[106th Congress Public Law 169]
[From the U.S. Government Printing Office]


<DOC>
[DOCID: f:publ169.106]


[[Page 1821]]

                  FOSTER CARE INDEPENDENCE ACT OF 1999

[[Page 113 STAT. 1822]]

Public Law 106-169
106th Congress

                                 An Act


 
To amend part E of title IV of the Social Security Act to provide States 
   with more funding and greater flexibility in carrying out programs 
 designed to help children make the transition from foster care to self-
  sufficiency, and for other purposes. <<NOTE: Dec. 14, 1999 -  [H.R. 
                                3443]>> 

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress <<NOTE: Foster Care Independence 
Act of 1999.>> assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short <<NOTE: 42 USC 1305 note.>> Title.--This Act may be cited 
as the ``Foster Care Independence 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--IMPROVED INDEPENDENT LIVING PROGRAM

             Subtitle A--Improved Independent Living Program

Sec. 101. Improved independent living program.

                Subtitle B--Related Foster Care Provision

Sec. 111. Increase in amount of assets allowable for children in foster 
           care.
Sec. 112. Preparation of foster parents to provide for the needs of 
           children in State care.

                     Subtitle C--Medicaid Amendments

Sec. 121. State option of Medicaid coverage for adolescents leaving 
           foster care.

                 Subtitle D--Adoption Incentive Payments

Sec. 131. Increased funding for adoption incentive payments.

                     TITLE II--SSI FRAUD PREVENTION

           Subtitle A--Fraud Prevention and Related Provisions

Sec. 201. Liability of representative payees for overpayments to 
           deceased recipients.
Sec. 202. Recovery of overpayments of SSI benefits from lump sum SSI 
           benefit payments.
Sec. 203. Additional debt collection practices.
Sec. 204. Requirement to provide State prisoner information to Federal 
           and federally assisted benefit programs.
Sec. 205. Treatment of assets held in trust under the SSI program.
Sec. 206. Disposal of resources for less than fair market value under 
           the SSI program.
Sec. 207. Administrative procedure for imposing penalties for false or 
           misleading statements.
Sec. 208. Exclusion of representatives and health care providers 
           convicted of violations from participation in social security 
           programs.
Sec. 209. State data exchanges.
Sec. 210. Study on possible measures to improve fraud prevention and 
           administrative processing.
Sec. 211. Annual report on amounts necessary to combat fraud.

[[Page 113 STAT. 1823]]

Sec. 212. Computer matches with Medicare and Medicaid 
           institutionalization data.
Sec. 213. Access to information held by financial institutions.

         Subtitle B--Benefits For Certain World War II Veterans

Sec. 251. Establishment of program of special benefits for certain World 
           War II veterans.

                            Subtitle C--Study

Sec. 261. Study of denial of SSI benefits for family farmers.

                        TITLE III--CHILD SUPPORT

Sec. 301. Narrowing of hold-harmless provision for State share of 
           distribution of collected child support.

                     TITLE IV--TECHNICAL CORRECTIONS

Sec. 401. Technical corrections relating to amendments made by the 
           Personal Responsibility and Work Opportunity Reconciliation 
           Act of 1996.

              TITLE I--IMPROVED INDEPENDENT LIVING PROGRAM

             Subtitle A--Improved Independent Living Program

SEC. 101. <<NOTE: 42 USC 677 note.>> IMPROVED INDEPENDENT LIVING 
            PROGRAM.

    (a) Findings.--The Congress finds the following:
            (1) States are required to make reasonable efforts to find 
        adoptive families for all children, including older children, 
        for whom reunification with their biological family is not in 
        the best interests of the child. However, some older children 
        will continue to live in foster care. These children should be 
        enrolled in an Independent Living program designed and conducted 
        by State and local government to help prepare them for 
        employment, postsecondary education, and successful management 
        of adult responsibilities.
            (2) Older children who continue to be in foster care as 
        adolescents may become eligible for Independent Living programs. 
        These Independent Living programs are not an alternative to 
        adoption for these children. Enrollment in Independent Living 
        programs can occur concurrent with continued efforts to locate 
        and achieve placement in adoptive families for older children in 
        foster care.
            (3) About 20,000 adolescents leave the Nation's foster care 
        system each year because they have reached 18 years of age and 
        are expected to support themselves.
            (4) Congress has received extensive information that 
        adolescents leaving foster care have significant difficulty 
        making a successful transition to adulthood; this information 
        shows that children aging out of foster care show high rates of 
        homelessness, non-marital childbearing, poverty, and delinquent 
        or criminal behavior; they are also frequently the target of 
        crime and physical assaults.
            (5) The Nation's State and local governments, with financial 
        support from the Federal Government, should offer an extensive 
        program of education, training, employment, and financial 
        support for young adults leaving foster care, with participation 
        in such program beginning several years before high school

[[Page 113 STAT. 1824]]

        graduation and continuing, as needed, until the young adults 
        emancipated from foster care establish independence or reach 21 
        years of age.

    (b) Improved Independent Living Program.--Section 477 of the Social 
Security Act (42 U.S.C. 677) is amended to read as follows:

``SEC. 477. JOHN H. CHAFEE FOSTER CARE INDEPENDENCE PROGRAM.

    ``(a) Purpose.--The purpose of this section is to provide States 
with flexible funding that will enable programs to be designed and 
conducted--
            ``(1) to identify children who are likely to remain in 
        foster care until 18 years of age and to help these children 
        make the transition to self-sufficiency by providing services 
        such as assistance in obtaining a high school diploma, career 
        exploration, vocational training, job placement and retention, 
        training in daily living skills, training in budgeting and 
        financial management skills, substance abuse prevention, and 
        preventive health activities (including smoking avoidance, 
        nutrition education, and pregnancy prevention);
            ``(2) to help children who are likely to remain in foster 
        care until 18 years of age receive the education, training, and 
        services necessary to obtain employment;
            ``(3) to help children who are likely to remain in foster 
        care until 18 years of age prepare for and enter postsecondary 
        training and education institutions;
            ``(4) to provide personal and emotional support to children 
        aging out of foster care, through mentors and the promotion of 
        interactions with dedicated adults; and
            ``(5) to provide financial, housing, counseling, employment, 
        education, and other appropriate support and services to former 
        foster care recipients between 18 and 21 years of age to 
        complement their own efforts to achieve self-sufficiency and to 
        assure that program participants recognize and accept their 
        personal responsibility for preparing for and then making the 
        transition from adolescence to adulthood.

    ``(b) Applications.--
            ``(1) In general.--A State may apply for funds from its 
        allotment under subsection (c) for a period of five consecutive 
        fiscal years by submitting to the Secretary, in writing, a plan 
        that meets the requirements of paragraph (2) and the 
        certifications required by paragraph (3) with respect to the 
        plan.
            ``(2) State plan.--A plan meets the requirements of this 
        paragraph if the plan specifies which State agency or agencies 
        will administer, supervise, or oversee the programs carried out 
        under the plan, and describes how the State intends to do the 
        following:
                    ``(A) Design and deliver programs to achieve the 
                purposes of this section.
                    ``(B) Ensure that all political subdivisions in the 
                State are served by the program, though not necessarily 
                in a uniform manner.
                    ``(C) Ensure that the programs serve children of 
                various ages and at various stages of achieving 
                independence.
                    ``(D) Involve the public and private sectors in 
                helping adolescents in foster care achieve independence.

[[Page 113 STAT. 1825]]

                    ``(E) Use objective criteria for determining 
                eligibility for benefits and services under the 
                programs, and for ensuring fair and equitable treatment 
                of benefit recipients.
                    ``(F) Cooperate in national evaluations of the 
                effects of the programs in achieving the purposes of 
                this section.
            ``(3) Certifications.--The certifications required by this 
        paragraph with respect to a plan are the following:
                    ``(A) A certification by the chief executive officer 
                of the State that the State will provide assistance and 
                services to children who have left foster care because 
                they have attained 18 years of age, and who have not 
                attained 21 years of age.
                    ``(B) A certification by the chief executive officer 
                of the State that not more than 30 percent of the 
                amounts paid to the State from its allotment under 
                subsection (c) for a fiscal year will be expended for 
                room or board for children who have left foster care 
                because they have attained 18 years of age, and who have 
                not attained 21 years of age.
                    ``(C) A certification by the chief executive officer 
                of the State that none of the amounts paid to the State 
                from its allotment under subsection (c) will be expended 
                for room or board for any child who has not attained 18 
                years of age.
                    ``(D) A certification by the chief executive officer 
                of the State that the State will use training funds 
                provided under the program of Federal payments for 
                foster care and adoption assistance to provide training 
                to help foster parents, adoptive parents, workers in 
                group homes, and case managers understand and address 
                the issues confronting adolescents preparing for 
                independent living, and will, to the extent possible, 
                coordinate such training with the independent living 
                program conducted for adolescents.
                    ``(E) A certification by the chief executive officer 
                of the State that the State has consulted widely with 
                public and private organizations in developing the plan 
                and that the State has given all interested members of 
                the public at least 30 days to submit comments on the 
                plan.
                    ``(F) A certification by the chief executive officer 
                of the State that the State will make every effort to 
                coordinate the State programs receiving funds provided 
                from an allotment made to the State under subsection (c) 
                with other Federal and State programs for youth 
                (especially transitional living youth projects funded 
                under part B of title III of the Juvenile Justice and 
                Delinquency Prevention Act of 1974), abstinence 
                education programs, local housing programs, programs for 
                disabled youth (especially sheltered workshops), and 
                school-to-work programs offered by high schools or local 
                workforce agencies.
                    ``(G) A certification by the chief executive officer 
                of the State that each Indian tribe in the State has 
                been consulted about the programs to be carried out 
                under the plan; that there have been efforts to 
                coordinate the programs with such tribes; and that 
                benefits and services under the programs will be made 
                available to Indian children in the State on the same 
                basis as to other children in the State.

[[Page 113 STAT. 1826]]

                    ``(H) A certification by the chief executive officer 
                of the State that the State will ensure that adolescents 
                participating in the program under this section 
                participate directly in designing their own program 
                activities that prepare them for independent living and 
                that the adolescents accept personal responsibility for 
                living up to their part of the program.
                    ``(I) A certification by the chief executive officer 
                of the State that the State has established and will 
                enforce standards and procedures to prevent fraud and 
                abuse in the programs carried out under the plan.
            ``(4) Approval.--The Secretary shall approve an application 
        submitted by a State pursuant to paragraph (1) for a period if--
                    ``(A) the application is submitted on or before June 
                30 of the calendar year in which such period begins; and
                    ``(B) the Secretary finds that the application 
                contains the material required by paragraph (1).
            ``(5) Authority to implement certain amendments; 
        notification.--A State with an application approved under 
        paragraph (4) may implement any amendment to the plan contained 
        in the application if the application, incorporating the 
        amendment, would be approvable under paragraph (4). 
        Within <<NOTE: Deadline.>> 30 days after a State implements any 
        such amendment, the State shall notify the Secretary of the 
        amendment.
            ``(6) Availability.--The State shall make available to the 
        public any application submitted by the State pursuant to 
        paragraph (1), and a brief summary of the plan contained in the 
        application.

    ``(c) Allotments to States.--
            ``(1) In general.--From the amount specified in subsection 
        (h) that remains after applying subsection (g)(2) for a fiscal 
        year, the Secretary shall allot to each State with an 
        application approved under subsection (b) for the fiscal year 
        the amount which bears the same ratio to such remaining amount 
        as the number of children in foster care under a program of the 
        State in the most recent fiscal year for which such information 
        is available bears to the total number of children in foster 
        care in all States for such most recent fiscal year, as adjusted 
        in accordance with paragraph (2).
            ``(2) Hold harmless provision.--
                    ``(A) In general.--The Secretary shall allot to each 
                State whose allotment for a fiscal year under paragraph 
                (1) is less than the greater of $500,000 or the amount 
                payable to the State under this section for fiscal year 
                1998, an additional amount equal to the difference 
                between such allotment and such greater amount.
                    ``(B) Ratable reduction of certain allotments.--In 
                the case of a State not described in subparagraph (A) of 
                this paragraph for a fiscal year, the Secretary shall 
                reduce the amount allotted to the State for the fiscal 
                year under paragraph (1) by the amount that bears the 
                same ratio to the sum of the differences determined 
                under subparagraph (A) of this paragraph for the fiscal 
                year as the excess of the amount so allotted over the 
                greater of $500,000 or the amount payable to the State 
                under

[[Page 113 STAT. 1827]]

                this section for fiscal year 1998 bears to the sum of 
                such excess amounts determined for all such States.

    ``(d) Use of Funds.--
            ``(1) In general.--A State to which an amount is paid from 
        its allotment under subsection (c) may use the amount in any 
        manner that is reasonably calculated to accomplish the purposes 
        of this section.
            ``(2) No supplantation of other funds available for same 
        general purposes.--The amounts paid to a State from its 
        allotment under subsection (c) shall be used to supplement and 
        not supplant any other funds which are available for the same 
        general purposes in the State.
            ``(3) Two-year availability of funds.--Payments made to a 
        State under this section for a fiscal year shall be expended by 
        the State in the fiscal year or in the succeeding fiscal year.

