[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3576 Introduced in House (IH)]







109th CONGRESS
  1st Session
                                H. R. 3576

 To improve outcomes for vulnerable children by investing in families, 
improving accountability in the child welfare system, and finding safe, 
            stable, and permanent homes for foster children.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 28, 2005

     Mr. McDermott (for himself, Mr. Rangel, Mr. George Miller of 
 California, Mr. Cardin, Mr. Stark, Mr. Becerra, Mr. Emanuel, and Mr. 
Davis of Illinois) introduced the following bill; which was referred to 
                    the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
 To improve outcomes for vulnerable children by investing in families, 
improving accountability in the child welfare system, and finding safe, 
            stable, and permanent homes for foster children.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Leave No Abused or Neglected Child 
Behind Act'' .

SEC. 2. CHILD AND FAMILY SERVICES PROGRAM.

    (a) Child and Family Services Component of State Plan.--Section 
471(a) of the Social Security Act (42 U.S.C. 671(a)) is amended--
            (1) by striking ``and'' at the end of paragraph (23);
            (2) by striking the period at the end of paragraph (24) and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(25) at the option of the State, includes a child and 
        family services component that describes in detail--
                    ``(A) how the State intends to spend the funds 
                provided under section 474(a)(5), and an assurance that 
                the State will submit to the Secretary reports on 
                annual spending of the funds in accordance with a 
                detailed, uniform system which shall be developed by 
                the Secretary;
                    ``(B) the goals the State intends to achieve with 
                the expenditure of the funds; and
                    ``(C) the process by which the State intends to 
                assess the effects of the expenditure of the funds on--
                            ``(i) the goals referred to in subparagraph 
                        (B); and
                            ``(ii) other indicators of child welfare 
                        performance; and
                    ``(D) whether the State intends to spend funds 
                provided under section 474(a)(5) to implement, in whole 
                or in part, a corrective action plan referred to in 
                subsection (b)(2)(B) of this section.''.
    (b) Approval of Child and Family Services Component.--Section 
471(b) of such Act (42 U.S.C. 671(b) is amended to read as follows:
    ``(b)(1) The Secretary shall approve any plan which complies with 
subsection (a).
    ``(2)(A) In considering the child and family services component of 
a plan submitted pursuant to this part, the Secretary shall consider 
any intention to expend funds pursuant to the plan for a specific 
purpose which is substantially similar to a specific purpose for which 
the State expended funds pursuant to the State plan approved under this 
part in not less than 2 of the 5 most recently preceding fiscal years, 
if the prior spending failed to result in meaningful progress towards 
achieving the goals described in the plan pursuant to subsection 
(a)(25)(B), determined on the basis of the process referred to in 
subsection (a)(25)(C).
    ``(B) The Secretary may not approve the child and family services 
component of a plan submitted pursuant to this part if there is in 
effect a final determination under section 1123A that a State program 
under part B or this part has failed to substantially conform with the 
requirements, regulations, and plans referred to in subsection (a) of 
such section that apply to the program, unless the State is 
implementing a corrective action plan referred to in subsection 
(b)(4)(A) of such section with respect to the failure.''.
    (c) Payments to States.--Section 474(a) of such Act (42 U.S.C. 
674(a)) is amended--
            (1) by striking the period at the end of paragraph (4) and 
        inserting ``; plus''; and
            (2) by adding at the end the following:
            ``(5)(A) an amount equal to the Federal medical assistance 
        percentage (as defined in section 1905(b)) of the total amount 
        expended during such quarter to provide (and evaluate the 
        provision of) services which seek to--
                    ``(i) safely reduce the number of children in 
                foster care;
                    ``(ii) safely reduce the length of stay for 
                children in foster care;
                    ``(iii) increase the percentage of foster children 
                who are cared for in family-like settings; and
                    ``(iv) improve the well-being of children in foster 
                care, in an adoption eligible for payments under 
                section 473, or in a kinship guardianship arrangement 
                eligible for payments under section 473(d); and
            ``(B) such amount as the Secretary deems appropriate (which 
        shall be not less than 10 percent and not more than 35 percent 
        of the State expenditures referred to in subparagraph (A) of 
        this paragraph) to reward the State for improvements in the 
        performance of the State in pursuing the goals described in the 
        provisions of the State plan submitted pursuant to section 
        471(a)(25)(B), as determined on the basis of an evaluation 
        approved by the Secretary (and the Secretary shall attempt to 
        ensure a resonable level of consistency in the design of the 
        approved evaluations and shall make the results of the approved 
        evaluations broadly available), except that such amount may be 
        paid on an annual or biennial basis.''.
    (d) Expenditures by Territories Under Child and Family Services 
Component not Subject to Limitation.--Section 1108 of such Act (42 
U.S.C. 1308) is amended in each of subsections (a)(1) and (b)(1) by 
striking ``parts A and E'' and inserting ``part A''.
    (e) Applicability to Indian Tribes.--Section 479B(b)(2)(A)(i) of 
such Act, as added by section 3(e)(2) of this Act, is amended by 
striking ``(1) and (2)'' and inserting ``(1), (2), and (5)''.
    (f) Nonsupplantation.--Section 474 of such Act (42 U.S.C. 674) is 
amended by adding at the end the following:
    ``(g) A State to which funds are paid under subsection (a)(5) shall 
use those funds to supplement and not supplant any Federal, State or 
local funds used for services described in such subsection. ''.

SEC. 3. EXPANDED ELIGIBILITY FOR FOSTER CARE AND ADOPTION ASSISTANCE.

