''.

SEC. 107. CHILD CARE RESEARCH AND DATA.

    Section 658I of the Child Care and Development Block Grant Act of 
1990 (42 U.S.C. 9858g) is amended by adding at the end the following:
    ``(c) Child Care Research and Data System.--
            ``(1) Reservation.--Of the funds appropriated to carry out 
        this subchapter for a fiscal year, the Secretary shall reserve 
        not more than 2 percent to carry out this section.
            ``(2) System.--
                    ``(A) In general.--The Secretary shall provide for 
                the establishment of a national child care research and 
                data system to collect information and develop data on 
                the supply of, demand for, and quality of child care 
                programs, early education programs, and before- and 
                after-school programs. The system shall include 
                information collected through child care resource and 
                referral organizations at the national, State, and 
                local levels.
                    ``(B) Quick response reports.--At the request of 
                the Secretary, the States that receive allotments under 
                section 658O shall prepare and submit to the Secretary 
                reports that provide immediate information on the 
                supply of, gaps in the supply of, price of, and quality 
                of child care, early education, and before- and after-
                school care.
                    ``(C) Annual reports.--Using information and data 
                that include information and data from the system 
                described in subparagraph (A) and the reports described 
                in subparagraph (B), the Secretary shall prepare and 
                submit to Congress annual reports on the supply, gaps, 
                price, and quality described in subparagraph (B).
            ``(3) Training and technical assistance.--In providing for 
        the system, the Secretary shall provide training and technical 
        assistance to States, units of general purpose local 
        government, and child care providers that provide services for 
        which assistance is made available under this subchapter, to 
        assist the States, units, and providers in collecting, 
        analyzing, and reporting useful information, and developing 
        appropriate data, for the system.''.

SEC. 108. TECHNICAL AMENDMENT.

    Section 658K(a)(2)(A) of the Child Care and Development Block Grant 
Act of 1990 (42 U.S.C. 9858i(a)(2)(A)) is amended by striking 
``658P(5)'' and inserting ``658V(5)''.

SEC. 109. CHILD CARE PROVIDER DEVELOPMENT.

    The Child Care and Development Block Grant Act of 1990 (42 U.S.C. 
9858 et seq.) is amended--
            (1)(A) by redesignating section 658P as section 658V; and
            (B) by inserting section 658V (as so redesignated) after 
        section 658S;
            (2)(A) by redesignating section 658J as section 658P; and
            (B) by inserting section 658P (as so redesignated) after 
        section 658O;
            (3)(A) in section 658L, by striking the section heading and 
        all that follows through ``Not'' and inserting the following:
    ``(c) Report by Secretary.--''; and
            (B) by moving subsection (c) (as so redesignated) to the 
        end of section 658K;
            (4)(A) by redesignating sections 658I and 658K as sections 
        658T and 658U, respectively; and
            (B) by inserting sections 658T and 658U (as so 
        redesignated) after section 658S; and
            (5) by inserting after section 658H (as added in section 
        106) the following:

``SEC. 658I. CHILD CARE PROVIDER DEVELOPMENT.