    ``(e) Penalties.--
            ``(1) Use of grant in violation of this part.--If the 
        Secretary is made aware, by an audit conducted under chapter 75 
        of title 31, United States Code, or by any other means, that a 
        program receiving funds from an allotment made to a State under 
        subsection (c) has been operated in a manner that is 
        inconsistent with, or not disclosed in the State application 
        approved under subsection (b), the Secretary shall assess a 
        penalty against the State in an amount equal to not less than 1 
        percent and not more than 5 percent of the amount of the 
        allotment.
            ``(2) Failure to comply with data reporting requirement.--
        The Secretary shall assess a penalty against a State that fails 
        during a fiscal year to comply with an information collection 
        plan implemented under subsection (f ) in an amount equal to not 
        less than 1 percent and not more than 5 percent of the amount 
        allotted to the State for the fiscal year.
            ``(3) Penalties based on degree of noncompliance.--The 
        Secretary shall assess penalties under this subsection based on 
        the degree of noncompliance.

    ``(f ) Data Collection and Performance Measurement.--
            ``(1) In general.--The Secretary, in consultation with State 
        and local public officials responsible for administering 
        independent living and other child welfare programs, child 
        welfare advocates, Members of Congress, youth service providers, 
        and researchers, shall--
                    ``(A) develop outcome measures (including measures 
                of educational attainment, high school diploma, 
                employment, avoidance of dependency, homelessness, 
                nonmarital childbirth, incarceration, and high-risk 
                behaviors) that can be used to assess the performance of 
                States in operating independent living programs;
                    ``(B) identify data elements needed to track--
                          ``(i) the number and characteristics of 
                      children receiving services under this section;
                          ``(ii) the type and quantity of services being 
                      provided; and
                          ``(iii) State performance on the outcome 
                      measures; and

[[Page 113 STAT. 1828]]

                    ``(C) develop and implement a plan to collect the 
                needed information beginning with the second fiscal year 
                beginning after the date of the enactment of this 
                section.
            ``(2) Report <<NOTE: Deadline.>> to the congress.--Within 12 
        months after the date of the enactment of this section, 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 report detailing the plans and timetable for collecting 
        from the States the information described in paragraph (1) and a 
        proposal to impose penalties consistent with paragraph (e)(2) on 
        States that do not report data.

    ``(g) Evaluations.--
            ``(1) In general.--The Secretary shall conduct evaluations 
        of such State programs funded under this section as the 
        Secretary deems to be innovative or of potential national 
        significance. The evaluation of any such program shall include 
        information on the effects of the program on education, 
        employment, and personal development. To the maximum extent 
        practicable, the evaluations shall be based on rigorous 
        scientific standards including random assignment to treatment 
        and control groups. The Secretary is encouraged to work directly 
        with State and local governments to design methods for 
        conducting the evaluations, directly or by grant, contract, or 
        cooperative agreement.
            ``(2) Funding of evaluations.--The Secretary shall reserve 
        1.5 percent of the amount specified in subsection (h) for a 
        fiscal year to carry out, during the fiscal year, evaluation, 
        technical assistance, performance measurement, and data 
        collection activities related to this section, directly or 
        through grants, contracts, or cooperative agreements with 
        appropriate entities.

    ``(h) Limitations on Authorization of Appropriations.--To carry out 
this section and for payments to States under section 474(a)(4), there 
are authorized to be appropriated to the Secretary $140,000,000 for each 
fiscal year.''.
    (c) Payments to States.--Section 474(a)(4) of such Act (42 U.S.C. 
674(a)(4)) is amended to read as follows:
            ``(4) the lesser of--
                    ``(A) 80 percent of the amount (if any) by which--
                          ``(i) the total amount expended by the State 
                      during the fiscal year in which the quarter occurs 
                      to carry out programs in accordance with the State 
                      application approved under section 477(b) for the 
                      period in which the quarter occurs (including any 
                      amendment that meets the requirements of section 
                      477(b)(5)); exceeds
                          ``(ii) the total amount of any penalties 
                      assessed against the State under section 477(e) 
                      during the fiscal year in which the quarter 
                      occurs; or
                    ``(B) the amount allotted to the State under section 
                477 for the fiscal year in which the quarter occurs, 
                reduced by the total of the amounts payable to the State 
                under this paragraph for all prior quarters in the 
                fiscal year.''.

    (d) Regulations.--Not <<NOTE: Deadline. 42 USC 677 note.>> later 
than 12 months after the date of the enactment of this Act, the 
Secretary of Health and Human Services shall issue such regulations as 
may be necessary to carry out the amendments made by this section.

42 USC 677 
note.

[[Page 113 STAT. 1829]]



    (e) Sense of the Congress.--It is the sense of the Congress that 
States should provide medical assistance under the State plan approved 
under title XIX of the Social Security Act to 
18-, 19-, and 20-year-olds who have been emancipated from foster care.

                Subtitle B--Related Foster Care Provision

SEC. 111. INCREASE IN AMOUNT OF ASSETS ALLOWABLE FOR CHILDREN IN FOSTER 
            CARE.

    Section 472(a) of the Social Security Act (42 U.S.C. 672(a)) is 
amended by adding at the end the following: ``In determining whether a 
child would have received aid under a State plan approved under section 
402 (as in effect on July 16, 1996), a child whose resources (determined 
pursuant to section 402(a)(7)(B), as so in effect) have a combined value 
of not more than $10,000 shall be considered to be a child whose 
resources have a combined value of not more than $1,000 (or such lower 
amount as the State may determine for purposes of such section 
402(a)(7)(B)).''.

SEC. 112. PREPARATION OF FOSTER PARENTS TO PROVIDE FOR THE NEEDS OF 
            CHILDREN IN STATE CARE.

    (a) State Plan Requirement.--Section 471(a) of the Social Security 
Act (42 U.S.C. 671(a)) is amended--
            (1) by striking ``and'' at the end of paragraph (22);
            (2) by striking the period at the end of paragraph (23) and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(24) include a certification that, before a child in 
        foster care under the responsibility of the State is placed with 
        prospective foster parents, the prospective foster parents will 
        be prepared adequately with the appropriate knowledge and skills 
        to provide for the needs of the child, and that such preparation 
        will be continued, as necessary, after the placement of the 
        child.''.

    (b) Effective <<NOTE: 42 USC 671 note.>> Date.--The amendments made 
by subsection (a) shall take effect on October 1, 1999.

                     Subtitle C--Medicaid Amendments

SEC. 121. STATE OPTION OF MEDICAID COVERAGE FOR ADOLESCENTS LEAVING 
            FOSTER CARE.

    (a) In General.--Subject to subsection (c), title XIX of the Social 
Security Act, is amended--
            (1) in section 1902(a)(10)(A)(ii) (42 U.S.C. 
        1396a(a)(10)(A)(ii))--
                    (A) by striking ``or'' at the end of subclause 
                (XIII);
                    (B) by adding ``or'' at the end of subclause (XIV); 
                and
                    (C) by adding at the end the following new 
                subclause:
                                    ``(XV) who are independent foster 
                                care adolescents (as defined in section 
                                1905(v)(1)), or who are within any 
                                reasonable categories of such 
                                adolescents specified by the State;''; 
                                and
            (2) by adding at the end of section 1905 (42 U.S.C. 1396d) 
        the following new subsection:

[[Page 113 STAT. 1830]]

    ``(v)(1) For purposes of this title, the term `independent foster 
care adolescent' means an individual--
            ``(A) who is under 21 years of age;
            ``(B) who, on the individual's 18th birthday, was in foster 
        care under the responsibility of a State; and
            ``(C) whose assets, resources, and income do not exceed such 
        levels (if any) as the State may establish consistent with 
        paragraph (2).

    ``(2) The levels established by a State under paragraph (1)(C) may 
not be less than the corresponding levels applied by the State under 
section 1931(b).
    ``(3) A State may limit the eligibility of independent foster care 
adolescents under section 1902(a)(10)(A)(ii)(XV) to those individuals 
with respect to whom foster care maintenance payments or independent 
living services were furnished under a program funded under part E of 
title IV before the date the individuals attained 18 years of age.''.
    (b) Effective <<NOTE: Applicability. 42 USC 1396a note.>> Date.--The 
amendments made by subsection (a) apply to medical assistance for items 
and services furnished on or after October 1, 1999.

42 USC 
1396a 
note.

    (c) Contingency <<NOTE: 42 USC 1396a note.>> in Enactment.--If the 
Ticket to Work and Work Incentives Improvement Act of 1999 is enacted 
(whether before, on, or after the date of the enactment of this Act)--
            (1) the amendments made by that Act shall be executed as if 
        this Act had been enacted after the enactment of such other Act;
            (2) with respect to subsection (a)(1)(A) of this section, 
        any reference to subclause (XIII) is deemed a reference to 
        subclause (XV);
            (3) with respect to subsection (a)(1)(B) of this section, 
        any reference to subclause (XIV) is deemed a reference to 
        subclause (XVI);
            (4) <<NOTE: 42 USC 1396a.>> the subclause (XV) added by 
        subsection (a)(1)(C) of this section--
                    (A) is redesignated as subclause (XVII); and
                    (B) is amended by striking ``section 1905(v)(1)'' 
                and inserting ``section 1905(w)(1)''; and
            (5) <<NOTE: 42 USC 1396d.>> the subsection (v) added by 
        subsection (a)(2) of this section--
                    (A) is redesignated as subsection (w); and
                    (B) is amended by striking 
                ``1902(a)(10)(A)(ii)(XV)'' and inserting 
                ``1902(a)(10)(A)(ii)(XVII)''.

                 Subtitle D--Adoption Incentive Payments

SEC. 131. INCREASED FUNDING FOR ADOPTION INCENTIVE PAYMENTS.

    (a) Supplemental Grants.--Section 473A of the Social Security Act 
(42 U.S.C. 673b) is amended by adding at the end the following:
    ``( j) Supplemental Grants.--
            ``(1) In general.--Subject to the availability of such 
        amounts as may be provided in advance in appropriations Acts, in 
        addition to any amount otherwise payable under this section to 
        any State that is an incentive-eligible State for fiscal year 
        1998, the Secretary shall make a grant to the State in an amount 
        equal to the lesser of--

[[Page 113 STAT. 1831]]

                    ``(A) the amount by which--
                          ``(i) the amount that would have been payable 
                      to the State under this section during fiscal year 
                      1999 (on the basis of adoptions in fiscal year 
                      1998) in the absence of subsection (d)(2) if 
                      sufficient funds had been available for the 
                      payment; exceeds
                          ``(ii) the amount that, before the enactment 
                      of this subsection, was payable to the State under 
                      this section during fiscal year 1999 (on such 
                      basis); or
                    ``(B) the amount that bears the same ratio to the 
                dollar amount specified in paragraph (2) as the amount 
                described by subparagraph (A) for the State bears to the 
                aggregate of the amounts described by subparagraph (A) 
                for all States that are incentive-eligible States for 
                fiscal year 1998.
            ``(2) Funding.--$23,000,000 of the amounts appropriated 
        under subsection (h)(1) for fiscal year 2000 may be used for 
        grants under paragraph (1) of this subsection.''.

    (b) Limitation on Authorization of Appropriations.--Section 
473A(h)(1) of the Social Security Act (42 U.S.C. 673b(h)(1)) is amended 
to read as follows:
            ``(1) In general.--For grants under subsection (a), there 
        are authorized to be appropriated to the Secretary--
                    ``(A) $20,000,000 for fiscal year 1999;
                    ``(B) $43,000,000 for fiscal year 2000; and
                    ``(C) $20,000,000 for each of fiscal years 2001 
                through 2003.''.

                     TITLE II--SSI FRAUD PREVENTION

           Subtitle A--Fraud Prevention and Related Provisions

SEC. 201. <<NOTE: Records.>> LIABILITY OF REPRESENTATIVE PAYEES FOR 
            OVERPAYMENTS TO DECEASED RECIPIENTS.

    (a) Amendment to Title II.--Section 204(a)(2) of the Social Security 
Act (42 U.S.C. 404(a)(2)) is amended by adding at the end the following 
new sentence: ``If any payment of more than the correct amount is made 
to a representative payee on behalf of an individual after the 
individual's death, the representative payee shall be liable for the 
repayment of the overpayment, and the Commissioner of Social Security 
shall establish an overpayment control record under the social security 
account number of the representative payee.''.
    (b) Amendment to Title XVI.--Section 1631(b)(2) of such Act (42 
U.S.C. 1383(b)(2)) is amended by adding at the end the following new 
sentence: ``If any payment of more than the correct amount is made to a 
representative payee on behalf of an individual after the individual's 
death, the representative payee shall be liable for the repayment of the 
overpayment, and the Commissioner of Social Security shall establish an 
overpayment control record under the social security account number of 
the representative payee.''.
    (c) Effective <<NOTE: Applicability. 42 USC 404 note.>> Date.--The 
amendments made by this section shall apply to overpayments made 12 
months or more after the date of the enactment of this Act.

