Part A—Block Grants to States for Temporary Assistance for Needy Families
Editorial Notes
Prior Provisions
A prior part A relating to aid to families with dependent children and consisting of
§601. Purpose
(a) In general
The purpose of this part is to increase the flexibility of States in operating a program designed to—
(1) provide assistance to needy families so that children may be cared for in their own homes or in the homes of relatives;
(2) end the dependence of needy parents on government benefits by promoting job preparation, work, and marriage;
(3) prevent and reduce the incidence of out-of-wedlock pregnancies and establish annual numerical goals for preventing and reducing the incidence of these pregnancies; and
(4) encourage the formation and maintenance of two-parent families.
(b) No individual entitlement
This part shall not be interpreted to entitle any individual or family to assistance under any State program funded under this part.
(Aug. 14, 1935, ch. 531, title IV, §401, as added
Editorial Notes
Prior Provisions
A prior section 601, acts Aug. 14, 1935, ch. 531, title IV, §401,
Amendments
1997—
Statutory Notes and Related Subsidiaries
Effective Date of 1997 Amendment
Amendment by
Effective Date
"(a)
"(1)
"(2)
"(A) July 1, 1997; or
"(B) the date that is 6 months after the date the Secretary of Health and Human Services receives from the State a plan described in section 402(a) of the Social Security Act [
"(3)
"(4)
"(5)
"(6)
"(b)
"(1)
"(A)
"(i) on and after the date of such receipt—
"(I) except as provided in clause (ii), this title and the amendments made by this title (other than by section 103(c) of this Act [amending
"(II) the State shall be considered an eligible State for purposes of part A of title IV of the Social Security Act [
"(ii) during the period that begins on the date of such receipt and ends on the later of June 30, 1997, or the day before the date described in subsection (a)(2)(B) of this section, there shall remain in effect with respect to the State—
"(I) section 403(h) of the Social Security Act [
"(II) all State reporting requirements under parts A and F of title IV of the Social Security Act [
"(B)
"(i)
"(ii) Under temporary family assistance program.—Notwithstanding section 403(a)(1) of the Social Security Act [
"(I) for fiscal year 1996, shall be an amount equal to—
"(aa) the State family assistance grant; multiplied by
"(bb) 1/366 of the number of days during the period that begins on the date the Secretary of Health and Human Services first receives from the State a plan described in section 402(a) of the Social Security Act [
"(II) for fiscal year 1997, shall be an amount equal to the lesser of—
"(aa) the amount (if any) by which the sum of the State family assistance grant and the amount, if any, that the State would have been eligible to be paid under the Contingency Fund for State Welfare Programs established under section 403(b) of the Social Security Act [
"(bb) the sum of the State family assistance grant, multiplied by 1/365 of the number of days during the period that begins on October 1, 1996, or the date the Secretary of Health and Human Services first receives from the State a plan described in section 402(a) of the Social Security Act (as added by the amendment made by section 103(a)(1) of this Act), whichever is later, and ends on September 30, 1997, and the amount, if any, that the State would have been eligible to be paid under the Contingency Fund for State Welfare Programs established under section 403(b) of the Social Security Act (as amended by section 103(a)(1) of this Act), during the period beginning on October 1, 1996, and ending on the date the Secretary of Health and Human Services first receives from the State a plan described in section 402(a) of the Social Security Act (as so amended) if, with respect to such State, the effective date of this Act [title] under subsection (a)(1) were August 22, 1996.
"(iii)
"(C)
"(i) the State's acceptance of the grant reductions under subparagraph (B) (including the formula for computing the amount of the reduction); and
"(ii) the termination of any entitlement of any individual or family to benefits or services under the State AFDC program.
"(D)
"(i)
"(ii)
"(iii)
"(2)
"(A) powers, duties, functions, rights, claims, penalties, or obligations applicable to aid, assistance, or services provided before the effective date of this title under the provisions amended; and
"(B) administrative actions and proceedings commenced before such date, or authorized before such date to be commenced, under such provisions.
"(3)
"(A) use the single audit procedure to review and resolve any claims in connection with the close out of programs under such State plans; and
"(B) reimburse States for any payments made for assistance or services provided during a prior fiscal year from funds for fiscal year 1995, rather than from funds authorized by this title.
"(4)
"(A) continue to serve in such position; and
"(B) except as otherwise provided by law—
"(i) continue to perform the functions of the Assistant Secretary for Family Support under section 417 of the Social Security Act [
"(ii) have the powers and duties of the Assistant Secretary for Family Support under section 416 of the Social Security Act [
"(c)
Extension of the Temporary Assistance for Needy Families Program and Related Programs
Prior provisions generally extending the authority of part A of title IV of the Social Security Act through the end of a fiscal year or longer were contained in the following acts:
Congressional Findings
"(1) Marriage is the foundation of a successful society.
"(2) Marriage is an essential institution of a successful society which promotes the interests of children.
"(3) Promotion of responsible fatherhood and motherhood is integral to successful child rearing and the well-being of children.
"(4) In 1992, only 54 percent of single-parent families with children had a child support order established and, of that 54 percent, only about one-half received the full amount due. Of the cases enforced through the public child support enforcement system, only 18 percent of the caseload has a collection.
"(5) The number of individuals receiving aid to families with dependent children (in this section referred to as 'AFDC') has more than tripled since 1965. More than two-thirds of these recipients are children. Eighty-nine percent of children receiving AFDC benefits now live in homes in which no father is present.
"(A)(i) The average monthly number of children receiving AFDC benefits—
"(I) was 3,300,000 in 1965;
"(II) was 6,200,000 in 1970;
"(III) was 7,400,000 in 1980; and
"(IV) was 9,300,000 in 1992.
"(ii) While the number of children receiving AFDC benefits increased nearly threefold between 1965 and 1992, the total number of children in the United States aged 0 to 18 has declined by 5.5 percent.
"(B) The Department of Health and Human Services has estimated that 12,000,000 children will receive AFDC benefits within 10 years.
"(C) The increase in the number of children receiving public assistance is closely related to the increase in births to unmarried women. Between 1970 and 1991, the percentage of live births to unmarried women increased nearly threefold, from 10.7 percent to 29.5 percent.
"(6) The increase of out-of-wedlock pregnancies and births is well documented as follows:
"(A) It is estimated that the rate of nonmarital teen pregnancy rose 23 percent from 54 pregnancies per 1,000 unmarried teenagers in 1976 to 66.7 pregnancies in 1991. The overall rate of nonmarital pregnancy rose 14 percent from 90.8 pregnancies per 1,000 unmarried women in 1980 to 103 in both 1991 and 1992. In contrast, the overall pregnancy rate for married couples decreased 7.3 percent between 1980 and 1991, from 126.9 pregnancies per 1,000 married women in 1980 to 117.6 pregnancies in 1991.
"(B) The total of all out-of-wedlock births between 1970 and 1991 has risen from 10.7 percent to 29.5 percent and if the current trend continues, 50 percent of all births by the year 2015 will be out-of-wedlock.
"(7) An effective strategy to combat teenage pregnancy must address the issue of male responsibility, including statutory rape culpability and prevention. The increase of teenage pregnancies among the youngest girls is particularly severe and is linked to predatory sexual practices by men who are significantly older.
"(A) It is estimated that in the late 1980's, the rate for girls age 14 and under giving birth increased 26 percent.
"(B) Data indicates that at least half of the children born to teenage mothers are fathered by adult men. Available data suggests that almost 70 percent of births to teenage girls are fathered by men over age 20.
"(C) Surveys of teen mothers have revealed that a majority of such mothers have histories of sexual and physical abuse, primarily with older adult men.
"(8) The negative consequences of an out-of-wedlock birth on the mother, the child, the family, and society are well documented as follows:
"(A) Young women 17 and under who give birth outside of marriage are more likely to go on public assistance and to spend more years on welfare once enrolled. These combined effects of 'younger and longer' increase total AFDC costs per household by 25 percent to 30 percent for 17-year-olds.
"(B) Children born out-of-wedlock have a substantially higher risk of being born at a very low or moderately low birth weight.
"(C) Children born out-of-wedlock are more likely to experience low verbal cognitive attainment, as well as more child abuse, and neglect.
"(D) Children born out-of-wedlock were more likely to have lower cognitive scores, lower educational aspirations, and a greater likelihood of becoming teenage parents themselves.
"(E) Being born out-of-wedlock significantly reduces the chances of the child growing up to have an intact marriage.
"(F) Children born out-of-wedlock are 3 times more likely to be on welfare when they grow up.
"(9) Currently 35 percent of children in single-parent homes were born out-of-wedlock, nearly the same percentage as that of children in single-parent homes whose parents are divorced (37 percent). While many parents find themselves, through divorce or tragic circumstances beyond their control, facing the difficult task of raising children alone, nevertheless, the negative consequences of raising children in single-parent homes are well documented as follows:
"(A) Only 9 percent of married-couple families with children under 18 years of age have income below the national poverty level. In contrast, 46 percent of female-headed households with children under 18 years of age are below the national poverty level.
"(B) Among single-parent families, nearly ½ of the mothers who never married received AFDC while only 1/5 of divorced mothers received AFDC.
"(C) Children born into families receiving welfare assistance are 3 times more likely to be on welfare when they reach adulthood than children not born into families receiving welfare.
"(D) Mothers under 20 years of age are at the greatest risk of bearing low birth weight babies.
"(E) The younger the single-parent mother, the less likely she is to finish high school.
"(F) Young women who have children before finishing high school are more likely to receive welfare assistance for a longer period of time.
"(G) Between 1985 and 1990, the public cost of births to teenage mothers under the aid to families with dependent children program, the food stamp program, and the medicaid program has been estimated at $120,000,000,000.
"(H) The absence of a father in the life of a child has a negative effect on school performance and peer adjustment.
"(I) Children of teenage single parents have lower cognitive scores, lower educational aspirations, and a greater likelihood of becoming teenage parents themselves.
"(J) Children of single-parent homes are 3 times more likely to fail and repeat a year in grade school than are children from intact 2-parent families.
"(K) Children from single-parent homes are almost 4 times more likely to be expelled or suspended from school.
"(L) Neighborhoods with larger percentages of youth aged 12 through 20 and areas with higher percentages of single-parent households have higher rates of violent crime.
"(M) Of those youth held for criminal offenses within the State juvenile justice system, only 29.8 percent lived primarily in a home with both parents. In contrast to these incarcerated youth, 73.9 percent of the 62,800,000 children in the Nation's resident population were living with both parents.
"(10) Therefore, in light of this demonstration of the crisis in our Nation, it is the sense of the Congress that prevention of out-of-wedlock pregnancy and reduction in out-of-wedlock birth are very important Government interests and the policy contained in part A of title IV of the Social Security Act [
[References to the food stamp program established under the Food and Nutrition Act of 2008 considered to refer to the supplemental nutrition assistance program established under that Act, see section 4002(c) of
Appropriation by State Legislatures
"(a)
"(b)
"(1) Part A of title IV of the Social Security Act [
"(2) The Child Care and Development Block Grant Act of 1990 [
§602. Eligible States; State plan
(a) In general
As used in this part, the term "eligible State" means, with respect to a fiscal year, a State that, during the 27-month period ending with the close of the 1st quarter of the fiscal year, has submitted to the Secretary a plan that the Secretary has found includes the following:
(1) Outline of family assistance program
(A) General provisions
A written document that outlines how the State intends to do the following:
(i) Conduct a program, designed to serve all political subdivisions in the State (not necessarily in a uniform manner), that provides assistance to needy families with (or expecting) children and provides parents with job preparation, work, and support services to enable them to leave the program and become self-sufficient.
(ii) Require a parent or caretaker receiving assistance under the program to engage in work (as defined by the State) once the State determines the parent or caretaker is ready to engage in work, or once the parent or caretaker has received assistance under the program for 24 months (whether or not consecutive), whichever is earlier, consistent with
(iii) Ensure that parents and caretakers receiving assistance under the program engage in work activities in accordance with
(iv) Take such reasonable steps as the State deems necessary to restrict the use and disclosure of information about individuals and families receiving assistance under the program attributable to funds provided by the Federal Government.
(v) Establish goals and take action to prevent and reduce the incidence of out-of-wedlock pregnancies, with special emphasis on teenage pregnancies, and establish numerical goals for reducing the illegitimacy ratio of the State (as defined in section 603(a)(2)(C)(iii) 1 of this title) for calendar years 1996 through 2005.
(vi) Conduct a program, designed to reach State and local law enforcement officials, the education system, and relevant counseling services, that provides education and training on the problem of statutory rape so that teenage pregnancy prevention programs may be expanded in scope to include men.
(vii) Implement policies and procedures as necessary to prevent access to assistance provided under the State program funded under this part through any electronic fund transaction in an automated teller machine or point-of-sale device located in a place described in
(viii) Ensure that recipients of assistance provided under the State program funded under this part have access to using or withdrawing assistance with minimal fees or charges, including an opportunity to access assistance with no fee or charges, and are provided information on applicable fees and surcharges that apply to electronic fund transactions involving the assistance, and that such information is made publicly available.
(B) Special provisions
(i) The document shall indicate whether the State intends to treat families moving into the State from another State differently than other families under the program, and if so, how the State intends to treat such families under the program.
(ii) The document shall indicate whether the State intends to provide assistance under the program to individuals who are not citizens of the United States, and if so, shall include an overview of such assistance.
(iii) The document shall set forth objective criteria for the delivery of benefits and the determination of eligibility and for fair and equitable treatment, including an explanation of how the State will provide opportunities for recipients who have been adversely affected to be heard in a State administrative or appeal process.
(iv) Not later than 1 year after August 22, 1996, unless the chief executive officer of the State opts out of this provision by notifying the Secretary, a State shall, consistent with the exception provided in
(v) The document shall indicate whether the State intends to assist individuals to train for, seek, and maintain employment—
(I) providing direct care in a long-term care facility (as such terms are defined under
(II) in other occupations related to elder care determined appropriate by the State for which the State identifies an unmet need for service personnel,
and, if so, shall include an overview of such assistance.
(2) Certification that the State will operate a child support enforcement program
A certification by the chief executive officer of the State that, during the fiscal year, the State will operate a child support enforcement program under the State plan approved under part D.
(3) Certification that the State will operate a foster care and adoption assistance program
A certification by the chief executive officer of the State that, during the fiscal year, the State will operate a foster care and adoption assistance program under the State plan approved under part E, and that the State will take such actions as are necessary to ensure that children receiving assistance under such part are eligible for medical assistance under the State plan under subchapter XIX.
(4) Certification of the administration of the program
A certification by the chief executive officer of the State specifying which State agency or agencies will administer and supervise the program referred to in paragraph (1) for the fiscal year, which shall include assurances that local governments and private sector organizations—
(A) have been consulted regarding the plan and design of welfare services in the State so that services are provided in a manner appropriate to local populations; and
(B) have had at least 45 days to submit comments on the plan and the design of such services.
(5) Certification that the State will provide Indians with equitable access to assistance
A certification by the chief executive officer of the State that, during the fiscal year, the State will provide each member of an Indian tribe, who is domiciled in the State and is not eligible for assistance under a tribal family assistance plan approved under
(6) Certification of standards and procedures to ensure against program fraud and abuse
A certification by the chief executive officer of the State that the State has established and is enforcing standards and procedures to ensure against program fraud and abuse, including standards and procedures concerning nepotism, conflicts of interest among individuals responsible for the administration and supervision of the State program, kickbacks, and the use of political patronage.
(7) Optional certification of standards and procedures to ensure that the State will screen for and identify domestic violence
(A) In general
At the option of the State, a certification by the chief executive officer of the State that the State has established and is enforcing standards and procedures to—
(i) screen and identify individuals receiving assistance under this part with a history of domestic violence while maintaining the confidentiality of such individuals;
(ii) refer such individuals to counseling and supportive services; and
(iii) waive, pursuant to a determination of good cause, other program requirements such as time limits (for so long as necessary) for individuals receiving assistance, residency requirements, child support cooperation requirements, and family cap provisions, in cases where compliance with such requirements would make it more difficult for individuals receiving assistance under this part to escape domestic violence or unfairly penalize such individuals who are or have been victimized by such violence, or individuals who are at risk of further domestic violence.
(B) "Domestic violence" defined
For purposes of this paragraph, the term "domestic violence" has the same meaning as the term "battered or subjected to extreme cruelty", as defined in
(8) Certification that the State will provide information to victims of sexual harassment or survivors of domestic violence, sexual assault, or stalking
(A) In general
A certification by the chief executive officer of the State that the State has established and is enforcing standards and procedures to—
(i) ensure that applicants and potential applicants for assistance under the State program funded under this part are notified of assistance made available by the State to victims of sexual harassment and survivors of domestic violence, sexual assault, or stalking;
(ii) ensure that case workers and other agency personnel responsible for administering the State program funded under this part are trained in—
(I) the nature and dynamics of sexual harassment and domestic violence, sexual assault, and stalking;
(II) State standards and procedures relating to the prevention of, and assistance for, individuals who are victims of sexual harassment or survivors of domestic violence, sexual assault, or stalking; and
(III) methods of ascertaining and ensuring the confidentiality of personal information and documentation related to applicants for assistance and their children who have provided notice about their experiences of sexual harassment, domestic violence, sexual assault, or stalking; and
(iii) ensure that, if a State has elected to establish and enforce standards and procedures regarding the screening for, and identification of, domestic violence, sexual assault, or stalking pursuant to paragraph (7)—
(I) the State program funded under this part provides information about the options under this part to current and potential beneficiaries; and
(II) case workers and other agency personnel responsible for administering the State program funded under this part are provided with training regarding State standards and procedures pursuant to paragraph (7).
(B) Definitions
For purposes of this paragraph—
(i) the term "sexual harassment" means hostile, intimidating, or oppressive behavior based on sex that creates an offensive work environment;
(ii) the term "domestic violence" has the meaning given such term in paragraph (7); and
(iii) the terms "sexual assault" and "stalking" have the meanings given such terms in
(b) Plan amendments
Within 30 days after a State amends a plan submitted pursuant to subsection (a), the State shall notify the Secretary of the amendment.
(c) Public availability of State plan summary
The State shall make available to the public a summary of any plan or plan amendment submitted by the State under this section.
(Aug. 14, 1935, ch. 531, title IV, §402, as added
Editorial Notes
References in Text
Prior Provisions
A prior section 602, acts Aug. 14, 1935, ch. 531, title IV, §402,
Amendments
2022—Subsec. (a)(8).
2012—Subsec. (a)(1)(A)(vii), (viii).
2010—Subsec. (a)(1)(B)(v).
1999—Subsec. (a)(1)(B)(iv).
1997—
Subsec. (a).
Subsec. (a)(1)(A)(ii).
Subsec. (a)(1)(A)(v).
Subsec. (b).
Subsec. (c).
Statutory Notes and Related Subsidiaries
Effective Date of 2022 Amendment
Amendment by
Effective Date of 2010 Amendment
Effective Date of 1999 Amendment
Effective Date of 1997 Amendment
Amendment by section 5514(c) of
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
Implementation of 2022 Amendment
[For definition of "State" as used in section 703(a)(2) of div. W of
National Grant Program for Developing a Model Training Program for TANF Personnel Training
"(1)
"(A)
"(i) develop and disseminate a model training program (and related materials) for the training required under section 402(a)(8) of the Social Security Act [
"(ii) provide technical assistance with respect to such model training program to eligible States (as defined in section 402 of the Social Security Act [
"(B)
"(2)
"(A) a State or tribal domestic violence coalition or sexual assault coalition; or
"(B) a State or local victim service provider with recognized expertise in the dynamics of domestic violence, sexual assault, or stalking whose primary mission is to provide services to survivors of domestic violence, sexual assault, or stalking, including a rape crisis center or domestic violence program.
"(3)
"(A)
"(B)
"(4)
[For definitions of terms used in section 703(b) of div. W of
Demonstration of Family Independence Program
Child Support Demonstration Program in New York State
Utility Payments Made by Tenants in Assisted Housing
Exclusion From Income
State Plans To Disregard Earned Income of Individuals in Determination of Need for Aid; Effective Date
1 See References in Text note below.
§603. Grants to States
(a) Grants
(1) Family assistance grant
(A) In general
Each eligible State shall be entitled to receive from the Secretary, for each of fiscal years 2017 and 2018, a grant in an amount equal to the State family assistance grant.
(B) State family assistance grant
The State family assistance grant payable to a State for a fiscal year shall be the amount that bears the same ratio to the amount specified in subparagraph (C) of this paragraph (as in effect just before February 22, 2012), reduced by the percentage specified in
(C) Appropriation
Out of any money in the Treasury of the United States not otherwise appropriated, there are appropriated for each of fiscal years 2017 and 2018 $16,566,542,000 for grants under this paragraph.
(2) Healthy marriage promotion and responsible fatherhood grants
(A) In general
(i) Use of funds
Subject to subparagraphs (B), (C), and (E), the Secretary may use the funds made available under subparagraph (D) for the purpose of conducting and supporting research and demonstration projects by public or private entities, and providing technical assistance to States, Indian tribes and tribal organizations, and such other entities as the Secretary may specify that are receiving a grant under another provision of this part.
(ii) Limitations
The Secretary may not award funds made available under this paragraph on a noncompetitive basis, and may not provide any such funds to an entity for the purpose of carrying out healthy marriage promotion activities or for the purpose of carrying out activities promoting responsible fatherhood unless the entity has submitted to the Secretary an application (or, in the case of an entity seeking funding to carry out healthy marriage promotion activities and activities promoting responsible fatherhood, a combined application that contains assurances that the entity will carry out such activities under separate programs and shall not combine any funds awarded to carry out either such activities) which—
(I) describes—
(aa) how the programs or activities proposed in the application will address, as appropriate, issues of domestic violence; and
(bb) what the applicant will do, to the extent relevant, to ensure that participation in the programs or activities is voluntary, and to inform potential participants that their participation is voluntary; and
(II) contains a commitment by the entity—
(aa) to not use the funds for any other purpose; and
(bb) to consult with experts in domestic violence or relevant community domestic violence coalitions in developing the programs and activities.
(iii) Healthy marriage promotion activities
In clause (ii), the term "healthy marriage promotion activities" means the following:
(I) Public advertising campaigns on the value of marriage and the skills needed to increase marital stability and health.
(II) Education in high schools on the value of marriage, relationship skills, and budgeting.
(III) Marriage education, marriage skills, and relationship skills programs, that may include parenting skills, financial management, conflict resolution, and job and career advancement.
(IV) Pre-marital education and marriage skills training for engaged couples and for couples or individuals interested in marriage.
(V) Marriage enhancement and marriage skills training programs for married couples.
(VI) Divorce reduction programs that teach relationship skills.
(VII) Marriage mentoring programs which use married couples as role models and mentors in at-risk communities.
(VIII) Programs to reduce the disincentives to marriage in means-tested aid programs, if offered in conjunction with any activity described in this subparagraph.
(B) Limitation on use of funds for demonstration projects for coordination of provision of child welfare and TANF services to tribal families at risk of child abuse or neglect
(i) In general
Of the amounts made available under subparagraph (D) for a fiscal year, the Secretary may not award more than $2,000,000 on a competitive basis to fund demonstration projects designed to test the effectiveness of tribal governments or tribal consortia in coordinating the provision to tribal families at risk of child abuse or neglect of child welfare services and services under tribal programs funded under this part.
(ii) Limitation on use of funds
A grant made pursuant to clause (i) to such a project shall not be used for any purpose other than—
(I) to improve case management for families eligible for assistance from such a tribal program;
(II) for supportive services and assistance to tribal children in out-of-home placements and the tribal families caring for such children, including families who adopt such children; and
(III) for prevention services and assistance to tribal families at risk of child abuse and neglect.
(iii) Reports
The Secretary may require a recipient of funds awarded under this subparagraph to provide the Secretary with such information as the Secretary deems relevant to enable the Secretary to facilitate and oversee the administration of any project for which funds are provided under this subparagraph.