    ``(a) Definitions.--In this section:
            ``(1) Child care provider.--The term `child care provider' 
        means an individual who provides a service directly to a child 
        on a person to person basis for compensation for--
                    ``(A) a center-based child care provider that is 
                licensed, regulated, or registered under State or local 
                law and that satisfies the State and local requirements 
                applicable to the child care services provided;
                    ``(B) a licensed, regulated, or registered family 
                child care provider that satisfies the State and local 
                requirements applicable to the child care services 
                provided; or
                    ``(C) an out-of-school time program that is 
                licensed, regulated, or registered under State or local 
                law and that satisfies the State and local requirements 
                applicable to the child care services provided.
            ``(2) State.--The term `State' means any of the several 
        States, the District of Columbia, the Commonwealth of Puerto 
        Rico, Guam, American Samoa, or the Commonwealth of the Northern 
        Mariana Islands.
    ``(b) Funds for Child Care Provider Development.--A State that 
receives funds to carry out this subchapter for a fiscal year shall 
reserve and use not less than 5 percent of the funds for career 
development systems described in subsection (c).
    ``(c) Career Development Systems.--
            ``(1) In general.--Each State shall use the funds reserved 
        under subsection (b) to establish and carry out comprehensive, 
        coordinated systems of career development for child care 
        providers, including providers who provide child care for 
        children from birth through age 3, provide child care for 
        school-age children, or provide early childhood education.
            ``(2) Systems.--In establishing and carrying out such a 
        system, a State may provide for--
                    ``(A) child care provider development and retention 
                grant programs, as described in subsection (e);
                    ``(B) child care provider scholarship programs, as 
                described in subsection (f);
                    ``(C) career ladder programs for child care 
                providers;
                    ``(D) programs that provide training to child care 
                providers through articulation agreements among 
                training providers;
                    ``(E) career counseling programs for child care 
                providers; and
                    ``(F) other quality initiatives for child care 
                providers, such as accreditation support initiatives, 
                wage incentive programs, training activities provided 
                by child care resource and referral organizations and 
                institutions of higher education, and director training 
                and leadership development programs.
            ``(3) Training.--
                    ``(A) Approval.--In establishing and carrying out 
                such a system, a State may establish a system for 
                approving training provided through the system.
                    ``(B) Child development.--Training provided through 
                the system with respect to child development--
                            ``(i) shall include training with respect 
                        to the social, emotional, physical, and 
                        cognitive development of children, health, 
                        safety, nutrition, preliteracy and oral 
                        language development, identification and 
                        inclusion of children with special needs, 
                        developmentally appropriate practices, 
                        observation and assessment of children's 
                        development, work with families, and 
                        professionalism;
                            ``(ii) shall take into account the diverse 
                        nature of child care sectors, shall be designed 
                        so that the training is appropriate for 
                        providers in a variety of child care settings 
                        and is provided through a variety of delivery 
                        systems, and shall be based on best practices; 
                        and
                            ``(iii) shall be provided in a manner that 
                        ensures access by child care providers with all 
                        levels of experience.
    ``(d) State Plan.--
            ``(1) In general.--To be eligible to receive funds to carry 
        out this subchapter, a State shall submit a State plan under 
        section 658E that satisfies the requirements of paragraph (2).
            ``(2) Requirements of plan.--
                    ``(A) Recruitment and retention of child care 
                providers.--The State plan shall describe how the lead 
                agency designated under section 658D will encourage 
                both the recruitment of eligible child care providers 
                who are new to the child care field and the retention 
                of eligible child care providers who have a 
                demonstrated commitment to the child care field.
                    ``(B) Notification of grant availability.--The 
                State plan shall describe how the lead agency will 
                identify all eligible child care providers in the State 
                and notify the providers of the availability of 
                assistance under this section.
                    ``(C) Distribution of grants.--For a State that 
                elects to make grants under subsection (e) or (f), the 
                State plan shall describe how the lead agency will make 
                the grants to child care providers in selected 
                geographical areas in the State in compliance with the 
                following requirements:
                            ``(i) Selection of geographical areas.--For 
                        the purpose of making such grants for a fiscal 
                        year, the State shall select a variety of 
                        geographical areas, determined by the State, 
                        that, collectively--
                                    ``(I) include urban areas, suburban 
                                areas, and rural areas; and
                                    ``(II) are areas whose residents 
                                have diverse income levels.
                            ``(ii) Selection of child care providers to 
                        receive grants.--In making grants under 
                        subsection (e) for a fiscal year, the State may 
                        make grants only to eligible child care 
                        providers in geographical areas selected under 
                        clause (i), but may give special consideration 
                        in such areas to eligible child care providers 
                        who have attained a higher relevant educational 
                        credential, who provide a specific kind of 
                        child care services, who provide child care 
                        services to populations who meet specific 
                        economic characteristics, or who meet such 
                        other criteria as the State may establish.
                            ``(iii) Limitation.--The State shall ensure 
                        that grants made under subsection (e) to child 
                        care providers will not be used to offset 
                        reductions in the compensation of such 
                        providers.
                            ``(iv) Reporting requirement.--With respect 
                        to each particular geographical area selected 
                        under clause (i), the State shall ensure that 
                        the State will, for each fiscal year for which 
                        the State makes a grant under subsection (e)--
                                    ``(I) include in the report 
                                required by subsection (g), detailed 
                                information regarding--
                                            ``(aa) the continuity of 
                                        employment of the grant 
                                        recipients as child care 
                                        providers with the same 
                                        employer;
                                            ``(bb) with respect to each 
                                        employer that employed such a 
                                        grant recipient, whether such 
                                        employer was accredited by a 
                                        recognized national or State 
                                        accrediting body during the 
                                        period of employment; and
                                            ``(cc) to the extent 
                                        practicable and available to 
                                        the State, the rate and 
                                        frequency of employment 
                                        turnover of qualified child 
                                        care providers throughout such 
                                        area,
                                during the 2-year period ending on the 
                                deadline for submission of applications 
                                for grants under subsection (e) for 
                                that fiscal year; and
                                    ``(II) provide a followup report, 
                                not later than 90 days after the end of 
                                the succeeding fiscal year, that 
                                includes--
                                            ``(aa) information 
                                        regarding the continuity of 
                                        employment of the grant 
                                        recipients as child care 
                                        providers with the same 
                                        employer;
                                            ``(bb) with respect to each 
                                        employer that employed such a 
                                        grant recipient, information 
                                        regarding whether such employer 
                                        was accredited by a recognized 
                                        national or State accrediting 
                                        body during the period of 
                                        employment; and
                                            ``(cc) to the extent 
                                        practicable and available to 
                                        the State, information 
                                        regarding the rate and 
                                        frequency of employment 
                                        turnover of qualified child 
                                        care providers throughout such 
                                        area, during the 1-year period 
beginning on the date on which the grant was made by the State under 
subsection (e).
                    ``(D) Child care provider development and retention 
                grant program.--For a State that elects to make grants 
                under subsection (e), the State plan shall describe how 
                the lead agency will determine the amounts of grants to 
                be made under subsection (e) in accordance with the 
                following requirements:
                            ``(i) Sufficient amounts.--The State shall 
                        ensure that the amounts of individual grants to 
                        be made under subsection (e) will be 
                        sufficient--
                                    ``(I) to encourage child care 
                                providers to improve their 
                                qualifications; and
                                    ``(II) to retain qualified child 
                                care providers in the child care field.
                            ``(ii) Amounts to credentialed providers.--
                        In making grants under subsection (e), the 
                        State shall provide funds for tiered 
                        compensation, for child care providers in all 
                        child care settings described in subsection 
                        (a)(1), to provide incentives for the providers 
                        to obtain--
                                    ``(I) a child development associate 
                                credential;
                                    ``(II) an associate of the arts 
                                degree in the area of child development 
                                or early childhood education; or
                                    ``(III) a baccalaureate degree in 
                                the area of child development or early 
                                childhood education.
                            ``(iii) Amounts to full-time providers.--In 
                        making grants under subsection (e), the State 
                        shall make a grant to a child care provider who 
                        works full-time in a greater amount than the 
                        amount of the grant that is made under 
                        subsection (e) to a child care provider who 
                        works part-time, based on the State definitions 
                        of full-time and part-time work.
                    ``(E) Child care provider scholarship program.--For 
                a State that elects to make grants under subsection 
                (f), the State plan--
                            ``(i) shall describe how the lead agency 
                        will make grants in compliance with subsection 
                        (f) and shall specify the types of educational 
                        and training programs for which the scholarship 
                        grants made under such subsection may be used, 
                        including only programs that--
                                    ``(I) are administered by 
                                institutions of higher education that 
                                are eligible to participate in student 
                                financial assistance programs under 
                                title IV of the Higher Education Act of 
                                1965 (20 U.S.C. 1070 et seq.); and
                                    ``(II) lead to a State or 
                                nationally recognized credential in the 
                                area of child development or early 
                                childhood education, an associate of 
                                the arts degree in the area of child 
                                development or early childhood 
                                education, or a baccalaureate degree in 
                                the area of child development or early 
                                childhood education; and
                            ``(ii) shall describe how the lead agency 
                        will encourage employers of child care 
                        providers to contribute to the attainment of 
                        education goals by child care providers who 
                        receive grants under subsection (f).
                    ``(F) Supplementation.--The State plan shall 
                provide assurances that amounts received by the State 
                under this subchapter to carry out this section will be 
                used only to supplement, and not to supplant, Federal, 
                State, and local funds otherwise available to support 
                existing services and activities (as of the date the 
                amounts are used) that encourage child care providers 
                to improve their qualifications and that promote the 
                retention of qualified child care providers in the 
                child care field.
    ``(e) Child Care Provider Development and Retention Grant 
Program.--
            ``(1) In general.--A State that receives funds under this 
        subchapter to carry out this section may expend such funds to 
        make grants to eligible child care providers in accordance with 
        this subsection, to improve the qualifications and promote the 
        retention of qualified child care providers.
            ``(2) Eligibility to receive grants.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), to be eligible to receive a grant 
                under this subsection, a child care provider shall be 
                employed as a child care provider for not less than--
                            ``(i) 1 calendar year, ending on the date 
                        of the application for such grant; or
                            ``(ii) if the provider is employed on the 
                        date of the eligibility determination in a 
                        child care program that operates for less than 
                        a full calendar year, the program equivalent of 
                        1 calendar year, ending on the date of the 
                        application for such grant.
                    ``(B) Education.--Not more than 3 months of 
                education related to child development or to early 
                childhood education obtained during the corresponding 
                calendar year (or the program equivalent) may be 
                treated as employment that satisfies the requirements 
                of subparagraph (A).
            ``(3) Preservation of eligibility.--A State shall not take 
        into consideration whether a child care provider is receiving, 
        may receive, or may be eligible to receive any funds under 
        subsection (f) for purposes of selecting eligible child care 
        providers to receive grants under this subsection.
    ``(f) Child Care Provider Scholarship Program.--
            ``(1) In general.--A State that receives funds under this 
        subchapter to carry out this section may expend such funds to 
        make scholarship grants to eligible child care providers in 
        accordance with this subsection, to improve their educational 
        qualifications to provide child care services.
            ``(2) Eligibility requirement for scholarship grants.--To 
        be eligible to receive a scholarship grant under this 
        subsection, a child care provider shall be employed as a child 
        care provider for not less than--
                    ``(A) 1 calendar year, ending on the date of the 
                application for such grant; or
                    ``(B) if the provider is employed on the date of 
                the eligibility determination in a child care program 
                that operates for less than a full calendar year, the 
                program equivalent of 1 calendar year, ending on the 
                date of the application for such grant.
            ``(3) Selection of grantees.--For purposes of selecting 
        eligible child care providers to receive scholarship grants 
        under this subsection and determining the amounts of such 
        grants, a State shall not--
                    ``(A) take into consideration whether a child care 
                provider is receiving, may receive, or may be eligible 
                to receive any funds under any other provision of this 
section, or under any other Federal or State law that provides funds 
for educational purposes; or
                    ``(B) consider as resources of such provider any 
                funds such provider is receiving, may receive, or may 
                be eligible to receive under any other provision of 
                this section, under any other Federal or State law that 
                provides funds for educational purposes, or from a 
                private entity.
            ``(4) Cost-sharing required.--The amount of a scholarship 
        grant made under this subsection to an eligible child care 
        provider shall be less than the cost of the educational or 
        training program for which such grant is made.
            ``(5) Annual maximum scholarship grant amount.--The maximum 
        aggregate dollar amount of a scholarship grant made by a State 
        to an eligible child care provider under this subsection in a 
        fiscal year shall be $1,500.
    ``(g) Annual Report.--A State that receives funds under this 
subchapter to carry out this section for a fiscal year shall submit to 
the Secretary, not later than 90 days after the end of such fiscal 
year, a report--
            ``(1) specifying the uses for which the State expended such 
        funds, and the aggregate amount of funds (including State 
        funds) expended for each of such uses; and
            ``(2) containing available data relating to grants made 
        under subsection (e) or (f) with funds received under this 
        subchapter for such fiscal year, including--
                    ``(A) the number of child care providers who 
                received such grants;
                    ``(B) the amounts of such grants;
                    ``(C) any other information that describes or 
                evaluates the effectiveness of this section with 
                respect to such grants;
                    ``(D) the particular geographical areas selected 
                under subsection (d) for the purpose of making such 
                grants;
                    ``(E) with respect to grants made under subsection 
                (e)--
                            ``(i) the number of years grant recipients 
                        have been employed as child care providers;
                            ``(ii) the level of training and education 
                        of grant recipients, before and after receiving 
                        the grants;
                            ``(iii) to the extent practicable and 
                        available to the State, detailed information 
                        regarding the salaries and other compensation 
                        received by grant recipients to provide child 
                        care services before, during, and after 
                        receiving the grants;
                            ``(iv) the number of children who received 
                        child care services provided by grant 
                        recipients;
                            ``(v) information on family demographics of 
                        such children;
                            ``(vi) the types of settings described in 
                        subparagraphs (A), (B), and (C) of subsection 
                        (a)(1) in which grant recipients are employed; 
                        and
                            ``(vii) the ages of the children who 
                        received child care services provided by grant 
                        recipients;
                    ``(F) with respect to grants made under subsection 
                (f)--
                            ``(i) the number of years grant recipients 
                        have been employed as child care providers;
                            ``(ii) the level of training and education 
                        of grant recipients, before and after receiving 
                        the grants;
                            ``(iii) to the extent practicable and 
                        available to the State, detailed information 
                        regarding the salaries and other compensation 
                        received by grant recipients to provide child 
                        care services before, during, and after 
                        receiving the grants;
                            ``(iv) the types of settings described in 
                        subparagraphs (A), (B), and (C) of subsection 
                        (a)(1) in which grant recipients are employed;
                            ``(v) the ages of the children who received 
                        child care services provided by grant 
                        recipients;
                            ``(vi) the number of course credits or 
                        credentials obtained by grant recipients; and
                            ``(vii) the amount of time taken for 
                        completion of the training and educational 
                        programs for which such grants were made; and
                    ``(G) such other information as the Secretary may 
                require by rule, with respect to grants made under 
                subsection (e) or (f).
    ``(h) Trigger.--This section takes effect on October 1 of the first 
fiscal year for which the amount made available under section 418 of 
the Social Security Act (42 U.S.C. 618) exceeds 110 percent of the 
amount made available under that section for fiscal year 2002.''.