42 USC 404 
note.

[[Page 113 STAT. 1832]]



SEC. 202. RECOVERY OF OVERPAYMENTS OF SSI BENEFITS FROM LUMP SUM SSI 
            BENEFIT PAYMENTS.

    (a) In General.--Section 1631(b)(1)(B)(ii) of the Social Security 
Act (42 U.S.C. 1383(b)(1)(B)(ii)) is amended--
            (1) by inserting ``monthly'' before ``benefit payments''; 
        and
            (2) by inserting ``and in the case of an individual or 
        eligible spouse to whom a lump sum is payable under this title 
        (including under section 1616(a) of this Act or under an 
        agreement entered into under section 212(a) of Public Law 93-66) 
        shall, as at least one means of recovering such overpayment, 
        make the adjustment or recovery from the lump sum payment in an 
        amount equal to not less than the lesser of the amount of the 
        overpayment or 50 percent of the lump sum payment,'' before 
        ``unless fraud''.

    (b) Effective <<NOTE: Applicability. 42 USC 1383 note.>> Date.--The 
amendments made by this section shall take effect 12 months after the 
date of the enactment of this Act and shall apply to amounts incorrectly 
paid which remain outstanding on or after such date.

42 USC 
1383 note.

SEC. 203. ADDITIONAL DEBT COLLECTION PRACTICES.

    (a) In General.--Section 1631(b) of the Social Security Act (42 
U.S.C. 1383(b)) is amended--
            (1) by redesignating paragraphs (4) and (5) as paragraphs 
        (5) and (6), respectively; and
            (2) by inserting after paragraph (3) the following:

    ``(4)(A) With respect to any delinquent amount, the Commissioner of 
Social Security may use the collection practices described in sections 
3711(f ), 3716, 3717, and 3718 of title 31, United States Code, and in 
section 5514 of title 5, United States Code, all as in effect 
immediately after the enactment of the Debt Collection Improvement Act 
of 1996.
    ``(B) For purposes of subparagraph (A), the term `delinquent amount' 
means an amount--
            ``(i) in excess of the correct amount of payment under this 
        title;
            ``(ii) paid to a person after such person has attained 18 
        years of age; and
            ``(iii) determined by the Commissioner of Social Security, 
        under regulations, to be otherwise unrecoverable under this 
        section after such person ceases to be a beneficiary under this 
        title.''.

    (b) Conforming Amendments.--Section 3701(d)(2) of title 31, United 
States Code, is amended by striking ``section 204(f )'' and inserting 
``sections 204(f ) and 1631(b)(4)''.
    (c) Technical Amendments.--Section 204(f ) of the Social Security 
Act (42 U.S.C. 404(f )) is amended--
            (1) by striking ``3711(e)'' and inserting ``3711(f )''; and
            (2) by inserting ``all'' before ``as in effect''.

    (d) Effective <<NOTE: Applicability. 31 USC 3701 note.>> Date.--The 
amendments made by this section shall apply to debt outstanding on or 
after the date of the enactment of this Act.

31 USC 
3701 note.

[[Page 113 STAT. 1833]]



SEC. 204. REQUIREMENT TO PROVIDE STATE PRISONER INFORMATION TO FEDERAL 
            AND FEDERALLY ASSISTED BENEFIT PROGRAMS.

    Section 1611(e)(1)(I)(ii)(II) of the Social Security Act (42 U.S.C. 
1382(e)(1)(I)(ii)(II)) is amended by striking ``is authorized to'' and 
inserting ``shall''.

SEC. 205. TREATMENT OF ASSETS HELD IN TRUST UNDER THE SSI PROGRAM.

    (a) Treatment as Resource.--Section 1613 of the Social Security Act 
(42 U.S.C. 1382b) is amended by adding at the end the following:

                                ``Trusts

    ``(e)(1) <<NOTE: Applicability.>> In determining the resources of an 
individual, paragraph (3) shall apply to a trust (other than a trust 
described in paragraph (5)) established by the individual.

    ``(2)(A) For purposes of this subsection, an individual shall be 
considered to have established a trust if any assets of the individual 
(or of the individual's spouse) are transferred to the trust other than 
by will.
    ``(B) In the case of an irrevocable trust to which are transferred 
the assets of an individual (or of the individual's spouse) and the 
assets of any other person, this subsection shall apply to the portion 
of the trust attributable to the assets of the individual (or of the 
individual's spouse).
    ``(C) This subsection shall apply to a trust without regard to--
            ``(i) the purposes for which the trust is established;
            ``(ii) whether the trustees have or exercise any discretion 
        under the trust;
            ``(iii) any restrictions on when or whether distributions 
        may be made from the trust; or
            ``(iv) any restrictions on the use of distributions from the 
        trust.

    ``(3)(A) In the case of a revocable trust established by an 
individual, the corpus of the trust shall be considered a resource 
available to the individual.
    ``(B) In the case of an irrevocable trust established by an 
individual, if there are any circumstances under which payment from the 
trust could be made to or for the benefit of the individual (or of the 
individual's spouse), the portion of the corpus from which payment to or 
for the benefit of the individual (or of the individual's spouse) could 
be made shall be considered a resource available to the individual.
    ``(4) The Commissioner of Social Security may waive the application 
of this subsection with respect to an individual if the Commissioner 
determines that such application would work an undue hardship (as 
determined on the basis of criteria established by the Commissioner) on 
the individual.
    ``(5) This subsection shall not apply to a trust described in 
subparagraph (A) or (C) of section 1917(d)(4).
    ``(6) For purposes of this subsection--
            ``(A) the term `trust' includes any legal instrument or 
        device that is similar to a trust;

[[Page 113 STAT. 1834]]

            ``(B) the term `corpus' means, with respect to a trust, all 
        property and other interests held by the trust, including 
        accumulated earnings and any other addition to the trust after 
        its establishment (except that such term does not include any 
        such earnings or addition in the month in which the earnings or 
        addition is credited or otherwise transferred to the trust); and
            ``(C) the term `asset' includes any income or resource of 
        the individual (or of the individual's spouse), including--
                    ``(i) any income excluded by section 1612(b);
                    ``(ii) any resource otherwise excluded by this 
                section; and
                    ``(iii) any other payment or property to which the 
                individual (or of the individual's spouse) is entitled 
                but does not receive or have access to because of action 
                by--
                          ``(I) the individual or spouse;
                          ``(II) a person or entity (including a court) 
                      with legal authority to act in place of, or on 
                      behalf of, the individual or spouse; or
                          ``(III) a person or entity (including a court) 
                      acting at the direction of, or on the request of, 
                      the individual or spouse.''.

    (b) Treatment as Income.--Section 1612(a)(2) of such Act (42 U.S.C. 
1382a(a)(2)) is amended--
            (1) by striking ``and'' at the end of subparagraph (E);
            (2) by striking the period at the end of subparagraph (F) 
        and inserting ``; and''; and
            (3) by adding at the end the following:
            ``(G) any earnings of, and additions to, the corpus of a 
        trust established by an individual (within the meaning of 
        section 1613(e)), of which the individual is a beneficiary, to 
        which section 1613(e) applies, and, in the case of an 
        irrevocable trust, with respect to which circumstances exist 
        under which a payment from the earnings or additions could be 
        made to or for the benefit of the individual.''.

    (c) Conforming Amendments.--Section 1902(a)(10) of the Social 
Security Act (42 U.S.C. 1396a(a)(10)) is amended--
            (1) by striking ``and'' at the end of subparagraph (E);
            (2) by adding ``and'' at the end of subparagraph (F); and
            (3) by inserting after subparagraph (F) the following:
                    ``(G) that, in applying eligibility criteria of the 
                supplemental security income program under title XVI for 
                purposes of determining eligibility for medical 
                assistance under the State plan of an individual who is 
                not receiving supplemental security income, the State 
                will disregard the provisions of section 1613(e);''.

    (d) Effective <<NOTE: Applicability. 42 USC 1382a note.>> Date.--The 
amendments made by this section shall take effect on January 1, 2000, 
and shall apply to trusts established on or after such date.

42 USC 
1382a 
note.

SEC. 206. DISPOSAL OF RESOURCES FOR LESS THAN FAIR MARKET VALUE UNDER 
            THE SSI PROGRAM.

    (a) In General.--Section 1613(c) of the Social Security Act (42 
U.S.C. 1382b(c)) is amended--
            (1) in the caption, by striking ``Notification of Medicaid 
        Policy Restricting Eligibility of Institutionalized Individuals 
        for Benefits Based on'';

[[Page 113 STAT. 1835]]

            (2) in paragraph (1)--
                    (A) in subparagraph (A)--
                          (i) by inserting ``paragraph (1) and'' after 
                      ``provisions of'';
                          (ii) by striking ``title XIX'' the first place 
                      it appears and inserting ``this title and title 
                      XIX, respectively,'';
                          (iii) by striking ``subparagraph (B)'' and 
                      inserting ``clause (ii)'';
                          (iv) by striking ``paragraph (2)'' and 
                      inserting ``subparagraph (B)'';
                    (B) in subparagraph (B)--
                          (i) by striking ``by the State agency''; and
                          (ii) by striking ``section 1917(c)'' and all 
                      that follows and inserting ``paragraph (1) or 
                      section 1917(c).''; and
                    (C) by redesignating subparagraphs (A) and (B) as 
                clauses (i) and (ii), respectively;
            (3) in paragraph (2)--
                    (A) by striking ``(2)'' and inserting ``(B)''; and
                    (B) by striking ``paragraph (1)(B)'' and inserting 
                ``subparagraph (A)(ii)'';
            (4) by striking ``(c)(1)'' and inserting ``(2)(A)''; and
            (5) by inserting before paragraph (2) (as so redesignated by 
        paragraph (4) of this subsection) the following:

    ``(c)(1)(A)(i) If an individual or the spouse of an individual 
disposes of resources for less than fair market value on or after the 
look-back date described in clause (ii)(I), the individual is ineligible 
for benefits under this title for months during the period beginning on 
the date described in clause (iii) and equal to the number of months 
calculated as provided in clause (iv).
    ``(ii)(I) The look-back date described in this subclause is a date 
that is 36 months before the date described in subclause (II).
    ``(II) The date described in this subclause is the date on which the 
individual applies for benefits under this title or, if later, the date 
on which the individual (or the spouse of the individual) disposes of 
resources for less than fair market value.
    ``(iii) The date described in this clause is the first day of the 
first month in or after which resources were disposed of for less than 
fair market value and which does not occur in any other period of 
ineligibility under this paragraph.
    ``(iv) The number of months calculated under this clause shall be 
equal to--
            ``(I) the total, cumulative uncompensated value of all 
        resources so disposed of by the individual (or the spouse of the 
        individual) on or after the look-back date described in clause 
        (ii)(I); divided by
            ``(II) the amount of the maximum monthly benefit payable 
        under section 1611(b), plus the amount (if any) of the maximum 
        State supplementary payment corresponding to the State's payment 
        level applicable to the individual's living arrangement and 
        eligibility category that would otherwise be payable to the 
        individual by the Commissioner pursuant to an agreement under 
        section 1616(a) of this Act or section 212(b) of Public Law 93-
        66, for the month in which occurs the date described in clause 
        (ii)(II),

rounded, in the case of any fraction, to the nearest whole number, but 
shall not in any case exceed 36 months.