    (a) Foster Care.--
            (1) Elimination of income eligibility requirement.--
                    (A) In general.--Section 472(a) of the Social 
                Security Act (42 U.S.C. 672(a)) is amended--
                            (i) in the matter preceding paragraph (1), 
                        by striking ``child'' and all that follows 
                        through ``if'' and inserting ``child, if'';
                            (ii) in paragraph (1)--
                                    (I) by striking ``from the home'' 
                                and inserting ``of the child from his 
                                or her home''; and
                                    (II) by striking ``(effective 
                                October 1, 1983)'';
                            (iii) by adding ``and'' at the end of 
                        paragraph (2);
                            (iv) in paragraph (3), by striking ``; 
                        and'' and inserting a period; and
                            (v) by striking all that follows paragraph 
                        (3).
                    (B) Conforming amendment.--Section 470 of such Act 
                (42 U.S.C. 670) is amended by striking ``who otherwise 
                would have been eligible for assistance under the 
                State's plan approved under part A (as such plan was in 
                effect on June 1, 1995)''.
            (2) Foster care maintenance payments match rate.--Section 
        474 (42 U.S.C. 674), as amended by section 2(f) of this Act, is 
        amended--
                    (A) in subsection (a)(1), by inserting ``, subject 
                to subsection (h)(1)'' before the semicolon; and
                    (B) by adding at the end the following:
    ``(h)(1)(A) The Secretary shall reduce the percentage by which 
expenditures referred to in subsection (a)(1) are reimbursed, by such 
equal percentage for all States as may be necessary to ensure that--
            ``(i) the ratio, for any calendar quarter, of the total of 
        the amounts payable to States under such subsection to the 
        total of all amounts expended by the States as foster care 
        maintenance payments (whether or not eligible for reimbursement 
        under this part), excluding any expenditure made from other 
        funds provided by the Federal Government or from State funds 
        with respect to which matching funds are provided by the 
        Federal Government; equals
            ``(ii) the average such ratio for the 12 quarters most 
        recently preceding the effective date of this subsection.
    ``(B) The Secretary shall establish procedures to allow States to 
submit to the Secretary supplemental claims for reimbursement of 
expenditures referred to in subsection (a)(1) incurred during the 3-
year period beginning with the effective date of this subsection.
    ``(C) The Secretary shall pay a claim submitted pursuant to 
subparagraph (B) with respect to an expenditure, to the extent that, in 
the absence of this paragraph, an amount would be payable under this 
part with respect to the expenditure.
    ``(D) For each State with respect to which a claim has been paid 
under subparagraph (B) of this paragraph, the Secretary shall--
            ``(i) calculate the overall rate at which the expenditures 
        referred to in subsection (a)(2) have been reimbursed under 
        this part during the 3-year period described in subparagraph 
        (B) of this paragraph; and
            ``(ii) for each subsequent calendar quarter, reimburse the 
        expenditures at the overall rate.''.
    (b) Adoption Assistance.--
            (1) Elimination of income eligibility requirement.--Section 
        473(a)(2) of such Act (42 U.S.C. 673(a)(2)) is amended--
                    (A) by striking all through subparagraph (C) and 
                inserting the following:
            ``(2)(A) For purposes of paragraph (1)(B)(ii), a child 
        meets the requirements of this paragraph if the child--
                    ``(i)(I) at the time adoption proceedings were 
                initiated, had been removed from his or her home--
                            ``(aa) pursuant to a voluntary placement 
                        agreement with respect to which Federal 
                        payments are provided under section 474; or
                            ``(bb) as a result of a judicial 
                        determination to the effect that continuation 
                        therein would be contrary to the welfare of the 
                        child;
                    ``(II) is eligible for supplemental security income 
                benefits under title XVI; or
                    ``(III) is a child whose costs in a foster family 
                home or child-care institution are covered by the 
                foster care maintenance payments being made with 
                respect to the minor parent of the child as described 
                in section 475(4)(B); and
                    ``(ii) has been determined by the State, pursuant 
                to subsection (c), to be a child with special needs.
                    ``(B) A child who meets the requirements of 
                subparagraph (A)(ii) of this paragraph, who was 
                determined eligible for adoption assistance payments 
                under this part with respect to a prior adoption, and 
                who is available for adoption because the prior 
                adoption has been dissolved and the parental rights of 
                the adoptive parents have been terminated or because 
                the child's adoptive parents have died, shall be 
                treated as meeting the requirements of this paragraph 
                for purposes of paragraph (1)(B)(ii).'';
                    (B) by striking the second sentence; and
                    (C) in the third sentence--
                            (i) by striking ``(C)'' and inserting 
                        ``(B)''; and
                            (ii) by striking ``subparagraphs (A) and 
                        (B)'' and inserting ``subparagraph (A)''.
            (2) Adoption assistance payments match rate.--Section 474 
        of such Act (42 U.S.C. 674) is amended--
                    (A) in subsection (a)(2), by inserting ``, subject 
                to subsection (h)(2)'' before the semicolon; and
                    (B) by adding at the end of subsection (h) (as 
                added by subsection (a)(2)(B) of this section) the 
                following:
    ``(2)(A) The Secretary shall reduce the percentage by which the 
expenditures referred to in subsection (a)(2) are reimbursed, by such 
equal percentage for all States as may be necessary to ensure that--
            ``(i) the ratio, for any calendar quarter, of the total of 
        the amounts payable to States under such subsection to the 
        total of all amounts expended by the States as adoption 
        assistance payments (whether or not eligible for reimbursement 
        under this part), excluding any expenditure made from other 
        funds provided by the Federal Government or from State funds 
        with respect to which matching funds are provided by the 
        Federal Government; equals
            ``(ii) the average such ratio for the 12 quarters most 
        recently preceding the effective date of this subsection.
    ``(B) The Secretary shall establish procedures to allow States to 
submit to the Secretary supplemental claims for reimbursement of 
expenditures referred to in subsection (a)(2) incurred during the 3-
year period beginning with the effective date of this subsection.
    ``(C) The Secretary shall pay a claim submitted pursuant to 
subparagraph (B) with respect to an expenditure, to the extent that, in 
the absence of this paragraph, an amount would be payable under this 
part with respect to the expenditure.
    ``(D) For each State with respect to which a claim has been paid 
under subparagraph (B) of this paragraph, the Secretary shall--
            ``(i) calculate the overall rate at which the expenditures 
        referred to in subsection (a)(2) have been reimbursed under 
        this part during the 3-year period described in subparagraph 
        (B) of this paragraph; and
            ``(ii) for each subsequent calendar quarter, reimburse the 
        expenditures at the overall rate.''.
    (c) Administrative Costs.--
            (1) In general.--Section 474 of such Act (42 U.S.C. 674) is 
        amended--
                    (A) in subsection (a)(3)(E), by inserting ``, 
                subject to subsection (h)(3)'' after ``expenditures''; 
                and
                    (B) by adding at the end of subsection (h) (as 
                added by subsection (a)(2)(B) of this section) the 
                following:
    ``(3)(A) The Secretary shall reduce the percentage by which the 
expenditures referred to in subsection (a)(3)(E) are reimbursed, by 
such equal percentage for all States as may be necessary to ensure 
that--
            ``(i) the ratio, for any calendar quarter, of the total of 
        the amounts payable to States under subsection (a)(3)(E) to the 
        total of all amounts expended by the States for expenditures 
        referred to in such subsection (whether or not eligible for 
        reimbursement under this part), excluding any expenditure made 
        from other funds provided by the Federal Government or from 
        State funds with respect to which matching funds are provided 
        by the Federal Government; equals
            ``(ii) the average such ratio for the 12 quarters most 
        recently preceding the effective date of this subsection.
    ``(B) The Secretary shall establish procedures to allow States to 
submit to the Secretary supplemental claims for reimbursement of 
expenditures referred to in subsection (a)(3)(E) incurred during the 3-
year period beginning with the effective date of this subsection.
    ``(C) The Secretary shall pay a claim submitted pursuant to 
subparagraph (B) with respect to an expenditure, to the extent that, in 
the absence of this paragraph, an amount would be payable under this 
part with respect to the expenditure.
    ``(D) For each State with respect to which a claim has been paid 
under subparagraph (B) of this paragraph, the Secretary shall--
            ``(i) calculate the overall rate at which the expenditures 
        referred to in subsection (a)(3)(E) have been reimbursed under 
        this part during the 3-year period described in subparagraph 
        (B) of this paragraph; and
            ``(ii) for each subsequent calendar quarter, reimburse the 
        expenditures at the overall rate.''.
            (2) Limitation on expenditures not related to placement or 
        case management activities.--Section 474 of such Act (42 U.S.C. 
        674), as amended by the preceding provisions of this section, 
        is amended by adding at the end the following:
    ``(i) A State shall not use more than 15 percent of the amounts 
paid to the State under this part for expenditures relating to 
determining eligibility, setting rates for foster care homes and 
institutions, and the proportionate share of related agency overhead. 
''.
    (d) Removal of Title IV-E From Funding Cap for the Territories.--
Section 1108 of such Act (42 U.S.C. 1308) is amended in each of 
subsections (a) and (b)(1), by striking ``parts A and E'' and inserting 
``part A''.
    (e) Authority of Indian Tribes to Receive Federal Funds for Foster 
Care and Adoption Assistance.--
            (1) Children placed in tribal custody eligible for foster 
        care funding.--Section 472(a)(2) of such Act (42 U.S.C. 
        672(a)(2)) is amended--
                    (A) by striking ``or (B)'' and inserting ``(B)''; 
                and
                    (B) by inserting before the semicolon the 
                following: ``, or (C) an Indian tribe or tribal 
                organization (as defined in section 479B(e)) or an 
                intertribal consortium if the Indian tribe, tribal 
                organization, or consortium (i) is operating a program 
                pursuant to section 479B, (ii) has a cooperative 
                agreement with a State pursuant to section 479B(c), or 
                (iii) submits to the Secretary a description of the 
                arrangements (jointly developed or developed in 
                consultation with the State) made by the Indian tribe, 
                tribal organization, or consortium for the payment of 
                funds and the provision of the child welfare services 
                and protections required by this title''.
            (2) Programs operated by indian tribal organizations.--Part 
        E of title IV of such Act (42 U.S.C. 670 et seq.) is amended by 
        adding at the end the following:

