[Congressional Record Volume 141, Number 138 (Thursday, September 7, 1995)]
[Senate]
[Pages S12842-S12870]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


                          AMENDMENTS SUBMITTED

                                 ______


                THE FAMILY SELF-SUFFICIENCY ACT OF 1995

                                 ______


                 BROWN (AND OTHERS) AMENDMENT NO. 2465

  Mr. BROWN (for himself, Mr. Moynihan, Mr. Simpson, Mr. Murkowski, Mr. 
Kohl, Mr. Campbell, Mr. Feingold, Mr. Byrd, and Mr. Helms) proposed an 
amendment to amendment No. 2280 proposed by Mr. Dole to the bill (H.R. 
4) to restore the American family, reduce illegitimacy, control welfare 
spending and reduce welfare dependence; as follows:

       At the appropriate place, insert the following:

     SEC.   . EXPENDITURE OF FEDERAL FUNDS IN ACCORDANCE WITH LAWS 
                   AND PROCEDURES APPLICABLE TO EXPENDITURE OF 
                   STATE FUNDS.

       (a) In General.--Notwithstanding any other provision of 
     law, any funds received by a State under the provisions of 
     law specified in subsection (b) shall be expended only in 
     accordance with the laws and procedures applicable to 
     expenditures of the State's own revenues, including 
     appropriation by the State legislature, consistent with the 
     terms and conditions required under such provisions of law.
       (b) Provisions of Law.--The provisions of law specified in 
     this subsection are the following:
       (1) Part A of title IV of the Social Security Act (relating 
     to block grants for temporary assistance to needy families).
       (2) Section 25 of the Food Stamp Act of 1977 (relating to 
     the optional State food assistance block grant).
       (3) Subtitles B and C of title VII of this Act (relating to 
     workforce development).
       (4) The Child Care and Development Block Grant Act of 1990 
     (relating to block grants for child care).
                                 ______


                      MOYNIHAN AMENDMENT NO. 2466

  Mr. MOYNIHAN proposed an amendment to amendment No. 2280 proposed by 
Mr. Dole to the bill H.R. 4, supra; as follows:

       In lieu of the matter proposed to be inserted, insert the 
     following:
     SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Family 
     Support Act of 1995''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. References to Social Security Act.

                TITLE I--STRENGTHENING THE JOBS PROGRAM

Sec. 101. Increase in required JOBS participation rates.
Sec. 102. Promoting work.
Sec. 103. Funding for the JOBS program and child care.
Sec. 104. Evaluation of the JOBS program.

           TITLE II--AID TO FAMILIES WITH DEPENDENT CHILDREN

              Subtitle A--Requirements for Teenage Parents

Sec. 201. Case management for parents under age 20.
Sec. 202. Participation in educational activity.
Sec. 203. Living arrangement requirements.

[[Page S 12843]]


                     Subtitle B--State Flexibility

       Part I--Establishment of Interagency Welfare Review Board

Sec. 211. Interagency Welfare Review Board.
Sec. 212. Waiver application.
Sec. 213. Review and approval of applications.
Sec. 214. Definition of State.

           Part II--Additional Provisions Concerning Waivers

Sec. 221. Schedule for consideration of waiver applications.
Sec. 222. State authority to establish certain AFDC rules.
Sec. 223. Waiver authority for the JOBS program.

                  TITLE III--CHILD SUPPORT ENFORCEMENT

Sec. 300. Short title.

    Subtitle A--Improvements to the Child Support Collection System

  Part I--Eligibility and Other Matters Concerning Title IV-D Program 
                                Clients

Sec. 301. Cooperation requirement and good cause exception.
Sec. 302. State obligation to provide paternity establishment and child 
              support enforcement services.
Sec. 303. Distribution of payments.
Sec. 304. Rights to notification and hearings.
Sec. 305. Privacy safeguards.

              Part II--Program Administration and Funding

Sec. 311. Federal matching payments.
Sec. 312. Performance-based incentives and penalties.
Sec. 313. Federal and State reviews and audits.
Sec. 314. Required reporting procedures.
Sec. 315. Automated data processing requirements.
Sec. 316. Director of CSE program; staffing study.
Sec. 317. Funding for secretarial assistance to State programs.
Sec. 318. Data collection and reports by the Secretary.

                   Part III--Locate and Case Tracking

Sec. 321. Central State and case registry.
Sec. 322. Centralized collection and disbursement of support payments.
Sec. 323. Amendments concerning income withholding.
Sec. 324. Locator information from interstate networks.
Sec. 325. Expanded Federal parent locator service.
Sec. 326. Use of social security numbers.

           Part IV--Streamlining and Uniformity of Procedures

Sec. 331. Adoption of uniform State laws.
Sec. 332. Improvements to full faith and credit for child support 
              orders.
Sec. 333. State laws providing expedited procedures.

                    Part V--Paternity Establishment

Sec. 341. State laws concerning paternity establishment.
Sec. 342. Outreach for voluntary paternity establishment.

       Part VI--Establishment and Modification of Support Orders

Sec. 351. National Child Support Guidelines Commission.
Sec. 352. Simplified process for review and adjustment of child support 
              orders.

                Part VII--Enforcement of Support Orders

Sec. 361. Federal income tax refund offset.
Sec. 362. Internal Revenue Service collection of arrearages.
Sec. 363. Authority to collect support from Federal employees.
Sec. 364. Enforcement of child support obligations of members of the 
              Armed Forces.
Sec. 365. Voiding of fraudulent transfers.
Sec. 366. State law authorizing suspension of licenses.
Sec. 367. Reporting arrearages to credit bureaus.
Sec. 368. Extended statute of limitation for collection of arrearages.
Sec. 369. Charges for arrearages.
Sec. 370. Denial of passports for nonpayment of child support.

                       Part VIII--Medical Support

Sec. 381. Technical correction to ERISA definition of medical child 
              support order.

                Part IX--Access and Visitation Programs

Sec. 391. Grants to States for access and visitation programs.

                    Subtitle B--Effect of Enactment

Sec. 395. Effective dates.
Sec. 396. Severability.

                 TITLE IV--SUPPLEMENTAL SECURITY INCOME

Sec. 401. Revised regulations applicable to the determination of 
              disability in individuals under the age of 18.
Sec. 402. Directory of services.
Sec. 403. Use of standardized tests and their equivalent.
Sec. 404. Graduated benefits for additional children.
Sec. 405. Treatment requirements for disabled individuals under the age 
              of 18.
Sec. 406. Special accounts for individuals under the age of 18.
Sec. 407. Continuing disability reviews for individuals under the age 
              of 18.
Sec. 408. Coordination of services for SSI children.

                   TITLE V--MISCELLANEOUS PROVISIONS

Sec. 501. Uniform alien eligibility criteria for public assistance 
              programs.
Sec. 502. Deeming of sponsor's income and resources to an alien under 
              the supplemental security income, aid to families with 
              dependent children, and food stamp programs.
Sec. 503. Adjustment to thrifty food plan.
Sec. 504. Failure to comply with other welfare and public assistance 
              programs.
     SEC. 2. REFERENCES TO SOCIAL SECURITY ACT.

       Except as otherwise specifically provided, whenever in this 
     Act an amendment is expressed in terms of an amendment to or 
     repeal of a section or other provision, the reference shall 
     be considered to be made to that section or other provision 
     of the Social Security Act (42 U.S.C. 301 et seq.).
                TITLE I--STRENGTHENING THE JOBS PROGRAM

     SEC. 101. INCREASE IN REQUIRED JOBS PARTICIPATION RATES.

       (a) In General.--Section 403(l)(3) (42 U.S.C. 603(l)(3)) is 
     amended--
       (1) in subparagraph (A)--
       (A) in clause (v), by striking ``and'';
       (B) in clause (vi), by striking the period and inserting 
     ``or 1996;''; and
       (C) by adding at the end the following new clauses:
       ``(vii) 30 percent if such year is 1997;
       ``(viii) 35 percent if such year is 1998;
       ``(ix) 40 percent if such year is 1999;
       ``(x) 45 percent if such year is 2000; and
       ``(xi) 50 percent if such year is 2001 or any year 
     thereafter.''; and
       (2) in subparagraph (B)--
       (A) in clause (ii)(IV), by striking ``fiscal years 1994 and 
     1995'' and inserting ``any fiscal year beginning after fiscal 
     year 1993''; and
       (B) in clause (iii), by striking subclauses (I) and (II) 
     and inserting the following:
       ``(I) the average monthly number of individuals required or 
     allowed by the State to participate in the program under part 
     F who have participated in such program in months in the 
     computation period (including individuals who combine 
     employment and participation in such program for an average 
     of 20 hours a week in that month in such period), plus the 
     number of individuals who are employed for an average of 20 
     hours a week in that month in such period, divided by
       ``(II) the average monthly number of individuals required 
     to participate under the program under part F in such period 
     (other than individuals described in subparagraph (C)(iii)(I) 
     or (D) of section 402(a)(19) with respect to whom the State 
     has exercised its option to require their participation), 
     minus the average monthly number of individuals who are being 
     sanctioned in such period pursuant to section 
     402(a)(19)(G).''.
       (b) Conforming Amendments.--The Family Support Act of 1988 
     (42 U.S.C. 1305 note) is amended by striking section 
     204(b)(2).

     SEC. 102. PROMOTING WORK.

       (a) Increased Employment and Job Retention.--Section 481(a) 
     (42 U.S.C. 681(a)) is amended to read as follows:
       ``Sec. 481. (a) Purpose.--It is the purpose of this part to 
     assist each State in providing such services as the State 
     determines to be necessary to--
       ``(1) enable individuals receiving assistance under part A 
     to enter employment as quickly as possible;
       ``(2) increase job retention; and
       ``(3) ensure that needy families with children obtain the 
     education, training, and employment that will help them avoid 
     long-term welfare dependence.''.
       (b) State Agency Responsibilities.--Section 482(a)(2) (42 
     U.S.C. 682(a)(2)) is amended--
       (1) by striking ``(2) The'' and inserting ``(2)(A) The''; 
     and
       (2) by adding at the end the following new subparagraphs:
       ``(B) The State agency shall establish procedures to--
       ``(i) encourage the placement of participants in jobs as 
     quickly as possible, including using performance measures 
     that reward staff performance, or such other management 
     practice as the State may choose; and
       ``(ii) assist participants in retaining employment after 
     they are hired.
       ``(C) The Secretary shall provide technical assistance and 
     training to States to assist the States in implementing 
     effective management practices and strategies in order to 
     achieve the purpose of this part.''.
       (c) Services and Activities Under the JOBS Program.--
     Section 482(d)(1)(A)(i) (42 U.S.C. 682(d)(1)(A)(i)) is 
     amended--
       (1) in the matter preceding subclause (I), by striking 
     ``shall'' and inserting ``may''; and
       (2) in subclause (I), by striking ``(as appropriate)'' and 
     all that follows through the semicolon and inserting a 
     semicolon.
       (d) Job Placement Voucher Program.--
       (1) Addition of program.--Section 482 (42 U.S.C. 682) is 
     amended--
       (A) in subsection (d)(1)(A)(ii)--
       (i) in subclause (III), by striking ``and'' at the end;
       (ii) in subclause (IV), by striking the period and 
     inserting ``; and''; and
       (iii) by adding at the end the following new subclause:
       ``(V) a job placement voucher program as described in 
     subsection (h).''; 

[[Page S 12844]]

       (B) by redesignating subsections (h) and (i) as subsections 
     (i) and (j), respectively; and
       (C) by inserting after subsection (g), the following 
     subsection:
       ``(h) Job Placement Voucher Program.--(1) The State agency 
     may establish and operate a job placement voucher program for 
     individuals participating in the program under this part.
       ``(2) A State that elects to operate a job placement 
     voucher program under this subsection--
       ``(i) shall establish eligibility requirements for 
     participation in the job placement voucher program; and
       ``(ii) may establish other requirements for such voucher 
     program as the State deems appropriate.
       ``(3) A job placement voucher program operated by a State 
     under this subsection shall include the following 
     requirements:
       ``(A) The State shall identify, maintain, and make 
     available to an individual applying for or receiving 
     assistance under part A a list of State-approved job 
     placement organizations that offer services in the area where 
     the individual resides and a description of the job placement 
     and support services each such organization provides. Such 
     organizations may be publicly or privately owned and 
     operated.
       ``(B)(i) An individual determined to be eligible for 
     assistance under part A shall, at the time the individual 
     becomes eligible for such assistance--
       ``(I) receive the list and description described in 
     subparagraph (A);
       ``(II) agree, in exchange for job placement and support 
     services, to--
       ``(aa) execute, within a period of time permitted by the 
     State, a contract with a State-approved job placement 
     organization which provides that the organization shall 
     attempt to find employment for the individual; and
       ``(bb) comply with the terms of the contract; and

       ``(III) receive a job placement voucher (in an amount to be 
     determined by the State) for payment to a State-approved job 
     placement organization.
       ``(ii) The State shall impose the sanctions provided for in 
     section 402(a)(19)(G) on any individual who does not fulfill 
     the terms of a contract executed with a State-approved job 
     placement organization.
       ``(C) At the time an individual executes a contract with a 
     State-approved job placement organization, the individual 
     shall provide the organization with the job placement voucher 
     that the individual received pursuant to subparagraph (B).
       ``(D)(i) A State-approved job placement organization may 
     redeem for payment from the State not more than 25 percent of 
     the value of a job placement voucher upon the initial receipt 
     of the voucher for payment of costs incurred in finding and 
     placing an individual in an employment position. The 
     remaining value of such voucher shall not be redeemed for 
     payment from the State until the State-approved job placement 
     organization--
       ``(I) finds an employment position (as determined by the 
     State) for the individual who provided the voucher; and
       ``(II) certifies to the State that the individual remains 
     employed with the employer that the organization originally 
     placed the individual with for the greater of--
       ``(aa) 6 continuous months; or
       ``(bb) a period determined by the State.
       ``(ii) A State may modify, on a case-by-case basis, the 
     requirement of clause (i)(II) under such terms and conditions 
     as the State deems appropriate.
       ``(E)(i) The State shall establish performance-based 
     standards to evaluate the success of the State job placement 
     voucher program operated under this subsection in achieving 
     employment for individuals participating in such voucher 
     program. Such standards shall take into account the economic 
     conditions of the State in determining the rate of success.
       ``(ii) The State shall, not less than once a fiscal year, 
     evaluate the job placement voucher program operated under 
     this subsection in accordance with the performance-based 
     standards established under clause (i).
       ``(iii) The State shall submit a report containing the 
     results of an evaluation conducted under clause (ii) to the 
     Secretary and a description of the performance-based 
     standards used to conduct the evaluation in such form and 
     under such conditions as the Secretary shall require. The 
     Secretary shall review each report submitted under this 
     clause and may require the State to revise the performance-
     based standards if the Secretary determines that the State is 
     not achieving an adequate rate of success for such State.''.
       (2) Conforming amendments.--Title IV (42 U.S.C. 681 et 
     seq.) is amended--
       (A) in section 403(l) (42 U.S.C. 603(l))--
       (i) in paragraph (1)(A), by striking ``482(i)(2)'' and 
     inserting ``482(j)(2)''; and
       (ii) in paragraph (4)(A)(i), by inserting ``a job placement 
     voucher program,'' after ``on-the-job training,''; and
       (B) in section 431(a)(6) (42 U.S.C. 629a(a)(6))--
       (i) by striking ``482(i)(5)'' and inserting ``482(j)(5)''; 
     and
       (ii) by striking ``482(i)(7)(A)'' and inserting 
     ``482(j)(7)(A)''.
       (3) Effective date.--The amendments made by paragraphs (1) 
     and (2) shall be effective with respect to calendar quarters 
     beginning with the second calendar quarter beginning after 
     the date of the enactment of this Act.
       (e) Elimination of Requirement To Provide Educational 
     Activities to Individuals Age 20 or Older; Permitting States 
     To Provide Employment Services for Non-Custodial Parents.--
     Section 482(d) (42 U.S.C. 682(d)) is amended--
       (1) by striking paragraph (2);
       (2) by redesignating paragraph (3) as paragraph (2); and
       (3) in paragraph (2), as so redesignated--
       (A) by striking ``up to 5''; and
       (B) by striking the second sentence.
       (f) Increase in Period in Which Earned Income Disregard May 
     Apply Under Work Supplementation Program.--Section 482(e) (42 
     U.S.C. 682(e)) is amended in paragraphs (2)(G) and (4), by 
     striking ``9 months'' and inserting ``12 months''.
       (g) State Flexibility for the Job Search Program.--Section 
     482(g) (42 U.S.C. 682(g)) is amended--
       (1) in paragraph (2)--
       (A) by inserting ``, and subject to paragraph (3),'' after 
     ``section 402(a)(19)(B)(i)''; and
       (B) by striking ``applies)--'' and all that follows through 
     the period at the end and inserting ``applies) at such time 
     or times as the State agency may determine.''; and
       (2) in paragraph (3), by inserting ``, not including any 
     period of job search that occurred at the same time that the 
     individual was participating in another activity under this 
     part'' after ``12 months''.

     SEC. 103. FUNDING FOR THE JOBS PROGRAM AND CHILD CARE.

       (a) Funding for the JOBS Program.--
       (1) Increase in funding.--Section 403(k)(3) (42 U.S.C. 
     603(k)(3)) is amended--
       (A) in subparagraph (E), by striking ``and''; and
       (B) by striking subparagraph (F) and inserting the 
     following:
       ``(F) $1,200,000,000 in the case of the fiscal year 1996,
       ``(G) $1,300,000,000 in the case of the fiscal year 1997,
       ``(H) $1,600,000,000 in the case of the fiscal year 1998,
       ``(I) $1,900,000,000 in the case of the fiscal year 1999,
       ``(J) $2,200,000,000 in the case of the fiscal year 2000, 
     and
       ``(K) $2,500,000,000 in the case of the fiscal year 2001, 
     and each succeeding fiscal year,''.
       (2) Applicable percentages.--
       (A) In general.--Section 403(l)(1) (42 U.S.C. 603(l)(1)) is 
     amended--
       (i) by striking ``(l)(1)(A) In lieu'' and inserting 
     ``(l)(1) In lieu''; and
       (ii) by striking ``(including expenditures'' and all that 
     follows through subparagraph (B), and inserting ``an amount 
     equal to the greater of--
       ``(A) 70 percent; or
       ``(B) the Federal medical assistance percentage (as defined 
     in section 1118 in the case of any State to which section 
     1108 applies, or as defined in section 1905(b) in the case of 
     any other State) plus ten percentage points,
     in the case of expenditures made by a State in operating such 
     a program for in a fiscal year.''.
       (B) Conforming amendments.--Section 403(l) (42 U.S.C. 
     603(l)) is amended--
       (i) in paragraph (2)(A), by striking ``paragraph (1)(A)'' 
     and inserting ``paragraph (1)''; and
       (ii) in paragraph (3)(C), by striking ``paragraph (1)(A)'' 
     and inserting ``paragraph (1)''.
       (b) Funding for Child Care.--
       (1) Funding for jobs and transitional child care.--
       (A) In general.--Section 402(g)(3)(A) (42 U.S.C. 
     602(g)(3)(A)) is amended to read as follows:
       ``(3)(A) In the case of amounts expended for child care 
     pursuant to clause (i) or (ii) of paragraph (1)(A), the 
     applicable rate for purposes of section 403(a) shall be the 
     greater of--
       ``(i) 70 percent; or
       ``(ii) the Federal medical assistance percentage (as 
     defined in section 1118 in the case of any State to which 
     section 1108 applies, or as defined in section 1905(b) in the 
     case of any other State) plus ten percentage points.''.
       (B) Extension of the transitional child care program.--
     Section 304(b) of the Family Support Act of 1988 (42 U.S.C. 
     602 note) is amended--
       (i) by striking ``(1)''; and
       (ii) by striking paragraph (2).
       (2) Funding for at-risk child care.--Section 403(n)(1)(A) 
     (42 U.S.C. 603(n)(1)(A)) is amended to read as follows:
       ``(A) 70 percent, or, if higher, the Federal medical 
     assistance percentage (as defined in section 1118 in the case 
     of any State to which section 1108 applies, or as defined in 
     section 1905(b) in the case of any other State) plus ten 
     percentage points, of the expenditures by the State in 
     providing child care services pursuant to section 402(i), and 
     in administering the provision of such child care services, 
     for any fiscal year; and''.
       (c) Effective Dates.--
       (1) In general.--Except as provided in paragraph (2), the 
     amendments made by this section shall take effect on the date 
     of the enactment of this Act.
       (2) Applicable percentages.--The amendments made by 
     subsections (a)(2) and (b) shall take effect on October 1, 
     1996.

     SEC. 104. EVALUATION OF THE JOBS PROGRAM.

       (a) Evaluation Objectives and Development.--
       (1) Objectives.--The Secretary shall develop and implement 
     a plan for evaluating 

[[Page S 12845]]
     the programs operated by the States under part F of title IV of the 
     Social Security Act (42 U.S.C. 681 et seq.). Such plan shall 
     be designed to develop information to--
       (A) assess the impacts of such programs with respect to--
       (i) cost effectiveness;
       (ii) the level of earnings achieved;
       (iii) welfare receipt;
       (iv) job retention;
       (v) the effects on children; and
       (vi) such other factors as the Secretary may determine;
       (B) provide guidance to the Secretary in making any 
     necessary changes and improvements in the performance 
     standards required by section 487 of such Act (42 U.S.C. 
     687); and
       (C) enable the Secretary to provide technical assistance to 
     the States to assist them in improving such programs and in 
     meeting such standards.
       (2) Development of plan.--The plan described in paragraph 
     (1) shall be developed by the Secretary in consultation with 
     representatives of the States.
       (b) Definitions.--For purposes of this section:
       (1) Secretary.--The term ``Secretary'' means the Secretary 
     of Health and Human Services.
       (2) State.--The term ``State'' means any of the 50 States, 
     the District of Columbia, the Commonwealth of Puerto Rico, 
     the Virgin Islands, Guam, and American Samoa.
       (c) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as may be necessary for fiscal 
     years 1996 through 2000 for the purpose of carrying out the 
     provisions of this section. Any sums so appropriated shall 
     remain available until expended.
           TITLE II--AID TO FAMILIES WITH DEPENDENT CHILDREN
              Subtitle A--Requirements for Teenage Parents
     SEC. 201. CASE MANAGEMENT FOR PARENTS UNDER AGE 20.

       (a) In General.--Section 482(b) (42 U.S.C. 682(b)) is 
     amended by adding at the end the following new paragraph:
       ``(4) Case manager.--The State agency shall--
       ``(A) assign a case manager to each custodial parent 
     receiving aid under part A who is under age 20;
       ``(B) provide that case managers will have the training 
     necessary (taking into consideration the recommendations of 
     appropriate professional organizations) to enable them to 
     carry out their responsibilities and will be assigned a 
     caseload the size of which permits effective case management; 
     and
       ``(C) provide that the case manager will be responsible 
     for--
       ``(i) assisting such parent in obtaining appropriate 
     services, including at a minimum, parenting education, family 
     planning services, education and vocational training, and 
     child care and transportation services,
       ``(ii) making the determinations required to implement the 
     provision of section 402(a)(43),
       ``(iii) monitoring such parent's compliance with all 
     program requirements, and, where appropriate, providing 
     incentives and applying sanctions, and
       ``(iv) providing general guidance, encouragement, and 
     support to assist such parent in his or her role as a parent 
     and in achieving self-sufficiency.''.
       (b) Effective Date.--The amendment made by this section 
     shall be effective with respect to calendar quarters 
     beginning on or after October 1, 1996.

     SEC. 202. PARTICIPATION IN EDUCATIONAL ACTIVITY.

       (a) In General.--Section 402(a)(19)(E) (42 U.S.C. 
     602(a)(19)(E)) is amended to read as follows:
       ``(E) that the State agency shall--
       ``(i) in the case of a custodial parent who has not 
     attained 20 years of age, has not successfully completed a 
     high school education (or its equivalent), and is required to 
     participate in the program (including an individual who would 
     otherwise be exempt from participation in the program solely 
     by reason of subparagraph (C)(iii)), require such parent to--

       ``(I) attend school,
       ``(II) participate in a program that combines classroom and 
     job training, or
       ``(III) work toward attainment of a high school education 
     (or its equivalent);

       ``(ii) in the case of custodial parent who has not attained 
     20 years of age, but has successfully completed a high school 
     education (or its equivalent), and is required to participate 
     in the program (including an individual who would otherwise 
     be exempt from participation in the program solely by reason 
     of subparagraph (C)(iii)), require such parent to participate 
     in a JOBS activity (including a work activity) approved by 
     the State;
       ``(iii) establish criteria in accordance with regulations 
     of the Secretary under which a custodial parent described in 
     clauses (i) and (ii) who has not attained 20 years of age may 
     be exempted from the requirements under such clause but the 
     number of such parents exempted from such requirements shall 
     not exceed 50 percent in fiscal year 2000 or any fiscal year 
     thereafter; and
       ``(iv) at the option of the State, some or all custodial 
     parents who are under age 20 (and pregnant women under age 
     20) who are receiving aid under this part will be required to 
     participate in a program of monetary incentives and 
     penalties, consistent with subsection (j);''.
       (b) State Option To Provide Additional Incentives and 
     Penalties To Encourage Teenage Parents To Complete High 
     School--Section 402 (42 U.S.C. 602) is amended by adding at 
     the end the following new subsection:
       ``(j)(1) If a State chooses to conduct a program of 
     monetary incentives and penalties to encourage custodial 
     parents (and pregnant women) who are under age 20 to complete 
     their high school (or equivalent) education, and participate 
     in parenting activities, the State shall amend its State 
     plan--
       ``(A) to specify the one or more political subdivisions in 
     which the State will conduct the program (or other clearly 
     defined geographic area or areas), and
       ``(B) to describe its program in detail.
       ``(2) A program under this subsection--
       ``(A) may, at the option of the State, include all such 
     parents who are under age 21;
       ``(B) may, at the option of the State, require full-time 
     participation in secondary school or equivalent educational 
     activities, or participation in a course or program leading 
     to a skills certificate found appropriate by the State agency 
     or parenting education activities (or any combination of such 
     activities and secondary education);
       ``(C) shall require that the case manager assigned to the 
     custodial parent pursuant to paragraph (3) or (4) of section 
     482(b) will review the needs of such parent and will assure 
     that, either in the initial development or revision of the 
     parent's employability plan, there will be included a 
     description of the services that will be provided to the 
     parent and the way in which the case manager and service 
     providers will coordinate with the educational or skills 
     training activities in which the custodial parent is 
     participating;
       ``(D) shall provide monetary incentives for more than 
     minimally acceptable performance of required educational 
     activities; and
       ``(E) shall provide penalties which may be those required 
     by subsection (a)(19)(G) or, with the approval of the 
     Secretary, other monetary penalties that the State finds will 
     better achieve the objectives of the program.
       ``(3) When a monetary incentive is payable because of the 
     more than minimally acceptable performance of required 
     educational activities by a custodial parent, the incentive 
     shall be paid directly to such parent, regardless of whether 
     the State agency makes payment of aid under the State plan 
     directly to such parent.
       ``(4)(A) For purposes of this part, monetary incentives 
     paid under this subsection shall be considered aid to 
     families with dependent children.
       ``(B) For purposes of any other Federal or federally 
     assisted program based on need, no monetary incentive paid 
     under this subsection shall be considered income in 
     determining a family's eligibility for or amount of benefits 
     under such program, and if aid is reduced by reason of a 
     penalty under this subsection, such other program shall treat 
     the family involved as if no such penalty has been applied.
       ``(5) The State agency shall from time to time provide such 
     information as the Secretary may request, and otherwise 
     cooperate with the Secretary, in order to permit evaluation 
     of the effectiveness on a broad basis of the State's program 
     conducted under this subsection.''.
       (c) Effective Date.--The amendments made by this section 
     shall be effective with respect to calendar quarters 
     beginning on or after October 1, 1996.

     SEC. 203. LIVING ARRANGEMENT REQUIREMENTS.

       (a) In General.--Section 402(a)(43) (42 U.S.C. 602(a)(43)) 
     is amended--
       (1) in the matter preceding subparagraph (A), by striking 
     ``at the option of the State,'',
       (2) in subparagraph (A), by redesignating clauses (i) and 
     (ii) as subclauses (I) and (II), respectively,
       (3) by striking ``(A) subject to subparagraph (B),'' and 
     inserting ``(A)(i) subject to clause (ii),'',
       (4) in subclause (II) of subparagraph (A)(i), as 
     redesignated--
       (A) by striking ``(where possible)'', and
       (B) by striking ``or other adult relative'' and inserting 
     ``other adult relative, or other adult supervising the living 
     arrangement'', and
       (5) by striking subparagraph (B) and inserting the 
     following:
       ``(ii) clause (i) does not apply in any case in which the 
     State agency--
       ``(I) determines that the physical or emotional health or 
     safety of such individual or such dependent child would be 
     jeopardized if such individual and such dependent child lived 
     in the same residence with such individual's own parent or 
     legal guardian; or
       ``(II) otherwise determines in accordance with regulations 
     issued by the Secretary that there is good cause for waiving 
     such clause; and
       ``(B) if an individual is not residing in an alternative 
     adult-supervised living arrangement that is approved by the 
     State agency, the State agency (in consultation with the 
     child welfare agency) is required to assist the individual in 
     locating an appropriate living arrangement;''.
       (b) Effective Date.--The amendments made by this section 
     shall be effective with respect to calendar quarters 
     beginning on or after October 1, 1997.
     
[[Page S 12846]]

                     Subtitle B--State Flexibility

       PART I--ESTABLISHMENT OF INTERAGENCY WELFARE REVIEW BOARD

     SEC. 211. INTERAGENCY WELFARE REVIEW BOARD.

       (a) Establishment and Purpose.--In order to facilitate the 
     consideration of welfare program requirement waiver requests 
     that involve more than 1 Federal department or agency, there 
     is established an Interagency Welfare Review Board (hereafter 
     in this part referred to as the ``Board'').
       (b) Membership.--The Board shall consist of the following 
     members:
       (1) The Secretary of Agriculture (or the designee of the 
     Secretary).
       (2) The Secretary of Health and Human Services (or the 
     designee of the Secretary).
       (3) The Secretary of Housing and Urban Development (or the 
     designee of the Secretary).
       (4) The Secretary of Labor (or the designee of the 
     Secretary).
       (5) The Secretary of Education (or the designee of the 
     Secretary).
       (6) Such other individuals as the President determines 
     appropriate.
       (c) Chairperson.--The President shall appoint 1 member of 
     the Board to serve as Chairperson of the Board.
       (d) Vacancies.--A vacancy in the position of Chairperson 
     shall be filled in the manner in which the original 
     appointment was made.
       (e) No Additional Compensation.--The members of the Board 
     may not be provided additional pay, allowances, or benefits 
     by reason of their service on the Board.
       (f) Powers.--
       (1) Assistance of other federal entities.--A member of the 
     Board shall detail to the Chairperson, on a nonreimbursable 
     basis, such officers and employees of the department or 
     agency headed by the member, and shall make available to the 
     Chairperson such assistance as the Chairperson may require to 
     carry out the activities of the Board.
       (2) Use of united states mails.--The Chairperson may use 
     the United States mails in the same manner and under the same 
     conditions as other departments and agencies of the United 
     States.
       (g) Duties.--
       (1) In general.--The Board shall act as the central 
     organization for coordinating the review of applications 
     submitted under section 212 by States for waivers from the 
     requirements of eligible Federal low-income assistance 
     programs that involve more than 1 department or agency of the 
     Federal Government.
       (2) Duty to provide technical assistance.--The Board shall 
     provide assistance and technical advice to entities 
     submitting applications under section 212 and implementing an 
     assistance plan under an application approved under section 
     213.