[[Page 113 STAT. 1836]]

    ``(B)(i) Notwithstanding subparagraph (A), this subsection shall not 
apply to a transfer of a resource to a trust if the portion of the trust 
attributable to the resource is considered a resource available to the 
individual pursuant to subsection (e)(3) (or would be so considered but 
for the application of subsection (e)(4)).
    ``(ii) In the case of a trust established by an individual or an 
individual's spouse (within the meaning of subsection (e)), if from such 
portion of the trust, if any, that is considered a resource available to 
the individual pursuant to subsection (e)(3) (or would be so considered 
but for the application of subsection (e)(4)) or the residue of the 
portion on the termination of the trust--
            ``(I) there is made a payment other than to or for the 
        benefit of the individual; or
            ``(II) no payment could under any circumstance be made to 
        the individual,

then, for purposes of this subsection, the payment described in clause 
(I) or the foreclosure of payment described in clause (II) shall be 
considered a transfer of resources by the individual or the individual's 
spouse as of the date of the payment or foreclosure, as the case may be.
    ``(C) An individual shall not be ineligible for benefits under this 
title by reason of the application of this paragraph to a disposal of 
resources by the individual or the spouse of the individual, to the 
extent that--
            ``(i) the resources are a home and title to the home was 
        transferred to--
                    ``(I) the spouse of the transferor;
                    ``(II) a child of the transferor who has not 
                attained 21 years of age, or is blind or disabled;
                    ``(III) a sibling of the transferor who has an 
                equity interest in such home and who was residing in the 
                transferor's home for a period of at least 1 year 
                immediately before the date the transferor becomes an 
                institutionalized individual; or
                    ``(IV) a son or daughter of the transferor (other 
                than a child described in subclause (II)) who was 
                residing in the transferor's home for a period of at 
                least 2 years immediately before the date the transferor 
                becomes an institutionalized individual, and who 
                provided care to the transferor which permitted the 
                transferor to reside at home rather than in such an 
                institution or facility;
            ``(ii) the resources--
                    ``(I) were transferred to the transferor's spouse or 
                to another for the sole benefit of the transferor's 
                spouse;
                    ``(II) were transferred from the transferor's spouse 
                to another for the sole benefit of the transferor's 
                spouse;
                    ``(III) were transferred to, or to a trust 
                (including a trust described in section 1917(d)(4)) 
                established solely for the benefit of, the transferor's 
                child who is blind or disabled; or
                    ``(IV) were transferred to a trust (including a 
                trust described in section 1917(d)(4)) established 
                solely for the benefit of an individual who has not 
                attained 65 years of age and who is disabled;
            ``(iii) a satisfactory showing is made to the Commissioner 
        of Social Security (in accordance with regulations promulgated 
        by the Commissioner) that--

[[Page 113 STAT. 1837]]

                    ``(I) the individual who disposed of the resources 
                intended to dispose of the resources either at fair 
                market value, or for other valuable consideration;
                    ``(II) the resources were transferred exclusively 
                for a purpose other than to qualify for benefits under 
                this title; or
                    ``(III) all resources transferred for less than fair 
                market value have been returned to the transferor; or
            ``(iv) the Commissioner determines, under procedures 
        established by the Commissioner, that the denial of eligibility 
        would work an undue hardship as determined on the basis of 
        criteria established by the Commissioner.

    ``(D) For purposes of this subsection, in the case of a resource 
held by an individual in common with another person or persons in a 
joint tenancy, tenancy in common, or similar arrangement, the resource 
(or the affected portion of such resource) shall be considered to be 
disposed of by the individual when any action is taken, either by the 
individual or by any other person, that reduces or eliminates the 
individual's ownership or control of such resource.
    ``(E) In the case of a transfer by the spouse of an individual that 
results in a period of ineligibility for the individual under this 
subsection, the Commissioner shall apportion the period (or any portion 
of the period) among the individual and the individual's spouse if the 
spouse becomes eligible for benefits under this title.
    ``(F) For purposes of this paragraph--
            ``(i) the term `benefits under this title' includes payments 
        of the type described in section 1616(a) of this Act and of the 
        type described in section 212(b) of Public Law 93-66;
            ``(ii) the term `institutionalized individual' has the 
        meaning given such term in section 1917(e)(3); and
            ``(iii) the term `trust' has the meaning given such term in 
        subsection (e)(6)(A) of this section.''.

    (b) Conforming Amendment.--Section 1902(a)(10) of the Social 
Security Act (42 U.S.C. 1396a(a)(10)), as amended by section 205(c) of 
this Act, is amended by striking ``section 1613(e)'' and inserting 
``subsections (c) and (e) of section 1613''.
    (c) Effective <<NOTE: 42 USC 1382b note.>> Date.--The amendments 
made by this section shall be effective with respect to disposals made 
on or after the date of the enactment of this Act.

SEC. 207. ADMINISTRATIVE PROCEDURE FOR IMPOSING PENALTIES FOR FALSE OR 
            MISLEADING STATEMENTS.

    (a) In General.--Part A of title XI of the Social Security Act (42 
U.S.C. 1301 et seq.) is amended by inserting after section 1129 the 
following:

``SEC. 1129A. <<NOTE: 42 USC 1320a-8a.>> ADMINISTRATIVE PROCEDURE FOR 
            IMPOSING PENALTIES FOR FALSE OR MISLEADING STATEMENTS.

    ``(a) In General.--Any person who makes, or causes to be made, a 
statement or representation of a material fact for use in determining 
any initial or continuing right to or the amount of--
            ``(1) monthly insurance benefits under title II; or
            ``(2) benefits or payments under title XVI,

that the person knows or should know is false or misleading or knows or 
should know omits a material fact or who makes such a statement with 
knowing disregard for the truth shall be subject

[[Page 113 STAT. 1838]]

to, in addition to any other penalties that may be prescribed by law, a 
penalty described in subsection (b) to be imposed by the Commissioner of 
Social Security.
    ``(b) Penalty.--The penalty described in this subsection is--
            ``(1) nonpayment of benefits under title II that would 
        otherwise be payable to the person; and
            ``(2) ineligibility for cash benefits under title XVI,

for each month that begins during the applicable period described in 
subsection (c).
    ``(c) Duration of Penalty.--The duration of the applicable period, 
with respect to a determination by the Commissioner under subsection (a) 
that a person has engaged in conduct described in subsection (a), shall 
be--
            ``(1) six consecutive months, in the case of the first such 
        determination with respect to the person;
            ``(2) twelve consecutive months, in the case of the second 
        such determination with respect to the person; and
            ``(3) twenty-four consecutive months, in the case of the 
        third or subsequent such determination with respect to the 
        person.

    ``(d) Effect on Other Assistance.--A person subject to a period of 
nonpayment of benefits under title II or ineligibility for title XVI 
benefits by reason of this section nevertheless shall be considered to 
be eligible for and receiving such benefits, to the extent that the 
person would be receiving or eligible for such benefits but for the 
imposition of the penalty, for purposes of--
            ``(1) determination of the eligibility of the person for 
        benefits under titles XVIII and XIX; and
            ``(2) determination of the eligibility or amount of benefits 
        payable under title II or XVI to another person.

    ``(e) Definition.--In this section, the term `benefits under title 
XVI' includes State supplementary payments made by the Commissioner 
pursuant to an agreement under section 1616(a) of this Act or section 
212(b) of Public Law 93-66.
    ``(f ) Consultations.--The Commissioner of Social Security shall 
consult with the Inspector General of the Social Security Administration 
regarding initiating actions under this section.''.
    (b) Conforming Amendment Precluding Delayed Retirement Credit for 
any Month to Which a Nonpayment of Benefits Penalty Applies.--Section 
202(w)(2)(B) of such Act (42 U.S.C. 402(w)(2)(B)) is amended--
            (1) by striking ``and'' at the end of clause (i);
            (2) by striking the period at the end of clause (ii) and 
        inserting ``, and''; and
            (3) by adding at the end the following:
                    ``(iii) such individual was not subject to a penalty 
                imposed under section 1129A.''.

    (c) Elimination of Redundant Provision.--Section 1611(e) of such Act 
(42 U.S.C. 1382(e)) is amended--
            (1) by striking paragraph (4);
            (2) in paragraph (6)(A)(i), by striking ``(5)'' and 
        inserting ``(4)''; and
            (3) by redesignating paragraphs (5) and (6) as paragraphs 
        (4) and (5), respectively.

    (d) Regulations.--Within <<NOTE: Deadline. 42 USC 1320a-8a note.>> 6 
months after the date of the enactment of this Act, the Commissioner of 
Social Security shall develop regulations that prescribe the 
administrative process for making

[[Page 113 STAT. 1839]]

determinations under section 1129A of the Social Security Act (including 
when the applicable period in subsection (c) of such section shall 
commence), and shall provide guidance on the exercise of discretion as 
to whether the penalty should be imposed in particular cases.

42 USC 
1320a-8a 
note.

    (e) Effective <<NOTE: Applicability. 42 USC 402 note.>> Date.--The 
amendments made by this section shall apply to statements and 
representations made on or after the date of the enactment of this Act.

42 USC 402 
note.

SEC. 208. EXCLUSION OF REPRESENTATIVES AND HEALTH CARE PROVIDERS 
            CONVICTED OF VIOLATIONS FROM PARTICIPATION IN SOCIAL 
            SECURITY PROGRAMS.

    (a) In General.--Part A of title XI of the Social Security Act is 
amended by inserting before section 1137 (42 U.S.C. 1320b-7) the 
following:

 ``exclusion of representatives and health care providers convicted of 
        violations from participation in social security programs

    ``Sec. 1136. <<NOTE: 42 USC 1320b-6.>> (a) In General.--The 
Commissioner of Social Security shall exclude from participation in the 
social security programs any representative or health care provider--
            ``(1) who is convicted of a violation of section 208 or 1632 
        of this Act;
            ``(2) who is convicted of any violation under title 18, 
        United States Code, relating to an initial application for or 
        continuing entitlement to, or amount of, benefits under title II 
        of this Act, or an initial application for or continuing 
        eligibility for, or amount of, benefits under title XVI of this 
        Act; or
            ``(3) who the Commissioner determines has committed an 
        offense described in section 1129(a)(1) of this Act.

    ``(b) Notice, Effective Date, and Period of Exclusion.--(1) An 
exclusion under this section shall be effective at such time, for such 
period, and upon such reasonable notice to the public and to the 
individual excluded as may be specified in regulations consistent with 
paragraph (2).
    ``(2) Such an exclusion shall be effective with respect to services 
furnished to any individual on or after the effective date of the 
exclusion. Nothing in this section may be construed to preclude, in 
determining disability under title II or title XVI, consideration of any 
medical evidence derived from services provided by a health care 
provider before the effective date of the exclusion of the health care 
provider under this section.
    ``(3)(A) The Commissioner shall specify, in the notice of exclusion 
under paragraph (1), the period of the exclusion.
    ``(B) Subject to subparagraph (C), in the case of an exclusion under 
subsection (a), the minimum period of exclusion shall be 5 years, except 
that the Commissioner may waive the exclusion in the case of an 
individual who is the sole source of essential services in a community. 
The Commissioner's decision whether to waive the exclusion shall not be 
reviewable.
    ``(C) In the case of an exclusion of an individual under subsection 
(a) based on a conviction or a determination described in subsection 
(a)(3) occurring on or after the date of the enactment of this section, 
if the individual has (before, on, or after such date of the enactment) 
been convicted, or if such a determination has been made with respect to 
the individual--

[[Page 113 STAT. 1840]]

            ``(i) on one previous occasion of one or more offenses for 
        which an exclusion may be effected under such subsection, the 
        period of the exclusion shall be not less than 10 years; or
            ``(ii) on two or more previous occasions of one or more 
        offenses for which an exclusion may be effected under such 
        subsection, the period of the exclusion shall be permanent.

    ``(c) Notice to State Agencies.--The Commissioner shall promptly 
notify each appropriate State agency employed for the purpose of making 
disability determinations under section 221 or 1633(a)--
            ``(1) of the fact and circumstances of each exclusion 
        effected against an individual under this section; and
            ``(2) of the period (described in subsection (b)(3)) for 
        which the State agency is directed to exclude the individual 
        from participation in the activities of the State agency in the 
        course of its employment.

    ``(d) Notice to State Licensing Agencies.--The Commissioner shall--
            ``(1) promptly notify the appropriate State or local agency 
        or authority having responsibility for the licensing or 
        certification of an individual excluded from participation under 
        this section of the fact and circumstances of the exclusion;
            ``(2) request that appropriate investigations be made and 
        sanctions invoked in accordance with applicable State law and 
        policy; and
            ``(3) request that the State or local agency or authority 
        keep the Commissioner and the Inspector General of the Social 
        Security Administration fully and currently informed with 
        respect to any actions taken in response to the request.

    ``(e) Notice, Hearing, and Judicial Review.--(1) Any individual who 
is excluded (or directed to be excluded) from participation under this 
section is entitled to reasonable notice and opportunity for a hearing 
thereon by the Commissioner to the same extent as is provided in section 
205(b), and to judicial review of the Commissioner's final decision 
after such hearing as is provided in section 205(g).
    ``(2) <<NOTE: Applicability.>> The provisions of section 205(h) 
shall apply with respect to this section to the same extent as it is 
applicable with respect to title II.

    ``(f ) Application for Termination of Exclusion.--(1) An individual 
excluded from participation under this section may apply to the 
Commissioner, in the manner specified by the Commissioner in regulations 
and at the end of the minimum period of exclusion provided under 
subsection (b)(3) and at such other times as the Commissioner may 
provide, for termination of the exclusion effected under this section.
    ``(2) The Commissioner may terminate the exclusion if the 
Commissioner determines, on the basis of the conduct of the applicant 
which occurred after the date of the notice of exclusion or which was 
unknown to the Commissioner at the time of the exclusion, that--
            ``(A) there is no basis under subsection (a) for a 
        continuation of the exclusion; and
            ``(B) there are reasonable assurances that the types of 
        actions which formed the basis for the original exclusion have 
        not recurred and will not recur.

[[Page 113 STAT. 1841]]

    ``(3) <<NOTE: Notification.>> The Commissioner shall promptly notify 
each State agency employed for the purpose of making disability 
determinations under section 221 or 1633(a) of the fact and 
circumstances of each termination of exclusion made under this 
subsection.