(C) Limitation on use of funds for activities promoting responsible fatherhood
(i) In general
Of the amounts made available under subparagraph (D) for a fiscal year, the Secretary may not award more than $75,000,000 on a competitive basis to States, territories, Indian tribes and tribal organizations, and public and nonprofit community entities, including religious organizations, for activities promoting responsible fatherhood.
(ii) Activities promoting responsible fatherhood
In this paragraph, the term "activities promoting responsible fatherhood" means the following:
(I) Activities to promote marriage or sustain marriage through activities such as counseling, mentoring, disseminating information about the benefits of marriage and 2-parent involvement for children, enhancing relationship skills, education regarding how to control aggressive behavior, disseminating information on the causes of domestic violence and child abuse, marriage preparation programs, premarital counseling, marital inventories, skills-based marriage education, financial planning seminars, including improving a family's ability to effectively manage family business affairs by means such as education, counseling, or mentoring on matters related to family finances, including household management, budgeting, banking, and handling of financial transactions and home maintenance, and divorce education and reduction programs, including mediation and counseling.
(II) Activities to promote responsible parenting through activities such as counseling, mentoring, and mediation, disseminating information about good parenting practices, skills-based parenting education, encouraging child support payments, and other methods.
(III) Activities to foster economic stability by helping fathers improve their economic status by providing activities such as work first services, job search, job training, subsidized employment, job retention, job enhancement, and encouraging education, including career-advancing education, dissemination of employment materials, coordination with existing employment services such as welfare-to-work programs, referrals to local employment training initiatives, and other methods.
(IV) Activities to promote responsible fatherhood that are conducted through a contract with a nationally recognized, nonprofit fatherhood promotion organization, such as the development, promotion, and distribution of a media campaign to encourage the appropriate involvement of parents in the life of any child and specifically the issue of responsible fatherhood, and the development of a national clearinghouse to assist States and communities in efforts to promote and support marriage and responsible fatherhood.
(D) Appropriation
Out of any money in the Treasury of the United States not otherwise appropriated, there are appropriated for each of fiscal years 2017 and 2018 for expenditure in accordance with this paragraph—
(i) $75,000,000 for awarding funds for the purpose of carrying out healthy marriage promotion activities; and
(ii) $75,000,000 for awarding funds for the purpose of carrying out activities promoting responsible fatherhood.
If the Secretary makes an award under subparagraph (B)(i) for fiscal year 2017 or 2018, the funds for such award shall be taken in equal portion from the amounts appropriated under clauses (i) and (ii).
(E) Preference
In awarding funds under this paragraph for fiscal year 2011, the Secretary shall give preference to entities that were awarded funds under this paragraph for any prior fiscal year and that have demonstrated the ability to successfully carry out the programs funded under this paragraph.
(3) Supplemental grant for population increases in certain States
(A) In general
Each qualifying State shall, subject to subparagraph (F), be entitled to receive from the Secretary—
(i) for fiscal year 1998 a grant in an amount equal to 2.5 percent of the total amount required to be paid to the State under former
(ii) for each of fiscal years 1999, 2000, and 2001, a grant in an amount equal to the sum of—
(I) the amount (if any) required to be paid to the State under this paragraph for the immediately preceding fiscal year; and
(II) 2.5 percent of the sum of—
(aa) the total amount required to be paid to the State under former
(bb) the amount (if any) required to be paid to the State under this paragraph for the fiscal year preceding the fiscal year for which the grant is to be made.
(B) Preservation of grant without increases for States failing to remain qualifying States
Each State that is not a qualifying State for a fiscal year specified in subparagraph (A)(ii) but was a qualifying State for a prior fiscal year shall, subject to subparagraph (F), be entitled to receive from the Secretary for the specified fiscal year, a grant in an amount equal to the amount required to be paid to the State under this paragraph for the most recent fiscal year for which the State was a qualifying State.
(C) Qualifying State
(i) In general
For purposes of this paragraph, a State is a qualifying State for a fiscal year if—
(I) the level of welfare spending per poor person by the State for the immediately preceding fiscal year is less than the national average level of State welfare spending per poor person for such preceding fiscal year; and
(II) the population growth rate of the State (as determined by the Bureau of the Census) for the most recent fiscal year for which information is available exceeds the average population growth rate for all States (as so determined) for such most recent fiscal year.
(ii) State must qualify in fiscal year 1998
Notwithstanding clause (i), a State shall not be a qualifying State for any fiscal year after 1998 by reason of clause (i) if the State is not a qualifying State for fiscal year 1998 by reason of clause (i).
(iii) Certain States deemed qualifying States
For purposes of this paragraph, a State is deemed to be a qualifying State for fiscal years 1998, 1999, 2000, and 2001 if—
(I) the level of welfare spending per poor person by the State for fiscal year 1994 is less than 35 percent of the national average level of State welfare spending per poor person for fiscal year 1994; or
(II) the population of the State increased by more than 10 percent from April 1, 1990 to July 1, 1994, according to the population estimates in publication CB94–204 of the Bureau of the Census.
(D) Definitions
As used in this paragraph:
(i) Level of welfare spending per poor person
The term "level of State welfare spending per poor person" means, with respect to a State and a fiscal year—
(I) the sum of—
(aa) the total amount required to be paid to the State under former
(bb) the amount (if any) paid to the State under this paragraph for the immediately preceding fiscal year; divided by
(II) the number of individuals, according to the 1990 decennial census, who were residents of the State and whose income was below the poverty line.
(ii) National average level of State welfare spending per poor person
The term "national average level of State welfare spending per poor person" means, with respect to a fiscal year, an amount equal to—
(I) the total amount required to be paid to the States under former
(II) the number of individuals, according to the 1990 decennial census, who were residents of any State and whose income was below the poverty line.
(iii) State
The term "State" means each of the 50 States of the United States and the District of Columbia.
(E) Appropriation
Out of any money in the Treasury of the United States not otherwise appropriated, there are appropriated for fiscal years 1998, 1999, 2000, and 2001 such sums as are necessary for grants under this paragraph, in a total amount not to exceed $800,000,000.
(F) Grants reduced pro rata if insufficient appropriations
If the amount appropriated pursuant to this paragraph for a fiscal year (or portion of a fiscal year) is less than the total amount of payments otherwise required to be made under this paragraph for the fiscal year (or portion of the fiscal year), then the amount otherwise payable to any State for the fiscal year (or portion of the fiscal year) under this paragraph shall be reduced by a percentage equal to the amount so appropriated divided by such total amount.
(G) Budget scoring
Notwithstanding
(H) Reauthorization
Notwithstanding any other provision of this paragraph—
(i) any State that was a qualifying State under this paragraph for fiscal year 2001 or any prior fiscal year shall be entitled to receive from the Secretary for each of fiscal years 2002 and 2003 a grant in an amount equal to the amount required to be paid to the State under this paragraph for the most recent fiscal year in which the State was a qualifying State;
(ii) subparagraph (G) shall be applied as if "fiscal year 2011" were substituted for "fiscal year 2001"; 1
(iii) out of any money in the Treasury of the United States not otherwise appropriated, there are appropriated for each of fiscal years 2002 and 2003 such sums as are necessary for grants under this subparagraph.
(4) Bonus to reward high performance States
(A) In general
The Secretary shall make a grant pursuant to this paragraph to each State for each bonus year for which the State is a high performing State.
(B) Amount of grant
(i) In general
Subject to clause (ii) of this subparagraph, the Secretary shall determine the amount of the grant payable under this paragraph to a high performing State for a bonus year, which shall be based on the score assigned to the State under subparagraph (D)(i) for the fiscal year that immediately precedes the bonus year.
(ii) Limitation
The amount payable to a State under this paragraph for a bonus year shall not exceed 5 percent of the State family assistance grant.
(C) Formula for measuring State performance
Not later than 1 year after August 22, 1996, the Secretary, in consultation with the National Governors' Association and the American Public Welfare Association, shall develop a formula for measuring State performance in operating the State program funded under this part so as to achieve the goals set forth in
(D) Scoring of State performance; setting of performance thresholds
For each bonus year, the Secretary shall—
(i) use the formula developed under subparagraph (C) to assign a score to each eligible State for the fiscal year that immediately precedes the bonus year; and
(ii) prescribe a performance threshold in such a manner so as to ensure that—
(I) the average annual total amount of grants to be made under this paragraph for each bonus year equals $200,000,000; and
(II) the total amount of grants to be made under this paragraph for all bonus years equals $1,000,000,000.
(E) Definitions
As used in this paragraph:
(i) Bonus year
The term "bonus year" means fiscal years 1999, 2000, 2001, 2002, and 2003.
(ii) High performing State
The term "high performing State" means, with respect to a bonus year, an eligible State whose score assigned pursuant to subparagraph (D)(i) for the fiscal year immediately preceding the bonus year equals or exceeds the performance threshold prescribed under subparagraph (D)(ii) for such preceding fiscal year.
(F) Appropriation
Out of any money in the Treasury of the United States not otherwise appropriated, there are appropriated for fiscal years 1999 through 2003 $1,000,000,000 for grants under this paragraph.
(5) Welfare-to-work grants
(A) Formula grants
(i) Entitlement
A State shall be entitled to receive from the Secretary of Labor a grant for each fiscal year specified in subparagraph (H) of this paragraph for which the State is a welfare-to-work State, in an amount that does not exceed the lesser of—
(I) 2 times the total of the expenditures by the State (excluding qualified State expenditures (as defined in
(II) the allotment of the State under clause (iii) of this subparagraph for the fiscal year.
(ii) Welfare-to-work State
A State shall be considered a welfare-to-work State for a fiscal year for purposes of this paragraph if the Secretary of Labor determines that the State meets the following requirements:
(I) The State has submitted to the Secretary of Labor and the Secretary of Health and Human Services (in the form of an addendum to the State plan submitted under
(aa) describes how, consistent with this subparagraph, the State will use any funds provided under this subparagraph during the fiscal year;
(bb) specifies the formula to be used pursuant to clause (vi) to distribute funds in the State, and describes the process by which the formula was developed;
(cc) contains evidence that the plan was developed in consultation and coordination with appropriate entitites 2 in sub-State areas;
(dd) contains assurances by the Governor of the State that the private industry council (and any alternate agency designated by the Governor under item (ee)) for a service delivery area in the State will coordinate the expenditure of any funds provided under this subparagraph for the benefit of the service delivery area with the expenditure of the funds provided to the State under paragraph (1);
(ee) if the Governor of the State desires to have an agency other than a private industry council administer the funds provided under this subparagraph for the benefit of 1 or more service delivery areas in the State, contains an application to the Secretary of Labor for a waiver of clause (vii)(I) with respect to the area or areas in order to permit an alternate agency designated by the Governor to so administer the funds; and
(ff) describes how the State will ensure that a private industry council to which information is disclosed pursuant to section 603(a)(5)(K) 3 or 654A(f)(5) of this title has procedures for safeguarding the information and for ensuring that the information is used solely for the purpose described in that section.
(II) The State has provided to the Secretary of Labor an estimate of the amount that the State intends to expend during the period permitted under subparagraph (C)(vii) of this paragraph for the expenditure of funds under the grant (excluding expenditures described in
(III) The State has agreed to negotiate in good faith with the Secretary of Health and Human Services with respect to the substance and funding of any evaluation under
(IV) The State is an eligible State for the fiscal year.
(V) The State certifies that qualified State expenditures (within the meaning of
(iii) Allotments to welfare-to-work States
(I) In general
Subject to this clause, the allotment of a welfare-to-work State for a fiscal year shall be the available amount for the fiscal year, multiplied by the State percentage for the fiscal year.
(II) Minimum allotment
The allotment of a welfare-to-work State (other than Guam, the Virgin Islands, or American Samoa) for a fiscal year shall not be less than 0.25 percent of the available amount for the fiscal year.
(III) Pro rata reduction
Subject to subclause (II), the Secretary of Labor shall make pro rata reductions in the allotments to States under this clause for a fiscal year as necessary to ensure that the total of the allotments does not exceed the available amount for the fiscal year.
(iv) Available amount
As used in this subparagraph, the term "available amount" means, for a fiscal year, the sum of—
(I) 75 percent of the sum of—
(aa) the amount specified in subparagraph (H) for the fiscal year, minus the total of the amounts reserved pursuant to subparagraphs (E), (F), and (G) for the fiscal year; and
(bb) any amount reserved pursuant to subparagraph (E) for the immediately preceding fiscal year that has not been obligated; and
(II) any available amount for the immediately preceding fiscal year that has not been obligated by a State, other than funds reserved by the State for distribution under clause (vi)(III) and funds distributed pursuant to clause (vi)(I) in any State in which the service delivery area is the State.
(v) State percentage
As used in clause (iii), the term "State percentage" means, with respect to a fiscal year, ½ of the sum of—
(I) the percentage represented by the number of individuals in the State whose income is less than the poverty line divided by the number of such individuals in the United States; and
(II) the percentage represented by the number of adults who are recipients of assistance under the State program funded under this part divided by the number of adults in the United States who are recipients of assistance under any State program funded under this part.
(vi) Procedure for distribution of funds within States
(I) Allocation formula
A State to which a grant is made under this subparagraph shall devise a formula for allocating not less than 85 percent of the amount of the grant among the service delivery areas in the State, which—
(aa) determines the amount to be allocated for the benefit of a service delivery area in proportion to the number (if any) by which the population of the area with an income that is less than the poverty line exceeds 7.5 percent of the total population of the area, relative to such number for all such areas in the State with such an excess, and accords a weight of not less than 50 percent to this factor;
(bb) may determine the amount to be allocated for the benefit of such an area in proportion to the number of adults residing in the area who have been recipients of assistance under the State program funded under this part (whether in effect before or after the amendments made by section 103(a) of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 first applied to the State) for at least 30 months (whether or not consecutive) relative to the number of such adults residing in the State; and
(cc) may determine the amount to be allocated for the benefit of such an area in proportion to the number of unemployed individuals residing in the area relative to the number of such individuals residing in the State.
(II) Distribution of funds
(aa) In general
If the amount allocated by the formula to a service delivery area is at least $100,000, the State shall distribute the amount to the entity administering the grant in the area.
(bb) Special rule
If the amount allocated by the formula to a service delivery area is less than $100,000, the sum shall be available for distribution in the State under subclause (III) during the fiscal year.
(III) Projects to help long-term recipients of assistance enter unsubsidized jobs
The Governor of a State to which a grant is made under this subparagraph may distribute not more than 15 percent of the grant funds (plus any amount required to be distributed under this subclause by reason of subclause (II)(bb)) to projects that appear likely to help long-term recipients of assistance under the State program funded under this part (whether in effect before or after the amendments made by section 103(a) of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 first applied to the State) enter unsubsidized employment.
(vii) Administration
(I) Private industry councils
The private industry council for a service delivery area in a State shall have sole authority, in coordination with the chief elected official (as defined in section 3 of the Workforce Innovation and Opportunity Act [
(II) Enforcement of coordination of expenditures with other expenditures under this part
Notwithstanding subclause (I) of this clause, on a determination by the Governor of a State that a private industry council (or an alternate agency described in clause (ii)(I)(dd)) has used funds provided under this subparagraph in a manner inconsistent with the assurances described in clause (ii)(I)(dd)—
(aa) the private industry council (or such alternate agency) shall remit the funds to the Governor; and
(bb) the Governor shall apply to the Secretary of Labor for a waiver of subclause (I) of this clause with respect to the service delivery area or areas involved in order to permit an alternate agency designated by the Governor to administer the funds in accordance with the assurances.
(III) Authority to permit use of alternate administering agency
The Secretary of Labor shall approve an application submitted under clause (ii)(I)(ee) or subclause (II)(bb) of this clause to waive subclause (I) of this clause with respect to 1 or more service delivery areas if the Secretary determines that the alternate agency designated in the application would improve the effectiveness or efficiency of the administration of amounts distributed under clause (vi)(II)(aa) for the benefit of the area or areas.
(viii) Data to be used in determining the number of adult TANF recipients
For purposes of this subparagraph, the number of adult recipients of assistance under a State program funded under this part for a fiscal year shall be determined using data for the most recent 12-month period for which such data is available before the beginning of the fiscal year.
(ix) Reversion of unallotted formula funds
If at the end of any fiscal year any funds available under this subparagraph have not been allotted due to a determination by the Secretary that any State has not met the requirements of clause (ii), such funds shall be transferred to the General Fund of the Treasury of the United States.
(B) Competitive grants
(i) In general
The Secretary of Labor shall award grants in accordance with this subparagraph, in fiscal years 1998 and 1999, for projects proposed by eligible applicants, based on the following:
(I) The effectiveness of the proposal in—
(aa) expanding the base of knowledge about programs aimed at moving recipients of assistance under State programs funded under this part who are least job ready into unsubsidized employment.4
(bb) moving recipients of assistance under State programs funded under this part who are least job ready into unsubsidized employment; and
(cc) moving recipients of assistance under State programs funded under this part who are least job ready into unsubsidized employment, even in labor markets that have a shortage of low-skill jobs.
(II) At the discretion of the Secretary of Labor, any of the following:
(aa) The history of success of the applicant in moving individuals with multiple barriers into work.
(bb) Evidence of the applicant's ability to leverage private, State, and local resources.
(cc) Use by the applicant of State and local resources beyond those required by subparagraph (A).
(dd) Plans of the applicant to coordinate with other organizations at the local and State level.
(ee) Use by the applicant of current or former recipients of assistance under a State program funded under this part as mentors, case managers, or service providers.
(ii) Eligible applicants
As used in clause (i), the term "eligible applicant" means a private industry council for a service delivery area in a State, a political subdivision of a State, or a private entity applying in conjunction with the private industry council for such a service delivery area or with such a political subdivision, that submits a proposal developed in consultation with the Governor of the State.
(iii) Determination of grant amount
In determining the amount of a grant to be made under this subparagraph for a project proposed by an applicant, the Secretary of Labor shall provide the applicant with an amount sufficient to ensure that the project has a reasonable opportunity to be successful, taking into account the number of long-term recipients of assistance under a State program funded under this part, the level of unemployment, the job opportunities and job growth, the poverty rate, and such other factors as the Secretary of Labor deems appropriate, in the area to be served by the project.
(iv) Consideration of needs of rural areas and cities with large concentrations of poverty
In making grants under this subparagraph, the Secretary of Labor shall consider the needs of rural areas and cities with large concentrations of residents with an income that is less than the poverty line.
(v) Funding
For grants under this subparagraph for each fiscal year specified in subparagraph (H), there shall be available to the Secretary of Labor an amount equal to the sum of—
(I) 25 percent of the sum of—
(aa) the amount specified in subparagraph (H) for the fiscal year, minus the total of the amounts reserved pursuant to subparagraphs (E), (F), and (G) for the fiscal year; and
(bb) any amount reserved pursuant to subparagraph (E) for the immediately preceding fiscal year that has not been obligated; and
(II) any amount available for grants under this subparagraph for the immediately preceding fiscal year that has not been obligated.
(C) Limitations on use of funds
(i) Allowable activities
An entity to which funds are provided under this paragraph shall use the funds to move individuals into and keep individuals in lasting unsubsidized employment by means of any of the following:
(I) The conduct and administration of community service or work experience programs.
(II) Job creation through public or private sector employment wage subsidies.
(III) On-the-job training.
(IV) Contracts with public or private providers of readiness, placement, and post-employment services, or if the entity is not a private industry council or workforce investment board, the direct provision of such services.
(V) Job vouchers for placement, readiness, and postemployment services.
(VI) Job retention or support services if such services are not otherwise available.
(VII) Not more than 6 months of vocational educational or job training.
Contracts or vouchers for job placement services supported by such funds must require that at least ½ of the payment occur after an eligible individual placed into the workforce has been in the workforce for 6 months.
(ii) General eligibility
An entity that operates a project with funds provided under this paragraph may expend funds provided to the project for the benefit of recipients of assistance under the program funded under this part of the State in which the entity is located who—
(I) has received assistance under the State program funded under this part (whether in effect before or after the amendments made by section 103 of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 first apply to the State) for at least 30 months (whether or not consecutive); or
(II) within 12 months, will become ineligible for assistance under the State program funded under this part by reason of a durational limit on such assistance, without regard to any exemption provided pursuant to
(iii) Noncustodial parents
An entity that operates a project with funds provided under this paragraph may use the funds to provide services in a form described in clause (i) to noncustodial parents with respect to whom the requirements of the following subclauses are met:
(I) The noncustodial parent is unemployed, underemployed, or having difficulty in paying child support obligations.
(II) At least 1 of the following applies to a minor child of the noncustodial parent (with preference in the determination of the noncustodial parents to be provided services under this paragraph to be provided by the entity to those noncustodial parents with minor children who meet, or who have custodial parents who meet, the requirements of item (aa)):
(aa) The minor child or the custodial parent of the minor child meets the requirements of subclause (I) or (II) of clause (ii).
(bb) The minor child is eligible for, or is receiving, benefits under the program funded under this part.
(cc) The minor child received benefits under the program funded under this part in the 12-month period preceding the date of the determination but no longer receives such benefits.
(dd) The minor child is eligible for, or is receiving, assistance under the Food and Nutrition Act of 2008 [
(III) In the case of a noncustodial parent who becomes enrolled in the project on or after November 29, 1999, the noncustodial parent is in compliance with the terms of an oral or written personal responsibility contract entered into among the noncustodial parent, the entity, and (unless the entity demonstrates to the Secretary that the entity is not capable of coordinating with such agency) the agency responsible for administering the State plan under part D, which was developed taking into account the employment and child support status of the noncustodial parent, which was entered into not later than 30 (or, at the option of the entity, not later than 90) days after the noncustodial parent was enrolled in the project, and which, at a minimum, includes the following:
(aa) A commitment by the noncustodial parent to cooperate, at the earliest opportunity, in the establishment of the paternity of the minor child, through voluntary acknowledgement or other procedures, and in the establishment of a child support order.
(bb) A commitment by the noncustodial parent to cooperate in the payment of child support for the minor child, which may include a modification of an existing support order to take into account the ability of the noncustodial parent to pay such support and the participation of such parent in the project.
(cc) A commitment by the noncustodial parent to participate in employment or related activities that will enable the noncustodial parent to make regular child support payments, and if the noncustodial parent has not attained 20 years of age, such related activities may include completion of high school, a general equivalency degree, or other education directly related to employment.
(dd) A description of the services to be provided under this paragraph, and a commitment by the noncustodial parent to participate in such services, that are designed to assist the noncustodial parent obtain and retain employment, increase earnings, and enhance the financial and emotional contributions to the well-being of the minor child.
In order to protect custodial parents and children who may be at risk of domestic violence, the preceding provisions of this subclause shall not be construed to affect any other provision of law requiring a custodial parent to cooperate in establishing the paternity of a child or establishing or enforcing a support order with respect to a child, or entitling a custodial parent to refuse, for good cause, to provide such cooperation as a condition of assistance or benefit under any program, shall not be construed to require such cooperation by the custodial parent as a condition of participation of either parent in the program authorized under this paragraph, and shall not be construed to require a custodial parent to cooperate with or participate in any activity under this clause. The entity operating a project under this clause with funds provided under this paragraph shall consult with domestic violence prevention and intervention organizations in the development of the project.
(iv) Targeting of hard to employ individuals with characteristics associated with long-term welfare dependence
An entity that operates a project with funds provided under this paragraph may expend not more than 30 percent of all funds provided to the project for programs that provide assistance in a form described in clause (i)—
(I) to recipients of assistance under the program funded under this part of the State in which the entity is located who have characteristics associated with long-term welfare dependence (such as school dropout, teen pregnancy, or poor work history), including, at the option of the State, by providing assistance in such form as a condition of receiving assistance under the State program funded under this part;
(II) to children—
(aa) who have attained 18 years of age but not 25 years of age; and
(bb) who, before attaining 18 years of age, were recipients of foster care maintenance payments (as defined in
(III) to recipients of assistance under the State program funded under this part, determined to have significant barriers to self-sufficiency, pursuant to criteria established by the local private industry council; or
(IV) to custodial parents with incomes below 100 percent of the poverty line (as defined in
To the extent that the entity does not expend such funds in accordance with the preceding sentence, the entity shall expend such funds in accordance with clauses (ii) and (iii) and, as appropriate, clause (v).