     SEC. 212. WAIVER APPLICATION.

       Any State that is receiving or is eligible to receive funds 
     or other assistance under eligible Federal low-income 
     assistance programs involving more than 1 Federal department 
     or agency and desires a waiver authorized by law from the 
     Federal requirements with respect to such programs may submit 
     to the Board an application for such waiver. The application 
     shall be submitted in the form and manner prescribed by the 
     Board.

     SEC. 213. REVIEW AND APPROVAL OF APPLICATIONS.

       (a) Review of Applications.--The Board shall review a 
     waiver application submitted under section 212 and issue an 
     advisory opinion with respect to such waiver application. 
     Final decisions with respect to the waiver application shall 
     be made by the Secretaries of the departments or agencies 
     that have responsibility for administering the programs with 
     respect to which the waiver is sought.
       (b) Action on Application.--The Board shall establish a 
     schedule for the consideration of a waiver application 
     submitted under section 212, to assure that the State will 
     receive a final decision from the Secretaries described in 
     subsection (a) on the waiver application not later than 90 
     days after the date the completed application is received by 
     the Board.

     SEC. 214. DEFINITION OF STATE.

       (a) In General.--For purposes of this part, the term 
     ``State'' means any of the 50 States, the District of 
     Columbia, Puerto Rico, American Samoa, Guam, and the Virgin 
     Islands.
       (b) Indian Tribes.--In the case of an eligible Federal low-
     income assistance program under which aid or assistance is 
     provided with respect to an Indian tribe, the Indian tribal 
     organization is deemed to be a State for purposes of this 
     part.

           PART II--ADDITIONAL PROVISIONS CONCERNING WAIVERS

     SEC. 221. SCHEDULE FOR CONSIDERATION OF WAIVER APPLICATIONS.

       Section 1115 (42 U.S.C. 1315) is amended--
       (1) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively;
       (2) by striking ``(a) In'' and inserting ``(a)(1) In''; and
       (3) by adding at the end the following new paragraph:
       ``(2) Not later than 90 days after the date a completed 
     application from a State for a waiver under paragraph (1) is 
     received by the Secretary, the Secretary shall approve or 
     disapprove such application. In considering an application 
     for a waiver, there shall be a presumption for approval in 
     the case of a request for a waiver that is similar in 
     substance and scale to one that the Secretary has previously 
     approved.''.
     SEC. 222. STATE AUTHORITY TO ESTABLISH CERTAIN AFDC RULES.

       (a) In General.--Section 1115 (42 U.S.C. 1315) is amended 
     by adding at the end the following new subsection:
       ``(e)(1) Any State having an approved plan under part A of 
     title IV may, without receiving a waiver from the Secretary 
     pursuant to this section or otherwise, establish any of the 
     program changes described in paragraph (2) for purposes of 
     providing aid or assistance under part A of such title.
       ``(2) The program changes described in this paragraph are 
     the following:
       ``(A) Income and resource requirements other than those 
     specified in section 402(a)(7) in order to test the effect of 
     such requirements on an individual's effort to obtain 
     employment.
       ``(B) Requirements relating to the disregard of income 
     other than those specified in section 402(a)(8).
       ``(C) Standards for defining unemployment other than those 
     prescribed by the Secretary pursuant to section 407(a).
       ``(D) Rules for the eligibility for aid or assistance under 
     part A of title IV of an unemployed parent without regard to 
     section 407(b)(1)(A)(iii).
       ``(3)(A) The Secretary shall evaluate a sufficient number 
     of the program changes described in paragraph (2) which are 
     established by a State in order to determine the impact of 
     such changes on the receipt of aid to families with dependent 
     children program under part A of title IV in such State, 
     earnings achieved, costs to the Federal and State 
     governments, and such other factors as the Secretary may 
     determine.
       ``(B) Any State chosen by the Secretary for an evaluation 
     under subparagraph (A) shall cooperate with such evaluation.
       ``(C) There are authorized to be appropriated such sums as 
     may be necessary for the purpose of conducting evaluations 
     under this paragraph.
       ``(4) The authority provided by paragraphs (1) and (2) of 
     this subsection shall expire 5 years after the date on which 
     this subsection takes effect.''.
       (b) Effective Date.--The amendment made by this section 
     shall take effect on October 1, 1996.

     SEC. 223. WAIVER AUTHORITY FOR THE JOBS PROGRAM.

       Section 1115(a) (42 U.S.C. 1315(a)) is amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``part A or D of title IV'' and inserting ``part A, D, or F 
     of title IV'';
       (2) in paragraph (1), by inserting ``482,'' after ``454,''; 
     and
       (3) in paragraph (2), by inserting ``402(g),'' after 
     ``section 3,''.
                  TITLE III--CHILD SUPPORT ENFORCEMENT

     SEC. 300. SHORT TITLE.

       This title may be cited as the ``Interstate Child Support 
     Responsibility Act of 1995''.
    Subtitle A--Improvements to the Child Support Collection System

  PART I--ELIGIBILITY AND OTHER MATTERS CONCERNING TITLE IV-D PROGRAM 
                                CLIENTS

     SEC. 301. COOPERATION REQUIREMENT AND GOOD CAUSE EXCEPTION.

       (a) Child Support Enforcement Requirements.--Section 454 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 after paragraph (24) the following new 
     paragraph:
       ``(25) provide that the State agency administering the plan 
     under this part--
       ``(A) will make the determination specified under paragraph 
     (4), as to whether an individual is cooperating with efforts 
     to establish paternity and secure support (or has good cause 
     not to cooperate with such efforts) for purposes of the 
     requirements of sections 402(a)(26) and 1912;
       ``(B) will advise individuals, both orally and in writing, 
     of the grounds for good cause exceptions to the requirement 
     to cooperate with such efforts;
       ``(C) will take the best interests of the child into 
     consideration in making the determination whether such 
     individual has good cause not to cooperate with such efforts;
       ``(D)(i) will make the initial determination as to whether 
     an individual is cooperating (or has good cause not to 
     cooperate) with efforts to establish paternity within 10 days 
     after such individual is referred to such State agency by the 
     State agency administering the program under part A of title 
     XIX;
       ``(ii) will make redeterminations as to cooperation or good 
     cause at appropriate intervals; and
       ``(iii) will promptly notify the individual, and the State 
     agencies administering such programs, of each such 
     determination and redetermination;
       ``(E) with respect to any child born on or after the date 
     10 months after the date of the enactment of this provision--
       ``(i) will not determine (or redetermine) the mother of 
     such child to be cooperating with efforts to establish 
     paternity unless the mother furnishes--

       ``(I) the name of the putative father (or fathers); and
       ``(II) sufficient additional information to enable the 
     State agency, if reasonable efforts were made, to verify the 
     identity of the person named as the putative father 
     (including such information as the putative father's present 
     address, telephone number, date of birth, past or present 
     place of employment, 

[[Page S 12847]]
     school previously or currently attended, and names and addresses of 
     parents, friends, or relatives able to provide location 
     information, or other information that could enable service 
     of process on such person); and

       ``(ii) in the case of a caretaker who is not the mother and 
     who is receiving payments for the child under part A, will 
     determine (or redetermine) such caretaker to be reasonably 
     cooperating with efforts to establish paternity under 
     regulations prescribed by the Secretary; and
       ``(F)(i) (where a custodial parent who was initially 
     determined not to be cooperating (or to have good cause not 
     to cooperate) is later determined to be cooperating or to 
     have good cause not to cooperate) will immediately notify the 
     State agencies administering the programs under part A of 
     title XIX that this eligibility condition has been met; and
       ``(ii) (where a custodial parent was initially determined 
     to be cooperating (or to have good cause not to cooperate)) 
     will not later determine such individual not to be 
     cooperating (or not to have good cause not to cooperate) 
     until such individual has been afforded an opportunity for a 
     hearing.''.
       (b) AFDC Amendments.--
       (1) Section 402(a)(11) is amended by striking ``furnishing 
     of'' and inserting ``application for''.
       (2) Section 402(a)(26) is amended--
       (A) in each of subparagraphs (A) and (B), by redesignating 
     clauses (i) and (ii) as subclauses (I) and (II);
       (B) by indenting and redesignating subparagraphs (A), (B), 
     and (C) as clauses (i), (ii), and (iv), respectively;
       (C) in clause (ii), as redesignated--
       (i) by striking ``is claimed, or in obtaining any other 
     payments or property due such applicant or such child,'' and 
     inserting ``is claimed;''; and
       (ii) by striking ``unless'' and all that follows through 
     ``aid is claimed; and'';
       (D) by adding after clause (ii) the following new clause:
       ``(iii) to cooperate with the State in obtaining any other 
     payments or property due such applicant or such child; and'';
       (E) in the matter preceding clause (i), as redesignated, to 
     read as follows:
       ``(26) provide--
       ``(A) that, as a condition of eligibility for aid, each 
     applicant or recipient will be required (subject to 
     subparagraph (C))--'';
       (F) in subparagraph (A)(iv), as redesignated, by striking 
     ``, unless such individual'' and all that follows through 
     ``individuals involved'';
       (G) by adding at the end the following new subparagraphs:
       ``(B) that the State agency will immediately refer each 
     applicant requiring paternity establishment services to the 
     State agency administering the program under part D;
       ``(C) that an individual will not be required to cooperate 
     with the State, as provided under subparagraph (A), if the 
     individual is found to have good cause for refusing to 
     cooperate, as determined in accordance with standards 
     prescribed by the Secretary, which standards shall take into 
     consideration the best interests of the child on whose behalf 
     aid is claimed--
       ``(i) to the satisfaction of the State agency administering 
     the program under part D, as determined in accordance with 
     section 454(25), with respect to the requirements under 
     clauses (i) and (ii) of subparagraph (A); and
       ``(ii) to the satisfaction of the State agency 
     administering the program under this part, with respect to 
     the requirements under clauses (iii) and (iv) of subparagraph 
     (A);
       ``(D) that (except as provided in subparagraph (E)) an 
     applicant requiring paternity establishment services (other 
     than an individual eligible for emergency assistance as 
     defined in section 406(e)) shall not be eligible for any aid 
     under this part until such applicant--
       ``(i) has furnished to the agency administering the State 
     plan under part D the information specified in section 
     454(25)(E); or
       ``(ii) has been determined by such agency to have good 
     cause not to cooperate;
       ``(E) that the provisions of subparagraph (D) shall not 
     apply--
       ``(i) if the State agency specified in such subparagraph 
     has not, within 10 days after such individual was referred to 
     such agency, provided the notification required by section 
     454(25)(D)(iii), until such notification is received; and
       ``(ii) if such individual appeals a determination that the 
     individual lacks good cause for noncooperation, until after 
     such determination is affirmed after notice and opportunity 
     for a hearing; and''; and
       (H)(i) by relocating and redesignating as subparagraph (F) 
     the text at the end of subparagraph (A)(ii) beginning with 
     ``that, if the relative'' and all that follows through the 
     semicolon;
       (ii) in subparagraph (F), as so redesignated and relocated, 
     by striking ``subparagraphs (A) and (B) of this paragraph'' 
     and inserting ``subparagraph (A)''; and
       (iii) by striking ``and'' at the end of subparagraph 
     (a)(ii).
       (c) Medicaid Amendments.--Section 1912(a) is amended--
       (1) in paragraph (1)(B), by inserting ``(except as provided 
     in paragraph (2))'' after ``to cooperate with the State'';
       (2) in subparagraphs (B) and (C) of paragraph (1) by 
     striking ``, unless'' and all that follows and inserting a 
     semicolon; and
       (3) by redesignating paragraph (2) as paragraph (5), and 
     inserting after paragraph (1) the following new paragraphs:
       ``(2) provide that the State agency will immediately refer 
     each applicant or recipient requiring paternity establishment 
     services to the State agency administering the program under 
     part D of title IV;
       ``(3) provide that an individual will not be required to 
     cooperate with the State, as provided under paragraph (1), if 
     the individual is found to have good cause for refusing to 
     cooperate, as determined in accordance with standards 
     prescribed by the Secretary, which standards shall take into 
     consideration the best interests of the individuals 
     involved--
       ``(A) to the satisfaction of the State agency administering 
     the program under part D, as determined in accordance with 
     section 454(25), with respect to the requirements to 
     cooperate with efforts to establish paternity and to obtain 
     support (including medical support) from a parent; and
       ``(B) to the satisfaction of the State agency administering 
     the program under this title, with respect to other 
     requirements to cooperate under paragraph (1);
       ``(4) provide that (except as provided in paragraph (5)) an 
     applicant requiring paternity establishment services (other 
     than an individual eligible for emergency assistance as 
     defined in section 406(e), or presumptively eligible pursuant 
     to section 1920) shall not be eligible for medical assistance 
     under this title until such applicant--
       ``(i) has furnished to the agency administering the State 
     plan under part D of title IV the information specified in 
     section 454(25)(E); or
       ``(ii) has been determined by such agency to have good 
     cause not to cooperate; and
       ``(5) provide that the provisions of paragraph (4) shall 
     not apply with respect to an applicant--
       ``(i) if such agency has not, within 10 days after such 
     individual was referred to such agency, provided the 
     notification required by section 454(25)(D)(iii), until such 
     notification is received); and
       ``(ii) if such individual appeals a determination that the 
     individual lacks good cause for noncooperation, until after 
     such determination is affirmed after notice and opportunity 
     for a hearing.''.
       (d) Effective Date.--The amendments made by this section 
     shall be effective with respect to applications filed in or 
     after the first calendar quarter beginning 10 months or more 
     after the date of the enactment of this Act (or such earlier 
     quarter as the State may select) for aid under part A of 
     title IV of the Social Security Act or for medical assistance 
     under title XIX of such Act.

     SEC. 302. STATE OBLIGATION TO PROVIDE PATERNITY ESTABLISHMENT 
                   AND CHILD SUPPORT ENFORCEMENT SERVICES.

       (a) State Law Requirements.--Section 466(a) (42 U.S.C. 
     666(a)) is amended by adding at the end the following new 
     paragraph:
       ``(12) Procedures under which--
       ``(A) every child support order established or modified in 
     the State on or after October 1, 1998, is recorded in the 
     central case registry established in accordance with section 
     454A(e); and
       ``(B) child support payments are collected through the 
     centralized collections unit established in accordance with 
     section 454B--
       ``(i) on and after October 1, 1998, under each order 
     subject to wage withholding under section 466(b); and
       ``(ii) on and after October 1, 1999, under each other order 
     required to be recorded in such central case registry under 
     this paragraph or section 454A(e)--

       ``(I) if requested by either party subject to such order, 
     or
       ``(II) at the option of the State, regardless of whether 
     application is made for services under this part.''.

       (b) State Plan Requirements.--Section 454 (42 U.S.C. 654) 
     is amended--
       (1) by striking paragraph (4) and inserting the following 
     new paragraph:
       ``(4) provide that such State will undertake to provide 
     appropriate services under this part to--
       ``(A) each child with respect to whom an assignment is 
     effective under section 402(a)(26), 471(a)(17), or 1912 
     (except in cases in which the State agency determines, in 
     accordance with paragraph (25), that it is against the best 
     interests of the child to do so); and
       ``(B) each child not described in subparagraph (A)--
       ``(i) with respect to whom an individual applies for such 
     services; or
       ``(ii) on and after October 1, 1998, with respect to whom a 
     support order is recorded in the central State case registry 
     established under section 454A, if application is made for 
     services under this part;''; and
       (2) in paragraph (6)--
       (A) by striking ``(6) provide that'' and all that follows 
     through subparagraph (A) and inserting the following:
       ``(6) provide that--
       ``(A) services under the State plan shall be made available 
     to nonresidents on the same terms as to residents;'';
       (B) in subparagraph (B)--
       (i) by inserting ``on individuals not receiving assistance 
     under part A'' after ``such services shall be imposed''; and
       (ii) by inserting ``but no fees or costs shall be imposed 
     on any absent or custodial parent or other individual for 
     inclusion in the central State registry maintained pursuant 
     to section 454A(e)''; and

[[Page S 12848]]

       (C) in each of subparagraphs (B), (C), (D), and (E), by 
     indenting such subparagraph and aligning its left margin with 
     the left margin of subparagraph (A); and
       (D) in each of subparagraphs (B), (C), and (D), by striking 
     the final comma and inserting a semicolon.
       (c) Conforming Amendments.--
       (1) Paternity establishment percentage.--Section 
     452(g)(2)(A) (42 U.S.C. 652(g)(2)(A)) is amended by striking 
     ``454(6)'' each place it appears and inserting 
     ``454(4)(A)(ii)''.
       (2) State plan.--Section 454(23) (42 U.S.C. 654(23)) is 
     amended, effective October 1, 1998, by striking ``information 
     as to any application fees for such services and''.
       (3) Procedures to improve enforcement.--Section 
     466(a)(3)(B) (42 U.S.C. 666(a)(3)(B)) is amended by striking 
     ``in the case of overdue support which a State has agreed to 
     collect under section 454(6)'' and inserting ``in any other 
     case''.
       (4) Definition of overdue support.--Section 466(e) (42 
     U.S.C. 666(e)) is amended by striking ``or (6)''.

     SEC. 303. DISTRIBUTION OF PAYMENTS.

       (a) Distributions Through State Child Support Enforcement 
     Agency to Former Assistance Recipients.--Section 454(5) (42 
     U.S.C. 654(5)) is amended--
       (1) in subparagraph (A)--
       (A) by inserting ``except as otherwise specifically 
     provided in section 464 or 466(a)(3),'' after ``is 
     effective,''; and
       (B) by striking ``except that'' and all that follows 
     through the semicolon; and
       (2) in subparagraph (B), by striking ``, except'' and all 
     that follows through ``medical assistance''.
       (b) Distribution to a Family Currently Receiving AFDC.--
     Section 457 (42 U.S.C. 657) is amended--
       (1) by striking subsection (a) and redesignating subsection 
     (b) as subsection (a);
       (2) in subsection (a), as redesignated--
       (A) in the matter preceding paragraph (2), to read as 
     follows:
       ``(a) In the Case of a Family Receiving AFDC.--Amounts 
     collected under this part during any month as support of a 
     child who is receiving assistance under part A (or a parent 
     or caretaker relative of such a child) shall (except in the 
     case of a State exercising the option under subsection (b)) 
     be distributed as follows:
       ``(1) an amount equal to the amount that will be 
     disregarded pursuant to section 402(a)(8)(A)(vi) shall be 
     taken from each of--
       ``(A) the amounts received in a month which represent 
     payments for that month; and
       ``(B) the amounts received in a month which represent 
     payments for a prior month which were made by the absent 
     parent in that prior month;
     and shall be paid to the family without affecting its 
     eligibility for assistance or decreasing any amount otherwise 
     payable as assistance to such family during such month;'';
       (B) in paragraph (4), by striking ``or (B)'' and all that 
     follows through the period and inserting ``; then (B) from 
     any remainder, amounts equal to arrearages of such support 
     obligations assigned, pursuant to part A, to any other State 
     or States shall be paid to such other State or States and 
     used to pay any such arrearages (with appropriate 
     reimbursement of the Federal Government to the extent of its 
     participation in the financing); and then (C) any remainder 
     shall be paid to the family.''; and
       (3) by inserting after subsection (a), as redesignated, the 
     following new subsection:
       ``(b) Alternative Distribution in Case of Family Receiving 
     AFDC.--In the case of a State electing the option under this 
     subsection, amounts collected as described in subsection (a) 
     shall be distributed as follows:
       ``(1) an amount equal to the amount that will be 
     disregarded pursuant to section 402(a)(8)(A)(vi) shall be 
     taken from each of--
       ``(A) the amounts received in a month which represent 
     payments for that month; and
       ``(B) the amounts received in a month which represent 
     payments for a prior month which were made by the absent 
     parent in that prior month;
     and shall be paid to the family without affecting its 
     eligibility for assistance or decreasing any amount otherwise 
     payable as assistance to such family during such month;
       ``(2) second, from any remainder, amounts equal to the 
     balance of support owed for the current month shall be paid 
     to the family;
       ``(3) third, from any remainder, amounts equal to 
     arrearages of such support obligations assigned, pursuant to 
     part A, to the State making the collection shall be retained 
     and used by such State to pay any such arrearages (with 
     appropriate reimbursement of the Federal Government to the 
     extent of its participation in the financing);
       ``(4) fourth, from any remainder, amounts equal to 
     arrearages of such support obligations assigned, pursuant to 
     part A, to any other State or States shall be paid to such 
     other State or States and used to pay any such arrearages 
     (with appropriate reimbursement of the Federal Government to 
     the extent of its participation in the financing); and
       ``(5) fifth, any remainder shall be paid to the family.''.
       (c) Distribution to a Family Not Receiving AFDC.--
       (1) In general.--Section 457(c) (42 U.S.C. 657(c)) is 
     amended to read as follows:
       ``(c) Distributions In Case of Family Not Receiving AFDC.--
     Amounts collected by a State agency under this part during 
     any month as support of a child who is not receiving 
     assistance under part A (or of a parent or caretaker relative 
     of such a child) shall (subject to the remaining provisions 
     of this section) be distributed as follows:
       ``(1) first, amounts equal to the total of such support 
     owed for such month shall be paid to the family;
       ``(2) second, from any remainder, amounts equal to 
     arrearages of such support obligations for months during 
     which such child did not receive assistance under part A 
     shall be paid to the family;
       ``(3) third, from any remainder, amounts equal to 
     arrearages of such support obligations assigned to the State 
     making the collection pursuant to part A shall be retained 
     and used by such State to pay any such arrearages (with 
     appropriate reimbursement of the Federal Government to the 
     extent of its participation in the financing); and
       ``(4) fourth, from any remainder, amounts equal to 
     arrearages of such support obligations assigned to any other 
     State pursuant to part A shall be paid to such other State or 
     States, and used to pay such arrearages, in the order in 
     which such arrearages accrued (with appropriate reimbursement 
     of the Federal Government to the extent of its participation 
     in the financing).''.
       (2) Effective date.--The amendment made by paragraph (1) 
     shall become effective on October 1, 1999.
       (d) Distribution to a Child Receiving Assistance Under 
     Title IV-E.--Section 457(d) (42 U.S.C. 657(d)) is amended, in 
     the matter preceding paragraph (1), by striking 
     ``Notwithstanding the preceding provisions of this section, 
     amounts'' and inserting the following:
       ``(d) Distributions In Case of a Child Receiving Assistance 
     Under Title IV-E.--Amounts''.
       (e) Regulations.--The Secretary of Health and Human 
     Services shall promulgate regulations--
       (1) under part D of title IV of the Social Security Act, 
     establishing a uniform nationwide standard for allocation of 
     child support collections from an obligor owing support to 
     more than 1 family; and
       (2) under part A of such title, establishing standards 
     applicable to States electing the alternative formula under 
     section 457(b) of such Act for distribution of collections on 
     behalf of families receiving Aid to Families with Dependent 
     Children, designed to minimize irregular monthly payments to 
     such families.
       (f) Clerical Amendments.--Section 454 (42 U.S.C. 654) is 
     amended--
       (1) in paragraph (11)--
       (A) by striking ``(11)'' and inserting ``(11)(A)''; and
       (B) by inserting after the semicolon ``and''; and
       (2) by redesignating paragraph (12) as subparagraph (B) of 
     paragraph (11).

     SEC. 304. RIGHTS TO NOTIFICATION AND HEARINGS.

       (a) In General.--Section 454 (42 U.S.C. 654), as amended by 
     section 302(f), is amended by inserting after paragraph (11) 
     the following new paragraph:
       ``(12) establish procedures to provide that--
       ``(A) individuals who are applying for or receiving 
     services under this part--
       ``(i) receive notice of all proceedings in which support 
     obligations might be established or modified; and
       ``(ii) receive a copy of any order establishing or 
     modifying a child support obligation, or (in the case of a 
     petition for modification) a notice of determination that 
     there should be no change in the amount of the child support 
     award, within 14 days after issuance of such order or 
     determination;
       ``(B) individuals applying for or receiving services under 
     this part have access to a fair hearing or other formal 
     complaint procedure that meets standards established by the 
     Secretary and ensures prompt consideration and resolution of 
     complaints (but the resort to such procedure shall not stay 
     the enforcement of any support order); and
       ``(C) the State may not provide to any noncustodial parent 
     of a child representation relating to the establishment or 
     modification of an order for the payment of child support 
     with respect to that child, unless the State makes provision 
     for such representation outside the State agency;''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall become effective on October 1, 1997.

     SEC. 305. PRIVACY SAFEGUARDS.

       (a) State Plan Requirement.--Section 454 (42 U.S.C. 454), 
     as amended by section 301(a), is amended--
       (1) by striking ``and'' at the end of paragraph (24);
       (2) by striking the period at the end of paragraph (25) and 
     inserting ``; and''; and
       (3) by adding after paragraph (25) the following:
       ``(26) provide that the State will have in effect 
     safeguards applicable to all sensitive and confidential 
     information handled by the State agency designed to protect 
     the privacy rights of the parties, including--
       ``(A) safeguards against unauthorized use or disclosure of 
     information relating to proceedings or actions to establish 
     paternity, or to establish or enforce support;
       ``(B) prohibitions on the release of information on the 
     whereabouts of 1 party to another party against whom a 
     protective order 

[[Page S 12849]]
     with respect to the former party has been entered; and
       ``(C) prohibitions on the release of information on the 
     whereabouts of 1 party to another party if the State has 
     reason to believe that the release of the information may 
     result in physical or emotional harm to the former party.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall become effective on October 1, 1997.

              PART II--PROGRAM ADMINISTRATION AND FUNDING

     SEC. 311. FEDERAL MATCHING PAYMENTS.

       (a) Increased Base Matching Rate.--Section 455(a)(2) (42 
     U.S.C. 655(a)(2)) is amended to read as follows:
       ``(2) The applicable percent for a quarter for purposes of 
     paragraph (1)(A) is--
       ``(A) for fiscal years 1997 and 1998, 66 percent, and
       ``(B) for fiscal year 1999 and succeeding fiscal years, 75 
     percent.''.
       (b) Maintenance of Effort.--Section 455 (42 U.S.C. 655) is 
     amended--
       (1) in subsection (a)(1), in the matter preceding 
     subparagraph (A), by striking ``From'' and inserting 
     ``Subject to subsection (c), from''; and
       (2) by inserting after subsection (b) the following new 
     subsection:
       ``(c) Notwithstanding the provisions of subsection (a), 
     total expenditures for the State program under this part for 
     fiscal year 1997 and each succeeding fiscal year (excluding 
     1-time capital expenditures for automation), reduced by the 
     percentage specified for such fiscal year under subsection 
     (a)(2) shall not be less than such total expenditures for 
     fiscal year 1996, reduced by 66 percent.''.

     SEC. 312. PERFORMANCE-BASED INCENTIVES AND PENALTIES.

       (a) Incentive Adjustments to Federal Matching Rate.--
     Section 458 (42 U.S.C. 658) is amended to read as follows:


                ``incentive adjustments to matching rate

       ``Sec. 458. (a) Incentive Adjustment.--
       ``(1) In general.--In order to encourage and reward State 
     child support enforcement programs which perform in an 
     effective manner, the Federal matching rate for payments to a 
     State under section 455(a)(1)(A), for each fiscal year 
     beginning on or after October 1, 1998, shall be increased by 
     a factor reflecting the sum of the applicable incentive 
     adjustments (if any) determined in accordance with 
     regulations under this section with respect to Statewide 
     paternity establishment and to overall performance in child 
     support enforcement.
       ``(2) Standards.--
       ``(A) In general.--The Secretary shall specify in 
     regulations--
       ``(i) the levels of accomplishment, and rates of 
     improvement as alternatives to such levels, which States must 
     attain to qualify for incentive adjustments under this 
     section; and
       ``(ii) the amounts of incentive adjustment that shall be 
     awarded to States achieving specified accomplishment or 
     improvement levels, which amounts shall be graduated, ranging 
     up to--

       ``(I) 5 percentage points, in connection with Statewide 
     paternity establishment; and
       ``(II) 10 percentage points, in connection with overall 
     performance in child support enforcement.

