[Congressional Record Volume 143, Number 125 (Thursday, September 18, 1997)]
[Senate]
[Pages S9645-S9653]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. CHAFEE (for himself, Mr. Craig, Mr. Rockefeller, Mr. 
        Jeffords, Mr. DeWine, Mr. Coats, Mr. Bond, Ms. Landrieu, and 
        Mr. Levin):

  S. 1195. A bill to promote the adoption of children in foster care, 
and for other purposes; to the Committee on Finance.


 THE PROMOTION OF ADOPTION SAFETY AND SUPPORT FOR ABUSED AND NEGLECTED 
                              CHILDREN ACT

  Mr. CHAFEE. Mr. President, I am pleased to introduce the Promotion of 
Adoption, Safety and Support for Abused and Neglected Children Act, the 
so-called PASS Act. This legislation will make critical reforms to the 
Nation's child welfare and foster care system and will go a long way 
toward improving the lives of the hundreds of thousands of abused and 
neglected children across America. These are children without a safe 
family setting. They are children who face abuse and neglect every day 
of their lives. They are America's forgotten children. And, all too 
often, they are children without hope.

  This chilling picture has brought the sponsors of this bill together 
to take immediate action. The goals of the PASS Act are twofold: to 
ensure that abused and neglected children are in safe settings, and to 
move children more rapidly out of the foster care system and into 
permanent placements.
  While the goal of reunifying children with their biological families 
is laudable, we should not be encouraging States to return abused or 
neglected children to homes that are clearly unsafe. Regrettably, this 
is occurring under current law.
  About 500,000--half a million--abused or neglected children currently 
live outside their homes, either in foster care or with relatives. In 
Rhode Island alone, there are nearly 1,500 children who have been 
removed from their homes and are in foster care. The Rhode Island 
Department of Children and Families has an active case load of about 
7,700 children who have been abused or neglected.
  Many of these children will be able to return to their parents, but 
many will not. Too often, children who cannot return to their parents 
wait for years in foster care before they are adopted. In today's child 
welfare system, it has become a lonely and tragic wait with no end. To 
us, that is an unacceptable way of life for any child to have to 
endure.
  The PASS Act seeks to shorten the time a child must wait to be 
adopted, all the while ensuring that wherever a child is placed, his or 
her safety and health will be the first concern.
  The PASS Act also contains important new financial incentives to help 
these children find adoptive homes. State agencies will receive bonuses 
for each child that is adopted, and families who open their hearts and 
their homes to these children will be eligible for Federal financial 
assistance and Medicaid coverage for the child.
  I believe the PASS Act is a good bipartisan, compromise package. The 
sponsors of this bill have worked hard to come together in support of a 
child welfare reform bill. And we expect this new, revised legislation 
to move quickly through the Senate, as the Majority Leader has 
indicated that adoption legislation is one of a select few priorities 
to be dealt with before expected adjournment in early November.

  But the real reason we need to move this bill is not because of 
legislative haste. It is because each passing day we do not act to 
bring hope and relief to abused and neglected children is a dark day 
for Congress and the Nation.
  Finally let me thank my friend Jay Rockefeller, who has worked so 
tirelessly on these issues and whose leadership was key to this bill. I 
also want to pay special tribute to Larry Craig--without his commitment 
to these children this agreement would not have been possible. I am 
proud of this bipartisan effort, and I hope all of my colleagues will 
support this measure. I ask unanimous consent that the full text of the 
legislation be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1195

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

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Promotion 
     of Adoption, Safety, and Support for Abused and Neglected 
     Children (PASS) Act''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.

TITLE I--REASONABLE EFFORTS AND SAFETY REQUIREMENTS FOR FOSTER CARE AND 
                          ADOPTION PLACEMENTS

Sec. 101. Clarification of the reasonable efforts requirement.
Sec. 102. Including safety in case plan and case review system 
              requirements.
Sec. 103. Multidisciplinary/multiagency child death review teams.
Sec. 104. States required to initiate or join proceedings to terminate 
              parental rights for certain children in foster care.
Sec. 105. Notice of reviews and hearings; opportunity to be heard.
Sec. 106. Use of the Federal Parent Locator Service for child welfare 
              services.
Sec. 107. Criminal records checks for prospective foster and adoptive 
              parents and group care staff.

[[Page S9646]]

Sec. 108. Development of State guidelines to ensure safe, quality care 
              to children in out-of-home placements.
Sec. 109. Documentation of efforts for adoption or location of a 
              permanent home.

   TITLE II--INCENTIVES FOR PROVIDING PERMANENT FAMILIES FOR CHILDREN

Sec. 201. Adoption incentive payments.
Sec. 202. Promotion of adoption of children with special needs.
Sec. 203. Technical assistance.
Sec. 204. Adoptions across State and county jurisdictions.
Sec. 205. Facilitation of voluntary mutual reunions between adopted 
              adults and birth parents and siblings.
Sec. 206. Annual report on State performance in protecting children.

             TITLE III--ADDITIONAL IMPROVEMENTS AND REFORMS

Sec. 301. Expansion of child welfare demonstration projects.
Sec. 302. Permanency planning hearings.
Sec. 303. Kinship care.
Sec. 304. Standby guardianship.
Sec. 305. Clarification of eligible population for independent living 
              services.
Sec. 306. Coordination and collaboration of substance abuse treatment 
              and child protection services.
Sec. 307. Reauthorization and expansion of family preservation and 
              support services.
Sec. 308. Innovation grants to reduce backlogs of children awaiting 
              adoption and for other purposes.

                        TITLE IV--MISCELLANEOUS

Sec. 401. Preservation of reasonable parenting.
Sec. 402. Reporting requirements.
Sec. 403. Report on fiduciary obligations of State agencies receiving 
              SSI payments.
Sec. 404. Allocation of administrative costs of determining eligibility 
              for medicaid and TANF.

                        TITLE V--EFFECTIVE DATE

Sec. 501. Effective date.
TITLE I--REASONABLE EFFORTS AND SAFETY REQUIREMENTS FOR FOSTER CARE AND 
                          ADOPTION PLACEMENTS

     SEC. 101. CLARIFICATION OF THE REASONABLE EFFORTS 
                   REQUIREMENT.

       Section 471(a)(15) of the Social Security Act (42 U.S.C. 
     671(a)(15)) is amended to read as follows:
       ``(15) provides that--
       ``(A) in determining reasonable efforts, as described in 
     this section, the child's health and safety shall be the 
     paramount concern;
       ``(B) reasonable efforts shall be made to preserve and 
     reunify families when possible--
       ``(i) prior to the placement of a child in foster care, to 
     prevent or eliminate the need for removing the child from the 
     child's home when the child can be cared for at home without 
     endangering the child's health or safety; or
       ``(ii) to make it possible for the child to safely return 
     to the child's home;
       ``(C) reasonable efforts shall not be required on behalf of 
     any parent--
       ``(i) if a court of competent jurisdiction has made a 
     determination that the parent has--

       ``(I) committed murder of another child of the parent;
       ``(II) committed voluntary manslaughter of another child of 
     the parent;
       ``(III) aided or abetted, attempted, conspired, or 
     solicited to commit such murder or voluntary manslaughter; or
       ``(IV) committed a felony assault that results in serious 
     bodily injury to the child or another child of the parent;

       ``(ii) if a court of competent jurisdiction determines that 
     returning the child to the home of the parent would pose a 
     serious risk to the child's health or safety (including but 
     not limited to cases of abandonment, torture, chronic 
     physical abuse, sexual abuse, or a previous involuntary 
     termination of parental rights with respect to a sibling of 
     the child); or
       ``(iii) if the State, through legislation, has specified 
     cases in which the State is not required to make reasonable 
     efforts because of serious circumstances that endanger a 
     child's health or safety;
       ``(D) if reasonable efforts to preserve or reunify a family 
     are not made in accordance with subparagraph (C), and 
     placement with either parent would pose a serious risk to the 
     child's health or safety, or in any case in which a State's 
     goal for the child is adoption or placement in another 
     permanent home, reasonable efforts shall be made to place the 
     child in a timely manner with an adoptive family, with a 
     qualified relative or legal guardian, or in another planned 
     permanent living arrangement, and to complete whatever steps 
     are necessary to finalize the adoption or legal guardianship; 
     and
       ``(E) reasonable efforts of the type described in 
     subparagraph (D) may be made concurrently with reasonable 
     efforts of the type described in subparagraph (B);''.

     SEC. 102. INCLUDING SAFETY IN CASE PLAN AND CASE REVIEW 
                   SYSTEM REQUIREMENTS.