SEC. 110. ACTIVITIES FOR INFANTS AND TODDLERS.

    The Child Care and Development Block Grant Act of 1990 (42 U.S.C. 
9858 et seq.) is amended by inserting after section 658I (as added in 
section 109) the following:

``SEC. 658J. ACTIVITIES FOR INFANTS AND TODDLERS.

    ``(a) In General.--A State that receives funds to carry out this 
subchapter for a fiscal year shall reserve and use not less than the 
State young child amount for that fiscal year for activities that 
improve and expand child care, including emergency child care, for 
infants and toddlers.
    ``(b) Activities.--The activities described in subsection (a) may 
include--
            ``(1) developing and implementing a health and safety 
        licensing requirements plan for providers of child care for 
        infants and toddlers;
            ``(2) developing specialized training for such providers 
        that emphasizes the unique developmental needs of infants and 
        toddlers;
            ``(3) creating a statewide network of specialists on 
        infants and toddlers, to provide training and consultations for 
        such providers who are--
                    ``(A) center-based child care providers;
                    ``(B) group home child care providers; or
                    ``(C) relatives of the infants and toddlers who are 
                providers described in section 658V(5)(B); or
            ``(4) establishing local networks of support for providers 
        described in paragraph (1) who are family child care providers.
    ``(c) Definitions.--In this section:
            ``(1) Infants and toddlers.--The term `infants and 
        toddlers' means children from birth through age 3.
            ``(2) State young child amount.--The term `State young 
        child amount', used with respect to a fiscal year, means the 
        product of--
                    ``(A) the overall young child amount for that 
                fiscal year; and
                    ``(B) the State percentage for that fiscal year.
            ``(3) Overall young child amount.--The term `overall young 
        child amount', used with respect to--
                    ``(A) fiscal year 2003, means $100,000,000;
                    ``(B) fiscal year 2004, means $125,000,000;
                    ``(C) fiscal year 2005, means $150,000,000;
                    ``(D) fiscal year 2006, means $175,000,000; and
                    ``(E) fiscal year 2007, means $200,000,000.
            ``(4) State percentage.--The term `State percentage', used 
        with respect to a fiscal year, means the percentage received by 
        the State of the funds allotted to States under section 658O 
        for that fiscal year.''.

SEC. 111. TECHNICAL AND FINANCIAL ASSISTANCE GRANTS.

    The Child Care and Development Block Grant Act of 1990 (42 U.S.C. 
9858 et seq.) is amended by inserting after section 658J (as added in 
section 110) the following:

``SEC. 658K. TECHNICAL AND FINANCIAL ASSISTANCE GRANTS.

    ``(a) Definitions.--In this section:
            ``(1) Child care facility.--The term `child care facility' 
        means a center-based or home-based child care facility.
            ``(2) Eligible intermediary.--The term `eligible 
        intermediary' means a private, nonprofit intermediary 
        organization that has demonstrated experience in--
                    ``(A) providing technical or financial assistance 
                for the construction and renovation of physical 
                facilities;
                    ``(B) providing technical or financial assistance 
                to child care providers; and
                    ``(C) securing private sources for capital 
                financing of child care or low-income community 
                development.
            ``(3) Eligible recipient.--The term `eligible recipient' 
        means--
                    ``(A) any existing or new center-based or home-
                based child care provider that provides services to 
                eligible children under a program carried out under 
                this subchapter, or another program serving low-income 
                children as determined by the Secretary; and
                    ``(B) any organization in the process of 
                establishing a center-based or home-based child care 
                program or otherwise seeking to provide child care 
                services to children described in subparagraph (A).
    ``(b) Grant Authority.--
            ``(1) Reservation.--Of the funds appropriated to carry out 
        this subchapter for a fiscal year, the Secretary shall reserve 
        $50,000,000 to carry out this section.
            ``(2) Award of grants.--The Secretary may award grants on a 
        competitive basis in accordance with this section to eligible 
        intermediaries to assist the intermediaries in carrying out the 
        activities described in subsection (e).
    ``(c) Applications.--To be eligible to receive a grant under this 
section an eligible intermediary shall submit to the Secretary an 
application, in such form and containing such information as the 
Secretary may require.
    ``(d) Priority.--
            ``(1) In general.--In awarding grants under this section 
        the Secretary shall give priority to applicants under 
        subsection (c) that propose to assist eligible recipients that 
        serve low-income areas, such as--
                    ``(A) a community that--
                            ``(i) is in a metropolitan area; and
                            ``(ii) has a median household income that 
                        is not more than 80 percent of the median 
                        household income of the metropolitan area; or
                    ``(B) a community that--
                            ``(i) is not in a metropolitan area; and
                            ``(ii) has a median income that is not more 
                        than 80 percent of the median household income 
                        of the State in which the community is located.
            ``(2) Definition.--In this subsection, the term 
        `metropolitan area' has the meaning given the term in section 
        102 of the Housing and Community Development Act of 1974 (42 
        U.S.C. 5302).
    ``(e) Use of Funds.--
            ``(1) Revolving fund.--Each eligible intermediary that 
        receives a grant under this section shall deposit the grant 
        amount into a child care revolving fund established by the 
        eligible intermediary.
            ``(2) Payments from fund.--Subject to subsection (f), from 
        amounts deposited into the revolving fund under paragraph (1), 
        each eligible intermediary shall provide technical and 
        financial assistance (in the form of loans, grants, 
        investments, guarantees, interest subsidies, and other 
        appropriate forms of assistance) to eligible recipients to pay 
        for the Federal share of the cost of the acquisition, 
        construction, or improvement of child care facilities or 
        equipment, or for the improvement of related management and 
        business practices, for each such recipient. The amounts may be 
        used solely for the purpose of providing technical or financial 
        assistance.
            ``(3) Loan repayments and investment proceeds.--Any amount 
        received by an eligible intermediary from an eligible recipient 
        in the form of a loan repayment or investment proceeds shall be 
        deposited into the child care revolving fund of the eligible 
        intermediary for redistribution to other eligible recipients in 
        accordance with this section.
    ``(f) Federal Share.--
            ``(1) In general.--The Federal share of the cost described 
        in subsection (e)(2) shall be not more than 50 percent.
            ``(2) Non-federal share.--The non-Federal share of the cost 
        may be provided in cash or in kind, fairly evaluated, including 
        plant, equipment, or services.''.

SEC. 112. QUALITY CHILD CARE, DEVELOPMENT, AND EDUCATION INCENTIVE 
              GRANTS.

    The Child Care and Development Block Grant Act of 1990 (42 U.S.C. 
9858 et seq.) is amended by inserting after section 658K (as added in 
section 111) the following:

``SEC. 658L. QUALITY CHILD CARE, DEVELOPMENT, AND EDUCATION INCENTIVE 
              GRANTS.