       ``(B) Limitation.--In setting performance standards 
     pursuant to subparagraph (A)(i) and adjustment amounts 
     pursuant to subparagraph (A)(ii), the Secretary shall ensure 
     that the aggregate number of percentage point increases as 
     incentive adjustments to all States do not exceed such 
     aggregate increases as assumed by the Secretary in estimates 
     of the cost of this section as of June 1995, unless the 
     aggregate performance of all States exceeds the projected 
     aggregate performance of all States in such cost estimates.
       ``(3) Determination of incentive adjustment.--The Secretary 
     shall determine the amount (if any) of incentive adjustment 
     due each State on the basis of the data submitted by the 
     State pursuant to section 454(15)(B) concerning the levels of 
     accomplishment (and rates of improvement) with respect to 
     performance indicators specified by the Secretary pursuant to 
     this section.
       ``(4) Fiscal year subject to incentive adjustment.--The 
     total percentage point increase determined pursuant to this 
     section with respect to a State program in a fiscal year 
     shall apply as an adjustment to the applicable percent under 
     section 455(a)(2) for payments to such State for the 
     succeeding fiscal year.
       ``(5) Recycling of incentive adjustment.--A State shall 
     expend in the State program under this part all funds paid to 
     the State by the Federal Government as a result of an 
     incentive adjustment under this section.
       ``(b) Meaning of Terms.--
       ``(1) Statewide paternity establishment percentage.--
       ``(A) In general.--For purposes of this section, the term 
     `Statewide paternity establishment percentage' means, with 
     respect to a fiscal year, the ratio (expressed as a 
     percentage) of--
       ``(i) the total number of out-of-wedlock children in the 
     State under 1 year of age for whom paternity is established 
     or acknowledged during the fiscal year, to
       ``(ii) the total number of children requiring paternity 
     establishment born in the State during such fiscal year.
       ``(B) Alternative measurement.--The Secretary shall develop 
     an alternate method of measurement for the Statewide 
     paternity establishment percentage for any State that does 
     not record the out-of-wedlock status of children on birth 
     certificates.
       ``(2) Overall performance in child support enforcement.--
     The term `overall performance in child support enforcement' 
     means a measure or measures of the effectiveness of the State 
     agency in a fiscal year which takes into account factors 
     including--
       ``(A) the percentage of cases requiring a child support 
     order in which such an order was established;
       ``(B) the percentage of cases in which child support is 
     being paid;
       ``(C) the ratio of child support collected to child support 
     due; and
       ``(D) the cost-effectiveness of the State program, as 
     determined in accordance with standards established by the 
     Secretary in regulations.''.
       (b) Adjustment of Payments Under Part D of Title IV.--
     Section 455(a)(2) (42 U.S.C. 655(a)(2)), as amended by 
     section 311(a), is amended--
       (1) by striking the period at the end of subparagraph (C) 
     and inserting a comma; and
       (2) by adding after and below subparagraph (C), flush with 
     the left margin of the paragraph, the following:

     ``increased by the incentive adjustment factor (if any) 
     determined by the Secretary pursuant to section 458.''.
       (c) Conforming Amendments.--Section 454(22) (42 U.S.C. 
     654(22)) is amended--
       (1) by striking ``incentive payments'' the first place it 
     appears and inserting ``incentive adjustments''; and
       (2) by striking ``any such incentive payments made to the 
     State for such period'' and inserting ``any increases in 
     Federal payments to the State resulting from such incentive 
     adjustments''.
       (d) Calculation of IV-D Paternity Establishment 
     Percentage.--
       (1) Overall performance.--Section 452(g)(1) (42 U.S.C. 
     652(g)(1)) is amended in the matter preceding subparagraph 
     (A) by inserting ``its overall performance in child support 
     enforcement is satisfactory (as defined in section 458(b) and 
     regulations of the Secretary), and'' after ``1994,''.
       (2) Definition.--Section 452(g)(2)(A) (42 U.S.C. 
     652(g)(2)(A)) is amended, in the matter preceding clause 
     (i)--
       (A) by striking ``paternity establishment percentage'' and 
     inserting ``IV-D paternity establishment percentage''; and
       (B) by striking ``(or all States, as the case may be)''.
       (3) Modification of requirements.--Section 452(g)(3) (42 
     U.S.C. 652(g)(3)) is amended--
       (A) by striking subparagraph (A) and redesignating 
     subparagraphs (B) and (C) as subparagraphs (A) and (B), 
     respectively;
       (B) in subparagraph (A), as redesignated, by striking ``the 
     percentage of children born out-of-wedlock in the State'' and 
     inserting ``the percentage of children in the State who are 
     born out of wedlock or for whom support has not been 
     established''; and
       (C) in subparagraph (B), as redesignated--
       (i) by inserting ``and overall performance in child support 
     enforcement'' after ``paternity establishment percentages''; 
     and
       (ii) by inserting ``and securing support'' before the 
     period.
       (e) Reduction of Payments Under Part D of Title IV.--
       (1) New requirements.--Section 455 (42 U.S.C. 655) is 
     amended--
       (A) by redesignating subsection (e) as subsection (f); and
       (B) by inserting after subsection (d) the following new 
     subsection:
       ``(e)(1) Notwithstanding any other provision of law, if the 
     Secretary finds, with respect to a State program under this 
     part in a fiscal year beginning on or after October 1, 1997--
       ``(A)(i) on the basis of data submitted by a State pursuant 
     to section 454(15)(B), that the State program in such fiscal 
     year failed to achieve the IV-D paternity establishment 
     percentage (as defined in section 452(g)(2)(A)) or the 
     appropriate level of overall performance in child support 
     enforcement (as defined in section 458(b)(2)), or to meet 
     other performance measures that may be established by the 
     Secretary, or
       ``(ii) on the basis of an audit or audits of such State 
     data conducted pursuant to section 452(a)(4)(C), that the 
     State data submitted pursuant to section 454(15)(B) is 
     incomplete or unreliable; and
       ``(B) that, with respect to the succeeding fiscal year--
       ``(i) the State failed to take sufficient corrective action 
     to achieve the appropriate performance levels as described in 
     subparagraph (A)(i) of this paragraph, or
       ``(ii) the data submitted by the State pursuant to section 
     454(15)(B) is incomplete or unreliable,

     the amounts otherwise payable to the State under this part 
     for quarters following the end of such succeeding fiscal 
     year, prior to quarters following the end of the first 
     quarter throughout which the State program is in compliance 
     with such performance requirement, shall be reduced by the 
     percentage specified in paragraph (2).
       ``(2) The reductions required under paragraph (1) shall 
     be--
       ``(A) not less than 3 nor more than 5 percent, or
       ``(B) not less than 5 nor more than 7 percent, if the 
     finding is the second consecutive finding made pursuant to 
     paragraph (1), or

[[Page S 12850]]

       ``(C) not less than 7 nor more than 10 percent, if the 
     finding is the third or a subsequent consecutive such 
     finding.
       ``(3) For purposes of this subsection, section 402(a)(27), 
     and section 452(a)(4), a State which is determined as a 
     result of an audit to have submitted incomplete or unreliable 
     data pursuant to section 454(15)(B), shall be determined to 
     have submitted adequate data if the Secretary determines that 
     the extent of the incompleteness or unreliability of the data 
     is of a technical nature which does not adversely affect the 
     determination of the level of the State's performance.''.
       (2) Conforming amendments.--
       (A) Payments to states.--Section 403 (42 U.S.C. 603) is 
     amended by striking subsection (h).
       (B) Duties of secretary.--Subsections (d)(3)(A), (g)(1), 
     and (g)(3)(A) of section 452 (42 U.S.C. 652) are each amended 
     by striking ``403(h)'' and inserting ``455(e)''.
       (f) Effective Dates.--
       (1) Incentive adjustments.--
       (A) In general.--The amendments made by subsections (a), 
     (b), and (c) shall become effective on October 1, 1997, 
     except to the extent provided in subparagraph (B).
       (B) Exception.--Section 458 of the Social Security Act, as 
     in effect prior to the enactment of this section, shall be 
     effective for purposes of incentive payments to States for 
     fiscal years prior to fiscal year 1999.
       (2) Penalty reductions.--
       (A) In general.--The amendments made by subsection (d) 
     shall become effective with respect to calendar quarters 
     beginning on and after the date of the enactment of this Act.
       (B) Reductions.--The amendments made by subsection (e) 
     shall become effective with respect to calendar quarters 
     beginning on and after the date which is 1 year after the 
     date of the enactment of this Act.

     SEC. 313. FEDERAL AND STATE REVIEWS AND AUDITS.

       (a) State Agency Activities.--Section 454 (42 U.S.C. 654) 
     is amended--
       (1) in paragraph (14)--
       (A) by striking ``(14)'' and inserting ``(14)(A)''; and
       (B) by inserting after the semicolon ``and'';
       (2) by redesignating paragraph (15) as subparagraph (B) of 
     paragraph (14); and
       (3) by inserting after paragraph (14) the following new 
     paragraph:
       ``(15) provide for--
       ``(A) a process for annual reviews of and reports to the 
     Secretary on the State program under this part--
       ``(i) which shall include such information as may be 
     necessary to measure State compliance with Federal 
     requirements for expedited procedures and timely case 
     processing, using such standards and procedures as are 
     required by the Secretary; and
       ``(ii) under which the State agency will determine the 
     extent to which such program is in conformity with applicable 
     requirements with respect to the operation of State programs 
     under this part (including the status of complaints filed 
     under the procedure required under paragraph (12)(B)); and
       ``(B) a process of extracting from the State automated data 
     processing system and transmitting to the Secretary data and 
     calculations concerning the levels of accomplishment (and 
     rates of improvement) with respect to applicable performance 
     indicators (including IV-D paternity establishment 
     percentages and overall performance in child support 
     enforcement) to the extent necessary for purposes of sections 
     452(g) and 458.''.
       (b) Federal Activities.--Section 452(a)(4) (42 U.S.C. 
     652(a)(4)) is amended to read as follows:
       ``(4)(A) review data and calculations transmitted by State 
     agencies pursuant to section 454(15)(B) on State program 
     accomplishments with respect to performance indicators for 
     purposes of section 452(g) and 458, and determine the amount 
     (if any) of penalty reductions pursuant to section 455(e) to 
     be applied to the State;
       ``(B) review annual reports by State agencies pursuant to 
     section 454(15)(A) on State program conformity with Federal 
     requirements; evaluate any elements of a State program in 
     which significant deficiencies are indicated by such report 
     on the status of complaints under the State procedure under 
     section 454(12)(B); and, as appropriate, provide to the State 
     agency comments, recommendations for additional or 
     alternative corrective actions, and technical assistance; and
       ``(C) conduct audits, in accordance with the government 
     auditing standards of the United States Comptroller General--
       ``(i) at least once every 3 years (or more frequently, in 
     the case of a State which fails to meet requirements of this 
     part, or of regulations implementing such requirements, 
     concerning performance standards and reliability of program 
     data) to assess the completeness, reliability, and security 
     of the data, and the accuracy of the reporting systems, used 
     for the calculations of performance indicators specified in 
     subsection (g) and section 458;
       ``(ii) of the adequacy of financial management of the State 
     program, including assessments of--
       ``(I) whether Federal and other funds made available to 
     carry out the State program under this part are being 
     appropriately expended, and are properly and fully accounted 
     for; and
       ``(II) whether collections and disbursements of support 
     payments and program income are carried out correctly and are 
     properly and fully accounted for; and
       ``(iii) for such other purposes as the Secretary may find 
     necessary;''.
       (c) Effective Date.--The amendments made by this section 
     shall be effective with respect to calendar quarters 
     beginning on or after the date which is 1 year after the 
     enactment of this section.
     SEC. 314. REQUIRED REPORTING PROCEDURES.

       (a) Establishment.--Section 452(a)(5) (42 U.S.C. 652(a)(5)) 
     is amended by inserting ``, and establish procedures to be 
     followed by States for collecting and reporting information 
     required to be provided under this part, and establish 
     uniform definitions (including those necessary to enable the 
     measurement of State compliance with the requirements of this 
     part relating to expedited processes and timely case 
     processing) to be applied in following such procedures'' 
     before the semicolon.
       (b) State Plan Requirement.--Section 454 (42 U.S.C. 654), 
     as amended by sections 301(a) and 305(a), is amended--
       (1) by striking ``and'' at the end of paragraph (25);
       (2) by striking the period at the end of paragraph (26) and 
     inserting ``; and''; and
       (3) by adding after paragraph (26) the following:
       ``(27) provide that the State shall use the definitions 
     established under section 452(a)(5) in collecting and 
     reporting information as required under this part.''.

     SEC. 315. AUTOMATED DATA PROCESSING REQUIREMENTS.

       (a) Revised Requirements.--
       (1) State plan.--Section 454(16) (42 U.S.C. 654(16)) is 
     amended--
       (A) by striking ``, at the option of the State,'';
       (B) by inserting ``and operation by the State agency'' 
     after ``for the establishment'';
       (C) by inserting ``meeting the requirements of section 
     454A'' after ``information retrieval system'';
       (D) by striking ``in the State and localities thereof, so 
     as (A)'' and inserting ``so as'';
       (E) by striking ``(i)''; and
       (F) by striking ``(including, but not limited to,'' and all 
     that follows and to the semicolon.
       (2) Automated data processing.--Part D of title IV (42 
     U.S.C. 651-669) is amended by inserting after section 454 the 
     following new section:


                      ``automated data processing

       ``Sec. 454A. (a) In General.--In order to meet the 
     requirements of this section, for purposes of the requirement 
     of section 454(16), a State agency shall have in operation a 
     single statewide automated data processing and information 
     retrieval system which has the capability to perform the 
     tasks specified in this section, and performs such tasks with 
     the frequency and in the manner specified in this part or in 
     regulations or guidelines of the Secretary.
       ``(b) Program Management.--The automated system required 
     under this section shall perform such functions as the 
     Secretary may specify relating to management of the program 
     under this part, including--
       ``(1) controlling and accounting for use of Federal, State, 
     and local funds to carry out such program; and
       ``(2) maintaining the data necessary to meet Federal 
     reporting requirements on a timely basis.
       ``(c) Calculation of Performance Indicators.--In order to 
     enable the Secretary to determine the incentive and penalty 
     adjustments required by sections 452(g) and 458, the State 
     agency shall--
       ``(1) use the automated system--
       ``(A) to maintain the requisite data on State performance 
     with respect to paternity establishment and child support 
     enforcement in the State; and
       ``(B) to calculate the IV-D paternity establishment 
     percentage and overall performance in child support 
     enforcement for the State for each fiscal year; and
       ``(2) have in place systems controls to ensure the 
     completeness, and reliability of, and ready access to, the 
     data described in paragraph (1)(A), and the accuracy of the 
     calculations described in paragraph (1)(B).
       ``(d) Information Integrity and Security.--The State agency 
     shall have in effect safeguards on the integrity, accuracy, 
     and completeness of, access to, and use of data in the 
     automated system required under this section, which shall 
     include the following (in addition to such other safeguards 
     as the Secretary specifies in regulations):
       ``(1) Policies restricting access.--Written policies 
     concerning access to data by State agency personnel, and 
     sharing of data with other persons, which--
       ``(A) permit access to and use of data only to the extent 
     necessary to carry out program responsibilities;
       ``(B) specify the data which may be used for particular 
     program purposes, and the personnel permitted access to such 
     data; and
       ``(C) ensure that data obtained or disclosed for a limited 
     program purpose is not used or redisclosed for another, 
     impermissible purpose.
       ``(2) Systems controls.--Systems controls (such as 
     passwords or blocking of fields) to ensure strict adherence 
     to the policies specified under paragraph (1).
       ``(3) Monitoring of access.--Routine monitoring of access 
     to and use of the automated system, through methods such as 
     audit trails and feedback mechanisms, to guard against and 
     promptly identify unauthorized access or use.

[[Page S 12851]]

       ``(4) Training and information.--The State agency shall 
     have in effect procedures to ensure that all personnel 
     (including State and local agency staff and contractors) who 
     may have access to or be required to use sensitive or 
     confidential program data are fully informed of applicable 
     requirements and penalties, and are adequately trained in 
     security procedures.
       ``(5) Penalties.--The State agency shall have in effect 
     administrative penalties (up to and including dismissal from 
     employment) for unauthorized access to, or disclosure or use 
     of, confidential data.''.
       (3) Regulations.--Section 452 (42 U.S.C. 652) is amended by 
     adding at the end the following new subsection:
       ``(j) The Secretary shall prescribe final regulations for 
     implementation of the requirements of section 454A not later 
     than 2 years after the date of the enactment of this 
     subsection.''.
       (4) Implementation timetable.--Section 454(24) (42 U.S.C. 
     654(24)), as amended by sections 301(a), 305(a)(2) and 
     314(b)(1), is amended to read as follows:
       ``(24) provide that the State will have in effect an 
     automated data processing and information retrieval system--
       ``(A) by October 1, 1996, meeting all requirements of this 
     part which were enacted on or before the date of the 
     enactment of the Family Support Act of 1988; and
       ``(B) by October 1, 1999, meeting all requirements of this 
     part enacted on or before the date of the enactment of the 
     Interstate Child Support Responsibility Act of 1995 (but this 
     provision shall not be construed to alter earlier deadlines 
     specified for elements of such system), except that such 
     deadline shall be extended by 1 day for each day (if any) by 
     which the Secretary fails to meet the deadline imposed by 
     section 452(j);''.
       (b) Special Federal Matching Rate for Development Costs of 
     Automated Systems.--Section 455(a) (42 U.S.C. 655(a)) is 
     amended--
       (1) in paragraph (1)(B)--
       (A) by striking ``90 percent'' and inserting ``the percent 
     specified in paragraph (3)'';
       (B) by striking ``so much of''; and
       (C) by striking ``which the Secretary'' and all that 
     follows through ``thereof''; and
       (2) by adding at the end the following new paragraph:
       ``(3)(A) The Secretary shall pay to each State, for each 
     quarter in fiscal years 1996 through 2001, the percentage 
     specified in subparagraph (B) of so much of State 
     expenditures described in paragraph (1)(B) as the Secretary 
     finds are for a system meeting the requirements specified in 
     section 454(16) and 454A, subject to subparagraph (C).
       ``(B) The percentage specified in this subparagraph, for 
     purposes of subparagraph (A), is the higher of--
       ``(i) 80 percent, or
       ``(ii) the percentage otherwise applicable to Federal 
     payments to the State under paragraph (1)(A) (as adjusted 
     pursuant to section 458).
       ``(C)(i) The Secretary may not pay more than $260,000,000 
     in the aggregate under this paragraph for fiscal years 1996, 
     1997, 1998, 1999, 2000, and 2001.
       ``(ii) The total amount payable to a State under this 
     paragraph for fiscal years 1996, 1997, 1998, 1999, 2000, and 
     2001 shall not exceed the limitation determined for the State 
     by the Secretary in regulations.
       ``(iii) The regulations referred to in clause (ii) shall 
     prescribe a formula for allocating the amount specified in 
     clause (iii) among States with plans approved under this 
     part, which shall take into account--
       ``(I) the relative size of State caseloads under this part; 
     and
       ``(II) the level of automation needed to meet the automated 
     data processing requirements of this part.''.
       (c) Conforming Amendment.--Section 123(c) of the Family 
     Support Act of 1988 (102 Stat. 2352; Public Law 100-485) is 
     repealed.

     SEC. 316. DIRECTOR OF CSE PROGRAM; STAFFING STUDY.

       (a) Reporting to Secretary.--Section 452(a) (42 U.S.C. 
     652(a)) is amended in the matter preceding paragraph (1) by 
     striking ``directly''.
       (b) Staffing Studies.--
       (1) Scope.--The Secretary of Health and Human Services (in 
     this subsection referred to as the ``Secretary'') shall, 
     directly or by contract, conduct studies of the staffing of 
     each State child support enforcement program under part D of 
     title IV of the Social Security Act. Such studies shall--
       (A) include a review of the staffing needs created by 
     requirements for automated data processing, maintenance of a 
     central case registry and centralized collections of child 
     support, and of changes in these needs resulting from changes 
     in such requirements; and
       (B) examine and report on effective staffing practices used 
     by the States and on recommended staffing procedures.
       (2) Frequency of studies.--The Secretary shall complete the 
     first staffing study required under paragraph (1) not later 
     than October 1, 1997, and may conduct additional studies 
     subsequently at appropriate intervals.
       (3) Report to the congress.--The Secretary shall submit a 
     report to the Congress stating the findings and conclusions 
     of each study conducted under this subsection.
     SEC. 317. FUNDING FOR SECRETARIAL ASSISTANCE TO STATE 
                   PROGRAMS.

       Section 452 (42 U.S.C. 652), as amended by section 
     315(a)(3), is amended by adding at the end the following new 
     subsection:
       ``(k)(1) There shall be available to the Secretary, from 
     amounts appropriated for fiscal year 1996 and each succeeding 
     fiscal year for payments to States under this part, the 
     amount specified in paragraph (2) for the costs to the 
     Secretary for--
       ``(A) information dissemination and technical assistance to 
     States, training of State and Federal staff, staffing 
     studies, and related activities needed to improve programs 
     (including technical assistance concerning State automated 
     systems);
       ``(B) research, demonstration, and special projects of 
     regional or national significance relating to the operation 
     of State programs under this part; and
       ``(C) operation of the Federal Parent Locator Service under 
     section 453, to the extent such costs are not recovered 
     through user fees.
       ``(2) The amount specified in this paragraph for a fiscal 
     year is the amount equal to a percentage of the reduction in 
     Federal payments to States under part A on account of child 
     support (including arrearages) collected in the preceding 
     fiscal year on behalf of children receiving aid under such 
     part A in such preceding fiscal year (as determined on the 
     basis of the most recent reliable data available to the 
     Secretary as of the end of the third calendar quarter 
     following the end of such preceding fiscal year), equal to--
       ``(A) 1 percent, for the activities specified in 
     subparagraphs (A) and (B) of paragraph (1); and
       ``(B) 2 percent, for the activities specified in 
     subparagraph (C) of paragraph (1).''.

     SEC. 318. DATA COLLECTION AND REPORTS BY THE SECRETARY.

       (a) Annual Report to Congress.--
       (1) In general.--Section 452(a)(10)(A) (42 U.S.C. 
     652(a)(10)(A)) is amended--
       (A) by striking ``this part;'' and inserting ``this part, 
     including--''; and
       (B) by adding at the end the following indented clauses:
       ``(i) the total amount of child support payments collected 
     as a result of services furnished during such fiscal year to 
     individuals receiving services under this part;
       ``(ii) the cost to the States and to the Federal Government 
     of furnishing such services to those individuals; and
       ``(iii) the number of cases involving families--

       ``(I) who became ineligible for aid under part A during a 
     month in such fiscal year; and
       ``(II) with respect to whom a child support payment was 
     received in the same month;''.

       (2) Certain data.--Section 452(a)(10)(C) (42 U.S.C. 
     652(a)(10)(C)) is amended--
       (A) in the matter preceding clause (i), by striking ``with 
     the data required under each clause being separately stated 
     for cases'' and all that follows through ``part:'' and 
     inserting ``separately stated for cases where the child is 
     receiving aid to families with dependent children (or foster 
     care maintenance payments under part E), or formerly received 
     such aid or payments and the State is continuing to collect 
     support assigned to it under section 402(a)(26), 471(a)(17), 
     or 1912, and all other cases under this part--'';
       (B) in each of clauses (i) and (ii), by striking ``, and 
     the total amount of such obligations'';
       (C) in clause (iii), by striking ``described in'' and all 
     that follows through the semicolon and inserting ``in which 
     support was collected during the fiscal year;'';
       (D) by striking clause (iv); and
       (E) by redesignating clause (v) as clause (vii), and 
     inserting after clause (iii) the following new clauses:
       ``(iv) the total amount of support collected during such 
     fiscal year and distributed as current support;
       ``(v) the total amount of support collected during such 
     fiscal year and distributed as arrearages;
       ``(vi) the total amount of support due and unpaid for all 
     fiscal years; and''.
       (3) Use of federal courts.--Section 452(a)(10)(G) (42 
     U.S.C. 652(a)(10)(G)) is amended by striking ``on the use of 
     Federal courts and''.
       (4) Additional information not necessary.--Section 
     452(a)(10) (42 U.S.C. 652(a)(10)) is amended by striking all 
     that follows subparagraph (I).
       (b) Data Collection and Reporting.--Section 469 (42 U.S.C. 
     669) is amended--
       (1) by striking subsections (a) and (b) and inserting the 
     following:
       ``(a) The Secretary shall collect and maintain, on a fiscal 
     year basis, up-to-date statistics, by State, with respect to 
     services to establish paternity and services to establish 
     child support obligations, the data specified in subsection 
     (b), separately stated, in the case of each such service, 
     with respect to--
       ``(1) families (or dependent children) receiving aid under 
     plans approved under part A (or E); and
       ``(2) families not receiving such aid.
       ``(b) The data referred to in subsection (a) are--
       ``(1) the number of cases in the caseload of the State 
     agency administering the plan under this part in which such 
     service is needed; and
       ``(2) the number of such cases in which the service has 
     been provided.''; and
       (2) in subsection (c), by striking ``(a)(2)'' and inserting 
     ``(b)(2)''.
       (c) Effective Date.--The amendments made by this section 
     shall be effective with respect to fiscal year 1996 and 
     succeeding fiscal years.
     
[[Page S 12852]]


                   PART III--LOCATE AND CASE TRACKING

     SEC. 321. CENTRAL STATE AND CASE REGISTRY.

       Section 454A, as added by section 315(a)(2), is amended by 
     adding at the end the following new subsections:
       ``(e) Central Case Registry.--
       ``(1) In general.--The automated system required under this 
     section shall perform the functions, in accordance with the 
     provisions of this subsection, of a single central registry 
     containing records with respect to each case in which 
     services are being provided by the State agency (including, 
     on and after October 1, 1998, each order specified in section 
     466(a)(12)), using such standardized data elements (such as 
     names, social security numbers or other uniform 
     identification numbers, dates of birth, and case 
     identification numbers), and containing such other 
     information (such as information on case status) as the 
     Secretary may require.
       ``(2) Payment Records.--Each case record in the central 
     registry shall include a record of--
       ``(A) the amount of monthly (or other periodic) support 
     owed under the support order, and other amounts due or 
     overdue (including arrearages, interest or late payment 
     penalties, and fees);
       ``(B) all child support and related amounts collected 
     (including such amounts as fees, late payment penalties, and 
     interest on arrearages);
       ``(C) the distribution of such amounts collected; and
       ``(D) the birth date of the child for whom the child 
     support order is entered.
       ``(3) Updating and monitoring.--The State agency shall 
     promptly establish and maintain, and regularly monitor, case 
     records in the registry required by this subsection, on the 
     basis of--
       ``(A) information on administrative actions and 
     administrative and judicial proceedings and orders relating 
     to paternity and support;
       ``(B) information obtained from matches with Federal, 
     State, or local data sources;
       ``(C) information on support collections and distributions; 
     and
       ``(D) any other relevant information.
       ``(f) Data Matches and Other Disclosures of Information.--
     The automated system required under this section shall have 
     the capacity, and be used by the State agency, to extract 
     data at such times, and in such standardized format or 
     formats, as may be required by the Secretary, and to share 
     and match data with, and receive data from, other data bases 
     and data matching services, in order to obtain (or provide) 
     information necessary to enable the State agency (or 
     Secretary or other State or Federal agencies) to carry out 
     responsibilities under this part. Data matching activities of 
     the State agency shall include at least the following:
       ``(1) Data bank of child support orders.--Furnishing to the 
     Data Bank of Child Support Orders established under section 
     453(h) (and updating as necessary, with information, 
     including notice of expiration of orders) minimal information 
     specified by the Secretary on each child support case in the 
     central case registry.
       ``(2) Federal parent locator service.--Exchanging data with 
     the Federal Parent Locator Service for the purposes specified 
     in section 453.
       ``(3) AFDC and medicaid agencies.--Exchanging data with 
     State agencies (of the State and of other States) 
     administering the programs under part A and title XIX, as 
     necessary for the performance of State agency 
     responsibilities under this part and under such programs.
       ``(4) Intra- and interstate data matches.--Exchanging data 
     with other agencies of the State, agencies of other States, 
     and interstate information networks, as necessary and 
     appropriate to carry out (or assist other States to carry 
     out) the purposes of this part.''.
     SEC. 322. CENTRALIZED COLLECTION AND DISBURSEMENT OF SUPPORT 
                   PAYMENTS.

       (a) State Plan Requirement.--Section 454 (42 U.S.C. 654), 
     as amended by sections 301(a), 305(a) and 314(b), is 
     amended--
       (1) by striking ``and'' at the end of paragraph (26);
       (2) by striking the period at the end of paragraph (27) and 
     inserting ``; and''; and
       (3) by adding after paragraph (27) the following new 
     paragraph:
       ``(28) provide that the State agency, on and after October 
     1, 1998--
       ``(A) will operate a centralized, automated unit for the 
     collection and disbursement of child support under orders 
     being enforced under this part, in accordance with section 
     454B; and
       ``(B) will have sufficient State staff (consisting of State 
     employees), and, at State option, contractors reporting 
     directly to the State agency to monitor and enforce support 
     collections through such centralized unit, including carrying 
     out the automated data processing responsibilities specified 
     in section 454A(g) and to impose, as appropriate in 
     particular cases, the administrative enforcement remedies 
     specified in section 466(c)(1).''.
       (b) Establishment of Centralized Collection Unit.--Part D 
     of title IV (42 U.S.C. 651-669) is amended by adding after 
     section 454A the following new section:


     ``centralized collection and disbursement of support payments

       ``Sec. 454B. (a) In General.--In order to meet the 
     requirement of section 454(28), the State agency must operate 
     a single, centralized, automated unit for the collection and 
     disbursement of support payments, coordinated with the 
     automated data system required under section 454A, in 
     accordance with the provisions of this section, which shall 
     be--
       ``(1) operated directly by the State agency (or by 2 or 
     more State agencies under a regional cooperative agreement), 
     or by a single contractor responsible directly to the State 
     agency; and
       ``(2) used for the collection and disbursement (including 
     interstate collection and disbursement) of payments under 
     support orders in all cases being enforced by the State 
     pursuant to section 454(4).
       ``(b) Required Procedures.--The centralized collections 
     unit shall use automated procedures, electronic processes, 
     and computer-driven technology to the maximum extent 
     feasible, efficient, and economical, for the collection and 
     disbursement of support payments, including procedures--
       ``(1) for receipt of payments from parents, employers, and 
     other States, and for disbursements to custodial parents and 
     other obligees, the State agency, and the State agencies of 
     other States;
       ``(2) for accurate identification of payments;
       ``(3) to ensure prompt disbursement of the custodial 
     parent's share of any payment; and
       ``(4) to furnish to either parent, upon request, timely 
     information on the current status of support payments.''.
       (c) Use of Automated System.--Section 454A, as added by 
     section 315(a)(2) and as amended by section 321, is amended 
     by adding at the end the following new subsection:
       ``(g) Centralized Collection and Distribution of Support 
     Payments.--The automated system required under this section 
     shall be used, to the maximum extent feasible, to assist and 
     facilitate collections and disbursement of support payments 
     through the centralized collections unit operated pursuant to 
     section 454B, through the performance of functions including 
     at a minimum--
       ``(1) generation of orders and notices to employers (and 
     other debtors) for the withholding of wages (and other 
     income)--
       ``(A) within 2 working days after receipt (from the 
     directory of New Hires established under section 453(i) or 
     any other source) of notice of and the income source subject 
     to such withholding; and
       ``(B) using uniform formats directed by the Secretary;
       ``(2) ongoing monitoring to promptly identify failures to 
     make timely payment; and
       ``(3) automatic use of enforcement mechanisms (including 
     mechanisms authorized pursuant to section 466(c)) where 
     payments are not timely made.''.
       (d) Effective Date.--The amendments made by this section 
     shall become effective on October 1, 1998.

     SEC. 323. AMENDMENTS CONCERNING INCOME WITHHOLDING.

       (a) Mandatory Income Withholding.--
       (1) From wages.--Section 466(a)(1) (42 U.S.C. 666(a)(1)) is 
     amended to read as follows:
       ``(1)(A) Procedures described in subsection (b) for the 
     withholding from income of amounts payable as support in 
     cases subject to enforcement under the State plan.
       ``(B) Procedures under which all child support orders 
     issued (or modified) before October 1, 1996, and which are 
     not otherwise subject to withholding under subsection (b), 
     shall become subject to withholding from wages as provided in 
     subsection (b) if arrearages occur, without the need for a 
     judicial or administrative hearing.''.
       (2) Repeal of certain provisions concerning arrearages.--
     Section 466(a)(8) (42 U.S.C. 666(a)(8)) is repealed.
       (3) Procedures described.--Section 466(b) (42 U.S.C. 
     666(b)) is amended--
       (A) in the matter preceding paragraph (1), by striking 
     ``subsection (a)(1)'' and inserting ``subsection (a)(1)(A)'';
       (B) in paragraph (5), by striking ``a public agency'' and 
     all that follows through the period and inserting ``the State 
     through the centralized collections unit established pursuant 
     to section 454B, in accordance with the requirements of such 
     section 454B.'';
       (C) in paragraph (6)(A)(i)--
       (i) by inserting ``, in accordance with timetables 
     established by the Secretary,'' after ``must be required''; 
     and
       (ii) by striking ``to the appropriate agency'' and all that 
     follows through the period and inserting ``to the State 
     centralized collections unit within 5 working days after the 
     date such amount would (but for this subsection) have been 
     paid or credited to the employee, for distribution in 
     accordance with this part.'';
       (D) in paragraph (6)(A)(ii), by inserting ``be in a 
     standard format prescribed by the Secretary, and'' after 
     ``shall''; and
       (E) in paragraph (6)(D) to read as follows:
       ``(D) Provision must be made for the imposition of a fine 
     against any employer who--
       ``(i) discharges from employment, refuses to employ, or 
     takes disciplinary action against any absent parent subject 
     to wage withholding required by this subsection because of 
     the existence of such withholding and the obligations or 
     additional obligations which it imposes upon the employer; or
       ``(ii) fails to withhold support from wages, or to pay such 
     amounts to the State centralized collections unit in 
     accordance with this subsection.''.
       (b) Conforming Amendment.--Section 466(c) (42 U.S.C. 
     666(c)) is repealed.

[[Page S 12853]]

       (c) Definition of Terms.--The Secretary of Health and Human 
     Services shall promulgate regulations providing definitions, 
     for purposes of part D of title IV of the Social Security 
     Act, for the term ``income'' and for such other terms 
     relating to income withholding under section 466(b) of such 
     Act as the Secretary may find it necessary or advisable to 
     define.
     SEC. 324. LOCATOR INFORMATION FROM INTERSTATE NETWORKS.

       Section 466(a) (42 U.S.C. 666(a)), as amended by section 
     323(a)(2), is amended by inserting after paragraph (7) the 
     following new paragraph:
       ``(8) Procedures ensuring that the State will neither 
     provide funding for, nor use for any purpose (including any 
     purpose unrelated to the purposes of this part), any 
     automated interstate network or system used to locate 
     individuals--
       ``(A) for purposes relating to the use of motor vehicles; 
     or
       ``(B) providing information for law enforcement purposes 
     (where child support enforcement agencies are otherwise 
     allowed access by State and Federal law),
     unless all Federal and State agencies administering programs 
     under this part (including the entities established under 
     section 453) have access to information in such system or 
     network to the same extent as any other user of such system 
     or network.''.