       Title IV of the Social Security Act (42 U.S.C. 601 et seq.) 
     is amended--
       (1) in section 422(b)(10)(B) (as redesignated by section 
     5592(a)(1)(A)(iii) of the Balanced Budget Act of 1997 (Public 
     Law 105-33; 111 Stat. 644))--
       (A) in clause (iii)(I), by inserting ``safe and'' after 
     ``where''; and
       (B) in clause (iv), by inserting ``safely'' after 
     ``remain''; and
       (2) in section 475--
       (A) in paragraph (1)--
       (i) in subparagraph (A), by inserting ``safety and'' after 
     ``discussion of the''; and
       (ii) in subparagraph (B)--

       (I) by inserting ``safe and'' after ``child receives''; and
       (II) by inserting ``safe'' after ``return of the child to 
     his own''; and

       (B) in paragraph (5)--
       (i) in subparagraph (A), in the matter preceding clause 
     (i), by inserting ``a safe setting that is'' after 
     ``placement in''; and
       (ii) in subparagraph (B)--

       (I) by inserting ``the safety of the child,'' after 
     ``determine''; and
       (II) by inserting ``and safely maintained in'' after 
     ``returned to''.

     SEC. 103. MULTIDISCIPLINARY/MULTIAGENCY CHILD DEATH REVIEW 
                   TEAMS.

       (a) State Child Death Review Teams.--Section 471 of the 
     Social Security Act (42 U.S.C. 671) is amended by adding at 
     the end the following:
       ``(c)(1) In order to investigate and prevent child death 
     from fatal abuse and neglect, not later than 2 years after 
     the date of the enactment of this subsection, a State, in 
     order to be eligible for payments under this part, shall 
     submit to the Secretary a certification that the State has 
     established and is maintaining, in accordance with applicable 
     confidentiality laws, a State child death review team, and if 
     necessary in order to cover all counties in the State, child 
     death review teams on the regional or local level, that shall 
     review child deaths, including deaths in which--
       ``(A) there is a record of a prior report of child abuse or 
     neglect or there is reason to suspect that the child death 
     was caused by, or related to, child abuse or neglect; or
       ``(B) the child who died was a ward of the State or was 
     otherwise known to the State or local child welfare service 
     agency.
       ``(2) A child death review team established in accordance 
     with this subsection should have a membership that will 
     present a range of viewpoints that are independent from any 
     specific agency, and shall include representatives from, at a 
     minimum, specific fields of expertise, such as law 
     enforcement, health, mental health, and substance abuse, and 
     from the community.
       ``(3) A State child death review team shall--
       ``(A) provide support to a regional or local child death 
     review team;
       ``(B) make public an annual summary of case findings;
       ``(C) provide recommendations for systemwide improvements 
     in services to investigate and prevent future fatal abuse and 
     neglect; and
       ``(D) if the State child death review team covers all 
     counties in the State on its own, carry out the duties of a 
     regional or local child death review team described in 
     paragraph (4).
       ``(4) A regional or local child death review team shall--
       ``(A) conduct individual case reviews;
       ``(B) recommend followup procedures for child death cases; 
     and
       ``(C) suggest and assist with system improvements in 
     services to investigate and prevent future fatal abuse and 
     neglect.''.
       (b) Federal Child Death Review Team.--Section 471 of the 
     Social Security Act (42 U.S.C. 671), as amended by subsection 
     (a), is amended by adding at the end the following:
       ``(d)(1) The Secretary shall establish a Federal child 
     death review team that shall consist of at least the 
     following:
       ``(A) Representatives of the following Federal agencies who 
     have expertise in the prevention or treatment of child abuse 
     and neglect:
       ``(i) Department of Health and Human Services.
       ``(ii) Department of Justice.
       ``(iii) Bureau of Indian Affairs.
       ``(iv) Department of Defense.
       ``(v) Bureau of the Census.
       ``(B) Representatives of national child-serving 
     organizations who have expertise in the prevention or 
     treatment of child abuse and neglect and that, at a minimum, 
     represent the health, child welfare, social services, and law 
     enforcement fields.
       ``(2) The Federal child death review team established under 
     this subsection shall--
       ``(A) review reports of child deaths on military 
     installations and other Federal lands, and coordinate with 
     Indian tribal organizations in the review of child deaths on 
     Indian reservations;
       ``(B) upon request, provide guidance and technical 
     assistance to States and localities seeking to initiate or 
     improve child death review teams and to prevent child 
     fatalities; and
       ``(C) develop recommendations on related policy and 
     procedural issues for Congress, relevant Federal agencies, 
     and States and localities for the purpose of preventing child 
     fatalities.''.

     SEC. 104. STATES REQUIRED TO INITIATE OR JOIN PROCEEDINGS TO 
                   TERMINATE PARENTAL RIGHTS FOR CERTAIN CHILDREN 
                   IN FOSTER CARE.

       (a) Requirement for Proceedings.--Section 475(5) of the 
     Social Security Act (42 U.S.C. 675(5)) is amended--
       (1) by striking ``and'' at the end of subparagraph (C);
       (2) by striking the period at the end of subparagraph (D) 
     and inserting ``; and''; and

[[Page S9647]]

       (3) by adding at the end the following:
       ``(E) in the case of a child who has been in foster care 
     under the responsibility of the State for 12 of the most 
     recent 18 months, or for a lifetime total of 24 months, or, 
     if a court of competent jurisdiction has determined an infant 
     to have been abandoned (as defined under State law), or made 
     a determination that the parent has committed murder of 
     another child of such parent, committed voluntary 
     manslaughter of another child of such parent, aided or 
     abetted, attempted, conspired, or solicited to commit such 
     murder or voluntary manslaughter, or committed a felony 
     assault that results in serious bodily injury to the 
     surviving child or to another child of such parent, the State 
     shall file a petition to terminate the parental rights of the 
     child's parents (or, if such a petition has been filed by 
     another party, seek to be joined as a party to the petition), 
     and, concurrently, to identify, recruit, process, and approve 
     a qualified family for an adoption, unless--
       ``(i) at the option of the State, the child is being cared 
     for by a relative; or
       ``(ii) a State court or State agency has documented a 
     compelling reason for determining that filing such a petition 
     would not be in the best interests of the child.''.
       (b) Determination of Beginning of Foster Care.--Section 
     475(5) of the Social Security Act (42 U.S.C. 675(5)), as 
     amended by subsection (a), is amended--
       (1) by striking ``and'' at the end of subparagraph (D);
       (2) by striking the period at the end of subparagraph (E) 
     and inserting ``; and''; and
       (3) by adding at the end the following:
       ``(F) a child shall be considered to have entered foster 
     care on the latter of--
       ``(i) the first time the child is removed from the home; or
       ``(ii) the date of the first judicial hearing on removal of 
     the child from the home.''.
       (c) Elimination of Unnecessary Court Delays.--
       (1) One-year statute of limitations for appeals of orders 
     terminating parental rights.--Section 471(a) of the Social 
     Security Act (42 U.S.C. 671(a)), as amended by section 
     5591(b) of the Balanced Budget Act of 1997, is amended--
       (A) by striking ``and'' at the end of paragraph (18);
       (B) by striking the period at the end of paragraph (19) and 
     inserting ``; and''; and
       (C) by adding at the end the following:
       ``(20) provides that an order terminating parental rights 
     shall only be appealable during the 1-year period that begins 
     on the date the order is issued.''.
       (2) One-year statute of limitations for appeals of orders 
     of removal.--Section 471(a) of the Social Security Act (42 
     U.S.C. 671(a)), as amended by subsection (a), is amended--
       (A) in paragraph (19), by striking ``and'' at the end;
       (B) in paragraph (20), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end the following:
       ``(21) provides that a court-ordered removal of a child 
     shall only be appealable during the 1-year period that begins 
     on the date the order is issued.''.
       (d) Rule of Construction.--Nothing in part E of title IV of 
     the Social Security Act (42 U.S.C. 670 et seq.), as amended 
     by this Act, shall be construed as precluding State courts or 
     State agencies from initiating or finalizing the termination 
     of parental rights for reasons other than, or for timelines 
     earlier than, those specified in part E of title IV of such 
     Act, when such actions are determined to be in the best 
     interests of the child.
       (e) Effective Dates.--
       (1) In general.--Except as provided in paragraphs (2) and 
     (3), the amendments made by this section shall apply to 
     children entering foster care under the responsibility of the 
     State after the date of enactment of this Act.
       (2) Transition rule for current foster care children.--
     Subject to paragraph (3), with respect to any child in foster 
     care under the responsibility of the State on or before the 
     date of enactment of this Act, the amendments made by this 
     section shall not apply to such child until the date that is 
     1 year after the date of enactment of this Act.
       (3) Delay Permitted if State Legislation Required.--The 
     provisions of section 501(b) shall apply to the effective 
     date of the amendments made by this section.

     SEC. 105. NOTICE OF REVIEWS AND HEARINGS; OPPORTUNITY TO BE 
                   HEARD.

       Section 475(5) of the Social Security Act (42 U.S.C. 
     675(5)), as amended by section 104(b), is amended--
       (1) by striking ``and'' at the end of subparagraph (E);
       (2) by striking the period at the end of subparagraph (F) 
     and inserting ``; and''; and
       (3) by adding at the end the following:
       ``(G) the foster parents (if any) of a child and any 
     relative providing care for the child are provided with 
     notice of, and an opportunity to be heard in, any review or 
     hearing to be held with respect to the child, except that 
     this subparagraph shall not be construed to make any foster 
     parent or relative a party to such a review or hearing solely 
     on the basis of such notice and opportunity to be heard.''.

