[House Report 106-424]
[From the U.S. Government Publishing Office]
106th Congress Rept. 106-424
HOUSE OF REPRESENTATIVES
1st Session Part 1
======================================================================
FATHERS COUNT ACT OF 1999
_______
October 28, 1999.--Ordered to be printed
_______
Mr. Archer, from the Committee on Ways and Means, submitted the
following
R E P O R T
[To accompany H.R. 3073]
[Including cost estimate of the Congressional Budget Office]
The Committee on Ways and Means, to whom was referred the
bill (H.R. 3073) to amend part A of title IV of the Social
Security Act to provide for grants for projects designed to
promote responsible fatherhood, and for other purposes, having
considered the same, reports favorably thereon with an
amendment and recommends that the bill as amended do pass.
CONTENTS
Page
I. Introduction.....................................................18
A. Purpose and Summary................................... 18
B. Background and Need for Legislation................... 18
C. Legislative History................................... 20
II. Explanation of Provisions........................................20
III.Vote of The Committee............................................50
IV. Budget Effects of The Bill.......................................50
A. Committee Estimate of Budgetary Effects............... 50
B. Statement Regarding New Budget Authority And Tax
Expenditures......................................... 50
C. Cost Estimate Prepared by The Congressional Budget
Office............................................... 50
V. Other Matters Required to Be Discussed Under The Rules of The Hou59
A. Committee Oversight Findings And Recommendations...... 59
B. Summary of Findings And Recommendations of The
Government Reform And Oversight Committee............ 59
C. Constitutional Authority Statement.................... 60
VI. Changes in Existing Laws Made by The Bill, as Reported...........60
The amendment is as follows:
Strike out all after the enacting clause and insert in lieu
thereof the following:
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Fathers Count Act of
1999''.
(b) Table of Contents.--The table of contents of this Act is as
follows:
Sec. 1. Short title; table of contents.
TITLE I--FATHERHOOD GRANT PROGRAM
Sec. 101. Fatherhood grants.
TITLE II--FATHERHOOD PROJECTS OF NATIONAL SIGNIFICANCE
Sec. 201. Fatherhood projects of national significance.
TITLE III--WELFARE-TO-WORK PROGRAM ELIGIBILITY
Sec. 301. Flexibility in eligibility for participation in welfare-to-
work program.
Sec. 302. Limited vocational educational training included as allowable
activity.
Sec. 303. Certain grantees authorized to provide employment services
directly.
Sec. 304. Simplification and coordination of reporting requirements.
Sec. 305. Use of State information to aid administration of welfare-to-
work formula grant funds.
TITLE IV--ALTERNATIVE PENALTY PROCEDURE RELATING TO STATE DISBURSEMENT
UNITS
Sec. 401. Alternative penalty procedure relating to State disbursement
units.
TITLE V--FINANCING PROVISIONS
Sec. 501. Use of new hire information to assist in collection of
defaulted student loans and grants.
Sec. 502. Elimination of set-aside of portion of welfare-to-work funds
for successful performance bonus.
TITLE VI--MISCELLANEOUS
Sec. 601. Change dates for evaluation.
Sec. 602. Report on undistributed child support payments.
Sec. 603. Sense of the Congress.
Sec. 604. Additional funding for welfare evaluation study.
Sec. 605. Training in child abuse and neglect proceedings.
Sec. 606. Use of new hire information to assist in administration of
unemployment compensation programs.
Sec. 607. Immigration provisions.
TITLE I--FATHERHOOD GRANT PROGRAM
SEC. 101. FATHERHOOD GRANTS.
(a) In General.--Part A of title IV of the Social Security Act (42
U.S.C. 601-679b) is amended by inserting after section 403 the
following:
``SEC. 403A. FATHERHOOD PROGRAMS.
``(a) Purpose.--The purpose of this section is to make grants
available to public and private entities for projects designed to--
``(1) promote marriage through counseling, mentoring,
disseminating information about the advantages of marriage,
enhancing relationship skills, teaching how to control
aggressive behavior, and other methods;
``(2) promote successful parenting through counseling,
mentoring, disseminating information about good parenting
practices including family planning, training parents in money
management, encouraging child support payments, encouraging
regular visitation between fathers and their children, and
other methods; and
``(3) help fathers and their families avoid or leave cash
welfare provided by the program under part A and improve their
economic status by providing work first services, job search,
job training, subsidized employment, career-advancing
education, job retention, job enhancement, and other methods.
``(b) Fatherhood Grants.--
``(1) Applications.--An entity desiring a grant to carry out
a project described in subsection (a) may submit to the
Secretary an application that contains the following:
``(A) A description of the project and how the
project will be carried out.
``(B) A description of how the project will address
all 3 of the purposes of this section.
``(C) A written commitment by the entity that the
project will allow an individual to participate in the
project only if the individual is--
``(i) a father of a child who is, or within
the past 24 months has been, a recipient of
assistance or services under a State program
funded under this part;
``(ii) a father, including an expectant or
married father, whose income (net of court-
ordered child support) is less than 150 percent
of the poverty line (as defined in section
673(2) of the Omnibus Budget Reconciliation Act
of 1981, including any revision required by
such section, applicable to a family of the
size involved); or
``(iii) a parent referred to in paragraph
(3)(A)(iii).
``(D) A written commitment by the entity that the
entity will provide for the project, from funds
obtained from non-Federal sources, amounts (including
in-kind contributions) equal in value to--
``(i) 20 percent of the amount of any grant
made to the entity under this subsection; or
``(ii) such lesser percentage as the
Secretary deems appropriate (which shall be not
less than 10 percent) of such amount, if the
application demonstrates that there are
circumstances that limit the ability of the
entity to raise funds or obtain resources.
``(2) Consideration of applications by interagency panels.--
``(A) First panel.--
``(i) Establishment.--There is established a
panel to be known as the `Fatherhood Grants
Recommendations Panel' (in this subparagraph
referred to as the `Panel').
``(ii) Membership.--
``(I) In general.--The Panel shall be
composed of 10 members, as follows:
``(aa) 2 members of the Panel
shall be appointed by the
Secretary.
``(bb) 2 members of the Panel
shall be appointed by the
Secretary of Labor.
``(cc) 2 members of the Panel
shall be appointed by the
Chairman of the Committee on
Ways and Means of the House of
Representatives.
``(dd) 1 member of the Panel
shall be appointed by the
ranking minority member of the
Committee on Ways and Means of
the House of Representatives.
``(ee) 2 members of the Panel
shall be appointed by the
Chairman of the Committee on
Finance of the Senate.
``(ff) 1 member of the Panel
shall be appointed by the
ranking minority member of the
Committee on Finance of the
Senate.
``(II) Conflicts of interest.--An
individual shall not be eligible to
serve on the Panel if such service
would pose a conflict of interest for
the individual.
``(III) Timing of appointments.--The
appointment of members to the Panel
shall be completed not later than March
1, 2000.
``(iii) Duties.--
``(I) Review and make recommendations
on project applications.--The Panel
shall review all applications submitted
pursuant to paragraph (1), and make
recommendations to the Secretary
regarding which applicants should be
awarded grants under this subsection,
with due regard for the provisions of
paragraph (3), but shall not recommend
that a project be awarded such a grant
if the application describing the
project does not attempt to meet the
requirement of paragraph (1)(B).
``(II) Timing.--The Panel shall make
such recommendations not later than
September 1, 2000.
``(iv) Term of office.--Each member appointed
to the Panel shall serve for the life of the
Panel.
``(v) Prohibition on compensation.--Members
of the Panel may not receive pay, allowances,
or benefits by reason of their service on the
Panel.
``(vi) Travel expenses.--Each member of the
Panel shall receive travel expenses, including
per diem in lieu of subsistence, in accordance
with sections 5702 and 5703 of title 5, United
States Code.
``(vii) Meetings.--The Panel shall meet as
often as is necessary to complete the business
of the Panel.
``(viii) Chairperson.--The Chairperson of the
Panel shall be designated by the Secretary at
the time of appointment.
``(ix) Staff of federal agencies.--The
Secretary may detail any personnel of the
Department of Health and Human Services and the
Secretary of Labor may detail any personnel of
the Department of Labor to the Panel to assist
the Panel in carrying out its duties under this
subparagraph.
``(x) Obtaining official data.--The Panel may
secure directly from any department or agency
of the United States information necessary to
enable it to carry out this subparagraph. On
request of the Chairperson of the Panel, the
head of the department or agency shall furnish
that information to the Panel.
``(xi) Mails.--The Panel may use the United
States mails in the same manner and under the
same conditions as other departments and
agencies of the United States.
``(xii) Termination.--The Panel shall
terminate on September 1, 2000.
``(B) Second panel.--
``(i) Establishment.--Effective January 1,
2001, there is established a panel to be known
as the `Fatherhood Grants Recommendations
Panel' (in this subparagraph referred to as the
`Panel').
``(ii) Membership.--
``(I) In general.--The Panel shall be
composed of 10 members, as follows:
``(aa) 2 members of the Panel
shall be appointed by the
Secretary.
``(bb) 2 members of the Panel
shall be appointed by the
Secretary of Labor.
``(cc) 2 members of the Panel
shall be appointed by the
Chairman of the Committee on
Ways and Means of the House of
Representatives.
``(dd) 1 member of the Panel
shall be appointed by the
ranking minority member of the
Committee on Ways and Means of
the House of Representatives.
``(ee) 2 members of the Panel
shall be appointed by the
Chairman of the Committee on
Finance of the Senate.
``(ff) 1 member of the Panel
shall be appointed by the
ranking minority member of the
Committee on Finance of the
Senate.
``(II) Conflicts of interest.--An
individual shall not be eligible to
serve on the Panel if such service
would pose a conflict of interest for
the individual.
``(III) Timing of appointments.--The
appointment of members to the Panel
shall be completed not later than March
1, 2001.
``(iii) Duties.--
``(I) Review and make recommendations
on project applications.--The Panel
shall review all applications submitted
pursuant to paragraph (1), and make
recommendations to the Secretary
regarding which applicants should be
awarded grants under this subsection,
with due regard for the provisions of
paragraph (3), but shall not recommend
that a project be awarded such a grant
if the application describing the
project does not attempt to meet the
requirement of paragraph (1)(B).
``(II) Timing.--The Panel shall make
such recommendations not later than
September 1, 2001.
``(iv) Term of office.--Each member appointed
to the Panel shall serve for the life of the
Panel.
``(v) Prohibition on compensation.--Members
of the Panel may not receive pay, allowances,
or benefits by reason of their service on the
Panel.
``(vi) Travel expenses.--Each member of the
Panel shall receive travel expenses, including
per diem in lieu of subsistence, in accordance
with sections 5702 and 5703 of title 5, United
States Code.
``(vii) Meetings.--The Panel shall meet as
often as is necessary to complete the business
of the Panel.
``(viii) Chairperson.--The Chairperson of the
Panel shall be designated by the Secretary at
the time of appointment.
``(ix) Staff of federal agencies.--The
Secretary may detail any personnel of the
Department of Health and Human Services and the
Secretary of Labor may detail any personnel of
the Department of Labor to the Panel to assist
the Panel in carrying out its duties under this
subparagraph.
``(x) Obtaining official data.--The Panel may
secure directly from any department or agency
of the United States information necessary to
enable it to carry out this subparagraph. On
request of the Chairperson of the Panel, the
head of the department or agency shall furnish
that information to the Panel.
``(xi) Mails.--The Panel may use the United
States mails in the same manner and under the
same conditions as other departments and
agencies of the United States.
``(xii) Termination.--The Panel shall
terminate on September 1, 2001.
``(3) Matching grants.--
``(A) Grant awards.--
``(i) In general.--The Secretary shall award
matching grants, on a competitive basis, among
entities submitting applications therefor which
meet the requirements of paragraph (1), in
amounts that take into account the written
commitments referred to in paragraph (1)(D).
``(ii) Timing.--
``(I) First round.--On October 1,
2000, the Secretary shall award not
more than $70,000,000 in matching
grants after considering the
recommendations submitted pursuant to
paragraph (2)(A)(iii)(I).
``(II) Second round.--On October 1,
2001, the Secretary shall award not
more than $70,000,000 in matching
grants after considering the
recommendations submitted pursuant to
paragraph (2)(B)(iii)(I).
``(iii) Nondiscrimination.--The provisions of
this section shall be applied and administered
so as to ensure that mothers, expectant
mothers, and married mothers are eligible for
benefits and services under projects awarded
grants under this section on the same basis as
fathers, expectant fathers, and married
fathers.
``(B) Preferences.--In determining which entities to
which to award grants under this subsection, the
Secretary shall give preference to an entity--
``(i) to the extent that the application
submitted by the entity describes actions that
the entity will take that are designed to
encourage or facilitate the payment of child
support, including but not limited to--
``(I) obtaining agreements with the
State in which the project will be
carried out under which the State will
exercise its authority under the last
sentence of section 457(a)(2)(B)(iv) in
every case in which such authority may
be exercised;
``(II) obtaining a written commitment
by the agency responsible for
administering the State plan approved
under part D for the State in which the
project is to be carried out that the
State will voluntarily cancel child
support arrearages owed to the State by
the father as a result of the father
providing various supports to the
family such as maintaining a regular
child support payment schedule or
living with his children; and
``(III) obtaining a written
commitment by the entity that the
entity will help participating fathers
who cooperate with the agency in
improving their credit rating;
``(ii) to the extent that the application
includes written agreements of cooperation with
other private and governmental agencies,
including the State or local program funded
under this part, the local Workforce Investment
Board, the State or local program funded under
part D, and the State or local program funded
under part E, which should include a
description of the services each such agency
will provide to fathers participating in the
project described in the application;
``(iii) to the extent that the application
describes a project that will enroll a high
percentage of project participants within 6
months before or after the birth of the child;
or
``(iv) to the extent that the application
sets forth clear and practical methods by which
fathers will be recruited to participate in the
project.
``(C) Minimum percentage of recipients of grant funds
to be nongovernmental (including faith-based)
organizations.--Not less than 75 percent of the
entities awarded grants under this subsection in each
fiscal year (other than entities awarded such grants
pursuant to the preferences required by subparagraph
(B)) shall be awarded to--
``(i) nongovernmental (including faith-based)
organizations; or
``(ii) governmental organizations that pass
through to organizations referred to in clause
(i) at least 50 percent of the amount of the
grant.
``(D) Diversity of projects.--
``(i) In general.--In determining which
entities to which to award grants under this
subsection, the Secretary shall attempt to
achieve a balance among entities of differing
sizes, entities in differing geographic areas,
entities in urban versus rural areas, and
entities employing differing methods of
achieving the purposes of this section.
``(ii) Report to the congress.--Within 90
days after each award of grants under subclause
(I) or (II) of subparagraph (A)(ii), the
Secretary shall submit to the Committee on Ways
and Means of the House of Representatives and
the Committee on Finance of the Senate a brief
report on the diversity of projectes selected
to receive funds under the grant program. The
report shall include a comparison of funding
for projects located in urban areas, projects
located in suburban areas, and projects located
in rural areas.
``(E) Payment of grant in 4 equal annual
installments.--During the fiscal year in which a grant
is awarded under this subsection and each of the
succeeding 3 fiscal years, the Secretary shall provide
to the entity awarded the grant an amount equal to \1/
4\ of the amount of the grant.
``(4) Use of funds.--
``(A) In general.--Each entity to which a grant is
made under this subsection shall use grant funds
provided under this subsection in accordance with the
application requesting the grant, the requirements of
this subsection, and the regulations prescribed under
this subsection, and may use the grant funds to support
community-wide initiatives to address the purposes of
this section.
``(B) Nondisplacement.--
``(i) In general.--An adult in a work
activity described in section 407(d) which is
funded, in whole or in part, by funds provided
under this section shall not be employed or
assigned--
``(I) when any other individual is on
layoff from the same or any
substantially equivalent job; or
``(II) if the employer has terminated
the employment of any regular employee
or otherwise caused an involuntary
reduction of its workforce in order to
fill the vacancy so created with such
an adult.
``(ii) Grievance procedure.--
``(I) In general.--Complaints
alleging violations of clause (i) in a
State may be resolved--
``(aa) if the State has
established a grievance
procedure under section
403(a)(5)(J)(iv), pursuant to
the grievance procedure; or
``(bb) otherwise, pursuant to
the grievance procedure
established by the State under
section 407(f)(3).
``(II) Forfeiture of grant if
grievance procedure not available.--If
a complaint referred to in subclause
(I) is made against an entity to which
a grant has been made under this
section with respect to a project, and
the complaint cannot be brought to, or
cannot be resolved within 90 days after
being brought, by a grievance procedure
referred to in subclause (I), then the
entity shall immediately return to the
Secretary all funds provided to the
entity under this section for the
project, and the Secretary shall
immediately rescind the grant.
``(C) Rule of construction.--This section shall not
be construed to require the participation of a father
in a project funded under this section to be
discontinued by the project on the basis of changed
economic circumstances of the father.
``(D) Rule of construction on marriage.--This section
shall not be construed to authorize the Secretary to
define marriage for purposes of this section.
``(E) Penalty for misuse of grant funds.--If the
Secretary determines that an entity to which a grant is
made under this subsection has used any amount of the
grant in violation of subparagraph (A), the Secretary
shall require the entity to remit to the Secretary an
amount equal to the amount so used, plus all remaining
grant funds, and the entity shall thereafter be
ineligible for any grant under this subsection.
``(F) Remittance of unused grant funds.--Each entity
to which a grant is awarded under this subsection shall
remit to the Secretary all funds paid under the grant
that remain at the end of the 5th fiscal year ending
after the initial grant award.
``(5) Authority of agencies to exchange information.--Each
agency administering a program funded under this part or a
State plan approved under part D may share the name, address,
telephone number, and identifying case number information in
the State program funded under this part, of fathers for
purposes of assisting in determining the eligibility of fathers
to participate in projects receiving grants under this section,
and in contacting fathers potentially eligible to participate
in the projects, subject to all applicable privacy laws.
``(6) Evaluation.--The Secretary, in consultation with the
Secretary of Labor, shall, directly or by grant, contract, or
interagency agreement, conduct an evaluation of projects funded
under this section (other than under subsection (c)(1)). The
evaluation shall assess, among other outcomes selected by the
Secretary, effects of the projects on marriage, parenting,
employment, earnings, and payment of child support. In
selecting projects for the evaluation, the Secretary should
include projects that, in the Secretary's judgment, are most
likely to impact the matters described in the purposes of this
section. In conducting the evaluation, random assignment should
be used wherever possible.
``(7) Regulations.--The Secretary shall prescribe such
regulations as may be necessary to carry out this subsection.
``(8) Limitation on applicability of other provisions of this
part.--Sections 404 through 410 shall not apply to this section
or to amounts paid under this section, and shall not be applied
to an entity solely by reason of receipt of funds pursuant to
this section. A project shall not be considered a State program
funded under this part solely by reason of receipt of funds
paid under this section.
``(9) Funding.--
``(A) In general.--
``(i) Interagency panels.--Of the amounts
made available pursuant to section 403(a)(1)(E)
to carry out this section for fiscal years 2000
and 2001, a total of $150,000 shall be made
available for the interagency panels
established by paragraph (2) of this
subsection.
``(ii) Grants.--Of the amounts made available
pursuant to section 403(a)(1)(E) to carry out
this section, there shall be made available for
grants under this subsection--
``(I) $17,500,000 for fiscal year
2001;
``(II) $35,000,000 for each of fiscal
years 2002 through 2004; and
``(III) $17,500,000 for fiscal year
2005.
``(iii) Evaluation.--Of the amounts made
available pursuant to section 403(a)(1)(E) to
carry out this section for fiscal years 2000
through 2006, a total of $6,000,000 shall be
made available for the evaluation required by
paragraph (6) of this subsection.
``(B) Availability.--
``(i) Grant funds.--The amounts made
available pursuant to subparagraph (A)(ii)
shall remain available until the end of fiscal
year 2005.
``(ii) Evaluation funds.--The amounts made
available pursuant to subparagraph (A)(iii)
shall remain available until the end of fiscal
year 2007.''.
(b) Funding.--Section 403(a)(1)(E) of such Act (42 U.S.C.
603(a)(1)(E)) is amended by inserting ``, and for fiscal years 2000
through 2006, such sums as are necessary to carry out section 403A''
before the period.
(c) Authority to States to Pass Through Child Support Arrearages
Collected Through Tax Refund Intercept to Families Who Have Ceased to
Receive Cash Assistance; Federal Reimbursement of State Share of Such
Passed Through Arrearages.--Section 457(a)(2)(B)(iv) of such Act (42
U.S.C. 657(a)(2)(B)(iv)) is amended--
(1) by inserting ``(except the last sentence of this
clause)'' after ``this section''; and
(2) by adding at the end the following: ``Notwithstanding the
preceding sentences of this clause, if the amount is collected
on behalf of a family that includes a child of a participant in
a project funded under section 403A and that has ceased to
receive cash payments under a State program funded under
section 403, then the State may distribute the amount collected
pursuant to section 464 to the family, and the aggregate of the
amounts otherwise required by this section to be paid by the
State to the Federal government shall be reduced by an amount
equal to the State share of the amount collected pursuant to
section 464 that would otherwise be retained as reimbursement
for assistance paid to the family.''.
(d) Applicability of Charitable Choice Provisions of Welfare
Reform.--Section 104 of the Personal Responsibility and Work
Opportunity Reconciliation Act of 1996 (42 U.S.C. 604a) is amended by
adding at the end the following:
``(l) Notwithstanding the preceding provisions of this section, this
section shall apply to any entity to which funds have been provided
under section 403A of the Social Security Act in the same manner in
which this section applies to States, and, for purposes of this
section, any project for which such funds are so provided shall be
considered a program described in subsection (a)(2).''.
TITLE II--FATHERHOOD PRO-
JECTS OF NATIONAL SIGNIFICANCE
SEC. 201. FATHERHOOD PROJECTS OF NATIONAL SIGNIFICANCE.
Section 403A of the Social Security Act, as added by title I of this
Act, is amended by adding at the end the following:
``(c) Fatherhood Projects of National Significance.--
``(1) National clearinghouse.--The Secretary shall award a
$5,000,000 grant to a nationally recognized, nonprofit
fatherhood promotion organization with at least 4 years of
experience in designing and disseminating a national public
education campaign, including the production and successful
placement of television, radio, and print public service
announcements which promote the importance of responsible
fatherhood, and with at least 4 years experience providing
consultation and training to community-based organizations
interested in implementing fatherhood outreach, support, or
skill development programs with an emphasis on promoting
married fatherhood as the ideal, to--
``(A) develop, promote, and distribute to interested
States, local governments, public agencies, and private
nonprofit organizations, including charitable and
religious organizations, a media campaign that
encourages the appropriate involvement of both parents
in the life of any child of the parents, and encourages
such organizations to develope or sponsor programs that
specifically address the issue of responsible
fatherhood and the advantages conferred on children by
marriage;
``(B) develop a national clearinghouse to assist
States, communities, and private entities in efforts to
promote and support marriage and responsible fatherhood
by collecting, evaluating, and making available
(through the Internet and by other means) to all
interested parties, information regarding media
campaigns and fatherhood programs;
``(C) develop and distribute materials that are for
use by entities described in subparagraph (A) or (B)
and that help young adults manage their money, develop
the knowledge and skills needed to promote successful
marriages, plan for future expenditures and
investments, and plan for retirement;
``(D) develop and distribute materials that are for
use by entities described in subparagraphs (A) and (B)
and that list all the sources of public support for
education and training that are available to young
adults, including government spending programs as well
as benefits under Federal and State tax laws.
``(2) Multicity fatherhood projects.--
``(A) In general.--The Secretary shall award a
$5,000,000 grant to each of 2 nationally recognized
nonprofit fatherhood promotion organizations which meet
the requirements of subparagraph (B), at least 1 of
which organizations meets the requirement of
subparagraph (C).
``(B) Requirements.--The requirements of this
subparagraph are the following:
``(i) The organization must have several
years of experience in designing and conducting
programs that meet the purposes described in
paragraph (1).
``(ii) The organization must have experience
in simultaneously conducting such programs in
more than 1 major metropolitan area and in
coordinating such programs with local
government agencies and private, nonprofit
agencies, including State or local agencies
responsible for conducting the program under
part D and Workfore Investment Boards.
``(iii) The organization must submit to the
Secretary an application that meets all the
conditions applicable to the organization under
this section and that provides for projects to
be conducted in 3 major metropolitan areas.
``(C) Use of married couples to deliver services in
the inner city.--The requirement of this subparagraph
is that the organization has extensive experience in
using married couples to deliver program services in
the inner city.
``(3) Payment of grants in 4 equal annual installments.--
During each of fiscal years 2002 through 2005, the Secretary
shall provide to each entity awarded a grant under this
subsection an amount equal to \1/4\ of the amount of the grant.
``(4) Funding.--
``(A) In general.--Of the amounts made available
pursuant to section 403(a)(1)(E) to carry out this
section, $3,750,000 shall be made available for grants
under this subsection for each of fiscal years 2002
through 2005.
``(B) Availability.--The amounts made available
pursuant to subparagraph (A) shall remain available
until the end of fiscal year 2005.''.
TITLE III--WELFARE-TO-WORK PROGRAM ELIGIBILITY
SEC. 301. FLEXIBILITY IN ELIGIBILITY FOR PARTICIPATION IN WELFARE-TO-
WORK PROGRAM.