    ``(a) Grant Authority.--
            ``(1) Reservation.--Of the funds appropriated to carry out 
        this subchapter for a fiscal year, the Secretary shall reserve 
        $100,000,000 to carry out this section.
            ``(2) Use of funds.--Of the funds reserved under paragraph 
        (1) for a fiscal year, the Secretary shall use--
                    ``(A) not less than $50,000,000 to carry out 
                subsection (b); and
                    ``(B) any remainder to carry out subsection (c).
    ``(b) Incentive Grants.--
            ``(1) Award of grants.--The Secretary may award grants on a 
        competitive basis in accordance with this subsection to 
        eligible States to assist the States to promote quality child 
        development and education.
            ``(2) Applications.--To be eligible to receive a grant 
        under this subsection, a State shall submit an application to 
        the Secretary at such time, in such manner, and containing such 
        information as the Secretary may require, including--
                    ``(A) information describing the results of a State 
                needs assessment concerning gaps and assets in the 
                State relating to child development and education;
                    ``(B) information describing indicators of school 
                readiness (including indicators of child and family 
                wellbeing) established by the State, such as indicators 
                relating to--
                            ``(i) child development and education, 
                        including social, emotional, physical, and 
                        cognitive development; and
                            ``(ii) nutrition, health, and mental 
                        health;
                    ``(C) a certification that the State developed the 
                indicators of school readiness with the State 
                educational agency and the organizations and 
                individuals described in section 658D(b)(2);
                    ``(D) information describing how the State will 
                enhance and improve, and use the indicators of school 
                readiness to enhance and improve, the level of school 
                readiness for all children in the State, with 
                particular attention to the readiness of children from 
                low-income families, children who are limited English 
                proficient, and children with special needs;
                    ``(E) information describing how the State will 
                ensure continuity of learning, and use the indicators 
                of school readiness to ensure continuity of learning, 
                by children from preschool to kindergarten to 
                elementary school;
                    ``(F) information describing how the State will 
                promote activities that support children's preliteracy 
                and oral language development;
                    ``(G) information describing how the State will 
                improve child care program licensing standards, 
                including standards for teacher qualifications and 
                health and safety standards; and
                    ``(H) information describing how the State will 
                work with institutions of higher education and other 
                entities to ensure that professional development for 
                child care providers is aligned with the indicators of 
                school readiness described in subparagraph (B).
    ``(c) Grants for Demonstration Programs Based on a Military 
Model.--
            ``(1) Award of grants.--The Secretary may award grants on a 
        competitive basis in accordance with this subsection to 
        eligible communities to assist the communities to establish and 
        carry out demonstration programs that promote quality child 
        care.
            ``(2) Use of funds.--A community that receives a grant 
        under paragraph (1) shall use the funds made available through 
        the grant to establish and carry out a demonstration program in 
        which a local agency--
                    ``(A) establishes a single point of entry system 
                for child care, based on a military model, through 
                which the agency--
                            ``(i) establishes links with child care 
                        centers, family child care homes, providers of 
                        after-school programs, and other child care 
                        providers; and
                            ``(ii) provides parents with a single 
                        location to find licensed, regulated, or 
                        registered child care in the community;
                    ``(B) establishes a community-wide training and 
                professional development program that is linked to 
                compensation and recognition for child care providers, 
                including family child care providers, whose services 
                are available through the system;
                    ``(C) provides financial incentives and other 
                support for child care providers described in 
                subparagraph (B) to achieve accreditation by a national 
                organization; and
                    ``(D) provides information to parents on the cost 
                and quality of the various child care providers 
                described in subparagraph (B).
            ``(3) Applications.--To be eligible to receive a grant 
        under this subsection, a community shall submit an application 
        to the Secretary at such time, in such manner, and containing 
        such information as the Secretary may require.''.

SEC. 113. CONFORMING AMENDMENTS.

    (a) Treatment of Reservation.--Section 658O of the Child Care and 
Development Block Grant Act of 1990 (42 U.S.C. 9858m) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by inserting ``(other than 
                the portions reserved under sections 658I(c), 658K, and 
                658L)'' after ``subchapter''; and
                    (B) in paragraph (2), by inserting ``(other than 
                the portions reserved under sections 658I(c), 658K, and 
                658L)'' after ``658B''; and
            (2) in subsection (b)(1), in the matter preceding 
        subparagraph (A), by striking ``subsection (a)'' and inserting 
        ``subsection (a) or section 658I(c), 658K, or 658L''.
    (b) Reference.--Section 658U (as redesignated in section 109(a)(4)) 
is amended, in the first sentence, by striking ``section 658K'' and 
inserting ``section 658T''.

SEC. 114. ANNUAL REPORTS.

    Section 658U(a)(2) of the Child Care and Development Block Grant 
Act of 1990 (as redesignated in section 109(a)(4)) is amended--
            (1) in subparagraph (D), by striking ``; and'' and 
        inserting a semicolon;
            (2) in subparagraph (E), by striking the semicolon and 
        inserting ``; and''; and
            (3) by inserting after subparagraph (E) the following:
                    ``(F) the manner in which the materials described 
                in section 658E(c)(2)(N) were disseminated to providers 
                of child care services, and the number of the providers 
                to whom the materials were disseminated;''.

SEC. 115. DEFINITIONS.

    Paragraph (4) of section 658V of the Child Care and Development 
Block Grant Act of 1990 (42 U.S.C. 9858n) (as redesignated in section 
109(a)(1)) is amended--
            (1) by striking subparagraph (A) and inserting the 
        following:
                    ``(A)(i) who is less than 13 years of age; or
                    ``(ii) who is 13, if the individual was receiving 
                assistance under this subchapter on the individual's 
                13th birthday, the birthday occurred during a school 
                year, and the school year has not ended;''; and
            (2) in subparagraph (C)--
                    (A) in clause (i), by striking ``or'' at the end;
                    (B) in clause (ii), by striking the period and 
                inserting ``; or''; and
                    (C) by adding at the end the following:
                            ``(iii) is a foster child.''.

           TITLE II--CHILD CARE CENTERS IN FEDERAL FACILITIES

SEC. 201. SHORT TITLE.

    This title may be cited as the ``Federal Employees Child Care 
Act''.

SEC. 202. DEFINITIONS.

    In this title:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of General Services.
            (2) Child care accreditation entity.--The term ``child care 
        accreditation entity'' means a nonprofit private organization 
        or public agency that--
                    (A) is recognized by a State agency or by a 
                national organization that serves as a peer review 
                panel on the standards and procedures of public and 
                private child care or school accrediting bodies; and
                    (B) accredits a facility to provide child care on 
                the basis of--
                            (i) an accreditation or credentialing 
                        instrument based on peer-validated research;
                            (ii) compliance with applicable State or 
                        local licensing requirements, as appropriate, 
                        for the facility;
                            (iii) outside monitoring of the facility; 
                        and
                            (iv) criteria that provide assurances of--
                                    (I) use of developmentally 
                                appropriate health and safety standards 
                                at the facility;
                                    (II) use of developmentally 
                                appropriate educational activities, as 
                                an integral part of the child care 
                                program carried out at the facility; 
                                and
                                    (III) use of ongoing staff 
                                development or training activities for 
                                the staff of the facility, including 
                                related skills-based testing.
            (3) Entity sponsoring a child care facility.--The term 
        ``entity sponsoring'', used with respect to a child care 
        facility, means a Federal agency that operates, or an entity 
        that enters into a contract or licensing agreement with a 
        Federal agency to operate, a child care facility primarily for 
        the use of Federal employees.
            (4) Executive agency.--The term ``Executive agency'' has 
        the meaning given the term in section 105 of title 5, United 
        States Code, except that the term--
                    (A) does not include the Department of Defense and 
                the Coast Guard; and
                    (B) includes the General Services Administration, 
                with respect to the administration of a facility 
                described in paragraph (5)(B).
            (5) Executive facility.--The term ``executive facility''--
                    (A) means a facility that is owned or leased by an 
                Executive agency; and
                    (B) includes a facility that is owned or leased by 
                the General Services Administration on behalf of a 
                judicial office.
            (6) Federal agency.--The term ``Federal agency'' means an 
        Executive agency, a legislative office, or a judicial office.
            (7) Judicial facility.--The term ``judicial facility'' 
        means a facility that is owned or leased by a judicial office 
        (other than a facility that is also a facility described in 
        paragraph (5)(B)).
            (8) Judicial office.--The term ``judicial office'' means an 
        entity of the judicial branch of the Federal Government.
            (9) Legislative facility.--The term ``legislative 
        facility'' means a facility that is owned or leased by a 
        legislative office.
            (10) Legislative office.--The term ``legislative office'' 
        means an entity of the legislative branch of the Federal 
        Government.
            (11) State.--The term ``State'' has the meaning given the 
        term in section 658P of the Child Care and Development Block 
        Grant Act of 1990 (42 U.S.C. 9858n).

SEC. 203. PROVIDING QUALITY CHILD CARE IN FEDERAL FACILITIES.