     SEC. 106. USE OF THE FEDERAL PARENT LOCATOR SERVICE FOR CHILD 
                   WELFARE SERVICES.

       Section 453 of the Social Security Act (42 U.S.C. 653), as 
     amended by section 5534 of the Balanced Budget Act of 1997, 
     is amended--
       (1) in subsection (a)(2)--
       (A) in the matter preceding subparagraph (A), by inserting 
     ``or making or enforcing child custody or visitation orders'' 
     after ``obligations,''; and
       (B) in subparagraph (A)--
       (i) by striking ``or'' at the end of clause (ii);
       (ii) by striking the comma at the end of clause (iii) and 
     inserting ``; or''; and
       (iii) by inserting after clause (iii) the following:
       ``(iv) who has or may have parental rights with respect to 
     a child,''; and
       (2) in subsection (c)--
       (A) by striking the period at the end of paragraph (3) and 
     inserting ``; and''; and
       (B) by adding at the end the following:
       ``(4) a State agency that is administering a program 
     operated under a State plan under subpart 1 of part B, or a 
     State plan approved under subpart 2 of part B or under part 
     E.''.

     SEC. 107. CRIMINAL RECORDS CHECKS FOR PROSPECTIVE FOSTER AND 
                   ADOPTIVE PARENTS AND GROUP CARE STAFF.

       Section 471(a) of the Social Security Act (42 U.S.C. 
     671(a)), as amended by section 104(c)(2), is amended--
       (1) by striking ``and'' at the end of paragraph (20);
       (2) by striking the period at the end of paragraph (21) and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(22) provides procedures for criminal records checks and 
     checks of a State's child abuse registry for any prospective 
     foster parent or adoptive parent, and any employee of a 
     residential child-care institution before the foster parent 
     or adoptive parent, or the residential child-care institution 
     may be finally approved for placement of a child on whose 
     behalf foster care maintenance payments or adoption 
     assistance payments are to be made under the State plan under 
     this part, including procedures requiring that--
       ``(A) in any case in which a criminal record check reveals 
     a criminal conviction for child abuse or neglect, or spousal 
     abuse, a criminal conviction for crimes against children, or 
     a criminal conviction for a crime involving violence, 
     including violent drug-related offenses, rape, sexual or 
     other physical assault, battery, or homicide, approval shall 
     not be granted, unless the individual provides substantial 
     evidence to local law enforcement officials and the State 
     child protection agency proving that there are extraordinary 
     circumstances which demonstrate that approval should be 
     granted; and
       ``(B) in any case in which a criminal record check reveals 
     a criminal conviction for a felony or misdemeanor not 
     involving violence, or a check of any State child abuse 
     registry indicates that a substantiated report of abuse or 
     neglect exists, final approval may be granted only after 
     consideration of the nature of the offense or incident, the 
     length of time that has elapsed since the commission of the 
     offense or the occurrence of the incident, the individual's 
     life experiences during the period since the commission of 
     the offense or the occurrence of the incident, and any risk 
     to the child.''.

     SEC. 108. DEVELOPMENT OF STATE GUIDELINES TO ENSURE SAFE, 
                   QUALITY CARE TO CHILDREN IN OUT-OF-HOME 
                   PLACEMENTS.

       Section 471(a)(10) of the Social Security Act (42 U.S.C. 
     671(a)(10)) is amended--
       (1) by inserting ``and guidelines'' after ``standards'' 
     each place it appears; and
       (2) by inserting ``ensuring quality services that protect 
     the safety and health of children in foster care placements 
     with nonprofit and for-profit agencies,'' after ``related 
     to''.

     SEC. 109. DOCUMENTATION OF EFFORTS FOR ADOPTION OR LOCATION 
                   OF A PERMANENT HOME.

       Section 475 of the Social Security Act (42 U.S.C. 675) is 
     amended--
       (1) in paragraph (1)--
       (A) in the last sentence--
       (i) by striking ``the case plan must also include''; and
       (ii) by redesignating such sentence as subparagraph (D) and 
     indenting appropriately; and
       (B) by adding at the end, the following:
       ``(E) In the case of a child with respect to whom the 
     State's goal is adoption or placement in another permanent 
     home, documentation of the steps taken by the agency to find 
     an adoptive family or other permanent living arrangement for 
     the child, to place the child with an adoptive family, legal 
     guardian, or in another planned permanent living arrangement, 
     and to finalize the adoption or legal guardianship. At a 
     minimum, such documentation shall include child specific 
     recruitment efforts such as the use of State, regional, and 
     national adoption exchanges including electronic exchange 
     systems.''; and
       (2) in paragraph (5)(B), by inserting ``(including the 
     requirement specified in paragraph (1)(E))'' after ``case 
     plan''.
   TITLE II--INCENTIVES FOR PROVIDING PERMANENT FAMILIES FOR CHILDREN

     SEC. 201. ADOPTION INCENTIVE PAYMENTS.

       Part E of title IV of the Social Security Act (42 U.S.C. 
     670-679) is amended by inserting after section 473 the 
     following:

     ``SEC. 473A. ADOPTION INCENTIVE PAYMENTS.

       ``(a) Grant Authority.--Subject to the availability of such 
     amounts as may be provided in advance in appropriations Acts 
     for this purpose, the Secretary may make a grant to each 
     State that is an incentive-eligible State for a fiscal year 
     in an amount

[[Page S9648]]

     equal to the adoption incentive payment payable to the State 
     for the fiscal year under this section, which shall be 
     payable in the immediately succeeding fiscal year.
       ``(b) Incentive-Eligible State.--A State is an incentive-
     eligible State for a fiscal year if--
       ``(1) the State has a plan approved under this part for the 
     fiscal year;
       ``(2) the number of foster child adoptions in the State 
     during the fiscal year exceeds the base number of foster 
     child adoptions for the State for the fiscal year;
       ``(3) the State is in compliance with subsection (c) for 
     the fiscal year; and
       ``(4) the fiscal year is any of fiscal years 1998 through 
     2002.
       ``(c) Data Requirements.--
       ``(1) In general.--A State is in compliance with this 
     subsection for a fiscal year if the State has provided to the 
     Secretary the data described in paragraph (2) for fiscal year 
     1997 (or, if later, the fiscal year that precedes the first 
     fiscal year for which the State seeks a grant under this 
     section) and for each succeeding fiscal year.
       ``(2) Determination of numbers of adoptions.--
       ``(A) Determinations based on afcars data.--Except as 
     provided in subparagraph (B), the Secretary shall determine 
     the numbers of foster child adoptions and of special needs 
     adoptions in a State during each of fiscal years 1997 through 
     2002, for purposes of this section, on the basis of data 
     meeting the requirements of the system established pursuant 
     to section 479, as reported by the State in May of the fiscal 
     year and in November of the succeeding fiscal year, and 
     approved by the Secretary by April 1 of the succeeding fiscal 
     year.
       ``(B) Alternative data sources permitted for fiscal year 
     1997.--For purposes of the determination described in 
     subparagraph (A) for fiscal year 1997, the Secretary may use 
     data from a source or sources other than that specified in 
     subparagraph (A) that the Secretary finds to be of equivalent 
     completeness and reliability, as reported by a State by 
     November 30, 1997, and approved by the Secretary by March 1, 
     1998.
       ``(3) No waiver of afcars requirements.--This section shall 
     not be construed to alter or affect any requirement of 
     section 479 or any regulation prescribed under such section 
     with respect to reporting of data by States, or to waive any 
     penalty for failure to comply with the requirements.
       ``(d) Adoption Incentive Payment.--
       ``(1) In general.--Except as provided in paragraph (2), the 
     adoption incentive payment payable to a State for a fiscal 
     year under this section shall be equal to the sum of--
       ``(A) $2,000, multiplied by amount (if any) by which the 
     number of foster child adoptions in the State during the 
     fiscal year exceeds the base number of foster child adoptions 
     for the State for the fiscal year; and
       ``(B) $2,000, multiplied by the amount (if any) by which 
     the number of special needs adoptions in the State during the 
     fiscal year exceeds the base number of special needs 
     adoptions for the State for the fiscal year.
       ``(2) Pro rata adjustment if insufficient funds 
     available.--For any fiscal year, if the total amount of 
     adoption incentive payments otherwise payable under this 
     section for a fiscal year exceeds the amount appropriated for 
     that fiscal year, the amount of the adoption incentive 
     payment payable to each State under this section for the 
     fiscal year shall be--
       ``(A) the amount of the adoption incentive payment that 
     would otherwise be payable to the State under this section 
     for the fiscal year; multiplied by
       ``(B) the percentage represented by the amount appropriated 
     for that year, divided by the total amount of adoption 
     incentive payments otherwise payable under this section for 
     the fiscal year.
       ``(e) 2-Year Availability of Incentive Payments.--Payments 
     to a State under this section in a fiscal year shall remain 
     available for use by the State through the end of the 
     succeeding fiscal year.
       ``(f) Limitations on Use of Incentive Payments.--A State 
     shall not expend an amount paid to the State under this 
     section except to provide to children or families any service 
     (including post adoption services) that may be provided under 
     part B or E. Amounts expended by a State in accordance with 
     the preceding sentence shall be disregarded in determining 
     State expenditures for purposes of Federal matching payments 
     under section 474.
       ``(g) Definitions.--As used in this section:
       ``(1) Foster child adoption.--The term `foster child 
     adoption' means the final adoption of a child who, at the 
     time of adoptive placement, was in foster care under the 
     supervision of the State.
       ``(2) Special needs adoption.--The term `special needs 
     adoption' means the final adoption of a child for whom an 
     adoption assistance agreement is in effect under section 473.
       ``(3) Base number of foster child adoptions.--The term 
     `base number of foster child adoptions for a State' means, 
     with respect to a fiscal year, the largest number of foster 
     child adoptions in the State in fiscal year 1997 (or, if 
     later, the first fiscal year for which the State has 
     furnished to the Secretary the data described in subsection 
     (c)(2)) or in any succeeding fiscal year preceding the fiscal 
     year.
       ``(4) Base number of special needs adoptions.--The term 
     `base number of special needs adoptions for a State' means, 
     with respect to a fiscal year, the largest number of special 
     needs adoptions in the State in fiscal year 1997 (or, if 
     later, the first fiscal year for which the State has 
     furnished to the Secretary the data described in subsection 
     (c)(2)) or in any succeeding fiscal year preceding the fiscal 
     year.
       ``(h) Limitations on Authorization of Appropriations.--
       ``(1) In general.--For grants under this section, there are 
     authorized to be appropriated to the Secretary $15,000,000 
     for each of fiscal years 1999 through 2003.
       ``(2) Availability.--Amounts appropriated under paragraph 
     (1) are authorized to remain available until expended, but 
     not after fiscal year 2003.''.