(v) Authority to provide work-related services to individuals who have reached the 5-year limit
An entity that operates a project with funds provided under this paragraph may use the funds to provide assistance in a form described in clause (i) of this subparagraph to, or for the benefit of, individuals who (but for
(vi) Relationship to other provisions of this part
(I) Rules governing use of funds
The rules of
(II) Rules governing payments to States
The Secretary of Labor shall carry out the functions otherwise assigned by
(III) Administration
(vii) Prohibition against use of grant funds for any other fund matching requirement
An entity to which funds are provided under this paragraph shall not use any part of the funds, nor any part of State expenditures made to match the funds, to fulfill any obligation of any State, political subdivision, or private industry council to contribute funds under subsection (b) or
(viii) Deadline for expenditure
An entity to which funds are provided under this paragraph shall remit to the Secretary of Labor any part of the funds that are not expended within 5 years after the date the funds are so provided.
(ix) Regulations
Within 90 days after August 5, 1997, the Secretary of Labor, after consultation with the Secretary of Health and Human Services and the Secretary of Housing and Urban Development, shall prescribe such regulations as may be necessary to implement this paragraph.
(x) Reporting requirements
The Secretary of Labor, in consultation with the Secretary of Health and Human Services, States, and organizations that represent State or local governments, shall establish requirements for the collection and maintenance of financial and participant information and the reporting of such information by entities carrying out activities under this paragraph.
(D) Definitions
(i) Individuals with income less than the poverty line
For purposes of this paragraph, the number of individuals with an income that is less than the poverty line shall be determined for a fiscal year—
(I) based on the methodology used by the Bureau of the Census to produce and publish intercensal poverty data for States and counties (or, in the case of Puerto Rico, the Virgin Islands, Guam, and American Samoa, other poverty data selected by the Secretary of Labor); and
(II) using data for the most recent year for which such data is available before the beginning of the fiscal year.
(ii) Private industry council
As used in this paragraph, the term "private industry council" means, with respect to a service delivery area, the private industry council or local workforce development board established for the local workforce development area pursuant to title I of the Workforce Innovation and Opportunity Act [
(iii) Service delivery area
As used in this paragraph, the term "service delivery area" shall have the meaning given such term for purposes of the Job Training Partnership Act or.5
(E) Funding for Indian tribes
1 percent of the amount specified in subparagraph (H) for fiscal year 1998 and $15,000,000 of the amount so specified for fiscal year 1999 shall be reserved for grants to Indian tribes under
(F) Funding for evaluations of welfare-to-work programs
0.6 percent of the amount specified in subparagraph (H) for fiscal year 1998 and $9,000,000 of the amount so specified for fiscal year 1999 shall be reserved for use by the Secretary to carry out
(G) Funding for evaluation of abstinence education programs
(i) In general
0.2 percent of the amount specified in subparagraph (H) for fiscal year 1998 and $3,000,000 of the amount so specified for fiscal year 1999 shall be reserved for use by the Secretary to evaluate programs under
(ii) Authority to use funds for evaluations of welfare-to-work programs
Any such amount not required for such evaluations shall be available for use by the Secretary to carry out
(iii) Deadline for outlays
Outlays from funds used pursuant to clause (i) for evaluation of programs under
(iv) Interim report
Not later than January 1, 2002, the Secretary shall submit to the Congress an interim report on the evaluations referred to in clause (i).
(H) Appropriations
(i) In general
Out of any money in the Treasury of the United States not otherwise appropriated, there are appropriated for grants under this paragraph—
(I) $1,500,000,000 for fiscal year 1998; and
(II) $1,400,000,000 for fiscal year 1999.
(ii) Availability
The amounts made available pursuant to clause (i) shall remain available for such period as is necessary to make the grants provided for in this paragraph.
(I) Worker protections
(i) Nondisplacement in work activities
(I) General prohibition
Subject to this clause, an adult in a family receiving assistance attributable to funds provided under this paragraph may fill a vacant employment position in order to engage in a work activity.
(II) Prohibition against violation of contracts
A work activity engaged in under a program operated with funds provided under this paragraph shall not violate an existing contract for services or a collective bargaining agreement, and such a work activity that would violate a collective bargaining agreement shall not be undertaken without the written concurrence of the labor organization and employer concerned.
(III) Other prohibitions
An adult participant in a work activity engaged in under a program operated with funds provided under this paragraph shall not be employed or assigned—
(aa) when any other individual is on layoff from the same or any substantially equivalent job;
(bb) if the employer has terminated the employment of any regular employee or otherwise caused an involuntary reduction in its workforce with the intention of filling the vacancy so created with the participant; or
(cc) if the employer has caused an involuntary reduction to less than full time in hours of any employee in the same or a substantially equivalent job.
(ii) Health and safety
Health and safety standards established under Federal and State law otherwise applicable to working conditions of employees shall be equally applicable to working conditions of other participants engaged in a work activity under a program operated with funds provided under this paragraph.
(iii) Nondiscrimination
In addition to the protections provided under the provisions of law specified in
(iv) Grievance procedure
(I) In general
Each State to which a grant is made under this paragraph shall establish and maintain a procedure for grievances or complaints from employees alleging violations of clause (i) and participants in work activities alleging violations of clause (i), (ii), or (iii).
(II) Hearing
The procedure shall include an opportunity for a hearing.
(III) Remedies
The procedure shall include remedies for violation of clause (i), (ii), or (iii), which may continue during the pendency of the procedure, and which may include—
(aa) suspension or termination of payments from funds provided under this paragraph;
(bb) prohibition of placement of a participant with an employer that has violated clause (i), (ii), or (iii);
(cc) where applicable, reinstatement of an employee, payment of lost wages and benefits, and reestablishment of other relevant terms, conditions and privileges of employment; and
(dd) where appropriate, other equitable relief.
(IV) Appeals
(aa) Filing
Not later than 30 days after a grievant or complainant receives an adverse decision under the procedure established pursuant to subclause (I), the grievant or complainant may appeal the decision to a State agency designated by the State which shall be independent of the State or local agency that is administering the programs operated with funds provided under this paragraph and the State agency administering, or supervising the administration of, the State program funded under this part.
(bb) Final determination
Not later than 120 days after the State agency designated under item (aa) receives a grievance or complaint made under the procedure established by a State pursuant to subclause (I), the State agency shall make a final determination on the appeal.
(v) Rule of interpretation
This subparagraph shall not be construed to affect the authority of a State to provide or require workers' compensation.
(vi) Nonpreemption of State law
The provisions of this subparagraph shall not be construed to preempt any provision of State law that affords greater protections to employees or to other participants engaged in work activities under a program funded under this part than is afforded by such provisions of this subparagraph.
(J) Information disclosure
If a State to which a grant is made under this section establishes safeguards against the use or disclosure of information about applicants or recipients of assistance under the State program funded under this part, the safeguards shall not prevent the State agency administering the program from furnishing to a private industry council the names, addresses, telephone numbers, and identifying case number information in the State program funded under this part, of noncustodial parents residing in the service delivery area of the private industry council, for the purpose of identifying and contacting noncustodial parents regarding participation in the program under this paragraph.
(b) Contingency Fund
(1) Establishment
There is hereby established in the Treasury of the United States a fund which shall be known as the "Contingency Fund for State Welfare Programs" (in this section referred to as the "Fund").
(2) Deposits into fund
Out of any money in the Treasury of the United States not otherwise appropriated, there are appropriated for fiscal year 2018 such sums as are necessary for payment to the Fund in a total amount not to exceed $608,000,000.
(3) Grants
(A) Provisional payments
If an eligible State submits to the Secretary a request for funds under this paragraph during an eligible month, the Secretary shall, subject to this paragraph, pay to the State, from amounts appropriated pursuant to paragraph (2), an amount equal to the amount of funds so requested.
(B) Payment priority
The Secretary shall make payments under subparagraph (A) in the order in which the Secretary receives requests for such payments.
(C) Limitations
(i) Monthly payment to a State
The total amount paid to a single State under subparagraph (A) during a month shall not exceed 1/12 of 20 percent of the State family assistance grant.
(ii) Payments to all States
The total amount paid to all States under subparagraph (A) during fiscal year 2011 and 2012, respectively, shall not exceed the total amount appropriated pursuant to paragraph (2) for each such fiscal year.
(4) "Eligible month" defined
As used in paragraph (3)(A), the term "eligible month" means, with respect to a State, a month in the 2-month period that begins with any month for which the State is a needy State.
(5) Needy State
For purposes of paragraph (4), a State is a needy State for a month if—
(A) the average rate of—
(i) total unemployment in such State (seasonally adjusted) for the period consisting of the most recent 3 months for which data for all States are published equals or exceeds 6.5 percent; and
(ii) total unemployment in such State (seasonally adjusted) for the 3-month period equals or exceeds 110 percent of such average rate for either (or both) of the corresponding 3-month periods ending in the 2 preceding calendar years; or
(B) as determined by the Secretary of Agriculture (in the discretion of the Secretary of Agriculture), the monthly average number of individuals (as of the last day of each month) participating in the supplemental nutrition assistance program in the State in the then most recently concluded 3-month period for which data are available exceeds by not less than 10 percent the lesser of—
(i) the monthly average number of individuals (as of the last day of each month) in the State that would have participated in the supplemental nutrition assistance program in the corresponding 3-month period in fiscal year 1994 if the amendments made by titles IV [
(ii) the monthly average number of individuals (as of the last day of each month) in the State that would have participated in the supplemental nutrition assistance program in the corresponding 3-month period in fiscal year 1995 if the amendments made by titles IV and VIII of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 had been in effect throughout fiscal year 1995.
(6) Annual reconciliation
(A) In general
Notwithstanding paragraph (3), if the Secretary makes a payment to a State under this subsection in a fiscal year, then the State shall remit to the Secretary, within 1 year after the end of the first subsequent period of 3 consecutive months for which the State is not a needy State, an amount equal to the amount (if any) by which—
(i) the total amount paid to the State under paragraph (3) of this subsection in the fiscal year; exceeds
(ii) the product of—
(I) the Federal medical assistance percentage for the State (as defined in
(II) the State's reimbursable expenditures for the fiscal year; and
(III) 1/12 times the number of months during the fiscal year for which the Secretary made a payment to the State under such paragraph (3).
(B) Definitions
As used in subparagraph (A):
(i) Reimbursable expenditures
The term "reimbursable expenditures" means, with respect to a State and a fiscal year, the amount (if any) by which—
(I) countable State expenditures for the fiscal year; exceeds
(II) historic State expenditures (as defined in
(ii) Countable State expenditures
The term "countable expenditures" means, with respect to a State and a fiscal year—
(I) the qualified State expenditures (as defined in
(II) any amount paid to the State under paragraph (3) during the fiscal year that is expended by the State under the State program funded under this part.
(C) Adjustment of State remittances
(i) In general
The amount otherwise required by subparagraph (A) to be remitted by a State for a fiscal year shall be increased by the lesser of—
(I) the total adjustment for the fiscal year, multiplied by the adjustment percentage for the State for the fiscal year; or
(II) the unadjusted net payment to the State for the fiscal year.
(ii) Total adjustment
As used in clause (i), the term "total adjustment" means—
(I) in the case of fiscal year 1998, $2,000,000;
(II) in the case of fiscal year 1999, $9,000,000;
(III) in the case of fiscal year 2000, $16,000,000; and
(IV) in the case of fiscal year 2001, $13,000,000.
(iii) Adjustment percentage
As used in clause (i), the term "adjustment percentage" means, with respect to a State and a fiscal year—
(I) the unadjusted net payment to the State for the fiscal year; divided by
(II) the sum of the unadjusted net payments to all States for the fiscal year.
(iv) Unadjusted net payment
As used in this subparagraph, the term, "unadjusted net payment" means with respect to a State and a fiscal year—
(I) the total amount paid to the State under paragraph (3) in the fiscal year; minus
(II) the amount that, in the absence of this subparagraph, would be required by subparagraph (A) or by
(7) "State" defined
As used in this subsection, the term "State" means each of the 50 States and the District of Columbia.
(8) Annual reports
The Secretary shall annually report to the Congress on the status of the Fund.
(c) Pandemic emergency assistance
(1) Appropriation
In addition to amounts otherwise available, there is appropriated for fiscal year 2021, out of any money in the Treasury of the United States not otherwise appropriated, $1,000,000,000, to remain available until expended, to carry out this subsection.
(2) Reservation of funds for technical assistance
Of the amount specified in paragraph (1), the Secretary shall reserve $2,000,000 for administrative expenses and the provision of technical assistance to States and Indian tribes with respect to the use of funds provided under this subsection.
(3) Allotments
(A) 50 States and the District of Columbia
(i) Total amount to be allotted
The Secretary shall allot a total of 92.5 percent of the amount specified in paragraph (1) that is not reserved under paragraph (2) among the States that are not a territory and that are operating a program funded under this part, in accordance with clause (ii) of this subparagraph.
(ii) Allotment formula
The Secretary shall allot to each such State the sum of the following percentages of the total amount described in clause (i):
(I) 50 percent, multiplied by—
(aa) the population of children in the State, determined on the basis of the most recent population estimates as determined by the Bureau of the Census; divided by
(bb) the total population of children in the States that are not territories, as so determined; plus
(II) 50 percent, multiplied by—
(aa) the total amount expended by the State for basic assistance, non-recurrent short term benefits, and emergency assistance in fiscal year 2019, as reported by the State under
(bb) the total amount expended by the States that are not territories for basic assistance, non-recurrent short term benefits, and emergency assistance in fiscal year 2019, as so reported by the States.
(B) Territories and Indian Tribes
The Secretary shall allot among the territories and Indian tribes otherwise eligible for a grant under this part such portions of 7.5 percent of the amount specified in paragraph (1) that are not reserved under paragraph (2) as the Secretary deems appropriate based on the needs of the territory or Indian tribe involved.
(C) Expenditure commitment requirement
To receive the full amount of funding payable under this subsection, a State or Indian tribe shall inform the Secretary as to whether it intends to use all of its allotment under this paragraph and provide that information—
(i) in the case of a State that is not a territory, within 45 days after March 11, 2021; or
(ii) in the case of a territory or an Indian tribe, within 90 days after such date.
(4) Grants
(A) In general
The Secretary shall provide funds to each State and Indian tribe to which an amount is allotted under paragraph (3), from the amount so allotted.
(B) Treatment of unused funds
(i) Reallotment
The Secretary shall reallot in accordance with paragraph (3) all funds provided to any State or Indian tribe under this subsection that are unused, among the other States and Indian tribes eligible for funds under this subsection. For purposes of paragraph (3), the Secretary shall treat the funds as if included in the amount specified in paragraph (1).
(ii) Provision
The Secretary shall provide funds to each such other State or Indian tribe in an amount equal to the amount so reallotted.
(5) Recipient of funds provided for territories
In the case of a territory not operating a program funded under this part, the Secretary shall provide the funds required to be provided to the territory under this subsection, to the agency that administers the bulk of local human services programs in the territory.
(6) Use of funds
(A) In general
A State or Indian tribe to which funds are provided under this subsection may use the funds only for non-recurrent short term benefits, whether in the form of cash or in other forms.
(B) Limitation on use for administrative expenses
A State to which funds are provided under this subsection shall not expend more than 15 percent of the funds for administrative purposes.
(C) Nonsupplantation
Funds provided under this subsection shall be used to supplement and not supplant other Federal, State, or tribal funds for services and activities that promote the purposes of this part.
(D) Expenditure deadline
(i) In general
Except as provided in clause (ii), a State or Indian tribe to which funds are provided under this subsection shall expend the funds not later than the end of fiscal year 2022.
(ii) Exception for reallotted funds
A State or Indian tribe to which funds are provided under paragraph (4)(B) shall expend the funds within 12 months after receipt.
(7) Suspension of territory spending cap
(8) Definitions
In this subsection:
(A) Applicable period
The term "applicable period" means the period that begins with April 1, 2021, and ends with September 30, 2022.
(B) Non-recurrent short term benefits
The term "non-recurrent short term benefits" has the meaning given the term in OMB approved Form ACF–196R, published on July 31, 2014.
(C) State
The term "State" means the 50 States of the United States, the District of Columbia, and the territories.
(D) Territory
The term "territory" means the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands.
(Aug. 14, 1935, ch. 531, title IV, §403, as added
Editorial Notes
References in Text
Section 103 of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, referred to in subsec. (a)(5)(A)(vi)(I)(bb), (III), (C)(ii)(I), is section 103 of
The Food and Nutrition Act of 2008, referred to in subsec. (a)(5)(C)(iii)(II)(dd), is
The Workforce Innovation and Opportunity Act, referred to in subsec. (a)(5)(D)(ii), is
The Job Training Partnership Act, referred to in subsec. (a)(5)(D)(iii), is
The Personal Responsibility and Work Opportunity Reconciliation Act of 1996, referred to in subsec. (b)(5)(B), is
Codification
Prior Provisions
A prior section 603, acts Aug. 14, 1935, ch. 531, title IV, §403,
Amendments
2021—Subsec. (c).
2017—Subsec. (a)(1)(A).
Subsec. (a)(1)(B).
Subsec. (a)(1)(C).
Subsec. (a)(2)(D).
Subsec. (b)(2).
2014—Subsec. (a)(5)(A)(vii)(I).
Subsec. (a)(5)(D)(ii).
2013—Subsec. (b)(2).
2012—Subsec. (a)(1)(A).
Subsec. (a)(1)(B).
Subsec. (a)(1)(C).
Subsec. (a)(2)(D).
2010—Subsec. (a)(2)(A)(i).
Subsec. (a)(2)(A)(ii).
Subsec. (a)(2)(A)(iii)(III).
Subsec. (a)(2)(C)(i).
Subsec. (a)(2)(D), (E).
Subsec. (a)(3)(F).
Subsec. (a)(3)(H)(ii).
Subsec. (b)(2).
Subsec. (b)(3)(C)(ii).
2009—Subsec. (a)(3)(H)(ii).
Subsec. (c).
2008—Subsec. (a)(3)(H)(ii).
Subsec. (a)(5)(C)(iii)(II)(dd).
Subsec. (b)(5)(B).
2006—Subsec. (a)(2).
Subsec. (a)(3)(H)(ii).
Subsec. (b)(3)(C)(ii).
2005—Subsec. (a)(3)(H)(ii).
Subsec. (b)(3)(C)(ii).
2004—Subsec. (a)(3)(H)(ii).
Subsec. (b)(3)(C)(ii).
2003—Subsec. (a)(1)(A).
Subsec. (a)(1)(B) to (E).
Subsec. (a)(2)(C)(ii).
Subsec. (a)(2)(D).
Subsec. (a)(3)(H).
Subsec. (a)(3)(H)(i).
Subsec. (a)(3)(H)(ii).
Subsec. (a)(3)(H)(iii).
Subsec. (b)(2).
Subsec. (b)(3)(C)(ii).
2002—Subsec. (a)(3)(H).
Subsec. (b)(2).
Subsec. (b)(3)(C)(ii).
2000—Subsec. (a)(5)(A)(i).
Subsec. (a)(5)(A)(iv)(I)(aa).
Subsec. (a)(5)(A)(iv)(I)(bb).
Subsec. (a)(5)(B)(v).
Subsec. (a)(5)(B)(v)(I)(aa).
Subsec. (a)(5)(B)(v)(I)(bb).
Subsec. (a)(5)(C)(viii).
Subsec. (a)(5)(E).
Subsec. (a)(5)(F).
Subsec. (a)(5)(G).
Subsec. (a)(5)(H).
Subsec. (a)(5)(I) to (K).
1999—Subsec. (a)(5)(A)(ii)(I)(ff).
Subsec. (a)(5)(C)(i)(IV).
Subsec. (a)(5)(C)(i)(VII).
Subsec. (a)(5)(C)(ii).
Subsec. (a)(5)(C)(iii).
Subsec. (a)(5)(C)(iv).
"(aa) who are noncustodial parents of minors whose custodial parent is such a recipient; and
"(bb) who have such characteristics."
Subsec. (a)(5)(C)(v) to (ix).
Subsec. (a)(5)(C)(x).
Subsec. (a)(5)(E)(i).
Subsec. (a)(5)(E)(iv)(I)(bb), (vi).
Subsec. (a)(5)(F).
Subsec. (a)(5)(G).
Subsec. (a)(5)(H)(i).
Subsec. (a)(5)(I)(i).
Subsec. (a)(5)(K).
1998—Subsec. (a)(5)(A)(iv)(II).
Subsec. (a)(5)(A)(vii)(I).
Subsec. (a)(5)(A)(ix).
Subsec. (a)(5)(C)(ii).
Subsec. (a)(5)(C)(ii)(I).
Subsec. (a)(5)(C)(ii)(II).
Subsec. (a)(5)(D)(ii).
Subsec. (a)(5)(D)(iii).
1997—
Subsec. (a)(2).
Subsec. (a)(2)(A).
Subsec. (a)(2)(B).
"(i)
"(ii)
Subsec. (a)(2)(C)(i)(I)(aa).
Subsec. (a)(2)(C)(i)(I)(bb).
Subsec. (a)(2)(C)(i)(II).
Subsec. (a)(2)(C)(i)(II)(aa).
Subsec. (a)(2)(C)(ii).
Subsec. (a)(2)(C)(iii).
Subsec. (a)(3)(C)(ii).
Subsec. (a)(5).
Subsec. (a)(5)(A)(i)(I), (ii)(II).
Subsec. (b)(2).
Subsec. (b)(4), (5).
Subsec. (b)(6).
Subsec. (b)(6)(C).
Subsec. (b)(7).
"(A)
"(B)
1996—Subsec. (b)(4)(A)(i)(II).
Subsec. (b)(4)(A)(ii)(I).
Statutory Notes and Related Subsidiaries
Effective Date of 2014 Amendment
Amendment by
Effective Date of 2012 Amendment
Effective Date of 2009 Amendment; Savings Provision
Effective Date of 2008 Amendment
Amendment of this section and repeal of
Amendment by section 4002(b)(1)(A), (B), (2)(V) of
Effective Date of 2006 Amendment
Effective Date of 2003 Amendment
Effective Date of 2000 Amendment
Effective Date of 1999 Amendment
"(1) shall be effective January 1, 2000, with respect to the determination of eligible individuals for purposes of section 403(a)(5)(B) of the Social Security Act [
"(2) shall be effective July 1, 2000, except that expenditures from allotments to the States shall not be made before October 1, 2000—
"(A) with respect to the determination of eligible individuals for purposes of section 403(a)(5)(A) of the Social Security Act [
"(B) for allowable activities described in section 403(a)(5)(C)(i)(VII) of the Social Security Act [
Effective Date of 1998 Amendments
Amendment by section 101(f) [title VIII, §405(d)(30)] of
Effective Date of 1997 Amendments
Amendment by
Amendment by section 5502 of
Amendment by section 5514(c) of
Effective Date of 1996 Amendment
Effective Date
Subsec. (a)(1)(C), (D) of this section effective Oct. 1, 1996, and remainder of this section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
Regulations
1 So in original. Probably should be followed by "and".
2 So in original. Probably should be "entities".
3 See References in Text note below.
4 So in original. The period probably should be a semicolon.
§603a. Transferred
Editorial Notes
Codification
Section,
§604. Use of grants
(a) General rules
Subject to this part, a State to which a grant is made under
(1) in any manner that is reasonably calculated to accomplish the purpose of this part, including to provide low income households with assistance in meeting home heating and cooling costs; or
(2) in any manner that the State was authorized to use amounts received under part A or F, as such parts were in effect on September 30, 1995, or (at the option of the State) August 21, 1996.