    (a) Executive Facilities.--
            (1) State and local licensing requirements.--
                    (A) In general.--Any entity sponsoring a child care 
                facility in an executive facility shall--
                            (i) comply with child care standards 
                        described in paragraph (2) that are no less 
                        stringent than applicable State or local 
                        licensing requirements that are related to the 
                        provision of child care in the State or 
                        locality involved; or
                            (ii) obtain the applicable State or local 
                        licenses, as appropriate, for the facility.
                    (B) Compliance.--Not later than 6 months after the 
                date of enactment of this Act--
                            (i) the entity shall comply, or make 
                        substantial progress (as determined by the 
                        Administrator) toward complying, with 
                        subparagraph (A); and
                            (ii) any contract or licensing agreement 
                        used by an Executive agency for the provision 
                        of child care services in the child care 
facility shall include a condition that the child care be provided by 
an entity that complies with the standards described in subparagraph 
(A)(i) or obtains the licenses described in subparagraph (A)(ii).
            (2) Health, safety, and facility standards.--The 
        Administrator shall by regulation establish standards relating 
        to health, safety, facilities, facility design, and other 
        aspects of child care that the Administrator determines to be 
        appropriate for child care in executive facilities, and require 
        child care facilities, and entities sponsoring child care 
        facilities, in executive facilities to comply with the 
        standards. The standards shall include requirements that child 
        care facilities be inspected for, and be free of, lead hazards.
            (3) Accreditation standards.--
                    (A) In general.--The Administrator shall issue 
                regulations requiring, to the maximum extent possible, 
                any entity sponsoring an eligible child care facility 
                (as defined by the Administrator) in an executive 
                facility to comply with standards of a child care 
                accreditation entity.
                    (B) Compliance.--The regulations shall require 
                that, not later than 3 years after the date of 
                enactment of this Act--
                            (i) the entity shall comply, or make 
                        substantial progress (as determined by the 
                        Administrator) toward complying, with the 
                        standards; and
                            (ii) any contract or licensing agreement 
                        used by an Executive agency for the provision 
                        of child care services in the child care 
                        facility shall include a condition that the 
                        child care be provided by an entity that 
                        complies with the standards.
            (4) Evaluation and compliance.--
                    (A) In general.--The Administrator shall evaluate 
                the compliance, with the requirements of paragraph (1) 
                and the regulations issued pursuant to paragraphs (2) 
                and (3), as appropriate, of child care facilities, and 
                entities sponsoring child care facilities, in executive 
                facilities. The Administrator may conduct the 
                evaluation of such a child care facility or entity 
                directly, or through an agreement with another Federal 
                agency or private entity, other than the Federal agency 
                for which the child care facility is providing 
services. If the Administrator determines, on the basis of such an 
evaluation, that the child care facility or entity is not in compliance 
with the requirements, the Administrator shall notify the Executive 
agency.
                    (B) Effect of noncompliance.--On receipt of the 
                notification of noncompliance issued by the 
                Administrator, the head of the Executive agency shall--
                            (i) if the entity operating the child care 
                        facility is the agency--
                                    (I) not later than 2 business days 
                                after the date of receipt of the 
                                notification, correct any deficiencies 
                                that are determined by the 
                                Administrator to be life threatening or 
                                to present a risk of serious bodily 
                                harm;
                                    (II) not later than 4 months after 
                                the date of receipt of the 
                                notification, develop and provide to 
                                the Administrator a plan to correct any 
                                other deficiencies in the operation of 
                                the facility and bring the facility and 
                                entity into compliance with the 
                                requirements;
                                    (III) provide the parents of the 
                                children receiving child care services 
                                at the child care facility and 
                                employees of the facility with a 
                                notification detailing the deficiencies 
                                described in subclauses (I) and (II) 
                                and actions that will be taken to 
                                correct the deficiencies, and post a 
                                copy of the notification in a 
                                conspicuous place in the facility for 5 
                                working days or until the deficiencies 
                                are corrected, whichever is later;
                                    (IV) bring the child care facility 
                                and entity into compliance with the 
                                requirements and certify to the 
                                Administrator that the facility and 
                                entity are in compliance, based on an 
                                onsite evaluation of the facility 
                                conducted by an individual with 
                                expertise in child care health and 
                                safety; and
                                    (V) in the event that deficiencies 
                                determined by the Administrator to be 
                                life threatening or to present a risk 
                                of serious bodily harm cannot be 
                                corrected within 2 business days after 
                                the date of receipt of the 
                                notification, close the child care 
                                facility, or the affected portion of 
                                the facility, until the deficiencies 
                                are corrected and notify the 
                                Administrator of the closure; and
                            (ii) if the entity operating the child care 
                        facility is a contractor or licensee of the 
                        Executive agency--
                                    (I) require the contractor or 
                                licensee, not later than 2 business 
                                days after the date of receipt of the 
                                notification, to correct any 
                                deficiencies that are determined by the 
                                Administrator to be life threatening or 
                                to present a risk of serious bodily 
                                harm;
                                    (II) require the contractor or 
                                licensee, not later than 4 months after 
                                the date of receipt of the 
                                notification, to develop and provide to 
                                the head of the agency a plan to 
                                correct any other deficiencies in the 
                                operation of the child care facility 
                                and bring the facility and entity into 
                                compliance with the requirements;
                                    (III) require the contractor or 
                                licensee to provide the parents of the 
                                children receiving child care services 
                                at the child care facility and 
                                employees of the facility with a 
                                notification detailing the deficiencies 
                                described in subclauses (I) and (II) 
                                and actions that will be taken to 
                                correct the deficiencies, and to post a 
                                copy of the notification in a 
                                conspicuous place in the facility for 5 
                                working days or until the deficiencies 
                                are corrected, whichever is later;
                                    (IV) require the contractor or 
                                licensee to bring the child care 
                                facility and entity into compliance 
                                with the requirements and certify to 
                                the head of the agency that the 
                                facility and entity are in compliance, 
                                based on an onsite evaluation of the 
                                facility conducted by an independent 
                                entity with expertise in child care 
                                health and safety; and
                                    (V) in the event that deficiencies 
                                determined by the Administrator to be 
                                life threatening or to present a risk 
                                of serious bodily harm cannot be 
                                corrected within 2 business days after 
                                the date of receipt of the 
                                notification, close the child care 
                                facility, or the affected portion of 
                                the facility, until the deficiencies 
                                are corrected and notify the 
                                Administrator of the closure, which 
                                closure may be grounds for the 
                                immediate termination or suspension of 
                                the contract or license of the 
                                contractor or licensee.
                    (C) Cost reimbursement.--The Executive agency shall 
                reimburse the Administrator for the costs of carrying 
                out subparagraph (A) for child care facilities located 
                in an executive facility other than an executive 
                facility of the General Services Administration. If an 
                entity is sponsoring a child care facility for 2 or 
                more Executive agencies, the Administrator shall 
                allocate the reimbursement costs with respect to the 
                entity among the agencies in a fair and equitable 
                manner, based on the extent to which each agency is 
                eligible to place children in the facility.
            (5) Disclosure of prior violations to parents and facility 
        employees.--
                    (A) In general.--The Administrator shall issue 
                regulations that require that each entity sponsoring a 
                child care facility in an executive facility, upon 
                receipt by the child care facility or the entity (as 
                applicable) of a request by any individual who is--
                            (i) a parent of any child enrolled at the 
                        facility;
                            (ii) a parent of a child for whom an 
                        application has been submitted to enroll at the 
                        facility; or
                            (iii) an employee of the facility;
                shall provide to the individual the copies and 
                description described in subparagraph (B).
                    (B) Copies and description.--The entity shall 
                provide--
                            (i) copies of all notifications of 
                        deficiencies that have been provided in the 
                        past with respect to the facility under clause 
                        (i)(III) or (ii)(III), as applicable, of 
                        paragraph (4)(B); and
                            (ii) a description of the actions that were 
                        taken to correct the deficiencies.
    (b) Legislative Facilities.--
            (1) Accreditation.--The Chief Administrative Officer of the 
        House of Representatives, the Librarian of Congress, and the 
        head of a designated entity in the Senate shall ensure that, 
        not later than 1 year after the date of enactment of this Act, 
        the corresponding child care facility obtains accreditation by 
        a child care accreditation entity, in accordance with the 
        accreditation standards of the entity.
            (2) Regulations.--
                    (A) In general.--If the corresponding child care 
                facility does not maintain accreditation status with a 
                child care accreditation entity, the Chief 
                Administrative Officer of the House of Representatives, 
                the Librarian of Congress, or the head of the 
                designated entity in the Senate shall issue regulations 
                governing the operation of the corresponding child care 
                facility, to ensure the safety and quality of care of 
                children placed in the facility. The regulations shall 
                be no less stringent in content and effect than the 
                requirements of subsection (a)(1) and the regulations 
                issued by the Administrator under paragraphs (2) and 
                (3) of subsection (a), except to the extent that 
                appropriate administrative officers make the 
                determination described in subparagraph (B).
                    (B) Modification more effective.--The determination 
                referred to in subparagraph (A) is a determination, for 
                good cause shown and stated together with the 
                regulations, that a modification of the regulations 
                would be more effective for the implementation of the 
                requirements and standards described in subsection (a) 
                for the corresponding child care facilities, and 
                entities sponsoring the corresponding child care 
                facilities, in legislative facilities.
            (3) Corresponding child care facility.--In this subsection, 
        the term ``corresponding child care facility'', used with 
        respect to the Chief Administrative Officer, the Librarian, or 
        the head of a designated entity described in paragraph (1), 
        means a child care facility operated by, or under a contract or 
        licensing agreement with, an office of the House of 
        Representatives, the Library of Congress, or an office of the 
        Senate, respectively.
    (c) Judicial Branch Standards and Compliance.--
            (1) State and local licensing requirements health, safety, 
        and facility standards, and accreditation standards.--The 
        Director of the Administrative Office of the United States 
        Courts shall issue regulations for child care facilities, and 
        entities sponsoring child care facilities, in judicial 
        facilities, which shall be no less stringent in content and 
        effect than the requirements of subsection (a)(1) and the 
        regulations issued by the Administrator under paragraphs (2) 
        and (3) of subsection (a), except to the extent that the 
        Director may determine, for good cause shown and stated 
        together with the regulations, that a modification of such 
        regulations would be more effective for the implementation of 
        the requirements and standards described in paragraphs (1), 
        (2), and (3) of subsection (a) for child care facilities, and 
        entities sponsoring child care facilities, in judicial 
        facilities.
            (2) Evaluation and compliance.--
                    (A) Director of the administrative office of the 
                united states courts.--The Director of the 
                Administrative Office of the United States Courts shall 
                have the same authorities and duties with respect to 
                the evaluation of, compliance of, and cost 
                reimbursement for child care facilities, and entities 
                sponsoring child care facilities, in judicial 
                facilities as the Administrator has under subsection 
                (a)(4) with respect to the evaluation of, compliance 
                of, and cost reimbursement for such centers and 
                entities sponsoring such centers, in executive 
                facilities.
                    (B) Head of a judicial office.--The head of a 
                judicial office shall have the same authorities and 
                duties with respect to the compliance of and cost 
                reimbursement for child care facilities, and entities 
                sponsoring child care facilities, in judicial 
                facilities as the head of an Executive agency has under 
                subsection (a)(4) with respect to the compliance of and 
                cost reimbursement for such centers and entities 
                sponsoring such centers, in executive facilities.
    (d) Application.--Notwithstanding any other provision of this 
section, if 8 or more child care facilities are sponsored in facilities 
owned or leased by an Executive agency, the Administrator shall 
delegate to the head of the agency the evaluation and compliance 
responsibilities assigned to the Administrator under subsection 
(a)(4)(A).
    (e) Technical Assistance, Studies, and Reviews.--The Administrator 
may provide technical assistance, and conduct and provide the results 
of studies and reviews, for Executive agencies, and entities sponsoring 
child care facilities in executive facilities, on a reimbursable basis, 
in order to assist the entities in complying with this section. The 
Chief Administrative Officer of the House of Representatives, the 
Librarian of Congress, the head of the designated Senate entity 
described in subsection (b), and the Director of the Administrative 
Office of the United States Courts, may provide technical assistance, 
and conduct and provide the results of studies and reviews, or request 
that the Administrator provide technical assistance, and conduct and 
provide the results of studies and reviews, for legislative offices and 
judicial offices, as appropriate, and entities operating child care 
facilities in legislative facilities or judicial facilities, as 
appropriate, on a reimbursable basis, in order to assist the entities 
in complying with this section.
    (f) Interagency Council.--
            (1) Composition.--The Administrator shall establish an 
        interagency council, comprised of--
                    (A) representatives of all Executive agencies 
                described in subsection (d) and other Executive 
                agencies at the election of the heads of the agencies;
                    (B) a representative of the Chief Administrative 
                Officer of the House of Representatives, at the 
election of the Chief Administrative Officer;
                    (C) a representative of the head of the designated 
                Senate entity described in subsection (b), at the 
                election of the head of the entity;
                    (D) a representative of the Librarian of Congress, 
                at the election of the Librarian; and
                    (E) a representative of the Director of the 
                Administrative Office of the United States Courts, at 
                the election of the Director.
            (2) Functions.--The council shall facilitate cooperation 
        and sharing of best practices, and develop and coordinate 
        policy, regarding the provision of child care, including the 
        provision of areas for nursing mothers and other lactation 
        support facilities and services, in the Federal Government.
    (g) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $900,000 for fiscal year 2003 
and such sums as may be necessary for each subsequent fiscal year.