(a) Hard-to-Employ Long-Term Recipients.--Section 403(a)(5)(C)(ii) of
the Social Security Act (42 U.S.C. 603(a)(5)(C)(ii)) is amended--
(1) by striking ``Required beneficiaries.--'' and inserting
``Hard-to-employ recipients.--'';
(2) in the matter preceding subclause (I)--
(A) by striking ``shall expend at least 70 percent of
all'' and inserting ``may expend''; and
(B) by striking ``, or for the benefit of
noncustodial parents,'';
(3) in the matter preceding item (aa) of subclause (I)--
(A) by striking ``At least 2'' and inserting ``Any'';
(B) by striking ``apply'' and inserting ``applies'';
and
(C) by striking ``or the noncustodial parent'';
(4) in item (aa) of subclause (I), by striking ``, and has
low skills in reading or mathematics'';
(5) by adding at the end of subclause (I) the following:
``(dd) The individual has
English reading, writing, or
computing skills at or below
the 8th grade level, or limited
proficiency in written or
spoken English.
``(ee) The individual is
homeless.
``(ff) The individual has a
disability.
``(gg) The individual has
been a victim of domestic
violence.''; and
(6) in the matter preceding item (aa) of subclause (II), by
striking ``or the minor children of the non-custodial parent''.
(b) Noncustodial Parents.--
(1) In general.--Section 403(a)(5)(C) of such Act (42 U.S.C.
603(a)(5)(C)) is amended--
(A) by redesignating clauses (iii) through (viii) as
clauses (iv) through (ix), respectively; and
(B) by inserting after clause (ii) the following:
``(iii) Noncustodial parents.--An entity that
operates a project with funds provided under
this paragraph may use the funds to provide
services in a form described in clause (i) to
noncustodial parents with respect to whom the
requirements of the following subclauses are
met:
``(I) The noncustodial parent is
unemployed, underemployed, or having
difficulty in paying child support
obligations.
``(II) At least 1 of the following
applies to a minor child of the
noncustodial parent (with preference in
the determination of the noncustodial
parents to be provided services under
this paragraph to be provided by the
entity to those noncustodial parents
with minor children who meet, or who
have custodial parents who meet, the
requirements of item (aa)):
``(aa) The minor child or the
custodial parent of the minor
child meets the requirements of
clause (ii)(II).
``(bb) The minor child is
eligible for, or is receiving,
benefits under the program
funded under this part.
``(cc) The minor child
received benefits under the
program funded under this part
in the 12-month period
preceding the date of the
determination but no longer
receives such benefits.
``(dd) The minor child is
eligible for, or is receiving,
assistance under the Food Stamp
Act of 1977, benefits under the
supplemental security income
program under title XVI of this
Act, medical assistance under
title XIX of this Act, or child
health assistance under title
XXI of this Act.
``(III) In the case of a noncustodial
parent who becomes enrolled in the
project on or after the date of the
enactment of this clause, the
noncustodial parent is in compliance
with the terms of an oral or written
personal responsibility contract
entered into among the noncustodial
parent, the entity, and (unless the
entity demonstrates to the Secretary
that the entity is not capable of
coordinating with such agency) the
agency responsible for administering
the State plan under part D, which was
developed taking into account the
employment and child support status of
the noncustodial parent, which was
entered into not later than 30 (or, at
the option of the entity, not later
than 90) days after the noncustodial
parent was enrolled in the project, and
which, at a minimum, includes the
following:
``(aa) A commitment by the
noncustodial parent to
cooperate, at the earliest
opportunity, in the
establishment of the paternity
of the minor child, through
voluntary acknowledgement or
other procedures, and in the
establishment of a child
support order.
``(bb) A commitment by the
noncustodial parent to
cooperate in the payment of
child support for the minor
child, which may include a
modification of an existing
support order to take into
account the ability of the
noncustodial parent to pay such
support and the participation
of such parent in the project.
``(cc) A commitment by the
noncustodial parent to
participate in employment or
related activities that will
enable the noncustodial parent
to make regular child support
payments, and if the
noncustodial parent has not
attained 20 years of age, such
related activities may include
completion of high school, a
general equivalency degree, or
other education directly
related to employment.
``(dd) A description of the
services to be provided under
this paragraph, and a
commitment by the noncustodial
parent to participate in such
services, that are designed to
assist the noncustodial parent
obtain and retain employment,
increase earnings, and enhance
the financial and emotional
contributions to the well-being
of the minor child.
In order to protect custodial parents
and children who may be at risk of
domestic violence, the preceding
provisions of this subclause shall not
be construed to affect any other
provision of law requiring a custodial
parent to cooperate in establishing the
paternity of a child or establishing or
enforcing a support order with respect
to a child, or entitling a custodial
parent to refuse, for good cause, to
provide such cooperation as a condition
of assistance or benefit under any
program, shall not be construed to
require such cooperation by the
custodial parent as a condition of
participation of either parent in the
program authorized under this
paragraph, and shall not be construed
to require a custodial parent to
cooperate with or participate in any
activity under this clause. The entity
operating a project under this clause
with funds provided under this
paragraph shall consult with domestic
violence prevention and intervention
organizations in the development of the
project.''.
(2) Conforming amendment.--Section 412(a)(3)(C)(ii) of such
Act (42 U.S.C. 612(a)(3)(C)(ii)) is amended by striking
``(vii)'' and inserting ``(viii)''.
(c) Recipients With Characteristics of Long-Term Dependency; Children
Aging Out of Foster Care.--
(1) In general.--Subclause (II) of section 403(a)(5)(C)(iv)
of such Act (42 U.S.C. 603(a)(5)(C)(iv)(II)), as so
redesignated by subsection (b)(1)(A) of this section, is
amended to read as follows:
``(II) to children--
``(aa) who have attained 18
years of age but not 25 years
of age; and
``(bb) who, before attaining
18 years of age, were
recipients of foster care
maintenance payments (as
defined in section 475(4))
under part E or were in foster
care under the responsibility
of a State.''.
(2) Conforming amendments.--Section 403(a)(5)(C)(iv) of such
Act (42 U.S.C. 603(a)(5)(C)(iv)), as so redesignated by
subsection (b)(1)(A) of this section, is amended--
(A) in the heading by inserting ``hard to employ''
before ``individuals''; and
(B) in the last sentence by striking ``clause (ii)''
and inserting ``clauses (ii) and (iii) and, as
appropriate, clause (v)''.
(d) Custodial Parents With Income Below Poverty Line Who Are Not on
Welfare.--
(1) In general.--Section 403(a)(5)(C) of such Act (42 U.S.C.
603(a)(5)(C)), as amended by section 301(b)(1) of this Act, is
amended--
(A) by redesignating clauses (vi) through (ix) as
clauses (vii) through (x), respectively; and
(B) by inserting after clause (v) the following:
``(vi) Custodial parents with income below
poverty line who are not on welfare.--An entity
that operates a project with funds provided
under this paragraph may use the funds to
provide assistance in a form described in
clause (i) to custodial parents--
``(I) whose income is less than 100
percent of the poverty line (as defined
in section 673(2) of the Omnibus Budget
Reconciliation Act of 1981, including
any revision required by such section,
applicable to a family of the size
involved); and
``(II) who are not otherwise
recipients of assistance under a State
program funded under this part.''.
(2) Conforming amendments.--
(A) Section 403(a)(5)(C)(iv) of such Act (42 U.S.C.
603(a)(5)(C)(iv)), as so redesignated by subsection
(b)(1)(A) of this section, and as amended by subsection
(c)(2) of this section, is amended in the last sentence
by striking ``clause (v)'' and inserting ``clauses (v)
and (vi)''.
(B) Section 412(a)(3)(C)(ii) of such Act (42 U.S.C.
612(a)(3)(C)(ii)), as amended by subsection (b)(2) of
this section, is amended by striking ``(viii)'' and
inserting ``(ix)''.
SEC. 302. LIMITED VOCATIONAL EDUCATIONAL TRAINING INCLUDED AS ALLOWABLE
ACTIVITY.
Section 403(a)(5)(C)(i) of the Social Security Act (42 U.S.C.
603(a)(5)(C)(i)) is amended by inserting after subclause (VI) the
following:
``(VII) Not more than 6 months of
vocational educational training.''.
SEC. 303. CERTAIN GRANTEES AUTHORIZED TO PROVIDE EMPLOYMENT SERVICES
DIRECTLY.
Section 403(a)(5)(C)(i)(IV) of the Social Security Act (42 U.S.C.
603(a)95)(C)(i)(IV)) is amended by inserting ``, or if the entity is
not a private industry council or workforce investment board, the
direct provision of such services'' before the period.
SEC. 304. SIMPLIFICATION AND COORDINATION OF REPORTING REQUIREMENTS.
(a) Elimination of Current Requirements.--Section 411(a)(1)(A) of the
Social Security Act (42 U.S.C. 611(a)(1)(A)) is amended--
(1) in the matter preceding clause (i), by inserting
``(except for information relating to activities carried out
under section 403(a)(5))'' after ``part''; and
(2) by striking clause (xviii).
(b) Establishment of Reporting Requirement.--Section 403(a)(5)(C) of
the Social Security Act (42 U.S.C. 603(a)(5)(C)), as amended by
subsections (b)(1) and (d)(1) of section 301 of this Act, is amended by
adding at the end the following:
``(xi) Reporting requirements.--The Secretary
of Labor, in consultation with the Secretary of
Health and Human Services, States, and
organizations that represent State or local
governments, shall establish requirements for
the collection and maintenance of financial and
participant information and the reporting of
such information by entities carrying out
activities under this paragraph.''.
SEC. 305. USE OF STATE INFORMATION TO AID ADMINISTRATION OF WELFARE-TO-
WORK GRANT FUNDS.
(a) Authority of State Agencies to Disclose to Private Industry
Councils the Names, Addressess, and Telephone Numbers of Potential
Welfare-to-Work Program Participants.--
(1) State iv-d agencies.--Section 454A(f) of the Social
Security Act (42 U.S.C. 654a(f)) is amended by adding at the
end the following:
``(5) Private industry councils receiving welfare-to-work
grants.--Disclosing to a private industry council (as defined
in section 403(a)(5)(D)(ii)) to which funds are provided under
section 403(a)(5) the names, addresses, telephone numbers, and
identifying case number information in the State program funded
under part A, of noncustodial parents residing in the service
delivery area of the private industry council, for the purpose
of identifying and contacting noncustodial parents regarding
participation in the program under section 403(a)(5).''.
(2) State tanf agencies.--Section 403(a)(5) of such Act (42
U.S.C. 603(a)(5)) is amended by adding at the end the
following:
``(K) Information disclosure.--If a State to which a
grant is made under section 403 establishes safeguards
against the use or disclosure of information about
applicants or recipients of assistance under the State
program funded under this part, the safeguards shall
not prevent the State agency administering the program
from furnishing to a private industry council the
names, addresses, telephone numbers, and identifying
case number information in the State program funded
under this part, of noncustodial parents residing in
the service delivery area of the private industry
council, for the purpose of identifying and contacting
noncustodial parents regarding participation in the
program under this paragraph.''.
(b) Safeguarding of Information Disclosed to Private Industry
Councils.--Section 403(a)(5)(A)(ii)(I) of such Act (42 U.S.C.
603(a)(5)(A)(ii)(I)) is amended--
(1) by striking ``and'' at the end of item (dd);
(2) by striking the period at the end of item (ee) and
inserting ``; and''; and
(3) by adding at the end the following:
``(ff) describes how the
State will ensure that a
private industry council to
which information is disclosed
pursuant to section
403(a)(5)(K) or 454A(f)(5) has
procedures for safeguarding the
information and for ensuring
that the information is used
solely for the purpose
described in that section.''.
TITLE IV--ALTERNATIVE PENALTY PROCEDURE RELATING TO STATE DISBURSEMENT
UNITS
SEC. 401. ALTERNATIVE PENALTY PROCEDURE RELATING TO STATE DISBURSEMENT
UNITS.
(a) In General.--Section 455(a) of the Social Security Act (42 U.S.C.
655(a)) is amended by adding at the end the following:
``(5)(A)(i) If--
``(I) the Secretary determines that a State plan under
section 454 would (in the absence of this paragraph) be
disapproved for the failure of the State to comply with
subparagraphs (A) and (B)(i) of section 454(27), and that the
State has made and is continuing to make a good faith effort to
so comply; and
``(II) the State has submitted to the Secretary, not later
than April 1, 2000, a corrective compliance plan that describes
how, by when, and at what cost the State will achieve such
compliance, which has been approved by the Secretary,
then the Secretary shall not disapprove the State plan under section
454, and the Secretary shall reduce the amount otherwise payable to the
State under paragraph (1)(A) of this subsection for the fiscal year by
the penalty amount.
``(ii) All failures of a State during a fiscal year to comply with
any of the requirements of section 454B shall be considered a single
failure of the State to comply with subparagraphs (A) and (B)(i) of
section 454(27) during the fiscal year for purposes of this paragraph.
``(B) In this paragraph:
``(i) The term `penalty amount' means, with respect to a
failure of a State to comply with subparagraphs (A) and (B)(i)
of section 454(27)--
``(I) 4 percent of the penalty base, in the case of
the 1st fiscal year in which such a failure by the
State occurs (regardless of whether a penalty is
imposed in that fiscal year under this paragraph with
respect to the failure), except as provided in
subparagraph (C)(ii) of this paragraph;
``(II) 8 percent of the penalty base, in the case of
the 2nd such fiscal year;
``(III) 16 percent of the penalty base, in the case
of the 3rd such fiscal year;
``(IV) 25 percent of the penalty base, in the case of
the 4th such fiscal year; or
``(V) 30 percent of the penalty base, in the case of
the 5th or any subsequent such fiscal year.
``(ii) The term `penalty base' means, with respect to a
failure of a State to comply with subparagraphs (A) and (B)(i)
of section 454(27) during a fiscal year, the amount otherwise
payable to the State under paragraph (1)(A) of this subsection
for the preceding fiscal year.
``(C)(i) The Secretary shall waive all penalties imposed against a
State under this paragraph for any failure of the State to comply with
subparagraphs (A) and (B)(i) of section 454(27) if the Secretary
determines that, before April 1, 2000, the State has achieved such
compliance.
``(ii) If a State with respect to which a reduction is required to be
made under this paragraph with respect to a failure to comply with
subparagraphs (A) and (B)(i) of section 454(27) achieves such
compliance on or after April 1, 2000, and on or before September 30,
2000, then the penalty amount applicable to the State shall be 1
percent of the penalty base with respect to the failure involved.
``(D) The Secretary may not impose a penalty under this paragraph
against a State for a fiscal year for which the amount otherwise
payable to the State under paragraph (1)(A) of this subsection is
reduced under paragraph (4) of this subsection for failure to comply
with section 454(24)(A).''.
(b) Inapplicability of Penalty Under TANF Program.--Section
409(a)(8)(A)(i)(III) of such Act (42 U.S.C. 609(a)(8)(A)(i)(III)) is
amended by striking ``section 454(24)'' and inserting ``paragraph (24),
or subparagraph (A) or (B)(i) of paragraph (27), of section 454''.
(c) Effective Date.--The amendments made by this section shall take
effect on October 1, 1999.
TITLE V--FINANCING PROVISIONS
SEC. 501. USE OF NEW HIRE INFORMATION TO ASSIST IN COLLECTION OF
DEFAULTED STUDENT LOANS AND GRANTS.
(a) In General.--Section 453(j) of the Social Security Act (42 U.S.C.
653(j)) is amended by adding at the end the following:
``(6) Information comparisons and disclosure for enforcement
of obligations on higher education act loans and grants.--
``(A) Furnishing of information by the secretary of
education.--The Secretary of Education shall furnish to
the Secretary, on a quarterly basis or at such less
frequent intervals as may be determined by the
Secretary of Education, information in the custody of
the Secretary of Education for comparison with
information in the National Directory of New Hires, in
order to obtain the information in such directory with
respect to individuals who--
``(i) are borrowers of loans made under title
IV of the Higher Education Act of 1965 that are
in default; or
``(ii) owe an obligation to refund an
overpayment of a grant awarded under such
title.
``(B) Requirement to seek minimum information
necessary.--The Secretary of Education shall seek
information pursuant to this section only to the extent
essential to improving collection of the debt described
in subparagraph (A).
``(C) Duties of the secretary.--
``(i) Information comparison; disclosure to
the secretary of education.--The Secretary, in
cooperation with the Secretary of Education,
shall compare information in the National
Directory of New Hires with information in the
custody of the Secretary of Education, and
disclose information in that Directory to the
Secretary of Education, in accordance with this
paragraph, for the purposes specified in this
paragraph.
``(ii) Condition on disclosure.--The
Secretary shall make disclosures in accordance
with clause (i) only to the extent that the
Secretary determines that such disclosures do
not interfere with the effective operation of
the program under this part. Support collection
under section 466(b) shall be given priority
over collection of any defaulted student loan
or grant overpayment against the same income.
``(D) Use of information by the secretary of
education.--The Secretary of Education may use
information resulting from a data match pursuant to
this paragraph only--
``(i) for the purpose of collection of the
debt described in subparagraph (A) owed by an
individual whose annualized wage level
(determined by taking into consideration
information from the National Directory of
New Hires) exceeds $16,000; and
``(ii) after removal of personal identifiers,
to conduct analyses of student loan defaults.
``(E) Disclosure of information by the secretary of
education.--
``(i) Disclosures permitted.--The Secretary
of Education may disclose information resulting
from a data match pursuant to this paragraph
only to--
``(I) a guaranty agency holding a
loan made under part B of title IV of
the Higher Education Act of 1965 on
which the individual is obligated;
``(II) a contractor or agent of the
guaranty agency described in subclause
(I);
``(III) a contractor or agent of the
Secretary; and
``(IV) the Attorney General.
``(ii) Purpose of disclosure.--The Secretary
of Education may make a disclosure under clause
(i) only for the purpose of collection of the
debts owed on defaulted student loans, or
overpayments of grants, made under title IV of
the Higher Education Act of 1965.
``(iii) Restriction on redisclosure.--An
entity to which information is disclosed under
clause (i) may use or disclose such information
only as needed for the purpose of collecting on
defaulted student loans, or overpayments of
grants, made under title IV of the Higher
Education Act of 1965.
``(F) Reimbursement of hhs costs.--The Secretary of
Education shall reimburse the Secretary, in accordance
with subsection (k)(3), for the additional costs
incurred by the Secretary in furnishing the information
requested under this subparagraph.''.
(b) Penalties for Misuse of Information.--Section 402(a) of the Child
Support Performance and Incentive Act of 1998 (112 Stat. 669) is
amended in the matter added by paragraph (2) by inserting ``or any
other person'' after ``officer or employee of the United States''.
(c) Effective Date.--The amendments made by this section shall become
effective October 1, 1999.
SEC. 502. ELIMINATION OF SET-ASIDE OF PORTION OF WELFARE-TO-WORK FUNDS
FOR SUCCESSFUL PERFORMANCE BONUS.
(a) In General.--Section 403(a)(5) of the Social Security Act (42
U.S.C. 603(a)(5)) is amended by striking subparagraph (E) and
redesignating subparagraphs (F) through (K) (as added by section
305(a)(2) of this Act) as subparagraphs (E) through (J), respectively.
(b) Conforming Amendments.--
(1) Section 403(a)(5)(A)(i) of such Act (42 U.S.C.
603(a)(5)(A)(i)) is amended by striking ``subparagraph (I)''
and inserting ``subparagraph (H)''.
(2) Subclause (I) of each of subparagraphs (A)(iv) and (B)(v)
of section 403(a)(5) of such Act (42 U.S.C. 603(a)(5)(A)(iv)(I)
and (B)(v)(I)) is amended--
(A) in item (aa)--
(i) by striking ``(I)'' and inserting
``(H)''; and
(ii) by striking ``(G), and (H)'' and
inserting ``and (G)''; and
(B) in item (bb), by striking ``(F)'' and inserting
``(E)''.
(3) Section 403(a)(5)(B)(v) of such Act (42 U.S.C.
603(a)(5)(B)) is amended in the matter preceding subclause (I)
by striking ``(I)'' and inserting ``(H)''.
(4) Subparagraphs (E) and (F) of section 403(a)(5) of such
Act (42 U.S.C. 603(a)(5)(F) and (G)), as so redesignated by
subsection (a) of this section, are each amended by striking
``(I)'' and inserting ``(H)''.
(5) Section 412(a)(3)(A) of such Act (42 U.S.C. 612(a)(3)(A))
is amended by striking ``403(a)(5)(I)'' and inserting
``403(a)(5)(H)''.
(c) Funding Amendment.--Section 403(a)(5)(H)(i) of such Act (42
U.S.C. 603(a)(5)(H)(i)), as so redesignated by subsection (a) of this
section, is amended by striking ``$1,500,000,000'' and all that follows
and inserting ``for grants under this paragraph--
``(I) $1,500,000,000 for fiscal year
1998; and
``(II) $1,400,000,000 for fiscal year
1999.''.
TITLE VI--MISCELLANEOUS
SEC. 601. CHANGE DATES FOR EVALUATION.
(a) In General.--Section 403(a)(5)(G)(iii) of the Social Security Act
(42 U.S.C. 603(a)(5)(G)(iii)), as so redesignated by section 502(a) of
this Act, is amended by striking ``2001'' and inserting ``2005''.
(b) Interim Report Required.--Section 403(a)(5)(G) of such Act (42
U.S.C. 603(a)(5)(G)), as so redesignated, is amended by adding at the
end the following:
``(iv) Interim report.--Not later than
January 1, 2002, the Secretary shall submit to
the Congress a interim report on the
evaluations referred to in clause (i).''.
SEC. 602. REPORT ON UNDISTRIBUTED CHILD SUPPORT PAYMENTS.
Not later than 6 months after the date of the enactment of this Act,
the Secretary of Health and Human Services shall submit to the
Committee on Ways and Means of the House of Representatives and the
Committee on Finance of the Senate a report on the procedures that the
States use generally to locate custodial parents for whom child support
has been collected but not yet distributed due to a change in address.
The report shall include an estimate of the total amount of such
undistributed child support and the average length of time it takes for
such child support to be distributed. The Secretary shall include in
the report recommendations as to whether additional procedures should
be established at the State or Federal level to expedite the payment of
undistributed child support.
SEC. 603. SENSE OF THE CONGRESS.
It is the sense of the Congress that the States may use funds
provided under the program of block grants for temporary assistance for
needy families under part A of title IV of the Social Security Act to
promote fatherhood activities of the type described in section 403A of
such Act, as added by this Act.
SEC. 604. ADDITIONAL FUNDING FOR WELFARE EVALUATION STUDY.
Section 414(b) of the Social Security Act (42 U.S.C. 614(b)) is
amended by striking ``appropriated $10,000,000'' and all that follows
and inserting ``appropriated--
``(1) $10,000,000 for each of fiscal years 1996 through 1999;
``(2) $12,300,000 for fiscal year 2000;
``(3) $17,500,000 for fiscal year 2001;
``(4) $15,500,000 for fiscal year 2002; and
``(5) $4,000,000 for fiscal year 2003.''.
SEC. 605. TRAINING IN CHILD ABUSE AND NEGLECT PROCEEDINGS.
(a) In General--Section 474(a)(3) of the Social Security Act (42
U.S.C. 674(a)(3)) is amended--
(1) by redesignating subparagraphs (C), (D), and (E) as
subparagraphs (D), (E), and (F), respectively; and
(2) by inserting after subparagraph (B) the following:
``(C) 75 percent of so much of such expenditures as
are for the short-term training (including cross-
training with personnel employed by, or under contract
with, the State or local agency administering the plan
in the political subdivision, training on topics
relevant to the legal representation of clients in
proceedings conducted by or under the supervision of an
abuse and neglect court, and training on related topics
such as child development and the importance of
achieving safety, permanency, and well-being for a
child) of judges, judicial personnel, law enforcement
personnel, agency attorneys, attorneys representing a
parent in proceedings conducted by, or under the
supervision of, an abuse and neglect court, attorneys
representing a child in such proceedings, guardians ad
litem, and volunteers who participate in court-
appointed special advocate programs, to the extent the
training is related to the court's role in expediting
adoption procedures, implementing reasonable efforts,
and providing for timely permanency planning and case
reviews, except that any such training shall be offered
by the State or local agency administering the plan,
either directly or through contract, in collaboration
with the appropriate judicial governing body operating
in the State,''.
(b) Definitions.--Section 475 of such Act (42 U.S.C. 675) is amended
by adding at the end the following:
``(8) The term `abuse and neglect courts' means the State and
local courts that carry out State or local laws requiring
proceedings (conducted by or under the supervision of the
courts)--
``(A) that implement part B or this part, including
preliminary disposition of such proceedings;
``(B) that determine whether a child was abused or
neglected;
``(C) that determine the advisability or
appropriateness of placement in a family foster home,
group home, or a special residential care facility; or
``(D) that determine any other legal disposition of a
child in the abuse and neglect court system.
``(9) The term `agency attorney' means an attorney or other
individual, including any government attorney, district
attorney, attorney general, State attorney, county attorney,
city solicitor or attorney, corporation counsel, or privately
retained special prosecutor, who represents the State or local
agency administrating the programs under part B and this part
in a proceeding conducted by, or under the supervision of, an
abuse and neglect court, including a proceeding for termination
of parental rights.