     SEC. 202. PROMOTION OF ADOPTION OF CHILDREN WITH SPECIAL 
                   NEEDS.

       (a) In General.--Section 473(a) of the Social Security Act 
     (42 U.S.C. 673(a)) is amended by striking paragraph (2) and 
     inserting the following:
       ``(2)(A) For purposes of paragraph (1)(B)(ii), a child 
     meets the requirements of this paragraph if such child--
       ``(i) prior to termination of parental rights and the 
     initiation of adoption proceedings was in the care of a 
     public or licensed private child care agency or Indian tribal 
     organization either pursuant to a voluntary placement 
     agreement (provided the child was in care for not more than 
     180 days) or as a result of a judicial determination to the 
     effect that continuation in the home would be contrary to the 
     safety and welfare of such child, or was residing in a foster 
     family home or child care institution with the child's minor 
     parent (either pursuant to such a voluntary placement 
     agreement or as a result of such a judicial determination); 
     and
       ``(ii) has been determined by the State pursuant to 
     subsection (c) to be a child with special needs, which needs 
     shall be considered by the State, together with the 
     circumstances of the adopting parents, in determining the 
     amount of any payments to be made to the adopting parents.
       ``(B) Notwithstanding any other provision of law, and 
     except as provided in paragraph (7), a child who is not a 
     citizen or resident of the United States and who meets the 
     requirements of subparagraph (A) and is otherwise determined 
     to be eligible for the receipt of adoption assistance 
     payments, shall be eligible for adoption assistance payments 
     under this part.
       ``(C) A child who meets the requirements of subparagraph 
     (A) and who is otherwise determined to be eligible for the 
     receipt of adoption assistance payments shall continue to be 
     eligible for such payments in the event that the child's 
     adoptive parent dies or the child's adoption is dissolved, 
     and the child is placed with another family for adoption.''.
       (b) Exception.--Section 473(a) of the Social Security Act 
     (42 U.S.C. 673(a)) is amended by adding at the end the 
     following:
       ``(7)(A) Notwithstanding any other provision of this 
     subsection, no payment may be made to parents with respect to 
     any child that--
       ``(i) would be considered a child with special needs under 
     subsection (c);
       ``(ii) is not a citizen or resident of the United States; 
     and
       ``(iii) was adopted outside of the United States or was 
     brought into the United States for the purpose of being 
     adopted.
       ``(B) Subparagraph (A) shall not be construed as 
     prohibiting payments under this part for a child described in 
     subparagraph (A) that is placed in foster care subsequent to 
     the failure, as determined by the State, of the initial 
     adoption of such child by the parents described in such 
     subparagraph.''.
       (c) Requirement for Use of State Savings.--Section 473(a) 
     of the Social Security Act (42 U.S.C. 673(a)), as amended by 
     subsection (b), is amended by adding at the end the 
     following:
       ``(8) A State shall spend an amount equal to the amount of 
     savings (if any) in State expenditures under this part 
     resulting from the application of paragraph (2) on and after 
     the effective date of the amendment to such paragraph made by 
     section 202(a) of the Promotion of Adoption, Safety, and 
     Support for Abused and Neglected Children (PASS) Act to 
     provide to children or families any service (including post-
     adoption services) that may be provided under this part or 
     part B.''.

     SEC. 203. TECHNICAL ASSISTANCE.

       (a) In General.--The Secretary of Health and Human Services 
     may, directly or through grants or contracts, provide 
     technical assistance to assist States and local communities 
     to reach their targets for increased numbers of adoptions 
     and, to the extent that adoption is not possible, alternative 
     permanent placements, for children in foster care.
       (b) Limitations.--The technical assistance provided under 
     subsection (a) shall support the goal of encouraging more 
     adoptions out of the foster care system, when adoptions 
     promote the best interests of children, and shall include the 
     following:
       (1) The development of best practice guidelines for 
     expediting termination of parental rights.
       (2) Models to encourage the use of concurrent planning.
       (3) The development of specialized units and expertise in 
     moving children toward adoption as a permanency goal.
       (4) The development of risk assessment tools to facilitate 
     early identification of the children who will be at risk of 
     harm if returned home.

[[Page S9649]]

       (5) Models to encourage the fast tracking of children who 
     have not attained 1 year of age into adoptive and pre-
     adoptive placements.
       (6) Development of programs that place children in pre-
     adoptive families without waiting for termination of parental 
     rights.
       (7) Development of programs to recruit adoptive parents.

     SEC. 204. ADOPTIONS ACROSS STATE AND COUNTY JURISDICTIONS.

       (a) Elimination of Geographic Barriers to Interstate 
     Adoption.--Section 471(a) of the Social Security Act (42 
     U.S.C. 671(a)), as amended by section 106, is amended--
       (1) by striking ``and'' at the end of paragraph (21);
       (2) by striking the period at the end of paragraph (22) and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(23) provides that neither the State nor any other entity 
     in the State that receives funds from the Federal Government 
     and is involved in adoption or foster care placements may--
       ``(A) deny to any person the opportunity to become an 
     applicant for custody of a child, licensure as a foster or 
     adoptive parent, or for foster care maintenance payments or 
     adoption assistance payments under this part on the basis of 
     the geographic residence of the person or of the child 
     involved; or
       ``(B) delay or deny the placement of a child for adoption, 
     into foster care, or in the child's original home on the 
     basis of the geographic residence of an adoptive or foster 
     parent or of the child involved.''.
       (b) Study of Interjurisdictional Adoption Issues.--
       (1) In general.--The Secretary of Health and Human Services 
     (in this subsection referred to as the ``Secretary'') shall 
     appoint an advisory panel that shall--
       (A) study and consider how to improve procedures and 
     policies to facilitate the timely and permanent adoptions of 
     children across State and county jurisdictions;
       (B) examine, at a minimum, interjurisdictional adoption 
     issues--
       (i) concerning the recruitment of prospective adoptive 
     families from other States and counties;
       (ii) concerning the procedures to grant reciprocity to 
     prospective adoptive family home studies from other States 
     and counties;
       (iii) arising from a review of the comity and full faith 
     and credit provided to adoption decrees and termination of 
     parental rights orders from other States; and
       (iv) concerning the procedures related to the 
     administration and implementation of the Interstate Compact 
     on the Placement of Children; and
       (C) not later than 12 months after the final appointment to 
     the advisory panel, submit to the Secretary the report 
     described in paragraph (3).
       (2) Composition of advisory panel.--In establishing the 
     advisory panel required under paragraph (1), the Secretary 
     shall appoint members from the general public who are 
     individuals knowledgeable on adoption and foster care issues, 
     and with due consideration to representation of ethnic or 
     racial minorities and diverse geographic areas, and who, at a 
     minimum, include the following:
       (A) Adoptive and foster parents.
       (B) Public and private child welfare agencies that place 
     children in and out of home care.
       (C) Family court judges.
       (D) Adoption attorneys.
       (E) An Administrator of the Interstate Compact on the 
     Placement of Children and an Administrator of the Interstate 
     Compact on Adoption and Medical Assistance.
       (F) A representative cross-section of individuals from 
     other organizations and individuals with expertise or 
     advocacy experience in adoption and foster care issues.
       (3) Contents of report.--The report required under 
     paragraph (1)(C) shall include the results of the study 
     conducted under subparagraphs (A) and (B) of paragraph (1) 
     and recommendations on how to improve procedures to 
     facilitate the interjurisdictional adoption of children, 
     including interstate and intercounty adoptions, so that 
     children will be assured timely and permanent placements.
       (4) Congress.--The Secretary shall submit a copy of the 
     report required under paragraph (1)(C) to the appropriate 
     committees of Congress, and, if relevant, make 
     recommendations for proposed legislation.