     SEC. 325. EXPANDED FEDERAL PARENT LOCATOR SERVICE.

       (a) Expanded Authority To Locate Individuals and Assets.--
     Section 453 (42 U.S.C. 653) is amended--
       (1) in subsection (a), by striking ``information as to the 
     whereabouts'' and all that follows through the period and 
     inserting ``, for the purpose of establishing parentage, 
     establishing, setting the amount of, modifying, or enforcing 
     child support obligations--
       ``(1) information on, or facilitating the discovery of, the 
     location of any individual--
       ``(A) who is under an obligation to pay child support;
       ``(B) against whom such an obligation is sought; or
       ``(C) to whom such an obligation is owed,
     including such individual's social security number (or 
     numbers), most recent residential address, and the name, 
     address, and employer identification number of such 
     individual's employer; and
       ``(2) information on the individual's wages (or other 
     income) from, and benefits of, employment (including rights 
     to or enrollment in group health care coverage); and
       ``(3) information on the type, status, location, and amount 
     of any assets of, or debts owed by or to, any such 
     individual.'';
       (2) in subsection (b)--
       (A) in the matter preceding paragraph (1), by striking 
     ``social security'' and all that follows through ``absent 
     parent'' and inserting ``information specified in subsection 
     (a)''; and
       (B) in paragraph (2), by inserting before the period ``, or 
     from any consumer reporting agency (as defined in section 
     603(f) of the Fair Credit Reporting Act (15 U.S.C. 
     1681a(f))''; and
       (3) in subsection (e)(1), by inserting before the period 
     ``, or by consumer reporting agencies''.
       (b) Reimbursement for Data From Federal Agencies.--Section 
     453(e)(2) (42 U.S.C. 653(e)(2)) is amended in the fourth 
     sentence by inserting before the period ``in an amount which 
     the Secretary determines to be reasonable payment for the 
     data exchange (which amount shall not include payment for the 
     costs of obtaining, compiling, or maintaining the data)''.
       (c) Access to Consumer Reports Under Fair Credit Reporting 
     Act.--
       (1) In general.--Section 608 of the Fair Credit Reporting 
     Act (15 U.S.C. 1681f) is amended--
       (A) by striking ``, limited to'' and inserting ``to a 
     governmental agency (including the entire consumer report, in 
     the case of a Federal, State, or local agency administering a 
     program under part D of title IV of the Social Security Act, 
     and limited to''; and
       (B) by striking ``employment, to a governmental agency'' 
     and inserting ``employment, in the case of any other 
     governmental agency)''.
       (2) Reimbursement for reports by state agencies and credit 
     bureaus.--Section 453 (42 U.S.C. 653) is amended by adding at 
     the end the following new subsection:
       ``(g) The Secretary is authorized to reimburse to State 
     agencies and consumer credit reporting agencies the costs 
     incurred by such entities in furnishing information requested 
     by the Secretary pursuant to this section in an amount which 
     the Secretary determines to be reasonable payment for the 
     data exchange (which amount shall not include payment for the 
     costs of obtaining, compiling, or maintaining the data).''.
       (d) Technical Amendments.--
       (1) Sections 452(a)(9), 453(a), 453(b), 463(a), and 463(e) 
     (42 U.S.C. 652(a)(9), 653(a), 653(b), 663(a), and 663(e)) are 
     each amended by inserting ``Federal'' before ``Parent'' each 
     place it appears.
       (2) Section 453 (42 U.S.C. 653) is amended in the heading 
     by inserting ``federal'' before ``parent''.
       (e) New Components.--Section 453 (42 U.S.C. 653), as 
     amended by subsection (c)(2), is amended by adding at the end 
     the following new subsections:
       ``(h) Data Bank of Child Support Orders.--
       ``(1) In general.--Not later than October 1, 1998, in order 
     to assist States in administering their State plans under 
     this part and parts A, F, and G, and for the other purposes 
     specified in this section, the Secretary shall establish and 
     maintain in the Federal Parent Locator Service an automated 
     registry to be known as the Data Bank of Child Support 
     Orders, which shall contain abstracts of child support orders 
     and other information described in paragraph (2) on each case 
     in each State central case registry maintained pursuant to 
     section 454A(e), as furnished (and regularly updated), 
     pursuant to section 454A(f), by State agencies administering 
     programs under this part.
       ``(2) Case information.--The information referred to in 
     paragraph (1), as specified by the Secretary, shall include 
     sufficient information (including names, social security 
     numbers or other uniform identification numbers, and State 
     case identification numbers) to identify the individuals who 
     owe or are owed support (or with respect to or on behalf of 
     whom support obligations are sought to be established), and 
     the State or States which have established or modified, or 
     are enforcing or seeking to establish, such an order.
       ``(i) Directory of New Hires.--
       ``(1) In general.--Not later than October 1, 1998, in order 
     to assist States in administering their State plans under 
     this part and parts A, F, and G, and for the other purposes 
     specified in this section, the Secretary shall establish and 
     maintain in the Federal Parent Locator Service an automated 
     directory to be known as the directory of New Hires, 
     containing--
       ``(A) information supplied by employers on each newly hired 
     individual, in accordance with paragraph (2); and
       ``(B) information supplied by State agencies administering 
     State unemployment compensation laws, in accordance with 
     paragraph (3).
       ``(2) Employer information.--
       ``(A) Information required.--Subject to subparagraph (D), 
     each employer shall furnish to the Secretary, for inclusion 
     in the directory under this subsection, not later than 10 
     days after the date (on or after October 1, 1998) on which 
     the employer hires a new employee (as defined in subparagraph 
     (C)), a report containing the name, date of birth, and social 
     security number of such employee, and the employer 
     identification number of the employer.
       ``(B) Reporting method and format.--The Secretary shall 
     provide for transmission of the reports required under 
     subparagraph (A) using formats and methods which minimize the 
     burden on employers, which shall include--
       ``(i) automated or electronic transmission of such reports;
       ``(ii) transmission by regular mail; and
       ``(iii) transmission of a copy of the form required for 
     purposes of compliance with section 3402 of the Internal 
     Revenue Code of 1986.
       ``(C) Employee defined.--For purposes of this paragraph, 
     the term `employee' means any individual subject to the 
     requirement of section 3402(f)(2) of the Internal Revenue 
     Code of 1986.
       ``(D) Paperwork reduction requirement.--As required by the 
     information resources management policies published by the 
     Director of the Office of Management and Budget pursuant to 
     section 3504(b)(1) of title 44, United States Code, the 
     Secretary, in order to minimize the cost and reporting burden 
     on employers, shall not require reporting pursuant to this 
     paragraph if an alternative reporting mechanism can be 
     developed that either relies on existing Federal or State 
     reporting or enables the Secretary to collect the needed 
     information in a more cost-effective and equally expeditious 
     manner, taking into account the reporting costs on employers.
       ``(E) Civil money penalty on noncomplying employers.--
       ``(i) In general.--Any employer that fails to make a timely 
     report in accordance with this paragraph with respect to an 
     individual shall be subject to a civil money penalty, for 
     each calendar year in which the failure occurs, of the lesser 
     of $500 or 1 percent of the wages or other compensation paid 
     by such employer to such individual during such calendar 
     year.
       ``(ii) Application of section 1128a.--Subject to clause 
     (iii), the provisions of section 1128A (other than 
     subsections (a) and (b) thereof) shall apply to a civil money 
     penalty under clause (i) in the same manner as they apply to 
     a civil money penalty or proceeding under section 1128A(a).
       ``(iii) Costs to secretary.--Any employer with respect to 
     whom a penalty under this subparagraph is upheld after an 
     administrative hearing shall be liable to pay all costs of 
     the Secretary with respect to such hearing.
       ``(3) Employment security information.--
       ``(A) Reporting requirement.--Each State agency 
     administering a State unemployment compensation law approved 
     by the Secretary of Labor under the Federal Unemployment Tax 
     Act shall furnish to the Secretary extracts of the reports to 
     the Secretary of Labor concerning the wages and unemployment 
     compensation paid to individuals required under section 
     303(a)(6), in accordance with subparagraph (B).
       ``(B) Manner of compliance.--The extracts required under 
     subparagraph (A) shall be furnished to the Secretary on a 
     quarterly basis, with respect to calendar quarters beginning 
     on and after October 1, 1996, by such dates, in such format, 
     and containing such information as required by that Secretary 
     in regulations.

[[Page S 12854]]

       ``(j) Data Matches and Other Disclosures.--
       ``(1) Verification by social security administration.--
       ``(A) Transmission of data.--The Secretary shall transmit 
     data on individuals and employers in the registries 
     maintained under this section to the Social Security 
     Administration to the extent necessary for verification in 
     accordance with subparagraph (B).
       ``(B) Verification.--The Commissioner of Social Security 
     shall verify the accuracy of, correct or supply to the extent 
     necessary and feasible, and report to the Secretary, the 
     following information in data supplied by the Secretary 
     pursuant to subparagraph (A):
       ``(i) the name, social security number, and birth date of 
     each individual; and
       ``(ii) the employer identification number of each employer.
       ``(2) Child support locator matches.--For the purpose of 
     locating individuals for purposes of paternity establishment 
     and establishment and enforcement of child support, the 
     Secretary shall--
       ``(A) match data in the directory of New Hires against the 
     child support order abstracts in the Data Bank of Child 
     Support Orders not less than every 2 working days; and
       ``(B) report information obtained from a match established 
     under subparagraph (A) to concerned State agencies operating 
     programs under this part not later than 2 working days after 
     such match.
       ``(3) Data matches and disclosures of data in all 
     registries for title iv program purposes.--The Secretary 
     shall--
       ``(A) perform matches of data in each component of the 
     Federal Parent Locator Service maintained under this section 
     against data in each other such component (other than the 
     matches required pursuant to paragraph (1)), and report 
     information resulting from such matches to State agencies 
     operating programs under this part and parts A, F, and G; and
       ``(B) disclose data in such registries to such State 
     agencies,
     to the extent, and with the frequency, that the Secretary 
     determines to be effective in assisting such States to carry 
     out their responsibilities under such programs.
       ``(k) Fees.--
       ``(1) For ssa verification.--The Secretary shall reimburse 
     the Commissioner of Social Security, at a rate negotiated 
     between the Secretary and the Commissioner, the costs 
     incurred by the Commissioner in performing the verification 
     services specified in subsection (j).
       ``(2) For information from sesas.--The Secretary shall 
     reimburse costs incurred by State employment security 
     agencies in furnishing data as required by subsection (i)(3), 
     at rates which the Secretary determines to be reasonable 
     (which rates shall not include payment for the costs of 
     obtaining, compiling, or maintaining such data).
       ``(3) For information furnished to state and federal 
     agencies.--State and Federal agencies receiving data or 
     information from the Secretary pursuant to this section shall 
     reimburse the costs incurred by the Secretary in furnishing 
     such data or information, at rates which the Secretary 
     determines to be reasonable (which rates shall include 
     payment for the costs of obtaining, verifying, maintaining, 
     and matching such data or information).
       ``(l) Restriction on Disclosure and Use.--Data in the 
     Federal Parent Locator Service, and information resulting 
     from matches using such data, shall not be used or disclosed 
     except as specifically provided in this section.
       ``(m) Retention of Data.--Data in the Federal Parent 
     Locator Service, and data resulting from matches performed 
     pursuant to this section, shall be retained for such period 
     (determined by the Secretary) as appropriate for the data 
     uses specified in this section.
       ``(n) Information Integrity and Security.--The Secretary 
     shall establish and implement safeguards with respect to the 
     entities established under this section designed to--
       ``(1) ensure the accuracy and completeness of information 
     in the Federal Parent Locator Service; and
       ``(2) restrict access to confidential information in the 
     Federal Parent Locator Service to authorized persons, and 
     restrict use of such information to authorized purposes.
       ``(o) Limit on Liability.--The Secretary shall not be 
     liable to either a State or an individual for inaccurate 
     information provided to a component of the Federal Parent 
     Locator Service and disclosed by the Secretary in accordance 
     with this section.''.
       (f) Conforming Amendments.--
       (1) To part d of title iv of the social security act.--
     Section 454(8)(B) (42 U.S.C. 654(8)(B)) is amended to read as 
     follows:
       ``(B) the Federal Parent Locator Service established under 
     section 453;''.
       (2) To federal unemployment tax act.--Section 3304(16) of 
     the Internal Revenue Code of 1986 (relating to approval of 
     State laws) is amended--
       (A) by striking ``Secretary of Health, Education, and 
     Welfare'' each place it appears and inserting ``Secretary of 
     Health and Human Services'';
       (B) in subparagraph (B), by striking ``such information'' 
     and all that follows through the semicolon and inserting 
     ``information furnished under subparagraph (A) or (B) is used 
     only for the purposes authorized under such subparagraph;'';
       (C) by striking ``and'' at the end of subparagraph (A);
       (D) by redesignating subparagraph (B) as subparagraph (C); 
     and
       (E) by inserting after subparagraph (A) the following new 
     subparagraph:
       ``(B) wage and unemployment compensation information 
     contained in the records of such agency shall be furnished to 
     the Secretary of Health and Human Services (in accordance 
     with regulations promulgated by such Secretary) as necessary 
     for the purposes of the directory of New Hires established 
     under section 453(i) of the Social Security Act, and''.
       (3) To state grant program under title iii of the social 
     security act.--Section 303(a) (42 U.S.C. 503(a)) is amended--
       (A) by striking ``and'' at the end of paragraph (8);
       (B) by striking the period at the end of paragraph (9) and 
     inserting ``; and''; and
       (C) by adding after paragraph (9) the following new 
     paragraph:
       ``(10) The making of quarterly electronic reports, at such 
     dates, in such format, and containing such information, as 
     required by the Secretary under section 453(i)(3), and 
     compliance with such provisions as such Secretary may find 
     necessary to ensure the correctness and verification of such 
     reports.''.

     SEC. 326. USE OF SOCIAL SECURITY NUMBERS.

       (a) State Law Requirement.--Section 466(a) (42 U.S.C. 
     666(a)), as amended by section 302(a), is amended by adding 
     at the end the following new paragraph:
       ``(13) Procedures requiring the recording of social 
     security numbers--
       ``(A) of both parties on marriage licenses and divorce 
     decrees;
       ``(B) of both parents, on birth records and child support 
     and paternity orders; and
       ``(C) on all applications for motor vehicle licenses and 
     professional licenses.''.
       (b) Clarification of Federal Policy.--Section 
     205(c)(2)(C)(ii) (42 U.S.C. 405(c)(2)(C)(ii)) is amended by 
     striking the third sentence and inserting ``This clause shall 
     not be considered to authorize disclosure of such numbers 
     except as provided in the preceding sentence.''.

           PART IV--STREAMLINING AND UNIFORMITY OF PROCEDURES

     SEC. 331. ADOPTION OF UNIFORM STATE LAWS.

       Section 466(a) (42 U.S.C. 666(a)), as amended by sections 
     302(a) and 326(a), is amended by adding at the end the 
     following new paragraph:
       ``(14)(A) Procedures under which the State adopts in its 
     entirety (with the modifications and additions specified in 
     this paragraph) not later than January 1, 1997, and uses on 
     and after such date, the Uniform Interstate Family Support 
     Act, as approved by the National Conference of Commissioners 
     on Uniform State Laws in August 1992.
       ``(B) The State law adopted pursuant to subparagraph (A) 
     shall be applied to any case--
       ``(i) involving an order established or modified in one 
     State and for which a subsequent modification is sought in 
     another State; or
       ``(ii) in which interstate activity is required to enforce 
     an order.
       ``(C) The State law adopted pursuant to subparagraph (A) of 
     this paragraph shall contain the following provision in lieu 
     of section 611(a)(1) of the Uniform Interstate Family Support 
     Act described in such subparagraph (A):
       `` `(1) the following requirements are met:
       `` `(i) the child, the individual obligee, and the 
     obligor--
       `` `(I) do not reside in the issuing State; and
       `` `(II) either reside in this State or are subject to the 
     jurisdiction of this State pursuant to section 201; and
       `` `(ii) in any case where another State is exercising or 
     seeks to exercise jurisdiction to modify the order, the 
     conditions of section 204 are met to the same extent as 
     required for proceedings to establish orders; or'.
       ``(D) The State law adopted pursuant to subparagraph (A) 
     shall recognize as valid, for purposes of any proceeding 
     subject to such State law, service of process upon persons in 
     the State (and proof of such service) by any means acceptable 
     in another State which is the initiating or responding State 
     in such proceeding.''.
     SEC. 332. IMPROVEMENTS TO FULL FAITH AND CREDIT FOR CHILD 
                   SUPPORT ORDERS.

       Section 1738B of title 28, United States Code, is amended--
       (1) in subsection (a)(2), by striking ``subsection (e)'' 
     and inserting ``subsections (e), (f), and (i)'';
       (2) in subsection (b), by inserting after the first 
     undesignated paragraph the following:
       `` `child's home State' means the State in which a child 
     lived with a parent or a person acting as parent for at least 
     6 consecutive months immediately preceding the time of filing 
     of a petition or comparable pleading for support and, if a 
     child is less than 6 months old, the State in which the child 
     lived from birth with any of them. A period of temporary 
     absence of any of them is counted as part of the 6-month 
     period.'';
       (3) in subsection (c), by inserting ``by a court of a 
     State'' before ``is made'';
       (4) in subsection (c)(1), by inserting ``and subsections 
     (e), (f), and (g)'' after ``located'';
       (5) in subsection (d)--
       (A) by inserting ``individual'' before ``contestant''; and
       (B) by striking ``subsection (e)'' and inserting 
     ``subsections (e) and (f)'';

[[Page S 12855]]

       (6) in subsection (e), by striking ``make a modification of 
     a child support order with respect to a child that is made'' 
     and inserting ``modify a child support order issued'';
       (7) in subsection (e)(1), by inserting ``pursuant to 
     subsection (i)'' before the semicolon;
       (8) in subsection (e)(2)--
       (A) by inserting ``individual'' before ``contestant'' each 
     place such term appears; and
       (B) by striking ``to that court's making the modification 
     and assuming'' and inserting ``with the State of continuing, 
     exclusive jurisdiction for a court of another State to modify 
     the order and assume'';
       (9) by redesignating subsections (f) and (g) as subsections 
     (g) and (h), respectively;
       (10) by inserting after subsection (e) the following new 
     subsection:
       ``(f) Recognition of Child Support Orders.--If 1 or more 
     child support orders have been issued in this or another 
     State with regard to an obligor and a child, a court shall 
     apply the following rules in determining which order to 
     recognize for purposes of continuing, exclusive jurisdiction 
     and enforcement:
       ``(1) If only 1 court has issued a child support order, the 
     order of that court must be recognized.
       ``(2) If 2 or more courts have issued child support orders 
     for the same obligor and child, and only 1 of the courts 
     would have continuing, exclusive jurisdiction under this 
     section, the order of that court must be recognized.
       ``(3) If 2 or more courts have issued child support orders 
     for the same obligor and child, and only 1 of the courts 
     would have continuing, exclusive jurisdiction under this 
     section, an order issued by a court in the current home State 
     of the child must be recognized, but if an order has not been 
     issued in the current home State of the child, the order most 
     recently issued must be recognized.
       ``(4) If 2 or more courts have issued child support orders 
     for the same obligor and child, and none of the courts would 
     have continuing, exclusive jurisdiction under this section, a 
     court may issue a child support order, which must be 
     recognized.
       ``(5) The court that has issued an order recognized under 
     this subsection is the court having continuing, exclusive 
     jurisdiction.'';
       (11) in subsection (g) (as so redesignated)--
       (A) by striking ``Prior'' and inserting ``Modified''; and
       (B) by striking ``subsection (e)'' and inserting 
     ``subsections (e) and (f)'';
       (12) in subsection (h) (as so redesignated)--
       (A) in paragraph (2), by inserting ``including the duration 
     of current payments and other obligations of support'' before 
     the comma; and
       (B) in paragraph (3), by inserting ``arrears under'' after 
     ``enforce''; and
       (13) by adding at the end the following new subsection:
       ``(i) Registration for Modification.--If there is no 
     individual contestant or child residing in the issuing State, 
     the party or support enforcement agency seeking to modify, or 
     to modify and enforce, a child support order issued in 
     another State shall register that order in a State with 
     jurisdiction over the nonmovant for the purpose of 
     modification.''.

     SEC. 333. STATE LAWS PROVIDING EXPEDITED PROCEDURES.

       (a) State Law Requirements.--Section 466 (42 U.S.C. 666), 
     as amended by section 323(b), is amended--
       (1) in subsection (a)(2), in the first sentence, to read as 
     follows: ``Expedited administrative and judicial procedures 
     (including the procedures specified in subsection (c)) for 
     establishing paternity and for establishing, modifying, and 
     enforcing support obligations.''; and
       (2) by adding after subsection (b) the following new 
     subsection:
       ``(c) The procedures specified in this subsection are the 
     following:
       ``(1) Procedures which give the State agency the authority 
     (and recognize and enforce the authority of State agencies of 
     other States), without the necessity of obtaining an order 
     from any other judicial or administrative tribunal (but 
     subject to due process safeguards, including (as appropriate) 
     requirements for notice, opportunity to contest the action, 
     and opportunity for an appeal on the record to an independent 
     administrative or judicial tribunal), to take the following 
     actions relating to establishment or enforcement of orders:
       ``(A) To order genetic testing for the purpose of paternity 
     establishment as provided in section 466(a)(5).
       ``(B) To enter a default order, upon a showing of service 
     of process and any additional showing required by State law--
       ``(i) establishing paternity, in the case of any putative 
     father who refuses to submit to genetic testing; and
       ``(ii) establishing or modifying a support obligation, in 
     the case of a parent (or other obligor or obligee) who fails 
     to respond to notice to appear at a proceeding for such 
     purpose.
       ``(C) To subpoena any financial or other information needed 
     to establish, modify, or enforce an order, and to sanction 
     failure to respond to any such subpoena.
       ``(D) To require all entities in the State (including for-
     profit, nonprofit, and governmental employers) to provide 
     promptly, in response to a request by the State agency of 
     that or any other State administering a program under this 
     part, information on the employment, compensation, and 
     benefits of any individual employed by such entity as an 
     employee or contractor, and to sanction failure to respond to 
     any such request.
       ``(E) To obtain access, subject to safeguards on privacy 
     and information security, to the following records (including 
     automated access, in the case of records maintained in 
     automated data bases):
       ``(i) Records of other State and local government agencies, 
     including--

       ``(I) vital statistics (including records of marriage, 
     birth, and divorce);
       ``(II) State and local tax and revenue records (including 
     information on residence address, employer, income and 
     assets);
       ``(III) records concerning real and titled personal 
     property;
       ``(IV) records of occupational and professional licenses, 
     and records concerning the ownership and control of 
     corporations, partnerships, and other business entities;
       ``(V) employment security records;
       ``(VI) records of agencies administering public assistance 
     programs;
       ``(VII) records of the motor vehicle department; and
       ``(VIII) corrections records.
       ``(ii) Certain records held by private entities, 
     including--

       ``(I) customer records of public utilities and cable 
     television companies; and
       ``(II) information (including information on assets and 
     liabilities) on individuals who owe or are owed support (or 
     against or with respect to whom a support obligation is 
     sought) held by financial institutions (subject to 
     limitations on liability of such entities arising from 
     affording such access).

       ``(F) To order income withholding in accordance with 
     subsection (a)(1) and (b) of section 466.
       ``(G) In cases where support is subject to an assignment 
     under section 402(a)(26), 471(a)(17), or 1912, or to a 
     requirement to pay through the centralized collections unit 
     under section 454B) upon providing notice to obligor and 
     obligee, to direct the obligor or other payor to change the 
     payee to the appropriate government entity.
       ``(H) For the purpose of securing overdue support--
       ``(i) to intercept and seize any periodic or lump-sum 
     payment to the obligor by or through a State or local 
     government agency, including--

       ``(I) unemployment compensation, workers' compensation, and 
     other benefits;
       ``(II) judgments and settlements in cases under the 
     jurisdiction of the State or local government; and
       ``(III) lottery winnings;

       ``(ii) to attach and seize assets of the obligor held by 
     financial institutions;
       ``(iii) to attach public and private retirement funds in 
     appropriate cases, as determined by the Secretary; and
       ``(iv) to impose liens in accordance with paragraph (a)(4) 
     and, in appropriate cases, to force sale of property and 
     distribution of proceeds.
       ``(I) For the purpose of securing overdue support, to 
     increase the amount of monthly support payments to include 
     amounts for arrearages (subject to such conditions or 
     restrictions as the State may provide).
       ``(J) To suspend drivers' licenses of individuals owing 
     past-due support, in accordance with subsection (a)(16).
       ``(2) The expedited procedures required under subsection 
     (a)(2) shall include the following rules and authority, 
     applicable with respect to all proceedings to establish 
     paternity or to establish, modify, or enforce support orders:
       ``(A) Procedures under which--
       ``(i) the parties to any paternity or child support 
     proceedings are required (subject to privacy safeguards) to 
     file with the tribunal before entry of an order, and to 
     update as appropriate, information on location and identity 
     (including social security number, residential and mailing 
     addresses, telephone number, driver's license number, and 
     name, address, and telephone number of employer); and
       ``(ii) in any subsequent child support enforcement action 
     between the same parties, the tribunal shall be authorized, 
     upon sufficient showing that diligent effort has been made to 
     ascertain such party's current location, to deem due process 
     requirements for notice and service of process to be met, 
     with respect to such party, by delivery to the most recent 
     residential or employer address so filed pursuant to clause 
     (i).
       ``(B) Procedures under which--
       ``(i) the State agency and any administrative or judicial 
     tribunal with authority to hear child support and paternity 
     cases exerts statewide jurisdiction over the parties, and 
     orders issued in such cases have statewide effect; and
       ``(ii) in the case of a State in which orders in such cases 
     are issued by local jurisdictions, a case may be transferred 
     between jurisdictions in the State without need for any 
     additional filing by the petitioner, or service of process 
     upon the respondent, to retain jurisdiction over the 
     parties.''.
       (b) Exceptions From State Law Requirements.--Section 466(d) 
     (42 U.S.C. 666(d)) is amended--
       (1) by striking ``(d) If'' and inserting ``(d)(1) Subject 
     to paragraph (2), if''; and
       (2) by adding at the end the following new paragraph:
       ``(2) The Secretary shall not grant an exemption from the 
     requirements of--
       ``(A) subsection (a)(5) (concerning procedures for 
     paternity establishment);
       ``(B) subsection (a)(10) (concerning modification of 
     orders);

[[Page S 12856]]

       ``(C) subsection (a)(12) (concerning recording of orders in 
     the central State case registry);
       ``(D) subsection (a)(13) (concerning recording of social 
     security numbers);
       ``(E) subsection (a)(14) (concerning interstate 
     enforcement); or
       ``(F) subsection (c) (concerning expedited procedures), 
     other than paragraph (1)(A) thereof (concerning establishment 
     or modification of support amount).''.
       (c) Automation of State Agency Functions.--Section 454A, as 
     added by section 315(a)(2) and as amended by sections 321 and 
     322(c), is amended by adding at the end the following new 
     subsection:
       ``(h) Expedited Administrative Procedures.--The automated 
     system required under this section shall be used, to the 
     maximum extent feasible, to implement any expedited 
     administrative procedures required under section 466(c).''.

                    PART V--PATERNITY ESTABLISHMENT

     SEC. 341. STATE LAWS CONCERNING PATERNITY ESTABLISHMENT.

       (a) State Laws Required.--Section 466(a)(5) (42 U.S.C. 
     666(a)(5)) is amended--
       (1) in subparagraph (B)--
       (A) by striking ``(B)'' and inserting ``(B)(i)'';
       (B) in clause (i), as redesignated, by inserting before the 
     period ``, where such request is supported by a sworn 
     statement--
       ``(I) by such party alleging paternity setting forth facts 
     establishing a reasonable possibility of the requisite sexual 
     contact of the parties; or
       ``(II) by such party denying paternity setting forth facts 
     establishing a reasonable possibility of the nonexistence of 
     sexual contact of the parties;''; and
       (C) by inserting after clause (i) (as redesignated) the 
     following new clause:
       ``(ii) Procedures which require the State agency, in any 
     case in which such agency orders genetic testing--
       ``(I) to pay the costs of such tests, subject to recoupment 
     (where the State so elects) from the putative father if 
     paternity is established; and
       ``(II) to obtain additional testing in any case where an 
     original test result is disputed, upon request and advance 
     payment by the disputing party.'';
       (2) by striking subparagraphs (C), (D), (E), and (F) and 
     inserting the following:
       ``(C)(i) Procedures for a simple civil process for 
     voluntarily acknowledging paternity under which the State 
     must provide that, before a mother and a putative father can 
     sign an acknowledgment of paternity, the putative father and 
     the mother must be given notice, orally, in writing, and in a 
     language that each can understand, of the alternatives to, 
     the legal consequences of, and the rights (including, if 1 
     parent is a minor, any rights afforded due to minority 
     status) and responsibilities that arise from, signing the 
     acknowledgment.
       ``(ii) Such procedures must include a hospital-based 
     program for the voluntary acknowledgment of paternity 
     focusing on the period immediately before or after the birth 
     of a child.
       ``(iii) Such procedures must require the State agency 
     responsible for maintaining birth records to offer voluntary 
     paternity establishment services.
       ``(iv) The Secretary shall prescribe regulations governing 
     voluntary paternity establishment services offered by 
     hospitals and birth record agencies. The Secretary shall 
     prescribe regulations specifying the types of other entities 
     that may offer voluntary paternity establishment services, 
     and governing the provision of such services, which shall 
     include a requirement that such an entity must use the same 
     notice provisions used by, the same materials used by, 
     provide the personnel providing such services with the same 
     training provided by, and evaluate the provision of such 
     services in the same manner as, voluntary paternity 
     establishment programs of hospitals and birth record 
     agencies.
       ``(D)(i) Procedures under which a signed acknowledgment of 
     paternity is considered a legal finding of paternity, subject 
     to the right of any signatory to rescind the acknowledgment 
     within 60 days.
       ``(ii)(I) Procedures under which, after the 60-day period 
     referred to in clause (i), a signed acknowledgment of 
     paternity may be challenged in court only on the basis of 
     fraud, duress, or material mistake of fact, with the burden 
     of proof upon the challenger, and under which the legal 
     responsibilities (including child support obligations) of any 
     signatory arising from the acknowledgment may not be 
     suspended during the challenge, except for good cause shown.
       ``(II) Procedures under which, after the 60-day period 
     referred to in clause (i), a minor who signs an 
     acknowledgment of paternity other than in the presence of a 
     parent or court-appointed guardian ad litem may rescind the 
     acknowledgment in a judicial or administrative proceeding, 
     until the earlier of--
       ``(aa) attaining the age of majority; or
       ``(bb) the date of the first judicial or administrative 
     proceeding brought (after the signing) to establish a child 
     support obligation, visitation rights, or custody rights with 
     respect to the child whose paternity is the subject of the 
     acknowledgment, and at which the minor is represented by a 
     parent, guardian ad litem, or attorney.
       ``(E) Procedures under which no judicial or administrative 
     proceedings are required or permitted to ratify an 
     unchallenged acknowledgment of paternity.
       ``(F) Procedures requiring--
       ``(i) that the State admit into evidence, for purposes of 
     establishing paternity, results of any genetic test that is--
       ``(I) of a type generally acknowledged, by accreditation 
     bodies designated by the Secretary, as reliable evidence of 
     paternity; and
       ``(II) performed by a laboratory approved by such an 
     accreditation body;
       ``(ii) that any objection to genetic testing results must 
     be made in writing not later than a specified number of days 
     before any hearing at which such results may be introduced 
     into evidence (or, at State option, not later than a 
     specified number of days after receipt of such results); and
       ``(iii) that, if no objection is made, the test results are 
     admissible as evidence of paternity without the need for 
     foundation testimony or other proof of authenticity or 
     accuracy.''; and
       (3) by adding after subparagraph (H) the following new 
     subparagraphs:
       ``(I) Procedures providing that the parties to an action to 
     establish paternity are not entitled to a jury trial.
       ``(J) Procedures which require that a temporary order be 
     issued, upon motion by a party, requiring the provision of 
     child support pending an administrative or judicial 
     determination of parentage, where there is clear and 
     convincing evidence of paternity (on the basis of genetic 
     tests or other evidence).
       ``(K) Procedures under which bills for pregnancy, 
     childbirth, and genetic testing are admissible as evidence 
     without requiring third-party foundation testimony, and shall 
     constitute prima facie evidence of amounts incurred for such 
     services and testing on behalf of the child.
       ``(L) At the option of the State, procedures under which 
     the tribunal establishing paternity and support has 
     discretion to waive rights to all or part of amounts owed to 
     the State (but not to the mother) for costs related to 
     pregnancy, childbirth, and genetic testing and for public 
     assistance paid to the family where the father cooperates or 
     acknowledges paternity before or after genetic testing.
       ``(M) Procedures ensuring that the putative father has a 
     reasonable opportunity to initiate a paternity action.''.
       (b) Technical Amendment.--Section 468 (42 U.S.C. 668) is 
     amended by striking ``a simple civil process for voluntarily 
     acknowledging paternity and''.