``(10) The term `attorney representing a child' means an
attorney or a guardian ad litem who represents a child in a
proceeding conducted by, or under the supervision of, an abuse
and neglect court.
``(11) The term `attorney representing a parent' means an
attorney who represents a parent who is an official party to a
proceeding conducted by, or under the supervision of, an abuse
and neglect court.''.
(c) Conforming Amendments--
(1) Section 473(a)(6)(B) of such Act (42 U.S.C. 673(a)(6)(B))
is amended by striking ``474(a)(3)(E)'' and inserting
``474(a)(3)(F)''.
(2) Section 474(a)(3)(E) of such Act (42 U.S.C. 674(a)(3)(E))
(as so redesignated by subsection (a)(1)(A) of this section) is
amended by striking ``subparagraph (C)'' and inserting
``subparagraph (D)''.
(3) Section 474(c) of such Act (42 U.S.C. 674(c)) is amended
by striking ``subsection (a)(3)(C)'' and inserting ``subsection
(a)(3)(D)''.
(d) Sunset.--Effective on October 1, 2004--
(1) section 474(a)(3) of the Social Security Act (42 U.S.C.
674(a)(3)) is amended by striking subparagraph (C) and
redesignating subparagraphs (D), (E), and (F) as subparagraphs
(C), (D), and (E), respectively;
(2) section 475 of such Act (42 U.S.C. 675) is amended by
striking paragraphs (8) through (11);
(3) section 473(a)(6)(B) of such Act (42 U.S.C. 673(a)(6)(B))
is amended by striking ``474(a)(3)(F)'' and inserting
``474(a)(3)(E)''.
(4) section 474(a)(3)(E) of such Act (42 U.S.C. 674(a)(3)(E))
(as so redesignated by subsection (a)(1)(A) of this section) is
amended by striking ``subparagraph (D)'' and inserting
``subparagraph (C)''; and
(5) section 474(c) of such Act (42 U.S.C. 674(c)) is amended
by striking ``subsection (a)(3)(D)'' and inserting ``subsection
(a)(3)(C)''.
SEC. 606. USE OF NEW HIRE INFORMATION TO ASSIST IN ADMINISTRATION OF
UNEMPLOYMENT COMPENSATION PROGRAMS.
(a) In General.--Section 453(j) of the Social Security Act (42 U.S.C.
653(j)), as amended by section 501(a) of this Act, is further amended
by adding at the end the following:
``(7) Information comparisons and disclosure to assist in
administration of unemployment compensation programs.--
``(A) In general.--If a State agency responsible for
the administration of an unemployment compensation
program under Federal or State law transmits to the
Secretary the name and social security account number
of an individual, the Secretary shall, if the
information in the National Directory of New Hires
indicates that the individual may be employed, disclose
to the State agency the name and address of any
putative employer of the individual, subject to this
paragraph.
``(B) Condition on disclosure.--The Secretary shall
make a disclosure under subparagraph (A) only to the
extent that the Secretary determines that the
disclosure would not interfere with the effective
operation of the program under this part.
``(C) Use of information.--A State agency may use
information provided under this paragraph only for
purposes of administering a program referred to in
subparagraph (A).''.
(b) Effective Date.--The amendment made by subsection (a) shall take
effect on October 1, 1999.
SEC. 607. IMMIGRATION PROVISIONS.
(a) Aliens Ineligible to Receive Visas and Excluded From Admission
for Nonpayment of Child Support.--
(1) In general.--Section 212(a)(10) of the Immigration and
Nationality Act (8 U.S.C. 1182(a)(10)) is amended by adding at
the end the following:
``(F) Nonpayment of child support.--
``(i) In general.--Any alien is inadmissible
who is legally obligated under a judgment,
decree, or order to pay child support (as
defined in section 459(i) of the Social
Security Act), and whose failure to pay such
child support has resulted in an arrearage
exceeding $5,000, until child support payments
under the judgment, decree, or order are
satisfied or the alien is in compliance with an
approved payment agreement.
``(ii) Waiver authorized.--The Attorney
General may waive the application of clause (i)
in the case of an alien, if the Attorney
General--
``(I) has received a request for the
waiver from the court or administrative
agency having jurisdiction over the
judgment, decree, or order obligating
the alien to pay child support that is
referred to in such clause; or
``(II) determines that there are
prevailing humanitarian or public
interest concerns.''.
(2) Effective date.--The amendment made by this subsection
shall take effect 180 days after the date of the enactment of
this Act.
(b) Authorization To Serve Legal Process in Child Support Cases on
Certain Arriving Aliens.--
(1) In general.--Section 235(d) of the Immigration and
Nationality Act (8 U.S.C. 1225(d)) is amended by adding at the
end the following:
``(5) Authority to serve process in child support cases.--
``(A) In general.--To the extent consistent with
State law, immigration officers are authorized to serve
on any alien who is an applicant for admission to the
United States legal process with respect to any action
to enforce or establish a legal obligation of an
individual to pay child support (as defined in section
459(i) of the Social Security Act).
``(B) Definition.--For purposes of subparagraph (A),
the term `legal process' means any writ, order, summons
or other similar process, which is issued by--
``(i) a court or an administrative agency of
competent jurisdiction in any State, territory,
or possession of the United States; or
``(ii) an authorized official pursuant to an
order of such a court or agency or pursuant to
State or local law.''.
(2) Effective date.--The amendment made by this subsection
shall apply to aliens applying for admission to the United
States on or after 180 days after the date of the enactment of
this Act.
(c) Authorization To Share Child Support Enforcement Information To
Enforce Immigration and Naturalization Law.--
(1) Secretarial responsibility.--Section 452 of the Social
Security Act (42 U.S.C. 652) is amended by adding at the end
the following:
``(m) If the Secretary receives a certification by a State agency, in
accordance with section 454(32), that an individual who is a
nonimmigrant alien owes arrearages of child support in an amount
exceeding $5,000, the Secretary may, at the request of the State
agency, the Secretary of State, or the Attorney General, or on the
Secretary's own initiative, provide such certification to the Secretary
of State and the Attorney General information in order to enable them
to carry out their responsibilities under sections 212(a)(10) and
235(d) of the Immigration and Nationality Act.''.
(2) State agency responsibility.--Section 454 of the Social
Security Act (42 U.S.C. 654) is amended--
(A) by striking ``and'' at the end of paragraph (32);
(B) by striking the period at the end of paragraph
(33) and inserting ``; and''; and
(C) by inserting after paragraph (33) the following:
``(34) provide that the State agency will have in effect a
procedure for certifying to the Secretary, in such format and
accompained by such supporting documentation as the Secretary
may require, determinations for purposes of section 452(m) that
nonimmigrant aliens owe arrearages of child support in an
amount exceeding $5,000.''.
I. INTRODUCTION
A. Purpose and Scope
The Fathers Count Act of 1999 is designed to prevent
children from being reared in fatherless families by supporting
projects that help fathers meet their responsibilities as
husbands, parents, and providers. The bill is aimed at
promoting marriage among parents, helping poor and low-income
fathers establish positive relationships with their children
and the children's mothers, promoting responsible parenting
including the payment of child support, and increasing family
income by strengthening the father's earning power. The
legislation aims to accomplish these goals by awarding grants
to governmental and nongovernmental organizations that apply to
the Secretary of the Department of Health and Human Services;
grants will be awarded on a competitive basis. The legislation
reserves 75 percent of its grant funds for nongovernmental,
especially community-based, organizations.
Preference is given to projects that promote payment of
child support, coordinate with other public and private
agencies, enroll a high percentage of recipients near the time
of the child's birth, and explain in detail how fathers will be
recruited.
The bill also expands eligibility for services under the
Welfare-to-Work program, provides a new penalty procedure for
States that fail to meet the October 1, 1999 deadline for
establishing a State Disbursement Unit in their Child Support
Enforcement program, provides for new uses of the New Hire
Directory in the Child Support Enforcement program to reduce
fraud, eliminates the performance bonus in the Welfare-to-Work
program, provides additional funding for a major study of the
effects of the 1996 welfare reform law (P.L. 104-193), and
expands training funds for court personnel in the child
protection program funded under Title IV-E of the Social
Security Act.
B. Background and Need for Legislation
The results of the 1996 welfare reform law (P.L. 104-193),
which originated in this Committee, have been encouraging. The
combination of the welfare reform law, recent increases in the
Earned Income Credit, and a strong economy has led to a decline
in the welfare rolls, increased employment of poor and low-
income mothers, and reduced child poverty.
However, much remains to be done. As stated clearly in the
purpose section of the 1996 reform legislation, increasing the
number and percentage of American children living in two-parent
families is vital if the nation is to make serious and
permanent progress against poverty. Thus, public policy should
aim to reduce the number of nonmarital births, promote
marriage, and increase the employment prospects of low-income
fathers.
So far, the goal of increasing personal responsibility by
emphasizing more work and fewer births outside marriage has
focused almost entirely on mothers. But single parenting, in
addition to being associated with a very difficult and
stressful family life, will inevitably produce lots of
financial hardship. Even with the impressive array of work
services and income supplements that have increased
dramatically in recent years, a significant fraction of single
parent families will always face economic hardship. Moreover, a
large and growing body of scientific research, which has been
summarized by numerous witnesses at our hearings, shows that
children reared in single-parent families are less likely to
perform well in school, less likely to graduate, more likely to
commit crimes, more likely to have children outside marriage,
and more likely to be on welfare as adults than children reared
in two-parent families.
Thus, the Committee is now following the 1996 reforms with
its next major step in creating a set of policies and programs
aimed at reducing poverty and increasing child well being. More
specifically, the Committee hopes by this legislation to
increase marriage, improve parenting, and increase the income
of fathers. To achieve these goals, we want to encourage
governmental and nongovernmental, including faith based,
organizations to develop programs that help fathers
significantly improve their contribution to family life by
helping them improve their relations with their children and
the children's mothers and by increasing their employment and
earnings. Over the next six years, this legislation would fund
a host of demonstration programs that would develop projects
aimed at helping fathers in these ways. By carefully evaluating
these new projects, we hope to learn how to design and
implement effective programs for fathers and their families.
This legislation also addresses several additional
problems. One of the most important of these is that States and
localities have been unable to fully implement the 1997
Welfare-to-Work legislation. The goal of this legislation was
to provide work programs for the most disadvantaged and least
job-readyadults--including both mothers and fathers--whose
children are on welfare. Thus, Congress drafted a very restrictive
definition of eligibility for Welfare-to-Work benefits. So restrictive,
in fact, that program operators have had great difficulty finding
people qualified for the program. To correct this problem, the
Committee bill loosens the definition of who is eligible for Welfare-
to-Work services while still retaining the focus on the most
disadvantaged and least job-ready.
Another important problem addressed by this legislation is
that several States now face a devastating penalty for failing
to meet Federal requirements in their Child Support Enforcement
program. When this penalty--the complete loss of Federal funds
in both the Child Support Enforcement and Temporary Assistance
for Needy Families programs--was enacted by Congress, it was
thought that only States that were willfully defying Federal
requirements would face the penalty. But just as was the case
last year when the Committee enacted legislation to prevent the
imposition of this strong penalty against several States that
had failed to build effective automatic data processing systems
in their child support program, we once again face a choice of
whether to allow States to be hit by such a penalty. Now at
least eight States appear to have failed to develop a State
Disbursement Unit (SDU) to collect and distribute child support
payments by October 1, 1999 as required by Federal law. Our
hearings have shown that these States appear to be making a
good faith effort to implement their SDU and that most will be
able to do so within the next several months. Hence, this
legislation provides an alternative penalty that will maintain
the incentive for States to finish their SDUs as soon as
possible while avoiding the crisis that would occur if all
Federal funds were cut in both the child support and cash
welfare programs.
C. Legislative History
Committee bill
The Fathers Count Act of 1999, as written by Chairman Nancy
Johnson and Ranking Member Ben Cardin, was considered by the
Subcommittee on Human Resources and ordered favorably reported
to the full Committee, as amended, on October 13, 1999 by a
voice vote, with a quorum present. The bill was then introduced
on October 14, 1999, as H.R. 3073, by Chairman Nancy Johnson
and Ranking Member Cardin. The full Committee on Ways and Means
considered the Subcommittee reported bill on October 21, 1999
and ordered it favorably reported, as amended, on Thursday,
October 21, 1999, by voice vote.
Legislative hearings
The Subcommittee on Human Resources held a hearing on
October 5, 1999, to receive comments on the Fathers Count Act
of 1999 (later introduced as H.R. 3073), the bipartisan
legislation written by Chairman Nancy Johnson and Ranking
Member Cardin. Testimony at the hearing was presented by
scholars, program administrators, foundation executives, and
Members of the U.S. House of Representatives and the U.S.
Senate. The Subcommittee also conducted hearings on April 27,
1999 and July 30, 1998 on fatherhood programs, which included
testimony from the Administration, researchers, advocates,
individuals who have designed and conducted programs for low-
income fathers, and young fathers whose children are on
welfare.
II. EXPLANATION OF PROVISIONS
Sec. 1. Short Title
Present law
No provision.
Explanation of provision
This Act may be cited as the ``Fathers Count Act of 1999''.
Reason for change
Not applicable.
Title I. Fatherhood Grant Program
Sec. 101. Fatherhood Grants
Present law
No provision.
Explanation of provision
The Fatherhood Grant Programs would be added as Sec. 403A
of the Social Security Act.
Reason for change
Based on extensive information, including testimony
presented to the Subcommittee on Human Resources in three
hearings over a 2-year period, a major reason for poverty in
the United States is the rise of single-parent families,
especially those created by nonmarital births. In addition,
research presented in our hearings shows that marriage is good
for both adults and children. While the Committee lauds the
hard work of single parents in raising their children, we
recognize that research suggests that children reared in such
families are more likely to fail in school, be arrested, have
children outside marriage, and go on welfare themselves than
children reared in two-parent families. Thus,programs that work
directly with poor fathers and that emphasize marriage, parenting, and
employment may be able to have an impact on both the number of children
being reared in single-parent families and, where marriage is not a
possibility, to strengthen the relationship between single fathers and
their children, including through the payment of child support. In
drafting this legislation, the Committee also is aware that the welfare
reform legislation of 1996, and indeed most Federal and State social
programs, are aimed primarily at helping single mothers. The Fathers
Count Act specifically extends a public commitment to low-income
fathers by designing programs that attempt to help fathers improve
their financial independence and strengthen their ability to support a
family.
1. Purpose
Present law
No provision.
Explanation of provision
The purposes of the Fatherhood Grant Programs are to:
(1) promote marriage through counseling, mentoring,
disseminating information about the advantages of
marriage, enhancing relationship skills, teaching how
to control aggression, and other methods;
(2) promote successful parenting through counseling,
mentoring, disseminating information about good
parenting practices, training parents in money
management, encouraging child support payments,
encouraging regular visitation between fathers and
their children, and other methods; and
(3) help fathers improve their economic status and
thereby help their families avoid welfare by providing
work first services, job search, job training,
subsidized employment, career-advancing education, job
retention, job enhancement, and other methods.
Reason for change
The approach taken by the Committee in this legislation is
to fund demonstration projects to determine the extent to which
model programs can help reverse the negative impacts of single-
parent families on both adults and children. The most
straightforward solution to these negative impacts is to
increase the incidence of marriage. Whether marriage occurs or
not, a second approach to reducing the problems associated with
single-parent families is to promote the involvement of single
fathers with their children. Even if fathers do not live with
their children, they still have a responsibility to participate
in the child's rearing and to work as a team with the mother to
provide a solid foundation for the child's development. An
important part of the father's responsibility is the provision
of economic support. Since many poor fathers have a weak and
sporadic commitment to the labor force, programs should aim to
increase both the number of employed fathers and the work
skills of employed fathers so they can qualify for higher
paying jobs. The Committee selected these three goals--
increased marriage, better parenting (including payment of
child support), economic improvement--because they all can
contribute in fundamental ways to helping families avoid
poverty and helping children develop into competent adults.
2. Fatherhood Grants
a. Applications
Present law
No provision.
Explanation of provision
An entity desiring to carry out a project may submit to the
Secretary an application that contains the following:
(1) a description of the project and how the project
will be carried out;
(2) a description of how the project will address all
three purposes;
(3) a commitment that the project will enroll
individuals who are the father of a child who is, or in
the past 24 months has been, a recipient of benefits
from the Temporary Assistance for Needy Families or the
Welfare-to-Work programs or a father or expectant or
married father with income below 150 percent of the
poverty line after paying court-ordered child support;
and
(4) a commitment that the project will obtain support
from non-Federal sources (including in-kind
contributions) equal in value to 20 percent of the
grant. The Secretary may reduce this match requirement
to as low as 10 percent if the project demonstrates it
has limited ability to raise funds or obtain resources.
Reason for change
The Committee expects that entities wishing to conduct
fatherhood projects will submit applications that provide
thorough information on how many fathers (and in many cases,
mothers) will be enrolled, how they will be recruited, how long
they will be enrolled, the specific types of activities in
which they will participate, the type of staff and facilities
that will be required to conduct the project, the types of
private and public organizations that will participate in the
project, and other information deemed necessary by the
Secretary. Sponsoring entities are expected to make a
substantial commitment either in cash or in kind to the conduct
of the project. However, we are aware that some sponsoring
entities, especially those supported by community-based
organizations in poor areas, may have difficulty raising money
or resources to provide the required match. Thus, we are
providing authority for the Secretary to reduce the match to as
low as 10 percent if the entity sponsoring the project presents
adequate justification in its application. Because projects can
count in-kind contributions such as volunteer time (which
should be valued at the typical wage for work of that type in
the local area) and use of donatedmaterials and facilities, we
believe most projects should be able to accumulate the resources needed
to provide the necessary match.
b. Consideration of Applications by Interagency Panels
Present law
No provision.
Explanation of provision
Two, 10-member Panels are established to review
applications and make recommendations to the Secretary
regarding which applicants should be awarded grants. Each
bipartisan Panel is appointed by the Administration and by
Congress, serves without compensation, and must be terminated
within 6 months of the last member's appointment. Appointments
for each Panel are made by the Secretary (2 appointments), the
Secretary of Labor (2), the Chairman of Ways and Means (2), the
Ranking Member of Ways and Means (1), the Chairman of the
Committee on Finance (2), and the Ranking Member of the
Committee on Finance (1).
Reason for change
Given the bipartisan support for this legislation, and the
substantial agreement on the purposes and methods that should
be used to increase the involvement of poor fathers in the
lives of their children and the children's mothers, the
Committee is expecting that individuals selected to review
project applications will work together on a harmonious basis.
Those in the Administration and Congress making the selections
for members of the Panel should attempt to select individuals
who have knowledge of or experience with fatherhood projects
and who have demonstrated the ability to work together with
colleagues in a cooperative manner. We have authorized two
Panels because we want to initiate fatherhood projects as
rapidly as possible but we are also aware that the 2000
elections will change the membership of both the Administration
and Congress. Thus, it seems reasonable to have one Panel
appointed by those currently in Congress and the Administration
and to have a second Panel appointed by the new Congress and
the new Administration chosen by the American people in the
2000 elections.
c. Matching Grants
(1) Timing
Present law
No provision.
Explanation of provision
The first Panel will be appointed by 1 March, 2000 and will
select projects to recommend to the Secretary for funding under
the Title I Fatherhood Grant Program by 1 September, 2000. The
projects would begin on or after 1 October, 2000 and would be
funded at $70 million over four years. The second Panel will be
appointed between 1 January, 2001 and 1 March, 2001. This Panel
will select projects to recommend to the Secretary for funding
by 1 September, 2001. This second set of projects would begin
on or after 1 October, 2001 and would be funded at $70 million.
Mothers are eligible for services on the same basis as fathers
under the Fatherhood Grant Program because the Committee
recognizes that some low-income mothers may benefit from these
services.
Reason for change
The Committee realizes that the Panels will be operating on
a tight schedule. However, the gravity of the problems being
addressed by the fatherhood projects should provide the
motivation needed to ensure that Congress and the
Administration make Panel appointments in a timely fashion and
that the Secretary move expeditiously to bring the Panels
together and to provide them with the support that will be
needed to function efficiently and effectively. Each Panel will
recommend $70 million in projects to the Secretary, but the
number of projects funded and the amount of money per project
is left entirely to the discretion of the Panels and the
Secretary. The justification for this approach is that
decisions will hinge in major part on the number and quality of
project applications submitted. Only by examining the entire
pool of applications can good decisions be made about which
ones to fund and at what level. The Committee assumes that the
Panels, if adequately prepared by the Secretary in advance,
will be able to make their selections in one meeting.
(2) Preferences
Present law
No provision.
Explanation of provision
Preference must be given to projects that:
(1) include policies to encourage payment of child
support such as providing all collections on arrearages
to families that have left welfare, having agreements
with the State child support agency that the State will
cancel child support arrearages owed by the father to
the State in proportion to the length of time the
father pays child support or resides with the child,
and helping fathers improve their credit rating;
(2) have written agreements of cooperation with other
agencies, including the State or local Temporary
Assistance for Needy Families program, the Workforce
Investment Board, and theState or local Child Support
Enforcement agency;
(3) enroll a high percentage of participants within 6
months before or after the child's birth; or
(4) have a clear and practical plan for how fathers
will be recruited.
Reason for change
In earlier drafts of this legislation, we included more
requirements and fewer preferences to guide the selection of
projects. But based on testimony at our hearing and other
communications provided to the Committee, we have moved away
from all but one requirement (see below) and adopted instead
the approach of requiring the Panels and the Secretary to
provide a preference for projects that display any or all of
four characteristics. The Committee agrees on a bipartisan
basis that each of these characteristics are exceptionally
important to the successful operation of fatherhood projects.
However, we are concerned that requiring projects, or a certain
percentage of projects, to meet these requirements has the
potential to greatly reduce the number of projects that could
qualify for participation. The Committee hopes to attract a
wide variety of entities to submit applications, including
community-based entities that may not have extensive experience
in meeting Federal requirements. In short, we face a trade-off
between lots of requirements on the one hand and attracting
many and varied entities able to meet the requirements on the
other hand. The compromise we reached is to convert
requirements to preferences and rely on the Panels and the
Secretary to use good judgment in selecting projects that will
maximize both the variety of sponsoring entities and the
chances that the purposes of this legislation will be achieved.
The four specific preferences we included reflect both
research brought to the Committee's attention and testimony
presented in our various hearings. In the past, Child Support
Enforcement agencies have functioned primarily to collect money
from noncustodial parents, primarily fathers. Many of these
agencies have adopted a very tough stance toward fathers who do
not pay child support--a stance, we must point out, that is
consistent with Federal child support statutes. But in recent
years, a number of State and local child support agencies have
started to work with fathers to help them solve problems that
often interfered with their willingness and desire to pay child
support. The 1996 welfare reform law facilitated this process
by authorizing and funding Access and Visitation grants that
are now being operated in every State. These projects have
tried to help parents with custody and visitation issues by
attempting to mediate agreements between mothers and fathers.
Thus, the Committee wants the fatherhood projects to continue
this movement toward cooperation between mothers, fathers, and
child support agencies.
In addition, we have received extensive testimony that
young poor fathers often have substantial child support
arrearages by the time they are 20 or 21 years of age. If they
enroll in a project at that time with the intent of playing a
more responsible role in the life of their family, they are
greatly handicapped by a child support debt that can be many
thousands of dollars. Given the low income these poor fathers
typically earn, it is often demoralizing for them to face such
a large burden of debt. We have been pleasantly surprised that
advocates for both mothers and fathers seem to agree that if
fathers will begin paying child support on a regular basis, the
nonpayment of arrearages should not be a constant legal threat
against the father. In fact, we strongly encourage projects
that will actually forgive arrearages owed to the State in
proportion to the length of time fathers pay child support or
live with their children. The Committee strongly encourages
applications that pursue additional methods of encouraging
fathers to pay child support, including by helping fathers
spend more time with their children.
This emphasis on child support demonstrates the importance
of the Committee's second preference, namely, of funding
entities that have working relationships with other agencies.
Not only would it be advantageous for fatherhood projects to
work with child support agencies, but it also would be useful
to work with other private and government organizations that
can help achieve the purposes of this legislation. Coordination
with the Temporary Assistance for Needy Families (TANF) program
and with local Workforce Investment Boards, for example, can
help projects take advantage of programs that have a strong
record of helping people get jobs and improve their job skills.
In most cases, fathers participating in the fatherhood projects
would qualify for work and training benefits under these other
programs, thereby allowing the fatherhood project to use their
own resources to achieve other purposes. Despite the many
advantages of coordination with these organizations, the
Committee was made aware through testimony and other means that
community-based projects often have difficulty making contact
with and then establishing a working relationship with other
agencies. For this reason, we do not want to make coordination
a requirement of funding and thereby reduce the number of local
entities that could qualify for funds.
The third preference is for projects that begin near the
time of the child's birth. Recent research, called to the
attention of the Subcommittee on Human Resources by many of our
witnesses and summarized in the record of our April 27, 1999
hearing by Professor Sara McLanahan of Princeton University,
shows that as many as half the parents of children born outside
marriage are living together at the time of the birth. Equally
impressive, up to 80 percent of the parents say they are in a
serious relationship that could lead to marriage. Given this
surprising and encouraging situation, it seems to make great
sense to work with these young couples and help them maintain
and perhaps even improve their relationship by providing them
with role models of marriage, by helping them with finances and
family planning, by assisting with parenting, and by providing
other types of assistance. A vital part of this approach would
be to help fathers improve their economic prospects so they can
provide firm financial support to their family. The Committee
has adopted the approach of encouraging projects to begin
working with parents at the time of a nonmarital birth, but
without imposing inflexible requirements on how many projects
must adopt this strategy.