     SEC. 205. FACILITATION OF VOLUNTARY MUTUAL REUNIONS BETWEEN 
                   ADOPTED ADULTS AND BIRTH PARENTS AND SIBLINGS.

       The Secretary of Health and Human Services, at no net 
     expense to the Federal Government, may use the facilities of 
     the Department of Health and Human Services to facilitate the 
     voluntary, mutually requested reunion of an adult adopted 
     child who is 21 years of age or older with--
       (1) any birth parent of the adult child; or
       (2) any adult adopted sibling who is 21 years of age or 
     older, of the adult child,

     if all such persons involved in any such reunion have, on 
     their own initiative, expressed a desire for a reunion and 
     agree to keep confidential the name and location of the other 
     birth parent of the adult adopted child and any other adult 
     adopted sibling of the adult adopted child.

     SEC. 206. ANNUAL REPORT ON STATE PERFORMANCE IN PROTECTING 
                   CHILDREN.

       (a) In General.--Part E of title IV of the Social Security 
     Act (42 U.S.C. 670 et seq.) is amended by adding at the end 
     the following:

     ``SEC. 479A. ANNUAL REPORT.

       ``(a) In General.--The Secretary shall issue an annual 
     report containing ratings of the performance of each State in 
     protecting children who are placed in foster care, for 
     adoption, or with a relative or guardian. The report shall 
     include ratings on outcome measures for categories related to 
     safety and permanence for children.
       ``(b) Outcome Measures.--
       ``(1) In general.--The Secretary shall develop a set of 
     outcome measures to be used in preparing the report.
       ``(2) Categories.--In developing the outcome measures, the 
     Secretary shall develop measures that can track performance 
     over time for the following categories:
       ``(A) The number of children placed annually for adoption, 
     the number of placements of children with special needs, and 
     the number of children placed permanently in a foster family 
     home, with a relative, or with a guardian who is not a 
     relative.
       ``(B) The number of children, including those with parental 
     rights terminated, that annually leave foster care at the age 
     of majority without having been adopted or placed with a 
     guardian.
       ``(C) The median and mean length of stay of children in 
     foster care, for children with parental rights terminated, 
     and children for whom parental rights are retained by the 
     biological or adoptive parent.
       ``(D) The median and mean length of time between a child 
     having a plan of adoption and termination of parental rights, 
     between the availability of a child for adoption and the 
     placement of the child in an adoptive family, and between the 
     placement of the child in such a family and the finalization 
     of the adoption.
       ``(E) The number of deaths of children in foster care and 
     other out-of-home care, including kinship care, resulting 
     from substantiated child abuse and neglect.
       ``(F) The specific steps taken by the State to facilitate 
     permanence for children.
       ``(3) Measures.--In developing the outcome measures, the 
     Secretary shall use data from the Adoption and Foster Care 
     Analysis and Reporting System established under section 479 
     to the maximum extent possible.
       ``(c) Rating System.--The Secretary shall develop a system 
     (including using State census data and poverty rates) to rate 
     the performance of each State based on the outcome measures.
       ``(d) Information.--In order to receive funds under this 
     part, a State shall annually provide to the Secretary such 
     adoption, foster care, and guardianship information as the 
     Secretary may determine to be necessary to issue the report 
     for the State.
       ``(e) Preparation and Issuance.--On October 1, 1998, and 
     annually thereafter, the Secretary shall prepare, submit to 
     Congress, and issue to the States the report described in 
     subsection (a). Each report shall rate the performance of a 
     State on each outcome measure developed under subsection (b), 
     include an explanation of the rating system developed under 
     subsection (c) and the way in which scores are determined 
     under the rating system, analyze high and low performances 
     for the State, and make recommendations to the State for 
     improvement.''.
       (b) Conforming Amendments.--Section 471(a) of the Social 
     Security Act (42 U.S.C. 671(a)), as amended by section 
     204(a), is amended--
       (1) in paragraph (22), by striking ``and'' at the end;
       (2) in paragraph (23), by striking the period and inserting 
     ``; and''; and
       (3) by adding at the end the following:
       ``(24) provides that the State shall annually provide to 
     the Secretary the information required under section 479A.''.
             TITLE III--ADDITIONAL IMPROVEMENTS AND REFORMS

     SEC. 301. EXPANSION OF CHILD WELFARE DEMONSTRATION PROJECTS.

       Section 1130(a) of the Social Security Act (42 U.S.C. 
     1320a-9(a)) is amended by striking ``10'' and inserting 
     ``15''.

     SEC. 302. PERMANENCY PLANNING HEARINGS.

       Section 475(5)(C) of the Social Security Act (42 U.S.C. 
     675(5)(C)) is amended--
       (1) by striking ``dispositional'' and inserting 
     ``permanency planning'';
       (2) by striking ``no later than'' and all that follows 
     through ``12 months'' and inserting ``not later than 12 
     months after the original placement (and not less frequently 
     than every 6 months''; and
       (3) by striking ``future status of'' and all that follows 
     through ``long term basis)'' and inserting ``permanency plans 
     for the child (including whether and, if applicable, when, 
     the child will be returned to the parent, referred for 
     termination of parental rights, placed for adoption, or 
     referred for legal guardianship, or other planned permanent 
     living arrangement)''.

     SEC. 303. KINSHIP CARE.

       (a) Report.--
       (1) In general.--The Secretary of Health and Human Services 
     shall--
       (A) not later than March 1, 1998, convene the advisory 
     panel provided for in subsection (b)(1) and prepare and 
     submit to the advisory panel an initial report on the extent 
     to which children in foster care are placed in the care of a 
     relative (in this section referred to as ``kinship care''); 
     and
       (B) not later than November 1, 1998, submit to the 
     Committee on Ways and Means of the House of Representatives 
     and the Committee on Finance of the Senate a final report on 
     the matter described in subparagraph (A), which shall--
       (i) be based on the comments submitted by the advisory 
     panel pursuant to subsection

[[Page S9650]]

     (b)(2) and other information and considerations; and
       (ii) include the policy recommendations of the Secretary 
     with respect to the matter.
       (2) Required contents.--Each report required by paragraph 
     (1) shall--
       (A) include, to the extent available for each State, 
     information on--
       (i) the policy of the State regarding kinship care;
       (ii) the characteristics of the kinship care providers 
     (including age, income, ethnicity, and race);
       (iii) the characteristics of the household of such 
     providers (such as number of other persons in the household 
     and family composition);
       (iv) how much access to the child is afforded to the parent 
     from whom the child has been removed;
       (v) the cost of, and source of funds for, kinship care 
     (including any subsidies such as medicaid and cash 
     assistance);
       (vi) the goal for a permanent living arrangement for the 
     child and the actions being taken by the State to achieve the 
     goal;
       (vii) the services being provided to the parent from whom 
     the child has been removed; and
       (viii) the services being provided to the kinship care 
     provider; and
       (B) specifically note the circumstances or conditions under 
     which children enter kinship care.
       (b) Advisory Panel Review.--
       (1) In general.--The advisory board on child abuse and 
     neglect established under section 102 of the Child Abuse 
     Prevention and Treatment Act (42 U.S.C. 5102), or, if on the 
     date of enactment of this Act such advisory board does not 
     exist, the advisory panel authorized under paragraph (2), 
     shall review the report prepared pursuant to subsection (a) 
     and submit to the Secretary comments on the report not later 
     than July 1, 1998.
       (2) Authorization for appointments.--Subject to paragraph 
     (1), the Secretary of Health and Human Services, in 
     consultation with the Chairman of the Committee on Ways and 
     Means of the House of Representatives and the Chairman of the 
     Committee on Finance of the Senate, may appoint an advisory 
     board for the purpose of reviewing and commenting on the 
     report prepared pursuant to subsection (a). Such advisory 
     board shall include parents, foster parents, former foster 
     children, State and local public officials responsible for 
     administering child welfare programs, private persons 
     involved in the delivery of child welfare services, 
     representatives of tribal governments and tribal courts, 
     judges, and academic experts.

     SEC. 304. STANDBY GUARDIANSHIP.

       It is the sense of Congress that the States should have in 
     effect laws and procedures that permit any parent who is 
     chronically ill or near death, without surrendering parental 
     rights, to designate a standby guardian for the parent's 
     minor children, whose authority would take effect upon--
       (1) the death of the parent;
       (2) the mental incapacity of the parent; or
       (3) the physical debilitation and consent of the parent.

     SEC. 305. CLARIFICATION OF ELIGIBLE POPULATION FOR 
                   INDEPENDENT LIVING SERVICES.