``SEC. 479B. PROGRAMS OPERATED BY INDIAN TRIBAL ORGANIZATIONS.

    ``(a) Application.--Except as provided in subsection (b), this part 
shall apply to an Indian tribe or tribal organization that elects to 
operate a program under this part in the same manner as this part 
applies to a State.
    ``(b) Modification of Plan Requirements.--
            ``(1) Service area; standards.--
                    ``(A) In general.--Subject to subparagraph (B), in 
                the case of an Indian tribe or tribal organization 
                submitting a plan for approval under section 471, the 
                plan shall--
                            ``(i) in lieu of the requirement of section 
                        471(a)(3), identify the service area or areas 
                        and population to be served by the Indian tribe 
                        or tribal organization; and
                            ``(ii) in lieu of the requirement of 
                        section 471(a)(10), provide for the approval of 
                        foster homes pursuant to tribal standards and 
                        in a manner that ensures the safety of, and 
                        accountability for, children placed in foster 
                        care.
                    ``(B) Special rule.--With respect to an Indian 
                tribe located in the State of Alaska--
                            ``(i) subparagraph (A)(ii) of this 
                        paragraph shall not apply; and
                            ``(ii) the requirement of section 
                        471(a)(10) shall apply to a plan submitted by 
                        the tribe.
            ``(2) Determination of federal share.--
                    ``(A) Per capita income.--
                            ``(i) In general.--For purposes of 
                        determining the Federal medical assistance 
                        percentage applicable to an Indian tribe or 
                        tribal organization under paragraphs (1) and 
                        (2) of section 474(a), the calculation of an 
                        Indian tribe's or tribal organization's per 
                        capita income shall be based on the service 
                        population of the Indian tribe or tribal 
                        organization as defined in its plan in 
                        accordance with paragraph (1)(A) of this 
                        subsection.
                            ``(ii) Consideration of other 
                        information.--An Indian tribe or tribal 
                        organization may submit to the Secretary such 
                        information as the Indian tribe or tribal 
                        organization considers relevant to the 
                        calculation of the per capita income of the 
                        Indian tribe or tribal organization, and the 
                        Secretary shall consider such information 
                        before making the calculation.
                    ``(B) Administrative expenditures.--The Secretary 
                shall, by regulation, determine the proportions to be 
                paid to Indian tribes and tribal organizations pursuant 
                to section 474(a)(3), except that in no case shall an 
                Indian tribe or tribal organization receive a lesser 
                proportion than the corresponding amount specified for 
                a State in that section.
                    ``(C) Sources of non-federal share.--An Indian 
                tribe or tribal organization may use Federal or State 
                funds to match payments for which the Indian tribe or 
                tribal organization is eligible under section 474.
            ``(3) Modification of other requirements.--Upon the request 
        of an Indian tribe, tribal organization, or a consortia of 
        tribes or tribal organizations, the Secretary may modify any 
        requirement under this part if, after consulting with the 
        Indian tribe, tribal organization, or consortia of tribes or 
        tribal organizations, the Secretary determines that 
        modification of the requirement would advance the best 
        interests and the safety of children served by the Indian 
        tribe, tribal organization, or consortia of tribes or tribal 
        organizations.
            ``(4) Consortium.--The participating Indian tribes or 
        tribal organizations of an intertribal consortium may develop 
        and submit a single plan under section 471 that meets the 
        requirements of this section.
    ``(c) Cooperative Agreements.--An Indian tribe, tribal 
organization, or intertribal consortium and a State may enter into a 
cooperative agreement for the administration or payment of funds 
pursuant to this part. In any case where an Indian tribe, tribal 
organization, or intertribal consortium and a State enter into a 
cooperative agreement that incorporates any of the provisions of this 
section, those provisions shall be valid and enforceable. Any such 
cooperative agreement that is in effect as of the date of enactment of 
this section, shall remain in full force and effect subject to the 
right of either party to the agreement to revoke or modify the 
agreement pursuant to the terms of the agreement.
    ``(d) Regulations.--Not later than 1 year after the date of 
enactment of this section, the Secretary shall, in full consultation 
with Indian tribes and tribal organizations, promulgate regulations to 
carry out this section.
    ``(e) Definitions of Indian Tribe; Tribal Organization.--In this 
section, the terms `Indian tribe' and `tribal organization' have the 
meanings given those terms in subsections (e) and (l) of section 4 of 
the Indian Self-Determination and Education Assistance Act (25 U.S.C. 
450b), respectively, except that, with respect to the State of Alaska, 
the term `Indian tribe' has the meaning given that term in section 
419(4)(B).''.
    (f) Conforming Changes for FMAP for the District of Columbia.--
Section 474(a) of such Act (42 U.S.C. 674(a)) is amended in each of 
paragraphs (1) and (2) by striking ``(as defined in section 1905(b) of 
this Act)'' inserting ``(which shall be as defined in section 1905(b), 
in the case of a State other than the District of Columbia, or 70 
percent, in the case of the District of Columbia)''.

SEC. 4. KINSHIP GUARDIANSHIP ASSISTANCE PAYMENTS FOR CHILDREN.