     SEC. 342. OUTREACH FOR VOLUNTARY PATERNITY ESTABLISHMENT.

       (a) State Plan Requirement.--Section 454(23) (42 U.S.C. 
     654(23)) is amended--
       (1) by striking ``(23)'' and inserting ``(23)(A)'';
       (2) by inserting ``and'' after the semicolon; and
       (3) by adding at the end the following new subparagraph:
       ``(B) publicize the availability and encourage the use of 
     procedures for voluntary establishment of paternity and child 
     support through a variety of means, which--
       ``(i) include distribution of written materials at health 
     care facilities (including hospitals and clinics), and other 
     locations such as schools;
       ``(ii) may include pre-natal programs to educate expectant 
     couples on individual and joint rights and responsibilities 
     with respect to paternity (and may require all expectant 
     recipients of assistance under part A to participate in such 
     pre-natal programs, as an element of cooperation with efforts 
     to establish paternity and child support);
       ``(iii) include, with respect to each child discharged from 
     a hospital after birth for whom paternity or child support 
     has not been established, reasonable follow-up efforts, 
     providing--
       ``(I) in the case of a child for whom paternity has not 
     been established, information on the benefits of and 
     procedures for establishing paternity; and
       ``(II) in the case of a child for whom paternity has been 
     established but child support has not been established, 
     information on the benefits of and procedures for 
     establishing a child support order, and an application for 
     child support services;''.
       (b) Enhanced Federal Matching.--Section 455(a)(1)(C) (42 
     U.S.C. 655(a)(1)(C)) is amended--
       (1) by inserting ``(i)'' before ``laboratory costs'', and
       (2) by inserting before the semicolon ``, and (ii) costs of 
     outreach programs designed to encourage voluntary 
     acknowledgment of paternity''.
       (c) Effective Dates.--
       (1) In general.--The amendments made by subsection (a) 
     shall become effective October 1, 1997.
       (2) Exception.--The amendments made by subsection (b) shall 
     be effective with respect to calendar quarters beginning on 
     and after October 1, 1996.

       PART VI--ESTABLISHMENT AND MODIFICATION OF SUPPORT ORDERS

     SEC. 351. NATIONAL CHILD SUPPORT GUIDELINES COMMISSION.

       (a) Establishment.--There is hereby established a 
     commission to be known as the ``National Child Support 
     Guidelines Commission'' (in this section referred to as the 
     ``Commission'').
       (b) General Duties.--
       (1) In general.--The Commission shall determine--

[[Page S 12857]]

       (A) whether it is appropriate to develop a national child 
     support guideline for consideration by the Congress or for 
     adoption by individual States; or
       (B) based on a study of various guideline models, the 
     benefits and deficiencies of such models, and any needed 
     improvements.
       (2) Development of models.--If the Commission determines 
     under paragraph (1)(A) that a national child support 
     guideline is needed or under paragraph (1)(B) that 
     improvements to guideline models are needed, the Commission 
     shall develop such national guideline or improvements.
       (c) Matters for Consideration by the Commission.--In making 
     the recommendations concerning guidelines required under 
     subsection (b), the Commission shall consider--
       (1) the adequacy of State child support guidelines 
     established pursuant to section 467 of the Social Security 
     Act;
       (2) matters generally applicable to all support orders, 
     including--
       (A) the feasibility of adopting uniform terms in all child 
     support orders;
       (B) how to define income and under what circumstances 
     income should be imputed; and
       (C) tax treatment of child support payments;
       (3) the appropriate treatment of cases in which either or 
     both parents have financial obligations to more than 1 
     family, including the effect (if any) to be given to--
       (A) the income of either parent's spouse; and
       (B) the financial responsibilities of either parent for 
     other children or stepchildren;
       (4) the appropriate treatment of expenses for child care 
     (including care of the children of either parent, and work-
     related or job-training-related child care);
       (5) the appropriate treatment of expenses for health care 
     (including uninsured health care) and other extraordinary 
     expenses for children with special needs;
       (6) the appropriate duration of support by 1 or both 
     parents, including
       (A) support (including shared support) for post-secondary 
     or vocational education; and
       (B) support for disabled adult children;
       (7) procedures to automatically adjust child support orders 
     periodically to address changed economic circumstances, 
     including changes in the consumer price index or either 
     parent's income and expenses in particular cases;
       (8) procedures to help non-custodial parents address 
     grievances regarding visitation and custody orders to prevent 
     such parents from withholding child support payments until 
     such grievances are resolved; and
       (9) whether, or to what extent, support levels should be 
     adjusted in cases in which custody is shared or in which the 
     noncustodial parent has extended visitation rights.
       (d) Membership.--
       (1) Number; appointment.--
       (A) In general.--The Commission shall be composed of 12 
     individuals appointed jointly by the Secretary of Health and 
     Human Services and the Congress, not later than January 15, 
     1997, of which--
       (i) 2 shall be appointed by the Chairman of the Committee 
     on Finance of the Senate, and 1 shall be appointed by the 
     ranking minority member of the Committee;
       (ii) 2 shall be appointed by the Chairman of the Committee 
     on Ways and Means of the House of Representatives, and 1 
     shall be appointed by the ranking minority member of the 
     Committee; and
       (iii) 6 shall be appointed by the Secretary of Health and 
     Human Services.
       (B) Qualifications of members.--Members of the Commission 
     shall have expertise and experience in the evaluation and 
     development of child support guidelines. At least 1 member 
     shall represent advocacy groups for custodial parents, at 
     least 1 member shall represent advocacy groups for 
     noncustodial parents, and at least 1 member shall be the 
     director of a State program under part D of title IV of the 
     Social Security Act.
       (2) Terms of office.--Each member shall be appointed for a 
     term of 2 years. A vacancy in the Commission shall be filled 
     in the manner in which the original appointment was made.
       (e) Commission Powers, Compensation, Access to Information, 
     and Supervision.--The first sentence of subparagraph (C), the 
     first and third sentences of subparagraph (D), subparagraph 
     (F) (except with respect to the conduct of medical studies), 
     clauses (ii) and (iii) of subparagraph (G), and subparagraph 
     (H) of section 1886(e)(6) of the Social Security Act shall 
     apply to the Commission in the same manner in which such 
     provisions apply to the Prospective Payment Assessment 
     Commission.
       (f) Report.--Not later than 2 years after the appointment 
     of members, the Commission shall submit to the President, the 
     Committee on Ways and Means of the House of Representatives, 
     and the Committee on Finance of the Senate, a recommended 
     national child support guideline and a final assessment of 
     issues relating to such a proposed national child support 
     guideline.
       (g) Termination.--The Commission shall terminate 6 months 
     after the submission of the report described in subsection 
     (e).

     SEC. 352. SIMPLIFIED PROCESS FOR REVIEW AND ADJUSTMENT OF 
                   CHILD SUPPORT ORDERS.

       Section 466(a)(10) (42 U.S.C. 666(a)(10)) is amended to 
     read as follows:
       ``(10)(A)(i) Procedures under which--
       ``(I) every 3 years, at the request of either parent 
     subject to a child support order, the State shall review and, 
     as appropriate, adjust the order in accordance with the 
     guidelines established under section 467(a) if the amount of 
     the child support award under the order differs from the 
     amount that would be awarded in accordance with such 
     guidelines, without a requirement for any other change in 
     circumstances; and
       ``(II) upon request at any time of either parent subject to 
     a child support order, the State shall review and, as 
     appropriate, adjust the order in accordance with the 
     guidelines established under section 467(a) based on a 
     substantial change in the circumstances of either such 
     parent.
       ``(ii) Such procedures shall require both parents subject 
     to a child support order to be notified of their rights and 
     responsibilities provided for under clause (i) at the time 
     the order is issued and in the annual information exchange 
     form provided under subparagraph (B).
       ``(B) Procedures under which each child support order 
     issued or modified in the State after the effective date of 
     this subparagraph shall require the parents subject to the 
     order to provide each other with a complete statement of 
     their respective financial condition annually on a form which 
     shall be provided by the State. The Secretary shall establish 
     regulations for the enforcement of such exchange of 
     information.''.
                PART VII--ENFORCEMENT OF SUPPORT ORDERS

     SEC. 361. FEDERAL INCOME TAX REFUND OFFSET.

       (a) Changed Order of Refund Distribution Under Internal 
     Revenue Code.--Section 6402(c) of the Internal Revenue Code 
     of 1986 (relating to offset of past-due support against 
     overpayments) is amended--
       (1) by striking ``The amount'' and inserting
       ``(1) In general.--The amount'';
       (2) by striking ``paid to the State. A reduction'' and 
     inserting ``paid to the State''.
       ``(2) Priorities for offset.--A reduction'';
       (3) by striking ``has been assigned'' and inserting ``has 
     not been assigned''; and
       (4) by striking ``and shall be applied'' and all that 
     follows and inserting ``and shall thereafter be applied to 
     satisfy any past-due support that has been so assigned.''.
       (b) Elimination of Disparities in Treatment of Assigned and 
     Non-Assigned Arrearages.--
       (1) In general.--Section 464(a) (42 U.S.C. 664(a)) is 
     amended--
       (A) in paragraph (1)--
       (i) in the first sentence, by striking ``which has been 
     assigned to such State pursuant to section 402(a)(26) or 
     section 471(a)(17)''; and
       (ii) in the second sentence, by striking ``in accordance 
     with section 457 (b)(4) or (d)(3)'' and inserting ``as 
     provided in paragraph (2)'';
       (B) in paragraph (2), to read as follows:
       ``(2) The State agency shall distribute amounts paid by the 
     Secretary of the Treasury pursuant to paragraph (1)--
       ``(A) in accordance with subsection (a)(4) or (d)(3) of 
     section 457, in the case of past-due support assigned to a 
     State pursuant to section 402(a)(26) or section 471(a)(17); 
     and
       ``(B) to or on behalf of the child to whom the support was 
     owed, in the case of past-due support not so assigned.'';
       (C) in paragraph (3)--
       (i) by striking ``or (2)'' each place it appears; and
       (ii) in subparagraph (B), by striking ``under paragraph 
     (2)'' and inserting ``on account of past-due support 
     described in paragraph (2)(B)''.
       (2) Notices of past-due support.--Section 464(b) (42 U.S.C. 
     664(b)) is amended--
       (A) by striking ``(b)(1)'' and inserting ``(b)''; and
       (B) by striking paragraph (2).
       (3) Definition of past-due support.--Section 464(c) (42 
     U.S.C. 664(c)) is amended--
       (A) by striking ``(c)(1) Except as provided in paragraph 
     (2), as'' and inserting ``(c) As''; and
       (B) by striking paragraphs (2) and (3).
       (c) Treatment of Lump-Sum Tax Refund Under AFDC.--
       (1) Exemption from lump-sum rule.--Section 402(a)(17) (42 
     U.S.C. 602(a)(17)) is amended by inserting before the 
     semicolon at the end the following: ``, but this paragraph 
     shall not apply to income received by a family that is 
     attributable to a child support obligation owed with respect 
     to a member of the family and that is paid to the family from 
     amounts withheld from a Federal income tax refund otherwise 
     payable to the person owing such obligation, to the extent 
     that such income is placed in a qualified asset account (as 
     defined in section 406(i)) the total amounts in which, after 
     such placement, does not exceed $10,000''.
       (2) Qualified asset account defined.--Section 406 (42 
     U.S.C. 606) is amended by adding at the end the following new 
     subsection:
       ``(i)(1) The term `qualified asset account' means a 
     mechanism approved by the State (such as individual 
     retirement accounts, escrow accounts, or savings bonds) that 
     allows savings of a family receiving aid to families with 
     dependent children to be used for qualified distributions.
       ``(2) The term `qualified distribution' means a 
     distribution from a qualified asset account for expenses 
     directly related to 1 or more of the following purposes:
       ``(A) The attendance of a member of the family at any 
     education or training program.
       ``(B) The improvement of the employability (including self-
     employment) of a member of the family (such as through the 
     purchase of an automobile).

[[Page S 12858]]

       ``(C) The purchase of a home for the family.
       ``(D) A change of the family residence.''.
       (d) Effective Date.--The amendments made by this section 
     shall become effective October 1, 1999.
     SEC. 362. INTERNAL REVENUE SERVICE COLLECTION OF ARREARAGES.

       (a) Amendment to Internal Revenue Code.--Section 6305(a) of 
     the Internal Revenue Code of 1986 (relating to collection of 
     certain liability) is amended--
       (1) in paragraph (1), by inserting ``except as provided in 
     paragraph (5)'' after ``collected'';
       (2) by striking ``and'' at the end of paragraph (3);
       (3) by striking the period at the end of paragraph (4) and 
     inserting ``, and'';
       (4) by adding at the end the following new paragraph:
       ``(5) no additional fee may be assessed for adjustments to 
     an amount previously certified pursuant to such section 
     452(b) with respect to the same obligor.''; and
       (5) by striking ``Secretary of Health, Education, and 
     Welfare'' each place it appears and inserting ``Secretary of 
     Health and Human Services''.
       (b) Effective Date.--The amendments made by this section 
     shall become effective October 1, 1997.

     SEC. 363. AUTHORITY TO COLLECT SUPPORT FROM FEDERAL 
                   EMPLOYEES.

       (a) Consolidation and Streamlining of Authorities.--Section 
     459 (42 U.S.C. 659) is amended--
       (1) in the heading, by inserting ``income withholding,'' 
     before ``garnishment'';
       (2) in subsection (a)--
       (A) by striking ``section 207'' and inserting ``section 207 
     and section 5301 of title 38, United States Code''; and
       (B) by striking ``to legal process'' and all that follows 
     through the period and inserting ``to withholding in 
     accordance with State law pursuant to subsections (a)(1) and 
     (b) of section 466 and regulations of the Secretary 
     thereunder, and to any other legal process brought, by a 
     State agency administering a program under this part or by an 
     individual obligee, to enforce the legal obligation of such 
     individual to provide child support or alimony.'';
       (3) by striking subsection (b) and inserting the following 
     new subsection:
       ``(b) Except as otherwise provided herein, each entity 
     specified in subsection (a) shall be subject, with respect to 
     notice to withhold income pursuant to subsection (a)(1) or 
     (b) of section 466, or to any other order or process to 
     enforce support obligations against an individual (if such 
     order or process contains or is accompanied by sufficient 
     data to permit prompt identification of the individual and 
     the moneys involved), to the same requirements as would apply 
     if such entity were a private person.'';
       (4) by striking subsections (c) and (d) and inserting the 
     following new subsections:
       ``(c)(1) The head of each agency subject to the 
     requirements of this section shall--
       ``(A) designate an agent or agents to receive orders and 
     accept service of process; and
       ``(B) publish--
       ``(i) in the appendix of such regulations;
       ``(ii) in each subsequent republication of such 
     regulations; and
       ``(iii) annually in the Federal Register,
     the designation of such agent or agents, identified by title 
     of position, mailing address, and telephone number.
       ``(2) Whenever an agent designated pursuant to paragraph 
     (1) receives notice pursuant to subsection (a)(1) or (b) of 
     section 466, or is effectively served with any order, 
     process, or interrogatories, with respect to an individual's 
     child support or alimony payment obligations, such agent 
     shall--
       ``(A) as soon as possible (but not later than 15 days) 
     thereafter, send written notice of such notice or service 
     (together with a copy thereof) to such individual at his duty 
     station or last-known home address;
       ``(B) not later than 30 days (or such longer period as may 
     be prescribed by applicable State law) after receipt of a 
     notice pursuant to subsection (a)(1) or (b) of section 466, 
     comply with all applicable provisions of such section 466; 
     and
       ``(C) not later than 30 days (or such longer period as may 
     be prescribed by applicable State law) after effective 
     service of any other such order, process, or interrogatories, 
     respond thereto.
       ``(d) In the event that a governmental entity receives 
     notice or is served with process, as provided in this 
     section, concerning amounts owed by an individual to more 
     than 1 person--
       ``(1) support collection under section 466(b) must be given 
     priority over any other process, as provided in section 
     466(b)(7);
       ``(2) allocation of moneys due or payable to an individual 
     among claimants under section 466(b) shall be governed by the 
     provisions of such section 466(b) and regulations thereunder; 
     and
       ``(3) such moneys as remain after compliance with 
     subparagraphs (A) and (B) shall be available to satisfy any 
     other such processes on a first-come, first-served basis, 
     with any such process being satisfied out of such moneys as 
     remain after the satisfaction of all such processes which 
     have been previously served.'';
       (5) in subsection (f)--
       (A) by striking ``(f)'' and inserting ``(f)(1)''; and
       (B) by adding at the end the following new paragraph:
       ``(2) No Federal employee whose duties include taking 
     actions necessary to comply with the requirements of 
     subsection (a) with regard to any individual shall be subject 
     under any law to any disciplinary action or civil or criminal 
     liability or penalty for, or on account of, any disclosure of 
     information made by him in connection with the carrying out 
     of such duties.''; and
       (6) by adding at the end the following new subsections:
       ``(g) Authority to promulgate regulations for the 
     implementation of the provisions of this section shall, 
     insofar as the provisions of this section are applicable to 
     moneys due from (or payable by)--
       ``(1) the executive branch of the Federal Government 
     (including in such branch, for the purposes of this 
     subsection, the territories and possessions of the United 
     States, the United States Postal Service, the Postal Rate 
     Commission, any wholly owned Federal corporation created by 
     an Act of Congress, and the government of the District of 
     Columbia), be vested in the President (or the President's 
     designee);
       ``(2) the legislative branch of the Federal Government, be 
     vested jointly in the President pro tempore of the Senate and 
     the Speaker of the House of Representatives (or their 
     designees); and
       ``(3) the judicial branch of the Federal Government, be 
     vested in the Chief Justice of the United States (or the 
     Chief Justice's designee).
       ``(h) Subject to subsection (i), moneys paid or payable to 
     an individual which are considered to be based upon 
     remuneration for employment, for purposes of this section--
       ``(1) consist of--
       ``(A) compensation paid or payable for personal services of 
     such individual, whether such compensation is denominated as 
     wages, salary, commission, bonus, pay, allowances, or 
     otherwise (including severance pay, sick pay, and incentive 
     pay);
       ``(B) periodic benefits (including a periodic benefit as 
     defined in section 228(h)(3)) or other payments--
       ``(i) under the insurance system established by title II;
       ``(ii) under any other system or fund established by the 
     United States which provides for the payment of pensions, 
     retirement or retired pay, annuities, dependents' or 
     survivors' benefits, or similar amounts payable on account of 
     personal services performed by the individual or any other 
     individual;
       ``(iii) as compensation for death under any Federal 
     program;
       ``(iv) under any Federal program established to provide 
     `black lung' benefits; or
       ``(v) by the Secretary of Veterans Affairs as pension, or 
     as compensation for a service-connected disability or death 
     (except any compensation paid by such Secretary to a former 
     member of the Armed Forces who is in receipt of retired or 
     retainer pay if such former member has waived a portion of 
     his retired pay in order to receive such compensation); and
       ``(C) worker's compensation benefits paid under Federal or 
     State law; but
       ``(2) do not include any payment--
       ``(A) by way of reimbursement or otherwise, to defray 
     expenses incurred by such individual in carrying out duties 
     associated with his employment; or
       ``(B) as allowances for members of the uniformed services 
     payable pursuant to chapter 7 of title 37, United States 
     Code, as prescribed by the Secretaries concerned (defined by 
     section 101(5) of such title) as necessary for the efficient 
     performance of duty.
       ``(i) In determining the amount of any moneys due from, or 
     payable by, the United States to any individual, there shall 
     be excluded amounts which--
       ``(1) are owed by such individual to the United States;
       ``(2) are required by law to be, and are, deducted from the 
     remuneration or other payment involved, including Federal 
     employment taxes, and fines and forfeitures ordered by court-
     martial;
       ``(3) are properly withheld for Federal, State, or local 
     income tax purposes, if the withholding of such amounts is 
     authorized or required by law and if amounts withheld are not 
     greater than would be the case if such individual claimed all 
     the dependents that the individual was entitled to (the 
     withholding of additional amounts pursuant to section 3402(i) 
     of the Internal Revenue Code of 1986 may be permitted only 
     when such individual presents evidence of a tax obligation 
     which supports the additional withholding);
       ``(4) are deducted as health insurance premiums;
       ``(5) are deducted as normal retirement contributions (not 
     including amounts deducted for supplementary coverage); or
       ``(6) are deducted as normal life insurance premiums from 
     salary or other remuneration for employment (not including 
     amounts deducted for supplementary coverage).
       ``(j) For purposes of this section--''.
       (b) Transfer of Subsections.--Subsections (a) through (d) 
     of section 462 (42 U.S.C. 662), are transferred and 
     redesignated as paragraphs (1) through (4), respectively, of 
     section 459(j) (as added by subsection (a)(6)), and the left 
     margin of each of such paragraphs (1) through (4) is indented 
     2 ems to the right of the left margin of subsection (j) (as 
     added by subsection (a)(6)).
       (c) Conforming Amendments.--
       (1) To part d of title iv.--Sections 461 and 462 (42 U.S.C. 
     661) are repealed.
       (2) To title 5, united states code.--Section 5520a of title 
     5, United States Code, is amended, in subsections (h)(2) and 
     (i), by 

[[Page S 12859]]
     striking ``sections 459, 461, and 462 of the Social Security Act (42 
     U.S.C. 659, 661, and 662)'' each place it appears and 
     inserting ``section 459 of the Social Security Act (42 U.S.C. 
     659)''.
       (d) Military Retired and Retainer Pay.--Section 1408 of 
     title 10, United States Code, is amended--
       (1) in subsection (a)--
       (A) in paragraph (1)--
       (i) in subparagraph (B), by striking ``and'';
       (ii) in subparagraph (C), by striking the period and 
     inserting ``; and''; and
       (iii) by adding at the end the following new subparagraph:
       ``(D) any administrative or judicial tribunal of a State 
     competent to enter orders for support or maintenance 
     (including a State agency administering a State program under 
     part D of title IV of the Social Security Act).'';
       (B) in paragraph (2), by inserting ``or a court order for 
     the payment of child support not included in or accompanied 
     by such a decree or settlement,'' before ``which--'';
       (2) in subsection (d)--
       (A) in the heading, by inserting ``(or for benefit of)'' 
     after ``concerned''; and
       (B) in paragraph (1), in the first sentence, by inserting 
     ``(or for the benefit of such spouse or former spouse to a 
     State central collections unit or other public payee 
     designated by a State, in accordance with part D of title IV 
     of the Social Security Act, as directed by court order, or as 
     otherwise directed in accordance with such part D)'' before 
     ``in an amount sufficient''; and
       (3) by adding at the end the following new subsection:
       ``(j) Relationship to Other Laws.--In any case involving a 
     child support order against a member who has never been 
     married to the other parent of the child, the provisions of 
     this section shall not apply, and the case shall be subject 
     to the provisions of section 459 of the Social Security 
     Act.''.
       (e) Effective Date.--The amendments made by this section 
     shall become effective 6 months after the date of the 
     enactment of this Act.

     SEC. 364. ENFORCEMENT OF CHILD SUPPORT OBLIGATIONS OF MEMBERS 
                   OF THE ARMED FORCES.

       (a) Availability of Locator Information.--
       (1) Maintenance of address information.--The Secretary of 
     Defense shall establish a centralized personnel locator 
     service that includes the address of each member of the Armed 
     Forces under the jurisdiction of the Secretary. Upon request 
     of the Secretary of Transportation, addresses for members of 
     the Coast Guard shall be included in the centralized 
     personnel locator service.
       (2) Type of address.--
       (A) Residential address.--Except as provided in 
     subparagraph (B), the address for a member of the Armed 
     Forces shown in the locator service shall be the residential 
     address of that member.
       (B) Duty address.--The address for a member of the Armed 
     Forces shown in the locator service shall be the duty address 
     of that member in the case of a member--
       (i) who is permanently assigned overseas, to a vessel, or 
     to a routinely deployable unit; or
       (ii) with respect to whom the Secretary concerned makes a 
     determination that the member's residential address should 
     not be disclosed due to national security or safety concerns.
       (3) Updating of locator information.--Not later than 30 
     days after a member listed in the locator service establishes 
     a new residential address (or a new duty address, in the case 
     of a member covered by paragraph (2)(B)), the Secretary 
     concerned shall update the locator service to indicate the 
     new address of the member.
       (4) Availability of information.--The Secretary of Defense 
     shall make information regarding the address of a member of 
     the Armed Forces listed in the locator service available, on 
     request, to the Federal Parent Locator Service.
       (b) Facilitating Granting of Leave for Attendance at 
     Hearings.--
       (1) Regulations.--The Secretary of each military 
     department, and the Secretary of Transportation with respect 
     to the Coast Guard when it is not operating as a service in 
     the Navy, shall prescribe regulations to facilitate the 
     granting of leave to a member of the Armed Forces under the 
     jurisdiction of that Secretary in a case in which--
       (A) the leave is needed for the member to attend a hearing 
     described in paragraph (2);
       (B) the member is not serving in or with a unit deployed in 
     a contingency operation (as defined in section 101 of title 
     10, United States Code); and
       (C) the exigencies of military service (as determined by 
     the Secretary concerned) do not otherwise require that such 
     leave not be granted.
       (2) Covered hearings.--Paragraph (1) applies to a hearing 
     that is conducted by a court or pursuant to an administrative 
     process established under State law, in connection with a 
     civil action--
       (A) to determine whether a member of the Armed Forces is a 
     natural parent of a child; or
       (B) to determine an obligation of a member of the Armed 
     Forces to provide child support.
       (3) Definitions.--For purposes of this subsection:
       (A) The term ``court'' has the meaning given that term in 
     section 1408(a) of title 10, United States Code.
       (B) The term ``child support'' has the meaning given such 
     term in section 462 of the Social Security Act (42 U.S.C. 
     662).
       (c) Payment of Military Retired Pay in Compliance With 
     Child Support Orders.--Section 1408 of title 10, United 
     States Code, as amended by section 363(d)(3), is amended--
       (1) by redesignating subsections (i) and (j) as subsections 
     (j) and (k), respectively;
       (2) by inserting after subsection (h) the following new 
     subsection:
       ``(i) Certification Date.--It is not necessary that the 
     date of a certification of the authenticity or completeness 
     of a copy of a court order or an order of an administrative 
     process established under State law for child support 
     received by the Secretary concerned for the purposes of this 
     section be recent in relation to the date of receipt by the 
     Secretary.''; and
       (3) in subsection (d)--
       (A) in paragraph (1), by inserting after the first sentence 
     the following: ``In the case of a spouse or former spouse 
     who, pursuant to section 402(a)(26) of the Social Security 
     Act (42 U.S.C. 602(26)), assigns to a State the rights of the 
     spouse or former spouse to receive support, the Secretary 
     concerned may make the child support payments referred to in 
     the preceding sentence to that State in amounts consistent 
     with that assignment of rights.''; and
       (B) by adding at the end the following new paragraph:
       ``(6) In the case of a court order or an order of an 
     administrative process established under State law for which 
     effective service is made on the Secretary concerned on or 
     after the date of the enactment of this paragraph and which 
     provides for payments from the disposable retired pay of a 
     member to satisfy the amount of child support set forth in 
     the order, the authority provided in paragraph (1) to make 
     payments from the disposable retired pay of a member to 
     satisfy the amount of child support set forth in a court 
     order or an order of an administrative process established 
     under State law shall apply to payment of any amount of child 
     support arrearages set forth in that order as well as to 
     amounts of child support that currently become due.''.

     SEC. 365. VOIDING OF FRAUDULENT TRANSFERS.

       Section 466(a) (42 U.S.C. 666(a)), as amended by sections 
     302(a), 326(a), and 331, is amended by adding at the end the 
     following new paragraph:
       ``(15) Procedures under which--
       ``(A) the State has in effect--
       ``(i) the Uniform Fraudulent Conveyance Act of 1981,
       ``(ii) the Uniform Fraudulent Transfer Act of 1984, or
       ``(iii) another law, specifying indicia of fraud which 
     create a prima facie case that a debtor transferred income or 
     property to avoid payment to a child support creditor, which 
     the Secretary finds affords comparable rights to child 
     support creditors; and
       ``(B) in any case in which the State knows of a transfer by 
     a child support debtor with respect to which such a prima 
     facie case is established, the State must--
       ``(i) seek to void such transfer; or
       ``(ii) obtain a settlement in the best interests of the 
     child support creditor.''.

     SEC. 366. STATE LAW AUTHORIZING SUSPENSION OF LICENSES.

       Section 466(a) (42 U.S.C. 666(a)), as amended by sections 
     302(a), 326(a), 331, and 365, is amended by adding at the end 
     the following new paragraph:
       ``(16) Procedures under which the State has (and uses in 
     appropriate cases) authority (subject to appropriate due 
     process safeguards) to withhold or suspend, or to restrict 
     the use of driver's licenses, professional and occupational 
     licenses, and recreational licenses of individuals owing 
     overdue child support or failing, after receiving appropriate 
     notice, to comply with subpoenas or warrants relating to 
     paternity or child support proceedings.''.

     SEC. 367. REPORTING ARREARAGES TO CREDIT BUREAUS.

       Section 466(a)(7) (42 U.S.C. 666(a)(7)) is amended to read 
     as follows:
       ``(7)(A) Procedures (subject to safeguards pursuant to 
     subparagraph (B)) requiring the State to report periodically 
     to consumer reporting agencies (as defined in section 603(f) 
     of the Fair Credit Reporting Act (15 U.S.C. 1681a(f)) the 
     name of any absent parent who is delinquent in the payment of 
     support, and the amount of overdue support owed by such 
     parent.
       ``(B) Procedures ensuring that, in carrying out 
     subparagraph (A), information with respect to an absent 
     parent is reported--
       ``(i) only after such parent has been afforded all due 
     process required under State law, including notice and a 
     reasonable opportunity to contest the accuracy of such 
     information; and
       ``(ii) only to an entity that has furnished evidence 
     satisfactory to the State that the entity is a consumer 
     reporting agency.''.

     SEC. 368. EXTENDED STATUTE OF LIMITATION FOR COLLECTION OF 
                   ARREARAGES.