Finally, we heard repeatedly in testimony that fatherhood
projects have had some difficulty in identifying and recruiting
fathers. Thus, we want the Panels and the Secretary to
carefully scrutinize the recruitment plan of entities
submitting applications and favor projects that have a well
conceived plan and a record of attracting fathers to their
programs.
(3) Minimum Percentage of Grants for Nongovernmental Organizations
Present law
No provision.
Explanation of provision
Not less than 75 percent of the organizations receiving
funds must be nongovernmental (including faith-based)
organizations. Governmental organizations that pass through at
least 50 percent of their money to nongovernmental
organizations count toward the 75 percent.
Reason for change
The requirement that 75 percent of the funded entities must
be nongovernmental, including faith-based, organizations is one
requirement the Committee is retaining from previous versions
of the bill. Members of the Committee strongly believe that
local organizations that have their roots in the community are
best situated to gain the trust of fathers. The fact is that
fatherhood programs are in the business of producing
substantial changes in the behavior of fathers. To achieve this
end, it is a requirement to gain the trust of fathers and to
design programs that are tailored to the problems, needs, and
traditions of local communities. In many cases, it may be
possible to gain the benefits of community-based organizations
and larger, more resource rich, and more experienced
governmental organizations by designing cooperative projects in
which community organizations and government agencies join
forces to prepare grant proposals and conduct integrated
projects.
(4) Diversity of Projects
Present law
No provision.
Explanation of provision
In determining which applications to award grants, the
Secretary must attempt to achieve balance among projects to be
conducted by entities of different sizes, in differing
geographical regions, in urban vs. rural areas, and in
employing differing methods of achieving the purposes of this
program. The Committee is requiring the Secretary to present a
brief report to the Committee on Ways and Means and the
Committee on Finance within two months after each round of
grants have been awarded. The report must summarize the types
of projects funded and the Secretary's views on why diversity--
especially a balance of urban and rural projects--has been
achieved.
Reason for change
The Committee wants to be certain that small, community-
based organizations are not placed at a disadvantage in the
competition for fatherhood funds under this legislation.
Because large entities with big budgets and government agencies
usually have an advantage in grant competitions, we want to
take steps to be certain that a major portion of grant funds
under this legislation supports community-based organizations.
We are hopeful that prospective grantees will capture the
advantages offered by both the smaller and less formal
community organizations and those of bigger, better-connected,
and more experienced governmental organizations by presenting
collaborative projects. The Committee also believes it is
important to have several projects that serve rural areas.
(5) Payment of Grant in Four Equal Annual Installments
Present law
No provision.
Explanation of provision
During the four fiscal years of each project awarded a
grant, the Secretary must provide to each project an amount
equal to \1/4\th of the grant amount.
Reason for change
Regular payments will ensure that projects can pay their
bills in a planned and consistent fashion.
d. Use of Funds
(1) In General
Present law
No provision.
Explanation of provision
Projects must use funds in accord with the application
request, the requirements of this section, and the regulations
prescribed in this section. Funds may be used to support
community-wide initiatives to achieve the purposes of this
part.
Reason for change
All projects receiving funds under the fatherhood grant
program must operate in accord with the provisions established
by their grant proposal and by the statute and the regulations
that govern this program. The Committee wants to emphasize that
all projects must address all three purposes of the
legislation. We do not expect that all projects will provide
equal weight to all three purposes, but the activities
described in their application and their actual use of
resources must reflect the projects' commitment to achieving
all three purposes.
(2) Worker Nondisplacement
Present Law
The Temporary Assistance for Needy Families program
prohibits participants engaging in a work activity from filling
a job vacancy if any individual is on layoff from the same or
an equivalent job with that employer or if the employer has
terminated the employment of any regular employee to create the
vacancy.
Explanation of provision
The worker nondisplacement provision from the Temporary
Assistance for Needy Families program, slightly modified, is
applied to the Fatherhood Grant Program.
Reason for change
The purpose of including nondisplacement language is to
ensure that currently-employed workers will not be replaced by
workers participating in the fatherhood program.
(3) Rules of Construction
Present law
No provision.
Explanation of provision
Fathers participating in grant projects are not required by
Federal law to leave the project if their economic
circumstances change. The Secretary is not authorized to define
marriage for the purposes of this program.
Reason for change
The Committee has approved two rules of construction. Once
fathers have enrolled in the fatherhood program, they should
not be required to leave the program if their economic
circumstances improve. Particularly because a major program
goal is to increase fathers' employment and income, it would
make little sense to reward successful fathers by dropping them
from the program if they are no longer poor. In many cases,
even fathers who have improved their income may need assistance
with the other purposes of this project. In addition, fathers
economic circumstances may fall just as quickly as they
improved. The Committee wishes to leave the definition of
marriage to the States.
(4) Penalty for Misuse of Funds
Present law
No provision.
Explanation of provision
Projects that spend money for unauthorized purposes must
forfeit all their remaining funds and remit to the Secretary an
amount equal to the amount misused. In addition, the entity is
ineligible for future grants.
Reason for change
There is no justification for misusing funds from the
fatherhood grant program. Thus, any project that violates the
Use of Funds requirements must repay all the money they
misspent, remit all unused funds to the Secretary, and be
ineligible for further participation in the program.
(5) Remittance of Unused Grant Funds
Present law
No provision.
Explanation of provision
Any funds remaining at the end of the 5th fiscal year
ending after the initial grant award must be returned to the
Secretary.
Reason for change
We are providing projects with four years of funding and a
fifth year to spend any money that remains after the four years
of project funding. It is our hope that entities funded by the
fatherhood grant program may be able to use the fifth year as a
transition period during which the project can secure State,
local, or private funds to continue their activities.
e. Authority of State Agencies to Exchange Information
Present law
States must have in place a series of privacy protections
in their Child Support Enforcementprogram. These protections
include safeguards against unauthorized disclosure of information,
including the release of addresses of individuals involved in the child
support system.
Explanation of provision
State and local agencies administering the TANF program,
the Welfare-to-Work program, and the Child Support Enforcement
program may share information on fathers to determine their
eligibility to participate in programs and to contact eligible
fathers (subject to applicable privacy laws). The information
that can be exchanged is the name, address, telephone number,
and case number of the father or the father's child.
Reason for change
The Committee has received extensive information from State
and local agencies conducting Welfare-to-Work programs as well
as from private entities conducting fatherhood programs that it
is often difficult to obtain information from government
agencies. For projects trying to work with fathers of children
on welfare, a major goal is to identify and contact these
children's fathers so they can be invited to participate. For
this reason, the Committee is granting authority to the TANF
program, the Welfare-to-Work program, and the Child Support
Enforcement program to grant only the name, address, telephone
number, and case number of fathers for participation in
projects under this legislation. We are carefully limiting
access to only the information needed to contact fathers.
Moreover, all applicable privacy laws apply to this provision,
thereby insuring that any government agency and any individual
violating these terms is subject to penalties.
f. Evaluation
Present law
No provision.
Explanation of provision
The Secretary must reserve $6 million to conduct scientific
evaluations of fatherhood projects funded under this title and
under Title II: Projects of National Significance. Evaluation
funds can be spent throughout the six years of the fatherhood
grants (2001-2006) plus one additional year (2007).
Reason for change
A major goal of the fatherhood grant program is to discover
whether high quality programs can increase marriage, improve
parenting, and increase the employment or income of fathers.
Thus, we are providing the Secretary with substantial resources
to conduct a scientific evaluation of the best programs to
determine whether they can in fact effect these and other
outcomes of interest and, if so, what types of projects and
activities are most likely to produce these outcomes. Funds for
the evaluation begin the year before projects actually start in
2001 and can be spent throughout the life of both waves of
fatherhood projects and then for one year afterward. It is the
hope of the Committee that HHS or its contractor will proceed
by studying high quality fatherhood programs funded both by
Titles I and II of this legislation, by selecting the best
projects for evaluation, by working with the projects to create
random assignment studies where possible, and by collecting
outcome information throughout the life of the project and
perhaps even after fathers leave the project. This approach
will ensure a maximum of information for Congress and others to
determine whether the fatherhood projects have been effective.
g. Regulations
Present law
No provision.
Explanation of provision
The Secretary must prescribe such regulations as may be
necessary to carry out this section.
Reason for change
If the Secretary deems that regulations are necessary to
carry out the statutory provisions of this legislation,
Congress provides her with the authority to create such
regulations. Providing the Secretary with this authority is
necessary to ensure the smooth implementation of most social
programs enacted by Congress.
h. Funding
Present law
No provision.
Explanation of provision
A total of $150,000 is made available in Fiscal Years 2000
and 2001 for the Interagency Panels. For the Fatherhood Grant
project, $17.5 million is made available for fiscal year 2001,
$35 million for fiscal years 2002 through 2004, and $17.5
million for fiscal year 2005. For the evaluation, $6 million is
made available for the years 2000 through 2007. Projects that
begin in fiscal year 2001 can spend funds through the end of
fiscal year 2005; projects that begin in fiscal year 2002 can
spend fundsthrough the end of fiscal year 2006.
Reason for change
The Committee is allocating funds totaling about $140
million in budget authority for the fatherhood grant program.
This amount is believed to be sufficient to mount several dozen
projects throughout the nation, in both urban and rural areas,
to determine which fatherhood programs and approaches are most
effective in achieving the purposes of promoting marriage,
improving parenting, and increasing fathers' employment and
earnings. A total of $150,000 is set aside for the Panels,
primarily to pay for travel expenses for the Panels to meet in
some central location. The Committee believes each Panel should
need one meeting to determine its recommendations to the
Secretary. We assume that members of the Panels will be
organized and provided with materials by the Secretary before
meeting and that projects will be assigned to individual
members of the Panels for review in order to facilitate
efficient decisions about funding. The $6 million in funding
set aside for the evaluation is assumed, based on similar
evaluations in the past, to be adequate to conduct the type of
evaluation outlined above.
3. Authority to States To Pass Through Child Support Arrearages
Collected Through Tax Refund Intercept to Families Who Have Ceased To
Receive Cash Assistance; Federal Reimbursement of State Share of Such
Passed Through Arrearages
Present law
States may retain both payments on current support and
payments on arrearages made by noncustodial parents while the
custodial parent is receiving cash payments under the Temporary
Assistance for Needy Families (TANF) program. Once the
custodial parent leaves TANF, however, payments on current
support are given to custodial parents and payments on
arrearages are generally split between the custodial parent,
the State government, and the Federal government. More
specifically, States may retain, and must split with the
Federal government, arrearage payments obtained through the
Federal tax intercept program. All payments on arrearages
obtained through other means must be paid to the family.
Explanation of provision
Regardless of State policies with respect to the pass
through of child support arrearages, the State may give the
family both the State and Federal shares of arrearages paid by
fathers participating in the Fatherhood Program (if the family
does not receive cash welfare). If the State elects this
policy, the Federal Government will pay both the Federal share
and the State share of arrearage payments obtained through tax
offsets for fathers participating in the grant program.
Reason for change
In order to increase the incentive for States to pass
through all arrearages, including those from the tax intercept
program they are entitled to retain for themselves and the
Federal government under current law, the Federal government
will absorb the entire cost of the provision for fathers
participating in a project funded by this legislation.
4. Applicability of Charitable Choice Provisions of Welfare Reform
Present law
Section 104 of the Personal Responsibility and Work
Opportunity Reconciliation Act of 1996, often referred to as
``charitable choice'', authorizes States to administer and
provide family assistance services through contracts with
charitable, religious, or private organizations. Under this
provision religious organizations are eligible on the same
basis as any other private organization to provide assistance
as contractors as long as their programs are implemented
consistent with the Establishment Clause of the Constitution. A
religious organization administering the program may not
discriminate against beneficiaries on the basis of religious
belief or refusal to participate in a religious practice.
States must provide an alternative provider for a beneficiary
who objects to the religious character of the designated
organization.
Explanation of provision
The charitable choice provision of the 1996 welfare reform
law applies to the Fatherhood Program.
Reason for change
The Committee believes that religious organizations have an
important role to play in the nation's social policy. We oppose
any action that would provide an advantage in funding to faith-
based organizations, but it seems unwise to eliminate them from
the competition between entities that can design and conduct
the best projects to promote marriage, promote better
parenting, and help fathers increase their earnings. In fact,
promoting marriage and better parenting, as well as solving
some of the barriers to employment such as addictions, are
issues that would seem to be reasonable for churches and other
faith-based organizations to address. The goal of the Committee
in adopting this provision is simply to level the playing field
so that faith-based entities can have their applications
considered on the same basis as secular entities.
Title II. Fatherhood Projects of National Significance
sec. 201. fatherhood projects of national significance
1. National Clearinghouse
Present law
No provision.
Explanation of provision
To establish a National Clearinghouse on Fatherhood, the
Secretary must make a $5 million grant to a nationally
recognized nonprofit fatherhood promotion organization with at
least four years experience in disseminating a national public
education campaign and in providing consultation and training
to community-based organizations interested in implementing
fatherhood programs. The National Clearinghouse will:
(1) develop a media campaign that encourages the
involvement of both parents in the life of their
children, and encourages responsible fatherhood and
marriage;
(2) collect, evaluate, and disseminate information to
States about media campaigns promoting marriage and
fatherhood programs;
(3) develop and disseminate materials to help young
adults manage their money and plan for future
expenditures; and
(4) compile and distribute a list of all the sources
of public support for education and training for young
adults.
Reason for change
The Committee hopes to establish a national movement of
fatherhood projects addressed to helping young, especially
poor, fathers become better husbands, parents, and providers.
In addition to establishing a network of demonstration
programs, it is our intent to initiate a national Clearinghouse
that will produce, collect, and distribute information about
fatherhood and fatherhood programs to State and local projects
throughout the nation. Thus, we are providing funds for four
years of operation for such a clearinghouse. In addition to
collecting and distributing materials, we are directing the
Clearinghouse to create a list of the education benefits
provided by the State and Federal governments to young adults
and adults paying for education and training beyond or in lieu
of high school. The Committee has been impressed with the large
number of programs that provide such education and training
benefits, and with the near certainty that most young people do
not know these benefits exist or how to gain access to them.
Hence our requirement that the Clearinghouse produce and widely
distribute the list.
It is the expectation of the Committee that the
Clearinghouse will provide most material free of charge to
those who need it. However, it may be appropriate for some
consumers of Clearinghouse material to pay fees. The Committee
expects the Secretary to determine circumstances under which
fees would be appropriate and the level of fees the
Clearinghouse could charge.
2. Multicity Fatherhood Projects
a. In General
Present law
No provision.
Explanation of provision
The Secretary must award a $5 million grant to each of two
nationally recognized nonprofit fatherhood promotion
organizations to conduct projects aimed at achieving the
purposes of this legislation (promoting marriage, promoting
better parenting, and increasing fathers' income).
Reason for change
The Committee wants to ensure that some experienced and
tested fatherhood organizations mount demonstration programs in
major cities. Through our hearings and research, we have found
that there are several organizations that have sponsored
fatherhood programs in inner-city areas and that have
experience working with Child Support Enforcement and other
government agencies. We believe these organizations have the
capacity and experience to design and conduct fatherhood
programs that have a good chance of producing important
outcomes. Thus, we are directing the Secretary to fund two such
organizations to conduct model programs in three cities. The
Committee also expects these model projects to provide
information about their program to the Clearinghouse so that
their programs and products can be disseminated throughout the
nation.
b. Requirements
Present law
No provision.
Explanation of provision
To qualify for consideration, an entity submitting a grant
application must have:
(1) several years experience designing and conducting
fatherhood programs;
(2) experience simultaneously conducting fatherhood
projects in more than one major city and in
coordinating these programs with local government
agencies and private, nonprofit agencies including
State or local agencies responsible for Child Support
Enforcement and agencies responsible for employment
services;
(3) a grant application that provides for projects to
be conducted in three major cities; and
(4) at least one of the organizations must have
extensive experience in using married couples to
deliver their program in the inner-city.
Reason for change
To create the greatest chance of having projects that
produce measurable impacts on marriage, parenting, or fathers
income, we are establishing a fairly rigorous set of standards
for projects that may submit an application and be approved by
the Secretary. We believe this set of standards will result in
the selection of highly competent organizations.
3. Payment of Grants in Four Equal Annual Installments
Present law
No provision.
Explanation of provision
For each of fiscal years 2002 through 2005, the Secretary
must provide to each project awarded a grant an amount equal to
\1/4\th of the grant amount.
Reason for change
Paying the grant in four equal parts assures that projects
can plan the flow of funds into their budget while reducing the
likelihood that projects will spend most of their funds before
the year ends. In addition, quarterly payments will allow the
recovery of more money if projects should lose their grant
because of unauthorized expenditures.
4. Funding
Present law
No provision.
Explanation of provision
For each of fiscal years 2002 through 2005, $3,750,000 is
made available for grants for the National Clearinghouse and
for the two multicity projects.
Reason for change
Based on our understanding of the magnitude of the tasks at
hand, as well as our review of the budget of some fatherhood
projects, we assume that the national Clearinghouse can be
operated for a little more than $1 million per year and each of
the two multicity projects can be operated for a little more
than $400,000 per city per year or about $1.25 million per
project per year. The total cost of all three projects will be
$3.75 million per year.
Title III. Welfare-To-Work Program Eligibility
Sec. 301. Flexibility in Eligibility for Participation in Welfare-To-
Work Program (this title amends Sec. 403(a) of the Social Security Act)
1. Hard-To-Employ Long-Term Recipients
Present law
At least 70 percent of Welfare-to-Work funds must be spent
on Temporary Assistance for Needy Families (TANF) recipients or
noncustodial parents who meet each of the following
requirements. First, the recipient or the noncustodial parent
must meet at least two of the following requirements:
(1) be a school dropout or have no general
equivalency degree, and have low skills in reading or
math;
(2) require substance abuse treatment for employment;
and
(3) have a poor work history.
Second, the recipient must either have received Aid to Families
with Dependent Children (AFDC) or TANF for 30 months (not
necessarily consecutive) or be within 12 months of losing
eligibility because of a time limit.
Explanation of provision
Funds may be spent on TANF recipients who meet two sets of
requirements. First, at least one of the following must apply
to the TANF recipient:
(1) be a school dropout with no GED;
(2) requires substance abuse treatment for
employment;
(3) have a poor work history;
(4) have English, reading, writing, or computing
skills at or below 8th grade level;
(5) be homeless;
(6) be disabled;
(7) be a victim of domestic violence; and
Second, the recipient must either have received AFDC/TANF for
30 months (not necessarily consecutive) or be within 12 months
of losing eligibility because of a time limit.
Reason for change
Based on testimony during our hearings and both
correspondence and telephone calls received by the Committee
over the past year or so, many State and local governments have
experienced great difficulty in finding individuals who are
qualified to participate in the Welfare-to-Work program. When
the Committee, on a bipartisan basis and in collaboration with
the Administration, wrote the original participation
requirements in 1997, everyone agreed that the criteria for
participation in the Welfare-to-Workprogram should be very
restrictive to ensure that only the most disadvantaged individuals and
those with the most serious barriers to work would be qualified. It now
appears that we were too successful in making the criteria for
participation restrictive. Thus, we are loosening the criteria to
enable more individuals to participate in the program. However, the
criteria are still more restrictive than those for being accepted into
the Temporary Assistance for Needy Families program. The Committee
expresses its view that the original purpose of the Welfare-to-Work
program--to help those with the most serious barriers to work--is still
valid. The Secretary of Labor and State and local officials are urged
to do everything possible to ensure that those with the most and most
serious barriers to work receive services under this program.
2. Noncustodial Parents
Present Law
Same as ``1'' above.
Explanation of provision
To qualify for benefits, noncustodial parents must meet two
sets of requirements. First, the noncustodial parent must be
unemployed, underemployed, or having difficulty paying child
support. Second, at least one of the following must apply to
the noncustodial parent's child:
(1) the minor child (or custodial parent) must have
received assistance for 30 months or be within 12
months of a time limit that would result in loss of
assistance;
(2) the minor child must be eligible for or receiving
TANF benefits;
(3) the minor child must have left TANF within the
past 12 months;
(4) the minor child must be eligible for or receiving
benefits from the Food Stamp program, the Supplemental
Security Income program, the Medicaid program, or the
State Children's Health Insurance Program.
In addition to these two requirements, in order to participate
in the program the noncustodial parent must be in compliance
with a written or oral personal responsibility contract
developed in cooperation with the local Child Support
Enforcement agency that includes a commitment by the
noncustodial parent to:
(1) cooperate in establishing paternity (if
necessary) and a child support order;
(2) pay child support (the order may be modified in
accord with the father's ability to pay); and
(3) work in order to make regular child support
payments or, for those under age 20, participate in
high school education or education directly related to
employment.
The contract must also contain a description of services
offered to the noncustodial parent and a commitment by the
noncustodial parent to follow the agreement. This requirement
applies only to individuals enrolled after the date of
enactment of this legislation. The Secretary may waive the
child support requirement if projects lack the capacity to
coordinate with the child support agency. The project is also
required to take various steps to protect parents and children
against domestic violence.
Reason for change
The Committee has been delighted to learn through testimony
and reports from the Department of Labor and the General
Accounting Office that almost 40 or nearly one-fifth of
projects funded with Welfare-to-Work funds involve the
noncustodial parents of children on welfare. Thus, in rewriting
the criteria for participants in the Welfare-to-Work program,
we have elected to write a separate set of criteria for
fathers. It is our intent to facilitate the participation of
fathers in the Welfare-to-Work program by clarifying the entry
criteria and by making them less restrictive than current
standards.
3. Recipients with Characteristics of Long-Term Dependency; Children
Aging Out of Foster Care
Present law
No provision.
Explanation of provision
Children who are 18 but not 25 years of age who have left
foster care are eligible to participate in the Welfare-to-Work
program.
[Note: Former foster care youths can only be served with the
portion of Welfare-to-Work funds set aside for individuals with
characteristics associated with long-term welfare dependency
(up to 30 percent of Welfare-to-Work funds).]
Reason for change
The Committee has passed separate legislation (H.R. 1802)
this year designed to help children leaving foster care make
the transition to self sufficiency. The overwhelming majority
of children in foster care have characteristics that place them
at risk for unemployment as young adults. In fact, the
Committee has received extensive information that these young
adults suffer from a host of bad outcomes, including high rates
of unemployment and dropping out of the labor force. Thus, it
is entirely appropriate to make them eligible for services
under the Welfare-to-Work program.
4. Custodial Parents with Income Below Poverty Line Who Are Not on
Welfare
Present law
No provision.
Explanation of provision
Custodial parents with incomes below the poverty level who
are not receiving assistance under the Temporary Assistance for
Needy Families (TANF) program are eligible to participate in
the Welfare-to-Work program.
Reason for change
The Committee received requests from advocacy groups for
the homeless to allow poor custodial parents not participating
in the TANF program to qualify for services under the Welfare-
to-Work program. Because work is one of the surest ways to
avoid homelessness, the Committee is pleased to comply with
this request.
Sec. 302. Limited Vocational Educational Training as Allowable Activity
Present law
Welfare-to-Work funds can be spent on the following
activities:
(1) Community service work or work experience;
(2) Wage subsidies;
(3) On-the-job training;
(4) Public or private contracts for programs of job
readiness, placement, and post-employment services;
(5) Job vouchers;
(6) Job retention or other support services, if such
services aren't otherwise available.
Explanation of provision
Vocational educational training for a maximum of 6 months
is defined as an additional allowable Welfare-to-Work activity.
Reason for change
A host of State and local governments asked the Committee
to broaden the education and work-related activities for which
Welfare-to-Work funds can be used. The original legislation,
developed on a bipartisan basis, defined allowable activities
to include only those that actually involved work or were
directly related to work. After discussion, the Committee is
agreeing to add vocational education for a maximum of 6 months
to the list of allowable activities. This action will provide
Welfare-to-Work projects with a major new activity that many of
them believe will lead to more and better employment for their
participants, but will still retain most of the work first
focus of the original legislation.
Sec. 303. Certain Grantees Authorized to Provide Employment Services
Directly
Present law
Job readiness, placement, and post-employment services must
be provided for through contracts with public or private
providers or vouchers; they cannot be provided directly by
Workforce Investment Boards.
Explanation of provision
The Committee provision would allow entities other than
Workforce Investment Boards that conduct Welfare-to-Work grant
projects to provide direct services.
Reason for change
Congress does not want the Workforce Investment Boards to
be involved in the direct provision of services. However, if
other private or governmental agencies receive Welfare-to-Work
grants, there should be no prohibition on direct services. The
fundamental goal of the Workforce Investment Boards is to plan
and coordinate. Other agencies do not necessarily have these
primary missions. Thus, Congress does not wish to eliminate all
organizations providing direct services from conducting
Welfare-to-Work programs.