    ``(g) Availability of Records of Excluded Representatives and health 
care providers.--Nothing in this section shall be construed to have the 
effect of limiting access by any applicant or beneficiary under title II 
or XVI, any State agency acting under section 221 or 1633(a), or the 
Commissioner to records maintained by any representative or health care 
provider in connection with services provided to the applicant or 
beneficiary prior to the exclusion of such representative or health care 
provider under this section.
    ``(h) Reporting <<NOTE: Regulations.>> Requirement.--Any 
representative or health care provider participating in, or seeking to 
participate in, a social security program shall inform the Commissioner, 
in such form and manner as the Commissioner shall prescribe by 
regulation, whether such representative or health care provider has been 
convicted of a violation described in subsection (a).

    ``(i) Delegation of Authority.--The Commissioner may delegate 
authority granted by this section to the Inspector General.
    ``( j) Definitions.--For purposes of this section:
            ``(1) Exclude.--The term `exclude' from participation 
        means--
                    ``(A) in connection with a representative, to 
                prohibit from engaging in representation of an applicant 
                for, or recipient of, benefits, as a representative 
                payee under section 205( j) or section 
                1631(a)(2)(A)(ii), or otherwise as a representative, in 
                any hearing or other proceeding relating to entitlement 
                to benefits; and
                    ``(B) in connection with a health care provider, to 
                prohibit from providing items or services to an 
                applicant for, or recipient of, benefits for the purpose 
                of assisting such applicant or recipient in 
                demonstrating disability.
            ``(2) Social security program.--The term `social security 
        programs' means the program providing for monthly insurance 
        benefits under title II, and the program providing for monthly 
        supplemental security income benefits to individuals under title 
        XVI (including State supplementary payments made by the 
        Commissioner pursuant to an agreement under section 1616(a) of 
        this Act or section 212(b) of Public Law 93-66).
            ``(3) Convicted.--An individual is considered to have been 
        `convicted' of a violation--
                    ``(A) when a judgment of conviction has been entered 
                against the individual by a Federal, State, or local 
                court, except if the judgment of conviction has been set 
                aside or expunged;
                    ``(B) when there has been a finding of guilt against 
                the individual by a Federal, State, or local court;
                    ``(C) when a plea of guilty or nolo contendere by 
                the individual has been accepted by a Federal, State, or 
                local court; or
                    ``(D) when the individual has entered into 
                participation in a first offender, deferred 
                adjudication, or other arrangement or program where 
                judgment of conviction has been withheld.''.

[[Page 113 STAT. 1842]]

    (b) Effective <<NOTE: Applicability. 42 USC 1320b-6 note.>> Date.--
The amendment made by this section shall apply with respect to 
convictions of violations described in paragraphs (1) and (2) of section 
1136(a) of the Social Security Act and determinations described in 
paragraph (3) of such section occurring on or after the date of the 
enactment of this Act.

42 USC 
1320b-6 
note.

SEC. 209. <<NOTE: 42 USC 1306b.>> STATE DATA EXCHANGES.

    Whenever the Commissioner of Social Security requests information 
from a State for the purpose of ascertaining an individual's eligibility 
for benefits (or the correct amount of such benefits) under title II or 
XVI of the Social Security Act, the standards of the Commissioner 
promulgated pursuant to section 1106 of such Act or any other Federal 
law for the use, safeguarding, and disclosure of information are deemed 
to meet any standards of the State that would otherwise apply to the 
disclosure of information by the State to the Commissioner.

SEC. 210. <<NOTE: 42 USC 1320a-8 note.>> STUDY ON POSSIBLE MEASURES TO 
            IMPROVE FRAUD PREVENTION AND ADMINISTRATIVE PROCESSING.

    (a) Study.--As soon as practicable after the date of the enactment 
of this Act, the Commissioner of Social Security, in consultation with 
the Inspector General of the Social Security Administration and the 
Attorney General, shall conduct a study of possible measures to 
improve--
            (1) prevention of fraud on the part of individuals entitled 
        to disability benefits under section 223 of the Social Security 
        Act or benefits under section 202 of such Act based on the 
        beneficiary's disability, individuals eligible for supplemental 
        security income benefits under title XVI of such Act, and 
        applicants for any such benefits; and
            (2) timely processing of reported income changes by 
        individuals receiving such benefits.

    (b) Report.--Not <<NOTE: Deadline.>> later than 1 year after the 
date of the enactment of this Act, the Commissioner shall submit to the 
Committee on Ways and Means of the House of Representatives and the 
Committee on Finance of the Senate a written report that contains the 
results of the Commissioner's study under subsection (a). The report 
shall contain such recommendations for legislative and administrative 
changes as the Commissioner considers appropriate.

SEC. 211. ANNUAL REPORT ON AMOUNTS NECESSARY TO COMBAT FRAUD.

    (a) In General.--Section 704(b)(1) of the Social Security Act (42 
U.S.C. 904(b)(1)) is amended--
            (1) by inserting ``(A)'' after ``(b)(1)''; and
            (2) by adding at the end the following new subparagraph:

    ``(B) The Commissioner shall include in the annual budget prepared 
pursuant to subparagraph (A) an itemization of the amount of funds 
required by the Social Security Administration for the fiscal year 
covered by the budget to support efforts to combat fraud committed by 
applicants and beneficiaries.''.
    (b) Effective <<NOTE: Applicability. 42 USC 904 note.>> Date.--The 
amendments made by this section shall apply with respect to annual 
budgets prepared for fiscal years after fiscal year 1999.

42 USC 904 
note.

[[Page 113 STAT. 1843]]



SEC. 212. COMPUTER MATCHES WITH MEDICARE AND MEDICAID 
            INSTITUTIONALIZATION DATA.

    (a) In General.--Section 1611(e)(1) of the Social Security Act (42 
U.S.C. 1382(e)(1)) is amended by adding at the end the following:
    ``(J) For the purpose of carrying out this paragraph, the 
Commissioner of Social Security shall conduct periodic computer matches 
with data maintained by the Secretary of Health and Human Services under 
title XVIII or XIX. The Secretary shall furnish to the Commissioner, in 
such form and manner and under such terms as the Commissioner and the 
Secretary shall mutually agree, such information as the Commissioner may 
request for this purpose. Information obtained pursuant to such a match 
may be substituted for the physician's certification otherwise required 
under subparagraph (G)(i).''.
    (b) Conforming Amendment.--Section 1611(e)(1)(G) of such Act (42 
U.S.C. 1382(e)(1)(G)) is amended by striking ``subparagraph (H)'' and 
inserting ``subparagraph (H) or (J)''.

SEC. 213. ACCESS TO INFORMATION HELD BY FINANCIAL INSTITUTIONS.

    Section 1631(e)(1)(B) of the Social Security Act (42 U.S.C. 
1383(e)(1)(B)) is amended--
            (1) by striking ``(B) The'' and inserting ``(B)(i) The''; 
        and
            (2) by adding at the end the following new clause:

    ``(ii)(I) The Commissioner of Social Security may require each 
applicant for, or recipient of, benefits under this title to provide 
authorization by the applicant or recipient (or by any other person 
whose income or resources are material to the determination of the 
eligibility of the applicant or recipient for such benefits) for the 
Commissioner to obtain (subject to the cost reimbursement requirements 
of section 1115(a) of the Right to Financial Privacy Act) from any 
financial institution (within the meaning of section 1101(1) of such 
Act) any financial record (within the meaning of section 1101(2) of such 
Act) held by the institution with respect to the applicant or recipient 
(or any such other person) whenever the Commissioner determines the 
record is needed in connection with a determination with respect to such 
eligibility or the amount of such benefits.
    ``(II) Notwithstanding section 1104(a)(1) of the Right to Financial 
Privacy Act, an authorization provided by an applicant or recipient (or 
any other person whose income or resources are material to the 
determination of the eligibility of the applicant or recipient) pursuant 
to subclause (I) of this clause shall remain effective until the 
earliest of--
            ``(aa) the rendering of a final adverse decision on the 
        applicant's application for eligibility for benefits under this 
        title;
            ``(bb) the cessation of the recipient's eligibility for 
        benefits under this title; or
            ``(cc) the express revocation by the applicant or recipient 
        (or such other person referred to in subclause (I)) of the 
        authorization, in a written notification to the Commissioner.

    ``(III)(aa) An authorization obtained by the Commissioner of Social 
Security pursuant to this clause shall be considered to meet the 
requirements of the Right to Financial Privacy Act for purposes of 
section 1103(a) of such Act, and need not be furnished to the financial 
institution, notwithstanding section 1104(a) of such Act.

[[Page 113 STAT. 1844]]

    ``(bb) The certification requirements of section 1103(b) of the 
Right to Financial Privacy Act shall not apply to requests by the 
Commissioner of Social Security pursuant to an authorization provided 
under this clause.
    ``(cc) A request by the Commissioner pursuant to an authorization 
provided under this clause is deemed to meet the requirements of section 
1104(a)(3) of the Right to Financial Privacy Act and the flush language 
of section 1102 of such Act.
    ``(IV) The Commissioner shall inform any person who provides 
authorization pursuant to this clause of the duration and scope of the 
authorization.
    ``(V) If an applicant for, or recipient of, benefits under this 
title (or any such other person referred to in subclause (I)) refuses to 
provide, or revokes, any authorization made by the applicant or 
recipient for the Commissioner of Social Security to obtain from any 
financial institution any financial record, the Commissioner may, on 
that basis, determine that the applicant or recipient is ineligible for 
benefits under this title.''.

         Subtitle B--Benefits For Certain World War II Veterans

SEC. 251. ESTABLISHMENT OF PROGRAM OF SPECIAL BENEFITS FOR CERTAIN WORLD 
            WAR II VETERANS.

    (a) In General.--The Social Security Act is amended by inserting 
after title VII the following new title:

    ``TITLE VIII--SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS

                           ``Table of Contents

``Sec. 801. Basic entitlement to benefits.
``Sec. 802. Qualified individuals.
``Sec. 803. Residence outside the United States.
``Sec. 804. Disqualifications.
``Sec. 805. Benefit amount.
``Sec. 806. Applications and furnishing of information.
``Sec. 807. Representative payees.
``Sec. 808. Overpayments and underpayments.
``Sec. 809. Hearings and review.
``Sec. 810. Other administrative provisions.
``Sec. 811. Penalties for fraud.
``Sec. 812. Definitions.
``Sec. 813. Appropriations.

``SEC. 801. <<NOTE: 42 USC 1001.>> BASIC ENTITLEMENT TO BENEFITS.

    ``Every individual who is a qualified individual under section 802 
shall, in accordance with and subject to the provisions of this title, 
be entitled to a monthly benefit paid by the Commissioner of Social 
Security for each month after September 2000 (or such earlier month, if 
the Commissioner determines is administratively feasible) the individual 
resides outside the United States.

``SEC. 802. <<NOTE: 42 USC 1002.>> QUALIFIED INDIVIDUALS.

    ``Except as otherwise provided in this title, an individual--
            ``(1) who has attained the age of 65 on or before the date 
        of the enactment of this title;

[[Page 113 STAT. 1845]]

            ``(2) who is a World War II veteran;
            ``(3) who is eligible for a supplemental security income 
        benefit under title XVI for--
                    ``(A) the month in which this title is enacted; and
                    ``(B) the month in which the individual files an 
                application for benefits under this title;
            ``(4) whose total benefit income is less than 75 percent of 
        the Federal benefit rate under title XVI;
            ``(5) who has filed an application for benefits under this 
        title; and
            ``(6) who is in compliance with all requirements imposed by 
        the Commissioner of Social Security under this title,

shall be a qualified individual for purposes of this title.

``SEC. 803. <<NOTE: 42 USC 1003.>> RESIDENCE OUTSIDE THE UNITED STATES.

    ``For purposes of section 801, with respect to any month, an 
individual shall be regarded as residing outside the United States if, 
on the first day of the month, the individual so resides outside the 
United States.

``SEC. 804. <<NOTE: 42 USC 1004.>> DISQUALIFICATIONS.

    ``(a) In General.--Notwithstanding section 802, an individual may 
not be a qualified individual for any month--
            ``(1) that begins after the month in which the Commissioner 
        of Social Security is notified by the Attorney General that the 
        individual has been removed from the United States pursuant to 
        section 237(a) or 212(a)(6)(A) of the Immigration and 
        Nationality Act and before the month in which the individual is 
        lawfully admitted to the United States for permanent residence;
            ``(2) during any part of which the individual is fleeing to 
        avoid prosecution, or custody or confinement after conviction, 
        under the laws of the United States or the jurisdiction within 
        the United States from which the person has fled, for a crime, 
        or an attempt to commit a crime, that is a felony under the laws 
        of the place from which the individual has fled, or which, in 
        the case of the State of New Jersey, is a high misdemeanor under 
        the laws of such State;
            ``(3) during any part of which the individual violates a 
        condition of probation or parole imposed under Federal or State 
        law; or
            ``(4) during which the individual resides in a foreign 
        country and is not a citizen or national of the United States if 
        payments for such month to individuals residing in such country 
        are withheld by the Treasury Department under section 3329 of 
        title 31, United States Code.