       (a) In General.--Section 466(a)(9) (42 U.S.C. 666(a)(9)) is 
     amended--
       (1) by redesignating subparagraphs (A), (B), and (C) as 
     clauses (i), (ii), and (iii), respectively;
       (2) by striking ``(9)'' and inserting ``(9)(A)''; and
       (3) by adding at the end the following new subparagraph:
       ``(B) Procedures under which the statute of limitations on 
     any arrearages of child support extends at least until the 
     child owed such support is 30 years of age.''. 

[[Page S 12860]]

       (b) Application of Requirement.--The amendment made by this 
     section shall not be interpreted to require any State law to 
     revive any payment obligation which had lapsed prior to the 
     effective date of such State law.

     SEC. 369. CHARGES FOR ARREARAGES.

       (a) State Law Requirement.--Section 466(a) (42 U.S.C. 
     666(a)), as amended by sections 302(a), 326(a), 331, 365, and 
     367, is amended by adding at the end the following new 
     paragraph:
       ``(17) Procedures providing for the calculation and 
     collection of interest or penalties for arrearages of child 
     support, and for distribution of such interest or penalties 
     collected for the benefit of the child (except where the 
     right to support has been assigned to the State).''.
       (b) Regulations.--The Secretary of Health and Human 
     Services shall establish by regulation a rule to resolve 
     choice of law conflicts arising in the implementation of the 
     amendment made by subsection (a).
       (c) Conforming Amendment.--Section 454(21) (42 U.S.C. 
     654(21)) is repealed.
       (d) Effective Date.--The amendments made by this section 
     shall be effective with respect to arrearages accruing on or 
     after October 1, 1998.

     SEC. 370. DENIAL OF PASSPORTS FOR NONPAYMENT OF CHILD 
                   SUPPORT.

       (a) HHS Certification Procedure.--
       (1) Secretarial responsibility.--Section 452 (42 U.S.C. 
     652), as amended by sections 315(a)(3) and 317, is amended by 
     adding at the end the following new subsection:
       ``(l)(1) If the Secretary receives a certification by a 
     State agency in accordance with the requirements of section 
     454(29) that an individual owes arrearages of child support 
     in an amount exceeding $5,000 or in an amount exceeding 24 
     months' worth of child support, the Secretary shall transmit 
     such certification to the Secretary of State for action (with 
     respect to denial, revocation, or limitation of passports) 
     pursuant to section 370(b) of the Interstate Child Support 
     Responsibility Act of 1995.
       ``(2) The Secretary shall not be liable to an individual 
     for any action with respect to a certification by a State 
     agency under this section.''.
       (2) State cse agency responsibility.--Section 454 (42 
     U.S.C. 654), as amended by sections 301(a), 305(a), 314(b), 
     and 322(a), is amended--
       (A) by striking ``and'' at the end of paragraph (27);
       (B) by striking the period at the end of paragraph (28) and 
     inserting ``; and''; and
       (C) by adding after paragraph (28) the following new 
     paragraph:
       ``(29) provide that the State agency will have in effect a 
     procedure (which may be combined with the procedure for tax 
     refund offset under section 464) for certifying to the 
     Secretary, for purposes of the procedure under section 452(l) 
     (concerning denial of passports) determinations that 
     individuals owe arrearages of child support in an amount 
     exceeding $5,000 or in an amount exceeding 24 months' worth 
     of child support, under which procedure--
       ``(A) each individual concerned is afforded notice of such 
     determination and the consequences thereof, and an 
     opportunity to contest the determination; and
       ``(B) the certification by the State agency is furnished to 
     the Secretary in such format, and accompanied by such 
     supporting documentation, as the Secretary may require.''.
       (b) State Department Procedure for Denial of Passports.--
       (1) In general.--The Secretary of State, upon certification 
     by the Secretary of Health and Human Services, in accordance 
     with section 452(l) of the Social Security Act, that an 
     individual owes arrearages of child support in excess of 
     $5,000 or in an amount exceeding 24 months' worth of child 
     support, shall refuse to issue a passport to such individual, 
     and may revoke, restrict, or limit a passport issued 
     previously to such individual.
       (2) Limit on liability.--The Secretary of State shall not 
     be liable to an individual for any action with respect to a 
     certification by a State agency under this section.
       (c) Effective Date.--This section and the amendments made 
     by this section shall become effective October 1, 1996.
                       PART VIII--MEDICAL SUPPORT

     SEC. 381. TECHNICAL CORRECTION TO ERISA DEFINITION OF MEDICAL 
                   CHILD SUPPORT ORDER.

       (a) In General.--Section 609(a)(2)(B) of the Employee 
     Retirement Income Security Act of 1974 (29 U.S.C. 
     1169(a)(2)(B)) is amended--
       (1) by striking ``issued by a court of competent 
     jurisdiction'';
       (2) in clause (ii) by striking the period and inserting a 
     comma; and
       (3) by adding after clause (ii), the following flush left 
     language:
     ``if such judgment, decree, or order (I) is issued by a court 
     of competent jurisdiction or (II) is issued by an 
     administrative adjudicator and has the force and effect of 
     law under applicable State law.''.
       (b) Effective Date.--
       (1) In general.--The amendments made by this section shall 
     become effective on the date of the enactment of this Act.
       (2) Plan amendments not required until january 1, 1996.--
       (A) In general.--Any amendment to a plan required to be 
     made by an amendment made by this section shall not be 
     required to be made before the first plan year beginning on 
     or after January 1, 1996, if--
       (i) during the period after the date before the date of the 
     enactment of this Act and before such first plan year, the 
     plan is operated in accordance with the requirements of the 
     amendments made by this section; and
       (ii) such plan amendment applies retroactively to the 
     period after the date before the date of the enactment of 
     this Act and before such first plan year.
       (B) No failure for compliance with this paragraph.--A plan 
     shall not be treated as failing to be operated in accordance 
     with the provisions of the plan merely because it operates in 
     accordance with this paragraph.

                PART IX--ACCESS AND VISITATION PROGRAMS

     SEC. 391. GRANTS TO STATES FOR ACCESS AND VISITATION 
                   PROGRAMS.

       Part D of title IV is amended by adding at the end the 
     following new section:
         ``grants to states for access and visitation programs

       ``Sec. 469A. (a) Purposes; Authorization of 
     Appropriations.--For purposes of enabling States to establish 
     and administer programs to support and facilitate absent 
     parents' access to and visitation of their children, by means 
     of activities including mediation (both voluntary and 
     mandatory), counseling, education, development of parenting 
     plans, visitation enforcement (including monitoring, 
     supervision, and neutral drop-off and pickup), and 
     development of guidelines for visitation and alternative 
     custody arrangements, there are authorized to be appropriated 
     $5,000,000 for each of fiscal years 1996 and 1997, and 
     $10,000,000 for each succeeding fiscal year.
       ``(b) Payments to States.--
       ``(1) In general.--Each State shall be entitled to payment 
     under this section for each fiscal year in an amount equal to 
     its allotment under subsection (c) for such fiscal year, to 
     be used for payment of 90 percent of State expenditures for 
     the purposes specified in subsection (a).
       ``(2) Supplementary use.--Payments under this section shall 
     be used by a State to supplement (and not to substitute for) 
     expenditures by the State, for activities specified in 
     subsection (a), at a level at least equal to the level of 
     such expenditures for fiscal year 1994.
       ``(c) Allotments to States.--
       ``(1) In general.--For purposes of subsection (b), each 
     State shall be entitled (subject to paragraph (2)) to an 
     amount for each fiscal year bearing the same ratio to the 
     amount authorized to be appropriated pursuant to subsection 
     (a) for such fiscal year as the number of children in the 
     State living with only 1 biological parent bears to the total 
     number of such children in all States.
       ``(2) Minimum allotment.--Allotments to States under 
     paragraph (1) shall be adjusted as necessary to ensure that 
     no State is allotted less than $50,000 for fiscal year 1996 
     or 1997, or $100,000 for any succeeding fiscal year.
       ``(d) Federal Administration.--The program under this 
     section shall be administered by the Administration for 
     Children and Families.
       ``(e) State Program Administration.--
       ``(1) In general.--Each State may administer the program 
     under this section directly or through grants to or contracts 
     with courts, local public agencies, or nonprofit private 
     entities.
       ``(2) Statewide plan permissible.--State programs under 
     this section may, but need not, be statewide.
       ``(3) Evaluation.--States administering programs under this 
     section shall monitor, evaluate, and report on such programs 
     in accordance with requirements established by the 
     Secretary.''.
                    Subtitle B--Effect of Enactment

     SEC. 395. EFFECTIVE DATES.

       (a) In General.--Except as otherwise specifically provided 
     (but subject to subsections (b) and (c))--
       (1) provisions of subtitle A requiring enactment or 
     amendment of State laws under section 466 of the Social 
     Security Act, or revision of State plans under section 454 of 
     such Act, shall be effective with respect to periods 
     beginning on and after October 1, 1996; and
       (2) all other provisions of subtitle A shall become 
     effective upon the date of the enactment of this Act.
       (b) Grace Period for State Law Changes.--The provisions of 
     subtitle A shall become effective with respect to a State on 
     the later of--
       (1) the date specified in subtitle A, or
       (2) the effective date of laws enacted by the legislature 
     of such State implementing such provisions,

     but in no event later than the first day of the first 
     calendar quarter beginning after the close of the first 
     regular session of the State legislature that begins after 
     the date of the enactment of this Act. For purposes of the 
     previous sentence, in the case of a State that has a 2-year 
     legislative session, each year of such session shall be 
     deemed to be a separate regular session of the State 
     legislature.
       (c) Grace Period for State Constitutional Amendment.--A 
     State shall not be found out of compliance with any 
     requirement enacted by subtitle A if it is unable to comply 
     without amending the State constitution until the earlier 
     of--
       (1) the date which is 1 year after the effective date of 
     the necessary State constitutional amendment, or
       (2) the date which is 5 years after the date of the 
     enactment of this Act.
     
[[Page S 12861]]


     SEC. 396. SEVERABILITY.

       If any provision of subtitle A or the application thereof 
     to any person or circumstance is held invalid, the invalidity 
     shall not affect other provisions or applications of subtitle 
     A which can be given effect without regard to the invalid 
     provision or application, and to this end the provisions of 
     subtitle A shall be severable.
                 TITLE IV--SUPPLEMENTAL SECURITY INCOME

     SEC. 401. REVISED REGULATIONS APPLICABLE TO THE DETERMINATION 
                   OF DISABILITY IN INDIVIDUALS UNDER THE AGE OF 
                   18.

       (a) Regulations Applicable to the Determination of 
     Disability in Individuals Under the Age of 18.--
       (1) In general.--The Commissioner of Social Security 
     (hereafter in this section referred to as the 
     ``Commissioner'') is directed to issue revised regulations 
     applicable to the determination of disability in individuals 
     under the age of 18 for purposes of establishing eligibility 
     for supplemental security income benefits under title XVI of 
     the Social Security Act that ensure that such eligibility is 
     limited to those individuals whose impairments are 
     sufficiently severe as to meet the statutory definition of 
     disability contained in section 1614(a)(3)(A) of such Act (42 
     U.S.C. 1382c(a)(3)(A)).
       (2) Specific requirements.--
       (A) In general.--The regulations described in paragraph (1) 
     shall provide that an individual under the age of 18 may be 
     determined to be under a disability only if the individual's 
     impairment or combination of impairments is so severe as to 
     cause, at minimum--
       (i) a marked limitation in at least 2 domains of 
     functioning or development; or
       (ii) an extreme limitation in at least 1 such domain.
       (B) Domain defined.--As used in subparagraph (A), the term 
     ``domain'' refers to a broad but, to the maximum extent 
     practicable, discrete area of function or development that 
     can be identified in infancy and traced through an 
     individual's maturation. Subject to subparagraph (C), the 
     Commissioner shall specify domains and describe the age-
     appropriate activities and behaviors that characterize each 
     domain. Under no circumstance may the Commissioner specify a 
     domain of maladaptive behavior or consider the limitations 
     caused by such behavior in more than 1 domain.
       (C) Limitation on number of domains.--For the purpose of 
     making individualized functional assessments in individuals 
     under the age of 18, the Commissioner shall specify a set of 
     domains consisting of fewer domains than the number in use 
     for such purpose on the date of the enactment of this Act.
       (3) Deadline.--The Commissioner shall issue the regulations 
     required by this subsection not later than the last day of 
     the ninth month that begins after the date of the enactment 
     of this Act.
       (b) Disability Review Required for Certain Recipients.--
       (1) In general.--During the period that begins on the 
     effective date of the regulations required by subsection (a) 
     and that ends 2 years after such date, the Commissioner shall 
     redetermine the eligibility for supplemental security income 
     benefits under title XVI of the Social Security Act by reason 
     of disability of each individual receiving such benefits on 
     the basis of a finding of disability made before the 
     effective date of such regulations. The provisions of section 
     1614(a)(4) of such Act (42 U.S.C. 1382c(a)(4)) shall not 
     apply to redeterminations conducted pursuant to this 
     paragraph. The Commissioner shall except from the requirement 
     of this paragraph any individual whose impairment or 
     combination of impairments was determined to be disabling in 
     accordance with regulations that were not subject to revision 
     pursuant to subsection (a).
       (2) Notice.--In any case in which the Commissioner 
     initiates a review under this subsection, the Commissioner 
     shall notify the individual whose case is to be reviewed in 
     the same manner as required under section 221(i)(4) of the 
     Social Security Act (42 U.S.C. 421(i)(4)).

     SEC. 402. DIRECTORY OF SERVICES.

       Section 1631 (42 U.S.C. 1383) is amended by redesignating 
     the second subsection (n) (relating to notice requirements) 
     as subsection (o) and by adding at the end the following new 
     subsection:

                        ``Directory of Services

       ``(p) For the purpose of expanding the information base 
     available to members of the public who contact the Social 
     Security Administration, the Commissioner of Social Security 
     shall establish a directory of services for disabled children 
     that are available within the area served by each Social 
     Security Administration office. Each such directory shall 
     include the names of service providers, along with each 
     provider's address and telephone number, and shall be 
     accessible electronically by all agency personnel who provide 
     direct service to the public.''.

     SEC. 403. USE OF STANDARDIZED TESTS AND THEIR EQUIVALENT.

       Section 1614(a)(3)(H) (42 U.S.C. 1382c(a)(3)(H)) is 
     amended--
       (1) by inserting ``(i)'' after ``(H)''; and
       (2) by adding after and below the end the following:
       ``(ii) In making any determination under this title with 
     respect to the disability of an individual who is under the 
     age of 18, the Commissioner shall use--
       ``(I) standardized tests that provide measures of childhood 
     development or functioning, or
       ``(II) criteria of childhood development or function that 
     are equivalent to the findings of a standardized test,
     whenever such tests or criteria are available and the 
     Commissioner determines their use to be appropriate.''.

     SEC. 404. GRADUATED BENEFITS FOR ADDITIONAL CHILDREN.

       (a) In General.--Section 1611(b) of the Social Security Act 
     (42 U.S.C. 1382(b)) is amended by adding at the end the 
     following new paragraph:
       ``(3)(A) The benefit under this title for each eligible 
     blind or disabled individual as determined pursuant to 
     section 1611(a)(1) who--
       ``(i) is a child under the age of 18,
       ``(ii) lives in the same household as 1 or more persons who 
     are also eligible blind or disabled children under the age of 
     18, and
       ``(iii) does not live in a group or foster home,
     shall be equal to the applicable percentage of the amount in 
     section 1611(b)(1), reduced by the amount of any income of 
     such child, including income deemed to such child under 
     section 1614(f)(2).
       ``(B) For purposes of this paragraph, the applicable 
     percentage shall be determined under the following table:

                                                         The applicable
                                                    percentage for each
``If the household has:                              eligible child is:
  2 eligible children........................................90 percent
  3 eligible children........................................80 percent
  4 eligible children........................................70 percent
  5 eligible children........................................65 percent
  6 eligible children........................................60 percent
  7 eligible children........................................55 percent
  8 eligible children........................................50 percent
  9 eligible children or more................................45 percent
       ``(C) For purposes of this paragraph, the applicable 
     household size shall be determined by the number of eligible 
     blind and disabled children under the age of 18 in such 
     household whose countable income and resources do not exceed 
     the limits specified in section 1611(a)(1).''.
       (b) Preservation of Medicaid Eligibility.--Section 1634 (42 
     U.S.C. 1383c) is amended by adding at the end the following 
     new subsection:
       ``(f) Any child under the age of 18 who would be eligible 
     for a payment under this title but for the limitation on 
     payment amount imposed by section 1611(b)(3) shall be deemed 
     receiving such benefit for purposes of establishing such 
     child's eligibility for medical assistance under a State plan 
     approved under title XIX of this Act.''.
       (c) Conforming Amendment.--Section 1618(e) (42 U.S.C. 
     1382g(e)) is amended by adding at the end the following new 
     paragraph:
       ``(3) In determining whether the requirements of paragraph 
     (1) of this subsection are met, the difference between the 
     benefit amounts authorized by section 1611(b)(1) and the 
     benefits authorized after the application of section 
     1611(b)(3) shall be disregarded.
       ``(4) For purposes of determining compliance with section 
     1618(b), decreases or increases in a State's expenditures in 
     a 12-month period due solely to reductions in amounts of 
     benefits paid pursuant to section 1611(b)(3) shall be 
     disregarded.''.
       (d) Effective Date.--The amendments made by this section 
     shall take effect--
       (1) on the date of the enactment of this Act, with respect 
     to payments made on the basis of determinations of 
     eligibility made on or after such date, and
       (2) 180 days after the date of the enactment of this Act, 
     with respect to payments made for months beginning after such 
     date on the basis of determinations of eligibility made 
     before the date of the enactment of this Act.

     SEC. 405. TREATMENT REQUIREMENTS FOR DISABLED INDIVIDUALS 
                   UNDER THE AGE OF 18.

       (a) In General.--Section 1631(a)(2) (42 U.S.C. 1383(a)(2)) 
     is amended--
       (1) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (F) and (G), respectively; and
       (2) by inserting after subparagraph (D) the following new 
     subparagraph:
       ``(E)(i) Not later than 3 months after the Commissioner 
     determines that an individual under the age of 18 is eligible 
     for benefits under this title by reason of disability (and 
     periodically thereafter, as the Commissioner may require), 
     the representative payee of such individual shall file with 
     the State agency that makes disability determinations on 
     behalf of the Commissioner of Social Security in the State in 
     which such individual resides, a copy of the treatment plan 
     required by clause (ii).
       ``(ii) The treatment plan required by this clause shall be 
     developed by the individual's treating physician or other 
     medical provider, or if approved by the Commissioner, other 
     service provider, and shall describe the services that such 
     physician or provider determines is appropriate for the 
     treatment of such individual's impairment or combination of 
     impairments. Such plan shall be in such form and contain such 
     information as the Commissioner may prescribe.
       ``(iii) The representative payee of any individual 
     described in clause (i) shall provide evidence of adherence 
     to the treatment plan described in clause (ii) at the time of 
     any redetermination of eligibility conducted pursuant to 
     section 1614(a)(3)(G)(ii), and at such other time as the 
     Commissioner may prescribe.

[[Page S 12862]]

       ``(iv) The failure of a representative payee to comply 
     without good cause with the requirements of clause (i) or 
     (iii) shall constitute misuse of benefits to which 
     subparagraph (A)(iii) (but not subparagraph (F)) shall apply. 
     In providing for an alternative representative payee as 
     required by subparagraph (A)(iii), the Commissioner shall 
     give preference to the State agency that administers the 
     State plan approved under title XIX for the State in which 
     the individual described in clause (i) resides or any other 
     State agency designated by the State for such responsibility, 
     unless the Commissioner determines that selection of another 
     organization or person would be appropriate. Any such State 
     agency that serves as a representative payee shall be a 
     `qualified organization' for purposes of subparagraph (D) of 
     this paragraph.
       ``(v) This subparagraph shall not apply to the 
     representative payee of any individual with respect to whom 
     the Commissioner determines such application would be 
     inappropriate or unnecessary. In making such determinations, 
     the Commissioner shall take into consideration the nature of 
     the individual's impairment (or combination of impairments) 
     and the availability of treatment for such impairment (or 
     impairments). Section 1631(c) shall not apply to a finding by 
     the Commissioner that the requirements of this subparagraph 
     should not apply to an individual's representative payee.''.
       (b) Access to Medicaid Records.--
       (1) Requirement to furnish information.--Section 1902(a) 
     (42 U.S.C. 1396a(a)) is amended--
       (A) by striking ``and'' at the end of paragraph (61);
       (B) by striking the period at the end of paragraph (62) and 
     inserting ``; and''; and
       (C) by adding after paragraph (62) the following new 
     paragraph:
       ``(63) provide that the State agency that administers the 
     plan described in this section shall make available to the 
     Commissioner of Social Security such information as the 
     Commissioner may request in connection with the verification 
     of information furnished to the Commissioner by a 
     representative payee pursuant to section 
     1631(a)(2)(E)(iii).''.
       (2) Reimbursement of state costs.--Section 1633 (42 U.S.C. 
     1383b) is amended by adding at the end the following new 
     subsection:
       ``(d) The Commissioner of Social Security shall reimburse a 
     State for the costs of providing information pursuant to 
     section 1902(a)(63) from funds available for carrying out 
     this title.''.
       (c) Report to the Congress.--Not later than the last day of 
     the thirty-sixth month beginning after the date of the 
     enactment of this Act, the Inspector General of the Social 
     Security Administration shall report to the Committee on Ways 
     and Means of the House of Representatives and the Committee 
     on Finance of the Senate on the implementation of this 
     section.
       (d) Effective Date.--This section shall take effect on the 
     first day of the twelfth month that begins after the date of 
     the enactment of this Act.

     SEC. 406. SPECIAL ACCOUNTS FOR INDIVIDUALS UNDER THE AGE OF 
                   18.

       (a) Requirement To Establish Account.--Section 1631(a)(2) 
     (42 U.S.C. 1383(a)(2)), as amended by section 405(a), is 
     amended--
       (1) by redesignating subparagraphs (F) and (G) as 
     subparagraphs (G) and (H), respectively; and
       (2) by inserting after subparagraph (E) the following new 
     subparagraph:
       ``(F)(i)(I) Each representative payee of an eligible 
     individual under the age of 18 who is eligible for the 
     payment of benefits described in subclause (II) shall 
     establish on behalf of such individual an account in a 
     financial institution into which such benefits shall be paid, 
     and shall thereafter maintain such account for use in 
     accordance with clause (ii).
       ``(II) Benefits described in this subclause are past-due 
     monthly benefits under this title (which, for purposes of 
     this subclause, include State supplementary payments made by 
     the Commissioner pursuant to an agreement under section 1616 
     or section 212(b) of Public Law 93-66) in an amount (after 
     any withholding by the Commissioner for reimbursement to a 
     State for interim assistance under subsection (g)) that 
     exceeds the product of--
       ``(aa) 6, and
       ``(bb) the maximum monthly benefit payable under this title 
     to an eligible individual.
       ``(ii)(I) A representative payee may use funds in the 
     account established under clause (i) to pay for allowable 
     expenses described in subclause (II).
       ``(II) An allowable expense described in this subclause is 
     an expense for--
       ``(aa) education or job skills training;
       ``(bb) personal needs assistance;
       ``(cc) special equipment;
       ``(dd) housing modification;
       ``(ee) medical treatment;
       ``(ff) therapy or rehabilitation; or
       ``(gg) any other item or service that the Commissioner 
     determines to be appropriate;
     provided that such expense benefits such individual and, in 
     the case of an expense described in division (cc), (dd), 
     (ff), or (gg), is related to the impairment (or combination 
     of impairments) of such individual.
       ``(III) The use of funds from an account established under 
     clause (i) in any manner not authorized by this clause--
       ``(aa) by a representative payee shall constitute misuse of 
     benefits for all purposes of this paragraph, and any 
     representative payee who knowingly misuses benefits from such 
     an account shall be liable to the Commissioner in an amount 
     equal to the total amount of such misused benefits; and
       ``(bb) by an eligible individual who is his or her own 
     representative payee shall be considered an overpayment 
     subject to recovery under subsection (b).
       ``(IV) This clause shall continue to apply to funds in the 
     account after the child has reached age 18, regardless of 
     whether benefits are paid directly to the beneficiary or 
     through a representative payee.
       ``(iii) The representative payee may deposit into the 
     account established pursuant to clause (i)--
       ``(I) past-due benefits payable to the eligible individual 
     in an amount less than that specified in clause (i)(II), and
       ``(II) any other funds representing an underpayment under 
     this title to such individual, provided that the amount of 
     such underpayment is equal to or exceeds the maximum monthly 
     benefit payable under this title to an eligible individual.
       ``(iv) The Commissioner of Social Security shall establish 
     a system for accountability monitoring whereby such 
     representative payee shall report, at such time and in such 
     manner as the Commissioner shall require, on activity 
     respecting funds in the account established pursuant to 
     clause (i).''.
       (b) Exclusion From Resources.--Section 1613(a) (42 U.S.C. 
     1382b(a)) is amended--
       (1) in paragraph (9), by striking ``; and'' and inserting a 
     semicolon;
       (2) in the first paragraph (10), by striking the period and 
     inserting a semicolon;
       (3) by redesignating the second paragraph (10) as paragraph 
     (11), and by striking the period and inserting ``; and''; and
       (4) by adding at the end the following:
       ``(12) the assets and accrued interest or other earnings of 
     any account established and maintained in accordance with 
     section 1631(a)(2)(F).''.
       (c) Exclusion From Income.--Section 1612(b) (42 U.S.C. 
     1382a(b)) is amended--
       (1) by striking ``and'' at the end of paragraph (19);
       (2) by striking the period at the end of paragraph (20) and 
     inserting ``; and''; and
       (3) by adding at the end the following new paragraph:
       ``(21) the interest or other earnings on any account 
     established and maintained in accordance with section 
     1631(a)(2)(F).''.
       (d) Conforming Amendment.--Section 1631(a)(2)(E)(iv) of the 
     Act (as added by section 405(a)) is amended by striking 
     ``subparagraph (F)'' and inserting ``subparagraph (G)''.
       (e) Effective Date.--This section shall take effect on the 
     date which is 180 days after the date of the enactment of 
     this Act.

     SEC. 407. CONTINUING DISABILITY REVIEWS FOR INDIVIDUALS UNDER 
                   THE AGE OF 18.

       (a) In General.--Section 1614(a)(3) (42 U.S.C. 1382c(a)(3)) 
     is amended by redesignating subparagraph (H) as subparagraph 
     (I) and by inserting after subparagraph (G) the following new 
     subparagraph--
       ``(H)(i)(I) Except as provided in subclauses (II), (III), 
     and (IV), the Commissioner of Social Security shall 
     redetermine the eligibility for benefits under this title by 
     reason of disability of each individual under the age of 18 
     at least once every 3 years.
       ``(II) In any case in which the Commissioner does not 
     expect improvement in the condition of such an individual, 
     the redetermination of eligibility for such benefits shall be 
     made at such times as the Commissioner determines to be 
     appropriate.
       ``(III) In any case in which the Commissioner determines 
     that the condition of such an individual may be expected to 
     improve within 3 years, such redetermination shall be made at 
     more frequent intervals.
       ``(IV) The Commissioner shall redetermine the eligibility 
     for benefits under this title by reason of disability of each 
     individual whose low birth weight is a contributing factor 
     material to the Commissioner's determination that the 
     individual is disabled. Such redetermination shall be made 
     not later than 18 months after such individual was initially 
     determined to be eligible for such benefits on the basis, in 
     whole or in part, of low birth weight.
       ``(ii) The Commissioner shall determine the most cost-
     effective means for complying with the requirements of this 
     subparagraph.
       ``(iii) The provisions of paragraph (4) shall apply to all 
     redeterminations required by this subparagraph.''.
       (b) Conforming Amendment.--Section 208(a) of the Social 
     Security Independence and Program Improvements Act of 1994 is 
     amended by striking ``100,000'' and inserting ``80,000 
     adult''.
     SEC. 408. COORDINATION OF SERVICES FOR SSI CHILDREN.

       (a) In General.--Section 505(a) (42 U.S.C. 705(a)) is 
     amended--
       (1) in paragraph 5--
       (A) by striking ``and'' at the end of subparagraph (E);
       (B) by striking the period at the end of subparagraph (F) 
     and inserting ``; and''; and
       (C) by inserting after subparagraph (F) the following new 
     subparagraph:
       ``(G) the agency administering the State's program under 
     this title shall be responsible for developing a care 
     coordination plan for each child receiving benefits under 
     title XVI on the basis of disability to assure that such 
     child has access to available medical and other support 
     services, that services are provided in an efficient and 
     effective manner, and that gaps in the provision of services 
     are identified.''; and
       (2) by adding at the end the following new subsection:

[[Page S 12863]]

       ``(c) For purposes of subsection (a)(5)(G), the Secretary, 
     the Secretary of Education, and the Commissioner of Social 
     Security shall take such steps as may be necessary, through 
     issuance of regulations, guidelines, or such other means as 
     they may determine, to assure that, where appropriate, the 
     State agency administering title XIX, the State Department of 
     Mental Health, the State Disability Determination Service 
     that makes determinations under title II, the State 
     Vocational Rehabilitation agency, the State Developmental 
     Disabilities Council, and the State Department of Education--
       ``(1) assist the agency administering the State's program 
     under this title in the development of the child's care 
     coordination plan;
       ``(2) participate in the planning and delivery of the 
     services specified in the care coordination plan; and
       ``(3) assist such agency in providing to the Secretary for 
     each fiscal year information on--
       ``(A) the number of children receiving benefits under title 
     XVI who were referred to such agency for services,
       ``(B) the number of such children who were referred who 
     were served,
       ``(C) the services provided (including intensity of 
     services, duration of services, types of providers, and costs 
     of services),
       ``(D) the number of children referred to other agencies or 
     departments for services, and
       ``(E) the number of care coordination plans developed 
     during such fiscal year.''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to fiscal years beginning after September 30, 
     1995.
                   TITLE V--MISCELLANEOUS PROVISIONS

     SEC. 501. UNIFORM ALIEN ELIGIBILITY CRITERIA FOR PUBLIC 
                   ASSISTANCE PROGRAMS.

       (a) Federal and Federally-Assisted Programs.--
       (1) Program eligibility criteria.--
       (A) Aid to families with dependent children.--Section 
     402(a)(33) (42 U.S.C. 602(a)(33)) is amended by striking 
     ``(A) a citizen'' and all that follows through ``of such 
     Act);'' and inserting the following:
       ``(A) a citizen or national of the United States, or
       ``(B) a qualified alien, as defined in section 1101(a)(10), 
     provided that such alien is not disqualified from receiving 
     aid under a State plan approved under this part pursuant to 
     section 210(f) or 245A(h) of the Immigration and Nationality 
     Act or any other provision of law;''.
       (B) Supplemental security income.--Section 1614(a)(1)(B)(i) 
     (42 U.S.C. 1382c(a)(1)(B)(i) is amended to read as follows:
       ``(B)(i) is a resident of the United States, and is 
     either--
       ``(I) a citizen or national of the United States, or
       ``(II) a qualified alien, as defined in section 
     1101(a)(10), or''.
       (C) Medicaid.--
       (i) In general.--Section 1903(v) (42 U.S.C. 1396b(v)) is 
     amended--

       (I) in paragraph (1), to read as follows:

       ``(v)(1) Notwithstanding the preceding provisions of this 
     section--
       ``(A) no payment may be made to a State under this section 
     for medical assistance furnished to an individual who is 
     disqualified from receiving such assistance pursuant to 
     section 210(f) or 245A(h) of the Immigration and Nationality 
     Act (8 U.S.C. 1160(f), 1255a(h)) or any other provision of 
     law; and
       ``(B) except as provided in paragraph (2), no such payment 
     may be made for medical assistance furnished to an individual 
     who is not--
       ``(i) a citizen or national of the United States; or
       ``(ii) a qualified alien, as defined in section 
     1101(a)(10).''; and

       (II) in paragraph (2)--

       (aa) by striking ``paragraph (1)'' and inserting 
     ``paragraph (1)(B)''; and
       (bb) by striking ``alien'' each place it appears and 
     inserting ``individual''.
       (ii) Conforming amendments.--Section 1902 (42 U.S.C. 1396a) 
     is amended--

       (I) in subsection (a), in the last sentence by striking 
     ``alien'' and all that follows through ``1903(v).'' and 
     inserting ``individual who is not (A) a citizen or national 
     of the United States, or (B) a qualified alien, as defined in 
     section 1101(a)(10), only in accordance with section 
     1903(v).''; and
       (II) in subsection (b)(33), by inserting ``or national'' 
     after ``citizen''.