Sec. 304. Simplification and Coordination of Reporting Requirements
Present law
States are required to collect monthly and report quarterly
data on families, adults, and children receiving TANF
assistance. This report includes data elements for activities
funded under the Welfare-to-Work program; the total amount
expended during the month on the family for each welfare-to-
work activity; wages paid and the amount of the wage subsidy
paid by the Welfare-to-Work program for families engaged in
subsidized employment and on-the-job training; and if the
family ended participation in the program due to a family
member obtaining employment, the wage paid to the family
members, and the reason participation in the program was
terminated (for example, obtaining employment or increased
wages).
Explanation of provision
The data reporting requirements imposed on entities
carrying out Welfare-to-Work projects are repealed (TANF data
reporting requirements are not affected by this provision). In
their place, the Committee is requiring the Secretary of Labor,
in consultation with the Secretary of HHS and State and local
governments, to establish a new set of reporting requirements.
Reason for change
Based on testimony and direct discussions with State and
local governments, as well as with the National Conference of
State Legislatures and the American Public Human Services
Association, the Committee has come to the conclusion that the
data reporting requirement in the Welfare-to-Work legislation
are too extensive and complex and would cost too much for
entities conducting programs to meet. Thus, we are repealing
the requirement and requiring the Secretary of Labor, in
consultation with the Secretary of HHS and State and local
governments, to develop a new and more reasonable and
affordable data reporting requirement.
Sec. 305. Use of State Information to Aid Administration of Welfare-To-
Work Formula Grant Funds
Present law
States are permitted to share and compare Child Support
Enforcement information with other Federal and State programs
to carry out the Child Support Enforcement program. TANF State
plans are required to describe the steps the State deems
necessary to restrict the disclosure of information about
individuals and families receiving TANF assistance.
Explanation of provision
States are permitted to share Child Support Enforcement
information with the Workforce Investment Boards that are
conducting projects under the Welfare-to-Work program. The
information that can be shared is limited to the name, address,
phone numbers, and case identifying information of noncustodial
parents residing in the Workforce Investment area. The
authorized purpose of this information sharing is to allow the
Workforce Investment Board to contact noncustodial parents
about participation in a Welfare-to-Work program.
Reason for change
Through testimony and other forms of contact with entities
conducting Welfare-to-Work projects, we have learned that many
projects have difficulty locating and contacting noncustodial
parents. Because the Committee strongly endorses the goal of
including noncustodial parents in the Welfare-to-Work program,
we are authorizing Child Support Enforcement programs to share
only identifying information with Welfare-to-Work projects
being conducted by Workforce Investment Boards. Because of our
concern with privacy of information held by the Child Support
program, we are authorizing disclosure of only a modest amount
of information and then only to Workforce Investment Boards.
The Committee regrets not sharing this information with
nongovernmental entities conducting projects, but privacy must
be an overriding concern. The Committee admonishes all
government entities that gain information from Child Support
agencies to strictly observe State and Federal privacy laws in
using this information.
Title IV. Alternative Penalty Procedure Relating to State Disbursement
Units
Sec. 401. Alternative Penalty Procedure Relating to State Disbursement
Units (this title amends Sec. 455(a) of the Social Security Act)
1. In General
Present law
The 1996 welfare reform law (P.L. 104-193) required States
to establish and operate a State Disbursement Unit (SDU) to
receive child support payments and distribute the money in
accord with State child support distribution rules. States that
processed receipt of child support payments through their
courts at the time the 1996 welfare reform law was enacted had
until October 1, 1999 to operate an SDU approved by the
Secretary. States that did not process child support payments
through the courts were required to be operating an approved
SDU by October 1, 1998.
Explanation of provision
States that are not operating an approved State
Disbursement Unit by October 1, 1999 may apply to the Secretary
for an alternative penalty. To qualify for the alternative
penalty, the Secretary must find that the State has made and is
continuing to make a good faith effort to comply. In addition,
the State must submit a corrective compliance plan by April 1,
2000 that describes how, by when, and at what cost the State
will achieve compliance with all SDU requirements. If these
conditions are fulfilled, the Secretary must not disapprove the
State Child Support Enforcement plan. Instead, the Secretary
must reduce the amount the State would otherwise have received
in Federal child support payments by the penalty amount for the
fiscal year.
Reason for change
When Congress originally enacted an exceptionally strong
penalty as part of the Child Support Enforcement program (i.e.,
complete loss of Federal funds for Child Support Enforcement
and Temporary Assistance for Needy Families), it was assumed
that only States that willfully disregarded the Federal
statutes would ever be subject to the penalty. However, events
have now shown that even States that are making a good faith
effort to meet Federal requirements are having difficulty
meeting some Federal deadlines. Last year Congress instituted a
new and less harsh penalty for the benefit of States that were
having difficulty meeting the automatic data processing
requirements of Federal law. Every State that missed the
Federal deadline was determined by the Secretary to be making a
good faith effort to complete their data systems. Now States
are faced with an October 1, 1999 deadline on their State
Disbursement Units (SDU). The best estimate we currently have
from the Department of Health and Human Services is that up to
eight States may miss the deadline. Reviewing the States in
danger of missing the deadline demonstrates convincingly that
even States with good Child SupportEnforcement programs are at
risk. Moreover, every indication is that all eight States are making
good faith efforts to make the deadline or complete their SDUs as soon
thereafter as possible. Thus, the Committee has designed an alternative
penalty procedure, modeled on the procedure enacted last year for the
automated data processing requirement, that will provide adequate
incentive for States to complete their systems as soon as possible but
without imposing the harsh penalties outlined above.
2. Penalty Amount
Present law
The penalty for not fulfilling the SDU requirement is
termination of all Federal child support payments and the
penalty described in ``6'' below.
Explanation of provision
The penalty amount is equal to:
(1) 4 percent of the penalty base for violations in
the first fiscal year;
(2) 8 percent for violations that persist into the
second fiscal year;
(3) 16 percent for the third fiscal year;
(4) 25 percent for the fourth fiscal year; and
(5) 30 percent for the fifth and subsequent fiscal
years.
Reason for change
These percentage penalties, identical to those used in last
year's legislation, are believed by the Committee to be
adequate for maintaining incentive by the States to complete
the SDU requirement as soon as possible and yet avoid imposing
penalties that are so stiff that they could damage State
programs.
3. Penalty Base
Present law
No provision.
Explanation of provision
The penalty base is defined as the Federal administrative
reimbursement (i.e., the 66 percent Federal matching funds)
that otherwise would have been payable to the State in the
previous fiscal year.
Reason for change
As in previous legislation, the base against which the
penalty percentage amount is applied is the Federal 66 percent
administrative financing. This is a substantial base which
yields a serious but not debilitating penalty and which permits
easy and objective calculation of penalty amounts.
4. Penalty Provision for States That Achieve Compliance During Fiscal
Year 2000
Present law
No provision.
Explanation of provision
If a State that is subject to a penalty achieves compliance
on or before April 1, 2000, the Secretary shall waive the
penalty. If a State that is subject to a penalty achieves
compliance after April 1, 2000, and on or before September 30,
2000, the penalty amount shall be 1 percent of the penalty
base.
Reason for change
Committee hearings and information from the Secretary
convinces us that the eight States that seem to be in greatest
danger of missing the SDU deadline are working hard to complete
their systems. To provide additional incentive for these States
to finish as quickly as possible, the Committee has adopted the
policy of complete penalty forgiveness for States that finish
their system within 6 months of the deadline and a minimal 1
percent penalty for States that finish within 12 months.
5. Prohibition on Two Simultaneous Penalties
Present law
No provision.
Explanation of provision
The Secretary may not impose a penalty against a State for
a fiscal year for which the State has already been penalized
for noncompliance with the automated data processing system
requirement.
Reason for change
The Committee does not want to impose crippling penalties
against States that are making a good faith effort to meet all
Federal requirements in establishing their child support
system. As long as a State continues to make a good faith
effort to complete its automatic data processing requirement
and its SDU requirement, one penalty should be adequate to
maintain the State's incentive to complete bothsystems at the
earliest possible moment.
6. Inapplicability of Penalty Under TANF Program
Present law
States that do not have an approved Child Support
Enforcement system--including an approved SDU--are not eligible
for payments under the Temporary Assistance for Needy Families
(TANF) block grant.
Explanation of provision
The TANF penalty for a finding by an audit that the State
failed to substantially comply with one or more of the Child
Support Enforcement (Title IV-D) requirements is not applicable
with respect to the SDU requirements (or the automated systems
requirement).
Reason for change
This provision is a conforming amendment to the TANF
statute (Title IV-A) that must be made to avoid a double
penalty.
Title V. Financing Provisions
Sec. 501. Use of New Hire Information to Assist in Collection of
Defaulted Student Loans and Grants
Present law
No provision.
Explanation of provision
The Secretary must comply with any request from the
Secretary of Education for information in the National
Directory of New Hires on the address or employer of any
individual who is in default on the payment of a student loan.
Reason for change
The New Hire data base consists of the name, address,
Social Security number, and employer address of every worker
hired in the United States. Employers in every State report
this information to the State New Hire data base; the various
State New Hire data bases then report to the Federal New Hire
data base. Thus, the Federal repository of New Hire information
is an extremely powerful set of employer addresses for most
people in the United States who have been hired in recent
years. These employer addresses can be used to locate
individuals who are committing fraud against the United States
government by refusing to pay various debts owed to U.S.
taxpayers. The biggest of these sources of debt is the student
loan program authorized under the Higher Education Act. By
allowing the Secretary of Education to submit the names of
student loan debtors to the Federal New Hire data base
maintained by the Social Security Administration (under
subcontract with the Department of Health and Human Services),
and by returning employer address information to the Secretary
of Education on individuals who are fraudulently overdue on
their student loans, the Congressional Budget Office estimates
that about $135 million in overdue loans can be collected over
5 years. The Committee believes this to be an exceptionally
constructive use of the New Hire information.
The Committee is determined to ensure that the New Hire
information is not used for any purpose that could compromise
individuals who have background information in the data base.
Because information only on individuals who are fraudulently in
debt to the Federal government is reported to the Secretary of
Education, the procedure we have established ensures that
privacy concerns will not be compromised. Information on all
individuals who have not committed fraud will not leave the HHS
data base. Furthermore, individuals and organizations that use
the New Hire information for purposes other than those
permitted by this legislation are subject to prosecution under
Federal law. We are therefore confident that the information in
the New Hire data base will remain secure.
Sec. 502. Elimination of Set-Aside of Portion of Welfare-To-Work Funds
for Successful Performance Bonus
Present law
The Welfare-to-Work Program authorized under Title IV-A of
the Social Security Act provides for $100 million in bonus
payments for FY 2000 to be paid to States that achieve high
performance in placing participants in work and other outcomes.
Explanation of provision
The $100 million bonus is repealed.
Reason for change
Very few States and localities have spent all their funds
under the Welfare-to-Work program. Thus, to be providing a
performance bonus at this point, when so little of the program
money has been spent, seems unwise. Furthermore, there is a
billion dollars in bonus payments now being provided under the
Temporary Assistance for Needy Families (TANF) block grant for
the same performance goals and nearly the same population of
needy individuals as the performance goals and individuals
targeted by the Welfare-to-Work program. For both these
reasons, the Committee believes little willbe lost by repealing
the performance bonus under the Welfare-to-Work program.
Title VI. Miscellaneous
Sec. 601. Change Dates for Evaluation
Present law
Authorization of funds to pay for the evaluation of the
Abstinence Education program expires at the end of FY 2001.
Explanation of provision
Authorization to spend funds on evaluation of the
Abstinence Education Program is extended to 2005.
Reason for change
The Abstinence Education program authorized by the 1996
Welfare Reform Law (P.L. 104-193) is now being implemented
around the nation. Nearly every State is mounting programs that
promote abstinence among school-age students. The Secretary has
selected a noted policy research company to conduct the
evaluation of these programs so that Congress can determine
whether they are resulting in an increase in abstinence, a
reduction in teen pregnancy, or in other impacts intended by
the legislation. However, because many of the projects are now
in only the early stages of implementation, and because effects
of these programs on sexual behavior over a period of years is
an important outcome, the Committee believes the evaluation
should be allowed to follow children for an extended period.
Since the funds end in FY 2001 under current law, we are
granting a 4-year extension to 2005 to permit a longer period
of follow-up by the evaluation.
Sec. 602. Report on Undistributed Child Support Payments
Present law
No provision.
Explanation of provision
Within 6 months of enactment, the Secretary must prepare a
report on the procedures States use to locate custodial parents
for whom child support has been collected but not yet
distributed due to a change in address. The report must include
an estimate of how much money States hold in this fashion and
the length of time for which it is held. The Secretary must
include recommendations about whether additional Federal or
State procedures should be established to expedite payment of
undistributed child support.
Reason for change
In recent hearings as well as newspaper reports, the
Committee has learned that States have possession of money
collected in child support that for various reasons they do not
immediately distribute to the family that has a legal right to
the money. Apparently the reason for the failure to promptly
pay this money to families is that the State does not have
address information on the family or has inaccurate address
information. Unfortunately, the information the Committee has
received about this undistributed child support is sketchy.
Thus, we are requiring the Secretary to look into this issue
and prepare a report on its causes, magnitude, and potential
Federal and State solutions. If appropriate, we urge the
Secretary to recommend legislative actions Congress can take to
reduce or eliminate this problem.
Sec. 603. Sense of The Congress
Present law
No provision.
Explanation of provision
It is the sense of the Congress that the States may use
funds provided under the program of block grants for Temporary
Assistance for Needy Families under part A of title IV of the
Social Security Act to promote fatherhood programs of the type
supported by this legislation.
Reason for change
The Committee is aware that this Sense of the Congress
provision does not change TANF law in any way. However, we
think it is useful to bring to the attention of States,
advocates, and other interested parties the fact that TANF
funds can be spent for fatherhood programs of the type
supported by this legislation. Our hope in calling attention to
this use of TANF funds is that States will begin to invest some
of their TANF surpluses in fatherhood programs.
Sec. 604. Additional Funding for Welfare Evaluation Study
Present law
The 1996 welfare reform law (P.L. 104-193) appropriated $10
million per year for the Census Bureau to conduct a national
study of the effects of welfare reform. Funds began in fiscal
year 1996and end in fiscal year 2002.
Explanation of provision
The Committee bill provides the Census Bureau with a total
of $19.3 million over the period of Fiscal Year 2000 to Fiscal
Year 2003 to enhance the study of the effects of welfare
reform.
Reason for change
In reconstituting two original waves of the Survey of
Income and Program Participation (SIPP) as called for under the
1996 legislation in order to have a longitudinal sample to
examine the well being of poor families before and after
enactment of the 1996 welfare reform law, the Census Bureau has
experienced an attrition rate of about 50 percent in the SIPP
sample. Given that this attrition rate reduces the validity of
findings from the study, the Committee asked the Census Bureau
to devise and test methods by which the attrition could be
reduced. As a result of this study, the Census Bureau believes
it can substantially reduce attrition by locating some families
who were previously dropped from the sample and by paying a
cash fee to families that agree to continue their participation
in the study. The Committee expects that most of the additional
funds will be used for these and similar actions that will
reduce the attrition rate. In addition, the Committee expects
the Census Bureau to use some of the money to prepare the final
round of interview data for use by the public.
Sec. 605. Training in Child Abuse and Neglect Proceedings
Present law
Title IV-E of the Social Security Act provides entitlement
funds to train social workers, foster parents, adoptive
parents, and others to better fulfill their responsibilities in
the child protection system. Generally State or local
governments plan and conduct the training, sometimes using
private contractors. The Federal government reimburses States
for 75 percent of the cost of approved training.
Explanation of provision
The Title IV-E training provision is expanded to cover
court personnel.
Reason for change
Since enactment of the Adoption and Safe Families Act of
1997 (P.L. 105-89), the training of court personnel has become
exceptionally important. Three major provisions of the 1997 law
require careful and thorough implementation by the courts.
These provisions are the requirement that child safety be the
paramount goal of the child protection system; the provision
that States may define and use exceptions to the Federal
requirement that ``reasonable efforts'' must be made to help
families before termination of parental rights can be
considered; and the mandate that, with some exceptions, States
begin proceedings to terminate parental rights after children
have been in foster care for 15 months. Because these
provisions, all of which are implemented primarily by the
courts, are both new and complex, the Committee believes that
training of court personnel and especially judges is essential
to full implementation of the 1997 reforms.
Sec. 606. Use of New Hire Information to Assist in Administration of
Unemployment Compensation Programs
Present law
The 1996 welfare reform law (P.L. 104-193) required all
employers in the nation to report basic information on every
newly-hired employee to the State. States were in turn required
to collect all this information into the State Directory of New
Hires, to use this information to locate noncustodial parents
who owed child support and to send a wage withholding order to
their employer, and to periodically report all information in
their Directory to the Federal government. Information from all
State New Hire Directories is then stored to create the
National New Hire Directory data base. Because the State
Directory of New Hires contains recent data on employment, the
1996 law also required State Employment Security Agencies to
use the information to detect overpayments in the Unemployment
Insurance program and to extract repayment by intercepting
current wages.
Explanation of provision
State Employment Security Agencies are authorized to gain
access to information in the Federal Directory of New Hires.
Reason for change
The provision of the 1996 welfare reform law that State
Employment Security Agencies use data in the State New Hire
Directory to recover Unemployment Insurance overpayments has
worked well. States are saving millions of dollars each year by
detecting these overpayments earlier and by using New Hire
information to recover overpayments. However, the 1996
legislation did not grant State Employment Security Agencies
access to information in the Federal New Hire Directory. The
lack of access to this information means that States do not
have access to information from workers who have jobs in other
States. In addition, the 1996 allows employers with offices in
more than one State to report to a single State of their choice
all the New Hire information from every State in which they
have an office. Thus, State Employment Security Agencies lose
all this information as well. By giving States access to the
Federal New Hire Directory, both of these problems will be
overcome and States will save millions of dollars each year in
Unemployment Insurance overpayments that are avoided and
recovered.
III. VOTES OF THE COMMITTEE
In compliance with clause 3(b) of rule XIII of the Rules of
the House of Representatives, the following statements are made
concerning the votes of the Committee in its consideration of
the bill, H.R. 3073.
Motion To Report the Bill
The bill, H.R. 3073, as introduced, was ordered favorably
reported by voice vote on October 21, 1999, with a quorum
present.
IV. BUDGET EFFECTS OF THE BILL
A. Committee Estimate of Budgetary Effects
In compliance with clause 3(d)(2) of rule XIII of the Rules
of the House of Representatives, the following statement is
made:
The Committee agrees with the estimate prepared by the
Congressional Budget office (CBO) which is included below.
B. Statement Regarding New Budget Authority and Tax Expenditures
In compliance with clause 3(c)(2) of rule XIII of the Rules
of the House of Representatives, the Committee states that
although the Committee bill results in increased budget
authority and outlays, the bill also provides for savings in
budget authority and outlays so that the entire bill is deficit
neutral over 5 years. The bill contains no new tax
expenditures.
C. Cost Estimate Prepared by the Congressional Budget Office
In compliance with clause 3(c)(3) of rule XIII of the Rules
of the House of Representatives requiring a cost estimate
prepared by the Congressional Budget Office (CBO), the
following report prepared by CBO is provided.
U.S. Congress,
Congressional Budget Office,
Washington, DC, October 27, 1999.
Hon. Bill Archer,
Chairman, Committee on Ways and Means,
House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 3073, the Fathers
Count Act of 1999.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Sheila Dacey.
Sincerely,
Barry B. Anderson,
(For Dan L. Crippen, Director).
Enclosure.
H.R. 3073--Fathers Count Act of 1999
Summary: H.R. 3073 would establish a new grant program to
promote responsible fatherhood, change eligibility rules and
expand allowed activities in the Welfare-to-Work grant program,
and provide an alternative penalty procedure for states that
have failed to complete child support disbursement units on
time. Other provisions in the bill would seek to improve
collections on defaulted student loans, eliminate the Welfare-
to-Work performance bonus, improve fraud detection procedures
in the unemployment compensation program, and increase funding
for welfare research and training about adoption procedures for
court personnel.
H.R. 3073 would result in reduced direct spending in some
years and increased spending in others, for an estimated net
saving of $138 million over the 2000-2009 period. It would also
cause a reduction in revenues from unemployment taxes totaling
about $154 million over the 10-year period. Consequently, CBO
estimates that this bill would increase the federal
government's surplus by $37 million in 2000 and by $2 million
over the 2000-2004 period. It would decrease the surplus by an
estimated $16 million over the 2000-2009 period. Because the
bill would affect revenues and direct spending, pay-as-you-go
procedures would apply.
H.R. 3073 contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act (UMRA).
New grant provisions, greater flexibility in the Welfare-to-
Work program, and the alternative penalty procedure for
compliance with child support requirements would benefit
states, and in some cases, local and tribal governments. Some
provisions would place additional grant conditions on states
and would reduce financial assistance; however, these changes
would not be mandates as defined in UMRA.
Estimated cost to the Federal Government: The estimated
budgetary impact of H.R. 3073 is shown in Table 1. The costs of
this legislation fall within budget functions 370 (Commerce and
Housing Credit), 500 (Education, Training, Employment, and
Social Services), and 600 (Income Security).
Basis of estimate: The estimated budgetary impact of H.R.
3073, by provision, is shown in Table 2. Provisions with no
estimated budgetary effect are excluded from this table.
Title I: Fatherhood Grant Program
Fatherhood Grants. Title I would establish a new program to
make grants to public and private entities for projects
designed to promote marriage, improve parenting, and help
fathers and their families leave welfare.
Two interagency panels, funded at a total of $150,000 for
2000 and 2001, would review applications and make
recommendations to the Secretary of Health and Human Services.
The Secretary would award up to $70 million in grants in each
of 2001 and 2002. The funding would be available to grantees in
four equal annual installments, and grantees would have to
commit $1 for every $5 of federal grant funding. Grantees could
provide services to fathers with incomes below 150 percent of
poverty or fathers whose children received funds from the
Temporary Assistance for Needy Families (TANF) program sometime
in the most recent two-year period. CBO estimates that spending
by grantees would initially be slow as the programs are phased
in, but would speed up gradually in succeeding years. Spending
would total $86 million over the 2000-2004 period and $140
million over the 2000-2009 period.
TABLE 1. FEDERAL BUDGETARY EFFECTS OF H.R. 3073
----------------------------------------------------------------------------------------------------------------
By fiscal year, in millions of dollars--
----------------------------------------------------------------
2000 2001 2002 2003 2004
----------------------------------------------------------------------------------------------------------------
DIRECT SPENDING
Spending Under Current Law:
Fatherhood Grants.......................... 0 0 0 0 0
Child Support.............................. 1,790 1,940 2,140 2,450 2,730
TANF....................................... 12,600 13,150 14,150 15,250 15,950
Welfare-to-Work Grants..................... 760 835 535 0 0
Student Loans.............................. 4,112 4,526 3,807 4,964 4,777
Bureau of the Census Study................. 10 10 10 3 1
Foster Care................................ 5,296 5,768 6,253 6,751 7,255
Unemployment Compensation.................. 22,622 24,741 26,355 27,654 28,704
----------------------------------------------------------------
Total.................................... 47,190 50,970 53,250 57,072 59,417
================================================================
Proposed Changes:
Fatherhood Grants.......................... 0 4 16 32 43
Child Support.............................. 0 2 2 2 2
TANF....................................... 0 0 1 1 2
Welfare-to-Work Grants..................... 60 -35 -65 0 0
Student Loans.............................. -95 -10 -10 -10 -10
Bureau of the Census Study................. 1 5 6 5 2
Foster Care................................ 4 10 12 13 14
Unemployment Compensation.................. -7 -10 -12 -16 -17
----------------------------------------------------------------
Total.................................... -37 -34 -50 26 36
================================================================
Spending Under H.R. 3073:
Fatherhood Grants.......................... 0 4 16 32 43
Child Support.............................. 1,790 1,942 2,142 2,452 2,732
TANF....................................... 12,600 13,150 14,151 15,251 15,952
Welfare-to-Work Grants..................... 820 800 470 0 0
Student Loans.............................. 4,017 4,516 3,797 4,954 4,767
Bureau of the Census Study................. 11 15 16 8 3
Foster Care................................ 5,300 5,778 6,265 6,764 7,269
Unemployment Compensation.................. 22,615 24,732 26,343 27,638 28,687
----------------------------------------------------------------
Total.................................... 47,153 50,936 53,200 57,098 59,453
REVENUES
Unemployment Taxes............................. 0 -3 -13 -18 -24
DEFICIT (-) / SURPLUS (+)
Net Effect..................................... 37 31 37 -44 -60
----------------------------------------------------------------------------------------------------------------
Note.--Components may not sum to totals because of rounding.
TABLE 2. ESTIMATED EFFECTS OF H.R. 3073 ON DIRECT SPENDING AND REVENUE, BY PROVISION
----------------------------------------------------------------------------------------------------------------
By fiscal year, in millions of dollars--
--------------------------------------------------------------------------------
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
----------------------------------------------------------------------------------------------------------------
DIRECT SPENDING
Title I, Fatherhood Grant
Program:
Panels:
Estimated Budget (\1\) (\1\) 0 0 0 0 0 0 0 0
Authority.............
Estimated Outlays...... (\1\) (\1\) 0 0 0 0 0 0 0 0
Fatherhood Grants:
Estimated Budget 0 18 35 35 35 18 0 0 0 0
Authority.............
Estimated Outlays...... 0 4 15 29 39 33 17 4 0 0
Option to Distribute More
Child Care
Arrearages to Participants'
Families:
Estimated Budget 0 2 2 2 2 2 2 2 0 0
Authority.............