    ``(b) Requirement <<NOTE: Notification.>> for Attorney General.--For 
the purpose of carrying out subsection (a)(1), the Attorney General 
shall notify the Commissioner of Social Security as soon as practicable 
after the removal of any individual under section 237(a) or 212(a)(6)(A) 
of the Immigration and Nationality Act.

``SEC. 805. <<NOTE: 42 USC 1005.>> BENEFIT AMOUNT.

    ``The benefit under this title payable to a qualified individual for 
any month shall be in an amount equal to 75 percent of the Federal 
benefit rate under title XVI for the month, reduced by the amount of the 
qualified individual's benefit income for the month.

[[Page 113 STAT. 1846]]

``SEC. 806. <<NOTE: 42 USC 1006.>> APPLICATIONS AND FURNISHING OF 
            INFORMATION.

    ``(a) In General.--The Commissioner of Social Security shall, 
subject to subsection (b), prescribe such requirements with respect to 
the filing of applications, the furnishing of information and other 
material, and the reporting of events and changes in circumstances, as 
may be necessary for the effective and efficient administration of this 
title.
    ``(b) Verification Requirement.--The requirements prescribed by the 
Commissioner of Social Security under subsection (a) shall preclude any 
determination of entitlement to benefits under this title solely on the 
basis of declarations by the individual concerning qualifications or 
other material facts, and shall provide for verification of material 
information from independent or collateral sources, and the procurement 
of additional information as necessary in order to ensure that the 
benefits are provided only to qualified individuals (or their 
representative payees) in correct amounts.

``SEC. 807. <<NOTE: 42 USC 1007.>> REPRESENTATIVE PAYEES.

    ``(a) In General.--If the Commissioner of Social Security determines 
that the interest of any qualified individual under this title would be 
served thereby, payment of the qualified individual's benefit under this 
title may be made, regardless of the legal competency or incompetency of 
the qualified individual, either directly to the qualified individual, 
or for his or her benefit, to another person (the meaning of which term, 
for purposes of this section, includes an organization) with respect to 
whom the requirements of subsection (b) have been met (in this section 
referred to as the qualified individual's `representative payee'). If 
the Commissioner of Social Security determines that a representative 
payee has misused any benefit paid to the representative payee pursuant 
to this section, section 205( j), or section 1631(a)(2), the 
Commissioner of Social Security shall promptly revoke the person's 
designation as the qualified individual's representative payee under 
this subsection, and shall make payment to an alternative representative 
payee or, if the interest of the qualified individual under this title 
would be served thereby, to the qualified individual.
    ``(b) Examination of Fitness of Prospective Representative Payee.--
            ``(1) Any determination under subsection (a) to pay the 
        benefits of a qualified individual to a representative payee 
        shall be made on the basis of--
                    ``(A) an investigation by the Commissioner of Social 
                Security of the person to serve as representative payee, 
                which shall be conducted in advance of the determination 
                and shall, to the extent practicable, include a face-to-
                face interview with the person (or, in the case of an 
                organization, a representative of the organization); and
                    ``(B) adequate evidence that the arrangement is in 
                the interest of the qualified individual.
            ``(2) As part of the investigation referred to in paragraph 
        (1), the Commissioner of Social Security shall--
                    ``(A) require the person being investigated to 
                submit documented proof of the identity of the person;
                    ``(B) in the case of a person who has a social 
                security account number issued for purposes of the 
                program under title II or an employer identification 
                number issued for

[[Page 113 STAT. 1847]]

                purposes of the Internal Revenue Code of 1986, verify 
                the number;
                    ``(C) determine whether the person has been 
                convicted of a violation of section 208, 811, or 1632; 
                and
                    ``(D) determine whether payment of benefits to the 
                person in the capacity as representative payee has been 
                revoked or terminated pursuant to this section, section 
                205( j), or section 1631(a)(2)(A)(iii) by reason of 
                misuse of funds paid as benefits under this title, title 
                II, or XVI, respectively.

    ``(c) Requirement for Maintaining Lists of Undesirable Payees.--The 
Commissioner of Social Security shall establish and maintain lists which 
shall be updated periodically and which shall be in a form that renders 
such lists available to the servicing offices of the Social Security 
Administration. The lists shall consist of--
            ``(1) the names and (if issued) social security account 
        numbers or employer identification numbers of all persons with 
        respect to whom, in the capacity of representative payee, the 
        payment of benefits has been revoked or terminated under this 
        section, section 205( j), or section 1631(a)(2)(A)(iii) by 
        reason of misuse of funds paid as benefits under this title, 
        title II, or XVI, respectively; and
            ``(2) the names and (if issued) social security account 
        numbers or employer identification numbers of all persons who 
        have been convicted of a violation of section 208, 811, or 1632.

    ``(d) Persons Ineligible To Serve as Representative Payees.--
            ``(1) In general.--The benefits of a qualified individual 
        may not be paid to any other person pursuant to this section 
        if--
                    ``(A) the person has been convicted of a violation 
                of section 208, 811, or 1632;
                    ``(B) except as provided in paragraph (2), payment 
                of benefits to the person in the capacity of 
                representative payee has been revoked or terminated 
                under this section, section 205( j), or section 
                1631(a)(2)(A)(ii) by reason of misuse of funds paid as 
                benefits under this title, title II, or title XVI, 
                respectively; or
                    ``(C) except as provided in paragraph (2)(B), the 
                person is a creditor of the qualified individual and 
                provides the qualified individual with goods or services 
                for consideration.
            ``(2) Exemptions.--
                    ``(A) The Commissioner of Social Security may 
                prescribe circumstances under which the Commissioner of 
                Social Security may grant an exemption from paragraph 
                (1) to any person on a case-by-case basis if the 
                exemption is in the best interest of the qualified 
                individual whose benefits would be paid to the person 
                pursuant to this section.
                    ``(B) Paragraph (1)(C) shall not apply with respect 
                to any person who is a creditor referred to in such 
                paragraph if the creditor is--
                          ``(i) a relative of the qualified individual 
                      and the relative resides in the same household as 
                      the qualified individual;
                          ``(ii) a legal guardian or legal 
                      representative of the individual;

[[Page 113 STAT. 1848]]

                          ``(iii) a facility that is licensed or 
                      certified as a care facility under the law of the 
                      political jurisdiction in which the qualified 
                      individual resides;
                          ``(iv) a person who is an administrator, 
                      owner, or employee of a facility referred to in 
                      clause (iii), if the qualified individual resides 
                      in the facility, and the payment to the facility 
                      or the person is made only after the Commissioner 
                      of Social Security has made a good faith effort to 
                      locate an alternative representative payee to whom 
                      payment would serve the best interests of the 
                      qualified individual; or
                          ``(v) a person who is determined by the 
                      Commissioner of Social Security, on the basis of 
                      written findings and pursuant to procedures 
                      prescribed by the Commissioner of Social Security, 
                      to be acceptable to serve as a representative 
                      payee.
                    ``(C) The procedures referred to in subparagraph 
                (B)(v) shall require the person who will serve as 
                representative payee to establish, to the satisfaction 
                of the Commissioner of Social Security, that--
                          ``(i) the person poses no risk to the 
                      qualified individual;
                          ``(ii) the financial relationship of the 
                      person to the qualified individual poses no 
                      substantial conflict of interest; and
                          ``(iii) no other more suitable representative 
                      payee can be found.

    ``(e) Deferral of Payment Pending Appointment of Representative 
Payee.--
            ``(1) In general.--Subject to paragraph (2), if the 
        Commissioner of Social Security makes a determination described 
        in the first sentence of subsection (a) with respect to any 
        qualified individual's benefit and determines that direct 
        payment of the benefit to the qualified individual would cause 
        substantial harm to the qualified individual, the Commissioner 
        of Social Security may defer (in the case of initial 
        entitlement) or suspend (in the case of existing entitlement) 
        direct payment of the benefit to the qualified individual, until 
        such time as the selection of a representative payee is made 
        pursuant to this section.
            ``(2) Time limitation.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), any deferral or suspension of direct 
                payment of a benefit pursuant to paragraph (1) shall be 
                for a period of not more than 1 month.
                    ``(B) Exception in the case of incompetency.--
                Subparagraph (A) shall not apply in any case in which 
                the qualified individual is, as of the date of the 
                Commissioner of Social Security's determination, legally 
                incompetent under the laws of the jurisdiction in which 
                the individual resides.
            ``(3) Payment of retroactive benefits.--Payment of any 
        benefits which are deferred or suspended pending the selection 
        of a representative payee shall be made to the qualified 
        individual or the representative payee as a single sum or over 
        such period of time as the Commissioner of Social Security 
        determines is in the best interest of the qualified individual.

[[Page 113 STAT. 1849]]

    ``(f ) Hearing.--Any qualified individual who is dissatisfied with a 
determination by the Commissioner of Social Security to make payment of 
the qualified individual's benefit to a representative payee under 
subsection (a) of this section or with the designation of a particular 
person to serve as representative payee shall be entitled to a hearing 
by the Commissioner of Social Security to the same extent as is provided 
in section 809(a), and to judicial review of the Commissioner of Social 
Security's final decision as is provided in section 809(b).
    ``(g) Notice Requirements.--
            ``(1) In general.--In advance, to the extent practicable, of 
        the payment of a qualified individual's benefit to a 
        representative payee under subsection (a), the Commissioner of 
        Social Security shall provide written notice of the 
        Commissioner's initial determination to so make the payment. The 
        notice shall be provided to the qualified individual, except 
        that, if the qualified individual is legally incompetent, then 
        the notice shall be provided solely to the legal guardian or 
        legal representative of the qualified individual.
            ``(2) Specific requirements.--Any notice required by 
        paragraph (1) shall be clearly written in language that is 
        easily understandable to the reader, shall identify the person 
        to be designated as the qualified individual's representative 
        payee, and shall explain to the reader the right under 
        subsection (f ) of the qualified individual or of the qualified 
        individual's legal guardian or legal representative--
                    ``(A) to appeal a determination that a 
                representative payee is necessary for the qualified 
                individual;
                    ``(B) to appeal the designation of a particular 
                person to serve as the representative payee of the 
                qualified individual; and
                    ``(C) to review the evidence upon which the 
                designation is based and to submit additional evidence.

    ``(h) Accountability Monitoring.--
            ``(1) In <<NOTE: Reports.>> general.--In any case where 
        payment under this title is made to a person other than the 
        qualified individual entitled to the payment, the Commissioner 
        of Social Security shall establish a system of accountability 
        monitoring under which the person shall report not less often 
        than annually with respect to the use of the payments. The 
        Commissioner of Social Security shall establish and implement 
        statistically valid procedures for reviewing the reports in 
        order to identify instances in which persons are not properly 
        using the payments.
            ``(2) Special reports.--Notwithstanding paragraph (1), the 
        Commissioner of Social Security may require a report at any time 
        from any person receiving payments on behalf of a qualified 
        individual, if the Commissioner of Social Security has reason to 
        believe that the person receiving the payments is misusing the 
        payments.
            ``(3) Maintaining lists of payees.--The Commissioner of 
        Social Security shall maintain lists which shall be updated 
        periodically of--
                    ``(A) the name, address, and (if issued) the social 
                security account number or employer identification 
                number of each representative payee who is receiving 
                benefit payments pursuant to this section, section 205( 
                j), or section 1631(a)(2); and

[[Page 113 STAT. 1850]]

                    ``(B) the name, address, and social security account 
                number of each individual for whom each representative 
                payee is reported to be providing services as 
                representative payee pursuant to this section, section 
                205( j), or section 1631(a)(2).
            ``(4) Maintaining lists of agencies.--The Commissioner of 
        Social Security shall maintain lists, which shall be updated 
        periodically, of public agencies and community-based nonprofit 
        social service agencies which are qualified to serve as 
        representative payees pursuant to this section and which are 
        located in the jurisdiction in which any qualified individual 
        resides.

    ``(i) Restitution.--In any case where the negligent failure of the 
Commissioner of Social Security to investigate or monitor a 
representative payee results in misuse of benefits by the representative 
payee, the Commissioner of Social Security shall make payment to the 
qualified individual or the individual's alternative representative 
payee of an amount equal to the misused benefits. The Commissioner of 
Social Security shall make a good faith effort to obtain restitution 
from the terminated representative payee.

``SEC. 808. <<NOTE: 42 USC 1008.>> OVERPAYMENTS AND UNDERPAYMENTS.