       (2) Definition of qualified alien.--Section 1101(a) (42 
     U.S.C. 1301(a)) is amended by adding at the end the following 
     new paragraph:
       ``(10) The term `qualified alien' means an alien--
       ``(A) who is lawfully admitted for permanent residence 
     within the meaning of section 101(a)(20) of the Immigration 
     and Nationality Act (8 U.S.C. 1101(a)(20));
       ``(B) who is admitted as a refugee pursuant to section 207 
     of such Act (8 U.S.C. 1157);
       ``(C) who is granted asylum pursuant to section 208 of such 
     Act (8 U.S.C. 1158);
       ``(D) whose deportation is withheld pursuant to section 
     243(h) of such Act (8 U.S.C. 1253(h));
       ``(E) whose deportation is suspended pursuant to section 
     244 of such Act (8 U.S.C. 1254);
       ``(F) who was granted conditional entry pursuant to section 
     203(a)(7) of such Act (8 U.S.C. 1153(a)(7)), as in effect 
     prior to April 1, 1980;
       ``(G) who is lawfully admitted for temporary residence 
     pursuant to section 210 or 245A of such Act (8 U.S.C. 1160, 
     1255a);
       ``(H) who is within a class of aliens lawfully present 
     within the United States pursuant to any other provision of 
     such Act, provided that--
       ``(i) the Attorney General determines that the continued 
     presence of such class of aliens serves a humanitarian or 
     other compelling public interest; and
       ``(ii) the Secretary of Health and Human Services 
     determines that such interest would be further served by 
     treating each alien within such class as a `qualified alien' 
     for purposes of this Act; or
       ``(I) who is the spouse or unmarried child under 21 years 
     of age of a citizen of the United States, or the parent of 
     such a citizen if the citizen is 21 years of age or older, 
     and with respect to whom an application for adjustment to 
     lawful permanent residence is pending.''.
       (3) Conforming amendment.--Section 244A(f)(1) of the 
     Immigration and Nationality Act (8 U.S.C. 1254a(f)(1)) is 
     amended by inserting ``and shall not be considered to be a 
     `qualified alien' within the meaning of section 1101(a)(10) 
     of the Social Security Act'' after ``color or law''.
       (4) Effective date.--The amendments made by this subsection 
     are effective with respect to benefits payable on the basis 
     of any application filed after the date of the enactment of 
     this Act.
       (b) State and Local Programs.--A State or political 
     subdivision therein may provide that an alien is not eligible 
     for any program of assistance based on need that is furnished 
     by such State or political subdivision unless such alien is a 
     ``qualified alien'' within the meaning of section 1101(a)(10) 
     of the Social Security Act (as added by subsection (a)(2) of 
     this section).

     SEC. 502. DEEMING OF SPONSOR'S INCOME AND RESOURCES TO AN 
                   ALIEN UNDER THE SUPPLEMENTAL SECURITY INCOME, 
                   AID TO FAMILIES WITH DEPENDENT CHILDREN, AND 
                   FOOD STAMP PROGRAMS.

       (a) Length of Deeming Period.--
       (1) Making the ssi 5-year period permanent.--Subsection (b) 
     of section 7 of the Unemployment Compensation Amendments of 
     1993 (Public Law 103-152) is repealed.
       (2) Increasing the afdc period from 3 to 5 years.--Section 
     415 (42 U.S.C. 615) is amended in subsections (a), (c)(1), 
     and (d) by striking ``three years'' each place it appears and 
     inserting ``5 years''.
       (3) Increasing the food stamp period from 3 to 5 years.--
     Section 5(i) of the Food Stamp Act of 1977 (7 U.S.C. 2014(i)) 
     is amended by striking ``three years'' each place it appears 
     and inserting ``5 years''.
       (b) Inapplicability in the Case of Any Alien Whose Sponsor 
     Receives SSI or AFDC Benefits.--
       (1) SSI.--Section 1621(f) (42 U.S.C. 1382j(f)) is amended 
     by adding at the end the following new paragraph:
       ``(3) The provisions of this section shall not apply to any 
     alien for any month for which such alien's sponsor receives a 
     benefit under this title (which includes, for purposes of 
     this paragraph, the program of federally administered State 
     supplementary payments made pursuant to section 1616(a) or 
     section 212(b) of Public Law 93-66 (42 U.S.C. 1382 note)) or 
     under the program of aid to families with dependent children 
     under part A of title IV.''.
       (2) AFDC.--Section 415(f) (42 U.S.C. 615(f)) is amended--
       (A) by redesignating paragraphs (1) through (5) as 
     subparagraphs (A) through (E), respectively;
       (B) by striking ``(f)'' and inserting ``(f)(1)''; and
       (C) by adding at the end the following new paragraph:
       ``(2) The provisions of this section shall not apply to any 
     alien for any month for which such alien's sponsor receives a 
     benefit under the program authorized under this part, or the 
     program of supplemental security income authorized under 
     title XVI (which includes, for purposes of this paragraph, 
     the program of federally administered State supplementary 
     payments made pursuant to section 1616(a) or section 212(b) 
     of Public Law 93-66 (42 U.S.C. 1382 note)).''.
       (3) Food stamps.--Section 5(i)(2)(E) of the Food Stamp Act 
     of 1977 (7 U.S.C. 2014(i)(2)(E)) is amended--
       (A) by striking ``(E)'' and inserting ``(E)(i)''; and
       (B) by adding at the end the following new clause:
       ``(ii) The provisions of this subsection shall not apply to 
     any alien for any month for which such alien's sponsor 
     receives a benefit under the program of aid to families with 
     dependent children under part A of title IV of the Social 
     Security Act or the program of supplemental security income 
     under title XVI of such Act (which includes, for purposes of 
     this paragraph, the program of federally administered State 
     supplementary payments made pursuant to section 1616(a) of 
     such Act or section 212(b) of Public Law 93-66 (42 U.S.C. 
     1382 note)).''.
       (c) Inequitable Circumstances.--
       (1) SSI.--Section 1621 (42 U.S.C. 1382j) is amended by 
     adding at the end the following new subsection:
       ``(g) The Commissioner may, pursuant to regulations 
     promulgated after consultation with the Secretary of 
     Agriculture, alter or suspend the application of this section 
     in any case in which the Secretary determines that such 
     application would be inequitable under the circumstances.''

[[Page S 12864]]

       (2) AFDC.--Section 415 (42 U.S.C. 615) is amended by adding 
     at the end the following new subsection:
       ``(g) The Secretary may, pursuant to regulations 
     promulgated after consultation with the Secretary of 
     Agriculture, alter or suspend the application of this section 
     in any case in which the Secretary determines that such 
     application would be inequitable under the circumstances.''
       (3) Food stamps.--Section 5(i)(2) of the Food Stamp Act of 
     1977 (7 U.S.C. 2014(i)(2)) is amended by adding at the end 
     the following new subparagraph:
       ``(F) The Secretary may, pursuant to regulations 
     promulgated after consultation with the Secretary of Health 
     and Human Services, alter or suspend the application of this 
     section in any case in which the Secretary determines that 
     such application would be inequitable under the 
     circumstances.''.
       (d) Food Stamps Exemption for Blind or Disabled Aliens.--
     Section 5(i)(2)(E) of the Food Stamp Act of 1977 (7 U.S.C. 
     2014(i)(2)(E)), as amended by subsection (a)(2)(C), is 
     amended by adding at the end the following new clause:
       ``(iii) The provisions of this subsection shall not apply 
     with respect to any individual for any month for which such 
     individual receives a benefit under the program of 
     supplemental security income authorized by title XVI of the 
     Social Security Act by reason of blindness, as determined 
     under section 1614(a)(2) of such Act, or disability, as 
     determined under section 1614(a)(3) of such Act, provided 
     that such blindness or disability commenced after the date of 
     such individual's admission into the United States for 
     permanent residence.''.
       (e) State and Local Programs.--A State or political 
     subdivision therein may provide that an alien is not eligible 
     for any program of assistance based on need that is furnished 
     by such State or political subdivision for any month if such 
     alien has been determined to be ineligible for such month for 
     benefits under--
       (A) the program of aid to families with dependent children 
     authorized by part A of title IV of the Social Security Act, 
     as a result of the application of section 415 of such Act;
       (B) the program of supplemental security income authorized 
     by title XVI of the Social Security Act, as a result of the 
     application of section 1621 of such Act; or
       (C) the Food Stamp Act of 1977, as a result of the 
     application of section 5(i) of such Act.
       (f) Effective Date.--
       (1) In general.--The amendments made by subsections (a) 
     through (d) shall be effective with respect to benefits under 
     the program of aid to families with dependent children under 
     part A of title IV of the Social Security Act (42 U.S.C. 601 
     et seq.), the program of supplemental security income under 
     title XVI of such Act (42 U.S.C. 1381 et seq.), and the 
     program under the Food Stamp Act of 1977 (7 U.S.C. 2011 et 
     seq.), payable for months beginning after September 30, 1995, 
     on the basis of--
       (A) an application filed after such date, or
       (B) an application filed on or before such date by or on 
     behalf of an individual subject to the provisions of section 
     1621(a) or 415(a) of the Social Security Act (42 U.S.C. 
     1382j(a), 615(a)) or section 5(i)(1) of the Food Stamp Act of 
     1977 (7 U.S.C. 2014(i)(1)) (as the case may be) on such date.
       (2) State and local programs.--Subsection (e) shall be 
     effective on October 1, 1995.

     SEC. 503. ADJUSTMENT TO THRIFTY FOOD PLAN.

       The second sentence of section 3(o) of the Food Stamp Act 
     (7 U.S.C. 2012(o)) is amended--
       (1) by striking ``shall (1) make'' and inserting the 
     following: ``shall--
       ``(1) make'';
       (2) by striking ``scale, (2) make'' and inserting ``scale;
       ``(2) make'';
       (3) by striking ``Alaska, (3) make'' and inserting the 
     following: ``Alaska;
       ``(3) make''; and
       (4) by striking ``Columbia, (4) through'' and all that 
     follows through the end of the subsection and inserting the 
     following: ``Columbia; and
       ``(4) on October 1, 1995, and each October 1 thereafter, 
     adjust the cost of the diet to reflect the cost of the diet, 
     in the preceding June, and round the result to the nearest 
     lower dollar increment for each household size.''.

     SEC. 504. FAILURE TO COMPLY WITH OTHER WELFARE AND PUBLIC 
                   ASSISTANCE PROGRAMS.

       Section 8 of the Food Stamp Act of 1977 (7 U.S.C. 2017) is 
     amended by striking subsection (d) and inserting the 
     following:
       ``(d) Reduction of Public Assistance Benefits.--If the 
     benefits of a household are reduced under a Federal, State, 
     or local law relating to welfare or a public assistance 
     program for the failure to perform an action required under 
     the law or program, for the duration of the reduction the 
     household may not receive an increased allotment as the 
     result of a decrease in the income of the household to the 
     extent that the decrease is the result of the reduction.''.
                                 ______


                HATFIELD (AND OTHERS) AMENDMENT NO. 2467

  (Ordered to lie on the table.)
  Mr. HATFIELD (for himself, Mr. Dodd, and Mr. Glenn) submitted an 
amendment intended to be proposed by them to amendment No. 2280 
proposed by Mr. Dole to the bill H.R. 4, supra, as follows:

       In section 714(d)(1)(K), strike ``and''.
       In section 714(d)(1)(L), strike the semicolon and insert 
     ``, and''.
       In section 714(d)(1), insert after subparagraph (L) the 
     following:
       ``(M) representatives of secondary school students involved 
     in workforce education activities carried out under this 
     title and parents of such students;''.
       In section 716(b)(6) strike ``and''.
       In section 716(b)(7) strike the period and insert ``; 
     and''.
       In section 716(b), add at the end the following:
       (8) with respect to secondary education activities--
       (A) establishing effective procedures, including an 
     expedited appeals procedure, by which secondary school 
     teachers, secondary school students involved in workforce 
     education activities carried out under this title, parents of 
     such students, and residents of substate areas will be able 
     to directly participate in State and local decisions that 
     influence the character of secondary education activities 
     carried out under this title that affect their interests;
       (B) providing technical assistance, and designing the 
     procedures described in subparagraph (A), to ensure that the 
     individuals described in subparagraph (A) obtain access to 
     the information needed to use such procedures; and
       (C) subject to subsection (h), carrying out the secondary 
     education activities, and implementing the procedures 
     described in subparagraph (A), so as to implement the 
     programs, activities, and procedures for the involvement of 
     parents described in section 1118 of the Elementary and 
     Secondary Education Act of 1965 (20 U.S.C. 6319) in 
     accordance with the requirements of such section.
       In section 716, add at the following:
       (h) Parental Involvement.--
       (1) Comparable requirements.--For purposes of implementing 
     the requirements of section 1118 of the Elementary and 
     Secondary Education Act (20 U.S.C. 6319) with respect to 
     secondary education activities as required in subsection 
     (b)(8)(C), a reference in such section 1118--
       (A) to a local educational agency shall refer to an 
     eligible entity, as defined in subsection (a)(2) of section 
     727;
       (B) to part A of title I of such Act (20 U.S.C. 6311 et 
     seq.) shall refer to this subtitle;
       (C) to a plan developed under section 1112 of such Act (20 
     U.S.C. 6312) shall refer to a local application developed 
     under such section 727;
       (D) to the process of school review and improvement under 
     section 1116 of such Act (20 U.S.C. 6317) shall refer to the 
     performance improvement process described in subsection 
     (b)(4) of such section 727;
       (E) to an allocation under part A of title I of such Act 
     shall refer to the funds received by an eligible entity under 
     this subtitle;
       (F) to the profiles, results, and interpretation described 
     in section 1118(c)(4)(B) of such Act (20 U.S.C. 
     6319(c)(4)(B)) shall refer to information on the progress of 
     secondary school students participating in workforce 
     education activities carried out under this subtitle, and 
     interpretation of the information; and
       (G) to State content or student performance standards shall 
     refer to the State benchmarks of the State.
       (2) Noncomparable requirements.--For purposes of carrying 
     out the requirements of such section 1118 as described in 
     paragraph (1), the requirements of such section relating to a 
     schoolwide program plan developed under section 1114(b) of 
     such Act (20 U.S.C. 6314(b)) or to section 1111(b)(8) of such 
     Act (20 U.S.C. 6311(b)(8)), and the provisions of section 
     1118(e)(4) of such Act (20 U.S.C. 6319(e)(4)), shall not 
     apply.
       In section 728(a)(2)(A), strike ``and veterans'' and insert 
     ``veterans, secondary school students (including such 
     students who are at-risk youth) involved in workforce 
     education activities carried out under this title, and 
     parents of such students''.
       In section 728(b)(2)(B)(iv), strike ``and''.
       In section 728(b)(2)(B)(v), strike the period and insert 
     ``; and ''.
       In section 728(b)(2)(B), add at the end the following:
       ``(vi) representatives of secondary school students 
     involved in workforce education activities carried out under 
     this title and parents of such students.''.
       In section 728(b)(4)(A)(iii), strike ``participation'' and 
     all that follows and insert ``participation, in the 
     development and continuous improvement of the workforce 
     development activities carried out in the substate area--
       ``(I) of business, industry, and labor; and
       ``(II) with regard to workforce education activities, of 
     secondary school teachers, secondary school students involved 
     in workforce education activities carried out under this 
     title, and parents of such students;''.
                                 ______


                        SIMON AMENDMENT NO. 2468

  (Ordered to lie on the table.)
  Mr. SIMON submitted an amendment intended to be proposed by him to 
amendment No. 2280 proposed by Mr. Dole to the bill H.R. 4, supra, as 
follows:

[[Page S 12865]]

       On page 17, line 22, strike ``amount (if any) determined 
     under subparagraph (B)'' and insert ``amount determined under 
     subparagraphs (B) and (C)''.

       On page 18, between lines 15 and 16, insert the following:
       ``(C) Amount determined.--The amount determined under this 
     subparagraph is the amount which bears the same ratio to 
     $240,000,000 (or, $240,000,000 reduced by the amount, if any, 
     available for such fiscal year in accordance with section 
     ____09(c) of the Community Works Progress Act, whichever is 
     lesser) as the amount otherwise determined for such State 
     under subparagraph (A) (without regard to the reduction 
     determined under this subparagraph) bears to $16,795,323,000.

       On page 18, line 16, strike ``(C)'' and insert ``(D)''.

       On page 18, line 21, strike ``subparagraph (B)'' and insert 
     ``subparagraphs (B) and (C)''.

       On page 22, strike lines 10 through 17, and insert the 
     following:
       ``(A) In general.--There are authorized to be appropriated 
     and there are appropriated $16,795,323,000 for each fiscal 
     year described in paragraph (1)--
       ``(i) $16,555,323,000 of which shall be for the purpose of 
     paying--

       ``(I) grants to States under paragraph (1)(A); and
       ``(II) tribal family assistance grants under paragraph 
     (1)(B); and

       ``(ii) $240,000,000 of which shall be for the purpose of 
     paying grants beginning with fiscal years after fiscal year 
     1996 to States for the operation of community works progress 
     programs in accordance with the Community Works Progress Act.
     Notwithstanding any other provision of this part, the amount 
     appropriated in accordance with clause (ii) shall be paid to 
     States in accordance with the requirements of the Community 
     Works Progress Act and shall not be subject to any 
     requirements of this part.

       On page 36, line 7, insert ``(including participation in a 
     community works progress program under the Community Works 
     Progress Act)'' after ``programs''.

       At the appropriate place, insert the following new title:
                TITLE ____--COMMUNITY WORKS PROGRESS ACT

     SEC. ____00. SHORT TITLE.

       This title may be cited as the ``Community Works Progress 
     Act''.

     SEC. ____01. ESTABLISHMENT.

       In the case of any fiscal year after fiscal year 1996, the 
     Secretary of Labor (hereafter referred to in this title as 
     the ``Secretary'') shall award grants to 4 States for the 
     establishment of community works progress programs.

     SEC. ____02. DEFINITIONS.

       For purposes of this title:
       (1) Community works progress program.--The terms 
     ``community works progress program'' and ``program'' mean a 
     program designated by a State under which the State will 
     select governmental and nonprofit entities to conduct 
     community works progress projects which serve a significant 
     public purpose in fields such as health, social service, 
     environmental protection, education, urban and rural 
     development and redevelopment, welfare, recreation, public 
     facilities, public safety, and child care.
       (2) Community works progress project.--The terms 
     ``community works progress project'' and ``project'' mean an 
     activity conducted by a governmental or nonprofit entity that 
     results in a specific, identifiable service or product that, 
     but for this title, would not otherwise be done with existing 
     funds and that supplements but does not supplant existing 
     services.
       (3) Nonprofit entity.--The term ``nonprofit entity'' means 
     an organization--
       (A) described in section 501(c) of the Internal Revenue 
     Code of 1986; and
       (B) exempt from taxation under section 501(a) of such Code.

     SEC. ____03. APPLICATIONS BY STATES.

       (a) In General.--Each State desiring to conduct, or to 
     continue to conduct, a community works progress program under 
     this title shall submit an annual application to the 
     Secretary at such time and in such manner as the Secretary 
     shall require. Such application shall include--
       (1) identification of the State agency or agencies that 
     will administer the program and be the grant recipient of 
     funds for the State, and
       (2) a detailed description of the geographic area in which 
     the project is to be carried out, including such demographic 
     and economic data as are necessary to enable the Secretary to 
     consider the factors required by subsection (b).
       (b) Consideration of Applications.--
       (1) In general.--In reviewing all applications received 
     from States desiring to conduct or continue to conduct a 
     community works progress program under this title, the 
     Secretary shall consider--
       (A) the unemployment rate for the area in which each 
     project will be conducted,
       (B) the proportion of the population receiving public 
     assistance in each area in which a project will be conducted,
       (C) the per capita income for each area in which a project 
     will be conducted,
       (D) the degree of involvement and commitment demonstrated 
     by public officials in each area in which projects will be 
     conducted,
       (E) the likelihood that projects will be successful,
       (F) the contribution that projects are likely to make 
     toward improving the quality of life of residents of the area 
     in which projects will be conducted,
       (G) geographic distribution,
       (H) the extent to which projects will encourage team 
     approaches to work on real, identifiable needs,
       (I) the extent to which private and community agencies will 
     be involved in projects, and
       (J) such other criteria as the Secretary deems appropriate.
       (2) Indian tribes and urbanized areas.--
       (A) In general.--The Secretary shall ensure that--
       (i) one grant under this title shall be awarded to a State 
     that will conduct a community works progress project that 
     will serve one or more Indian tribes; and
       (ii) one grant under this title shall be awarded to a State 
     that will implement a community works progress project in a 
     city that is within an Urbanized Area (as defined by the 
     Bureau of the Census).
       (B) Indian tribe.--For purposes of this paragraph, the term 
     ``Indian tribe'' means any Indian tribe, band, nation, or 
     other organized group or community, including any Alaska 
     Native village or regional or village corporation as defined 
     in or established pursuant to the Alaska Native Claims 
     Settlement Act (43 U.S.C.A. 1601 et seq.), which is 
     recognized as eligible for the special programs and services 
     provided by the United States to Indians because of their 
     status as Indians.
       (c) Modification to Applications.--If changes in labor 
     market conditions, costs, or other factors require 
     substantial deviation from the terms of an application 
     approved by the Secretary, the State shall submit a 
     modification of such application to the Secretary.

     SEC. ____04. PROJECT SELECTION BOARD.

       (a) Establishment.--Each State that receives a grant under 
     this title shall establish a Project Selection Board 
     (hereafter referred to as the ``Board'') in the geographic 
     area or areas identified by the State under section 
     ____03(b)(2).
       (b) Membership.--
       (1) In general.--Each Board shall be composed of 13 members 
     who shall reside in the geographic area identified by the 
     State under section ____03(b)(2). Subject to paragraph (2), 
     the members of the Board shall be appointed by the Governor 
     of the State in consultation with local elected officials in 
     the geographic area.
       (2) Representatives of business and labor organizations.--
     The Board--
       (A) shall have at least one member who is an officer of a 
     recognized labor organization; and
       (B) shall have at least one member who is a representative 
     of the business community.
       (c) Duties of the Board.--The Board shall--
       (1) recommend appropriate projects to the Governor;
       (2) select a manager to coordinate and supervise all 
     approved projects; and
       (3) periodically report to the Governor on the project 
     activities in a manner to be determined by the Governor.
       (d) Veto of a Project.--One member of the Board who is 
     described in subparagraph (A) of subsection (b)(2) and one 
     member of the Board who is described in subparagraph (B) of 
     such subsection shall have the authority to veto any proposed 
     project. The Governor shall determine which Board members 
     shall have the veto authority described under this 
     subsection.
       (e) Terms and Compensation of Members.--The Governor shall 
     establish the terms for Board members and specify procedures 
     for the filling vacancies and the removal of such members. 
     Any compensation or reimbursement for expenses paid to Board 
     members shall be paid by the State, as determined by the 
     Governor.

     SEC. ____05. PARTICIPATION IN PROJECTS.

       To be eligible to participate in projects under this title, 
     an individual shall be--
       (1) receiving, eligible to receive, or have exhausted 
     unemployment compensation under an unemployment compensation 
     law of a State or of the United States,
       (2) receiving, eligible to receive, or at risk of becoming 
     eligible to receive, assistance under a State program funded 
     under part A of title IV of the Social Security Act,
       (3) a noncustodial parent of a child who is receiving 
     assistance under a State program funded under part A of title 
     IV of the Social Security Act,
       (4) a noncustodial parent who is not employed, or

[[Page S 12866]]

       (5) an individual who--
       (A) is not receiving unemployment compensation under an 
     unemployment compensation law of a State or of the United 
     States;
       (B) if under the age of 20 years, has graduated from high 
     school or is continuing studies toward a high school 
     equivalency degree;
       (C) has resided in the geographic area in which the project 
     is located for a period of at least 60 consecutive days prior 
     to the awarding of the project grant by the Secretary; and
       (D) is a citizen of the United States.

     SEC. ____06. HOURS AND COMPENSATION.

       (a) Determination of Compensation.--
       (1) In general.--Except as provided in paragraph (2), 
     project participants in a community works progress project 
     shall be paid the applicable Federal or State minimum wage, 
     whichever is greater.
       (2) Exceptions.--If a participant in a community works 
     progress project is--
       (A) eligible for benefits under a State program funded 
     under part A of title IV of the Social Security Act and such 
     benefits exceed the amount described in paragraph (1), such 
     participant shall be paid an amount that exceeds by 10 
     percent of the amount of such benefits; or
       (B) eligible for benefits under an unemployment 
     compensation law of a State or the United States such 
     benefits exceed the amount described in paragraph (1), such 
     participant shall be paid an amount that exceeds by 10 
     percent the amount of such benefits.
       (b) Work Requirements Related to Participation.--
       (1) In general.--
       (A) Maximum hours.--In order to assure that each individual 
     participating in a project will have time to seek alternative 
     employment or to participate in an alternative employability 
     enhancement activity, no individual may work as a participant 
     in a project under this title for more than 32 hours per 
     week.
       (B) Required job search activity.--Individuals 
     participating in a project who are not receiving assistance 
     under a State program funded under part A of title IV of the 
     Social Security Act or unemployment compensation under an 
     unemployment compensation law of a State or of the United 
     States shall be required to participate in job search 
     activities on a weekly basis.
       (c) Compensation for Participants.--
       (1) Payments of assistance under a state program funded 
     under part A of title IV and unemployment compensation.--Any 
     State agency responsible for making a payment of benefits to 
     a participant in a project under a State program funded under 
     part A of title IV of the Social Security Act or under an 
     unemployment compensation law of a State or of the United 
     States may transfer such payment to the governmental or 
     nonprofit entity conducting such project and such payment 
     shall be made by such entity to such participant in 
     conjunction with any payment of compensation made under 
     subsection (a).
       (2) Treatment of compensation or benefits under other 
     programs.--
       (A) Higher education act of 1965.--In determining any 
     grant, loan, or other form of assistance for an individual 
     under any program under the Higher Education Act of 1965, the 
     Secretary of Education shall not take into consideration the 
     compensation and benefits received by such individual under 
     this section for participation in a project.
       (B) Relationship to other federal benefits.--
     Notwithstanding any other provision of law, any compensation 
     or benefits received by an individual under this section for 
     participation in a community works progress project shall be 
     excluded from any determination of income for the purposes of 
     determining eligibility for benefits under a State program 
     funded under part A of title IV, title XVI, and title XIX of 
     the Social Security Act, or any other Federal or federally 
     assisted program which is based on need.
       (3) Supportive services.--Each participant in a project 
     conducted under this title shall be eligible to receive, out 
     of grant funds awarded to the State agency administering such 
     project, assistance to meet necessary costs of 
     transportation, child care, vision testing, eyeglasses, 
     uniforms and other work materials.

     SEC. ____07. ADDITIONAL PROGRAM REQUIREMENTS.

       (a) Nonduplication and Nondisplacement.--(1) 
     Nonduplication.--
       (A) In general.--Amounts from a grant provided under this 
     title shall be used only for a project that does not 
     duplicate, and is in addition to, an activity otherwise 
     available in the State or unit of general local government in 
     which the project is carried out.
       (B) Nonprofit entity.--Amounts from a grant provided to a 
     State under this title shall not be provided to a nonprofit 
     entity to conduct activities that are the same or 
     substantially equivalent to activities provided by a State or 
     local government agency in which such entity resides, unless 
     the requirements of paragraph (2) are met.
       (2) Nondisplacement.--
       (A) In general.--A governmental or nonprofit entity shall 
     not displace any employee or position, including partial 
     displacement such as reduction in hours, wages, or employment 
     benefits, as a result of the use by such entity of a 
     participant in a project funded by a grant under this title.
       (B) Limitation on services.--
       (i) Duplication of services.--A participant in a project 
     funded by a grant under this title shall not perform any 
     services or duties or engage in activities that would 
     otherwise be performed by any employee as part of the 
     assigned duties of such employee.
       (ii) Supplantation of hiring.--A participant in a project 
     funded by a grant under this title shall not perform any 
     services or duties or engage in activities that will supplant 
     the hiring of other workers.
       (iii) Duties formerly performed by another employee.--A 
     participant in a project funded by a grant under this title 
     shall not perform services or duties that have been performed 
     by or were assigned to any presently employed worker, 
     employee who recently resigned or was discharged, employee 
     who is subject to a reduction in force, employee who is on 
     leave (terminal, temporary, vacation, emergency, or sick), or 
     employee who is on strike or who is being locked out.
       (b) Failure To Meet Requirements.--The Secretary may 
     suspend or terminate payments under this title for a project 
     if the Secretary determines that the governmental or 
     nonprofit entity conducting such project has materially 
     failed to comply with this title, the application submitted 
     under this title, or any other terms and conditions of a 
     grant under this title agreed to by the State agency 
     administering the project and the Secretary.
       (c) Grievance Procedure.--
       (1) In general.--Each State conducting a community works 
     progress program or programs under this title shall establish 
     and maintain a procedure for the filing and adjudication of 
     grievances from participants in any project conducted under 
     such program, labor organizations, and other interested 
     individuals concerning such program, including grievances 
     regarding proposed placements of such participants in 
     projects conducted under such program.
       (2) Deadline for grievances.--Except for a grievance that 
     alleges fraud or criminal activity, a grievance under this 
     paragraph shall be filed not later than 6 months after the 
     date of the alleged occurrence of the event that is the 
     subject of the grievance.
       (d) Testing and Education Requirements.--
       (1) Testing.--Each participant in a project shall be tested 
     for basic reading and writing competence prior to employment 
     under such project.
       (2) Education requirement.--
       (A) Failure to satisfactorily complete test.--Participants 
     who fail to complete satisfactorily the basic competency test 
     required in paragraph (1) shall be furnished counseling and 
     instruction.
       (B) Limited-english.--Participants with limited-English 
     speaking ability may be furnished such instruction as the 
     governmental or nonprofit entity conducting the project deems 
     appropriate.
       (e) Completion of Projects.--
       (1) In general.--A governmental or nonprofit entity 
     conducting a project or projects under this title shall 
     complete such project or projects within the 2-year period 
     beginning on a date determined appropriate by such entity, 
     the State agency administering the project, and the 
     Secretary.
       (2) Modification.--The period referred to in paragraph (1) 
     may be modified in the discretion of the Secretary upon 
     application by the State in which a project is being 
     conducted.

     SEC. ____08. EVALUATIONS AND REPORTS.