Estimated Outlays...... 0 2 2 2 2 2 2 2 0 0
Effect of Grant Program on
TANF:
Estimated Budget 0 0 0 0 0 0 0 0 0 0
Authority.............
Estimated Outlays...... 0 0 1 1 2 2 1 0 0 0
Evaluation:
Estimated Budget 0 6 0 0 0 0 0 0 0 0
Authority.............
Estimated Outlays...... 0 1 1 1 1 1 2 0 0 0
Subtotal, Title I:
Estimated Budget 0 25 37 37 37 20 2 2 0 0
Authority.............
Estimated Outlays...... 0 6 18 33 43 39 22 6 0 0
Title II, Fatherhood Projects
of National Significance:
Estimated Budget 0 0 4 4 4 4 0 0 0 0
Authority.............
Estimated Outlays...... 0 0 1 2 4 4 3 1 0 0
Title III, Welfare-to-Work
Program Eligibility:
Estimated Budget 0 0 0 0 0 0 0 0 0 0
Authority.............
Estimated Outlays...... 80 5 -25 0 0 0 0 0 0 0
Title V, Financing Provisions:
Use of New Hire Data to
Collect Defaulted Student
Loans:
Estimated Budget -95 -10 -10 -15 -15 -15 -15 -15 -15 -15
Authority.............
Estimated Outlays...... -95 -10 -10 -10 -10 -10 -10 -15 -15 -15
Elimination of Welfare-to-
Work
Performance Bonus:
Estimated Budget -100 0 0 0 0 0 0 0 0 0
Authority.............
Estimated Outlays...... -20 -40 -40 0 0 0 0 0 0 0
Subtotal, Title V:
Estimated Budget -195 -10 -10 -15 -15 -15 -15 -15 -15 -15
Authority.............
Estimated Outlays...... -113 -50 -50 -10 -10 -10 -10 -15 -15 -15
Title VI, Miscellaneous:
Estimated Budget 2 8 6 4 0 0 0 0 0 0
Authority.............
Estimated Outlays...... 1 5 6 5 2 0 0 0 0 0
Training in Child Abuse and
Neglect Proceedings:
Estimated Budget 5 11 12 13 14 0 0 0 0 0
Authority.............
Estimated Outlays...... 4 10 12 13 14 3 0 0 0 0
Use of New Hire Information
for Unemployment
Compensation Program:
Estimated Budget -7 -10 -12 -16 -17 17 -18 -18 -19 -20
Authority.............
Estimated Outlays...... -7 -10 -12 -16 -17 -17 -18 -18 -19 -20
Subtotal, Title VI:
Estimated Budget 0 9 6 1 -3 -17 -18 -18 -19 -20
Authority.............
Estimated Outlays...... -2 6 6 1 -1 -14 -18 -18 -19 -20
Total:
Estimated Budget -195 24 36 26 23 -9 -31 -32 -34 -35
Authority.............
Estimated Outlays...... -37 -34 -50 26 36 19 -3 -26 -34 -35
REVENUES
Use of New Hire Information 0 -3 -13 -18 -24 -23 -18 -18 -19 -20
Program for Unemployment
Compensation Program..........
DEFICIT (-)/SURPLUS (+)
Net Effect............. 37 31 37 -44 -60 -41 -15 8 15 15
----------------------------------------------------------------------------------------------------------------
\1\ Less than $500,000.
Notes.--Components may not sum to totals due to rounding.
Child Support Arrearages. The bill would give states the
option of sharing more child support collections with families
of participants in fatherhood programs. When a family stops
receiving welfare, states continue to collect and enforce the
family's child supportorder. All amounts collected on time and
some past-due amounts are sent directly to the family. The states keep
some past-due child support--support collected through the federal tax
offset program--to reimburse themselves and the federal government for
past welfare payments. The bill would allow states to pay all past-due
child support to the families of participants. The federal government
would relinquish its share of such payments and would reimburse the
state for the state's share of such payments.
CBO estimates that paying the additional child support to
families would cost the federal government about $2 million a
year in administrative costs and the federal share of
collections. The bulk of the cost would be administrative costs
to reprogram computer systems, track participants in the
fatherhood grant program, and apply the special distribution
rules to those families. Based on information from state child
support directors, CBO estimates that 50 percent of states
would opt to share more child support collections with the
families of participants at an administrative cost of about
$100,000 per state per year. The federal government would pay
66 percent of administrative costs for a total federal cost of
$1.7 million a year.
In addition, CBO estimates that about $500,000 annually in
collections would be paid to families instead of to state and
federal governments. That estimate assumes that, in an average
year, there would be 9,000 participants in states that opt to
pass more child support collections through to families. CBO
estimates, using data from the Survey of Income and Program
Participation compiled by the Urban Institute and from the
child support program, that additional payments to each family
would be about $50 per participant per year.
Effect of Grant Program on TANF Spending. The fatherhood
grant program would affect spending under the TANF program.
Some of the fatherhood grant money would be spent by government
entities on families eligible for TANF. This spending could
count as maintenance-of-effort spending in the TANF program and
would be in addition to TANF spending by those entities under
current law. CBO estimates that federal TANF outlays would
increase by $5 for every $100 of fatherhood grant spending. The
estimate assumes that entities contribute the 20-percent
matching funds and that 25 percent of those funds would quality
as maintenance-of-effort spending. Additional spending would
total $4 million over the 2000-2004 period and $7 million over
the 2000-2009 period.
Evaluations. The Secretary would conduct an evaluation of
selected fatherhood projects. The bill would make $6 million
available over the 2000-2006 period for that evaluation.
Title II: Fatherhood projects of national significance
The bill would establish a one-time grant of $5 million for
a nonprofit organization to create a national clearinghouse to
develop and distribute materials supporting marriage and
responsible parenting. In addition, it would establish grants
of $5 million for each of two nonprofits to establish multicity
projects to promote marriage and successful parenting and help
fathers and their families leave welfare. The grants would be
awarded in four equal, annual installments starting in 2002.
Spending would total $7 million over the 2000-2004 period and
$15 million over the 2000-2004 period.
Title III: Welfare-to-Work program eligibility
This bill would broaden the eligibility criteria for the
Welfare-to-Work block grants, and would also allow funds to be
spent on stand-alone vocational training. A survey of states
indicated that these changes would make it easier for them to
serve clients under the Welfare-to-Work program. CBO estimates
that state grants, which have already been awarded, would spend
more quickly than under current law. In addition, CBO estimates
that overall spending would increase. Under current law, states
have four years to spend the grant money, the last of which was
provided at the end of fiscal year 1999. Under current law, CBO
assumes that about $300 million would go unspent, in part
because of the difficulty states are having in enrolling
eligible participants. CBO estimates that the expansion would
increase overall spending by about $60 million over the 2000-
2002 period.
Title IV: Alternative penalty procedure relating to state
disbursement units
H.R. 3073 would establish an alternative penalty procedure
for states that fail to operate a statewide disbursement unit
(SDU) by the required deadline. An SDU is a centralized,
automated unit for collecting and disbursing child support
payments. In general, states were required to operate an SDU
for child support by October 1, 1998. Some states that
distribute child support through their court system have a
later deadline of October 1, 1999. A small number of states are
believed to have missed that deadline.
Under current law, the penalty for not operating an SDU on
time is disapproval of the state's child support state plan.
The federal government will not pay the federal share of the
expenses to run the state's child support program or TANF
program without an approved state plan. However, there is an
extensive period for hearings and appeals before a state planis
disapproved. CBO estimates that no state will have its state plan
disapproved under current law, because all states will have an approved
SDU before the appeals period ends.
The bill would establish an alternative to the severe
penalty under current law. A state that opted for the
alternative would receive no penalty if it finished by April 1,
2000. States finishing after that date would pay a penalty
equal to some percentage of their federal share of
administrative costs. The penalty would be 1 percent for states
finishing by September 30, 2000, and would escalate up to 30
percent for states not finishing before September 30, 2004. A
state that was already paying a penalty for failure to complete
a child support computer system would be exempt from any
additional penalty for failure to complete its SDU.
Only three states are expected to have completed a child
support computer system, but not an SDU: Texas, Illinois, and
Wyoming. CBO assumes that these states would not apply for the
alternative penalty and would complete their SDUs before the
Secretary disapproves their state plans.
Title V: Financing provisions
Use of New Hire Data to Collect Defaulted Student Loans.
H.R. 3073 would give the Department of Education (ED) another
wage garnishment tool to collect defaulted student loans. The
ED would be able to obtain useful data from the Department of
Health and Human Services's database on new hires. ED could use
the acquired information only to collect debt owed by people
whose new job paid more than $16,000 annually.
CBO estimates that roughly one million ``hard to collect''
claims for defaults on student loans are outstanding. Based on
discussions with organizations involved in the collection of
such debt, CBO estimates that about 10 percent, or about
100,000 defaulters, would be affected by collectors accessing
data retrieved through the new hire database. Most of the
federal budgetary impact of this provision would result from
bringing defaulters into repayment earlier and collecting more
of their outstanding debt. CBO expects that only a few
defaulters who would pay nothing under current collection
measures would be brought into repayment by use of this new
tool.
The budgetary impact of this provision is assessed under
the requirements of credit reform. As such, the budget records
all the collections associated with a new loan on a present-
value basis in the year the loan is obligated. The present
value of additional collections from all current outstanding
loans is displayed in the year the bill is enacted--in this
case 2000. On this basis, CBO estimates that the legislation
would save $95 million in fiscal year 2000, $135 million over
the 2000-2004 period, and $200 million over the 2000-2009
period.
Elimination of the Performance Bonus. Section 502 would
eliminate the $100 million set-aside for Welfare-to-Work
performance bonuses. These bonuses were to have been paid over
the fiscal years 2000 through 2002. Therefore, eliminating the
bonuses would save $100 million over that period.
Title VI: Miscellaneous
Welfare Evaluation Study. Section 604 would increase the
funding available to the Bureau of the Census to collect survey
data on welfare recipients and other low-income families. An
additional $19.3 million would be provided over the 2000-2004
period. CBO estimates that the additional funding would be
spent at the same rate as the current funding for the survey.
Training in Child Abuse and Neglect Proceedings. Section
605 would allow federal funds for training in the Foster Care
and Adoption programs to be used to train court personnel in
matters related to the court's role in expediting adoption
procedures, implementing reasonable efforts, and providing for
timely permanency planning and case reviews. The new authority
would only be available over the 2000-2004 period. Under
current law, funds are used only to train foster and adoptive
parents or agency personnel, and the federal government pays 75
percent of all allowable training costs. Based on a survey of
several foster care state directors, CBO estimates that the
federal cost of the program would be $4 million in 2000, $10
million when it was fully implemented in 2001, and $55 million
over the 2000-2009 period.
Unemployment Compensation. Section 606 would allow states
to use information from the national database of new hires to
help detect fraud in the unemployment compensation system.
Currently, most states may use the information that they send
to the national registry. However, without access to the
national information, a state may not receive important data
regarding recent hires by employers that may report in other
states. Only a few states have examined potential savings that
could be realized if they had access to the national data, and
their estimates of savings are small--about 0.1 percent of
total benefits. Nevertheless, states generally believe that
access to the national data would be a valuable tool in
detecting fraud earlier, as the information on new hires is
more current than that contained in quarterly wage reports upon
which many states now rely. A recent survey by the Interstate
Conference of State Employment Security Agencies indicated that
19 statescurrently were using the state-reported information on
new hires, and another 20 states reported that they hoped to make use
of this information in the near future.
For purposes of this estimate, CBO assumed that the states
currently using their own information would make use of the
national information in the year that it became available. The
other interested states are assumed to take advantage of the
national information within the next few years. CBO estimates
that this provision would result in a reduction of $154 million
in spending for unemployment compensation over the 2000-2009
period. CBO assumes that this reduction in spending would be
fully offset by reductions in state employment taxes.
Consequently, the provision would have no net effect on the
federal budget over the 10-year period.
Pay-as-you-go considerations: Section 252 of the Balanced
Budget and Emergency Deficit Control Act sets up pay-as-you-go
procedures for legislation affecting direct spending or
receipts. The net changes in outlays and governmental receipts
that are subject to pay-as-you-go procedures are shown in the
following table. For the purposes of enforcing pay-as-you-go
procedures, only the effects in the budget year and the
succeeding four years are counted.
TABLE 3. SUMMARY OF THE PAY-AS-YOU-GO EFFECTS OF H.R. 3073
----------------------------------------------------------------------------------------------------------------
By fiscal year, in millions of dollars--
-------------------------------------------------------------------------------
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
----------------------------------------------------------------------------------------------------------------
Changes in outlays.............. -37 -34 -50 26 36 19 -3 -26 -34 -35
Changes in receipts............. 0 -3 -13 -18 -24 -23 -18 -18 -19 -20
----------------------------------------------------------------------------------------------------------------
Estimated impact on state, local, and tribal governments:
The bill contains no intergovernmental mandates as defined in
UMRA. New grant provisions, greater flexibility in the Welfare-
to-Work program, and the alternative penalty procedure for
compliance with child support requirements would benefit
states, and in some cases, local and tribal governments. Some
provisions would place additional grant conditions on states
and would reduce financial assistance; however, these changes
would not be mandates as defined in UMRA.
CBO estimates that the federal government would spend $86
million over the 2000-2004 period for fatherhood grants, and
some portion of those awards would likely go to state, local,
or tribal governments. In order to receive fatherhood grants,
those governments would have to provide $1 for every $5 in
federal assistance.
The bill would allow states to share more child support
payments with families of participants in fatherhood programs.
Past-due funds collected by states as reimbursement for prior
welfare payments could be disbursed to those families at the
option of states. The federal government would reimburse states
for the states' share of such payments. CBO estimates that
states would incur some administrative costs if they chose to
implement such a program and that the state share of those
costs would total less than $1 million per year.
CBO estimates that the change in the penalty procedure for
state disbursement units would not result in any change in
penalty collections associated with the child support program.
However, the alternative procedure would reduce the threat that
states could lose child support enforcement and TANF funding if
they are in noncompliance.
The bill would make a number of changes in the Welfare-to-
Work program, broadening eligibility requirements, and
expanding the ability of states to use grant funds for
vocational training. By making it easier for states to serve
clients, the proposed changes would result in an increase of
about $30 million in state spending in the Welfare-to-Work
program over the 2000-2004 period. This state spending would be
matched by $60 million in federal assistance, as noted above.
The elimination of Welfare-to-Work performance bonuses would
decrease assistance to states by $100 million over the 2000-
2002 period. However, given the flexibility that states have to
operate the program, this reduction would not be a mandate as
defined in UMRA.
Finally, the bill would allow states to use funds from the
Foster Care and Adoption program for training court personnel.
CBO estimates that this option would result in greater
spending, the state portion of which would total about $18
million over the 2000-2004 period.
Estimated impact on the private sector: None.
Estimate prepared by: Federal costs: Sheila Dacey
(fatherhood and child support), Deborah Kalcevic (student
loans), Christina Hawley Sadoti (Welfare-to-Work Grants and
Unemployment Compensation), and Robert Taylor (revenues);
Impact on state, local, and tribal governments: Leo Lex.
Estimate approved by: Robert A. Sunshine, Assistant
Director for Budget Analysis.
V. OTHER MATTERS REQUIRED TO BE DISCUSSED UNDER THE RULES OF THE HOUSE
A. Committee Oversight Findings and Recommendations
In compliance with clause 3(c)(1) of rule XIII of the Rules
of the House of Representatives, the Committee reports that the
need for this legislation was confirmed by the oversight
hearings of the Subcommittee on Human Resources. The hearings
were as follows:
The Subcommittee on Human Resources held a hearing on
October 5, 1999, to receive comments on the Fathers Count Act
of 1999 (later introduced as H.R. 3073), the bipartisan
legislation written by Chairman Nancy Johnson and ranking
member Rep. Ben Cardin. Testimony at the hearing was presented
by scholars, program administrators, foundation executives, and
Members of the U.S. House of Representatives and the U.S.
Senate. The Subcommittee also conducted hearings on April 27,
1999 and July 30, 1998 on fatherhood programs, which included
testimony from the Administration, researchers, advocates,
individuals who have designed and conducted programs for low-
income fathers, and young fathers whose children are on
welfare.
B. Summary of Findings and Recommendations of the Government Reform and
Oversight Committee
In compliance with clause 3(c)(4) of rule XIII of the Rules
of the House of Representatives, the Committee states that no
oversight findings or recommendations have been submitted to
the Committee on Government Reform and Oversight regarding the
subject of the bill.
C. Constitutional Authority Statement
In compliance with clause 3(d)(1) of rule XIII of the Rules
of the House of Representatives, relating to Constitutional
Authority, the Committee states that the Committee's action in
reporting the bill is derived from Article I of the
Constitution, Section 8 (``The Congress shall have power to lay
and collect taxes, duties, imposts and excises, to pay the
debts and to provide for * * * the general Welfare of the
United States * * *'').
VI. CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italics, existing law in which no change
is proposed is shown in roman):
TITLE IV OF THE SOCIAL SECURITY ACT
* * * * * * *
PART A--BLOCK GRANTS TO STATES FOR TEMPORARY ASSISTANCE FOR NEEDY
FAMILIES
* * * * * * *
SEC. 403. GRANTS TO STATES.
(a) Grants.--
(1) Family assistance grant.--
(A) * * *
* * * * * * *
(E) Appropriation.--Out of any money in the
Treasury of the United States not otherwise
appropriated, there are appropriated for fiscal
years 1996, 1997, 1998, 1999, 2000, 2001, and
2002 such sums as are necessary for grants
under this paragraph, and for fiscal years 2000
through 2006, such sums as are necessary to
carry out section 403A.
* * * * * * *
(5) Welfare-to-work grants.--
(A) Formula grants.--
(i) Entitlement.--A State shall be
entitled to receive from the Secretary
of Labor a grant for each fiscal year
specified in subparagraph [(I)] (H) of
this paragraph for which the State is a
welfare-to-work State, in an amount
that does not exceed the lesser of--
(I) * * *
* * * * * * *
(ii) Welfare-to-work state.--A State
shall be considered a welfare-to-work
State for a fiscal year for purposes of
this paragraph if the Secretary of
Labor determines that the State meets
the following requirements:
(I) The State has submitted
to the Secretary of Labor and
the Secretary of Health and
Human Services (in the form of
an addendum to the State plan
submitted under section 402) a
plan which--
(aa) * * *
* * * * * * *
(dd) contains
assurances by the
Governor of the State
that the private
industry council (and
any alternate agency
designated by the
Governor under item
(ee)) for a service
delivery area in the
State will coordinate
the expenditure of any
funds provided under
this subparagraph for
the benefit of the
service delivery area
with the expenditure of
the funds provided to
the State under section
403(a)(1); [and]
(ee) if the Governor
of the State desires to
have an agency other
than a private industry
council administer the
funds provided under
this subparagraph for
the benefit of 1 or
more service delivery
areas in the State,
contains an application
to the Secretary of
Labor for a waiver of
clause (vii)(I) with
respect to the area or
areas in order to
permit an alternate
agency designated by
the Governor to so
administer the
funds[.]; and
(ff) describes how
the State will ensure
that a private industry
council to which
information is
disclosed pursuant to
section 403(a)(5)(K) or
454A(f)(5) has
procedures for
safeguarding the
information and for
ensuring that the
information is used
solely for the purpose
described in that
section.
* * * * * * *
(iv) Available amount.--As used in
this subparagraph, the term ``available
amount'' means, for a fiscal year, the
sum of--
(I) 75 percent of the sum
of--
(aa) the amount
specified in
subparagraph [(I)] (H)
for the fiscal year,
minus the total of the
amounts reserved
pursuant to
subparagraphs (E), (F),
[(G), and (H)] and (G)
for the fiscal year;
and
(bb) any amount
reserved pursuant to
subparagraph [(F)] (E)
for the immediately
preceding fiscal year
that has not been
obligated; and
* * * * * * *
(B) Competitive grants.--
(i) * * *
* * * * * * *
(v) Funding.--For grants under this
subparagraph for each fiscal year
specified in subparagraph [(I)] (H),
there shall be available to the
Secretary of Labor an amount equal to
the sum of--
(I) 25 percent of the sum
of--
(aa) the amount
specified in
subparagraph [(I)] (H)
for the fiscal year,
minus the total of the
amounts reserved pursuant to
subparagraphs (E), (F), [(G),
and (H)] and (G) for the fiscal
year; and
(bb) any amount
reserved pursuant to
subparagraph [(F)] (E)
for the immediately
preceding fiscal year
that has not been
obligated; and
(II) any amount available for
grants under this subparagraph
for the immediately preceding
fiscal year that has not been
obligated.
(C) Limitations on use of funds.--
(i) Allowable activities.--An entity
to which funds are provided under this
paragraph shall use the funds to move
individuals into and keep individuals
in lasting unsubsidized employment by
means of any of the following:
(I) * * *
* * * * * * *
(IV) Contracts with public or
private providers of readiness,
placement, and post-employment
services, or if the entity is
not a private industry council
or workforce investment board,
the direct provision of such
services.
* * * * * * *
(VII) Not more than 6 months
of vocational educational
training.
Contracts or vouchers for job placement
services supported by such funds must
require that at least \1/2\ of the
payment occur after an eligible
individual placed into the workforce
has been in the workforce for 6 months.
(ii) [Required beneficiaries] Hard-
to-employ recipients.--An entity that
operates a project with funds provided
under this paragraph [shall expend at
least 70 percent of all] may expend
funds provided to the project for the
benefit of recipients of assistance
under the program funded under this
part of the State in which the entity
is located[, or for the benefit of
noncustodial parents,] who meet the
requirements of each of the following
subclauses:
(I) [At least 2] Any of the
following [apply] applies to
the recipient [or the
noncustodial parent]:
(aa) The individual
has not completed
secondary school or
obtained a certificate
of general
equivalency[, and has
low skills in reading
or mathematics].
* * * * * * *
(dd) The individual
has English reading,
writing, or computing
skills at or below the
8th grade level, or
limited proficiency in
written or spoken
English.
(ee) The individual
is homeless.
(ff) The individual
has a disability.
(gg) The individual
has been a victim of
domestic violence.
(II) The recipient [or the
minor children of the non-
custodial parent]--
(aa) * * *
* * * * * * *
(iii) Noncustodial parents.--An
entity that operates a project with
funds provided under this paragraph may
use the funds to provide services in a
form described in clause (i) to
noncustodial parents with respect to
whom the requirements of the following
subclauses are met:
(I) The noncustodial parent
is unemployed, underemployed,
or having difficulty in paying
child support obligations.
(II) At least 1 of the
following applies to a minor
child of the noncustodial
parent (with preference in the
determination of the
noncustodial parents to be
provided services under this
paragraph to be provided by the
entity to those noncustodial
parents with minor children who
meet, or who have custodial
parents who meet, the
requirements of item (aa)):
(aa) The minor child
or the custodial parent
of the minor child
meets the requirements
of clause (ii)(II).
(bb) The minor child
is eligible for, or is
receiving, benefits
under the program
funded under this part.
(cc) The minor child
received benefits under
the program funded
under this part in the
12-month period
preceding the date of
the determination but
no longer receives such
benefits.
(dd) The minor child
is eligible for, or is
receiving, assistance
under the Food Stamp
Act of 1977, benefits
under the supplemental
security income program
under title XVI of this
Act, medical assistance
under title XIX of this
Act, or child health
assistance under title
XXI of this Act.
(III) In the case of a
noncustodial parent who becomes
enrolled in the project on or
after the date of the enactment
of this clause, the
noncustodial parent is in
compliance with the terms of an
oral or written personal
responsibility contract entered
into among the noncustodial
parent, the entity, and (unless
the entity demonstrates to the
Secretary that the entity is
not capable of coordinating
with such agency) the agency
responsible for administering
the State plan under part D,
which was developed taking into
account the employment and child
support status of the noncustodial
parent, which was entered into not
later than 30 (or, at the option of
the entity, not later than 90) days
after the noncustodial parent was
enrolled in the project, and which,
at a minimum, includes the following:
(aa) A commitment by
the noncustodial parent
to cooperate, at the
earliest opportunity,
in the establishment of
the paternity of the
minor child, through
voluntary
acknowledgement or
other procedures, and
in the establishment of
a child support order.
(bb) A commitment by
the noncustodial parent
to cooperate in the
payment of child
support for the minor
child, which may
include a modification
of an existing support
order to take into
account the ability of
the noncustodial parent
to pay such support and
the participation of
such parent in the
project.
(cc) A commitment by
the noncustodial parent
to participate in
employment or related
activities that will
enable the noncustodial
parent to make regular
child support payments,
and if the noncustodial
parent has not attained
20 years of age, such
related activities may
include completion of
high school, a general
equivalency degree, or
other education
directly related to
employment.
(dd) A description of
the services to be
provided under this
paragraph, and a
commitment by the
noncustodial parent to
participate in such
services, that are
designed to assist the
noncustodial parent
obtain and retain
employment, increase
earnings, and enhance
the financial and
emotional contributions
to the well-being of
the minor child.