    ``(a) In General.--Whenever the Commissioner of Social Security 
finds that more or less than the correct amount of payment has been made 
to any person under this title, proper adjustment or recovery shall be 
made, as follows:
            ``(1) With respect to payment to a person of more than the 
        correct amount, the Commissioner of Social Security shall 
        decrease any payment--
                    ``(A) under this title to which the overpaid person 
                (if a qualified individual) is entitled, or shall 
                require the overpaid person or his or her estate to 
                refund the amount in excess of the correct amount, or, 
                if recovery is not obtained under these two methods, 
                shall seek or pursue recovery by means of reduction in 
                tax refunds based on notice to the Secretary of the 
                Treasury, as authorized under section 3720A of title 31, 
                United States Code; or
                    ``(B) under title II to recover the amount in excess 
                of the correct amount, if the person is not currently 
                eligible for payment under this title.
            ``(2) With respect to payment of less than the correct 
        amount to a qualified individual who, at the time the 
        Commissioner of Social Security is prepared to take action with 
        respect to the underpayment--
                    ``(A) is living, the Commissioner of Social Security 
                shall make payment to the qualified individual (or the 
                qualified individual's representative payee designated 
                under section 807) of the balance of the amount due the 
                underpaid qualified individual; or
                    ``(B) is deceased, the balance of the amount due 
                shall revert to the general fund of the Treasury.

    ``(b) No Effect on Title VIII Eligibility or Benefit Amount.--In any 
case in which the Commissioner of Social Security takes action in 
accordance with subsection (a)(1)(B) to recover an amount incorrectly 
paid to an individual, that individual shall not, as a result of such 
action--
            ``(1) become qualified for benefits under this title; or

[[Page 113 STAT. 1851]]

            ``(2) if such individual is otherwise so qualified, become 
        qualified for increased benefits under this title.

    ``(c) Waiver of Recovery of Overpayment.--In any case in which more 
than the correct amount of payment has been made, there shall be no 
adjustment of payments to, or recovery by the United States from, any 
person who is without fault if the Commissioner of Social Security 
determines that the adjustment or recovery would defeat the purpose of 
this title or would be against equity and good conscience.
    ``(d) Limited Immunity for Disbursing Officers.--A disbursing 
officer may not be held liable for any amount paid by the officer if the 
adjustment or recovery of the amount is waived under subsection (b), or 
adjustment under subsection (a) is not completed before the death of the 
qualified individual against whose benefits deductions are authorized.
    ``(e) Authorized Collection Practices.--
            ``(1) In general.--With respect to any delinquent amount, 
        the Commissioner of Social Security may use the collection 
        practices described in sections 3711(e), 3716, and 3718 of title 
        31, United States Code, as in effect on October 1, 1994.
            ``(2) Definition.--For purposes of paragraph (1), the term 
        `delinquent amount' means an amount--
                    ``(A) in excess of the correct amount of the payment 
                under this title; and
                    ``(B) determined by the Commissioner of Social 
                Security to be otherwise unrecoverable under this 
                section from a person who is not a qualified individual 
                under this title.

``SEC. 809. <<NOTE: 42 USC 1009.>> HEARINGS AND REVIEW.

    ``(a) Hearings.--
            ``(1) In general.--The Commissioner of Social Security shall 
        make findings of fact and decisions as to the rights of any 
        individual applying for payment under this 
        title. <<NOTE: Notice.>> The Commissioner of Social Security 
        shall provide reasonable notice and opportunity for a hearing to 
        any individual who is or claims to be a qualified individual and 
        is in disagreement with any determination under this title with 
        respect to entitlement to, or the amount of, benefits under this 
        title, if the individual requests a hearing on the matter in 
        disagreement within 60 days after notice of the determination is 
        received, and, if a hearing is held, shall, on the basis of 
        evidence adduced at the hearing affirm, modify, or reverse the 
        Commissioner of Social Security's findings of fact and the 
        decision. The Commissioner of Social Security may, on the 
        Commissioner of Social Security's own motion, hold such hearings 
        and conduct such investigations and other proceedings as the 
        Commissioner of Social Security deems necessary or proper for 
        the administration of this title. In the course of any hearing, 
        investigation, or other proceeding, the Commissioner may 
        administer oaths and affirmations, examine witnesses, and 
        receive evidence. Evidence may be received at any hearing before 
        the Commissioner of Social Security even though inadmissible 
        under the rules of evidence applicable to court procedure. The 
        Commissioner of Social Security shall specifically take into 
        account any physical, mental, educational, or linguistic 
        limitation of the individual (including any lack of facility 
        with the English language) in determining, with respect to the 
        entitlement of the individual

[[Page 113 STAT. 1852]]

        for benefits under this title, whether the individual acted in 
        good faith or was at fault, and in determining fraud, deception, 
        or intent.
            ``(2) Effect of failure to timely request review.--A failure 
        to timely request review of an initial adverse determination 
        with respect to an application for any payment under this title 
        or an adverse determination on reconsideration of such an 
        initial determination shall not serve as a basis for denial of a 
        subsequent application for any payment under this title if the 
        applicant demonstrates that the applicant failed to so request 
        such a review acting in good faith reliance upon incorrect, 
        incomplete, or misleading information, relating to the 
        consequences of reapplying for payments in lieu of seeking 
        review of an adverse determination, provided by any officer or 
        employee of the Social Security Administration.
            ``(3) Notice requirements.--In any notice of an adverse 
        determination with respect to which a review may be requested 
        under paragraph (1), the Commissioner of Social Security shall 
        describe in clear and specific language the effect on possible 
        entitlement to benefits under this title of choosing to reapply 
        in lieu of requesting review of the determination.

    ``(b) Judicial Review.--The final determination of the Commissioner 
of Social Security after a hearing under subsection (a)(1) shall be 
subject to judicial review as provided in section 205(g) to the same 
extent as the Commissioner of Social Security's final determinations 
under section 205.

``SEC. 810. <<NOTE: 42 USC 1010.>> OTHER ADMINISTRATIVE PROVISIONS.

    ``(a) Regulations and Administrative Arrangements.--The Commissioner 
of Social Security may prescribe such regulations, and make such 
administrative and other arrangements, as may be necessary or 
appropriate to carry out this title.
    ``(b) Payment of Benefits.--Benefits under this title shall be paid 
at such time or times and in such installments as the Commissioner of 
Social Security determines are in the interests of economy and 
efficiency.
    ``(c) Entitlement Redeterminations.--An individual's entitlement to 
benefits under this title, and the amount of the benefits, may be 
redetermined at such time or times as the Commissioner of Social 
Security determines to be appropriate.
    ``(d) Suspension and Termination of Benefits.--Regulations 
prescribed by the Commissioner of Social Security under subsection (a) 
may provide for the suspension and termination of entitlement to 
benefits under this title as the Commissioner determines is appropriate.

``SEC. 811. <<NOTE: 42 USC 1011.>> PENALTIES FOR FRAUD.

    ``(a) In General.--Whoever--
            ``(1) knowingly and willfully makes or causes to be made any 
        false statement or representation of a material fact in an 
        application for benefits under this title;
            ``(2) at any time knowingly and willfully makes or causes to 
        be made any false statement or representation of a material fact 
        for use in determining any right to the benefits;
            ``(3) having knowledge of the occurrence of any event 
        affecting--
                    ``(A) his or her initial or continued right to the 
                benefits; or

[[Page 113 STAT. 1853]]

                    ``(B) the initial or continued right to the benefits 
                of any other individual in whose behalf he or she has 
                applied for or is receiving the benefit,
        conceals or fails to disclose the event with an intent 
        fraudulently to secure the benefit either in a greater amount or 
        quantity than is due or when no such benefit is authorized; or
            ``(4) having made application to receive any such benefit 
        for the use and benefit of another and having received it, 
        knowingly and willfully converts the benefit or any part thereof 
        to a use other than for the use and benefit of the other 
        individual,

shall be fined under title 18, United States Code, imprisoned not more 
than 5 years, or both.
    ``(b) Restitution by Representative Payee.--If a person or 
organization violates subsection (a) in the person's or organization's 
role as, or in applying to become, a representative payee under section 
807 on behalf of a qualified individual, and the violation includes a 
willful misuse of funds by the person or entity, the court may also 
require that full or partial restitution of funds be made to the 
qualified individual.

``SEC. 812. <<NOTE: 42 USC 1012.>> DEFINITIONS.

    ``In this title:
            ``(1) World war ii veteran.--The term `World War II veteran' 
        means a person who--
                    ``(A) served during World War II--
                          ``(i) in the active military, naval, or air 
                      service of the United States during World War II; 
                      or
                          ``(ii) in the organized military forces of the 
                      Government of the Commonwealth of the Philippines, 
                      while the forces were in the service of the Armed 
                      Forces of the United States pursuant to the 
                      military order of the President dated July 26, 
                      1941, including among the military forces 
                      organized guerrilla forces under commanders 
                      appointed, designated, or subsequently recognized 
                      by the Commander in Chief, Southwest Pacific Area, 
                      or other competent authority in the Army of the 
                      United States, in any case in which the service 
                      was rendered before December 31, 1946; and
                    ``(B) was discharged or released therefrom under 
                conditions other than dishonorable--
                          ``(i) after service of 90 days or more; or
                          ``(ii) because of a disability or injury 
                      incurred or aggravated in the line of active duty.
            ``(2) World war ii.--The term `World War II' means the 
        period beginning on September 16, 1940, and ending on July 24, 
        1947.
            ``(3) Supplemental security income benefit under title 
        xvi.--The term `supplemental security income benefit under title 
        XVI', except as otherwise provided, includes State supplementary 
        payments which are paid by the Commissioner of Social Security 
        pursuant to an agreement under section 1616(a) of this Act or 
        section 212(b) of Public Law 93-66.
            ``(4) Federal benefit rate under title xvi.--The term 
        `Federal benefit rate under title XVI' means, with respect to 
        any month, the amount of the supplemental security income

[[Page 113 STAT. 1854]]

        cash benefit (not including any State supplementary payment 
        which is paid by the Commissioner of Social Security pursuant to 
        an agreement under section 1616(a) of this Act or section 212(b) 
        of Public Law 93-66) payable under title XVI for the month to an 
        eligible individual with no income.
            ``(5) United states.--The term `United States' means, 
        notwithstanding section 1101(a)(1), only the 50 States, the 
        District of Columbia, and the Commonwealth of the Northern 
        Mariana Islands.
            ``(6) Benefit income.--The term `benefit income' means any 
        recurring payment received by a qualified individual as an 
        annuity, pension, retirement, or disability benefit (including 
        any veterans' compensation or pension, workmen's compensation 
        payment, old-age, survivors, or disability insurance benefit, 
        railroad retirement annuity or pension, and unemployment 
        insurance benefit), but only if a similar payment was received 
        by the individual from the same (or a related) source during the 
        12-month period preceding the month in which the individual 
        files an application for benefits under this title.

``SEC. 813. <<NOTE: 42 USC 1013.>> APPROPRIATIONS.

    ``There are hereby appropriated for fiscal year 2000 and subsequent 
fiscal years, out of any funds in the Treasury not otherwise 
appropriated, such sums as may be necessary to carry out this title.''.
    (b) Conforming Amendments.--
            (1) Social security trust funds lae account.--Section 201(g) 
        of such Act (42 U.S.C. 401(g)) is amended--
                    (A) in the fourth sentence of paragraph (1)(A), by 
                inserting after ``this title,'' the following: ``title 
                VIII,'';
                    (B) in paragraph (1)(B)(i)(I), by inserting after 
                ``this title,'' the following: ``title VIII,''; and
                    (C) in paragraph (1)(C)(i), by inserting after 
                ``this title,'' the following: ``title VIII,''.
            (2) Representative payee provisions of title ii.--Section 
        205( j) of such Act (42 U.S.C. 405( j)) is amended--
                    (A) in paragraph (1)(A), by inserting ``807 or'' 
                before ``1631(a)(2)'';
                    (B) in paragraph (2)(B)(i)(I), by inserting ``, 
                title VIII,'' before ``or title XVI'';
                    (C) in paragraph (2)(B)(i)(III), by inserting ``, 
                811,'' before ``or 1632'';
                    (D) in paragraph (2)(B)(i)(IV)--
                          (i) by inserting ``, the designation of such 
                      person as a representative payee has been revoked 
                      pursuant to section 807(a),'' before ``or payment 
                      of benefits''; and
                          (ii) by inserting ``, title VIII,'' before 
                      ``or title XVI'';
                    (E) in paragraph (2)(B)(ii)(I)--
                          (i) by inserting ``whose designation as a 
                      representative payee has been revoked pursuant to 
                      section 807(a),'' before ``or with respect to 
                      whom''; and
                          (ii) by inserting ``, title VIII,'' before 
                      ``or title XVI'';
                    (F) in paragraph (2)(B)(ii)(II), by inserting ``, 
                811,'' before ``or 1632'';
                    (G) in paragraph (2)(C)(i)(II), by inserting ``, the 
                designation of such person as a representative payee has 
                been