    (a) In General.--Section 473 of the Social Security Act (42 U.S.C. 
670-679b) is amended by adding at the end the following:
    ``(d) Kinship Guardianship Assistance Payments for Children.--
            ``(1) In general.--Each State with a plan approved under 
        this part may, at State option, enter into kinship guardianship 
        assistance agreements to provide kinship guardianship 
        assistance payments on behalf of children to grandparents and 
        other relatives who have assumed legal guardianship (as defined 
        in section 475(7)) of the children for whom they have cared as 
        foster parents and for whom they have committed to care for on 
        a permanent basis.
            ``(2) Kinship guardianship assistance agreement.--
                    ``(A) In general.--In order to receive payments 
                under section 474(a)(6), a State shall--
                            ``(i) negotiate and enter into a written, 
                        binding kinship guardianship assistance 
                        agreement with the prospective relative 
                        guardian of a child who meets the requirements 
                        of this paragraph;
                            ``(ii) provide the prospective relative 
                        guardian with a copy of the agreement; and
                            ``(iii) certify that any child on whose 
                        behalf kinship guardianship assistance payments 
                        are made under the agreement shall be provided 
                        medical assistance under title XIX in 
                        accordance with section 1902(a)(10)(A)(i)(I).
                    ``(B) Minimum requirements.--The agreement shall 
                specify, at a minimum--
                            ``(i) the amount of, and manner in which, 
                        each kinship guardianship assistance payment 
                        will be provided under the agreement;
                            ``(ii) the additional services and 
                        assistance that the child and relative guardian 
                        will be eligible for under the agreement;
                            ``(iii) the procedure by which the relative 
                        guardian may apply for additional services as 
                        needed, provided the agency and relative 
                        guardian agree on the additional services as 
                        specified in the case plan; and
                            ``(iv) subject to subparagraph (D), that 
                        the State will pay the total cost of 
                        nonrecurring expenses associated with obtaining 
                        legal guardianship of the child.
                    ``(C) Interstate application.--The agreement shall 
                provide--
                            ``(i) that the agreement shall remain in 
                        effect without regard to the State residency of 
                        the kinship guardian; and
                            ``(ii) for the protection of the interests 
                        of the child in any case where the kinship 
                        guardian and the child move to another State 
                        while the agreement is in effect.
                    ``(D) No effect on federal reimbursement.--Nothing 
                in subparagraph (B)(iv) shall be construed as affecting 
                the ability of the State to obtain reimbursement from 
                the Federal Government for costs described in that 
                subparagraph.
            ``(3) Kinship guardianship assistance payment.--
                    ``(A) In general.--The kinship guardianship 
                assistance payment shall be based on consideration of 
                the needs of the relative guardian and of the child and 
                shall be at least equal to the amount of the foster 
                care maintenance payment for which the child would have 
                been eligible if the child had remained in foster care, 
                or, at State option, the amount of the adoption 
                assistance payment for which the child would have been 
                eligible if the child had been adopted. The payment may 
                be readjusted periodically based on relevant changes in 
                such needs.
                    ``(B) Limitation.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), no kinship guardianship assistance 
                        payment may be made to a relative guardian for 
                        any child who has attained 18 years of age.
                            ``(ii) Exceptions.--A kinship guardianship 
                        assistance payment may be made to a relative 
                        guardian with respect to a child who--
                                    ``(I) is a full-time student in a 
                                secondary school or in the equivalent 
                                level of a vocational or technical 
                                training program and has not attained 
                                19 years of age; or
                                    ``(II) with respect to a child who 
                                the State determines has a mental or 
                                physical disability that warrants the 
                                continuation of assistance until the 
                                child attains 21 years of age.
            ``(4) Child's eligibility for a kinship guardianship 
        assistance payment.--
                    ``(A) In general.--A child is eligible for a 
                kinship guardianship assistance payment under this 
                subsection if the State agency determines the 
                following:
                            ``(i) The child has been--
                                    ``(I) removed from his or her home 
                                pursuant to a voluntary placement 
                                agreement or as a result of a judicial 
                                determination to the effect that 
                                continuation in the home would be 
                                contrary to the welfare of the child;
                                    ``(II) under the care of the State 
                                agency for the 12-month period ending 
                                on the date of the agency 
                                determination; and
                                    ``(III) eligible for foster care 
                                maintenance payments under section 472.
                            ``(ii) Being returned home or adopted are 
                        not appropriate permanency options for the 
                        child.
                            ``(iii) The child demonstrates a strong 
                        attachment to the prospective relative guardian 
                        and the relative guardian has a strong 
                        commitment to caring permanently for the child.
                            ``(iv) With respect to a child who has 
                        attained 14 years of age, the child has been 
                        consulted regarding the kinship guardianship 
                        arrangement.
                    ``(B) Treatment of siblings.--With respect to a 
                child described in subparagraph (A) whose sibling or 
                siblings are not so described--
                            ``(i) the child and any sibling of the 
                        child may be placed in the same kinship 
                        guardianship arrangement if the State agency 
                        and the relative agree on the appropriateness 
                        of the arrangement for the siblings; and
                            ``(ii) kinship guardianship assistance 
                        payments may be paid for the child and each 
                        sibling so placed.''.
    (b) Conforming Amendments.--
            (1) State plan requirement.--Section 471(a)(20) of such Act 
        (42 U.S.C. 671(a)(20)) is amended by striking ``before the 
        foster or adoptive parent may be finally approved for placement 
        of a child on whose behalf foster care maintenance payments or 
        adoption assistance payments'' and inserting ``or relative 
        guardian before the foster or adoptive parent or relative 
        guardian may be finally approved for placement of a child on 
        whose behalf foster care maintenance payments, adoption 
        assistance payments, or kinship guardianship assistance 
        payments''.
            (2) Payments to states.--Section 474(a) of such Act (42 
        U.S.C. 674(a)) is amended--
                    (A) by striking the period at the end and inserting 
                ``; plus''; and
                    (B) by adding at the end the following:
            ``(6) an amount equal to the percentage by which the 
        expenditures referred to in paragraph (2) are reimbursed (after 
        applying the reduction required by subsection (h)(2)(A) of this 
        section) of the total amount expended during such quarter as 
        kinship guardianship assistance payments under section 473(d) 
        pursuant to kinship guardianship assistance agreements.''.
            (3) Definitions.--Section 475(1) of such Act (42 U.S.C. 
        675(1)) is amended by adding at the end the following:
                    ``(F) In the case of a child with respect to whom 
                the permanency plan is placement with a relative and 
                receipt of kinship guardianship assistance payments 
                under section 473(d), a description of--
                            ``(i) the steps that the agency has taken 
                        to determine that it is not appropriate for the 
                        child to be returned home or adopted;
                            ``(ii) the reasons why a permanent 
                        placement with a fit and willing relative 
                        through a kinship guardianship assistance 
                        arrangement is in the child's best interests;
                            ``(iii) the ways in which the child meets 
                        the eligibility requirements for a kinship 
                        guardianship assistance payment;
                            ``(iv) the efforts the agency has made to 
                        discuss adoption by the child's relative foster 
                        parent as a more permanent alternative to legal 
                        guardianship and, in the case of a relative 
                        foster parent who has chosen not to pursue 
                        adoption, documentation of the reasons 
                        therefor; and
                            ``(v) the efforts made by the State agency 
                        to secure the consent of the child's parent or 
                        parents to the kinship guardianship assistance 
                        arrangement, or the reasons why the efforts 
                        were not made.''.

SEC. 5. FLEXIBILITY TO ESTABLISH SEPARATE STANDARDS FOR RELATIVE FOSTER 
              FAMILY HOMES.