In order to protect custodial
parents and children who may be
at risk of domestic violence,
the preceding provisions of
this subclause shall not be
construed to affect any other
provision of law requiring a
custodial parent to cooperate
in establishing the paternity
of a child or establishing or
enforcing a support order with
respect to a child, or
entitling a custodial parent to
refuse, for good cause, to
provide such cooperation as a
condition of assistance or
benefit under any program,
shall not be construed to
require such cooperation by the
custodial parent as a condition
of participation of either
parent in the program
authorized under this
paragraph, and shall not be
construed to require a
custodial parent to cooperate
with or participate in any
activity under this clause. The
entity operating a project
under this clause with funds
provided under this paragraph
shall consult with domestic
violence prevention and
intervention organizations in
the development of the project.
[(iii)] (iv) Targeting of hard-to-
employ individuals with characteristics
associated with long-term welfare
dependence.--An entity that operates a
project with funds provided under this
paragraph may expend not more than 30
percent of all funds provided to the
project for programs that provide
assistance in a form described in
clause (i)--
(I) * * *
[(II) to individuals--
[(aa) who are
noncustodial parents of
minors whose custodial
parent is such a
recipient; and
[(bb) who have such
characteristics.]
(II) to children--
(aa) who have
attained 18 years of
age but not 25 years of
age; and
(bb) who, before
attaining 18 years of
age, were recipients of
foster care maintenance
payments (as defined in
section 475(4)) under
part E or were in
foster care under the
responsibility of a
State.
To the extent that the entity does not
expend such funds in accordance with
the preceding sentence, the entity
shall expend such funds in accordance
with [clause (ii)] clauses (ii) and
(iii) and, as appropriate, clauses (v)
and (vi).
[(iv)] (v) Authority to provide work-
related services to individuals who
have reached the 5 year limit.--An
entity that operates a project with
funds provided under this paragraph may
use the funds to provide assistance in
a form described in clause (i) of this
subparagraph to, or for the benefit of,
individuals who (but for section
408(a)(7)) would be eligible for
assistance under the program funded
under this part of the State in which
the entity is located.
(vi) Custodial parents with income
below poverty line who are not on
welfare.--An entity that operates a
project with funds provided under this
paragraph may use the funds to provide
assistance in a form described in
clause (i) to custodial parents--
(I) whose income is less than
100 percent of the poverty line
(as defined in section 673(2)
of the Omnibus Budget
Reconciliation Act of 1981,
including any revision required
by such section, applicable to
a family of the size involved);
and
(II) who are not otherwise
recipients of assistance under
a State program funded under
this part.
[(v)] (vii) Relationship to other
provisions of this part.--
(I) Rules governing use of
funds.--The rules of section
404, other than subsections
(b), (f), and (h) of section
404, shall not apply to a grant
made under this paragraph.
(II) Rules governing payments
to states.--The Secretary of
Labor shall carry out the
functions otherwise assigned by
section 405 to the Secretary of
Health and Human Services with
respect to the grants payable
under this paragraph.
(III) Administration.--
Section 416 shall not apply to
the programs under this
paragraph.
[(vi)] (viii) Prohibition against use
of grant funds for any other fund
matching requirement.--An entity to
which funds are provided under this
paragraph shall not use any part of the
funds, nor any part of State
expenditures made to match the funds,
to fulfill any obligation of any State,
political subdivision, or private
industry council to contribute funds
under section 403(b) or 418 or any
other provision of this Act or other
Federal law.
[(vii)] (ix) Deadline for
expenditure.--An entity to which funds
are provided under this paragraph shall
remit to the Secretary of Labor any
part of the funds that are not expended
within 3 years after the date the funds
are so provided.
[(viii)] (x) Regulations.--Within 90
days after the date of the enactment of
this paragraph, the Secretary of Labor,
after consultation with the Secretary
of Health and Human Services and the
Secretary of Housing and Urban
Development, shall prescribe such
regulations as may be necessary to
implement this paragraph.
(xi) Reporting requirements.--The
Secretary of Labor, in consultation
with the Secretary of Health and Human
Services, States, and organizations
that represent State or local
governments, shall establish
requirements for the collection and
maintenance of financial and
participant information and the
reporting of such information by
entities carrying out activities under
this paragraph.
* * * * * * *
[(E) Set-aside for successful performance
bonus.--
[(i) In general.--The Secretary of
Labor shall make a grant in accordance
with this subparagraph to each
successful performance State in fiscal
year 2000.
[(ii) Amount of grant.--The Secretary
of Labor shall determine the amount of
the grant payable under this
subparagraph to a successful
performance State, which shall be based
on the score assigned to the State
under clause (iv)(I)(aa) for such prior
period as the Secretary of Labor deems
appropriate.
[(iii) Formula for measuring state
performance.--Not later than 1 year
after the date of the enactment of this
paragraph, the Secretary of Labor, in
consultation with the Secretary of
Health and Human Services, the National
Governors' Association, and the
American Public Welfare Association,
shall develop a formula for measuring--
[(I) the success of States in
placing individuals in private
sector employment or in any
kind of employment, through
programs operated with funds
provided under subparagraph
(A);
[(II) the duration of such
placements;
[(III) any increase in the
earnings of such individuals;
and
[(IV) such other factors as
the Secretary of Labor deems
appropriate concerning the
activities of the States with
respect to such individuals.
The formula may take into account
general economic conditions on a State-
by-State basis.
[(iv) Scoring of state performance;
setting of performance thresholds.--
[(I) In general.--The
Secretary of Labor shall--
[(aa) use the formula
developed under clause
(iii) to assign a score
to each State that was
a welfare-to-work State
for fiscal years 1998
and 1999; and
[(bb) prescribe a
performance threshold
in such a manner so as
to ensure that the
total amount of grants
to be made under this
paragraph equals
$100,000,000.
[(II) Availability of
welfare-to-work data submitted
to the secretary of hhs.--The
Secretary of Health and Human
Services shall provide the
Secretary of Labor with the
data reported by States under
this part with respect to
programs operated with funds
provided under subparagraph
(A).
[(v) Successful performance state
defined.--As used in this subparagraph,
the term ``successful performance
State'' means a State whose score
assigned pursuant to clause (iv)(I)(aa)
equals or exceeds the performance
threshold prescribed under clause
(iv)(I)(bb).
[(vi) Set-aside.--$100,000,000 of the
amount specified in subparagraph (I)
for fiscal year 1999 shall be reserved
for grants under this subparagraph.]
[(F)] (E) Funding for indian tribes.--1
percent of the amount specified in subparagraph
[(I)] (H) for fiscal year 1998 and of the
amount so specified for fiscal year 1999 shall
be reserved for grants to Indian tribes under
section 412(a)(3).
[(G)] (F) Funding for evaluations of welfare-
to-work programs.--0.6 percent of the amount
specified in subparagraph [(I)] (H) for fiscal
year 1998 and of the amount so specified for
fiscal year 1999 shall be reserved for use by
the Secretary to carry out section 413(j).
[(H)] (G) Funding for evaluation of
abstinence education programs.--
(i) In general.--0.2 percent of the
amount specified in subparagraph (I)
for fiscal year 1998 and of the amount
so specified for fiscal year 1999 shall
be reserved for use by the Secretary to
evaluate programs under section 510,
directly or through grants, contracts,
or interagency agreements.
(ii) Authority to use funds for
evaluations of welfare-to-work
programs.--Any such amount not required
for such evaluations shall be available
for use by the Secretary to carry out
section 413(j).
(iii) Deadline for outlays.--Outlays
from funds used pursuant to clause (i)
for evaluation of programs under
section 510 shall not be made after
fiscal year [2001] 2005.
(iv) Interim report.--Not later than
January 1, 2002, the Secretary shall
submit to the Congress a interim report
on the evaluations referred to in
clause (i).
[(I)] (H) Appropriations.--
(i) In general.--Out of any money in
the Treasury of the United States not
otherwise appropriated, there are
appropriated [$1,500,000,000 for each
of fiscal years 1998 and 1999 for
grants under this paragraph.] for
grants under this paragraph--
(I) $1,500,000,000 for fiscal
year 1998; and
(II) $1,400,000,000 for
fiscal year 1999.
(ii) Availability.--The amounts made
available pursuant to clause (i) shall
remain available for such period as is
necessary to make the grants provided
for in this paragraph.
[(J)] (I) Worker protections.--
(i) Nondisplacement in work
activities.--
(I) * * *
* * * * * * *
(J) Information disclosure.--If a State to
which a grant is made under section 403
establishes safeguards against the use or
disclosure of information about applicants or
recipients of assistance under the State
program funded under this part, the safeguards
shall not prevent the State agency
administering the program from furnishing to a
private industry council the names, addresses,
telephone numbers, and identifying case number
information in the State program funded under
this part, of noncustodial parents residing in
the service delivery area of the private
industry council, for the purpose of
identifying and contacting noncustodial parents
regarding participation in the program under
this paragraph.
* * * * * * *
SEC. 403A. FATHERHOOD PROGRAMS.
(a) Purpose.--The purpose of this section is to make grants
available to public and private entities for projects designed
to--
(1) promote marriage through counseling, mentoring,
disseminating information about the advantages of
marriage, enhancing relationship skills, teaching how
to control aggressive behavior, and other methods;
(2) promote successful parenting through counseling,
mentoring, disseminating information about good
parenting practices including family planning, training
parents in money management, encouraging child support
payments, encouraging regular visitation between
fathers and their children, and other methods; and
(3) help fathers and their families avoid or leave
cash welfare provided by the program under part A and
improve their economic status by providing work first
services, job search, job training, subsidized
employment, career-advancing education, job retention,
job enhancement, and other methods.
(b) Fatherhood Grants.--
(1) Applications.--An entity desiring a grant to
carry out a project described in subsection (a) may
submit to the Secretary an application that contains
the following:
(A) A description of the project and how the
project will be carried out.
(B) A description of how the project will
address all 3 of the purposes of this section.
(C) A written commitment by the entity that
the project will allow an individual to
participate in the project only if the
individual is--
(i) a father of a child who is, or
within the past 24 months has been, a
recipient of assistance or services
under a State program funded under this
part;
(ii) a father, including an expectant
or married father, whose income (net of
court-ordered child support) is less
than 150 percent of the poverty line
(as defined in section 673(2) of the
Omnibus Budget Reconciliation Act of
1981, including any revision required
by such section, applicable to a family
of the size involved); or
(iii) a parent referred to in
paragraph (3)(A)(iii).
(D) A written commitment by the entity that
the entity will provide for the project, from
funds obtained from non-Federal sources,
amounts (including in-kind contributions) equal
in value to--
(i) 20 percent of the amount of any
grant made to the entity under this
subsection; or
(ii) such lesser percentage as the
Secretary deems appropriate (which
shall be not less than 10 percent) of
such amount, if the application
demonstrates that there are
circumstances that limit the ability of
the entity to raise funds or obtain
resources.
(2) Consideration of applications by interagency
panels.--
(A) First panel.--
(i) Establishment.--There is
established a panel to be known as the
``Fatherhood Grants Recommendations
Panel'' (in this subparagraph referred
to as the ``Panel'').
(ii) Membership.--
(I) In general.--The Panel
shall be composed of 10
members, as follows:
(aa) 2 members of the
Panel shall be
appointed by the
Secretary.
(bb) 2 members of the
Panel shall be
appointed by the
Secretary of Labor.
(cc) 2 members of the
Panel shall be
appointed by the
Chairman of the
Committee on Ways and
Means of the House of
Representatives.
(dd) 1 member of the
Panel shall be
appointed by the
ranking minority member
of the Committee on
Ways and Means of the
House of
Representatives.
(ee) 2 members of the
Panel shall be
appointed by the
Chairman of the
Committee on Finance of
the Senate.
(ff) 1 member of the
Panel shall be
appointed by the
ranking minority member
of the Committee on
Finance of the Senate.
(II) Conflicts of interest.--
An individual shall not be
eligible to serve on the Panel
if such service would pose a
conflict of interest for the
individual.
(III) Timing of
appointments.--The appointment
of members to the Panel shall
be completed not later than
March 1, 2000.
(iii) Duties.--
(I) Review and make
recommendations on project
applications.--The Panel shall
review all applications
submitted pursuant to paragraph
(1), and make recommendations
to the Secretary regarding
which applicants should be
awarded grants under this
subsection, with due regard for
the provisions of paragraph
(3), but shall not recommend
that a project be awarded such
a grant if the application
describing the project does not
attempt to meet the requirement
of paragraph (1)(B).
(II) Timing.--The Panel shall
make such recommendations not
later than September 1, 2000.
(iv) Term of office.--Each member
appointed to the Panel shall serve for
the life of the Panel.
(v) Prohibition on compensation.--
Members of the Panel may not receive
pay, allowances, or benefits by reason
of their service on the Panel.
(vi) Travel expenses.--Each member of
the Panel shall receive travel
expenses, including per diem in lieu of
subsistence, in accordance with
sections 5702 and 5703 of title 5,
United States Code.
(vii) Meetings.--The Panel shall meet
as often as is necessary to complete
the business of the Panel.
(viii) Chairperson.--The Chairperson
of the Panel shall be designated by the
Secretary at the time of appointment.
(ix) Staff of federal agencies.--The
Secretary may detail any personnel of
the Department of Health and Human
Services and the Secretary of Labor may
detail any personnel of the Department
of Labor to the Panel to assist the
Panel in carrying out its duties under
this subparagraph.
(x) Obtaining official data.--The
Panel may secure directly from any
department or agency of the United
States information necessary to enable
it to carry out this subparagraph. On
request of the Chairperson of the
Panel, the head of the department or
agency shall furnish that information
to the Panel.
(xi) Mails.--The Panel may use the
United States mails in the same manner
and under the same conditions as other
departments and agencies of the United
States.
(xii) Termination.--The Panel shall
terminate on September 1, 2000.
(B) Second panel.--
(i) Establishment.--Effective January
1, 2001, there is established a panel
to be known as the ``Fatherhood Grants
Recommendations Panel'' (in this
subparagraph referred to as the
``Panel'').
(ii) Membership.--
(I) In general.--The Panel
shall be composed of 10
members, as follows:
(aa) 2 members of the
Panel shall be
appointed by the
Secretary.
(bb) 2 members of the
Panel shall be
appointed by the
Secretary of Labor.
(cc) 2 members of the
Panel shall be
appointed by the
Chairman of the
Committee on Ways and
Means of the House of
Representatives.
(dd) 1 member of the
Panel shall be
appointed by the
ranking minority member
of the Committee on
Ways and Means of the
House of
Representatives.
(ee) 2 members of the
Panel shall be
appointed by the
Chairman of the
Committee on Finance of
the Senate.
(ff) 1 member of the
Panel shall be
appointed by the
ranking minority member
of the Committee on
Finance of the Senate.
(II) Conflicts of interest.--
An individual shall not be
eligible to serve on the Panel
if such service would pose a
conflict of interest for the
individual.
(III) Timing of
appointments.--The appointment
of members to the Panel shall
be completed not later than
March 1, 2001.
(iii) Duties.--
(I) Review and make
recommendations on project
applications.--The Panel shall
review all applications
submitted pursuant to paragraph
(1), and make recommendations
to the Secretary regarding
which applicants should be
awarded grants under this
subsection, with due regard for
the provisions of paragraph
(3), but shall not recommend
that a project be awarded such
a grant if the application
describing the project does not
attempt to meet the requirement
of paragraph (1)(B).
(II) Timing.--The Panel shall
make such recommendations not
later than September 1, 2001.
(iv) Term of office.--Each member
appointed to the Panel shall serve for
the life of the Panel.
(v) Prohibition on compensation.--
Members of the Panel may not receive
pay, allowances, or benefits by reason
of their service on the Panel.
(vi) Travel expenses.--Each member of
the Panel shall receive travel
expenses, including per diem in lieu of
subsistence, in accordance with
sections 5702 and 5703 of title 5,
United States Code.
(vii) Meetings.--The Panel shall meet
as often as is necessary to complete
the business of the Panel.
(viii) Chairperson.--The Chairperson
of the Panel shall be designated by the
Secretary at the time of appointment.
(ix) Staff of federal agencies.--The
Secretary may detail any personnel of
the Department of Health and Human
Services and the Secretary of Labor may
detail any personnel of the Department
of Labor to the Panel to assist the
Panel in carrying out its duties under
this subparagraph.
(x) Obtaining official data.--The
Panel may secure directly from any
department or agency of the United
States information necessary to enable
it to carry out this subparagraph. On
request of the Chairperson of the
Panel, the head of the department or
agency shall furnish that information
to the Panel.
(xi) Mails.--The Panel may use the
United States mails in the same manner
and under the same conditions as other
departments and agencies of the United
States.
(xii) Termination.--The Panel shall
terminate on September 1, 2001.
(3) Matching grants.--
(A) Grant awards.--
(i) In general.--The Secretary shall
award matching grants, on a competitive
basis, among entities submitting
applications therefor which meet the
requirements of paragraph (1), in
amounts that take into account the
written commitments referred to in
paragraph (1)(D).
(ii) Timing.--
(I) First round.--On October
1, 2000, the Secretary shall
award not more than $70,000,000
in matching grants after
considering the recommendations
submitted pursuant to paragraph
(2)(A)(iii)(I).
(II) Second round.--On
October 1, 2001, the Secretary
shall award not more than
$70,000,000 in matching grants
after considering the
recommendations submitted
pursuant to paragraph
(2)(B)(iii)(I).
(iii) Nondiscrimination.--The
provisions of this section shall be
applied and administered so as to
ensure that mothers, expectant mothers,
and married mothers are eligible for
benefits and services under projects
awarded grants under this section on
the same basis as fathers, expectant
fathers, and married fathers.
(B) Preferences.--In determining which
entities to which to award grants under this
subsection, the Secretary shall give preference
to an entity--
(i) to the extent that the
application submitted by the entity
describes actions that the entity will
take that are designed to encourage or
facilitate the payment of child
support, including but not limited to--
(I) obtaining agreements with
the State in which the project
will be carried out under which
the State will exercise its
authority under the last
sentence of section
457(a)(2)(B)(iv) in every case
in which such authority may be
exercised;
(II) obtaining a written
commitment by the agency
responsible for administering
the State plan approved under
part D for the State in which
the project is to be carried
out that the State will
voluntarily cancel child
support arrearages owed to the
State by the father as a result
of the father providing various
supports to the family such as
maintaining a regular child
support payment schedule or
living with his children; and
(III) obtaining a written
commitment by the entity that
the entity will help
participating fathers who
cooperate with the agency in
improving their credit rating;
(ii) to the extent that the
application includes written agreements
of cooperation with other private and
governmental agencies, including the
State or local program funded under
this part, the local Workforce
Investment Board, the State or local
program funded under part D, and the
State or local program funded under
part E, which should include a
description of the services each such
agency will provide to fathers
participating in the project described
in the application;
(iii) to the extent that the
application describes a project that
will enroll a high percentage of
project participants within 6 months
before or after the birth of the child;
or
(iv) to the extent that the
application sets forth clear and
practical methods by which fathers will
be recruited to participate in the
project.
(C) Minimum percentage of recipients of grant
funds to be nongovernmental (including faith-
based) organizations.--Not less than 75 percent
of the entities awarded grants under this
subsection in each fiscal year (other than
entities awarded such grants pursuant to the
preferences required by subparagraph (B)) shall
be awarded to--
(i) nongovernmental (including faith-
based) organizations; or
(ii) governmental organizations that
pass through to organizations referred
to in clause (i) at least 50 percent of
the amount of the grant.
(D) Diversity of projects.--
(i) In general.--In determining which
entities to which to award grants under
this subsection, the Secretary shall
attempt to achieve a balance among
entities of differing sizes, entities
in differing geographic areas, entities
in urban versus rural areas, and
entities employing differing methods of
achieving the purposes of this section.
(ii) Report to the congress.--Within
90 days after each award of grants
under subclause (I) or (II) of
subparagraph (A)(ii), the Secretary
shall submit to the Committee on Ways
and Means of the House of
Representatives and the Committee on
Finance of the Senate a brief report on
the diversity of projectes selected to
receive funds under the grant program.
The report shall include a comparison
of funding for projects located in
urban areas, projects located in
suburban areas, and projects located in
rural areas.
(E) Payment of grant in 4 equal annual
installments.--During the fiscal year in which
a grant is awarded under this subsection and
each of the succeeding 3 fiscal years, the
Secretary shall provide to the entity awarded
the grant an amount equal to \1/4\ of the
amount of the grant.
(4) Use of funds.--
(A) In general.--Each entity to which a grant
is made under this subsection shall use grant
funds provided under this subsection in
accordance with the application requesting the
grant, the requirements of this subsection, and
the regulations prescribed under this
subsection, and may use the grant funds to
support community-wide initiatives to address
the purposes of this section.
(B) Nondisplacement.--
(i) In general.--An adult in a work
activity described in section 407(d)
which is funded, in whole or in part,
by funds provided under this section
shall not be employed or assigned--
(I) when any other individual
is on layoff from the same or
any substantially equivalent
job; or
(II) if the employer has
terminated the employment of
any regular employee or
otherwise caused an involuntary
reduction of its workforce in
order to fill the vacancy so
created with such an adult.
(ii) Grievance procedure.--
(I) In general.--Complaints
alleging violations of clause
(i) in a State may be
resolved--
(aa) if the State has
established a grievance
procedure under section
403(a)(5)(J)(iv),
pursuant to the
grievance procedure; or
(bb) otherwise,
pursuant to the
grievance procedure
established by the
State under section
407(f)(3).
(II) Forfeiture of grant if
grievance procedure not
available.--If a complaint
referred to in subclause (I) is
made against an entity to which
a grant has been made under
this section with respect to a
project, and the complaint
cannot be brought to, or cannot
be resolved within 90 days
after being brought, by a
grievance procedure referred to
in subclause (I), then the
entity shall immediately return
to the Secretary all funds
provided to the entity under
this section for the project,
and the Secretary shall
immediately rescind the grant.
(C) Rule of construction.--This section shall
not be construed to require the participation
of a father in a project funded under this
section to be discontinued by the project on
the basis of changed economic circumstances of
the father.
(D) Rule of construction on marriage.--This
section shall not be construed to authorize the
Secretary to define marriage for purposes of
this section.
(E) Penalty for misuse of grant funds.--If
the Secretary determines that an entity to
which a grant is made under this subsection has
used any amount of the grant in violation of
subparagraph (A), the Secretary shall require
the entity to remit to the Secretary an amount
equal to the amount so used, plus all remaining
grant funds, and the entity shall thereafter be
ineligible for any grant under this subsection.
(F) Remittance of unused grant funds.--Each
entity to which a grant is awarded under this
subsection shall remit to the Secretary all
funds paid under the grant that remain at the
end of the 5th fiscal year ending after the
initial grant award.
(5) Authority of agencies to exchange information.--
Each agency administering a program funded under this
part or a State plan approved under part D may share
the name, address, telephone number, and identifying
case number information in the State program funded
under this part, of fathers for purposes of assisting
in determining the eligibility of fathers to
participate in projects receiving grants under this
section, and in contacting fathers potentially eligible
to participate in the projects, subject to all
applicable privacy laws.
(6) Evaluation.--The Secretary, in consultation with
the Secretary of Labor, shall, directly or by grant,
contract, or interagency agreement, conduct an
evaluation of projects funded under this section (other
than under subsection (c)(1)). The evaluation shall
assess, among other outcomes selected by the Secretary,
effects of the projects on marriage, parenting,
employment, earnings, and payment of child support. In
selecting projects for the evaluation, the Secretary
should include projects that, in the Secretary's
judgment, are most likely to impact the matters
described in the purposes of this section. In
conducting the evaluation, random assignment should be
used wherever possible.
(7) Regulations.--The Secretary shall prescribe such
regulations as may be necessary to carry out this
subsection.
(8) Limitation on applicability of other provisions
of this part.--Sections 404 through 410 shall not apply
to this section or to amounts paid under this section,
and shall not be applied to an entity solely by reason
of receipt of funds pursuant to this section. A project
shall not be considered a State program funded under
this part solely by reason of receipt of funds paid
under this section.
(9) Funding.--
(A) In general.--
(i) Interagency panels.--Of the
amounts made available pursuant to
section 403(a)(1)(E) to carry out this
section for fiscal years 2000 and 2001,
a total of $150,000 shall be made
available for the interagency panels
established by paragraph (2) of this
subsection.
(ii) Grants.--Of the amounts made
available pursuant to section
403(a)(1)(E) to carry out this section,
there shall be made available for
grants under this subsection--
(I) $17,500,000 for fiscal
year 2001;
(II) $35,000,000 for each of
fiscal years 2002 through 2004;
and
(III) $17,500,000 for fiscal
year 2005.
(iii) Evaluation.--Of the amounts
made available pursuant to section
403(a)(1)(E) to carry out this section
for fiscal years 2000 through 2006, a
total of $6,000,000 shall be made
available for the evaluation required
by paragraph (6) of this subsection.
(B) Availability.--
(i) Grant funds.--The amounts made
available pursuant to subparagraph
(A)(ii) shall remain available until
the end of fiscal year 2005.
(ii) Evaluation funds.--The amounts
made available pursuant to subparagraph
(A)(iii) shall remain available until
the end of fiscal year 2007.