SEC. 204. ENHANCING SECURITY AT CHILD CARE CENTERS IN FEDERAL 
              FACILITIES.

    (a) Coverage.--
            (1) Executive branch.--The Administrator shall issue the 
        regulations described in subsection (b) for child care 
facilities, and entities sponsoring child care facilities, in Executive 
facilities.
            (2) Legislative branch.--The Chief Administrative Officer 
        of the House of Representatives, the Librarian of Congress, and 
        the head of a designated entity in the Senate shall issue the 
        regulations described in subsection (b) for corresponding child 
        care facilities (as defined in section 203(b)(3)), and entities 
        sponsoring the corresponding child care facilities, in 
        legislative facilities.
            (3) Judicial branch.--The Director of the Administrative 
        Office of the United States Courts shall issue the regulations 
        described in subsection (b) for child care facilities, and 
        entities sponsoring child care facilities, in judicial 
        facilities.
    (b) Regulations.--The officers and designated entity described in 
subsection (a) shall issue, in addition to any other regulations 
required to be issued under this title, regulations that concern--
            (1) matters relating to an occupant emergency plan and 
        evacuations, such as--
                    (A) providing for building security committee 
                membership for each director of a child care facility 
                described in subsection (a);
                    (B) establishing a separate section in an occupant 
                emergency plan for each such facility;
                    (C) promoting familiarity with procedures and 
                evacuation routes for different types of emergencies 
                (such as emergencies caused by hazardous materials, a 
                fire, a bomb threat, a power failure, or a natural 
                disaster);
                    (D) strengthening on-site relationships between 
                security personnel and the personnel of such a 
                facility, such as by ensuring that the post orders of 
                guards reflect responsibility for the facility;
                    (E) providing specific, clear, and concise 
                evacuation instructions for a facility, including 
                instructions specifying who authorizes an evacuation;
                    (F) providing for good evacuation equipment, 
                especially cribs; and
                    (G) promoting the ability to evacuate without 
                outside assistance;
            (2) matters relating to relocation sites, such as--
                    (A) promoting an informed parent body that is 
                knowledgeable about evacuation procedures and 
                relocation sites;
                    (B) providing regularly updated parent contact 
                information (regarding matters such as names, 
                locations, e-mail addresses, and cell phone and other 
                telephone numbers);
                    (C) establishing remote telephone contact for 
                parents, to and from areas that are not less than 10 
                miles from such a facility; and
                    (D) providing for an alternate site (in addition to 
                regular sites) in the event of a catastrophe, which 
                site may include--
                            (i) a site that would be an unreasonable 
                        distance from the facility under normal 
                        circumstances; and
                            (ii) a facility with 24-hour operations, 
                        such as a hotel or law school library; and
            (3) other important concerns, such as--
                    (A) providing for background checks for all 
                employees of such a facility;
                    (B) addressing shoeless environments, including 
                providing shoe covers or special infant room shoes for 
                caregivers that are worn outside only in emergencies;
                    (C) ensuring that children sleep in shoes or in 
                slipper socks;
                    (D) requiring a director of such a facility to 
                improve management controls, including improving the 
                controls by removing pictures on vision panels, 
                controlling access to the facility, and practicing 
                safety and other procedures; and
                    (E) requiring child care providers to consult with 
                the Administrator prior to closing such a facility.

SEC. 205. FEDERAL CHILD CARE EVALUATION.

    (a) In General.--Not later than 1 year after the date of enactment 
of this Act, the Administrator and the Director of the Office of 
Personnel Management shall jointly prepare and submit to Congress a 
report that evaluates child care provided by entities sponsoring child 
care facilities in executive facilities, legislative facilities, or 
judicial facilities.
    (b) Contents.--The evaluation shall contain, at a minimum--
            (1) information on the number of children receiving child 
        care described in subsection (a), analyzed by age, including 
        information on the number of those children who are age 6 
        through 12;
            (2) information on the number of families not using child 
        care described in subsection (a) because of the cost of the 
        child care; and
            (3) recommendations for improving the quality and cost-
        effectiveness of child care described in subsection (a), 
        including recommendations of options for creating an optimal 
        organizational structure and using best practices for the 
        delivery of the child care.