       Section 477(a)(2)(A) of the Social Security Act (42 U.S.C. 
     677(a)(2)(A)) is amended by inserting ``(including children 
     with respect to whom such payments are no longer being made 
     because the child has accumulated assets, not to exceed 
     $5,000, which are otherwise regarded as resources for 
     purposes of determining eligibility for benefits under this 
     part)'' before the comma.

     SEC. 306. COORDINATION AND COLLABORATION OF SUBSTANCE ABUSE 
                   TREATMENT AND CHILD PROTECTION SERVICES.

       (a) Study and Report on Sources of Support for Substance 
     Abuse Prevention and Treatment for Parents and Children and 
     Collaboration Among State Agencies.--
       (1) Study.--Not later than 12 months after the date of the 
     enactment of this Act, the Comptroller General of the United 
     States shall--
       (A) prepare an inventory of all Federal and State programs 
     that may provide funds for substance abuse prevention and 
     treatment services for families receiving services directly 
     or through grants or contracts from public child welfare 
     agencies; and
       (B) examine--
       (i) the availability and results of joint prevention and 
     treatment activities conducted by State substance abuse 
     prevention and treatment agencies and State child welfare 
     agencies; and
       (ii) how such agencies (jointly or separately) are 
     responding to and addressing the needs of infants who are 
     exposed to substance abuse.
       (2) Report to congress.--Not later than 18 months after the 
     date of enactment of this Act, the Comptroller General of the 
     United States shall submit to the appropriate committees of 
     Congress a report on the study conducted under paragraph (1). 
     Such report shall include--
       (A) a description of the extent to which clients of child 
     welfare agencies have substance abuse treatment needs, the 
     nature of those needs, and the extent to which those needs 
     are being met;
       (B) a description of the barriers that prevent the 
     substance abuse treatment needs of clients of child welfare 
     agencies from being treated appropriately;
       (C) a description of the collaborative activities of State 
     child welfare and substance abuse prevention and treatment 
     agencies to jointly assess clients' needs, fund substance 
     abuse prevention and treatment, train and consult with staff, 
     and evaluate the effectiveness of programs serving clients in 
     both agencies' caseloads;
       (D) a summary of the available data on the treatment and 
     cost-effectiveness of substance abuse treatment services for 
     clients of child welfare agencies; and
       (E) recommendations, including recommendations for Federal 
     legislation, for addressing the needs and barriers, as 
     described in subparagraphs (A) and (B), and for promoting 
     further collaboration of the State child welfare and 
     substance abuse prevention and treatment agencies in meeting 
     the substance abuse treatment needs of families.
       (b) Priority in Providing Substance Abuse Treatment.--
     Section 1927 of the Public Health Service Act (42 U.S.C. 
     300x-27) is amended--
       (1) in the heading, by inserting ``AND CARETAKER PARENTS'' 
     after ``WOMEN''; and
       (2) in subsection (a)--
       (A) in paragraph (1)--
       (i) by inserting ``all caretaker parents who are referred 
     for treatment by the State or local child welfare agency and 
     who'' after ``referred for and''; and
       (ii) by striking ``is given'' and inserting ``are given''; 
     and
       (B) in paragraph (2)--
       (i) by striking ``such women'' and inserting ``such 
     pregnant women and caretaker parents''; and
       (ii) by striking ``the women'' and inserting ``the pregnant 
     women and caretaker parents''.
       (c) Foster Care Payments for Children With Parents in 
     Residential Facilities.--Section 472(b) of the Social 
     Security Act (42 U.S.C. 672(b)) is amended--
       (1) in paragraph (1), by striking ``or'' at the end;
       (2) in paragraph (2), by striking the period and inserting 
     ``, or''; and
       (3) by adding at the end the following:
       ``(3) placed with the child's parent in a residential 
     program that provides treatment and other necessary services 
     for parents and children, including parenting services, 
     when--
       ``(A) the parent is attempting to overcome--
       ``(i) a substance abuse problem and is complying with an 
     approved treatment plan;
       ``(ii) being a victim of domestic violence;
       ``(iii) homelessness;
       ``(iv) special needs resulting from being a teenage parent; 
     or
       ``(v) post-partum depression;
       ``(B) the safety of the child can be assured;
       ``(C) the range of services provided by the program is 
     designed to appropriately address the needs of the parent and 
     child;
       ``(D) the goal of the case plan for the child is to try to 
     reunify the child with the family within a specified period 
     of time;
       ``(E) the parent described in subparagraph (A)(i) has not 
     previously been treated in a residential program serving 
     parents and their children together; and
       ``(F) the amount of foster care maintenance payments made 
     to the residential program on behalf of such child do not 
     exceed the amount of such payments that would otherwise be 
     made on behalf of the child.''.

     SEC. 307. REAUTHORIZATION AND EXPANSION OF FAMILY 
                   PRESERVATION AND SUPPORT SERVICES.

       (a) Reauthorization of Family Preservation and Support 
     Services.--
       (1) In general.--Section 430(b) of the Social Security Act 
     (42 U.S.C. 629(b)) is amended--
       (A) in paragraph (4), by striking ``or'' at the end;
       (B) in paragraph (5), by striking the period and inserting 
     a semicolon; and
       (C) by adding at the end the following:
       ``(6) for fiscal year 1999, $275,000,000;
       ``(7) for fiscal year 2000, $295,000,000;
       ``(8) for fiscal year 2001, $315,000,000;
       ``(9) for fiscal year 2002, $335,000,000; and
       ``(10) for fiscal year 2003, $355,000,000.''.
       (2) Conforming amendment.--Section 430(d)(1) of the Social 
     Security Act (42 U.S.C. 630(d)(1)) is amended by striking 
     ``and 1998'' and inserting ``1998, 1999, 2000, 2001, 2002, 
     and 2003''.
       (b) Expansion for Time-Limited Family Reunification 
     Services.--
       (1) Addition to state plan; minimum spending requirement.--
     Section 432 of the Social Security Act (42 U.S.C. 629b) is 
     amended--
       (A) in subsection (a)--
       (i) in paragraph (4), by striking ``and community-based 
     family support services with significant portions'' and 
     inserting ``, community-based family support services, and 
     time-limited family reunification services, with not less 
     than 25 percent''; and
       (ii) in paragraph (5)(A), by striking ``and community-based 
     family support services'' and inserting ``, community-based 
     family support services, and time-limited family 
     reunification services''; and
       (B) in subsection (b)(1), by striking ``and family 
     support'' and inserting ``, family support, and family 
     reunification services''.
       (2) Definition of time-limited family reunification 
     services.--Section 431(a) of the Social Security Act (42 
     U.S.C. 631(a)) is amended--
       (A) by redesignating paragraphs (5) and (6) as paragraphs 
     (6) and (7), respectively; and

[[Page S9651]]

       (B) by inserting after paragraph (4) the following:
       ``(5) Time-limited family reunification services.--
       ``(A) In general.--The term `time-limited family 
     reunification services' means the services and activities 
     described in subparagraph (B) that are provided to a child 
     that is removed from the child's home and placed in a foster 
     family home or a child care institution and to the parents or 
     primary caregiver of such a child, in order to facilitate the 
     reunification of the child safely and appropriately within a 
     timely fashion, but only during the 1-year period that begins 
     on the date that the child is removed from the child's home.
       ``(B) Services and activities described.--The services and 
     activities described in this subparagraph are the following:
       ``(i) Individual, group, and family counseling.
       ``(ii) Inpatient, residential, or outpatient substance 
     abuse treatment services.
       ``(iii) Mental health services.
       ``(iv) Assistance to address domestic violence.
       ``(v) Transportation to or from any of the services and 
     activities described in this subparagraph.''.
       (3) Additional conforming amendments.--
       (A) Purposes.--Section 430(a) of the Social Security Act 
     (42 U.S.C. 629(a)) is amended by striking ``and community-
     based family support services'' and inserting ``, community-
     based family support services, and time-limited family 
     reunification services''.
       (B) Evaluations.--Subparagraphs (B) and (C) of section 
     435(a)(2) of the Social Security Act (42 U.S.C. 629d(a)(2)) 
     are each amended by striking ``and family support'' each 
     place it appears and inserting ``, family support, and family 
     reunification''.

     SEC. 308. INNOVATION GRANTS TO REDUCE BACKLOGS OF CHILDREN 
                   AWAITING ADOPTION AND FOR OTHER PURPOSES.

       Part E of title IV of the Social Security Act (42 U.S.C. 
     670 et seq.) is amended by inserting after section 477, the 
     following:

     ``SEC. 478. INNOVATION GRANTS.