    Section 471(a)(10) (42 U.S.C. 671(a)(10)) is amended by inserting 
before the semicolon the following: ``, and, at the option of the 
State, that the authority or authorities may--
            ``(A) establish and maintain separate standards for foster 
        family homes in which a foster parent is a relative of the 
        foster child, that, at a minimum, protect the safety of the 
        child and provide for criminal records checks as described in 
        paragraph (20); and
            ``(B) apply the standards referred to in subparagraph (A) 
        of this paragraph to any such relative foster care provider to 
        whom funds are paid pursuant to section 472 or part B in lieu 
        of the standards that would otherwise apply to a foster family 
        home.''.

SEC. 6. APPLICATION OF STANDARDS TO ALL CHILDREN.

    Section 471(a)(10) of the Social Security Act (42 U.S.C. 
671(a)(10)) is amended by striking ``receiving funds under this part or 
part B of this title'' and inserting ``caring for a child who is in the 
custody of the State''.

SEC. 7. CHILD WELFARE SERVICE QUALITY IMPROVEMENT GRANTS.

    Part B of title IV of the Social Security Act (42 U.S.C. 620-629i) 
is amended by adding at the end the following:

           ``Subpart 4--Supporting Quality Front Line Workers

``SEC. 440A. CHILD WELFARE SERVICE QUALITY IMPROVEMENT GRANTS.