       (a) By the State.--Each State conducting a community works 
     progress program or programs under this title shall conduct 
     ongoing evaluations of the effectiveness of such program 
     (including the effectiveness of such program in meeting the 
     goals and objectives described in the application approved by 
     the Secretary) and, for each year in which such program is 
     conducted, shall submit an annual report to the Secretary 
     concerning the results of such evaluations at such time, and 
     in such manner, as the Secretary shall require. The report 
     shall incorporate information from annual reports submitted 
     to the State by governmental and nonprofit entities 
     conducting projects under the program. The report shall 
     include an analysis of the effect of such projects on the 
     economic condition of the area, including its effect on 
     welfare dependency, the local crime rate, general business 
     activity (including business revenues and tax receipts), and 
     business and community leaders' evaluation of the projects' 
     success. Up to 2 percent of the amount granted to a State may 
     be used to conduct the evaluations required under this 
     subsection.
       (b) By the Secretary.--The Secretary shall submit an annual 
     report to the Congress concerning the effectiveness of the 
     community works progress programs conducted under this title. 
     Such report shall analyze the reports received by the 
     Secretary under subsection (a).

     SEC. ____09. FUNDING.

       (a) In General.--There are available for making grants 
     under this title for a fiscal year such amounts as are 
     appropriated for the fiscal year under section 403(a)(2)(A) 
     of the Social Security Act (42 U.S.C. 603(a)(2)(A)).
       (b) Limitations on Costs.--
       (1) Administrative expenses.--Not more than 10 percent of 
     the amount of each grant awarded to a State may be used for 
     administrative expenses.
       (2) Compensation and supportive services.--Not less than 70 
     percent of the amount of each grant awarded to a State may be 
     used to provide compensation and supportive services to 
     project participants.

[[Page S 12867]]

       (3) Waiver of cost limitations.--The limitations under 
     paragraphs (1) and (2) may be waived for good cause, as 
     determined appropriate by the Secretary.
       (c) Amounts Remaining Available for State Family Assistance 
     Grants.--Any amounts appropriated for making grants under 
     this title for a fiscal year under section 403(a)(4)(A)(i) of 
     the Social Security Act (42 U.S.C. 603(a)(2)(A)(4)(A)(i)) 
     that are not paid as grants to States in accordance with this 
     title in such fiscal year shall be available for making State 
     family assistance grants for such fiscal year in accordance 
     with subsection (a)(1) of such section.

     SEC. ____10. EVALUATION.

       Not later than October 1, 2000, the Secretary shall submit 
     to the Congress a comprehensive evaluation of the 
     effectiveness of community works progress programs in 
     reducing welfare dependency, crime, and teenage pregnancy in 
     the geographic areas in which such programs are conducted.
                                 ______


                  FEINSTEIN AMENDMENTS NOS. 2469-2470

  Mrs. FEINSTEIN proposed two amendments to amendment No. 2280 proposed 
by Mr. Dole to the bill H.R. 4, supra, as follows:

                           Amendment No. 2469
       Beginning on page 17, line 16, strike all through page 21, 
     line 3, and insert the following:
       ``(3) Supplemental grant amount for poverty population 
     increases in certain states.--
       ``(A) In general.--The amount of the grant payable under 
     paragraph (1) to a qualifying State for each of fiscal years 
     1997, 1998, 1999, and 2000 shall be increased by the 
     supplemental grant amount for such State.
       ``(B) Qualifying state.--For purposes of this paragraph, 
     the term `qualifying State', with respect to any fiscal year, 
     means a State that had an increase in the number of poor 
     people as determined by the Secretary under subparagraph (D) 
     for the most recent fiscal year for which information is 
     available.
       ``(C) Supplemental grant amount.--For purposes of this 
     paragraph, the supplemental grant amount for a State, with 
     respect to any fiscal year, is an amount which bears the same 
     ratio to the total amount appropriated under paragraph (4)(B) 
     for such fiscal year as the increase in the number of poor 
     people as so determined for such State bears to the total 
     increase of poor people as so determined for all States.
       ``(D) Requirement that data relating to the incidence of 
     poverty in the united states be published.--
       ``(i) In general.--The Secretary shall, to the extent 
     feasible, produce and publish for each State, county, and 
     local unit of general purpose government for which data have 
     been compiled in the then most recent census of population 
     under section 141(a) of title 13, United States Code, and for 
     each school district, data relating to the incidence of 
     poverty. Such data may be produced by means of sampling, 
     estimation, or any other method that the Secretary determines 
     will produce current, comprehensive, and reliable data.
       ``(ii) Content; frequency.--Data under this subparagraph--

       ``(I) shall include--

       ``(aa) for each school district, the number of children age 
     5 to 17, inclusive, in families below the poverty level; and
       ``(bb) for each State and county referred to in clause (i), 
     the number of individuals age 65 or older below the poverty 
     level; and

       ``(II) shall be published--

       ``(aa) for each State, annually beginning in 1996;
       ``(bb) for each county and local unit of general purpose 
     government referred to in clause (i),
      in 1996 and at least every second year thereafter; and
       ``(ccb) for each school district, in 1998 and at least 
     every second year thereafter.
       ``(iii) Authority to aggregate.--

       ``(I) In general.--If reliable data could not otherwise be 
     produced, the Secretary may, for purposes of clause 
     (ii)(I)(aa), aggregate school districts, but only to the 
     extent necessary to achieve reliability.
       ``(II) Information relating to use of authority.--Any data 
     produced under this clause shall be appropriately identified 
     and shall be accompanied by a detailed explanation as to how 
     and why aggregation was used (including the measures taken to 
     minimize any such aggregation).

       ``(iv) Report to be submitted whenever data is not timely 
     published.--If the Secretary is unable to produce and publish 
     the data required under this subparagraph for any county, 
     local unit of general purpose government, or school district 
     in any year specified in clause (ii)(II), a report shall be 
     submitted by the Secretary to the President of the Senate and 
     the Speaker of the House of Representatives, not later than 
     90 days before the start of the following year, enumerating 
     each government or school district excluded and giving the 
     reasons for the exclusion.
       ``(v) Criteria relating to poverty.--In carrying out this 
     subparagraph, the Secretary shall use the same criteria 
     relating to poverty as were used in the then most recent 
     census of population under section 141(a) of title 13, United 
     States Code (subject to such periodic adjustments as may be 
     necessary to compensate for inflation and other similar 
     factors).
       ``(vi) Consultation.--The Secretary shall consult with the 
     Secretary of Education in carrying out the requirements of 
     this subparagraph relating to school districts.
       ``(vii) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this subparagraph 
     $1,500,000 for each of fiscal years 1996 through 2000.
                                                                    ____


                           Amendment No. 2470
       On page 654, between lines 15 and 16, insert the following:

     SEC. ____. ENFORCEMENT OF ORDERS AGAINST PATERNAL 
                   GRANDPARENTS IN CASES OF MINOR PARENTS.

       Section 466(a) (42 U.S.C. 666(a)), as amended by sections 
     915, 917(a), 923, 965, 969, and 976, is amended by adding at 
     the end the following new paragraph:
       ``(17) Procedures under which any child support order 
     enforced under this part with respect to a child of minor 
     parents, if the mother of such child is receiving assistance 
     under the State grant under part A, shall be enforceable, 
     jointly and severally, against the paternal grandparents of 
     such child.''.
                                 ______


                MOSELEY-BRAUN AMENDMENTS NOS. 2471-2474

  Ms. MOSELEY-BRAUN proposed four amendments to amendment No. 2280 
proposed by Mr. Dole to the bill, H.R. 4, supra, as follows:

                           Amendment No. 2471

       On page 12, between lines 22 and 23, insert the following:
       ``(G) Assess and provide for the needs of a minor child who 
     is eligible for the child voucher program established under 
     subsection (c).
       On page 15, between lines 19 and 20, insert the following:
       ``(d) Child Voucher Program.--
       ``(1) Eligibility.--
       ``(A) In general.--A State to which a grant is made under 
     section 403 shall establish and operate a voucher program to 
     provide assistance to each minor child who resides with a 
     family that is eligible for but not receiving assistance 
     under the State program as a result of any reason identified 
     by the State, including--
       ``(i) the time limit imposed under section 405(b);
       ``(ii) a penalty imposed under section 404(d); or
       ``(iii) placement on a waiting list established by the 
     State for recipients of assistance under the State program.
       ``(B) Periodic assessments.--The State shall conduct 
     periodic assessments to determine the continued eligibility 
     of a minor child for a voucher under this subsection.
       ``(2) Amount of voucher.--
       ``(A) In general.--The amount of a voucher provided under 
     the program established under paragraph (1) shall be equal 
     to--
       ``(i) the number of minor children in the family; 
     multiplied by
       ``(ii) the per capita assistance amount determined under 
     subparagraph (B).
       ``(B) Per capita assistance amount.--For purposes of 
     subparagraph (A), the per capita assistance amount is an 
     amount equal to--
       ``(i) the amount of assistance that would have been 
     provided to a family described in paragraph (1) under the 
     State program; divided by
       ``(ii) the number of family members in such family.
       ``(3) Use of voucher.--A voucher provided under this 
     subsection may be used to obtain--
       ``(A) housing;
       ``(B) food;
       ``(C) transportation;
       ``(D) child care; and
       ``(E) any other item or service that the State deems 
     appropriate.
       ``(4) Delivery of items or services.--A State shall arrange 
     for the delivery of or directly provide the items and 
     services for which a voucher issued under this subsection may 
     be used.
       On page 15, line 20, strike ``(d)'' and insert ``(e)''.
       On page 24, line 24, insert ``(including the operation of a 
     child voucher program described in section 402(c))'' after 
     ``part''.
                                                                    ____


                           Amendment No. 2472
       On page 40, between lines 16 and 17, insert the following:
       ``(4) Failure of state to provide work-activity related 
     services.--The limitation described in paragraph (1) shall 
     not apply to a family receiving assistance under this part if 
     the State fails to provide the work experience, assistance in 
     finding employment, and other work preparation activities and 
     support services described in section 402(a)(1)(A)(ii) to the 
     adult individual described in paragraph (1).
                                                                    ____


                           Amendment No. 2473
       On page 122, between lines 11 and 12, insert the following:

     SEC. 111. MODIFICATIONS TO THE JOB OPPORTUNITIES FOR CERTAIN 
                   LOW-INCOME INDIVIDUALS PROGRAM.

       Section 505 of the Family Support Act of 1988 (42 U.S.C. 
     1315 note) is amended--
       (1) in the heading, by striking ``demonstration'';
       (2) by striking ``demonstration'' each place it appears;
       (3) in subsection (a), by striking ``in each of fiscal 
     years'' and all that follows through 

[[Page S 12868]]
     ``10'' and inserting ``shall enter into agreements with'';
       (4) in subsection (b)(3), by striking ``aid to families 
     with dependent children under part A of title IV of the 
     Social Security Act'' and inserting ``assistance under the 
     State program funded part A of title IV of the Social 
     Security Act in the State in which the individual resides'';
       (5) in subsection (c)--
       (A) in paragraph (1)(C), by striking ``aid to families with 
     dependent children under part A of title IV of the Social 
     Security Act'' and inserting ``assistance under the State 
     program funded part A of title IV of the Social Security 
     Act'';
       (B) in paragraph (2), by striking ``aid to families with 
     dependent children under title IV of such Act'' and inserting 
     ``assistance under the State program funded part A of title 
     IV of the Social Security Act'';
       (6) in subsection (d), by striking ``job opportunities and 
     basic skills training program (as provided for under title IV 
     of the Social Security Act'' and inserting ``the State 
     program funded under part A of title IV of the Social 
     Security Act''; and
       (7) by striking subsections (e) through (g) and inserting 
     the following:
       ``(e) Authorization of Appropriations.--For the purpose of 
     conducting projects under this section, there is authorized 
     to be appropriated an amount not to exceed $25,000,000 for 
     any fiscal year.''.
       Redesignate the succeeding sections accordingly.
                                                                    ____


                           Amendment No. 2474
       On page 25, strike lines 13 through 18, and insert the 
     following:
       ``(3) Authority to reserve certain amounts for 
     assistance.--
       ``(A) In general.--A State may reserve amounts paid to the 
     State under this part for any fiscal year for the purpose of 
     providing, without fiscal year limitation, assistance under 
     the State program operated under this part.
       ``(B) Exception.--In any fiscal year, a State may not 
     exercise the authority described in subparagraph (A) if the 
     State has reduced the amount of cash assistance provided per 
     family member to families under the State program during the 
     preceding fiscal year.
                                 ______


                        PELL AMENDMENT NO. 2475

  (Ordered to lie on the table.)
  Mr. PELL submitted an amendment intended to be proposed by him to 
amendment No. 2280 proposed by Mr. Dole to the bill H.R. 4, supra, as 
follows:
       On page 439, strike lines 10 through 15.
       On page 439, line 16, strike ``C)'' and insert ``(B)''.
       On page 440, between lines 14 and 15, insert the following 
     new subsection:
       (d) Coverage of States.--Notwithstanding any other 
     provision of this subtitle, prior to July 1, 1998, the 
     Secretary shall ensure that all States have at least 1 Job 
     Corps center in the State.
                                 ______


               ABRAHAM (AND LIEBERMAN) AMENDMENT NO. 2476

  (Ordered to lie on the table.)
  Mr. ABRAHAM (for himself and Mr. Lieberman) submitted an amendment 
intended to be proposed by them to amendment No. 2280 proposed by Mr. 
Dole to the bill H.R. 4, supra, as follows:
       At the appropriate place in the bill, add the following new 
     section:

     SEC.   . SENSE OF THE SENATE REGARDING ENTERPRISE ZONES.

       (a) Findings.--The Senate finds that--
       (1) Many of the Nation's urban centers are places with high 
     levels of poverty, high rates of welfare dependency, high 
     crime rates, poor schools, and joblessness;
       (2) Federal tax incentives and regulatory reforms can 
     encourage economic growth, job creation and small business 
     formation in many urban centers;
       (3) Encouraging private sector investment in America's 
     economically distressed urban and rural areas is essential to 
     breaking the cycle of poverty and the related ills of crime, 
     drug abuse, illiteracy, welfare dependency, and unemployment;
       (4) The empowerment zones enacted in 1993 should be 
     enhanced by providing incentives to increase enterpreneurial 
     growth, capital formation, job creation educational 
     opportunities, and homeownership in the designated 
     communities and zones;
       (b) Sense of the Senate.--Therefore, it is the Sense of the 
     Senate that the Congress should adopt enterprise zone 
     legislation in the 104th Congress, and that such enterprise 
     zone legislation provide the following incentives and 
     provisions:
       (1) Federal tax incentives that expand access to capital, 
     increase the formation and expansion of small businesses, and 
     promote commercial revitalization;
       (2) Regulatory reforms that allow localities to petition 
     Federal agencies, subject to the relevant agencies' approval, 
     for waivers or modifications of regulations to improve job 
     creation, small business formation and expansion, community 
     development, or economic revitalization objectives of the 
     enterprise zones;
       (3) Homeownership incentives and grants to encourage 
     resident management of public housing and home ownership of 
     public housing;
       (4) School reform pilot projects in certain designated 
     enterprise zones to provide low-income parents with new and 
     expanded educational options for their children's elementary 
     and secondary schooling.
                                 ______


               SANTORUM (AND NICKLES) AMENDMENT NO. 2477

  Mr. SANTORUM (for himself and Mr. Nickles) proposed an amendment to 
amendment No. 2280 proposed by Mr. Dole to the bill H.R. 4, supra, as 
follows:
       On page 42, line 2, insert ``, Social Security number, and 
     photograph (if applicable)'' before ``of any recipient''.
       On page 42, between lines 21 and 22, insert the following 
     new subsection:
       ``(e) Denial of Assistance for Absent Child.--Each State to 
     which a grant is made under section 403--
       ``(1) may not use any part of the grant to provide 
     assistance to a family with respect to any minor child who 
     has been, or is expected by the caretaker relative in the 
     family to be, absent from the home for a period of 45 
     consecutive days or, at the option of the State, such period 
     of not less than 30 and not more than 90 consecutive days as 
     the State may provide for in the State plan;
       ``(2) at the option of the State, may establish such good 
     cause exceptions to paragraph (1) as the State considers 
     appropriate if such exceptions are provided for in the State 
     plan; and
       ``(3) shall provide that a caretaker relative shall not be 
     considered an eligible individual for purposes of this part 
     if the caretaker relative fails to notify the State agency of 
     an absence of a minor child from the home for the period 
     specified in or provided for under paragraph (1), by the end 
     of the 5-day period that begins on the date that it becomes 
     clear to the caretaker relative that the minor child will be 
     absent for the period so specified or provided for in 
     paragraph (1).
       On page 130, line 8, insert ``, Social Security number, and 
     photograph (if applicable)'' before ``of any recipient''.
       On page 198, between lines 14 and 15, insert the following 
     new section:

     SEC. ____. DISQUALIFICATION OF FLEEING FELONS.

       Section 6 of the Food Stamp Act of 1977 (7 U.S.C. 2015), as 
     amended by section 319(a), is further amended by adding at 
     the end the following new subsection:
       ``(o) No member of a household who is otherwise eligible to 
     participate in the food stamp program shall be eligible to 
     participate in the program as a member of that or any other 
     household during any period during which the individual is--
       ``(1) fleeing to avoid prosecution, or custody or 
     confinement after conviction, under the laws of the place 
     from which the individual flees, for a crime, or attempt to 
     commit a crime, which is a felony under the laws of the place 
     from which the individual flees, or which, in the case of the 
     State of New Jersey, is a high misdemeanor under the laws of 
     such State; or
       ``(2) violating a condition of probation or parole imposed 
     under Federal or State law.''.
       On page 302 after line 5, add the following new section:

     SEC. 504. INFORMATION REPORTING.

       (a) Title IV of the Social Security Act.--Section 405 of 
     the Social Security Act, as added by section 101(b), is 
     amended by adding at the end the following new subsection:
       ``(f) State Required To Provide Certain Information.--Each 
     State to which a grant is made under section 403 shall, at 
     least 4 times annually and upon request of the Immigration 
     and Naturalization Service, furnish the Immigration and 
     Naturalization Service with the name and address of, and 
     other identifying information on, any individual who the 
     State knows is unlawfully in the United States.''.
       (b) SSI.--Section 1631(e) of such Act (42 U.S.C. 1383(e)) 
     is amended--
       (1) by redesignating the paragraphs (6) and (7) inserted by 
     sections 206(d)(2) and 206(f)(1) of the Social Security 
     Independence and Programs Improvement Act of 1994 (Public Law 
     103-296; 108 Stat. 1514, 1515) as paragraphs (7) and (8), 
     respectively; and
       (2) by adding at the end the following new paragraph:
       ``(9) Notwithstanding any other provision of law, the 
     Commissioner shall, at least 4 times annually and upon 
     request of the Immigration and Naturalization Service 
     (hereafter in this paragraph referred to as the `Service'), 
     furnish the Service with the name and address of, and other 
     identifying information on, any individual who the 
     Commissioner knows is unlawfully in the United States, and 
     shall ensure that each agreement entered into under section 
     1616(a) with a State provides that the State shall furnish 
     such information at such times with respect to any individual 
     who the State knows is unlawfully in the United States.''.
       (c) Housing Programs.--Title I of the United States Housing 
     Act of 1937 (42 U.S.C. 1437 et seq.), as amended by section 
     1004, is further amended by adding at the end the following 
     new section:

     ``SEC. 28. PROVISION OF INFORMATION TO LAW ENFORCEMENT AND 
                   OTHER AGENCIES.

       ``(a) Notice to Immigration and Naturalization Service of 
     Illegal Aliens.--Notwithstanding any other provision of law, 

[[Page S 12869]]
     the Secretary shall, at least 4 times annually and upon request of the 
     Immigration and Naturalization Service (hereafter in this 
     subsection referred to as the `Service'), furnish the Service 
     with the name and address of, and other identifying 
     information on, any individual who the Secretary knows is 
     unlawfully in the United States, and shall ensure that each 
     contract for assistance entered into under section 6 or 8 of 
     this Act with a public housing agency provides that the 
     public housing agency shall furnish such information at such 
     times with respect to any individual who the public housing 
     agency knows is unlawfully in the United States.''.
       At the appropriate place, insert the following new section:

     SEC. ____. ELIMINATION OF HOUSING ASSISTANCE WITH RESPECT TO 
                   FUGITIVE FELONS AND PROBATION AND PAROLE 
                   VIOLATORS.

       (a) Eligibility for Assistance.--The United States Housing 
     Act of 1937 (42 U.S.C. 1437 et seq.) is amended--
       (1) in section 6(l)--
       (A) in paragraph (5), by striking ``and'' at the end;
       (B) in paragraph (6), by striking the period at the end and 
     inserting ``; and''; and
       (C) by inserting immediately after paragraph (6) the 
     following new paragraph:
       ``(7) provide that it shall be cause for immediate 
     termination of the tenancy of a public housing tenant if such 
     tenant--
       ``(A) is fleeing to avoid prosecution, or custody or 
     confinement after conviction, under the laws of the place 
     from which the individual flees, for a crime, or attempt to 
     commit a crime, which is a felony under the laws of the place 
     from which the individual flees, or which, in the case of the 
     State of New Jersey, is a high misdemeanor under the laws of 
     such State; or
       ``(2) is violating a condition of probation or parole 
     imposed under Federal or State law.''; and
       (2) in section 8(d)(1)(B)--
       (A) in clause (iii), by striking ``and'' at the end;
       (B) in clause (iv), by striking the period at the end and 
     inserting ``; and''; and
       (C) by adding after clause (iv) the following new clause:
       ``(v) it shall be cause for termination of the tenancy of a 
     tenant if such tenant--

       ``(I) is fleeing to avoid prosecution, or custody or 
     confinement after conviction, under the laws of the place 
     from which the individual flees, for a crime, or attempt to 
     commit a crime, which is a felony under the laws of the place 
     from which the individual flees, or which, in the case of the 
     State of New Jersey, is a high misdemeanor under the laws of 
     such State; or
       ``(II) is violating a condition of probation or parole 
     imposed under Federal or State law;''.

       (b) Provision of Information to Law Enforcement Agencies.--
     Section 28 of the United States Housing Act of 1937, as added 
     by section 504(c) of this Act, is amended by adding at the 
     end the following new subsection:
       ``(b) Exchange of Information With Law Enforcement 
     Agencies.--Notwithstanding any other provision of law, each 
     public housing agency that enters into a contract for 
     assistance under section 6 or 8 of this Act with the 
     Secretary shall furnish any Federal, State, or local law 
     enforcement officer, upon the request of the officer, with 
     the current address, Social Security number, and photograph 
     (if applicable) of any recipient of assistance under this 
     Act, if the officer--
       ``(1) furnishes the public housing agency with the name of 
     the recipient; and
       ``(2) notifies the agency that--
       ``(A) such recipient--
       ``(i) is fleeing to avoid prosecution, or custody or 
     confinement after conviction, under the laws of the place 
     from which the individual flees, for a crime, or attempt to 
     commit a crime, which is a felony under the laws of the place 
     from which the individual flees, or which, in the case of the 
     State of New Jersey, is a high misdemeanor under the laws of 
     such State; or
       ``(ii) is violating a condition of probation or parole 
     imposed under Federal or State law; or
       ``(iii) has information that is necessary for the officer 
     to conduct the officer's official duties;
       ``(B) the location or apprehension of the recipient is 
     within such officer's official duties; and
       ``(C) the request is made in the proper exercise of the 
     officer's official duties.''.

                                 ______


                  FEINSTEIN AMENDMENTS NOS. 2478-2479

  Mrs. FEINSTEIN proposed two amendments to amendment No. 2280 proposed 
by Mr. Dole to the bill H.R. 4, supra, as follows:

                           Amendment No. 2478

       On page 274, lines 23 and 24, strike ``individual (whether 
     a citizen or national of the United States or an alien)'' and 
     insert ``alien''.
       On page 275, line 5, strike ``individual'' and insert 
     ``alien''.
       On page 275, line 10, strike ``individual's'' and insert 
     ``alien's''.
       On page 275, line 11, strike ``individual'' and insert 
     ``alien''.
       On page 275, line 14, strike ``individual'' and insert 
     ``alien''.
       On page 275, line 20, strike ``individual'' and insert 
     ``alien''.
       On page 275, line 21, strike ``individual'' and insert 
     ``alien''.
       On page 276, lines 2 and 3, strike ``individual (whether a 
     citizen or national of the United States or an alien)'' and 
     insert ``alien''.
       On page 276, line 14, strike ``individual'' and insert 
     ``alien''.
       On page 278, line 1, strike ``NONCITIZENS'' and insert 
     ``ALIENS''.
       On page 278, line 8, strike ``a noncitizen'' and insert 
     ``an alien''.
       On page 278, line 13, strike ``a noncitizen'' and insert 
     ``an alien''.
       On page 278, line 16, strike ``a noncitizen'' and insert 
     ``an alien''.
       On page 278, line 22, strike ``a noncitizen'' and insert 
     ``an alien''.
       On page 279, line 4, strike ``a noncitizen'' and insert 
     ``an alien''.
       On page 279, line 6, strike ``A noncitizen'' and insert 
     ``An alien''.
       On page 279, line 8, strike ``noncitizen'' and insert 
     ``alien''.
                                                                    ____

                           Amendment No. 2479

       On page 69, strike lines 18 through 22, and insert the 
     following:

     ``SEC. 413. STATE AND COUNTY DEMONSTRATION PROGRAMS.

       ``(a) No Limitation of State Demonstration Projects.--
     Nothing in this part shall be construed as limiting a State's 
     ability to conduct demonstration projects for the purpose of 
     identifying innovative or effective program designs in 1 or 
     more political subdivisions of the State.
       ``(b) County Welfare Demonstration Project.--
       ``(1) In general.--The Secretary of Health and Human 
     Services and the Secretary of Agriculture shall jointly enter 
     into negotiations with all counties or a group of counties 
     having a population greater than 500,000 desiring to conduct 
     a demonstration project describing in paragraph (2) of the 
     purpose of establishing appropriate rules to govern the 
     establishment and operation of such project.
       ``(2) Demonstration project described.--The demonstration 
     project described in this paragraph shall provide that--
       ``(A) a county participating in the demonstration project 
     shall have the authority and duty to administer the operation 
     of the program described under this part as if the county 
     were considered a State for the purpose of this part;
       ``(B) the State in which the county participating in the 
     demonstration project is located shall pass through directly 
     to the county the portion of the grant received by the State 
     under section 403 which the State determines is attributable 
     to the residents of such county; and
       ``(C) the duration of the project shall be for 5 years.
       ``(3) Commencement of project.--After the conclusion of the 
     negotiations described in paragraph (2), the Secretary of 
     Health and Human Services and the the Secretary of 
     Agriculture may authorize a county to conduct to 
     demonstration project described in paragraph (2) in 
     accordance with the rules established during the 
     negotiations.
       ``(4) Report.--Not later than 6 months after the 
     termination of a demonstration project operated under this 
     subsection, the Secretary of Health and Human Services and 
     the Secretary of Agriculture shall submit to the Congress a 
     report that includes--
       ``(A) a description of the demonstration project;
       ``(B) the rules negotiated with respect to the project; and
       ``(C) the innovations (if any) that the county was able to 
     initiate under the project.
                                 ______


                      FEINGOLD AMENDMENT NO. 2480

  Mr. FEINGOLD proposed an amendment to amendment No. 2280 proposed by 
Mr. Dole to the bill H.R. 4, supra, as follows:

                           Amendment No. 2480

       On page 283, after 23, insert the following:
       (f) Study of Impact of Amendments on Program Participation 
     and Family Day Care Licensing.--
       (1) In general.--The Secretary of Agriculture, in 
     conjunction with the Secretary of Health and Human Services, 
     shall study the impact of the amendments made by this section 
     on--
       (A) the number of family day care homes participating in 
     the child and adult care food program established under 
     section 17 of the National School Lunch Act (42 U.S.C. 1766);
       (B) the number of day care home sponsoring organizations 
     participating in the program;
       (C) the number of day care homes that are licensed, 
     certified, registered, or approved by each State in 
     accordance with regulations issued by the Secretary;
       (D) the rate of growth of the numbers referred to in 
     subparagraphs (A) through (C);
       (E) the nutritional adequacy and quality of meals served in 
     family day care homes that--
       (i) received reimbursement under the program prior to the 
     amendments made by this section but do not receive 
     reimbursement after the amendments made by this section; or
       (ii) received full reimbursement under the program prior to 
     the amendments made by this section but do not receive full 
     reimbursement after the amendments made by this section; and
       (F) the proportion of low-income children participating in 
     the program prior to the 

[[Page S 12870]]
     amendments made by this section and the proportion of low-income 
     children participating in the program after the amendments 
     made by this section.
       (2) Required data.--Each State agency participating in the 
     child and adult care food program under section 17 of the 
     National School Lunch Act (42 U.S.C. 1766) shall submit to 
     the Secretary data on--
       (A) the number of family day care homes participating in 
     the program on July 31, 1996, and July 31, 1997;
       (B) the number of family day care homes licensed, 
     certified, registered, or approved for service on July 31, 
     1996, and July 31, 1997; and
       (C) such other data as the Secretary may require to carry 
     out this subsection.
       (3) Submission of report.--Not later than 2 years after the 
     effective date of section 423 of this Act, the Secretary 
     shall submit the study required under this subsection to the 
     Committee on Economic and Educational Opportunities of the 
     House of Representatives and the Committee on Agriculture, 
     Nutrition, and Forestry of the Senate.
                                 ______


                 FEINGOLD (AND KOHL) AMENDMENT NO. 2481

  Mr. FEINGOLD (for himself and Mr. Kohl) proposed an amendment to 
amendment No. 2280 proposed by Mr. Dole to the bill H.R. 4, supra, as 
follows:
       At the appropriate place in title X add the following:
     SEC. 10. DEMONSTRATION PROJECT FOR ELIMINATION OF TAKE-ONE-
                   TAKE-ALL REQUIREMENT.

       In order to demonstrate the effects of eliminating the 
     requirement under section 8(t) of the United States Housing 
     Act of 1937, notwithstanding any other provision of law, 
     beginning on the date of enactment of this Act, section 8(t) 
     of such the United States Housing Act of 1937 shall not apply 
     with respect to the multifamily housing project (as such term 
     is defined in section 8(t)(2) of the United States Housing 
     Act of 1937) consisting of the dwelling units located at 
     2401-2479 Somerset Circle, in Madison, Wisconsin.
       Amend the table of contents accordingly.
                                 ______


                        BOXER AMENDMENT NO. 2482

  Mrs. BOXER proposed an amendment to amendment No. 2280 proposed by 
Mr. Dole to the bill H.R. 4, supra, as follows:

                           Amendment No. 2482

       On page 712, between lines 9 and 10, insert the following:

     SEC. 972. DENIAL OF MEANS-TESTED FEDERAL BENEFITS TO 
                   NONCUSTODIAL PARENTS WHO ARE DELINQUENT IN 
                   PAYING CHILD SUPPORT.

       (a) In General.--Notwithstanding any other provision of 
     law, a non-custodial parent who is more than 2 months 
     delinquent in paying child support shall not be eligible to 
     receive any means-tested Federal benefits.
       (b) Exception.--
       (1) In general.--Subsection (a) shall not apply to an 
     unemployed non-custodial parent who is more than 2 months 
     delinquent in paying child support if such parent--
       (A) enters into a schedule of repayment for past due child 
     support with the entity that issued the underlying child 
     support order; and
       (B) meets all of the terms of repayment specified in the 
     schedule of repayment as enforced by the appropriate 
     disbursing entity.
       (2) 2-year exclusion.--(A) A non-custodial parent who 
     becomes delinquent in child support a second time or any 
     subsequent time shall not be eligible to receive any means-
     tested Federal benefits for a 2-year period beginning on the 
     date that such parent failed to meet such terms.
       (B) At the end of that two-year period, paragraph (A) shall 
     once again apply to that individual.
       (c) Means-tested Federal Benefits.--For purposes of this 
     section, the term ``means-tested Federal benefits'' means 
     benefits under any program of assistance, funded in whole or 
     in part, by the Federal Government, for which eligibility for 
     benefits is based on need.
     

                          ____________________