SEC. 206. MISCELLANEOUS PROVISIONS RELATING TO CHILD CARE PROVIDED BY 
              FEDERAL AGENCIES.

    (a) Availability of Federal Child Care Centers for Onsite 
Contractors; Percentage Goal.--Section 616 of the Act of December 22, 
1987 (40 U.S.C. 490b) is amended--
            (1) in subsection (a)--
                    (A) by striking ``officer or agency of the United 
                States'' and inserting ``Federal agency or officer of a 
                Federal agency''; and
                    (B) by striking paragraphs (2) and (3) and 
                inserting the following:
            ``(2) the officer or agency determines that the space will 
        be used to provide child care and related services to--
                    ``(A) children of Federal employees or onsite 
                Federal contractors; or
                    ``(B) dependent children who live with Federal 
                employees or onsite Federal contractors; and
            ``(3) the officer or agency determines that the individual 
        or entity will give priority for available child care and 
        related services in the space to Federal employees and onsite 
        Federal contractors.''; and
            (2) by adding at the end the following:
    ``(f)(1)(A) The Administrator of General Services shall confirm 
that at least 50 percent of aggregate enrollment in Federal child care 
centers governmentwide are children of Federal employees or onsite 
Federal contractors, or dependent children who live with Federal 
employees or onsite Federal contractors.
    ``(B) Each provider of child care services at an individual Federal 
child care center shall maintain 50 percent of the enrollment at the 
center of children described under subparagraph (A) as a goal for 
enrollment at the center.
    ``(C)(i) If enrollment at a center does not meet the percentage 
goal under subparagraph (B), the provider shall develop and implement a 
business plan with the sponsoring Federal agency to achieve the goal 
within a reasonable timeframe.
    ``(ii) The plan shall be approved by the Administrator of General 
Services based on--
            ``(I) compliance of the plan with standards established by 
        the Administrator; and
            ``(II) the effect of the plan on achieving the aggregate 
        Federal enrollment percentage goal.
    ``(2) The Administrator of General Services may enter into public-
private partnerships or contracts with nongovernmental entities to 
increase the capacity, quality, affordability, or range of child care 
and related services and may, on a demonstration basis, waive 
subsection (a)(3) and paragraph (1) of this subsection.''.
    (b) Payment of Costs of Training Programs.--Section 616(b)(3) of 
such Act (40 U.S.C. 490b(b)(3)) is amended to read as follows:
    ``(3) If a Federal agency has a child care facility in a Federal 
space, or is a sponsoring agency for a child care facility in a Federal 
space, the agency or the General Services Administration may pay 
accreditation fees, including renewal fees, for that center to be 
accredited. Any Federal agency that provides or proposes to provide 
child care services for children referred to in subsection (a)(2), may 
reimburse any Federal employee or any person employed to provide the 
services for the costs of training programs, conferences, and meetings 
and related travel, transportation, and subsistence expenses incurred 
in connection with those activities. Any per diem allowance made under 
this section shall not exceed the rate specified in regulations 
prescribed under section 5707 of title 5, United States Code.''.
    (c) Technical and Conforming Amendments.--Section 616(c) of such 
Act (40 U.S.C. 490b(c)) is amended--
            (1) by inserting ``Federal'' before ``child care centers''; 
        and
            (2) by striking ``Federal workers'' and inserting ``Federal 
        employees''.
    (d) Provision of Child Care by Private Entities.--Section 616(d) of 
such Act (40 U.S.C. 490b(d)) is amended to read as follows:
    ``(d)(1) If a Federal agency has a child care facility in a Federal 
space, or is a sponsoring agency for a child care facility in a Federal 
space, the agency, the child care center board of directors, or the 
General Services Administration may enter into an agreement with 1 or 
more private entities under which the private entities would assist in 
defraying the general operating expenses of the child care providers 
including salaries and tuition assistance programs at the facility.
    ``(2)(A) Notwithstanding any other provision of law, if a Federal 
agency does not have a child care program, or if the Administrator of 
General Services has identified a need for child care for Federal 
employees at a Federal agency providing child care services that do not 
meet the requirements of subsection (a), the agency or the 
Administrator may enter into an agreement with a non-Federal, licensed, 
and accredited child care facility, or a planned child care facility 
that will become licensed and accredited, for the provision of child 
care services for children of Federal employees.
    ``(B) Before entering into an agreement, the head of the Federal 
agency shall determine that child care services to be provided through 
the agreement are more cost-effectively provided through the 
arrangement than through establishment of a Federal child care 
facility.
    ``(C) The Federal agency may provide any of the services described 
in subsection (b)(3) if, in exchange for the services, the facility 
reserves child care spaces for children referred to in subsection 
(a)(2), as agreed to by the parties. The cost of any such services 
provided by a Federal agency to a Federal child care facility on behalf 
of another Federal agency shall be reimbursed by the receiving agency.
    ``(3) This subsection does not apply to residential child care 
programs.''.
    (e) Pilot Projects.--Section 616 of such Act (40 U.S.C. 490b) is 
further amended by adding at the end the following:
    ``(g)(1) Upon approval of the agency head, a Federal agency may 
conduct a pilot project not otherwise authorized by law for no more 
than 2 years to test innovative approaches to providing alternative 
forms of quality child care assistance for Federal employees. A Federal 
agency head may extend a pilot project for an additional 2-year period. 
Before any pilot project may be implemented, a determination shall be 
made by the agency head that initiating the pilot project would be more 
cost-effective than establishing a new Federal child care facility. 
Costs of any pilot project shall be paid solely by the agency 
conducting the pilot project.
    ``(2) The Administrator of General Services shall serve as an 
information clearinghouse for pilot projects initiated by other Federal 
agencies to disseminate information concerning the pilot projects to 
the other Federal agencies.
    ``(3) Within 6 months after completion of the initial 2-year pilot 
project period, a Federal agency conducting a pilot project under this 
subsection shall provide for an evaluation of the impact of the project 
on the delivery of child care services to Federal employees, and shall 
submit the results of the evaluation to the Administrator of General 
Services. The Administrator shall share the results with other Federal 
agencies.''.
    (f) Definitions.--Section 616 of such Act (40 U.S.C. 490b) is 
further amended by adding at the end the following:
    ``(h) In this section:
            ``(1) The term `Federal agency' has the meaning given the 
        term `Executive agency' in section 202 of the Federal Employees 
        Child Care Act.
            ``(2) The terms `Federal building' and `Federal space' have 
        the meanings given the term `executive facility' in such 
        section 202.
            ``(3) The term `Federal child care center' means a child 
        care center in an executive facility, as defined in such 
        section 202.
            ``(4) The terms `Federal contractor' and `Federal employee' 
        mean a contractor and an employee, respectively, of an 
        Executive agency, as defined in such section 202.''.

                    TITLE III--CHILD CARE UNDER TANF

SEC. 301. MANDATORY FUNDING FOR CHILD CARE.

    Section 418(a)(3) of the Social Security Act (42 U.S.C. 618(a)(3)) 
is amended--
            (1) by striking ``and'' at the end of subparagraph (E);
            (2) by striking the period at the end of subparagraph (F) 
        and inserting ``; and''; and
            (3) by adding at the end the following:
                    ``(G) $______ for each of fiscal years 2003 through 
                2007.''.

SEC. 302. RESTORATION OF AUTHORITY TO TRANSFER UP TO 10 PERCENT OF TANF 
              FUNDS TO THE SOCIAL SERVICES BLOCK GRANT.

    (a) Restoration of Authority.--Section 404(d)(2) of the Social 
Security Act (42 U.S.C. 604(d)(2)) is amended to read as follows:
            ``(2) Limitation on amount transferable to title xx 
        programs.--A State may use not more than 10 percent of the 
        amount of any grant made to the State under section 403(a) for 
        a fiscal year to carry out State programs pursuant to title 
        XX.''.
    (b) Sense of the Senate Regarding Retaining Authority To Transfer 
up to 30 Percent of TANF Funds to the Child Care and Development Block 
Grant.--It is the sense of the Senate that any legislation enacted 
during the second session of the 107th Congress that reauthorizes the 
program of block grants to States to provide temporary assistance to 
needy families under part A of title IV of the Social Security Act (42 
U.S.C. 601 et seq.) should retain the authority provided to a State in 
section 404(d) of such Act (42 U.S.C. 604(d)) to transfer up to 30 
percent (10 percent, in the case of a program under title XX of such 
Act) of the amount of any grant made to the State under section 403(a) 
of such Act (42 U.S.C. 603(a)) for a fiscal year to carry out a State 
program pursuant to the Child Care and Development Block Grant Act of 
1990 (42 U.S.C. 9858 et seq.) or title XX of the Social Security Act 
(42 U.S.C. 1397 et seq.).