       ``(a) Authority To Make Grants.--The Secretary may make 
     grants, in amounts determined by the Secretary, to States 
     with approved applications described in subsection (c), for 
     the purpose of carrying out the innovation projects described 
     in subsection (b).
       ``(b) Innovation Projects Described.--The innovation 
     projects described in this subsection are projects that are 
     designed to achieve 1 or more of the following goals:
       ``(1) Reducing a backlog of children in long-term foster 
     care or awaiting adoption placement.
       ``(2) Ensuring, not later than 1 year after a child enters 
     foster care, a permanent placement for the child.
       ``(3) Identifying and addressing barriers that result in 
     delays to permanent placements for children in foster care, 
     including inadequate representation of child welfare agencies 
     in termination of parental rights and adoption proceedings, 
     and other barriers to termination of parental rights.
       ``(4) Implementing or expanding community-based permanency 
     initiatives, particularly in communities where families 
     reflect the ethnic and racial diversity of children in the 
     State for whom foster and adoptive homes are needed.
       ``(5) Developing and implementing community-based child 
     protection activities that involve partnerships among State 
     and local governments, multiple child-serving agencies, the 
     schools, and community leaders in an attempt to keep children 
     free from abuse and neglect.
       ``(6) Establishing new partnerships with businesses and 
     religious organizations to promote safety and permanence for 
     children.
       ``(7) Assisting in the development and implementation of 
     the State guidelines described in section 471(a)(10).
       ``(8) Developing new staffing approaches to allow the 
     resources of several States to be used to conduct 
     recruitment, placement, adoption, and post-adoption services 
     on a regional basis.
       ``(9) Any other goal that the Secretary specifies by 
     regulation.
       ``(c) Application.--An application for a grant under this 
     section may be submitted for fiscal year 1998 or 1999 and 
     shall contain--
       ``(1) a plan, in such form and manner as the Secretary may 
     prescribe, for an innovation project described in subsection 
     (b) that will be implemented by the State for a period of not 
     more than 5 consecutive fiscal years, beginning with fiscal 
     year 1998 or 1999, as applicable;
       ``(2) an assurance that no waivers from provisions in law, 
     as in effect at the time of the submission of the 
     application, are required to implement the innovation 
     project; and
       ``(3) such other information as the Secretary may require 
     by regulation.
       ``(d) Duration.--An innovation project approved under this 
     section shall be conducted for not more than 5 consecutive 
     fiscal years, except that the Secretary may terminate a 
     project before the end of the period originally approved if 
     the Secretary determines that the State conducting the 
     project is not in compliance with the terms of the plan and 
     application approved by the Secretary under this section.
       ``(e) Matching Requirement.--A State shall not receive a 
     grant under this section unless, for each year for which a 
     grant is awarded, the State agrees to match the grant with $1 
     for every $3 received.
       ``(f) Nonsupplanting.--Any funds received by a State under 
     a grant made under this section shall supplement but not 
     replace any other funds that may be available for the same 
     purpose in the localities involved.
       ``(g) Evaluations and Reports.--
       ``(1) State evaluations.--Each State administering an 
     innovation project under this section shall--
       ``(A) provide for ongoing and retrospective evaluation of 
     the project, meeting such conditions and standards as the 
     Secretary may require; and
       ``(B) submit to the Secretary such reports, at such times, 
     in such format, and containing such information as the 
     Secretary may require.
       ``(2) Reports to congress.--The Secretary shall, on the 
     basis of reports received from States administering projects 
     under this section, submit interim reports, and, not later 
     than 6 months after the conclusion of all projects 
     administered under this section, a final report to Congress. 
     A report submitted under this subparagraph shall contain an 
     assessment of the effectiveness of the State projects 
     administered under this section and any recommendations for 
     legislative action that the Secretary considers appropriate.
       ``(h) Regulations.--Not later than 60 days after the date 
     of enactment of this section, the Secretary shall promulgate 
     final regulations for implementing this section.
       ``(i) Authorization of Appropriations.--There is authorized 
     to be appropriated to make grants under this section not more 
     than $50,000,000 for each of fiscal years 1998 through 
     2003.''.
                        TITLE IV--MISCELLANEOUS

     SEC. 401. PRESERVATION OF REASONABLE PARENTING.

       Nothing in this Act is intended to disrupt the family 
     unnecessarily or to intrude inappropriately into family life, 
     to prohibit the use of reasonable methods of parental 
     discipline, or to prescribe a particular method of parenting.

     SEC. 402. REPORTING REQUIREMENTS.

       Any information required to be reported under this Act 
     shall be supplied to the Secretary of Health and Human 
     Services through data meeting the requirements of the 
     Adoption and Foster Care Analysis and Reporting System 
     established pursuant to section 479 of the Social Security 
     Act (42 U.S.C. 679), to the extent such data is available 
     under that system. The Secretary shall make such 
     modifications to regulations issued under section 479 of such 
     Act with respect to the Adoption and Foster Care Analysis and 
     Reporting System as may be necessary to allow States to 
     obtain data that meets the requirements of such system in 
     order to satisfy the reporting requirements of this Act.

     SEC. 403. REPORT ON FIDUCIARY OBLIGATIONS OF STATE AGENCIES 
                   RECEIVING SSI PAYMENTS.

       Not later than 12 months after the date of enactment of 
     this Act, the Commissioner of Social Security shall submit a 
     report to the Committee on Ways and Means of the House of 
     Representatives and the Committee on Finance of the Senate 
     concerning State or local child welfare service agencies that 
     act as representative payees on behalf of children under the 
     care of such agencies for purposes of receiving supplemental 
     security income payments under title XVI of the Social 
     Security Act (42 U.S.C. 1381 et seq.) (including 
     supplementary payments pursuant to an agreement for Federal 
     administration under section 1616(a) of the Social Security 
     Act and payments pursuant to an agreement entered into under 
     section 212(b) of Public Law 93-66) for the benefit of such 
     children. Such report shall include an examination of the 
     extent to which such agencies--
       (1) have complied with the fiduciary responsibilities 
     attendant to acting as a representative payee under title XVI 
     of such Act; and
       (2) have received supplemental security income payments on 
     behalf of children that the agencies cannot identify or 
     locate, and if so, the disposition of such payments.

     SEC. 404. ALLOCATION OF ADMINISTRATIVE COSTS OF DETERMINING 
                   ELIGIBILITY FOR MEDICAID AND TANF.

       (a) Medicaid.--Section 1903 of the Social Security Act (42 
     U.S.C. 1396b) is amended--
       (1) in subsection (a)(7), by striking ``section 
     1919(g)(3)(B)'' and inserting ``subsection (x) and section 
     1919(g)(3)(C)''; and
       (2) by adding at the end the following:
       ``(x)(1) Notwithstanding any other provision of law, for 
     purposes of determining the amount to be paid to a State 
     under subsection (a)(7) for quarters in any fiscal year, 
     beginning with fiscal year 1997, amounts expended for the 
     proper and efficient administration of the State plan under 
     this title (including under any waiver of such plan) shall 
     not include common costs related to determining the 
     eligibility under such State plan (or waiver) of individuals 
     in a household applying for or receiving benefits under the 
     State program under part A of title IV unless the State 
     elects the option described in paragraph (2).
       ``(2) A State that meets the requirements of paragraph (3) 
     may elect to allocate equally between the State program under 
     part A of title IV and the State plan under this title 
     (including any waiver of such plan) the administrative costs 
     associated with such programs that are incurred in serving 
     households and individuals eligible or applying for benefits 
     under the State program under part A of title IV and under 
     the State plan (or under a waiver of such plan) under this 
     title.

[[Page S9652]]

       ``(3) A State meets the requirements of this paragraph if 
     the Secretary determines that--
       ``(A) the State conforms the eligibility rules and 
     procedures of, and integrates the administration of the 
     eligibility procedures of, the State program funded under 
     part A of title IV and the State plan under this title 
     (including any waiver of such plan); and
       ``(B) the State uses the same application form for 
     assistance described in section 1931(e).''.
       (b) TANF.--
       (1) In general.--Section 408(a) of the Social Security Act 
     (42 U.S.C. 608(a)) is amended by adding at the end the 
     following:
       ``(12) Designation of grants under this part in allocating 
     administrative costs.--Subject to section 1903(x), a State to 
     which a grant is made under section 403 shall designate the 
     program funded under this part as the primary program for the 
     purpose of allocating common administrative costs incurred in 
     serving households eligible or applying for benefits under 
     such program and any other Federal means-tested public 
     benefit program administered by the State.''.
       (2) Effective date.--The amendment made by paragraph (1) to 
     section 408 of the Social Security Act (42 U.S.C. 608) shall 
     take effect as if included in the enactment of section 103(a) 
     of the Personal Responsibility and Work Opportunity 
     Reconciliation Act of 1996 (Public Law 104-193; 110 Stat. 
     2112).
                        TITLE V--EFFECTIVE DATE

     SEC. 501. EFFECTIVE DATE.

       (a) In General.--Except as otherwise provided in this Act, 
     the amendments made by this Act shall take effect on October 
     1, 1997.
       (b) Delay Permitted if State Legislation Required.--In the 
     case of a State plan under part B or E of title IV of the 
     Social Security Act which the Secretary of Health and Human 
     Services determines requires State legislation (other than 
     legislation appropriating funds) in order for the plan to 
     meet the additional requirements imposed by the amendments 
     made by this Act, the State plan shall not be regarded as 
     failing to comply with the requirements of such part solely 
     on the basis of the failure of the plan to meet such 
     additional requirements before 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.