    ``(a) In General.--The Secretary, acting through the Administration 
of Children and Families, shall make grants to States to improve the 
quality of child welfare services by increasing the quality and 
capacity of their child welfare workforce or by increasing the 
coordination of their child welfare services.
    ``(b) Applications.--
            ``(1) Contents.--A State desiring to receive a grant under 
        this section shall submit to the Secretary an application that 
        includes the following:
                    ``(A) Plan.--A detailed description of how the 
                State would use the grant, during the 5-year period 
                beginning with the date the grant is received, to 
                improve working conditions of child welfare workers in 
                any agency providing a service under the State plan 
                approved under subpart 1 or 2 of part B or part E in 1 
                or more ways described in paragraph (2), and an 
                explanation of how doing so would help the State 
                achieve the outcomes set forth in the Final List of 
                Child Welfare Outcomes and Measures (64 Fed. Reg. 
                45552-45554).
                    ``(B) Baseline data on state-selected indicators.--
                The information described in those subparagraphs of 
                paragraph (3) which describe the indicators that the 
                State intends to improve on using the grant, with 
                respect to all child welfare agencies in the State for 
                the fiscal year preceding the first fiscal year for 
                which the grant is requested.
                    ``(C) Budget.--A budget showing how the State would 
                expend funds (including any grant funds provided under 
                this section) for child welfare services or the 
                improvement of the services.
            ``(2) Ways to improve working conditions.--The ways 
        described in this paragraph to improve working conditions of 
        child welfare workers are the following:
                    ``(A) Increase the wages of supervisory and 
                nonsupervisory child welfare workers.
                    ``(B) Increase the number of State supervisory and 
                nonsupervisory staff working on strengthening and 
                preserving families and improving child well-being, 
                permanency, and safety.
                    ``(C) Reduce the turnover rate for supervisory and 
                nonsupervisory child welfare workers in the State, and 
                the number of supervisory and nonsupervisory staff 
                vacancies in child welfare agencies.
                    ``(D) Improve the formal education and training of 
                supervisory and nonsupervisory child welfare workers.
                    ``(E) Increase the number of supervisory and 
                nonsupervisory child welfare workers who have graduated 
                from an institution of higher education in such fields 
                of study as the Secretary determines are related to the 
                delivery of child welfare services.
                    ``(F) Coordinate training, recruitment, and 
                retention strategies for child welfare workers.
                    ``(G) Provide educational scholarships for fields 
                of study relevant to the purposes of parts B and E in 
                return for substantial service.
                    ``(H) Implement strategies to increase the safety 
                of child welfare workers.
                    ``(I) Enable the State child welfare agencies to 
                coordinate the provision of services with State and 
                local health care agencies, State and local alcohol and 
                drug abuse prevention and treatment agencies, State and 
                local mental health agencies, State and local housing 
                agencies, State and local agencies administering the 
                Temporary Assistance for Needy Families program, and 
                other welfare agencies to promote child safety, 
                permanence, and family stability.
                    ``(J) Provide training to improve the ability of 
                child welfare workers to include and involve families 
                in planning decisions for children served by State 
                child welfare agencies.
            ``(3) Description of baseline data.--The data described in 
        this paragraph are the following:
                    ``(A) The average salary of supervisory child 
                welfare workers, and of nonsupervisory child welfare 
                workers.
                    ``(B) The average number of children or families, 
                per caseworker--
                            ``(i) for caseworkers who provide services 
                        for abused or neglected children and their 
                        families;
                            ``(ii) for caseworkers who provide services 
                        to strengthen and preserve families with 
                        children;
                            ``(iii) for caseworkers who provide 
                        adoption services; and
                            ``(iv) for caseworkers who provide family 
                        foster care services.
                    ``(C) The total number of vacancies in supervisory 
                staff positions and in nonsupervisory staff positions, 
                and each such number expressed as a percentage of each 
                type of staff position.
                    ``(D) The average rate at which supervisory child 
                welfare workers left employment, and at which 
                nonsupervisory child welfare workers left employment.
                    ``(E) The average duration of employment of 
                supervisory child welfare workers and of nonsupervisory 
                child welfare workers.
                    ``(F) The total number and percentage of 
                supervisory child welfare workers and of nonsupervisory 
                child welfare workers who have received a bachelor's or 
                more advanced degree from an institution of higher 
                education, in the aggregate, and broken down by field 
                of study.
                    ``(G) The average number of staff for whom 
                supervisory child welfare workers are responsible.
                    ``(H) The range and scope of pre-service and in-
                service training opportunities, including numbers and 
                percentage of supervisory child welfare staff and of 
                nonsupervisory child welfare staff engaged in training 
                programs.
                    ``(I) The number and severity of injuries and 
                threats to child welfare workers, and the strategies 
                used to address the safety of child welfare workers.
                    ``(J) Data that indicates whether families and 
                children received support services (such as mental and 
                physical health care, food stamps, affordable housing, 
                and substance abuse prevention and treatment) needed to 
                create a stable home environment.
                    ``(K) Such other indicators as the Secretary may by 
                regulation prescribe.
            ``(4) Amendment of applications.--A State may at any time 
        submit to the Secretary an amendment to the application of the 
        State under this subsection. On approval of such an amendment, 
        the application shall be considered to include the amendment.
    ``(c) Grants.--
            ``(1) In general.--On certification by the Secretary that a 
        State application for a grant under this section meets the 
        requirements of subsection (b) and that implementing the 
        activities described in the application would help the State 
        achieve some of the outcomes set forth in the Final List of 
        Child Welfare Outcomes and Measures (64 Fed. Reg. 45552-45554), 
        and on approval by the Secretary of the application, the State 
        shall be eligible to receive a grant under this section for 
        each fiscal year for which funds are available for such a 
        grant.
            ``(2) Grant amount.--The Secretary shall make a grant to 
        each State that is eligible to receive a grant under this 
        section for a fiscal year, in an amount equal to the lesser 
        of--
                    ``(A) the amount finally allotted to or reserved 
                for the State under this subsection for the fiscal 
                year; or
                    ``(B) 3 times the amount that the State has 
                committed to spend to carry out the activities 
                described in the approved application.
            ``(3) Reservation of funds.--
                    ``(A) Puerto rico.--The Secretary shall reserve 
                1.75 percent of the funds appropriated pursuant to 
                subsection (j) for each fiscal year, for a grant to 