(b) Limitation on use of grant for administrative purposes
(1) Limitation
A State to which a grant is made under
(2) Exception
Paragraph (1) shall not apply to the use of a grant for information technology and computerization needed for tracking or monitoring required by or under this part.
(c) Authority to treat interstate immigrants under rules of former State
A State operating a program funded under this part may apply to a family the rules (including benefit amounts) of the program funded under this part of another State if the family has moved to the State from the other State and has resided in the State for less than 12 months.
(d) Authority to use portion of grant for other purposes
(1) In general
Subject to paragraph (2), a State may use not more than 30 percent of the amount of any grant made to the State under
(A) Division A of subchapter XX of this chapter.
(B) The Child Care and Development Block Grant Act of 1990 [
(2) Limitation on amount transferable to division A 1 of subchapter XX programs
(A) In general
A State may use not more than the applicable percent of the amount of any grant made to the State under
(B) Applicable percent
For purposes of subparagraph (A), the applicable percent is 4.25 percent in the case of fiscal year 2001 and each succeeding fiscal year.
(3) Applicable rules
(A) In general
Except as provided in subparagraph (B) of this paragraph, any amount paid to a State under this part that is used to carry out a State program pursuant to a provision of law specified in paragraph (1) shall not be subject to the requirements of this part, but shall be subject to the requirements that apply to Federal funds provided directly under the provision of law to carry out the program, and the expenditure of any amount so used shall not be considered to be an expenditure under this part.
(B) Exception relating to division A 1 of subchapter XX programs
All amounts paid to a State under this part that are used to carry out State programs pursuant to division A 1 of subchapter XX shall be used only for programs and services to children or their families whose income is less than 200 percent of the income official poverty line (as defined by the Office of Management and Budget, and revised annually in accordance with
(e) Authority to carry over certain amounts for benefits or services or for future contingencies
A State or tribe may use a grant made to the State or tribe under this part for any fiscal year to provide, without fiscal year limitation, any benefit or service that may be provided under the State or tribal program funded under this part.
(f) Authority to operate employment placement program
A State to which a grant is made under
(g) Implementation of electronic benefit transfer system
A State to which a grant is made under
(h) Use of funds for individual development accounts
(1) In general
A State to which a grant is made under
(2) Individual development accounts
(A) Establishment
Under a State program carried out under paragraph (1), an individual development account may be established by or on behalf of an individual eligible for assistance under the State program operated under this part for the purpose of enabling the individual to accumulate funds for a qualified purpose described in subparagraph (B).
(B) Qualified purpose
A qualified purpose described in this subparagraph is 1 or more of the following, as provided by the qualified entity providing assistance to the individual under this subsection:
(i) Postsecondary educational expenses
Postsecondary educational expenses paid from an individual development account directly to an eligible educational institution.
(ii) First home purchase
Qualified acquisition costs with respect to a qualified principal residence for a qualified first-time homebuyer, if paid from an individual development account directly to the persons to whom the amounts are due.
(iii) Business capitalization
Amounts paid from an individual development account directly to a business capitalization account which is established in a federally insured financial institution and is restricted to use solely for qualified business capitalization expenses.
(C) Contributions to be from earned income
An individual may only contribute to an individual development account such amounts as are derived from earned income, as defined in section 911(d)(2) of the Internal Revenue Code of 1986.
(D) Withdrawal of funds
The Secretary shall establish such regulations as may be necessary to ensure that funds held in an individual development account are not withdrawn except for 1 or more of the qualified purposes described in subparagraph (B).
(3) Requirements
(A) In general
An individual development account established under this subsection shall be a trust created or organized in the United States and funded through periodic contributions by the establishing individual and matched by or through a qualified entity for a qualified purpose (as described in paragraph (2)(B)).
(B) "Qualified entity" defined
As used in this subsection, the term "qualified entity" means—
(i) a not-for-profit organization described in section 501(c)(3) of the Internal Revenue Code of 1986 and exempt from taxation under section 501(a) of such Code; or
(ii) a State or local government agency acting in cooperation with an organization described in clause (i).
(4) No reduction in benefits
Notwithstanding any other provision of Federal law (other than the Internal Revenue Code of 1986) that requires consideration of 1 or more financial circumstances of an individual, for the purpose of determining eligibility to receive, or the amount of, any assistance or benefit authorized by such law to be provided to or for the benefit of such individual, funds (including interest accruing) in an individual development account under this subsection shall be disregarded for such purpose with respect to any period during which such individual maintains or makes contributions into such an account.
(5) Definitions
As used in this subsection—
(A) Eligible educational institution
The term "eligible educational institution" means the following:
(i) An institution described in
(ii) An area vocational education school (as defined in subparagraph (C) or (D) of
(B) Post-secondary educational expenses
The term "post-secondary educational expenses" means—
(i) tuition and fees required for the enrollment or attendance of a student at an eligible educational institution, and
(ii) fees, books, supplies, and equipment required for courses of instruction at an eligible educational institution.
(C) Qualified acquisition costs
The term "qualified acquisition costs" means the costs of acquiring, constructing, or reconstructing a residence. The term includes any usual or reasonable settlement, financing, or other closing costs.
(D) Qualified business
The term "qualified business" means any business that does not contravene any law or public policy (as determined by the Secretary).
(E) Qualified business capitalization expenses
The term "qualified business capitalization expenses" means qualified expenditures for the capitalization of a qualified business pursuant to a qualified plan.
(F) Qualified expenditures
The term "qualified expenditures" means expenditures included in a qualified plan, including capital, plant, equipment, working capital, and inventory expenses.
(G) Qualified first-time homebuyer
(i) In general
The term "qualified first-time homebuyer" means a taxpayer (and, if married, the taxpayer's spouse) who has no present ownership interest in a principal residence during the 3-year period ending on the date of acquisition of the principal residence to which this subsection applies.
(ii) Date of acquisition
The term "date of acquisition" means the date on which a binding contract to acquire, construct, or reconstruct the principal residence to which this subparagraph applies is entered into.
(H) Qualified plan
The term "qualified plan" means a business plan which—
(i) is approved by a financial institution, or by a nonprofit loan fund having demonstrated fiduciary integrity,
(ii) includes a description of services or goods to be sold, a marketing plan, and projected financial statements, and
(iii) may require the eligible individual to obtain the assistance of an experienced entrepreneurial advisor.
(I) Qualified principal residence
The term "qualified principal residence" means a principal residence (within the meaning of section 1034 of the Internal Revenue Code of 1986), the qualified acquisition costs of which do not exceed 100 percent of the average area purchase price applicable to such residence (determined in accordance with paragraphs (2) and (3) of section 143(e) of such Code).
(i) Sanction welfare recipients for failing to ensure that minor dependent children attend school
A State to which a grant is made under
(j) Requirement for high school diploma or equivalent
A State to which a grant is made under
(k) Limitations on use of grant for matching under certain Federal transportation program
(1) Use limitations
A State to which a grant is made under
(A) the grant is used for new or expanded transportation services (and not for construction) that benefit individuals described in subparagraph (C), and not to subsidize current operating costs;
(B) the grant is used to supplement and not supplant other State expenditures on transportation;
(C) the preponderance of the benefits derived from such use of the grant accrues to individuals who are—
(i) recipients of assistance under the State program funded under this part;
(ii) former recipients of such assistance;
(iii) noncustodial parents who are described in
(iv) low-income individuals who are at risk of qualifying for such assistance; and
(D) the services provided through such use of the grant promote the ability of such recipients to engage in work activities (as defined in
(2) Amount limitation
From a grant made to a State under
(3) Rule of interpretation
The provision by a State of a transportation benefit under a program conducted under section 3037 of the Transportation Equity Act for the 21st Century, to an individual who is not otherwise a recipient of assistance under the State program funded under this part, using funds from a grant made under
(Aug. 14, 1935, ch. 531, title IV, §404, as added
Editorial Notes
References in Text
Part F, referred to in subsec. (a)(2), was classified to
The Child Care and Development Block Grant Act of 1990, referred to in subsec. (d)(1)(B), is subchapter C (§658A et seq.) of
Division A of subchapter XX, referred to in subsec. (d)(2), (3)(B), was in the original a reference to subtitle 1 of title XX, which was translated as if referring to subtitle A of title XX of the Social Security Act, to reflect the probable intent of Congress. Title XX of the Act, enacting subchapter XX of this chapter, does not contain a subtitle 1.
The Internal Revenue Code of 1986, referred to in subsec. (h)(2)(C), (3)(B)(i), (4), (5)(I), is classified generally to Title 26, Internal Revenue Code.
Section 3037 of the Transportation Equity Act for the 21st Century, referred to in subsec. (k)(1), (3), is section 3037 of
Codification
Prior Provisions
A prior section 604, acts Aug. 14, 1935, ch. 531, title IV, §404,
Amendments
2012—Subsec. (d)(1)(A).
2010—Subsec. (d)(1)(A).
Subsec. (d)(2).
Subsec. (d)(2)(A).
Subsec. (d)(3)(B).
2009—Subsec. (e).
2008—Subsecs. (i), (j).
1999—Subsec. (e).
Subsec. (k)(1)(C)(iii).
1998—Subsec. (d)(2).
Subsec. (k).
1997—
Subsec. (a)(2).
Subsec. (d)(1).
Subsec. (d)(2).
Statutory Notes and Related Subsidiaries
Effective Date of 2008 Amendment
Amendment of this section and repeal of
Amendment by sections 4002(b)(1)(A), (B), (2)(V) and 4115(c)(2)(G) of
Effective Date of 1999 Amendments
For effective date of amendment by
Effective Date of 1998 Amendment
Effective Date of 1997 Amendment
Amendment by section 5503 of
Amendment by section 5514(c) of
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
Assets for Independence
"SEC. 401. SHORT TITLE.
"This title may be cited as the 'Assets for Independence Act'.
"SEC. 402. FINDINGS.
"Congress makes the following findings:
"(1) Economic well-being does not come solely from income, spending, and consumption, but also requires savings, investment, and accumulation of assets because assets can improve economic independence and stability, connect individuals with a viable and hopeful future, stimulate development of human and other capital, and enhance the welfare of offspring.
"(2) Fully ½ of all Americans have either no, negligible, or negative assets available for investment, just as the price of entry to the economic mainstream, the cost of a house, an adequate education, and starting a business, is increasing. Further, the household savings rate of the United States lags far behind other industrial nations, presenting a barrier to economic growth.
"(3) In the current tight fiscal environment, the United States should invest existing resources in high-yield initiatives. There is reason to believe that the financial returns, including increased income, tax revenue, and decreased welfare cash assistance, resulting from individual development accounts will far exceed the cost of investment in those accounts.
"(4) Traditional public assistance programs concentrating on income and consumption have rarely been successful in promoting and supporting the transition to increased economic self-sufficiency. Income-based domestic policy should be complemented with asset-based policy because, while income-based policies ensure that consumption needs (including food, child care, rent, clothing, and health care) are met, asset-based policies provide the means to achieve greater independence and economic well-being.
"SEC. 403. PURPOSES.
"The purposes of this title are to provide for the establishment of demonstration projects designed to determine—
"(1) the social, civic, psychological, and economic effects of providing to individuals and families with limited means an incentive to accumulate assets by saving a portion of their earned income;
"(2) the extent to which an asset-based policy that promotes saving for postsecondary education, homeownership, and microenterprise development may be used to enable individuals and families with limited means to increase their economic self-sufficiency; and
"(3) the extent to which an asset-based policy stabilizes and improves families and the community in which the families live.
"SEC. 404. DEFINITIONS.
"In this title:
"(1)
"(2)
"(3)
"(A) is a withdrawal of only those funds, or a portion of those funds, deposited by the individual in the individual development account of the individual;
"(B) is permitted by a qualified entity on a case-by-case basis; and
"(C) is made for—
"(i) expenses for medical care or necessary to obtain medical care, for the individual or a spouse or dependent of the individual described in paragraph (8)(D);
"(ii) payments necessary to prevent the eviction of the individual from the residence of the individual, or foreclosure on the mortgage for the principal residence of the individual, as defined in paragraph (8)(B); or
"(iii) payments necessary to enable the individual to meet necessary living expenses following loss of employment.
"(4)
"(5)
"(A)
"(i) No contribution will be accepted unless the contribution is in cash or by check.
"(ii) The trustee is a federally insured financial institution, or a State insured financial institution if no federally insured financial institution is available.
"(iii) The assets of the trust will be invested in accordance with the direction of the eligible individual after consultation with the qualified entity providing deposits for the individual under section 410.
"(iv) The assets of the trust will not be commingled with other property except in a common trust fund or common investment fund.
"(v) Except as provided in clause (vi), any amount in the trust that is attributable to a deposit provided under section 410 may be paid or distributed out of the trust only for the purpose of paying the qualified expenses of the eligible individual.
"(vi) Any balance in the trust on the day after the date on which the individual for whose benefit the trust is established dies shall be distributed within 30 days of that date as directed by that individual to another individual development account established for the benefit of an eligible individual.
"(B)
"(6)
"(7)
"(A)
"(i) one or more not-for-profit organizations described in section 501(c)(3) of the Internal Revenue Code of 1986 [
"(ii) a State or local government agency, or a tribal government, submitting an application under section 405 jointly with an organization described in clause (i); or
(iii) an entity that—
(I) is—
(aa) a credit union designated as a low-income credit union by the National Credit Union Administration (NCUA); or
(bb) an organization designated as a community development financial institution by the Secretary of the Treasury (or the Community Development Financial Institutions Fund); and
(II) can demonstrate a collaborative relationship with a local community-based organization whose activities are designed to address poverty in the community and the needs of community members for economic independence and stability.
"(B)
"(8)
"(A)
"(i)
"(I)
"(II)
"(ii)
"(I)
"(II)
"(B)
"(i)
"(ii)
"(iii)
"(I)
"(II)
"(C)
"(i)
"(ii)
"(iii)
"(iv)
"(I) is approved by a financial institution, a microenterprise development organization, or a nonprofit loan fund having demonstrated fiduciary integrity;
"(II) includes a description of services or goods to be sold, a marketing plan, and projected financial statements; and
"(III) may require the eligible individual to obtain the assistance of an experienced entrepreneurial adviser.
"(D)
"(i) the individual's spouse; or
"(ii) any dependent of the individual with respect to whom the individual is allowed a deduction under section 151 of the Internal Revenue Code of 1986 [
"(9)
"(10)
"(11)
"SEC. 405. APPLICATIONS.
"(a)
"(b)
"(c)
"(1)
"(2)
"(3)
"(4)
"(5)
"(6)
"(d)
"(1) demonstrates the willingness and ability to select individuals described in section 408 who are predominantly from households in which a child (or children) is living with the child's biological or adoptive mother or father, or with the child's legal guardian;
"(2) provides a commitment of non-Federal funds with a proportionately greater amount of such funds committed from private sector sources; and
"(3) targets such individuals residing within one or more relatively well-defined neighborhoods or communities (including rural communities) that experience high rates of poverty or unemployment.
"(e)
"(f)
"(1) such entity demonstrates the ability to carry out such responsibility; and
"(2) the Secretary can demonstrate that such responsibility would not be carried out by the Secretary at a lower cost.
"(g)
"SEC. 406. DEMONSTRATION AUTHORITY; ANNUAL GRANTS.
"(a)
"(b)
"(1) the aggregate amount of funds committed as matching contributions from non-Federal public or private sector sources; or
"(2) $1,000,000.
"SEC. 407. RESERVE FUND.
"(a)
"(b)
"(1)
"(A) all funds provided to the qualified entity from any public or private source in connection with the demonstration project; and
"(B) the proceeds from any investment made under subsection (c)(2).
"(2)
"(c)
"(1)
"(A) assist participants in the demonstration project in obtaining the skills (including economic literacy, budgeting, credit, and counseling skills) and information necessary to achieve economic self-sufficiency through activities requiring qualified expenses;
"(B) provide deposits in accordance with section 410 for individuals selected by the qualified entity to participate in the demonstration project;
"(C) administer the demonstration project; and
"(D) provide the research organization evaluating the demonstration project under section 414 with such information with respect to the demonstration project as may be required for the evaluation.
"(2)
"(A)
"(B)
"(3)
"(d)
"(1) the amounts in its Reserve Fund at the time of the termination; multiplied by
"(2) a percentage equal to—
"(A) the aggregate amount of grants made to the qualified entity under section 406(b); divided by
"(B) the aggregate amount of all funds provided to the qualified entity from all sources to conduct the project.
"SEC. 408. ELIGIBILITY FOR PARTICIPATION.
"(a)
"(1)
"(2)
"(A)
"(B)
"(i) the aggregate market value of all assets that are owned in whole or in part by any member of the household; minus
"(ii) the obligations or debts of any member of the household.
"(C)
"(b)
"SEC. 409. SELECTION OF INDIVIDUALS TO PARTICIPATE.
"From among the individuals eligible to participate in a demonstration project conducted under this title, each qualified entity shall select the individuals—
"(1) that the qualified entity determines to be best suited to participate; and
"(2) to whom the qualified entity will provide deposits in accordance with section 410.
"SEC. 410. DEPOSITS BY QUALIFIED ENTITIES.
"(a)
"(1) from the non-Federal funds described in section 405(c)(4), a matching contribution of not less than $0.50 and not more than $4 for every $1 of earned income (as defined in section 911(d)(2) of the Internal Revenue Code of 1986 [
"(2) from the grant made under section 406(b), an amount equal to the matching contribution made under paragraph (1); and
"(3) any interest that has accrued on amounts deposited under paragraph (1) or (2) on behalf of that individual into the individual development account of the individual or into a parallel account maintained by the qualified entity.
"(b)
"(c)
"(d)
"(e)
"SEC. 411. LOCAL CONTROL OVER DEMONSTRATION PROJECTS.
"A qualified entity under this title, other than a State or local government agency or a tribal government, shall, subject to the provisions of section 413, have sole authority over the administration of the project. The Secretary may prescribe only such regulations or guidelines with respect to demonstration projects conducted under this title as are necessary to ensure compliance with the approved applications and the requirements of this title.
"SEC. 412. ANNUAL PROGRESS REPORTS.
"(a)
"(1) The number and characteristics of individuals making a deposit into an individual development account.
"(2) The amounts in the Reserve Fund established with respect to the project.
"(3) The amounts deposited in the individual development accounts.
"(4) The amounts withdrawn from the individual development accounts and the purposes for which such amounts were withdrawn.
"(5) The balances remaining in the individual development accounts.
"(6) The savings account characteristics (such as threshold amounts and match rates) required to stimulate participation in the demonstration project, and how such characteristics vary among different populations or communities.
"(7) What service configurations of the qualified entity (such as configurations relating to peer support, structured planning exercises, mentoring, and case management) increased the rate and consistency of participation in the demonstration project and how such configurations varied among different populations or communities.
"(8) Such other information as the Secretary may require to evaluate the demonstration project.
"(b)
"(1) the Secretary; and
"(2) the Treasurer (or equivalent official) of the State in which the project is conducted, if the State or a local government or a tribal government committed funds to the demonstration project.
"(c)
"SEC. 413. SANCTIONS.
"(a)
"(b)
"(1) shall suspend the demonstration project;
"(2) shall take control of the Reserve Fund established pursuant to section 407;
"(3) shall make every effort to identify another qualified entity (or entities) willing and able to conduct the project in accordance with the approved application (or, if modification is necessary to incorporate the recommendations, the application as modified) and the requirements of this title;
"(4) shall, if the Secretary identifies an entity (or entities) described in paragraph (3)—
"(A) authorize the entity (or entities) to conduct the project in accordance with the approved application (or, if modification is necessary to incorporate the recommendations, the application as modified) and the requirements of this title;
"(B) transfer to the entity (or entities) control over the Reserve Fund established pursuant to section 407; and
"(C) consider, for purposes of this title—
"(i) such other entity (or entities) to be the qualified entity (or entities) originally authorized to conduct the demonstration project; and
"(ii) the date of such authorization to be the date of the original authorization; and
"(5) if, by the end of the 1-year period beginning on the date of the termination, the Secretary has not found a qualified entity (or entities) described in paragraph (3), shall—
"(A) terminate the project; and
"(B) from the amount remaining in the Reserve Fund established as part of the project, remit to each source that provided funds under section 405(c)(4) to the entity originally authorized to conduct the project, an amount that bears the same ratio to the amount so remaining as the amount provided from the source under section 405(c)(4) bears to the amount provided from all such sources under that section.
"SEC. 414. EVALUATIONS.
"(a)
"(b)
"(1) The effects of incentives and organizational or institutional support on savings behavior in the demonstration project.
"(2) The savings rates of individuals in the demonstration project based on demographic characteristics including gender, age, family size, race or ethnic background, and income.
"(3) The economic, civic, psychological, and social effects of asset accumulation, and how such effects vary among different populations or communities.
"(4) The effects of individual development accounts on savings rates, homeownership, level of postsecondary education attained, and self-employment, and how such effects vary among different populations or communities.
"(5) The potential financial returns to the Federal Government and to other public sector and private sector investors in individual development accounts over a 5-year and 10-year period of time.
"(6) The lessons to be learned from the demonstration projects conducted under this title and if a permanent program of individual development accounts should be established.
"(7) Such other factors as may be prescribed by the Secretary.
"(c)
"(1) for at least one site, use control groups to compare participants with nonparticipants;
"(2) before, during, and after the project, obtain such quantitative data as are necessary to evaluate the project thoroughly; and
"(3) develop a qualitative assessment, derived from sources such as in-depth interviews, of how asset accumulation affects individuals and families.
"(d)
"(1)
"(2)
"(e)
"SEC. 415. NO REDUCTION IN BENEFITS.
"Notwithstanding any other provision of Federal law (other than the Internal Revenue Code of 1986 [
"SEC. 416. AUTHORIZATION OF APPROPRIATIONS.
"There is authorized to be appropriated to carry out this title, $25,000,000 for each of fiscal years 1999, 2000, 2001, 2002, and 2003, to remain available until expended."
[
[
1 See References in Text note below.
§604a. Services provided by charitable, religious, or private organizations
(a) In general
(1) State options
A State may—
(A) administer and provide services under the programs described in subparagraphs (A) and (B)(i) of paragraph (2) through contracts with charitable, religious, or private organizations; and
(B) provide beneficiaries of assistance under the programs described in subparagraphs (A) and (B)(ii) of paragraph (2) with certificates, vouchers, or other forms of disbursement which are redeemable with such organizations.
(2) Programs described
The programs described in this paragraph are the following programs:
(A) A State program funded under this part (as amended by section 103(a) of this Act).
(B) Any other program established or modified under title I or II of this Act, that—
(i) permits contracts with organizations; or
(ii) permits certificates, vouchers, or other forms of disbursement to be provided to beneficiaries, as a means of providing assistance.
(b) Religious organizations
The purpose of this section is to allow States to contract with religious organizations, or to allow religious organizations to accept certificates, vouchers, or other forms of disbursement under any program described in subsection (a)(2), on the same basis as any other nongovernmental provider without impairing the religious character of such organizations, and without diminishing the religious freedom of beneficiaries of assistance funded under such program.
(c) Nondiscrimination against religious organizations
In the event a State exercises its authority under subsection (a), religious organizations are eligible, on the same basis as any other private organization, as contractors to provide assistance, or to accept certificates, vouchers, or other forms of disbursement, under any program described in subsection (a)(2) so long as the programs are implemented consistent with the Establishment Clause of the United States Constitution. Except as provided in subsection (k), neither the Federal Government nor a State receiving funds under such programs shall discriminate against an organization which is or applies to be a contractor to provide assistance, or which accepts certificates, vouchers, or other forms of disbursement, on the basis that the organization has a religious character.
(d) Religious character and freedom
(1) Religious organizations
A religious organization with a contract described in subsection (a)(1)(A), or which accepts certificates, vouchers, or other forms of disbursement under subsection (a)(1)(B), shall retain its independence from Federal, State, and local governments, including such organization's control over the definition, development, practice, and expression of its religious beliefs.