[[Page 113 STAT. 1855]]

                revoked pursuant to section 807(a),'' before ``or 
                payment of benefits'';
                    (H) in each of clauses (i) and (ii) of paragraph 
                (3)(E), by inserting ``, section 807,'' before ``or 
                section 1631(a)(2)'';
                    (I) in paragraph (3)(F), by inserting ``807 or'' 
                before ``1631(a)(2)''; and
                    (J) in paragraph (4)(B)(i), by inserting ``807 or'' 
                before ``1631(a)(2)''.
            (3) Withholding for child support and alimony obligations.--
        Section 459(h)(1)(A) of such Act (42 U.S.C. 659(h)(1)(A)) is 
        amended--
                    (A) at the end of clause (iii), by striking ``and'';
                    (B) at the end of clause (iv), by striking ``but'' 
                and inserting ``and''; and
                    (C) by adding at the end a new clause as follows:
                          ``(v) special benefits for certain World War 
                      II veterans payable under title VIII; but''.
            (4) Social security advisory board.--Section 703(b) of such 
        Act (42 U.S.C. 903(b)) is amended by striking ``title II'' and 
        inserting ``title II, the program of special benefits for 
        certain World War II veterans under title VIII,''.
            (5) Delivery of checks.--Section 708 of such Act (42 U.S.C. 
        908) <<NOTE: 42 USC 909.>> is amended--
                    (A) in subsection (a), by striking ``title II'' and 
                inserting ``title II, title VIII,''; and
                    (B) in subsection (b), by striking ``title II'' and 
                inserting ``title II, title VIII,''.
            (6) Civil monetary penalties.--Section 1129 of such Act (42 
        U.S.C. 1320a-8) is amended--
                    (A) in the title, by striking ``II'' and inserting 
                ``II, VIII'';
                    (B) in subsection (a)(1)--
                          (i) by striking ``or'' at the end of subpara-
                      graph (A);
                          (ii) by redesignating subparagraph (B) as 
                      subparagraph (C); and
                          (iii) by inserting after subparagraph (A) the 
                      following new subparagraph:
                    ``(B) benefits or payments under title VIII, or'';
                    (C) in subsection (a)(2), by inserting ``or title 
                VIII,'' after ``title II'';
                    (D) in subsection (e)(1)(C)--
                          (i) by striking ``or'' at the end of clause 
                      (i);
                          (ii) by redesignating clause (ii) as clause 
                      (iii); and
                          (iii) by inserting after clause (i) the 
                      following new clause:
                          ``(ii) by decrease of any payment under title 
                      VIII to which the person is entitled, or'';
                    (E) in subsection (e)(2)(B), by striking ``title 
                XVI'' and inserting ``title VIII or XVI''; and
                    (F) in subsection (l), by striking ``title XVI'' and 
                inserting ``title VIII or XVI''.
            (7) Recovery of ssi overpayments.--Section 1147 of such Act 
        (42 U.S.C. 1320b-17) is amended--
                    (A) in subsection (a)(1)--
                          (i) by inserting ``or VIII'' after ``title 
                      II'' the first place it appears; and

[[Page 113 STAT. 1856]]

                          (ii) by striking ``title II'' the second place 
                      it appears and inserting ``such title''; and
                    (B) in the heading, by striking ``social security'' 
                and inserting ``other''.
            (8) Recovery of social security overpayments.--Part A of 
        title XI of the Social Security Act is amended by inserting 
        after section 1147 (42 U.S.C. 1320b-17) the following new 
        section:

   ``recovery of social security benefit overpayments from title viii 
                                benefits

    ``Sec. 1147A. <<NOTE: 42 USC 1320b-18.>> Whenever the Commissioner 
of Social Security determines that more than the correct amount of any 
payment has been made under title II to an individual who is not 
currently receiving benefits under that title but who is receiving 
benefits under title VIII, the Commissioner may recover the amount 
incorrectly paid under title II by decreasing any amount which is 
payable to the individual under title VIII.''.
            (9) Representative payee provisions of title xvi.--Section 
        1631(a)(2) of such Act (42 U.S.C. 1383(a)(2)) is amended--
                    (A) in subparagraph (A)(iii), by inserting ``or 
                807'' after ``205( j)(1)'';
                    (B) in subparagraph (B)(ii)(I), by inserting ``, 
                title VIII,'' before ``or this title'';
                    (C) in subparagraph (B)(ii)(III), by inserting ``, 
                811,'' before ``or 1632'';
                    (D) in subparagraph (B)(ii)(IV)--
                          (i) by inserting ``whether the designation of 
                      such person as a representative payee has been 
                      revoked pursuant to section 807(a),'' before ``and 
                      whether certification''; and
                          (ii) by inserting ``, title VIII,'' before 
                      ``or this title'';
                    (E) in subparagraph (B)(iii)(II), by inserting ``the 
                designation of such person as a representative payee has 
                been revoked pursuant to section 807(a),'' before ``or 
                certification''; and
                    (F) in subparagraph (D)(ii)(II)(aa), by inserting 
                ``or 807'' after ``205( j)(4)''.
            (10) Administrative offset.--Section 3716(c)(3)(C) of title 
        31, United States Code, is amended--
                    (A) by striking ``sections 205(b)(1)'' and inserting 
                ``sections 205(b)(1), 809(a)(1),''; and
                    (B) by striking ``either title II'' and inserting 
                ``title II, VIII,''.

                            Subtitle C--Study

SEC. 261. <<NOTE: 42 USC 1382 note.>> STUDY OF DENIAL OF SSI BENEFITS 
            FOR FAMILY FARMERS.

    (a) In General.--The Commissioner of Social Security shall conduct a 
study of the reasons why family farmers with resources of less than 
$100,000 are denied supplemental security income benefits under title 
XVI of the Social Security Act, including whether the deeming process 
unduly burdens and discriminates against family farmers who do not 
institutionalize a disabled dependent, and shall determine the number of 
such farmers who

[[Page 113 STAT. 1857]]

have been denied such benefits during each of the preceding 10 years.
    (b) Report <<NOTE: Deadline.>> to the Congress.--Within 1 year after 
the date of the enactment of this Act, the Commissioner of Social 
Security shall prepare and submit to the Committee on Ways and Means of 
the House of Representatives and the Committee on Finance of the Senate 
a report that contains the results of the study, and the determination, 
required by subsection (a).

                        TITLE III--CHILD SUPPORT

SEC. 301. NARROWING OF HOLD-HARMLESS PROVISION FOR STATE SHARE OF 
            DISTRIBUTION OF COLLECTED CHILD SUPPORT.

    (a) In General.--Section 457(d) of the Social Security Act (42 
U.S.C. 657(d)) is amended to read as follows:
    ``(d) Hold-Harmless Provision.--If--
            ``(1) the State share of amounts collected in the fiscal 
        year which could be retained to reimburse the State for amounts 
        paid to families as assistance by the State is less than the 
        State share of such amounts collected in fiscal year 1995 
        (determined in accordance with section 457 as in effect on 
        August 21, 1996); and
            ``(2)(A) the State has distributed to families that include 
        an adult receiving assistance under the program under part A at 
        least 80 percent of the current support payments collected 
        during the preceding fiscal year on behalf of such families, and 
        the amounts distributed were disregarded in determining the 
        amount or type of assistance provided under the program under 
        part A; or
            ``(B) the State has distributed to families that formerly 
        received assistance under the program under part A the State 
        share of the amounts collected pursuant to section 464 that 
        could have been retained as reimbursement for assistance paid to 
        such families,

then the State share otherwise determined for the fiscal year shall be 
increased by an amount equal to one-half of the amount (if any) by which 
the State share for fiscal year 1995 exceeds the State share for the 
fiscal year (determined without regard to this subsection).''.
    (b) Effective <<NOTE: 42 USC 657 note.>> Date.--The amendment made 
by subsection (a) shall be effective with respect to calendar quarters 
occurring during the period that begins on October 1, 1998, and ends on 
September 30, 2001.

    (c) Repeal.--Effective October 1, 2001, section 457 of the Social 
Security Act (42 U.S.C. 657) is amended--
            (1) in subsection (a), by striking ``subsections (e) and (f 
        )'' and inserting ``subsections (d) and (e)'';
            (2) by striking subsection (d);
            (3) in subsection (e), by striking the second sentence; and
            (4) by redesignating subsections (e) and (f ) as subsections 
        (d) and (e), respectively.

[[Page 113 STAT. 1858]]

                     TITLE IV--TECHNICAL CORRECTIONS

SEC. 401. TECHNICAL CORRECTIONS RELATING TO AMENDMENTS MADE BY THE 
            PERSONAL RESPONSIBILITY AND WORK OPPORTUNITY RECONCILIATION 
            ACT OF 1996.

    (a) Section 402(a)(1)(B)(iv) of the Social Security Act (42 U.S.C. 
602(a)(1)(B)(iv)) is amended by striking ``Act'' and inserting 
``section''.
    (b) Section 409(a)(7)(B)(i)(II) of the Social Security Act (42 
U.S.C. 609(a)(7)(B)(i)(II)) is amended by striking ``part'' and 
inserting ``section''.
    (c) Section 413(g)(1) of the Social Security Act (42 U.S.C. 
613(g)(1)) is amended by striking ``Act'' and inserting ``section''.
    (d) Section 416 of the Social Security Act (42 U.S.C. 616) is 
amended by striking ``Opportunity Act'' and inserting ``Opportunity 
Reconciliation Act'' each place such term appears.
    (e) Section 431(a)(6) of the Social Security Act (42 U.S.C. 
629a(a)(6))) is amended--
            (1) by inserting ``, as in effect before August 22, 1986'' 
        after ``482(i)(5)''; and
            (2) by inserting ``, as so in effect'' after 
        ``482(i)(7)(A)''.

    (f ) Sections 452(a)(7) and 466(c)(2)(A)(i) of the Social Security 
Act (42 U.S.C. 652(a)(7) and 666(c)(2)(A)(i)) are each amended by 
striking ``Social Security'' and inserting ``social security''.
    (g) Section 454 of the Social Security Act (42 U.S.C. 654) is 
amended--
            (1) by striking ``, or'' at the end of each of paragraphs 
        (6)(E)(i) and (19)(B)(i) and inserting ``; or'';
            (2) in paragraph (9), by striking the comma at the end of 
        each of subparagraphs (A), (B), and (C) and inserting a 
        semicolon; and
            (3) by striking ``, and'' at the end of each of paragraphs 
        (19)(A) and (24)(A) and inserting ``; and''.

    (h) Section 454(24)(B) of the Social Security Act (42 U.S.C. 
654(24)(B)) is amended by striking ``Opportunity Act'' and inserting 
``Opportunity Reconciliation Act''.
    (i) Section 344(b)(1)(A) of the Personal Responsibility and Work 
Opportunity Reconciliation Act of 1996 (Public Law 104-193; 110 Stat. 
2236) <<NOTE: 42 USC 655.>> is amended to read as follows:
                    ``(A) in paragraph (1), by striking subparagraph (B) 
                and inserting the following:
                    `(B) equal to the percent specified in paragraph (3) 
                of the sums expended during such quarter that are 
                attributable to the planning, design, development, 
                installation or enhancement of an automatic data 
                processing and information retrieval system (including 
                in such sums the full cost of the hardware components of 
                such system); and'; and''.

    ( j) Section 457(a)(2)(B)(i)(I) of the Social Security Act (42 
U.S.C. 657(a)(2)(B)(i)(I)) is amended by striking ``Act Reconciliation'' 
and inserting ``Reconciliation Act''.
    (k) Section 457 of the Social Security Act (42 U.S.C. 657) is 
amended by striking ``Opportunity Act'' each place it appears and 
inserting ``Opportunity Reconciliation Act''.
    (l) <<NOTE: Effective date.>> Effective on the date of the enactment 
of this Act, section 404(e) of the Social Security Act (42 U.S.C. 
604(e)) is amended

[[Page 113 STAT. 1859]]

by inserting ``or tribe'' after ``State'' the first and second places it 
appears, and by inserting ``or tribal'' after ``State'' the third place 
it appears.

    (m) Section 466(a)(7)(A) of the Social Security Act (42 U.S.C. 
666(a)(7)(A)) is amended by striking ``1681a(f ))'' and inserting 
``1681a(f )))''.
    (n) Section 466(b)(6)(A) of the Social Security Act (42 U.S.C. 
666(b)(6)(A)) is amended by striking ``state'' and inserting ``State''.
    (o) Section 471(a)(8) of the Social Security Act (42 U.S.C. 
671(a)(8)) is amended by striking ``(including activities under part 
F)''.
    (p) Section 1137(a)(3) of the Social Security Act (42 U.S.C. 1320b-
7(a)(3)) is amended by striking ``453A(a)(2)(B)(iii))'' and inserting 
``453A(a)(2)(B)(ii)))''.
    (q) <<NOTE: 42 USC 602 note.>> Except as provided in subsection (l), 
the amendments made by this section shall take effect as if included in 
the enactment of the Personal Responsibility and Work Opportunity 
Reconciliation Act of 1996 (Public Law 104-193; 110 Stat. 2105).

    Approved December 14, 1999.

LEGISLATIVE HISTORY--H.R. 3443:
---------------------------------------------------------------------------

CONGRESSIONAL RECORD, Vol. 145 (1999):
            Nov. 18, considered and passed House.
            Nov. 19, considered and passed Senate.
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 35 (1999):
            Nov. 14, Presidential remarks.

                                  <all>