SEC. 303. CLARIFICATION OF AUTHORITY OF STATES TO USE TANF FUNDS 
              CARRIED OVER FROM PRIOR YEARS TO PROVIDE TANF BENEFITS 
              AND SERVICES AND TO TRANSFER SUCH FUNDS FOR CHILD CARE 
              AND SOCIAL SERVICES.

    Section 404(e) of the Social Security Act (42 U.S.C. 604(e)) is 
amended--
            (1) in the subsection heading, by striking ``Assistance'' 
        and inserting ``Benefits or Services'';
            (2) by striking ``assistance'' and inserting ``any benefit 
        or service that may be provided''; and
            (3) by inserting before the period the following: ``, 
        including the use of such amounts for benefits or services of 
        the type provided for under the provisions described in 
        subsection (d)(1)''.

SEC. 304. CHILD CARE OR OTHER WORK SUPPORT SERVICES NOT CONSIDERED 
              ASSISTANCE.

    Section 408 of the Social Security Act (42 U.S.C. 608) is amended 
by adding at the end the following:
    ``(h) Child Care and Other Work Support Services Not Considered 
Assistance.--Amounts expended under this part for child care or other 
work support services shall not be considered assistance under a State 
program under this part for any purpose.''.

SEC. 305. ASSESSMENT OF CHILD CARE NEEDS AND NEEDS FOR SUPERVISION AND 
              APPROPRIATE ACTIVITIES FOR CHILDREN OF TANF RECIPIENTS.

    (a) Requirement To Include in Assessment.--Section 408(b)(1) of the 
Social Security Act (42 U.S.C. 608(b)(1)) is amended by striking ``and 
employability'' and inserting ``employability, child care needs 
(including the needs for supervision and appropriate activities for any 
child of the recipient)''.
    (b) Inclusion in Contents of Plan.--Section 408(b)(2)(A) of the 
Social Security Act (42 U.S.C. 608(b)(2)(A)) is amended--
            (1) in clause (iv), by striking ``and'' at the end;
            (2) in clause (v), by striking the period and inserting ``; 
        and''; and
            (3) by adding at the end the following:
                            ``(vi) describes the child care needs 
                        (including the needs for supervision and 
                        appropriate activities for any child of the 
                        recipient) and identifies how such needs will 
                        be met.''.

SEC. 306. DATA COLLECTION REGARDING TANF FUNDS SPENT DIRECTLY ON CHILD 
              CARE.

    Section 411(a) of the Social Security Act (42 U.S.C. 611(a)) is 
amended--
            (1) by redesignating paragraph (7) as paragraph (8); and
            (2) by inserting after paragraph (6), the following:
            ``(7) Report on tanf funds expended for child care.--The 
        report required by paragraph (1) for a fiscal quarter shall 
        include the total amount expended by the State during the 
        quarter to provide child care (other than amounts transferred 
        pursuant to section 404(d) to carry out a State program 
        pursuant to the Child Care and Development Block Grant Act of 
        1990), along with a description of how such amount was expended 
        under such Act.''.

SEC. 307. APPLICATION OF CHILD CARE AND DEVELOPMENT BLOCK GRANT HEALTH 
              AND SAFETY STANDARDS TO TANF FUNDS SPENT ON CHILD CARE.

    Section 408 of the Social Security Act (42 U.S.C. 608), as amended 
by section 304, is amended by adding at the end the following:
    ``(i) Application of Child Care and Development Block Grant Health 
and Safety Standards to Funds Spent on Child Care.--A State to which a 
grant is made under section 403 shall ensure that any amounts provided 
under such section that are expended for child care are subject to the 
same health and safety requirements that apply in the State to amounts 
expended to carry out a State program pursuant to the Child Care and 
Development Block Grant Act of 1990, including the health and safety 
requirements referred to in section 658E(c)(2)(F) of such Act (42 
U.S.C. 9858c(c)(2)(F)).

SEC. 308. TRAINING AND COORDINATION OF STAFF TO INCREASE USE OF CHILD 
              CARE ASSISTANCE.

    Section 408 of the Social Security Act (42 U.S.C. 608), as amended 
by section 306, is further amended by adding at the end the following:
    ``(i) Training and Coordination of State To Increase Use of Child 
Care Assistance.--Each State to which a grant is made under section 403 
shall ensure that families of recipients of assistance under the State 
program funded under this part and families of former recipients of 
such assistance who are transitioning from welfare to work have access 
to information about local child care options and subsidies, including 
emergency child care centers, for such families by--
            ``(1) locating staff from the lead agency with 
        responsibility to administer the State plan under the Child 
        Care and Development Block Grant Act of 1990 at local offices 
        responsible for administering the State program funded under 
        this part for the purpose of having such staff work in 
        coordination with staff responsible for administering the State 
        program funded under this part at the local level; or
            ``(2) training staff responsible for administering the 
        State program funded under this part at the local level with 
        regard to the availability of child care assistance and 
        programs (including any local resource and referral services) 
        for such recipients and former recipients of such assistance, 
        and ensuring that such staff inform recipients and former 
        recipients of such assistance of the available child care 
        assistance and programs.''.

SEC. 309. SENSE OF THE SENATE REGARDING RETAINING AUTHORITY TO DEEM 
              CERTAIN SINGLE PARENTS WITH YOUNG CHILDREN AS MEETING THE 
              TANF WORK REQUIREMENT.

    It is the sense of the Senate that any legislation enacted during 
the second session of the 107th Congress that reauthorizes the program 
of block grants to States to provide temporary assistance to needy 
families under part A of title IV of the Social Security Act (42 U.S.C. 
601 et seq.) should retain the authority provided to a State in 
subsections (b)(5) and (c)(2)(B) of section 407 of such Act (42 U.S.C. 
607) to--
            (1) not require an individual who is a single custodial 
        parent caring for a child who has not attained 12 months of age 
        to engage in work, and to disregard such an individual in 
        determining the participation rates under section 407(a) of 
        such Act (42 U.S.C. 607(a)) for not more than 12 months; and
            (2) deem a recipient who is the only parent or caretaker 
        relative in the family of a child who has not attained 6 years 
        of age as being engaged in work for a month if the recipient is 
        engaged in work for an average of at least 20 hours per week 
        during the month.

SEC. 310. SENSE OF THE SENATE REGARDING RETAINING PROHIBITION AND 
              PENALTY FOR STATE SANCTION OF SINGLE PARENTS WITH YOUNG 
              CHILDREN WHO ARE UNABLE TO FIND OR AFFORD CHILD CARE.

    (a) Sense of the Senate Regarding Retention of Prohibition Against 
Sanction.--It is the sense of the Senate that any legislation enacted 
during the second session of the 107th Congress that reauthorizes the 
program of block grants to States to provide temporary assistance to 
needy families under part A of title IV of the Social Security Act (42 
U.S.C. 601 et seq.) should retain the prohibition on a State under 
section 407(e)(2) of such Act (42 U.S.C. 607(e)(2)) from reducing or 
terminating assistance under that State program based on a refusal of 
an individual to engage in work if the individual is a single custodial 
parent caring for a child who has not attained 6 years of age, and the 
individual proves that the individual has a demonstrated inability (as 
determined by the State) to obtain needed child care, for 1 or more of 
the following reasons:
            (1) Unavailability of appropriate child care within a 
        reasonable distance from the individual's home or work site.
            (2) Unavailability or unsuitability of informal child care 
        by a relative or under other arrangements.
            (3) Unavailability of appropriate and affordable formal 
        child care arrangements.
    (b) Sense of the Senate Regarding Retention of Penalty.--It is the 
sense of the Senate that any legislation enacted during the second 
session of the 107th Congress that reauthorizes the program of block 
grants to States to provide temporary assistance to needy families 
under part A of title IV of the Social Security Act (42 U.S.C. 601 et 
seq.) should retain the penalty under section 409(a)(11) of such Act 
(42 U.S.C. 611(a)(11)) for violating section 407(e)(2) of such Act (42 
U.S.C. 607(e)(2)) that permits the Secretary of Health and Human 
Services to reduce the State family assistance grant payable to a State 
under section 403(a)(1) of such Act (42 U.S.C. 603(a)(1)) for the 
immediately succeeding fiscal year by an amount equal to not more than 
5 percent of such grant.

SEC. 311. EFFECTIVE DATE.

    The amendments made by this title take effect on October 1, 2002.
                                 <all>