(c) Fatherhood Projects of National Significance.--
(1) National clearinghouse.--The Secretary shall
award a $5,000,000 grant to a nationally recognized,
nonprofit fatherhood promotion organization with at
least 4 years of experience in designing and disseminating
a national public education campaign, including the production
and successful placement of television, radio, and print
public service announcements which promote the importance
of responsible fatherhood, and with at least 4 years
experience providing consultation and training to
community-based organizations interested in implementing
fatherhood outreach, support, or skill development programs
with an emphasis on promoting married fatherhood as the
ideal, to--
(A) develop, promote, and distribute to
interested States, local governments, public
agencies, and private nonprofit organizations,
including charitable and religious
organizations, a media campaign that encourages
the appropriate involvement of both parents in
the life of any child of the parents, and
encourages such organizations to develope or
sponsor programs that specifically address the
issue of responsible fatherhood and the
advantages conferred on children by marriage;
(B) develop a national clearinghouse to
assist States, communities, and private
entities in efforts to promote and support
marriage and responsible fatherhood by
collecting, evaluating, and making available
(through the Internet and by other means) to
all interested parties, information regarding
media campaigns and fatherhood programs;
(C) develop and distribute materials that are
for use by entities described in subparagraph
(A) or (B) and that help young adults manage
their money, develop the knowledge and skills
needed to promote successful marriages, plan
for future expenditures and investments, and
plan for retirement;
(D) develop and distribute materials that are
for use by entities described in subparagraphs
(A) and (B) and that list all the sources of
public support for education and training that
are available to young adults, including
government spending programs as well as
benefits under Federal and State tax laws.
(2) Multicity fatherhood projects.--
(A) In general.--The Secretary shall award a
$5,000,000 grant to each of 2 nationally
recognized nonprofit fatherhood promotion
organizations which meet the requirements of
subparagraph (B), at least 1 of which
organizations meets the requirement of
subparagraph (C).
(B) Requirements.--The requirements of this
subparagraph are the following:
(i) The organization must have
several years of experience in
designing and conducting programs that
meet the purposes described in
paragraph (1).
(ii) The organization must have
experience in simultaneously conducting
such programs in more than 1 major
metropolitan area and in coordinating
such programs with local government
agencies and private, nonprofit
agencies, including State or local
agencies responsible for conducting the
program under part D and Workfore
Investment Boards.
(iii) The organization must submit to
the Secretary an application that meets
all the conditions applicable to the
organization under this section and
that provides for projects to be
conducted in 3 major metropolitan
areas.
(C) Use of married couples to deliver
services in the inner city.--The requirement of
this subparagraph is that the organization has
extensive experience in using married couples
to deliver program services in the inner city.
(3) Payment of grants in 4 equal annual
installments.--During each of fiscal years 2002 through
2005, the Secretary shall provide to each entity
awarded a grant under this subsection an amount equal
to \1/4\ of the amount of the grant.
(4) Funding.--
(A) In general.--Of the amounts made
available pursuant to section 403(a)(1)(E) to
carry out this section, $3,750,000 shall be
made available for grants under this subsection
for each of fiscal years 2002 through 2005.
(B) Availability.--The amounts made available
pursuant to subparagraph (A) shall remain
available until the end of fiscal year 2005.
* * * * * * *
SEC. 409. PENALTIES.
(a) In General.--Subject to this section:
(1) * * *
* * * * * * *
(8) Noncompliance of state child support enforcement
program with requirements of part d.--
(A) In general.--If the Secretary finds, with
respect to a State's program under part D, in a
fiscal year beginning on or after October 1,
1997--
(i) * * *
* * * * * * *
(III) on the basis of the results of
an audit or audits conducted under
section 452(a)(4)(C) that a State
failed to substantially comply with 1
or more of the requirements of part D
(other than [section 454(24)] paragraph
(24), or subparagraph (A) or (B)(i) of
paragraph (27), of section 454); and
* * * * * * *
SEC. 411. DATA COLLECTION AND REPORTING.
(a) Quarterly Reports by States.--
(1) General reporting requirement.--
(A) Contents of report.--Each eligible State
shall collect on a monthly basis, and report to
the Secretary on a quarterly basis, the
following disaggregated case record information
on the families receiving assistance under
the State program funded under this part (except
for information relating to activities carried
out under section 403(a)(5)):
(i) * * *
* * * * * * *
SEC. 412. DIRECT FUNDING AND ADMINISTRATION BY INDIAN TRIBES.
(a) Grants for Indian Tribes.--
(1) * * *
* * * * * * *
(3) Welfare-to-work grants.--
(A) In general.--The Secretary of Labor shall
award a grant in accordance with this paragraph
to an Indian tribe for each fiscal year
specified in section [403(a)(5)(I)]
403(a)(5)(H) for which the Indian tribe is a
welfare-to-work tribe, in such amount as the
Secretary of Labor deems appropriate, subject
to subparagraph (B) of this paragraph.
* * * * * * *
(C) Limitations on use of funds.--
(i) * * *
(ii) Waiver authority.--The Secretary
of Labor may waive or modify the
application of a provision of section
403(a)(5)(C) (other than clause [(vii)]
(ix) thereof) with respect to an Indian
tribe to the extent necessary to enable
the Indian tribe to operate a more
efficient or effective program with the
funds provided under this paragraph.
* * * * * * *
SEC. 414. STUDY BY THE CENSUS BUREAU.
(a) * * *
(b) Appropriation.--Out of any money in the Treasury of the
United States not otherwise appropriated, there are
[appropriated $10,000,000 for each of fiscal years 1996, 1997,
1998, 1999, 2000, 2001, and 2002 for payment to the Bureau of
the Census to carry out subsection (a).] appropriated--
(1) $10,000,000 for each of fiscal years 1996 through
1999;
(2) $12,300,000 for fiscal year 2000;
(3) $17,500,000 for fiscal year 2001;
(4) $15,500,000 for fiscal year 2002; and
(5) $4,000,000 for fiscal year 2003.
* * * * * * *
Part D--Child Support and Establishment of Paternity
* * * * * * *
DUTIES OF THE SECRETARY
Sec. 452. (a) * * *
* * * * * * *
(m) If the Secretary receives a certification by a State
agency, in accordance with section 454(32), that an individual
who is a nonimmigrant alien owes arrearages of child support in
an amount exceeding $5,000, the Secretary may, at the request
of the State agency, the Secretary of State, or the Attorney
General, or on the Secretary's own initiative, provide such
certification to the Secretary of State and the Attorney
General information in order to enable them to carry out their
responsibilities under sections 212(a)(10) and 235(d) of the
Immigration and Nationality Act.
FEDERAL PARENT LOCATOR SERVICE
Sec. 453. (a) * * *
* * * * * * *
(j) Information Comparisons and Other Disclosures.--
(1) * * *
* * * * * * *
(6) Information comparisons and disclosure for
enforcement of obligations on higher education act
loans and grants.--
(A) Furnishing of information by the
secretary of education.--The Secretary of
Education shall furnish to the Secretary, on a
quarterly basis or at such less frequent
intervals as may be determined by the Secretary
of Education, information in the custody of the
Secretary of Education for comparison with
information in the National Directory of New
Hires, in order to obtain the information in
such directory with respect to individuals
who--
(i) are borrowers of loans made under
title IV of the Higher Education Act of
1965 that are in default; or
(ii) owe an obligation to refund an
overpayment of a grant awarded under
such title.
(B) Requirement to seek minimum information
necessary.--The Secretary of Education shall
seek information pursuant to this section only
to the extent essential to improving collection
of the debt described in subparagraph (A).
(C) Duties of the secretary.--
(i) Information comparison;
disclosure to the secretary of
education.--The Secretary, in
cooperation with the Secretary of
Education, shall compare information in
the National Directory of New Hires
with information in the custody of the
Secretary of Education, and disclose
information in that Directory to the
Secretary of Education, in accordance
with this paragraph, for the purposes
specified in this paragraph.
(ii) Condition on disclosure.--The
Secretary shall make disclosures in
accordance with clause (i) only to the
extent that the Secretary determines
that such disclosures do not interfere
with the effective operation of the
program under this part. Support
collection under section 466(b) shall
be given priority over collection of
any defaulted student loan or grant
overpayment against the same income.
(D) Use of information by the secretary of
education.--The Secretary of Education may use
information resulting from a data match
pursuant to this paragraph only--
(i) for the purpose of collection of
the debt described in subparagraph (A)
owed by an individual whose annualized
wage level (determined by taking into
consideration information from the
National Directory of New Hires)
exceeds $16,000; and
(ii) after removal of personal
identifiers, to conduct analyses of
student loan defaults.
(E) Disclosure of information by the
secretary of education.--
(i) Disclosures permitted.--The
Secretary of Education may disclose
information resulting from a data match
pursuant to this paragraph only to--
(I) a guaranty agency holding
a loan made under part B of
title IV of the Higher
Education Act of 1965 on which
the individual is obligated;
(II) a contractor or agent of
the guaranty agency described
in subclause (I);
(III) a contractor or agent
of the Secretary; and
(IV) the Attorney General.
(ii) Purpose of disclosure.--The
Secretary of Education may make a
disclosure under clause (i) only for
the purpose of collection of the debts
owed on defaulted student loans, or
overpayments of grants, made under
title IV of the Higher Education Act of
1965.
(iii) Restriction on redisclosure.--
An entity to which information is
disclosed under clause (i) may use or
disclose such information only as
needed for the purpose of collecting on
defaulted student loans, or
overpayments of grants, made under
title IV of the Higher Education Act of
1965.
(F) Reimbursement of hhs costs.--The
Secretary of Education shall reimburse the
Secretary, in accordance with subsection
(k)(3), for the additional costs incurred by
the Secretary in furnishing the information
requested under this subparagraph.
(7) Information comparisons and disclosure to assist
in administration of unemployment compensation
programs.--
(A) In general.--If a State agency
responsible for the administration of an
unemployment compensation program under Federal
or State law transmits to the Secretary the
name and social security account number of an
individual, the Secretary shall, if the
information in the National Directory of New
Hires indicates that the individual may be
employed, disclose to the State agency the name
and address of any putative employer of the
individual, subject to this paragraph.
(B) Condition on disclosure.--The Secretary
shall make a disclosure under subparagraph (A)
only to the extent that the Secretary
determines that the disclosure would not
interfere with the effective operation of the
program under this part.
(C) Use of information.--A State agency may
use information provided under this paragraph
only for purposes of administering a program
referred to in subparagraph (A).
* * * * * * *
STATE PLAN FOR CHILD AND SPOUSAL SUPPORT
Sec. 454. A State plan for child and spousal support must--
(1) * * *
* * * * * * *
(32)(A) provide that any request for services under
this part by a foreign reciprocating country or a
foreign country with which the State has an arrangement
described in section 459A(d) shall be treated as a
request by a State;
(B) provide, at State option, notwithstanding
paragraph (4) or any other provision of this part, for
services under the plan for enforcement of a spousal
support order not described in paragraph (4)(B) entered
by such a country (or subdivision); and
(C) provide that no applications will be required
from, and no costs will be assessed for such services
against, the foreign reciprocating country or foreign
obligee (but costs may at State option be assessed
against the obligor); [and]
(33) provide that a State that receives funding
pursuant to section 428 and that has within its borders
Indian country (as defined in section 1151 of title 18,
United States Code) may enter into cooperative
agreements with an Indian tribe or tribal organization
(as defined in subsections (e) and (l) of section 4 of
the Indian Self-Determination and Education Assistance
Act (25 U.S.C. 450b)), if the Indian tribe or tribal
organization demonstrates that such tribe or
organization has an established tribal court system or
a Court of Indian Offenses with the authority to
establish paternity, establish, modify, or enforce
support orders, or to enter support orders in
accordance with child support guidelines established or
adopted by such tribe or organization, under which the
State and tribe or organization shall provide for the
cooperative delivery of child support enforcement
services in Indian country and for the forwarding of
all collections pursuant to the functions performed by
the tribe or organization to the State agency, or
conversely, by the State agency to the tribe or
organization, which shall distribute such collections
in accordance with such agreement[.]; and
(34) provide that the State agency will have in
effect a procedure for certifying to the Secretary, in
such format and accompained by such supporting
documentation as the Secretary may require,
determinations for purposes of section 452(m) that
nonimmigrant aliens owe arrearages of child support in
an amount exceeding $5,000.
SEC. 454A. AUTOMATED DATA PROCESSING.
(a) * * *
* * * * * * *
(f) Information Comparisons and Other Disclosures of
Information.--The State shall use the automated system required
by this section to extract information from (at such times, and
in such standardized format or formats, as may be required by
the Secretary), to share and compare information with, and to
receive information from, other data bases and information
comparison services, in order to obtain (or provide)
information necessary to enable the State agency (or the
Secretary or other State or Federal agencies) to carry out this
part, subject to section 6103 of the Internal Revenue Code of
1986. Such information comparison activities shall include the
following:
(1) * * *
* * * * * * *
(5) Private industry councils receiving welfare-to-
work grants.--Disclosing to a private industry council
(as defined in section 403(a)(5)(D)(ii)) to which funds
are provided under section 403(a)(5) the names,
addresses, telephone numbers, and identifying case
number information in the State program funded under
part A, of noncustodial parents residing in the service
delivery area of the private industry council, for the
purpose of identifying and contacting noncustodial
parents regarding participation in the program under
section 403(a)(5).
* * * * * * *
PAYMENTS TO STATES
Sec. 455. (a)(1) * * *
* * * * * * *
(5)(A)(i) If--
(I) the Secretary determines that a State plan under
section 454 would (in the absence of this paragraph) be
disapproved for the failure of the State to comply with
subparagraphs (A) and (B)(i) of section 454(27), and
that the State has made and is continuing to make a
good faith effort to so comply; and
(II) the State has submitted to the Secretary, not
later than April 1, 2000, a corrective compliance plan
that describes how, by when, and at what cost the State
will achieve such compliance, which has been approved
by the Secretary,
then the Secretary shall not disapprove the State plan under
section 454, and the Secretary shall reduce the amount
otherwise payable to the State under paragraph (1)(A) of this
subsection for the fiscal year by the penalty amount.
(ii) All failures of a State during a fiscal year to comply
with any of the requirements of section 454B shall be
considered a single failure of the State to comply with
subparagraphs (A) and (B)(i) of section 454(27) during the
fiscal year for purposes of this paragraph.
(B) In this paragraph:
(i) The term ``penalty amount'' means, with respect
to a failure of a State to comply with subparagraphs
(A) and (B)(i) of section 454(27)--
(I) 4 percent of the penalty base, in the
case of the 1st fiscal year in which such a
failure by the State occurs (regardless of
whether a penalty is imposed in that fiscal
year under this paragraph with respect to the
failure), except as provided in subparagraph
(C)(ii) of this paragraph;
(II) 8 percent of the penalty base, in the
case of the 2nd such fiscal year;
(III) 16 percent of the penalty base, in the
case of the 3rd such fiscal year;
(IV) 25 percent of the penalty base, in the
case of the 4th such fiscal year; or
(V) 30 percent of the penalty base, in the
case of the 5th or any subsequent such fiscal
year.
(ii) The term ``penalty base'' means, with respect to
a failure of a State to comply with subparagraphs (A)
and (B)(i) of section 454(27) during a fiscal year, the
amount otherwise payable to the State under paragraph
(1)(A) of this subsection for the preceding fiscal
year.
(C)(i) The Secretary shall waive all penalties imposed
against a State under this paragraph for any failure of the
State to comply with subparagraphs (A) and (B)(i) of section
454(27) if the Secretary determines that, before April 1, 2000,
the State has achieved such compliance.
(ii) If a State with respect to which a reduction is required
to be made under this paragraph with respect to a failure to
comply with subparagraphs (A) and (B)(i) of section 454(27)
achieves such compliance on or after April 1, 2000, and on or
before September 30, 2000, then the penalty amount applicable
to the State shall be 1 percent of the penalty base with
respect to the failure involved.
(D) The Secretary may not impose a penalty under this
paragraph against a State for a fiscal year for which the
amount otherwise payable to the State under paragraph (1)(A) of
this subsection is reduced under paragraph (4) of this
subsection for failure to comply with section 454(24)(A).
* * * * * * *
SEC. 457. DISTRIBUTION OF COLLECTED SUPPORT.
(a) In General.--Subject to subsections (e) and (f), an
amount collected on behalf of a family as support by a State
pursuant to a plan approved under this part shall be
distributed as follows:
(1) * * *
* * * * * * *
(2) Families that formerly received assistance.--In
the case of a family that formerly received assistance
from the State:
(A) * * *
(B) Payments of arrearages.--To the extent
that the amount so collected exceeds the amount
required to be paid to the family for the month
in which collected, the State shall distribute
the amount so collected as follows:
(i) * * *
* * * * * * *
(iv) Amounts collected pursuant to
section 464.--Notwithstanding any other
provision of this section (except the
last sentence of this clause), any
amount of support collected pursuant to
section 464 shall be retained by the
State to the extent past-due support
has been assigned to the State as a
condition of receiving assistance from
the State, up to the amount necessary
to reimburse the State for amounts paid
to the family as assistance by the
State. The State shall pay to the
Federal Government the Federal share of
the amounts so retained. To the extent
the amount collected pursuant to
section 464 exceeds the amount so
retained, the State shall distribute
the excess to the family.
Notwithstanding the preceding sentences
of this clause, if the amount is
collected on behalf of a family that
includes a child of a participant in a
project funded under section 403A and
that has ceased to receive cash
payments under a State program funded
under section 403, then the State may
distribute the amount collected
pursuant to section 464 to the family,
and the aggregate of the amounts
otherwise required by this section to
be paid by the State to the Federal
government shall be reduced by an
amount equal to the State share of the
amount collected pursuant to section
464 that would otherwise be retained as
reimbursement for assistance paid to
the family.
* * * * * * *
Part E--Federal Payments for Foster Care and Adoption Assistance
* * * * * * *
ADOPTION ASSISTANCE PROGRAM
Sec. 473. (a)(1) * * *
* * * * * * *
(6)(A) * * *
(B) A State's payment of nonrecurring adoption expenses under
an adoption assistance agreement shall be treated as an
expenditure made for the proper and efficient administration of
the State plan for purposes of section [474(a)(3)(E)]
474(a)(3)(F).
* * * * * * *
PAYMENTS TO STATES; ALLOTMENTS TO STATES
Sec. 474. (a) For each quarter beginning after September 30,
1980, each State which has a plan approved under this part
shall be entitled to a payment equal to the sum of--
(1) * * *
* * * * * * *
(3) an amount equal to the sum of the following
proportions of the total amounts expended during such
quarter as found necessary by the Secretary for the
provision of child placement services and for the
proper and efficient administration of the State plan--
(A) * * *
* * * * * * *
(C) 75 percent of so much of such
expenditures as are for the short-term training
(including cross-training with personnel
employed by, or under contract with, the State
or local agency administering the plan in the
political subdivision, training on topics
relevant to the legal representation of clients
in proceedings conducted by or under the
supervision of an abuse and neglect court, and
training on related topics such as child
development and the importance of achieving
safety, permanency, and well-being for a child)
of judges, judicial personnel, law enforcement
personnel, agency attorneys, attorneys
representing a parent in proceedings conducted
by, or under the supervision of, an abuse and
neglect court, attorneys representing a child
in such proceedings, guardians ad litem, and
volunteers who participate in court-appointed
special advocate programs, to the extent the
training is related to the court's role in
expediting adoption procedures, implementing
reasonable efforts, and providing for timely
permanency planning and case reviews, except
that any such training shall be offered by the
State or local agency administering the plan,
either directly or through contract, in
collaboration with the appropriate judicial
governing body operating in the State,
[(C)] (D) 50 percent of so much of such
expenditures as are for the planning, design,
development, or installation of statewide
mechanized data collection and information
retrieval systems (including 50 percent of the
full amount of expenditures for hardware
components for such systems) but only to the
extent that such systems--
(i) * * *
* * * * * * *
[(D)] (E) 50 percent of so much of such
expenditures as are for the operation of the
statewide mechanized data collection and
information retrieval systems referred to in
subparagraph [(C)] (D); and
[(E)] (F) one-half of the remainder of such
expenditures; plus
* * * * * * *
(c) Automated Data Collection Expenditures.--The Secretary
shall treat as necessary for the proper and efficient
administration of the State plan all expenditures of a State
necessary in order for the State to plan, design, develop,
install, and operate data collection and information retrieval
systems described in subsection [(a)(3)(C)] (a)(3)(D), without
regard to whether the systems may be used with respect to
foster or adoptive children other thanthose on behalf of whom
foster care maintenance payments or adoption assistance payments may be
made under this part.
* * * * * * *
DEFINITIONS
Sec. 475. As used in this part or part B of this title:
(1) * * *
* * * * * * *
(8) The term ``abuse and neglect courts'' means the
State and local courts that carry out State or local
laws requiring proceedings (conducted by or under the
supervision of the courts)--
(A) that implement part B or this part,
including preliminary disposition of such
proceedings;
(B) that determine whether a child was abused
or neglected;
(C) that determine the advisability or
appropriateness of placement in a family foster
home, group home, or a special residential care
facility; or
(D) that determine any other legal
disposition of a child in the abuse and neglect
court system.
(9) The term ``agency attorney'' means an attorney or
other individual, including any government attorney,
district attorney, attorney general, State attorney,
county attorney, city solicitor or attorney,
corporation counsel, or privately retained special
prosecutor, who represents the State or local agency
administrating the programs under part B and this part
in a proceeding conducted by, or under the supervision
of, an abuse and neglect court, including a proceeding
for termination of parental rights.
(10) The term ``attorney representing a child'' means
an attorney or a guardian ad litem who represents a
child in a proceeding conducted by, or under the
supervision of, an abuse and neglect court.
(11) The term ``attorney representing a parent''
means an attorney who represents a parent who is an
official party to a proceeding conducted by, or under
the supervision of, an abuse and neglect court.
* * * * * * *
----------
SECTION 104 OF THE PERSONAL RESPONSIBILITY AND WORK OPPORTUNITY
RECONCILIATION ACT OF 1996
* * * * * * *
SEC. 104. SERVICES PROVIDED BY CHARITABLE, RELIGIOUS, OR
PRIVATE ORGANIZATIONS.
(a) * * *
* * * * * * *
(l) Notwithstanding the preceding provisions of this section,
this section shall apply to any entity to which funds have been
provided under section 403A of the Social Security Act in the
same manner in which this section applies to States, and, for
purposes of this section, any project for which such funds are
so provided shall be considered a program described in
subsection (a)(2).
* * * * * * *
----------
SECTION 402 OF THE CHILD SUPPORT PERFORMANCE AND INCENTIVE ACT OF 1998
* * * * * * *
SEC. 402. SAFEGUARD OF NEW EMPLOYEE INFORMATION.
(a) Penalty for Unauthorized Access, Disclosure, or Use of
Information.--Section 453(l) of the Social Security Act (42
U.S.C. 653(l)) is amended--
(1) * * *
(2) by adding at the end the following:
``(2) Penalty for misuse of information in the
national directory of new hires.--The Secretary shall
require the imposition of an administrative penalty (up
to and including dismissal from employment), and a fine
of $1,000, for each act of unauthorized access to,
disclosure of, or use of, information in the National
Directory of New Hires established under subsection (i)
by any officer or employee of the United States or any
other person who knowingly and willfully violates this
paragraph.''.
* * * * * * *
----------
TITLE II OF THE IMMIGRATION AND NATIONALITY ACT
* * * * * * *
TITLE II--IMMIGRATION
* * * * * * *
Chapter 2--Qualifications for Admission of Aliens; Travel Control of
Citizens and Aliens
* * * * * * *
general classes of aliens ineligible to receive visas and ineligible
for admission; waivers of inadmissibility
Sec. 212. (a) Classes of Aliens Ineligible for Visas or
Admission.--Except as otherwise provided in this Act, aliens
who are inadmissible under the following paragraphs are
ineligible to receive visas and ineligible to be admitted to
the United States:
(1) * * *
* * * * * * *
(10) Miscellaneous.--
(A) * * *
* * * * * * *
(F) Nonpayment of child support.--
(i) In general.--Any alien is
inadmissible who is legally obligated
under a judgment, decree, or order to
pay child support (as defined in
section 459(i) of the Social Security
Act), and whose failure to pay such
child support has resulted in an
arrearage exceeding $5,000, until child
support payments under the judgment,
decree, or order are satisfied or the
alien is in compliance with an approved
payment agreement.
(ii) Waiver authorized.--The Attorney
General may waive the application of
clause (i) in the case of an alien, if
the Attorney General--
(I) has received a request
for the waiver from the court
or administrative agency having
jurisdiction over the judgment,
decree, or order obligating the
alien to pay child support that
is referred to in such clause;
or
(II) determines that there
are prevailing humanitarian or
public interest concerns.
* * * * * * *
Chapter 4--Inspection, Apprehension, Examination, Exclusion, and
Removal
* * * * * * *
inspection by immigration officers; expedited removal of inadmissible
arriving aliens; referral for hearing
Sec. 235. (a) * * *
* * * * * * *
(d) Authority Relating to Inspections.--
(1) * * *
* * * * * * *
(5) Authority to serve process in child support
cases.--
(A) In general.--To the extent consistent
with State law, immigration officers are
authorized to serve on any alien who is an
applicant for admission to the United States
legal process with respect to any action to
enforce or establish a legal obligation of an
individual to pay child support (as defined in
section 459(i) of the Social Security Act).
(B) Definition.--For purposes of subparagraph
(A), the term ``legal process'' means any writ,
order, summons or other similar process, which
is issued by--
(i) a court or an administrative
agency of competent jurisdiction in any
State, territory, or possession of the
United States; or
(ii) an authorized official pursuant
to an order of such a court or agency
or pursuant to State or local law.