  Mr. CRAIG. Mr. President, I am pleased to join my distinguished 
colleagues in introducing PASS, the Promotion of Adoption, Safety and 
Support for Abused and Neglected Children Act.
  Foster care was never intended to be anything more than a temporary 
refuge for children from troubled families. Yet all too often, 
``temporary'' becomes ``permanent,'' and decisions made for children in 
the system are driven by considerations other than the child's own 
well-being. Tragically, it's the children who ultimately pay for the 
flaws in the system--sometimes with their very lives.
  The problem does not lie with the vast majority of foster parents, 
relatives, and caseworkers who work valiantly to provide the care 
needed by these children. Rather, the problem is the system itself, and 
incentives built into it, that frustrate the goal of moving children to 
permanent, safe, loving homes.
  PASS will fundamentally shift the foster care paradigm, without 
destroying what is good and necessary in the system. For the first 
time, a child's health and safety will have to be the paramount 
concerns in any decisions made by the State. for the first time, 
efforts to find an adoptive or other permanent home will not only be 
required but documented and rewarded. For the first time, steps will 
have to be taken to free a child for adoption or other permanent 
placement if the child has been languishing in foster care for a year 
or more.
  These are only some of the many critical reforms in Pass, designed to 
promote adoption, ensure the safety of abused and neglected children, 
accelerate permanent placement, and fix flaws in the system. The 
package, taken as a whole, will make an enormous difference in the 
lives of thousands of children.
  This comprehensive bill is the product of extensive discussion and 
negotiation among Senators representing a veritable universe of 
viewpoints on adoption and foster care reform. Although we may have 
come to the table from different perspectives, we agreed on a 
fundamental principle: that reforms are needed to ensure that a child's 
health, safety and permanency are paramount concerns of the foster care 
system. In the end, on behalf of the children, we came together and 
resolved our differences. PASS is the result, and I commend it to all 
our colleagues.
  Change is needed now; every day of delay is an eternity to a child 
unfairly bearing the burdens of the current system. I hope every 
Senator will take a careful look at PASS, and work with us to achieve 
true reforms in this area.
  Mr. ROCKEFELLER. Mr. President, abused and neglected children are 
among the most vulnerable and poorly protected members of American 
society. Too many of these children are left to wander aimlessly 
through the foster care system--a system which, from the outset, was 
never designed or intended to be a permanent home. We can no longer 
continue to sentence these foster children to endless waits--a legal 
limbo in which they no longer feel welcome in their biological families 
but are unable to be adopted into new and loving homes. Despite the 
thousands of dedicated foster parents and child welfare workers who 
strive daily to effectively address the many needs of abused and 
neglected children in an overloaded system, we know that nothing can 
replace a permanent and loving home made by adults who can be counted 
on without condition or limitation.
  Acknowledging our collective obligation to allow no child to fall 
between the cracks, I am proud to join together with Senator John 
Chafee and my other colleagues in a truly extraordinary bipartisan 
effort to introduce the Promotion of Adoption Safety and Support for 
Abused and Neglected Children Act [PASS]. Under Senator Chafee's 
committed leadership on children's issues, this bipartisan group has 
worked extremely hard to forge an effective compromise--a compromise 
which offers concrete, practical strategies to provide permanency in 
lives of foster children and to ensure that health and safety are built 
into every level of America's abuse and neglect system. Central to this 
entire effort was also Senator Larry Craig, who brought focus and 
determination to the sometimes difficult bipartisan negotiations. I 
would like to take this opportunity to extend my most sincere thanks to 
my other colleagues, Senators Jeffords, DeWine, Coats, Bond, Landrieu, 
and Levin for making possible this outstanding example of bipartisan 
teamwork.
  The Promotion of Adoption Safety and Support for Abused and Neglected 
Children Act will fundamentally shift the focus of the foster care 
system by insisting that a child's health, safety, and opportunity to 
find a permanent home should be the paramount concern when a State 
makes any decision concerning the well-being of abused and neglected 
children. As a comprehensive package based on bipartisan consensus, 
PASS will accelerate and improve the response to these concerns, 
promote safe adoptions, and restore safety and permanency to the lives 
of abused and neglected children.
  The main objective of this bill is to move abused and neglected 
children into adoptive or other permanent homes and to do so more 
quickly and more safely than ever before. Right now, many foster care 
children are forced to wait years before being adopted--even in cases 
where loving families are ready and willing to adopt them. Some 
children lose their chance for adoption altogether. While PASS 
preserves the requirement to reunify families where appropriate, it 
does not require States to use reasonable efforts to reunify families 
that have been irreparably broken by abandonment, torture, physical 
abuse, sexual abuse, murder, manslaughter, and sexual assault. The PASS 
Act maintains the delicate balance in protecting the rights of parents 
and families while placing primary focus where it should be: on the 
health and safety of child.
  PASS encourages adoptions by rewarding States financial incentives 
for facilitating adoption for all foster children--especially those 
with special needs which, sadly, make them more difficult to place. For 
those situations where children cannot go home again, PASS requires 
States to use reasonable efforts to place them into safe adoptive homes 
or into the permanent care of loving relatives. In addition, PASS cuts 
by one-third the time that an abused and neglected child must wait in 
order to be placed in such adoptive homes. In response to a candid and 
focused look at today's foster care crisis,

[[Page S9653]]

the bill also seeks to rescue children from the legal limbo of the 
current system by requiring States to take the necessary legal steps to 
free for adoption those children who have been forced to linger in the 
system for a year or more. PASS also prevents further abuse of children 
in the foster care system by requiring criminal records checks for all 
foster and adoptive parents. PASS is about helping the individual child 
but, equally as importantly, fixing the system.
  It is always the right time to focus on the needs of children--
especially those unfortunate enough to find themselves in the sometimes 
dysfunctional labyrinth of the abuse and neglect system. Unfortunately, 
however, reform has never been more necessary. President Clinton's 
``Adoption 2002 Report'' found that there are currently half a million 
children in temporary foster care placements. One hundred thousand of 
those children should be adopted, but less than half of that number are 
legally eligible to become part of an adoptive family. In my home State 
of West Virginia alone, referrals to Child Protective Services are 
expected to rise to an all-time high of 17,000 this year. Foster care 
placements have jumped from 2,900 children in January 1996 to 3,113 
children in January 1997. These staggering figures reveal a foster care 
crisis of unprecedented proportions.
  PASS is the first step in a vital, ongoing effort to put children at 
the very top of our national agenda. It is time that we provide all 
children with their most profound wish: to live in a safe and loving 
home with caretakers who treat them with respect and dignity. If we are 
unable to address this most fundamental need, these children will not 
be able to grow, learn, and provide a secure place for their own 
families. It is unthinkable to deny abused and neglected children such 
vital opportunities.
  Mr. BOND. Mr. President, there may not be many things in life on 
which there is a consensus but I think we all can agree on the vital 
importance of ensuring the safety of abused and neglected children and 
moving them out of the foster care system more rapidly and into 
permanent homes. I am proud to join with my colleagues in this 
bipartisan effort to develop the new, consensus legislation called the 
Promotion of Adoption, Safety, and Support for Abused and Neglected 
Children [PASS] Act.
  The reality is that all too often children simply languish in the 
foster care system. Nationwide, there are more than 500,000 children in 
foster care. In Missouri, there are 10,361 children in the foster care 
system. Since 1975, the number of reported incidents of abuse and 
neglect has increased from less than 10,000 to 52,964 in 1995, an all-
time high and frightening statistic.
  Federal law has hindered State child welfare agencies from moving 
more quickly to place children who are in foster care because of abuse 
and neglect into permanent homes.
  The PASS Act will provide incentives to increase adoptions and reduce 
by one third the amount of time a child lingers in foster care waiting 
for a permanency plan, with a review required every six months so that 
foster care is truly viewed as a temporary care system for our most 
vulnerable children.
  The bill clarifies ``reasonable efforts'' and establishes a federal 
standard so that the health and safety of the child is the primary 
concern, above family reunification interest. There are some parents 
for whom reunification with their children is not reasonable--certainly 
sustained abuse or neglect or danger of physical harm would fit that 
category. In those cases, we need to move swiftly to get the children 
out of harm's way and then quickly to get them into permanent homes.
  Just count the number of cases of child abuse and neglect that has 
been reported over the past few months. One too many! A little, five-
year old Kansas City girl named Angel Hart was beaten and drowned to 
death by her mother's boyfriend because she could not recite the 
alphabet.
  Under the PASS Act, States are encouraged to enact laws that would 
make it easier to terminate parental rights in abusive cases and 
prevent abused and neglected children from returning to homes in which 
their health and safety are at risk. In addition, this legislation 
promotes adoption of all special needs children and ensures health 
coverage for special needs children who are adopted.
  I am very optimistic that Congress will move this bill forward this 
year. There are far too many innocent lives at stake and no child 
should be denied a loving home. Unfortunately, for thousands of kids 
now caught in permanent limbo in the foster care system, that is 
exactly what is happening. The PASS Act will improve child safety and 
permanency, enabling some children to return home safely and others to 
move to adoptive families more quickly.
                                 ______