(2) Additional safeguards
Neither the Federal Government nor a State shall require a religious organization to—
(A) alter its form of internal governance; or
(B) remove religious art, icons, scripture, or other symbols;
in order to be eligible to contract to provide assistance, or to accept certificates, vouchers, or other forms of disbursement, funded under a program described in subsection (a)(2).
(e) Rights of beneficiaries of assistance
(1) In general
If an individual described in paragraph (2) has an objection to the religious character of the organization or institution from which the individual receives, or would receive, assistance funded under any program described in subsection (a)(2), the State in which the individual resides shall provide such individual (if otherwise eligible for such assistance) within a reasonable period of time after the date of such objection with assistance from an alternative provider that is accessible to the individual and the value of which is not less than the value of the assistance which the individual would have received from such organization.
(2) Individual described
An individual described in this paragraph is an individual who receives, applies for, or requests to apply for, assistance under a program described in subsection (a)(2).
(f) Employment practices
A religious organization's exemption provided under
(g) Nondiscrimination against beneficiaries
Except as otherwise provided in law, a religious organization shall not discriminate against an individual in regard to rendering assistance funded under any program described in subsection (a)(2) on the basis of religion, a religious belief, or refusal to actively participate in a religious practice.
(h) Fiscal accountability
(1) In general
Except as provided in paragraph (2), any religious organization contracting to provide assistance funded under any program described in subsection (a)(2) shall be subject to the same regulations as other contractors to account in accord with generally accepted auditing principles for the use of such funds provided under such programs.
(2) Limited audit
If such organization segregates Federal funds provided under such programs into separate accounts, then only the financial assistance provided with such funds shall be subject to audit.
(i) Compliance
Any party which seeks to enforce its rights under this section may assert a civil action for injunctive relief exclusively in an appropriate State court against the entity or agency that allegedly commits such violation.
(j) Limitations on use of funds for certain purposes
No funds provided directly to institutions or organizations to provide services and administer programs under subsection (a)(1)(A) shall be expended for sectarian worship, instruction, or proselytization.
(k) Preemption
Nothing in this section shall be construed to preempt any provision of a State constitution or State statute that prohibits or restricts the expenditure of State funds in or by religious organizations.
(
Editorial Notes
References in Text
Section 103(a) of this Act, referred to in subsec. (a)(2)(A), means section 103(a) of
Titles I and II of this Act, referred to in subsec. (a)(2)(B), means titles I and II of
Codification
Section was enacted as part of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, and not as part of the Social Security Act which comprises this chapter.
Statutory Notes and Related Subsidiaries
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
§605. Administrative provisions
(a) Quarterly
The Secretary shall pay each grant payable to a State under
(b) Notification
Not later than 3 months before the payment of any such quarterly installment to a State, the Secretary shall notify the State of the amount of any reduction determined under
(c) Computation and certification of payments to States
(1) Computation
The Secretary shall estimate the amount to be paid to each eligible State for each quarter under this part, such estimate to be based on a report filed by the State containing an estimate by the State of the total sum to be expended by the State in the quarter under the State program funded under this part and such other information as the Secretary may find necessary.
(2) Certification
The Secretary of Health and Human Services shall certify to the Secretary of the Treasury the amount estimated under paragraph (1) with respect to a State, reduced or increased to the extent of any overpayment or underpayment which the Secretary of Health and Human Services determines was made under this part to the State for any prior quarter and with respect to which adjustment has not been made under this paragraph.
(d) Payment method
Upon receipt of a certification under subsection (c)(2) with respect to a State, the Secretary of the Treasury shall, through the Fiscal Service of the Department of the Treasury and before audit or settlement by the Government Accountability Office, pay to the State, at the time or times fixed by the Secretary of Health and Human Services, the amount so certified.
(Aug. 14, 1935, ch. 531, title IV, §405, as added
Editorial Notes
Prior Provisions
A prior section 605, acts Aug. 14, 1935, ch. 531, title IV, §405,
Amendments
2004—Subsec. (d).
1997—
Statutory Notes and Related Subsidiaries
Effective Date of 1997 Amendment
Amendment by
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
§606. Federal loans for State welfare programs
(a) Loan authority
(1) In general
The Secretary shall make loans to any loan-eligible State, for a period to maturity of not more than 3 years.
(2) Loan-eligible State
As used in paragraph (1), the term "loan-eligible State" means a State against which a penalty has not been imposed under
(b) Rate of interest
The Secretary shall charge and collect interest on any loan made under this section at a rate equal to the current average market yield on outstanding marketable obligations of the United States with remaining periods to maturity comparable to the period to maturity of the loan.
(c) Use of loan
A State shall use a loan made to the State under this section only for any purpose for which grant amounts received by the State under
(1) welfare anti-fraud activities; and
(2) the provision of assistance under the State program to Indian families that have moved from the service area of an Indian tribe with a tribal family assistance plan approved under
(d) Limitation on total amount of loans to State
The cumulative dollar amount of all loans made to a State under this section during fiscal years 1997 through 2003 shall not exceed 10 percent of the State family assistance grant.
(e) Limitation on total amount of outstanding loans
The total dollar amount of loans outstanding under this section may not exceed $1,700,000,000.
(f) Appropriation
Out of any money in the Treasury of the United States not otherwise appropriated, there are appropriated such sums as may be necessary for the cost of loans under this section.
(Aug. 14, 1935, ch. 531, title IV, §406, as added
Editorial Notes
Prior Provisions
A prior section 606, acts Aug. 14, 1935, ch. 531, title IV, §406,
Amendments
2003—Subsec. (d).
1997—
Statutory Notes and Related Subsidiaries
Effective Date of 2003 Amendment
Amendment by
Effective Date of 1997 Amendment
Amendment by
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
§607. Mandatory work requirements
(a) Participation rate requirements
(1) All families
A State to which a grant is made under
| If the fiscal year is: | The minimum participation rate is: |
|---|---|
| 1997 | 25 |
| 1998 | 30 |
| 1999 | 35 |
| 2000 | 40 |
| 2001 | 45 |
| 2002 or thereafter | 50. |
(2) 2-parent families
A State to which a grant is made under
| If the fiscal year is: | The minimum participation rate is: |
|---|---|
| 1997 | 75 |
| 1998 | 75 |
| 1999 or thereafter | 90. |
(b) Calculation of participation rates
(1) All families
(A) Average monthly rate
For purposes of subsection (a)(1), the participation rate for all families of a State for a fiscal year is the average of the participation rates for all families of the State for each month in the fiscal year.
(B) Monthly participation rates
The participation rate of a State for all families of the State for a month, expressed as a percentage, is—
(i) the number of families receiving assistance under the State program funded under this part or any other State program funded with qualified State expenditures (as defined in
(ii) the amount by which—
(I) the number of families receiving such assistance during the month that include an adult or a minor child head of household receiving such assistance; exceeds
(II) the number of families receiving such assistance that are subject in such month to a penalty described in subsection (e)(1) but have not been subject to such penalty for more than 3 months within the preceding 12-month period (whether or not consecutive).
(2) 2-parent families
(A) Average monthly rate
For purposes of subsection (a)(2), the participation rate for 2-parent families of a State for a fiscal year is the average of the participation rates for 2-parent families of the State for each month in the fiscal year.
(B) Monthly participation rates
The participation rate of a State for 2-parent families of the State for a month shall be calculated by use of the formula set forth in paragraph (1)(B), except that in the formula the term "number of 2-parent families" shall be substituted for the term "number of families" each place such latter term appears.
(C) Family with a disabled parent not treated as a 2-parent family
A family that includes a disabled parent shall not be considered a 2-parent family for purposes of subsections (a) and (b) of this section.
(3) Pro rata reduction of participation rate due to caseload reductions not required by Federal law and not resulting from changes in State eligibility criteria
(A) In general
The Secretary shall prescribe regulations for reducing the minimum participation rate otherwise required by this section for a fiscal year by the number of percentage points equal to the number of percentage points (if any) by which—
(i) the average monthly number of families receiving assistance during the immediately preceding fiscal year under the State program funded under this part or any other State program funded with qualified State expenditures (as defined in
(ii) the average monthly number of families that received assistance under any State program referred to in clause (i) during fiscal year 2005.
The minimum participation rate shall not be reduced to the extent that the Secretary determines that the reduction in the number of families receiving such assistance is required by Federal law.
(B) Eligibility changes not counted
The regulations required by subparagraph (A) shall not take into account families that are diverted from a State program funded under this part as a result of differences in eligibility criteria under a State program funded under this part and the eligibility criteria in effect during fiscal year 2005. Such regulations shall place the burden on the Secretary to prove that such families were diverted as a direct result of differences in such eligibility criteria.
(4) State option to include individuals receiving assistance under a tribal family assistance plan or tribal work program
For purposes of paragraphs (1)(B) and (2)(B), a State may, at its option, include families in the State that are receiving assistance under a tribal family assistance plan approved under
(5) State option for participation requirement exemptions
For any fiscal year, a State may, at its option, not require an individual who is a single custodial parent caring for a child who has not attained 12 months of age to engage in work, and may disregard such an individual in determining the participation rates under subsection (a) for not more than 12 months.
(c) Engaged in work
(1) General rules
(A) All families
For purposes of subsection (b)(1)(B)(i), a recipient is engaged in work for a month in a fiscal year if the recipient is participating in work activities for at least the minimum average number of hours per week specified in the following table during the month, not fewer than 20 hours per week of which are attributable to an activity described in paragraph (1), (2), (3), (4), (5), (6), (7), (8), or (12) of subsection (d), subject to this subsection:
| If the month is in fiscal year: | The minimum average number of hours per week is: |
|---|---|
| 1997 | 20 |
| 1998 | 20 |
| 1999 | 25 |
| 2000 or thereafter | 30. |
(B) 2-parent families
For purposes of subsection (b)(2)(B), an individual is engaged in work for a month in a fiscal year if—
(i) the individual and the other parent in the family are participating in work activities for a total of at least 35 hours per week during the month, not fewer than 30 hours per week of which are attributable to an activity described in paragraph (1), (2), (3), (4), (5), (6), (7), (8), or (12) of subsection (d), subject to this subsection; and
(ii) if the family of the individual receives federally-funded child care assistance and an adult in the family is not disabled or caring for a severely disabled child, the individual and the other parent in the family are participating in work activities for a total of at least 55 hours per week during the month, not fewer than 50 hours per week of which are attributable to an activity described in paragraph (1), (2), (3), (4), (5), (6), (7), (8), or (12) of subsection (d).
(2) Limitations and special rules
(A) Number of weeks for which job search counts as work
(i) Limitation
Notwithstanding paragraph (1) of this subsection, an individual shall not be considered to be engaged in work by virtue of participation in an activity described in subsection (d)(6) of a State program funded under this part or any other State program funded with qualified State expenditures (as defined in
(ii) Limited authority to count less than full week of participation
For purposes of clause (i) of this subparagraph, on not more than 1 occasion per individual, the State shall consider participation of the individual in an activity described in subsection (d)(6) for 3 or 4 days during a week as a week of participation in the activity by the individual.
(B) Single parent or relative with child under age 6 deemed to be meeting work participation requirements if parent or relative is engaged in work for 20 hours per week
For purposes of determining monthly participation rates under subsection (b)(1)(B)(i), a recipient who is the only parent or caretaker relative in the family of a child who has not attained 6 years of age is deemed to be engaged in work for a month if the recipient is engaged in work for an average of at least 20 hours per week during the month.
(C) Single teen head of household or married teen who maintains satisfactory school attendance deemed to be meeting work participation requirements
For purposes of determining monthly participation rates under subsection (b)(1)(B)(i), a recipient who is married or a head of household and has not attained 20 years of age is deemed to be engaged in work for a month in a fiscal year if the recipient—
(i) maintains satisfactory attendance at secondary school or the equivalent during the month; or
(ii) participates in education directly related to employment for an average of at least 20 hours per week during the month.
(D) Limitation on number of persons who may be treated as engaged in work by reason of participation in educational activities
For purposes of determining monthly participation rates under paragraphs (1)(B)(i) and (2)(B) of subsection (b), not more than 30 percent of the number of individuals in all families and in 2-parent families, respectively, in a State who are treated as engaged in work for a month may consist of individuals who are determined to be engaged in work for the month by reason of participation in vocational educational training, or (if the month is in fiscal year 2000 or thereafter) deemed to be engaged in work for the month by reason of subparagraph (C) of this paragraph.
(d) "Work activities" defined
As used in this section, the term "work activities" means—
(1) unsubsidized employment;
(2) subsidized private sector employment;
(3) subsidized public sector employment;
(4) work experience (including work associated with the refurbishing of publicly assisted housing) if sufficient private sector employment is not available;
(5) on-the-job training;
(6) job search and job readiness assistance;
(7) community service programs;
(8) vocational educational training (not to exceed 12 months with respect to any individual);
(9) job skills training directly related to employment;
(10) education directly related to employment, in the case of a recipient who has not received a high school diploma or a certificate of high school equivalency;
(11) satisfactory attendance at secondary school or in a course of study leading to a certificate of general equivalence, in the case of a recipient who has not completed secondary school or received such a certificate; and
(12) the provision of child care services to an individual who is participating in a community service program.
(e) Penalties against individuals
(1) In general
Except as provided in paragraph (2), if an individual in a family receiving assistance under the State program funded under this part or any other State program funded with qualified State expenditures (as defined in
(A) reduce the amount of assistance otherwise payable to the family pro rata (or more, at the option of the State) with respect to any period during a month in which the individual so refuses; or
(B) terminate such assistance,
subject to such good cause and other exceptions as the State may establish.
(2) Exception
Notwithstanding paragraph (1), a State may not reduce or terminate assistance under the State program funded under this part or any other State program funded with qualified State expenditures (as defined in
(A) Unavailability of appropriate child care within a reasonable distance from the individual's home or work site.
(B) Unavailability or unsuitability of informal child care by a relative or under other arrangements.
(C) Unavailability of appropriate and affordable formal child care arrangements.
(f) Nondisplacement in work activities
(1) In general
Subject to paragraph (2), an adult in a family receiving assistance under a State program funded under this part attributable to funds provided by the Federal Government may fill a vacant employment position in order to engage in a work activity described in subsection (d).
(2) No filling of certain vacancies
No adult in a work activity described in subsection (d) which is funded, in whole or in part, by funds provided by the Federal Government shall be employed or assigned—
(A) when any other individual is on layoff from the same or any substantially equivalent job; or
(B) if the employer has terminated the employment of any regular employee or otherwise caused an involuntary reduction of its workforce in order to fill the vacancy so created with an adult described in paragraph (1).
(3) Grievance procedure
A State with a program funded under this part shall establish and maintain a grievance procedure for resolving complaints of alleged violations of paragraph (2).
(4) No preemption
Nothing in this subsection shall preempt or supersede any provision of State or local law that provides greater protection for employees from displacement.
(g) Sense of Congress
It is the sense of the Congress that in complying with this section, each State that operates a program funded under this part is encouraged to assign the highest priority to requiring adults in 2-parent families and adults in single-parent families that include older preschool or school-age children to be engaged in work activities.
(h) Sense of Congress that States should impose certain requirements on noncustodial, nonsupporting minor parents
It is the sense of the Congress that the States should require noncustodial, nonsupporting parents who have not attained 18 years of age to fulfill community work obligations and attend appropriate parenting or money management classes after school.
(i) Verification of work and work-eligible individuals in order to implement reforms
(1) Secretarial direction and oversight
(A) Regulations for determining whether activities may be counted as "work activities", how to count and verify reported hours of work, and determining who is a work-eligible individual
(i) In general
Not later than June 30, 2006, the Secretary shall promulgate regulations to ensure consistent measurement of work participation rates under State programs funded under this part and State programs funded with qualified State expenditures (as defined in
(I) determining whether an activity of a recipient of assistance may be treated as a work activity under subsection (d);
(II) uniform methods for reporting hours of work by a recipient of assistance;
(III) the type of documentation needed to verify reported hours of work by a recipient of assistance; and
(IV) the circumstances under which a parent who resides with a child who is a recipient of assistance should be included in the work participation rates.
(ii) Issuance of regulations on an interim final basis
The regulations referred to in clause (i) may be effective and final immediately on an interim basis as of the date of publication of the regulations. If the Secretary provides for an interim final regulation, the Secretary shall provide for a period of public comment on the regulation after the date of publication. The Secretary may change or revise the regulation after the public comment period.
(B) Oversight of State procedures
The Secretary shall review the State procedures established in accordance with paragraph (2) to ensure that such procedures are consistent with the regulations promulgated under subparagraph (A) and are adequate to ensure an accurate measurement of work participation under the State programs funded under this part and any other State programs funded with qualified State expenditures (as so defined).
(2) Requirement for States to establish and maintain work participation verification procedures
Not later than September 30, 2006, a State to which a grant is made under
(Aug. 14, 1935, ch. 531, title IV, §407, as added
Amendment of Subsection (b)
(1) in subparagraphs (A)(ii) and (B) of paragraph (3), by striking "2005" and inserting "2015"; and
(2) by adding at the end the following:
(6) Special rule regarding calculation of the minimum participation rate
The Secretary shall determine participation rates under this section without regard to any individual engaged in work in a family that receives no assistance under this part and less than $35 in assistance funded with qualified State expenditures (as defined in
See 2023 Amendment notes below.
Editorial Notes
Prior Provisions
A prior section 607, act Aug. 14, 1935, ch. 531, title IV, §407, as added May 8, 1961,
Amendments
2023—Subsec. (b)(3)(A)(ii), (B).
Subsec. (b)(6).
2012—Subsec. (c)(2)(A)(i).
2009—Subsec. (b)(3)(A)(i).
2006—Subsecs. (a)(1), (2), (b)(1)(B)(i).
Subsec. (b)(3)(A)(i).
Subsec. (b)(3)(A)(ii).
Subsec. (b)(3)(B).
Subsecs. (c)(2)(A)(i), (e)(1), (2).
Subsec. (i).
1997—
Subsec. (b)(2)(C).
Subsec. (b)(3).
Subsec. (b)(4).
Subsec. (c)(1)(B).
Subsec. (c)(1)(B)(i).
Subsec. (c)(1)(B)(ii).
Subsec. (c)(2)(A)(i).
Subsec. (c)(2)(B).
Subsec. (c)(2)(C).
Subsec. (c)(2)(C)(ii).
Subsec. (c)(2)(D).
Subsec. (e)(2).
Statutory Notes and Related Subsidiaries
Effective Date of 2023 Amendment
Effective Date of 2009 Amendment
Effective Date of 2006 Amendment
Amendment by section 7102(c)(1) of
Effective Date of 1997 Amendment
Amendment by section 5504 of
Amendment by section 5514(c) of
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
§608. Prohibitions; requirements
(a) In general
(1) No assistance for families without a minor child
A State to which a grant is made under
(2) Reduction or elimination of assistance for noncooperation in establishing paternity or obtaining child support
If the agency responsible for administering the State plan approved under part D determines that an individual is not cooperating with the State in establishing paternity or in establishing, modifying, or enforcing a support order with respect to a child of the individual, and the individual does not qualify for any good cause or other exception established by the State pursuant to
(A) shall deduct from the assistance that would otherwise be provided to the family of the individual under the State program funded under this part an amount equal to not less than 25 percent of the amount of such assistance; and
(B) may deny the family any assistance under the State program.
(3) No assistance for families not assigning certain support rights to the State
A State to which a grant is made under
(4) No assistance for teenage parents who do not attend high school or other equivalent training program
A State to which a grant is made under
(A) educational activities directed toward the attainment of a high school diploma or its equivalent; or
(B) an alternative educational or training program that has been approved by the State.
(5) No assistance for teenage parents not living in adult-supervised settings
(A) In general
(i) Requirement
Except as provided in subparagraph (B), a State to which a grant is made under
(ii) Individual described
For purposes of clause (i), an individual described in this clause is an individual who—
(I) has not attained 18 years of age; and
(II) is not married, and has a minor child in his or her care.
(B) Exception
(i) Provision of, or assistance in locating, adult-supervised living arrangement
In the case of an individual who is described in clause (ii), the State agency referred to in
(ii) Individual described
For purposes of clause (i), an individual is described in this clause if the individual is described in subparagraph (A)(ii), and—
(I) the individual has no parent, legal guardian, or other appropriate adult relative described in subclause (II) of his or her own who is living or whose whereabouts are known;
(II) no living parent, legal guardian, or other appropriate adult relative, who would otherwise meet applicable State criteria to act as the individual's legal guardian, of such individual allows the individual to live in the home of such parent, guardian, or relative;
(III) the State agency determines that—
(aa) the individual or the minor child referred to in subparagraph (A)(ii)(II) is being or has been subjected to serious physical or emotional harm, sexual abuse, or exploitation in the residence of the individual's own parent or legal guardian; or
(bb) substantial evidence exists of an act or failure to act that presents an imminent or serious harm if the individual and the minor child lived in the same residence with the individual's own parent or legal guardian; or
(IV) the State agency otherwise determines that it is in the best interest of the minor child to waive the requirement of subparagraph (A) with respect to the individual or the minor child.
(iii) Second-chance home
For purposes of this subparagraph, the term "second-chance home" means an entity that provides individuals described in clause (ii) with a supportive and supervised living arrangement in which such individuals are required to learn parenting skills, including child development, family budgeting, health and nutrition, and other skills to promote their long-term economic independence and the well-being of their children.
(6) No medical services
(A) In general
A State to which a grant is made under
(B) Exception for prepregnancy family planning services
As used in subparagraph (A), the term "medical services" does not include prepregnancy family planning services.
(7) No assistance for more than 5 years
(A) In general
A State to which a grant is made under
(B) Minor child exception
In determining the number of months for which an individual who is a parent or pregnant has received assistance under the State program funded under this part, the State shall disregard any month for which such assistance was provided with respect to the individual and during which the individual was—
(i) a minor child; and
(ii) not the head of a household or married to the head of a household.
(C) Hardship exception
(i) In general
The State may exempt a family from the application of subparagraph (A) by reason of hardship or if the family includes an individual who has been battered or subjected to extreme cruelty.
(ii) Limitation
The average monthly number of families with respect to which an exemption made by a State under clause (i) is in effect for a fiscal year shall not exceed 20 percent of the average monthly number of families to which assistance is provided under the State program funded under this part during the fiscal year or the immediately preceding fiscal year (but not both), as the State may elect.
(iii) Battered or subject to extreme cruelty defined
For purposes of clause (i), an individual has been battered or subjected to extreme cruelty if the individual has been subjected to—
(I) physical acts that resulted in, or threatened to result in, physical injury to the individual;
(II) sexual abuse;
(III) sexual activity involving a dependent child;
(IV) being forced as the caretaker relative of a dependent child to engage in nonconsensual sexual acts or activities;
(V) threats of, or attempts at, physical or sexual abuse;
(VI) mental abuse; or
(VII) neglect or deprivation of medical care.
(D) Disregard of months of assistance received by adult while living in Indian country or an Alaskan Native village with 50 percent unemployment
(i) In general
In determining the number of months for which an adult has received assistance under a State or tribal program funded under this part, the State or tribe shall disregard any month during which the adult lived in Indian country or an Alaskan Native village if the most reliable data available with respect to the month (or a period including the month) indicate that at least 50 percent of the adults living in Indian country or in the village were not employed.
(ii) "Indian country" defined
As used in clause (i), the term "Indian country" has the meaning given such term in
(E) Rule of interpretation
Subparagraph (A) shall not be interpreted to require any State to provide assistance to any individual for any period of time under the State program funded under this part.
(F) Rule of interpretation
This part shall not be interpreted to prohibit any State from expending State funds not originating with the Federal Government on benefits for children or families that have become ineligible for assistance under the State program funded under this part by reason of subparagraph (A).