                Puerto Rico under this section for the fiscal year. If, 
                for a fiscal year, Puerto Rico does not submit to the 
                Secretary an application that meets the requirements of 
                subsection (b), the funds so reserved shall be 
                available for allotment under paragraph (4) of this 
                subsection for the succeeding fiscal year or (if the 
                succeeding fiscal year is fiscal year 2009) remitted to 
                the Treasury of the United States.
                    ``(B) Other territories.--The Secretary shall 
                reserve 0.3 percent of the funds appropriated pursuant 
                to subsection (j) for each fiscal year, for grants 
                among the United States Virgin Islands, Guam, American 
                Samoa, and the Commonwealth of the Northern Mariana 
                Islands under this section in such amounts as the 
                Secretary deems appropriate for the fiscal year. If, 
                for a fiscal year, none of such territories submits to 
                the Secretary an application that meets the 
                requirements of subsection (b), the funds so reserved 
                shall be available for allotment under paragraph (4) of 
                this subsection for the succeeding fiscal year or (if 
                the succeeding fiscal year is fiscal year 2009) 
                remitted to the Treasury of the United States.
                    ``(C) Indian tribes.--The Secretary shall reserve 2 
                percent of the funds appropriated pursuant to 
                subsection (j) for each fiscal year, for grants among 
                Indian tribes under this section in such amounts as the 
                Secretary deems appropriate for the fiscal year. If, 
                for a fiscal year, the Secretary does not receive from 
                any Indian tribe an application that meets the 
                requirements of subsection (b), the funds so reserved 
                shall be available for allotment under paragraph (4) of 
                this subsection for the succeeding fiscal year or (if 
                the succeeding fiscal year is fiscal year 2009) 
                remitted to the Treasury of the United States.
                    ``(D) Technical assistance and evaluations.--The 
                Secretary shall reserve 0.7 percent of the funds 
                appropriated pursuant to subsection (j) for each fiscal 
                year, to pay the costs of providing technical 
                assistance and conducting evaluations under this 
                section.
            ``(4) Allotments.--
                    ``(A) Initial allotment.--From the amount available 
                to carry out this section for a fiscal year that 
                remains after applying paragraph (3) for the fiscal 
                year (including any amount available for allotment 
                under this paragraph for the fiscal year after applying 
                paragraph (3) for the preceding fiscal year), the 
                Secretary shall initially allot to each State not 
                described in paragraph (3) for a fiscal year an amount 
                that bears the same ratio to the remaining amount as 
                the number of individuals who reside in the State and 
                have not attained 18 years of age bears to the total 
                number of such individuals in all States not described 
                in paragraph (3) that are eligible for a grant under 
                this section for such most recent fiscal year.
                    ``(B) Final allotment.--The Secretary shall reduce 
                the amount initially allotted to each State with an 
                initial allotment under subparagraph (A) of more than 
                $300,000, on a pro rata basis, to the extent necessary 
                to ensure that the amount finally allotted to each such 
                State is not less than $300,000.
    ``(d) Use of Grant.--
            ``(1) In general.--A State to which a grant is made under 
        this section shall use the grant in accordance with the 
        approved application for the grant.
            ``(2) Availability of funds.--A State that receives funds 
        under this section shall remit to the Secretary any of such 
        funds that remain unexpended by the State at the end of the 2-
        year period that begins with the date of the receipt.
            ``(3) No supplantation.--A State to which a grant is made 
        under this section shall use the grant to supplement and not 
        supplant any Federal, State, or local funds used for child 
        welfare services or child welfare training.
    ``(e) Monitoring.--The Secretary shall monitor the activities of 
grantees under this section to ensure compliance with this section and 
any State plan of the grantee under subpart 1.
    ``(f) Technical Assistance.--The Secretary may provide technical 
assistance to any grantee to assist the grantee in improving the 
quality of child welfare services, including strategies to recruit, 
train, and retain high quality staff, and in complying with the 
provisions of law referred to in subsection (e).
    ``(g) Enforcement.--
            ``(1) In general.--If the Secretary determines that, during 
        a fiscal year, a grantee under this section has not complied 
        with a requirement of this Act, the Secretary may--
                    ``(A) in the case of the 1st such determination of 
                noncompliance, reduce by not less than 5 percent the 
                amount of the grant otherwise payable to the grantee 
                under this section for the fiscal year;
                    ``(B) in the case of the 2nd such determination of 
                noncompliance, reduce by not less than 25 percent the 
                amount of the grant otherwise payable to the grantee 
                under this section for the fiscal year; and
                    ``(C) in the case of the 3rd or any subsequent such 
                determination of noncompliance, withhold the payment of 
                a grant to the grantee under this section for any 
                succeeding fiscal year, notwithstanding subsection (c).
            ``(2) Recovery.--In the case of a determination under 
        paragraph (1) of grantee noncompliance, to the extent that a 
        penalty cannot be imposed under paragraph (1), the Secretary 
        shall require the grantee to remit to the Secretary the amount 
        of the penalty not able to be so imposed.
    ``(h) Evaluation.--
            ``(1) In general.--Not later than September 30, 2006, the 
        Secretary shall conduct an interim evaluation to determine 
        whether the grantees under this section have improved the 
        provision of child welfare services beyond the level reflected 
        in the baseline data set forth in the applications submitted by 
        the grantees under this section.
            ``(2) Final report.--Not later than September 30, 2008, the 
        Secretary shall submit to the Congress a written report that 
        contains the final evaluation of the Secretary.
    ``(i) Regulations.--The Secretary shall prescribe such regulations 
as may be necessary to carry out this section, including regulations, 
developed in consultation with the States, representatives of the child 
welfare workforce, and advocates for children and families, governing 
how to obtain the baseline data described in subsection (b)(3).
    ``(j) Appropriation.--Out of any money in the Treasury of the 
United States not otherwise appropriated, there are appropriated to the 
Secretary not more than $100,000,000 for each of fiscal years 2004 
through 2008 to carry out this section.
    ``(k) Definitions.--In this section:
            ``(1) Alaska native organization.--The term `Alaska Native 
        Organization' means any organized group of Alaska Natives 
        eligible to operate a Federal program under the Indian Self-
        Determination Act (25 U.S.C. 450f et seq.) or the designee of 
        such a group.
            ``(2) Child welfare agency.--The term `child welfare 
        agency' means the State agency responsible for administering 
        subpart 1, and any public or private agency under contract with 
        the State agency to provide child welfare services.
            ``(3) Indian tribe.--The term `Indian tribe' means any 
        Indian tribe, band, Nation or other organized group or 
        community of Indians, including any Alaska Native Organization, 
        that is recognized as eligible for the special programs and 
        services provided by the United States to Indians because of 
        their status as Indians.
            ``(4) Institution of higher education.--The term 
        `institution of higher education' has the meaning given the 
        term in section 101 of the Higher Education Act of 1965.
            ``(5) State.--The term `State' means each of the 50 States, 
        the District of Columbia, Puerto Rico, Guam, the United States 
        Virgin Islands, American Samoa, and the Northern Mariana 
        Islands.''.