(G) Inapplicability to welfare-to-work grants and assistance
For purposes of subparagraph (A) of this paragraph, a grant made under
(8) Denial of assistance for 10 years to a person found to have fraudulently misrepresented residence in order to obtain assistance in 2 or more States
A State to which a grant is made under
(9) Denial of assistance for fugitive felons and probation and parole violators
(A) In general
A State to which a grant is made under
(i) fleeing to avoid prosecution, or custody or confinement after conviction, under the laws of the place from which the individual flees, for a crime, or an attempt to commit a crime, which is a felony under the laws of the place from which the individual flees, or which, in the case of the State of New Jersey, is a high misdemeanor under the laws of such State; or
(ii) violating a condition of probation or parole imposed under Federal or State law.
The preceding sentence shall not apply with respect to conduct of an individual, for any month beginning after the President of the United States grants a pardon with respect to the conduct.
(B) Exchange of information with law enforcement agencies
If a State to which a grant is made under
(i) the recipient—
(I) is described in subparagraph (A); or
(II) has information that is necessary for the officer to conduct the official duties of the officer; and
(ii) the location or apprehension of the recipient is within such official duties.
(10) Denial of assistance for minor children who are absent from the home for a significant period
(A) In general
A State to which a grant is made under
(B) State authority to establish good cause exceptions
The State may establish such good cause exceptions to subparagraph (A) as the State considers appropriate if such exceptions are provided for in the State plan submitted pursuant to
(C) Denial of assistance for relative who fails to notify State agency of absence of child
A State to which a grant is made under
(11) Medical assistance required to be provided for certain families having earnings from employment or child support
(A) Earnings from employment
A State to which a grant is made under
(B) Child support
A State to which a grant is made under
(12) State requirement to prevent unauthorized spending of benefits
(A) In general
A State to which a grant is made under
(i) any liquor store;
(ii) any casino, gambling casino, or gaming establishment; or
(iii) any retail establishment which provides adult-oriented entertainment in which performers disrobe or perform in an unclothed state for entertainment.
(B) Definitions
For purposes of subparagraph (A)—
(i) Liquor store
The term "liquor store" means any retail establishment which sells exclusively or primarily intoxicating liquor. Such term does not include a grocery store which sells both intoxicating liquor and groceries including staple foods (within the meaning of section 3(r) of the Food and Nutrition Act of 2008 (
(ii) Casino, gambling casino, or gaming establishment
The terms "casino", "gambling casino", and "gaming establishment" do not include—
(I) a grocery store which sells groceries including such staple foods and which also offers, or is located within the same building or complex as, casino, gambling, or gaming activities; or
(II) any other establishment that offers casino, gambling, or gaming activities incidental to the principal purpose of the business.
(iii) Electronic benefit transfer transaction
The term "electronic benefit transfer transaction" means the use of a credit or debit card service, automated teller machine, point-of-sale terminal, or access to an online system for the withdrawal of funds or the processing of a payment for merchandise or a service.
(b) Individual responsibility plans
(1) Assessment
The State agency responsible for administering the State program funded under this part shall make an initial assessment of the skills, prior work experience, and employability of each recipient of assistance under the program who—
(A) has attained 18 years of age; or
(B) has not completed high school or obtained a certificate of high school equivalency, and is not attending secondary school.
(2) Contents of plans
(A) In general
On the basis of the assessment made under subsection (a) with respect to an individual, the State agency, in consultation with the individual, may develop an individual responsibility plan for the individual, which—
(i) sets forth an employment goal for the individual and a plan for moving the individual immediately into private sector employment;
(ii) sets forth the obligations of the individual, which may include a requirement that the individual attend school, maintain certain grades and attendance, keep school age children of the individual in school, immunize children, attend parenting and money management classes, or do other things that will help the individual become and remain employed in the private sector;
(iii) to the greatest extent possible is designed to move the individual into whatever private sector employment the individual is capable of handling as quickly as possible, and to increase the responsibility and amount of work the individual is to handle over time;
(iv) describes the services the State will provide the individual so that the individual will be able to obtain and keep employment in the private sector, and describe the job counseling and other services that will be provided by the State; and
(v) may require the individual to undergo appropriate substance abuse treatment.
(B) Timing
The State agency may comply with paragraph (1) with respect to an individual—
(i) within 90 days (or, at the option of the State, 180 days) after the effective date of this part, in the case of an individual who, as of such effective date, is a recipient of aid under the State plan approved under part A (as in effect immediately before such effective date); or
(ii) within 30 days (or, at the option of the State, 90 days) after the individual is determined to be eligible for such assistance, in the case of any other individual.
(3) Penalty for noncompliance by individual
In addition to any other penalties required under the State program funded under this part, the State may reduce, by such amount as the State considers appropriate, the amount of assistance otherwise payable under the State program to a family that includes an individual who fails without good cause to comply with an individual responsibility plan signed by the individual.
(4) State discretion
The exercise of the authority of this subsection shall be within the sole discretion of the State.
(c) Sanctions against recipients not considered wage reductions
A penalty imposed by a State against the family of an individual by reason of the failure of the individual to comply with a requirement under the State program funded under this part shall not be construed to be a reduction in any wage paid to the individual.
(d) Nondiscrimination provisions
The following provisions of law shall apply to any program or activity which receives funds provided under this part:
(1) The Age Discrimination Act of 1975 (
(2)
(3) The Americans with Disabilities Act of 1990 (
(4) Title VI of the Civil Rights Act of 1964 (
(e) Special rules relating to treatment of certain aliens
For special rules relating to the treatment of certain aliens, see title IV of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 [
(f) Special rules relating to treatment of non-213A aliens
The following rules shall apply if a State elects to take the income or resources of any sponsor of a non-213A alien into account in determining whether the alien is eligible for assistance under the State program funded under this part, or in determining the amount or types of such assistance to be provided to the alien:
(1) Deeming of sponsor's income and resources
For a period of 3 years after a non-213A alien enters the United States:
(A) Income deeming rule
The income of any sponsor of the alien and of any spouse of the sponsor is deemed to be income of the alien, to the extent that the total amount of the income exceeds the sum of—
(i) the lesser of—
(I) 20 percent of the total of any amounts received by the sponsor or any such spouse in the month as wages or salary or as net earnings from self-employment, plus the full amount of any costs incurred by the sponsor and any such spouse in producing self-employment income in such month; or
(II) $175;
(ii) the cash needs standard established by the State for purposes of determining eligibility for assistance under the State program funded under this part for a family of the same size and composition as the sponsor and any other individuals living in the same household as the sponsor who are claimed by the sponsor as dependents for purposes of determining the sponsor's Federal personal income tax liability but whose needs are not taken into account in determining whether the sponsor's family has met the cash needs standard;
(iii) any amounts paid by the sponsor or any such spouse to individuals not living in the household who are claimed by the sponsor as dependents for purposes of determining the sponsor's Federal personal income tax liability; and
(iv) any payments of alimony or child support with respect to individuals not living in the household.
(B) Resource deeming rule
The resources of a sponsor of the alien and of any spouse of the sponsor are deemed to be resources of the alien to the extent that the aggregate value of the resources exceeds $1,500.
(C) Sponsors of multiple non-213A aliens
If a person is a sponsor of 2 or more non-213A aliens who are living in the same home, the income and resources of the sponsor and any spouse of the sponsor that would be deemed income and resources of any such alien under subparagraph (A) shall be divided into a number of equal shares equal to the number of such aliens, and the State shall deem the income and resources of each such alien to include 1 such share.
(2) Ineligibility of non-213A aliens sponsored by agencies; exception
A non-213A alien whose sponsor is or was a public or private agency shall be ineligible for assistance under a State program funded under this part, during a period of 3 years after the alien enters the United States, unless the State agency administering the program determines that the sponsor either no longer exists or has become unable to meet the alien's needs.
(3) Information provisions
(A) Duties of non-213A aliens
A non-213A alien, as a condition of eligibility for assistance under a State program funded under this part during the period of 3 years after the alien enters the United States, shall be required to provide to the State agency administering the program—
(i) such information and documentation with respect to the alien's sponsor as may be necessary in order for the State agency to make any determination required under this subsection, and to obtain any cooperation from the sponsor necessary for any such determination; and
(ii) such information and documentation as the State agency may request and which the alien or the alien's sponsor provided in support of the alien's immigration application.
(B) Duties of Federal agencies
The Secretary shall enter into agreements with the Secretary of State and the Attorney General under which any information available to them and required in order to make any determination under this subsection will be provided by them to the Secretary (who may, in turn, make the information available, upon request, to a concerned State agency).
(4) "Non-213A alien" defined
An alien is a non-213A alien for purposes of this subsection if the affidavit of support or similar agreement with respect to the alien that was executed by the sponsor of the alien's entry into the United States was executed other than pursuant to section 213A of the Immigration and Nationality Act [
(5) Inapplicability to alien minor sponsored by a parent
This subsection shall not apply to an alien who is a minor child if the sponsor of the alien or any spouse of the sponsor is a parent of the alien.
(6) Inapplicability to certain categories of aliens
This subsection shall not apply to an alien who is—
(A) admitted to the United States as a refugee under section 207 of the Immigration and Nationality Act [
(B) paroled into the United States under section 212(d)(5) of such Act [
(C) granted political asylum by the Attorney General under section 208 of such Act [
(g) State required to provide certain information
Each State to which a grant is made under
(Aug. 14, 1935, ch. 531, title IV, §408, as added
Editorial Notes
References in Text
Part D, referred to in subsec. (a)(2), (11)(B), is classified to
The Food and Nutrition Act of 2008, referred to in subsec. (a)(8), is
Section 3(r) of the Food and Nutrition Act of 2008 (
For effective date of this part, referred to in subsec. (b)(2)(B)(i), see Effective Date note set out below.
The Age Discrimination Act of 1975, referred to in subsec. (d)(1), is title III of
The Americans with Disabilities Act of 1990, referred to in subsec. (d)(3), is
The Civil Rights Act of 1964, referred to in subsec. (d)(4), is
The Personal Responsibility and Work Opportunity Reconciliation Act of 1996, referred to in subsec. (e), is
Codification
Prior Provisions
A prior section 608, act Aug. 14, 1935, ch. 531, title IV, §408, as added Dec. 19, 1989,
Another prior section 608, act Aug. 14, 1935, ch. 531, title IV, §408, as added May 8, 1961,
Amendments
2012—Subsec. (a)(12).
2008—Subsec. (a)(8).
2006—Subsec. (a)(3).
1997—
Subsec. (a)(1).
"(A) unless the family includes—
"(i) a minor child who resides with a custodial parent or other adult caretaker relative of the child; or
"(ii) a pregnant individual; and
"(B) if the family includes an adult who has received assistance under any State program funded under this part attributable to funds provided by the Federal Government, for 60 months (whether or not consecutive) after the date the State program funded under this part commences (unless an exception described in subparagraph (B), (C), or (D) of paragraph (7) applies)."
Subsec. (a)(3).
Subsec. (a)(3)(A).
Subsec. (a)(5)(A)(ii).
Subsec. (a)(7)(C)(ii).
Subsec. (a)(7)(D).
"(i) at least 1,000 individuals were living on the reservation or in the village; and
"(ii) at least 50 percent of the adults living on the reservation or in the village were unemployed."
Subsec. (a)(7)(G).
Subsecs. (c), (d).
Subsec. (e).
Subsec. (f). Pub. B. 105–33, §5505(e), added subsec. (f).
Subsec. (g).
Statutory Notes and Related Subsidiaries
Effective Date of 2008 Amendment
Amendment of this section and repeal of
Amendment by section 4002(b)(1)(B), (2)(V) of
Effective Date of 2006 Amendment
"(1)
"(2)
Effective Date of 1997 Amendment
Amendment by section 5505 of
Amendment by section 5514(c) of
"(a)
"(b)
[
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
Abolition of Immigration and Naturalization Service and Transfer of Functions
For abolition of Immigration and Naturalization Service, transfer of functions, and treatment of related references, see note set out under
1 See References in Text note below.
§608a. Fraud under means-tested welfare and public assistance programs
(a) In general
If an individual's benefits under a Federal, State, or local law relating to a means-tested welfare or a public assistance program are reduced because of an act of fraud by the individual under the law or program, the individual may not, for the duration of the reduction, receive an increased benefit under any other means-tested welfare or public assistance program for which Federal funds are appropriated as a result of a decrease in the income of the individual (determined under the applicable program) attributable to such reduction.
(b) Welfare or public assistance programs for which Federal funds are appropriated
For purposes of subsection (a), the term "means-tested welfare or public assistance program for which Federal funds are appropriated" includes the food stamp program under the Food Stamp Act of 1977 (
(
Editorial Notes
References in Text
The Food Stamp Act of 1977, referred to in subsec. (b), subsequently renamed the Food and Nutrition Act of 2008, is
The United States Housing Act of 1937, referred to in subsec. (b), is act Sept. 1, 1937, ch. 896, as revised generally by
Codification
Section was enacted as part of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, and not as part of the Social Security Act which comprises this chapter.
Statutory Notes and Related Subsidiaries
Change of Name
References to the food stamp program established under the Food and Nutrition Act of 2008 considered to refer to the supplemental nutrition assistance program established under that Act, see section 4002(c) of
§609. Penalties
(a) In general
Subject to this section:
(1) Use of grant in violation of this part
(A) General penalty
If an audit conducted under
(B) Enhanced penalty for intentional violations
If the State does not prove to the satisfaction of the Secretary that the State did not intend to use the amount in violation of this part, the Secretary shall further reduce the grant payable to the State under
(C) Penalty for misuse of competitive welfare-to-work funds
If the Secretary of Labor finds that an amount paid to an entity under
(2) Failure to submit required report
(A) Quarterly reports
(i) In general
If the Secretary determines that a State has not, within 45 days after the end of a fiscal quarter, submitted the report required by
(ii) Rescission of penalty
The Secretary shall rescind a penalty imposed on a State under clause (i) with respect to a report if the State submits the report before the end of the fiscal quarter that immediately succeeds the fiscal quarter for which the report was required.
(B) Report on engagement in additional work activities and expenditures for other benefits and services
(i) In general
If the Secretary determines that a State has not submitted the report required by
(ii) Rescission of penalty
The Secretary shall rescind a penalty imposed on a State under clause (i) with respect to a report required by
(I) in the case of the report required under
(II) in the case of the report required under
(iii) Penalty based on severity of failure
The Secretary shall impose a reduction under clause (i) with respect to a fiscal year based on the degree of noncompliance.
(3) Failure to satisfy minimum participation rates
(A) In general
If the Secretary determines that a State to which a grant is made under
(B) "Applicable percentage" defined
As used in subparagraph (A), the term "applicable percentage" means, with respect to a State—
(i) if a penalty was not imposed on the State under subparagraph (A) for the immediately preceding fiscal year, 5 percent; or
(ii) if a penalty was imposed on the State under subparagraph (A) for the immediately preceding fiscal year, the lesser of—
(I) the percentage by which the grant payable to the State under
(II) 21 percent.
(C) Penalty based on severity of failure
The Secretary shall impose reductions under subparagraph (A) with respect to a fiscal year based on the degree of noncompliance, and may reduce the penalty if the noncompliance is due to circumstances that caused the State to become a needy State (as defined in
(4) Failure to participate in the income and eligibility verification system
If the Secretary determines that a State program funded under this part is not participating during a fiscal year in the income and eligibility verification system required by
(5) Failure to comply with paternity establishment and child support enforcement requirements under part D
Notwithstanding any other provision of this chapter, if the Secretary determines that the State agency that administers a program funded under this part does not enforce the penalties requested by the agency administering part D against recipients of assistance under the State program who fail to cooperate in establishing paternity or in establishing, modifying, or enforcing a child support order in accordance with such part and who do not qualify for any good cause or other exception established by the State under
(6) Failure to timely repay a Federal Loan Fund for State Welfare Programs
If the Secretary determines that a State has failed to repay any amount borrowed from the Federal Loan Fund for State Welfare Programs established under
(7) Failure of any State to maintain certain level of historic effort
(A) In general
The Secretary shall reduce the grant payable to the State under
(B) Definitions
As used in this paragraph:
(i) Qualified State expenditures
(I) In general
The term "qualified State expenditures" means, with respect to a State and a fiscal year, the total expenditures by the State during the fiscal year, under all State programs, for any of the following with respect to eligible families:
(aa) Cash assistance, including any amount collected by the State as support pursuant to a plan approved under part D, on behalf of a family receiving assistance under the State program funded under this part, that is distributed to the family under
(bb) Child care assistance.
(cc) Educational activities designed to increase self-sufficiency, job training, and work, excluding any expenditure for public education in the State except expenditures which involve the provision of services or assistance to a member of an eligible family which is not generally available to persons who are not members of an eligible family.
(dd) Administrative costs in connection with the matters described in items (aa), (bb), (cc), and (ee), but only to the extent that such costs do not exceed 15 percent of the total amount of qualified State expenditures for the fiscal year.
(ee) Any other use of funds allowable under
(II) Exclusion of transfers from other State and local programs
Such term does not include expenditures under any State or local program during a fiscal year, except to the extent that—
(aa) the expenditures exceed the amount expended under the State or local program in the fiscal year most recently ending before August 22, 1996; or
(bb) the State is entitled to a payment under former
(III) Exclusion of amounts expended to replace penalty grant reductions
Such term does not include any amount expended in order to comply with paragraph (12).
(IV) Eligible families
As used in subclause (I), the term "eligible families" means families eligible for assistance under the State program funded under this part, families that would be eligible for such assistance but for the application of
(V) Counting of spending on certain pro-family activities
The term "qualified State expenditures" includes the total expenditures by the State during the fiscal year under all State programs for a purpose described in paragraph (3) or (4) of
(ii) Applicable percentage
The term "applicable percentage" means 80 percent (or, if the State meets the requirements of
(iii) Historic State expenditures
The term "historic State expenditures" means, with respect to a State, the lesser of—
(I) the expenditures by the State under parts A and F (as in effect during fiscal year 1994) for fiscal year 1994; or
(II) the amount which bears the same ratio to the amount described in subclause (I) as—
(aa) the State family assistance grant, plus the total amount required to be paid to the State under former
(bb) the total amount required to be paid to the State under former
Such term does not include any expenditures under the State plan approved under part A (as so in effect) on behalf of individuals covered by a tribal family assistance plan approved under
(iv) Expenditures by the State
The term "expenditures by the State" does not include—
(I) any expenditure from amounts made available by the Federal Government;
(II) any State funds expended for the medicaid program under subchapter XIX;
(III) any State funds which are used to match Federal funds provided under
(IV) any State funds which are expended as a condition of receiving Federal funds other than under this part.
Notwithstanding subclause (IV) of the preceding sentence, such term includes expenditures by a State for child care in a fiscal year to the extent that the total amount of the expenditures does not exceed the amount of State expenditures in fiscal year 1994 or 1995 (whichever is the greater) that equal the non-Federal share for the programs described in
(v) Source of data
In determining expenditures by a State for fiscal years 1994 and 1995, the Secretary shall use information which was reported by the State on ACF Form 231 or (in the case of expenditures under part F) ACF Form 331, available as of the dates specified in clauses (ii) and (iii) of section 603(a)(1)(D) 1 of this title.
(8) Noncompliance of State child support enforcement program with requirements of part D
(A) In general
If the Secretary finds, with respect to a State's program under part D, in a fiscal year beginning on or after October 1, 1997—
(i)(I) on the basis of data submitted by a State pursuant to
(II) on the basis of the results of an audit or audits conducted under
(III) on the basis of the results of an audit or audits conducted under
(ii) that, with respect to the succeeding fiscal year—
(I) the State failed to take sufficient corrective action to achieve the appropriate performance levels or compliance as described in subparagraph (A)(i); or
(II) the data submitted by the State pursuant to
the amounts otherwise payable to the State under this part for quarters following the end of such succeeding fiscal year, prior to quarters following the end of the first quarter throughout which the State program has achieved the paternity establishment percentages or other performance measures as described in subparagraph (A)(i)(I), or is in substantial compliance with 1 or more of the requirements of part D as described in subparagraph (A)(i)(III), as appropriate, shall be reduced by the percentage specified in subparagraph (B).
(B) Amount of reductions
The reductions required under subparagraph (A) shall be—
(i) not less than 1 nor more than 2 percent;
(ii) not less than 2 nor more than 3 percent, if the finding is the 2nd consecutive finding made pursuant to subparagraph (A); or
(iii) not less than 3 nor more than 5 percent, if the finding is the 3rd or a subsequent consecutive such finding.
(C) Disregard of noncompliance which is of a technical nature
For purposes of this section and
(i) to have failed to have substantially complied with 1 or more of the requirements of part D shall be determined to have achieved substantial compliance only if the Secretary determines that the extent of the noncompliance is of a technical nature which does not adversely affect the performance of the State's program under part D; or
(ii) to have submitted incomplete or unreliable data pursuant to
(9) Failure to comply with 5-year limit on assistance
If the Secretary determines that a State has not complied with
(10) Failure of State receiving amounts from Contingency Fund to maintain 100 percent of historic effort
If, at the end of any fiscal year during which amounts from the Contingency Fund for State Welfare Programs have been paid to a State, the Secretary finds that the qualified State expenditures (as defined in paragraph (7)(B)(i) (other than the expenditures described in subclause (I)(bb) of that paragraph)) under the State program funded under this part for the fiscal year are less than 100 percent of historic State expenditures (as defined in paragraph (7)(B)(iii) of this subsection), excluding any amount expended by the State for child care under subsection (g) or (i) of
(11) Failure to maintain assistance to adult single custodial parent who cannot obtain child care for child under age 6
(A) In general
If the Secretary determines that a State to which a grant is made under
(B) Penalty based on severity of failure
The Secretary shall impose reductions under subparagraph (A) with respect to a fiscal year based on the degree of noncompliance.
(12) Requirement to expend additional State funds to replace grant reductions; penalty for failure to do so
If the grant payable to a State under
(A) not more than 2 percent of the State family assistance grant; and
(B) the amount of the expenditure required by the preceding sentence.
(13) Penalty for failure of State to maintain historic effort during year in which welfare-to-work grant is received
If a grant is made to a State under
(14) Penalty for failure to reduce assistance for recipients refusing without good cause to work
(A) In general
If the Secretary determines that a State to which a grant is made under
(B) Penalty based on severity of failure
The Secretary shall impose reductions under subparagraph (A) with respect to a fiscal year based on the degree of noncompliance.
(15) Penalty for failure to establish or comply with work participation verification procedures
(A) In general
If the Secretary determines that a State to which a grant is made under
(B) Penalty based on severity of failure
The Secretary shall impose reductions under subparagraph (A) with respect to a fiscal year based on the degree of noncompliance.
(16) Penalty for failure to enforce spending policies
(A) In general
If, within 2 years after February 22, 2012, any State has not reported to the Secretary on such State's implementation of the policies and practices required by
(i) the fiscal year immediately succeeding the year in which such 2-year period ends; and
(ii) each succeeding fiscal year in which the State does not demonstrate that such State has implemented and maintained such policies and practices.
(B) Reduction of applicable penalty
The Secretary may reduce the amount of the reduction required under subparagraph (A) based on the degree of noncompliance of the State.
(C) State not responsible for individual violations
Fraudulent activity by any individual in an attempt to circumvent the policies and practices required by
(b) Reasonable cause exception
(1) In general
The Secretary may not impose a penalty on a State under subsection (a) with respect to a requirement if the Secretary determines that the State has reasonable cause for failing to comply with the requirement.
(2) Exception
Paragraph (1) of this subsection shall not apply to any penalty under paragraph (6), (7), (8), (10), (12), or (13) of subsection (a) and, with respect to the penalty under paragraph (2)(B) of subsection (a), shall only apply to the extent the Secretary determines that the reasonable cause for failure to comply with a requirement of that paragraph is as a result of a one-time, unexpected event, such as a widespread data system failure or a natural or man-made disaster.
(c) Corrective compliance plan
(1) In general
(A) Notification of violation
Before imposing a penalty against a State under subsection (a) with respect to a violation of this part, the Secretary shall notify the State of the violation and allow the State the opportunity to enter into a corrective compliance plan in accordance with this subsection which outlines how the State will correct or discontinue, as appropriate, the violation and how the State will insure continuing compliance with this part.
(B) 60-day period to propose a corrective compliance plan
During the 60-day period that begins on the date the State receives a notice provided under subparagraph (A) with respect to a violation, the State may submit to the Federal Government a corrective compliance plan to correct or discontinue, as appropriate, the violation.
(C) Consultation about modifications
During the 60-day period that begins with the date the Secretary receives a corrective compliance plan submitted by a State in accordance with subparagraph (B), the Secretary may consult with the State on modifications to the plan.
(D) Acceptance of plan
A corrective compliance plan submitted by a State in accordance with subparagraph (B) is deemed to be accepted by the Secretary if the Secretary does not accept or reject the plan during 60-day period that begins on the date the plan is submitted.
(2) Effect of correcting or discontinuing violation
The Secretary may not impose any penalty under subsection (a) with respect to any violation covered by a State corrective compliance plan accepted by the Secretary if the State corrects or discontinues, as appropriate, the violation pursuant to the plan.
(3) Effect of failing to correct or discontinue violation
The Secretary shall assess some or all of a penalty imposed on a State under subsection (a) with respect to a violation if the State does not, in a timely manner, correct or discontinue, as appropriate, the violation pursuant to a State corrective compliance plan accepted by the Secretary.
(4) Inapplicability to certain penalties
This subsection shall not apply to the imposition of a penalty against a State under paragraph (2)(B), (6), (7), (8), (10), (12), (13), or (16) of subsection (a).
(d) Limitation on amount of penalties
(1) In general
In imposing the penalties described in subsection (a), the Secretary shall not reduce any quarterly payment to a State by more than 25 percent.
(2) Carryforward of unrecovered penalties
To the extent that paragraph (1) of this subsection prevents the Secretary from recovering during a fiscal year the full amount of penalties imposed on a State under subsection (a) of this section for a prior fiscal year, the Secretary shall apply any remaining amount of such penalties to the grant payable to the State under
(Aug. 14, 1935, ch. 531, title IV, §409, as added
Editorial Notes
References in Text
Part D, referred to in subsec. (a)(5), (7)(B)(i)(I)(aa), (8), is classified to
The Personal Responsibility and Work Opportunity Reconciliation Act of 1996, referred to in subsec. (a)(7)(B)(i)(IV), is
Part F, referred to in subsec. (a)(7)(B)(iii)(I), (v), was classified to
Prior Provisions
A prior section 609, act Aug. 14, 1935, ch. 531, title IV, §409, as added Nov. 5, 1990,
Another prior section 609, act Aug. 14, 1935, ch. 531, title IV, §409, as added and amended July 25, 1962,
Amendments
2012—Subsec. (a)(2)(A)(i), (ii).
Subsec. (a)(3)(C).
Subsec. (a)(7)(A).
Subsec. (a)(7)(B)(ii).
Subsec. (a)(16).
Subsec. (c)(2).
Subsec. (c)(4).
2011—Subsec. (a)(7)(A).
Subsec. (a)(7)(B)(ii).
2010—Subsec. (a)(2).
Subsec. (a)(7)(A).
Subsec. (a)(7)(B)(ii).
Subsec. (b)(2).
Subsec. (c)(4).
2006—Subsec. (a)(7)(A).
Subsec. (a)(7)(B)(i)(V).
Subsec. (a)(7)(B)(ii).
Subsec. (a)(15).
2005—Subsec. (a)(7)(A).
Subsec. (a)(7)(B)(ii).
2004—Subsec. (a)(7)(A).
Subsec. (a)(7)(B)(ii).
2003—Subsec. (a)(7)(A).
Subsec. (a)(7)(B)(ii).
1999—Subsec. (a)(7)(B)(i)(II).
Subsec. (a)(8)(A)(i)(III).
1998—Subsec. (a)(8)(A)(i)(III).
1997—
Subsec. (a)(1)(C).
Subsec. (a)(2)(A).
Subsec. (a)(3)(A).
Subsec. (a)(3)(C).
Subsec. (a)(7)(B)(i)(I)(aa).
Subsec. (a)(7)(B)(i)(III).
Subsec. (a)(7)(B)(i)(IV).
Subsec. (a)(7)(B)(ii).
Subsec. (a)(7)(B)(iv).
"(I) any expenditures from amounts made available by the Federal Government;
"(II) any State funds expended for the medicaid program under subchapter XIX of this chapter;
"(III) any State funds which are used to match Federal funds; or
"(IV) any State funds which are expended as a condition of receiving Federal funds under Federal programs other than under this part.
Notwithstanding subclause (IV) of the preceding sentence, such term includes expenditures by a State for child care in a fiscal year to the extent that the total amount of such expenditures does not exceed an amount equal to the amount of State expenditures in fiscal year 1994 or 1995 (whichever is greater) that equal the non-Federal share for the programs described in
Subsec. (a)(7)(B)(v).
Subsec. (a)(8).
Subsec. (a)(9).
Subsec. (a)(10).
Subsec. (a)(12).
"(A) not more than 2 percent of the State family assistance grant; and
"(B) the amount of the expenditure required by the preceding sentence."
Subsec. (a)(13).
Subsec. (a)(14).
Subsec. (b)(2).
Subsec. (c)(1)(A), (B).
Subsec. (c)(2).
Subsec. (c)(3).
Subsec. (c)(4).
Statutory Notes and Related Subsidiaries
Effective Date of 2006 Amendment
Amendment by
Effective Date of 2003 Amendment
Amendment by
Effective Date of 1999 Amendments
Amendment by
Effective Date of 1997 Amendment
Amendment by section 5506 of
Amendment by section 5514(c) of
Effective Date
Section effective July 1, 1997, with delayed effective date for subsec. (a)(2)–(5), (8), (10) of this section, and with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
1 See References in Text note below.
§610. Appeal of adverse decision
(a) In general
Within 5 days after the date the Secretary takes any adverse action under this part with respect to a State, the Secretary shall notify the chief executive officer of the State of the adverse action, including any action with respect to the State plan submitted under
(b) Administrative review
(1) In general
Within 60 days after the date a State receives notice under subsection (a) of an adverse action, the State may appeal the action, in whole or in part, to the Departmental Appeals Board established in the Department of Health and Human Services (in this section referred to as the "Board") by filing an appeal with the Board.
(2) Procedural rules
The Board shall consider an appeal filed by a State under paragraph (1) on the basis of such documentation as the State may submit and as the Board may require to support the final decision of the Board. In deciding whether to uphold an adverse action or any portion of such an action, the Board shall conduct a thorough review of the issues and take into account all relevant evidence. The Board shall make a final determination with respect to an appeal filed under paragraph (1) not less than 60 days after the date the appeal is filed.
(c) Judicial review of adverse decision
(1) In general
Within 90 days after the date of a final decision by the Board under this section with respect to an adverse action taken against a State, the State may obtain judicial review of the final decision (and the findings incorporated into the final decision) by filing an action in—
(A) the district court of the United States for the judicial district in which the principal or headquarters office of the State agency is located; or
(B) the United States District Court for the District of Columbia.
(2) Procedural rules
The district court in which an action is filed under paragraph (1) shall review the final decision of the Board on the record established in the administrative proceeding, in accordance with the standards of review prescribed by subparagraphs (A) through (E) of
(Aug. 14, 1935, ch. 531, title IV, §410, as added
Editorial Notes
Prior Provisions
A prior section 610, act Aug. 14, 1935, ch. 531, title IV, §410, as added Oct. 21, 1976,
Another prior section 610, act Aug. 14, 1935, ch. 531, title IV, §410, as added Jan. 2, 1968,
Amendments
1997—
Statutory Notes and Related Subsidiaries
Effective Date of 1997 Amendment
Amendment by
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
§611. Data collection and reporting
(a) Quarterly reports by States
(1) General reporting requirement
(A) Contents of report
Each eligible State shall collect on a monthly basis, and report to the Secretary on a quarterly basis, the following disaggregated case record information on the families receiving assistance under the State program funded under this part (except for information relating to activities carried out under
(i) The county of residence of the family.
(ii) Whether a child receiving such assistance or an adult in the family is receiving—
(I) Federal disability insurance benefits;
(II) benefits based on Federal disability status;
(III) aid under a State plan approved under subchapter XIV (as in effect without regard to the amendment made by section 301 of the Social Security Amendments of 1972);
(IV) aid or assistance under a State plan approved under subchapter XVI (as in effect without regard to such amendment) by reason of being permanently and totally disabled; or
(V) supplemental security income benefits under subchapter XVI (as in effect pursuant to such amendment) by reason of disability.
(iii) The ages of the members of such families.
(iv) The number of individuals in the family, and the relation of each family member to the head of the family.
(v) The employment status and earnings of the employed adult in the family.
(vi) The marital status of the adults in the family, including whether such adults have never married, are widowed, or are divorced.
(vii) The race and educational level of each adult in the family.
(viii) The race and educational level of each child in the family.
(ix) Whether the family received subsidized housing, medical assistance under the State plan approved under subchapter XIX, supplemental nutrition assistance program benefits, or subsidized child care, and if the latter 2, the amount received.
(x) The number of months that the family has received each type of assistance under the program.
(xi) If the adults participated in, and the number of hours per week of participation in, the following activities:
(I) Education.
(II) Subsidized private sector employment.
(III) Unsubsidized employment.
(IV) Public sector employment, work experience, or community service.
(V) Job search.
(VI) Job skills training or on-the-job training.
(VII) Vocational education.
(xii) Information necessary to calculate participation rates under
(xiii) The type and amount of assistance received under the program, including the amount of and reason for any reduction of assistance (including sanctions).
(xiv) Any amount of unearned income received by any member of the family.
(xv) The citizenship of the members of the family.
(xvi) From a sample of closed cases, whether the family left the program, and if so, whether the family left due to—
(I) employment;
(II) marriage;
(III) the prohibition set forth in
(IV) sanction; or
(V) State policy.
(xvii) With respect to each individual in the family who has not attained 20 years of age, whether the individual is a parent of a child in the family.
(B) Use of samples
(i) Authority
A State may comply with subparagraph (A) by submitting disaggregated case record information on a sample of families selected through the use of scientifically acceptable sampling methods approved by the Secretary.
(ii) Sampling and other methods
The Secretary shall provide the States with such case sampling plans and data collection procedures as the Secretary deems necessary to produce statistically valid estimates of the performance of State programs funded under this part and any other State programs funded with qualified State expenditures (as defined in
(2) Report on use of Federal funds to cover administrative costs and overhead
The report required by paragraph (1) for a fiscal quarter shall include a statement of the percentage of the funds paid to the State under this part for the quarter that are used to cover administrative costs or overhead, with a separate statement of the percentage of such funds that are used to cover administrative costs or overhead incurred for programs operated with funds provided under
(3) Report on State expenditures on programs for needy families
The report required by paragraph (1) for a fiscal quarter shall include a statement of the total amount expended by the State during the quarter on programs for needy families, with a separate statement of the total amount expended by the State during the quarter on programs operated with funds provided under
(4) Report on noncustodial parents participating in work activities
The report required by paragraph (1) for a fiscal quarter shall include the number of noncustodial parents in the State who participated in work activities (as defined in
(5) Report on transitional services
The report required by paragraph (1) for a fiscal quarter shall include the total amount expended by the State during the quarter to provide transitional services to a family that has ceased to receive assistance under this part because of employment, along with a description of such services.
(6) Report on families receiving assistance
The report required by paragraph (1) for a fiscal quarter shall include for each month in the quarter—
(A) the number of families and individuals receiving assistance under the State program funded under this part (including the number of 2-parent and 1-parent families);
(B) the total dollar value of such assistance received by all families; and
(C) with respect to families and individuals participating in a program operated with funds provided under
(i) the total number of such families and individuals; and
(ii) the number of such families and individuals whose participation in such a program was terminated during a month.
(7) Regulations
The Secretary shall prescribe such regulations as may be necessary to define the data elements with respect to which reports are required by this subsection, and shall consult with the Secretary of Labor in defining the data elements with respect to programs operated with funds provided under
(b) Annual reports to Congress by Secretary
Not later than 6 months after the end of fiscal year 1997, and each fiscal year thereafter, the Secretary shall transmit to the Congress a report describing—
(1) whether the States are meeting—
(A) the participation rates described in
(B) the objectives of—
(i) increasing employment and earnings of needy families, and child support collections; and
(ii) decreasing out-of-wedlock pregnancies and child poverty;
(2) the demographic and financial characteristics of families applying for assistance, families receiving assistance, and families that become ineligible to receive assistance;
(3) the characteristics of each State program funded under this part; and
(4) the trends in employment and earnings of needy families with minor children living at home.
(c) Pre-reauthorization State-by-State reports on engagement in additional work activities and expenditures for other benefits and services
(1) State reporting requirements
(A) Reporting periods and deadlines
Each eligible State shall submit to the Secretary the following reports:
(i) March 2011 report
Not later than May 31, 2011, a report for the period that begins on March 1, 2011, and ends on March 31, 2011, that contains the information specified in subparagraphs (B) and (C).
(ii) April-June, 2011 report
Not later than August 31, 2011, a report for the period that begins on April 1, 2011, and ends on June 30, 2011, that contains with respect to the 3 months that occur during that period—
(I) the average monthly numbers for the information specified in subparagraph (B); and
(II) the information specified in subparagraph (C).
(B) Engagement in additional work activities
(i) With respect to each work-eligible individual in a family receiving assistance during a reporting period specified in subparagraph (A), whether the individual engages in any activities directed toward attaining self-sufficiency during a month occurring in a reporting period, and if so, the specific activities—
(I) that do not qualify as a work activity under
(II) that are of a type that would be counted toward the State participation rates under
(aa) the work-eligible individual did not engage in sufficient hours of the activity;
(bb) the work-eligible individual has reached the maximum time limit allowed for having participation in the activity counted toward the State's work participation rate; or
(cc) the number of work-eligible individuals engaged in such activity exceeds a limitation under such section.
(ii) Any other information that the Secretary determines appropriate with respect to the information required under clause (i), including if the individual has no hours of participation, the principal reason or reasons for such non-participation.
(C) Expenditures on other benefits and services
(i) Detailed, disaggregated information regarding the types of, and amounts of, expenditures made by the State during a reporting period specified in subparagraph (A) using—
(I) Federal funds provided under
(II) State funds expended to meet the requirements of
(ii) Any other information that the Secretary determines appropriate with respect to the information required under clause (i).
(2) Publication of summary and analysis of engagement in additional activities
Concurrent with the submission of each report required under paragraph (1)(A), an eligible State shall publish on an Internet website maintained by the State agency responsible for administering the State program funded under this part (or such State-maintained website as the Secretary may approve)—
(A) a summary of the information submitted in the report:
(B) an analysis statement regarding the extent to which the information changes measures of total engagement in work activities from what was (or will be) reported by the State in the quarterly report submitted under subsection (a) for the comparable period; and
(C) a narrative describing the most common activities contained in the report that are not countable toward the State participation rates under
(3) Application of authority to use sampling
Subparagraph (B) of subsection (a)(1) shall apply to the reports required under paragraph (1) of this subsection in the same manner as subparagraph (B) of subsection (a)(1) applies to reports required under subparagraph (A) of subsection (a)(1).
(4) Secretarial reports to Congress
(A) March 2011 report
Not later than June 30, 2011, the Secretary shall submit to Congress a report on the information submitted by eligible States for the March 2011 reporting period under paragraph (1)(A)(i). The report shall include a State-by-State summary and analysis of such information, identification of any States with missing or incomplete reports, and recommendations for such administrative or legislative changes as the Secretary determines are necessary to require eligible States to report the information on a recurring basis.
(B) April-June, 2011 report
Not later than September 30, 2011, the Secretary shall submit to Congress a report on the information submitted by eligible States for the April-June 2011 reporting period under paragraph (1)(A)(ii). The report shall include a State-by-State summary and analysis of such information, identification of any States with missing or incomplete reports, and recommendations for such administrative or legislative changes as the Secretary determines are necessary to require eligible States to report the information on a recurring basis 1
(5) Authority for expeditious implementation
The requirements of
(d) Data exchange standardization for improved interoperability
(1) Data exchange standards
(A) Designation
The Secretary, in consultation with an interagency work group which shall be established by the Office of Management and Budget, and considering State and tribal perspectives, shall, by rule, designate a data exchange standard for any category of information required to be reported under this part.
(B) Data exchange standards must be nonproprietary and interoperable
The data exchange standard designated under subparagraph (A) shall, to the extent practicable, be nonproprietary and interoperable.
(C) Other requirements
In designating data exchange standards under this section, the Secretary shall, to the extent practicable, incorporate—
(i) interoperable standards developed and maintained by an international voluntary consensus standards body, as defined by the Office of Management and Budget, such as the International Organization for Standardization;
(ii) interoperable standards developed and maintained by intergovernmental partnerships, such as the National Information Exchange Model; and
(iii) interoperable standards developed and maintained by Federal entities with authority over contracting and financial assistance, such as the Federal Acquisition Regulatory Council.
(2) Data exchange standards for reporting
(A) Designation
The Secretary, in consultation with an interagency work group established by the Office of Management and Budget, and considering State and tribal perspectives, shall, by rule, designate data exchange standards to govern the data reporting required under this part.
(B) Requirements
The data exchange standards required by subparagraph (A) shall, to the extent practicable—
(i) incorporate a widely-accepted, nonproprietary, searchable, computer-readable format;
(ii) be consistent with and implement applicable accounting principles; and
(iii) be capable of being continually upgraded as necessary.
(C) Incorporation of nonproprietary standards
In designating reporting standards under this paragraph, the Secretary shall, to the extent practicable, incorporate existing nonproprietary standards, such as the eXtensible Markup Language.
(Aug. 14, 1935, ch. 531, title IV, §411, as added
Amendment of Section
(e) Pilot projects for promoting accountability by measuring work outcomes
(1) In general
The Secretary shall carry out a pilot program under which the Secretary may select up to 5 States to which a grant is made under
(A) the percentage of work-eligible individuals under the State program funded under this part who are in unsubsidized employment during the 2nd quarter after exiting the program;
(B) the level of earnings of such individuals in the 2nd and 4th quarters after exit; and
(C) other indicators of family stability and well-being as established by the Secretary.
(2) Level of performance benchmark
The Secretary and a State selected under paragraph (1) shall agree to the requisite level of performance on these benchmarks after developing baseline data in the State and comparative data in other States.
(3) Failure of State to meet benchmark
If a State fails to meet a measured benchmark standard agreed to under paragraph (2) for 2 successive fiscal years, the State, in order to continue in the pilot shall enter into a plan with the Secretary to achieve the required level of performance or, if mutually agreed to, adjust the benchmark based on new information about the feasibility of meeting such benchmark.
(4) Duration
The pilot under this subsection shall be in effect for 6 fiscal years, with one year to establish benchmark data and negotiate targets and five years to measure performance against the targets, and shall supersede the requirements under
(5) Application of penalty for failure to reduce assistance for recipients refusing without good cause to work
For purposes of
(6) Collection of performance data
Each State selected under paragraph (1), in consultation with the Secretary, shall collect and submit to the Secretary data on the performance of the State operating such a pilot program.
(7) Reports
(A) Initial report
Not later than 12 months after June 3, 2023, the Secretary shall submit a report to Congress on the status of the program under this section.
(B) Final report
Not later than 12 months after the date on which the programs under this section have terminated, the Secretary shall submit a comprehensive report to Congress on outcomes achieved under such programs.
(f) Reporting performance indicators
(1) In general
Each State, in consultation with the Secretary, shall collect and submit to the Secretary the information necessary for each indicator described in paragraph (2), for fiscal year 2025 and each fiscal year thereafter.
(2) Indicators of performance
The indicators described in this paragraph for a fiscal year are the following:
(A) The percentage of individuals who were work-eligible individuals as of the time of exit from the program, who are in unsubsidized employment during the second quarter after the exit.
(B) The percentage of individuals who were work-eligible individuals who were in unsubsidized employment in the second quarter after the exit, who are also in unsubsidized employment during the fourth quarter after the exit.
(C) The median earnings of individuals who were work-eligible individuals as of the time of exit from the program, who are in unsubsidized employment during the second quarter after the exit.
(D) The percentage of individuals who have not attained 24 years of age, are attending high school or enrolled in an equivalency program, and are work-eligible individuals or were work-eligible individuals as of the time of exit from the program, who obtain a high school degree or its recognized equivalent while receiving assistance under the State program funded under this part or within 1 year after the exit.
(3) Definition of exit
In paragraph (2), the term "exit" means, with respect to a State program funded under this part, ceases to receive assistance under the program funded by this part.
(4) Regulations
In order to ensure nationwide comparability of data, the Secretary, after consultation with the Secretary of Labor and with States, shall issue regulations governing the reporting of performance indicators under this subsection.
See 2023 Amendment notes below.
Editorial Notes
References in Text
Section 301 of the Social Security Amendments of 1972, referred to in subsec. (a)(1)(A)(ii)(III), is section 301 of
Codification
Prior Provisions
A prior section 611, act Aug. 14, 1935, ch. 531, title IV, §411, as added Dec. 20, 1977,
Amendments
2023—Subsec. (e).
Subsec. (f).
2012—Subsec. (a)(1)(A)(ii)(III).
Subsec. (d).
2010—Subsec. (c).
2008—Subsec. (a)(1)(A)(ix).
2006—Subsec. (a)(1)(A).
Subsec. (a)(1)(B)(ii).
1999—Subsec. (a)(1)(A).
Subsec. (a)(1)(A)(xviii).
1997—
Subsec. (a)(1)(A)(ii).
Subsec. (a)(1)(A)(iv).
Subsec. (a)(1)(A)(vii), (viii).
Subsec. (a)(1)(A)(xvii).
Subsec. (a)(1)(A)(xviii).
Subsec. (a)(1)(B).
Subsec. (a)(2).
Subsec. (a)(3).
Subsec. (a)(4).
Subsec. (a)(6).
Subsec. (a)(6)(C).
Subsec. (a)(7).
Statutory Notes and Related Subsidiaries
Effective Date of 2023 Amendment
Amendment by
Effective Date of 2012 Amendment; Regulations
"(1)
"(2)
Effective Date of 2008 Amendment
Amendment of this section and repeal of
Amendment by section 4002(b)(1)(E), (2)(V) of
Effective Date of 2006 Amendment
Amendment by
Effective Date of 1997 Amendment
Amendment by section 5507 of
Amendment by section 5514(c) of
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
1 So in original. Probably should be followed by a period.
§611a. State required to provide certain information
Each State to which a grant is made under
(Aug. 14, 1935, ch. 531, title IV, §411A, as added
Statutory Notes and Related Subsidiaries
Abolition of Immigration and Naturalization Service and Transfer of Functions
For abolition of Immigration and Naturalization Service, transfer of functions, and treatment of related references, see note set out under
§612. Direct funding and administration by Indian tribes
(a) Grants for Indian tribes
(1) Tribal family assistance grant
(A) In general
For each of fiscal years 2017 and 2018, the Secretary shall pay to each Indian tribe that has an approved tribal family assistance plan a tribal family assistance grant for the fiscal year in an amount equal to the amount determined under subparagraph (B), which shall be reduced for a fiscal year, on a pro rata basis for each quarter, in the case of a tribal family assistance plan approved during a fiscal year for which the plan is to be in effect, and shall reduce the grant payable under
(B) Amount determined
(i) In general
The amount determined under this subparagraph is an amount equal to the total amount of the Federal payments to a State or States under
(ii) Use of State submitted data
(I) In general
The Secretary shall use State submitted data to make each determination under clause (i).