SEC. 8. INCREASE IN PAYMENT RATE FOR STATES FOR EXPENDITURES FOR SHORT 
              TERM TRAINING OF STAFF OF CERTAIN CHILD WELFARE AGENCIES 
              AND COURT PERSONNEL.

    Section 474(a)(3)(B) of the Social Security Act (42 U.S.C. 
674(a)(3)(B)) is amended to read as follows:
                    ``(B) 75 percent of so much of such expenditures 
                (including travel and per diem expenses) as are for the 
                short-term training of--
                            ``(i) current or prospective foster or 
                        adoptive parents or relative guardians, or the 
                        members of the staff of State-licensed or 
                        State-approved child care institutions 
                        providing care, or of State-licensed or State-
                        approved child welfare agencies providing 
                        services, to foster or adopted children, or 
                        children residing permanently with a relative 
                        guardian, on behalf of whom assistance is 
                        provided pursuant to this part,
                            ``(ii) members of the staff of abuse and 
                        neglect courts, agency attorneys, attorneys 
                        representing children, parents, or guardians ad 
                        litem, or other court-appointed special 
                        advocates representing children in proceedings 
                        of such courts, and
                            ``(iii) persons employed by State, local, 
                        or private nonprofit child-serving agencies 
                        that are working with the State or local agency 
                        administering the State plan under this part to 
                        keep children safe and provide permanent 
                        families for children,
                in ways that increase the ability of such current or 
                prospective parents, guardians, staff members, 
                institutions, attorneys, advocates, and persons to 
                provide support and assistance to foster and adopted 
                children and children residing permanently with a 
                relative guardian, whether incurred directly by the 
                State or by contract,''.

SEC. 9. EFFECTIVE DATE.

    (a) In General.--Except as provided in subsection (b), the 
amendments made by this Act shall take effect on October 1, 2006, and 
shall apply to payments under parts B and E of title IV of the Social 
Security Act for calendar quarters beginning on or after such date, 
without regard to whether regulations to implement the amendments are 
promulgated by such date.
    (b) Delay Permitted If State Legislation Required.--If the 
Secretary of Health and Human Services determines that State 
legislation (other than legislation appropriating funds) is required in 
order for a State plan under part B or E of title IV of the Social 
Security Act to meet the additional requirements imposed by the 
amendments made by this Act, the plan shall not be regarded as failing 
to meet any of the additional requirements before the 1st day of the 
1st calendar quarter beginning after the 1st regular session of the 
State legislature that begins after the date of the enactment of this 
Act. If the State has a 2-year legislative session, then each year of 
the session is deemed to be a separate regular session of the State 
legislature.
                                 <all>