(II) Disagreement with determination
If an Indian tribe or tribal organization disagrees with State submitted data described under subclause (I), the Indian tribe or tribal organization may submit to the Secretary such additional information as may be relevant to making the determination under clause (i) and the Secretary may consider such information before making such determination.
(2) Grants for Indian tribes that received jobs funds
(A) In general
For each of fiscal years 2017 and 2018, the Secretary shall pay to each eligible Indian tribe that proposes to operate a program described in subparagraph (C) a grant in an amount equal to the amount received by the Indian tribe in fiscal year 1994 under
(B) Eligible Indian tribe
For purposes of subparagraph (A), the term "eligible Indian tribe" means an Indian tribe or Alaska Native organization that conducted a job opportunities and basic skills training program in fiscal year 1995 under
(C) Use of grant
Each Indian tribe to which a grant is made under this paragraph shall use the grant for the purpose of operating a program to make work activities available to such population and such service area or areas as the tribe specifies.
(D) Appropriation
Out of any money in the Treasury of the United States not otherwise appropriated, there are appropriated $7,633,287 for each fiscal year specified in subparagraph (A) for grants under subparagraph (A).
(3) Welfare-to-work grants
(A) In general
The Secretary of Labor shall award a grant in accordance with this paragraph to an Indian tribe for each fiscal year specified in
(B) Welfare-to-work tribe
An Indian tribe shall be considered a welfare-to-work tribe for a fiscal year for purposes of this paragraph if the Indian tribe meets the following requirements:
(i) The Indian tribe has submitted to the Secretary of Labor a plan which describes how, consistent with
(ii) The Indian tribe is operating a program under a tribal family assistance plan approved by the Secretary of Health and Human Services, a program described in paragraph (2)(C), or an employment program funded through other sources under which substantial services are provided to recipients of assistance under a program funded under this part.
(iii) The Indian tribe has provided the Secretary of Labor with an estimate of the amount that the Indian tribe intends to expend during the fiscal year (excluding tribal expenditures described in section 609(a)(7)(B)(iv) (other than subclause (III) thereof) of this title) pursuant to this paragraph.
(iv) The Indian tribe has agreed to negotiate in good faith with the Secretary of Health and Human Services with respect to the substance and funding of any evaluation under
(C) Limitations on use of funds
(i) In general
(ii) Waiver authority
The Secretary of Labor may waive or modify the application of a provision of section 603(a)(5)(C) (other than clause (viii) thereof) of this title with respect to an Indian tribe to the extent necessary to enable the Indian tribe to operate a more efficient or effective program with the funds provided under this paragraph.
(iii) Regulations
Within 90 days after August 5, 1997, the Secretary of Labor, after consultation with the Secretary of Health and Human Services and the Secretary of Housing and Urban Development, shall prescribe such regulations as may be necessary to implement this paragraph.
(b) 3-year tribal family assistance plan
(1) In general
Any Indian tribe that desires to receive a tribal family assistance grant shall submit to the Secretary a 3-year tribal family assistance plan that—
(A) outlines the Indian tribe's approach to providing welfare-related services for the 3-year period, consistent with this section;
(B) specifies whether the welfare-related services provided under the plan will be provided by the Indian tribe or through agreements, contracts, or compacts with intertribal consortia, States, or other entities;
(C) identifies the population and service area or areas to be served by such plan;
(D) provides that a family receiving assistance under the plan may not receive duplicative assistance from other State or tribal programs funded under this part;
(E) identifies the employment opportunities in or near the service area or areas of the Indian tribe and the manner in which the Indian tribe will cooperate and participate in enhancing such opportunities for recipients of assistance under the plan consistent with any applicable State standards; and
(F) applies the fiscal accountability provisions of section 5(f)(1) of the Indian Self-Determination and Education Assistance Act (
(2) Approval
The Secretary shall approve each tribal family assistance plan submitted in accordance with paragraph (1).
(3) Consortium of tribes
Nothing in this section shall preclude the development and submission of a single tribal family assistance plan by the participating Indian tribes of an intertribal consortium.
(c) Minimum work participation requirements and time limits
The Secretary, with the participation of Indian tribes, shall establish for each Indian tribe receiving a grant under this section minimum work participation requirements, appropriate time limits for receipt of welfare-related services under the grant, and penalties against individuals—
(1) consistent with the purposes of this section;
(2) consistent with the economic conditions and resources available to each tribe; and
(3) similar to comparable provisions in
(d) Emergency assistance
Nothing in this section shall preclude an Indian tribe from seeking emergency assistance from any Federal loan program or emergency fund.
(e) Accountability
Nothing in this section shall be construed to limit the ability of the Secretary to maintain program funding accountability consistent with—
(1) generally accepted accounting principles; and
(2) the requirements of the Indian Self-Determination and Education Assistance Act (
(f) Eligibility for Federal loans
(g) Penalties
(1) Subsections (a)(1), (a)(6), (b), and (c) of
(2)
(h) Data collection and reporting
(i) Special rule for Indian tribes in Alaska
(1) In general
Notwithstanding any other provision of this section, and except as provided in paragraph (2), an Indian tribe in the State of Alaska that receives a tribal family assistance grant under this section shall use the grant to operate a program in accordance with requirements comparable to the requirements applicable to the program of the State of Alaska funded under this part. Comparability of programs shall be established on the basis of program criteria developed by the Secretary in consultation with the State of Alaska and such Indian tribes.
(2) Waiver
An Indian tribe described in paragraph (1) may apply to the appropriate State authority to receive a waiver of the requirement of paragraph (1).
(Aug. 14, 1935, ch. 531, title IV, §412, as added
Editorial Notes
References in Text
Part F, referred to in subsec. (a)(1)(B)(i), was classified to
The Indian Self-Determination and Education Assistance Act, referred to in subsecs. (b)(1)(F) and (e)(2), is
Prior Provisions
A prior section 612, act Aug. 14, 1935, ch. 531, title IV, §412, as added June 17, 1980,
Amendments
2017—Subsec. (a)(1)(A), (2)(A).
2012—Subsec. (a)(1)(A), (2)(A).
2003—Subsec. (a)(1)(A), (2)(A).
2000—Subsec. (a)(3)(A).
1999—Subsec. (a)(3)(C)(ii).
1997—
Subsec. (a)(1)(A).
Subsec. (a)(2)(A).
Subsec. (a)(2)(C).
Subsec. (a)(2)(D).
Subsec. (a)(3).
Subsec. (f).
Subsec. (f)(1).
Subsecs. (g) to (i).
Statutory Notes and Related Subsidiaries
Effective Date of 2003 Amendment
Amendment by
Effective Date of 2000 Amendment
Amendment by
Effective Date of 1999 Amendment
For effective date of amendment by
Effective Date of 1997 Amendment
Amendment by section 5508 of
Amendment by section 5514(c) of
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
1 See References in Text note below.
§613. Evaluation of temporary assistance for needy families and related programs
(a) Evaluation of the impacts of TANF
The Secretary shall conduct research on the effect of State programs funded under this part and any other State program funded with qualified State expenditures (as defined in
(b) Evaluation of grants to improve child well-being by promoting healthy marriage and responsible fatherhood
The Secretary shall conduct research to determine the effects of the grants made under
(c) Dissemination of information
The Secretary shall, in consultation with States receiving funds provided under this part, develop methods of disseminating information on any research, evaluation, or study conducted under this section, including facilitating the sharing of information and best practices among States and localities.
(d) State-initiated evaluations
A State shall be eligible to receive funding to evaluate the State program funded under this part or any other State program funded with qualified State expenditures (as defined in
(1) the State submits to the Secretary a description of the proposed evaluation;
(2) the Secretary determines that the design and approach of the proposed evaluation is rigorous and is likely to yield information that is credible and will be useful to other States; and
(3) unless waived by the Secretary, the State contributes to the cost of the evaluation, from non-Federal sources, an amount equal to at least 25 percent of the cost of the proposed evaluation.
(e) Census Bureau research
(1) The Bureau of the Census shall implement or enhance household surveys of program participation, in consultation with the Secretary and the Bureau of Labor Statistics and made available to interested parties, to allow for the assessment of the outcomes of continued welfare reform on the economic and child well-being of low-income families with children, including those who received assistance or services from a State program funded under this part or any other State program funded with qualified State expenditures (as defined in
(2) To carry out the activities specified in paragraph (1), the Bureau of the Census, the Secretary, and the Bureau of Labor Statistics shall consider ways to improve the surveys and data derived from the surveys to—
(A) address under reporting of the receipt of means-tested benefits and tax benefits for low-income individuals and families;
(B) increase understanding of poverty spells and long-term poverty, including by facilitating the matching of information to better understand intergenerational poverty;
(C) generate a better geographical understanding of poverty such as through State-based estimates and measures of neighborhood poverty;
(D) increase understanding of the effects of means-tested benefits and tax benefits on the earnings and incomes of low-income families; and
(E) improve how poverty and economic well-being are measured, including through the use of consumption measures, material deprivation measures, social exclusion measures, and economic and social mobility measures.
(f) Research and evaluation conducted under this section
Research and evaluation conducted under this section designed to determine the effects of a program or policy (other than research conducted under subsection (e)) shall use experimental designs using random assignment or other reliable, evidence-based research methodologies that allow for the strongest possible causal inferences when random assignment is not feasible.
(g) Development of What Works Clearinghouse of Proven and Promising Approaches 1 to Move Welfare Recipients into Work
(1) In general
The Secretary, in consultation with the Secretary of Labor, shall develop a database (which shall be referred to as the "What Works Clearinghouse of Proven and Promising Projects to Move Welfare Recipients into Work") of the projects that used a proven approach or a promising approach in moving welfare recipients into work, based on independent, rigorous evaluations of the projects. The database shall include a separate listing of projects that used a developmental approach in delivering services and a further separate listing of the projects with no or negative effects. The Secretary shall add to the What Works Clearinghouse of Proven and Promising Projects to Move Welfare Recipients into Work data about the projects that, based on an independent, well-conducted experimental evaluation of a program or project, using random assignment or other research methodologies that allow for the strongest possible causal inferences, have shown they are proven, promising, developmental, or ineffective approaches.
(2) Criteria for evidence of effectiveness of approach
The Secretary, in consultation with the Secretary of Labor and organizations with experience in evaluating research on the effectiveness of various approaches in delivering services to move welfare recipients into work, shall—
(A) establish criteria for evidence of effectiveness; and
(B) ensure that the process for establishing the criteria—
(i) is transparent;
(ii) is consistent across agencies;
(iii) provides opportunity for public comment; and
(iv) takes into account efforts of Federal agencies to identify and publicize effective interventions, including efforts at the Department of Health and Human Services, the Department of Education, and the Department of Justice.
(h) Appropriation
(1) In general
Of the amount appropriated by
(2) Allocation
Of the amount made available under paragraph (1) for each fiscal year, the Secretary shall make available $10,000,000 plus such additional amount as the Secretary deems necessary and appropriate, to carry out subsection (e).
(3) Baseline
The baseline established pursuant to
(Aug. 14, 1935, ch. 531, title IV, §413, as added
Editorial Notes
Codification
Prior Provisions
A prior section 613, act Aug. 14, 1935, ch. 531, title IV, §413, as added June 9, 1980,
Amendments
2017—
2014—Subsec. (h)(1).
2012—Subsec. (h)(1).
2008—Subsec. (i)(5).
1999—Subsec. (g)(1).
1998—Subsec. (g)(1).
1997—
Subsec. (a).
Subsec. (e)(1).
"(A)
"(i)
"(I) the total number of out-of-wedlock births in families receiving assistance under the State program under this part in the State for the most recent fiscal year for which information is available; over
"(II) the total number of births in families receiving assistance under the State program under this part in the State for such year.
"(ii)
Subsec. (h)(1)(D).
Subsec. (i)(1).
Subsec. (i)(5).
Subsec. (j).
Statutory Notes and Related Subsidiaries
Effective Date of 2008 Amendment
Amendment of this section and repeal of
Amendment by section 4002(b)(1)(D), (2)(V) of
Effective Date of 1999 Amendment
Amendment by
Effective Date of 1997 Amendment
Amendment by section 5509 of
Amendment by section 5514(c) of
Effective Date
Section effective Aug. 22, 1996, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
Funding of Research, Evaluations, and National Studies
Coordination of Substance Abuse and Child Protection Services
GAO Study of Effect of Family Violence on Need for Public Assistance
Study on Alternative Outcomes Measures
1 So in original. The word "Projects" is used in text.
§614. Repealed. Pub. L. 113–235, div. G, title II, §228(f), Dec. 16, 2014, 128 Stat. 2492
Section, Aug. 14, 1935, ch. 531, title IV, §414, as added
A prior section 614, act Aug. 14, 1935, ch. 531, title IV, §414, as added Aug. 13, 1981,
§615. Waivers
(a) Continuation of waivers
(1) Waivers in effect on August 22, 1996
(A) In general
Except as provided in subparagraph (B), if any waiver granted to a State under
(B) Financing limitation
Notwithstanding any other provision of law, beginning with fiscal year 1996, a State operating under a waiver described in subparagraph (A) shall be entitled to payment under
(2) Waivers granted subsequently
(A) In general
Except as provided in subparagraph (B), if any waiver granted to a State under
(B) No effect on new work requirements
Notwithstanding subparagraph (A), a waiver granted under
(b) State option to terminate waiver
(1) In general
A State may terminate a waiver described in subsection (a) before the expiration of the waiver.
(2) Report
A State which terminates a waiver under paragraph (1) shall submit a report to the Secretary summarizing the waiver and any available information concerning the result or effect of the waiver.
(3) Hold harmless provision
(A) In general
Notwithstanding any other provision of law, a State that, not later than the date described in subparagraph (B) of this paragraph, submits a written request to terminate a waiver described in subsection (a) shall be held harmless for accrued cost neutrality liabilities incurred under the waiver.
(B) Date described
The date described in this subparagraph is 90 days following the adjournment of the first regular session of the State legislature that begins after August 22, 1996.
(c) Secretarial encouragement of current waivers
The Secretary shall encourage any State operating a waiver described in subsection (a) to continue the waiver and to evaluate, using random sampling and other characteristics of accepted scientific evaluations, the result or effect of the waiver.
(d) Continuation of individual waivers
A State may elect to continue 1 or more individual waivers described in subsection (a).
(Aug. 14, 1935, ch. 531, title IV, §415, as added
Editorial Notes
References in Text
The Personal Responsibility and Work Opportunity Reconciliation Act of 1996, referred to in subsec. (a)(1)(A), (2)(A), is
Prior Provisions
A prior section 615, act Aug. 14, 1935, ch. 531, title IV, §415, as added Aug. 13, 1981,
Amendments
1997—
Statutory Notes and Related Subsidiaries
Effective Date of 1997 Amendment
Amendment by
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
§616. Administration
The programs under this part and part D shall be administered by an Assistant Secretary for Family Support within the Department of Health and Human Services, who shall be appointed by the President, by and with the advice and consent of the Senate, and who shall be in addition to any other Assistant Secretary of Health and Human Services provided for by law, and the Secretary shall reduce the Federal workforce within the Department of Health and Human Services by an amount equal to the sum of 75 percent of the full-time equivalent positions at such Department that relate to any direct spending program, or any program funded through discretionary spending, that has been converted into a block grant program under the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 and the amendments made by such Act, and by an amount equal to 75 percent of that portion of the total full-time equivalent departmental management positions at such Department that bears the same relationship to the amount appropriated for any direct spending program, or any program funded through discretionary spending, that has been converted into a block grant program under the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 and the amendments made by such Act, as such amount relates to the total amount appropriated for use by such Department, and, notwithstanding any other provision of law, the Secretary shall take such actions as may be necessary, including reductions in force actions, consistent with
(Aug. 14, 1935, ch. 531, title IV, §416, as added
Editorial Notes
References in Text
The Personal Responsibility and Work Opportunity Reconciliation Act of 1996, referred to in text, is
Section 103 of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, referred to in text, is section 103 of
Prior Provisions
A prior section 616, act Aug. 14, 1935, ch. 531, title IV, §416, as added Dec. 22, 1987,
Amendments
1999—
1997—
Statutory Notes and Related Subsidiaries
Effective Date of 1999 Amendment
Amendment by
Effective Date of 1997 Amendment
Amendment by section 5514(c) of
Amendment by section 5514(d) of
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
§617. Limitation on Federal authority
No officer or employee of the Federal Government may regulate the conduct of States under this part or enforce any provision of this part, except to the extent expressly provided in this part.
(Aug. 14, 1935, ch. 531, title IV, §417, as added
Editorial Notes
Prior Provisions
A prior section 617, act Aug. 14, 1935, ch. 531, title IV, §417, formerly §418, as added Oct. 13, 1988,
Amendments
1997—
Statutory Notes and Related Subsidiaries
Effective Date of 1997 Amendment
Amendment by
Effective Date
Section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of
§618. Funding for child care
(a) General child care entitlement
(1) General entitlement
Subject to the amount appropriated under paragraph (3), each State shall, for the purpose of providing child care assistance, be entitled to payments under a grant under this subsection for a fiscal year in an amount equal to the greater of—
(A) the total amount required to be paid to the State under
(B) the average of the total amounts required to be paid to the State for fiscal years 1992 through 1994 under the subsections referred to in subparagraph (A).
(2) Remainder
(A) Grants
The Secretary shall use any amounts appropriated for a fiscal year under paragraph (3)(A), after grants are awarded under paragraph (1), to make grants to States under this paragraph.
(B) Allotments to States
The total amount available for payments to States under this paragraph, as determined under subparagraph (A), shall be allotted among the States based on the formula used for determining the amount of Federal payments to each State under
(C) Federal matching of State expenditures exceeding historical expenditures
The Secretary shall pay to each eligible State for a fiscal year an amount equal to the lesser of the State's allotment under subparagraph (B) or the Federal medical assistance percentage for the State for the fiscal year (as defined in
(D) Redistribution
(i) In general
With respect to any fiscal year, if the Secretary determines (in accordance with clause (ii)) that any amounts allotted to a State under this paragraph for such fiscal year will not be used by such State during such fiscal year for carrying out the purpose for which such amounts are allotted, the Secretary shall make such amounts available in the subsequent fiscal year for carrying out such purpose to one or more States which apply for such funds to the extent the Secretary determines that such States will be able to use such additional amounts for carrying out such purpose. Such available amounts shall be redistributed to a State pursuant to
(ii) Time of determination and distribution
The determination of the Secretary under clause (i) for a fiscal year shall be made not later than the end of the first quarter of the subsequent fiscal year. The redistribution of amounts under clause (i) shall be made as close as practicable to the date on which such determination is made. Any amount made available to a State from an appropriation for a fiscal year in accordance with this subparagraph shall, for purposes of this part, be regarded as part of such State's payment (as determined under this subsection) for the fiscal year in which the redistribution is made.
(3) Appropriation
For grants under this section, there are appropriated $3,550,000,000 for each fiscal year, of which—
(A) $3,375,000,000 shall be available for grants to States;
(B) $100,000,000 shall be available for grants to Indian tribes and tribal organizations; and
(C) $75,000,000 shall be available for grants to territories.
(4) Territories
(A) Grants
The Secretary shall use the amounts made available by paragraph (3)(C) to make grants to the territories under this paragraph.
(B) Allotments
The amount described in subparagraph (A) shall be allotted among the territories in proportion to their respective needs.
(C) Redistribution
The 1st sentence of clause (i) and clause (ii) of paragraph (2)(D) shall apply with respect to the amounts allotted to the territories under this paragraph, except that the 2nd sentence of paragraph (2)(D) shall not apply and the amounts allotted to the territories that are available for redistribution for a fiscal year shall be redistributed to each territory that applies for the additional amounts, to the extent that the Secretary determines that the territory will be able to use the additional amounts to provide child care assistance, in an amount that bears the same ratio to the amount so available for redistribution as the amount allotted to the territory for the fiscal year bears to the total amount allotted to all the territories receiving redistributed funds under this paragraph for the fiscal year.
(D) Inapplicability of payment limitation
(E) Territory
In this paragraph, the term "territory" means the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands.
(5) Data used to determine State and Federal shares of expenditures
In making the determinations concerning expenditures required under paragraphs (1) and (2)(C), the Secretary shall use information that was reported by the State on ACF Form 231 and available as of the applicable dates specified in clauses (i)(I), (ii), and (iii)(III) of section 603(a)(1)(D) 1 of this title.
(b) Use of funds
(1) In general
Amounts received by a State under this section shall only be used to provide child care assistance. Amounts received by a State under a grant under subsection (a)(1) shall be available for use by the State without fiscal year limitation.
(2) Use for certain populations
A State shall ensure that not less than 70 percent of the total amount of funds received by the State in a fiscal year under this section are used to provide child care assistance to families who are receiving assistance under a State program under this part, families who are attempting through work activities to transition off of such assistance program, and families who are at risk of becoming dependent on such assistance program.
(c) Application of Child Care and Development Block Grant Act of 1990
Notwithstanding any other provision of law, amounts provided to a State under this section shall be transferred to the lead agency under the Child Care and Development Block Grant Act of 1990 [
(d) "State" defined
As used in this section, the term "State" means each of the 50 States and the District of Columbia.
(Aug. 14, 1935, ch. 531, title IV, §418, as added
Editorial Notes
References in Text
The Child Care and Development Block Grant Act of 1990, referred to in subsec. (c), is subchapter C (§658A et seq.) of
Amendments
2021—Subsec. (a)(2)(A).
Subsec. (a)(3).
Subsec. (a)(4).
2017—Subsec. (a)(3).
2012—Subsec. (a)(3).
2006—Subsec. (a)(3)(G).
2003—Subsec. (a)(3)(F).
1997—Subsec. (a)(1).
Subsec. (a)(1)(A).
"(i) 602(g) of this title (as such section was in effect before October 1, 1995); and
"(ii) 602(i) of this title (as so in effect); or".
Subsec. (a)(1)(B).
Subsec. (a)(2)(B).
Subsec. (a)(2)(C).
Subsec. (a)(2)(D)(i).
Subsec. (a)(5).
Subsec. (d).
Statutory Notes and Related Subsidiaries
Effective Date of 2006 Amendment
Amendment by
Effective Date of 2003 Amendment
Amendment by
Effective Date of 1997 Amendment
"(a)
"(b)
Effective Date
Section effective Oct. 1, 1996, see section 615 of
Modification of State Match Requirement for Funding Increases in Fiscal Years 2021 and 2022
1 See References in Text note below.
§619. Definitions
As used in this part:
(1) Adult
The term "adult" means an individual who is not a minor child.
(2) Minor child
The term "minor child" means an individual who—
(A) has not attained 18 years of age; or
(B) has not attained 19 years of age and is a full-time student in a secondary school (or in the equivalent level of vocational or technical training).
(3) Fiscal year
The term "fiscal year" means any 12-month period ending on September 30 of a calendar year.
(4) Indian, Indian tribe, and tribal organization
(A) In general
Except as provided in subparagraph (B), the terms "Indian", "Indian tribe", and "tribal organization" have the meaning given such terms by
(B) Special rule for Indian tribes in Alaska
The term "Indian tribe" means, with respect to the State of Alaska, only the Metlakatla Indian Community of the Annette Islands Reserve and the following Alaska Native regional nonprofit corporations:
(i) Arctic Slope Native Association.
(ii) Kawerak, Inc.
(iii) Maniilaq Association.
(iv) Association of Village Council Presidents.
(v) Tanana Chiefs Conference.
(vi) Cook Inlet Tribal Council.
(vii) Bristol Bay Native Association.
(viii) Aleutian and Pribilof Island Association.
(ix) Chugachmuit.
(x) Tlingit Haida Central Council.
(xi) Kodiak Area Native Association.
(xii) Copper River Native Association.
(5) State
Except as otherwise specifically provided, the term "State" means the 50 States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, and American Samoa.
(Aug. 14, 1935, ch. 531, title IV, §419, as added
Statutory Notes and Related Subsidiaries
Effective Date
Par. (4) of this section effective Oct. 1, 1996, with remainder of section effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of