HR 4092 RH
Union Calendar No. 267
107th CONGRESS
2d Session
H. R. 4092
[Report No. 107-452, Part I]
To enhance the opportunities of needy families to achieve
self-sufficiency and access quality child care, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
APRIL 9, 2002
Mr. MCKEON (for himself, Mr. BOEHNER, Mr. PETRI, Mr. HOEKSTRA, Mr. GREENWOOD,
Mr. UPTON, Mr. TANCREDO, Mr. DEMINT, Mr. ISAKSON, Mr. KELLER, and Mr. CULBERSON)
introduced the following bill; which was referred to the Committee on Education
and the Workforce, and in addition to the Committee on Ways and Means, for a
period to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the
committee concerned
May 10, 2002
Additional sponsors: Mr. PAYNE, Mr. GILMAN, Mr. ROHRABACHER, Mr. WOLF, Ms.
ROS-LEHTINEN, Mr. PITTS, Mr. TANCREDO, Mr. DINGELL, Mr. DIAZ-BALART, Mr.
HILLIARD, Mr. BLUMENAUER, Mrs. NAPOLITANO, Mrs. CLAYTON, Mr. MEEKS of New York,
Mr. BERMAN, Mr. SANDERS, Mr. KING, Mr. MCHUGH, Ms. HART, Ms. EDDIE BERNICE
JOHNSON of Texas, Ms. MCKINNEY, Mr. HOEFFEL, Mr. ISSA, Mr. ROEMER, Mr. HYDE, Mr.
LANTOS, Mr. HOUGHTON, Mr. BEREUTER, Mr. WAXMAN, Mr. CLEMENT, Mr. ISAKSON, Mr.
HALL of Ohio, Ms. LEE, Ms. ROYBAL-ALLARD, Mr. MCNULTY, Mr. MICA, Mr. YOUNG of
Alaska, Mr. WALSH, Mr. CASTLE, Ms. MILLENDER-MCDONALD, Mrs. DAVIS of California,
Mr. GREENWOOD, Mrs. MORELLA, Mr. MORAN of Virginia, Ms. BROWN of Florida, Mrs.
MEEK of Florida, Mr. SMITH of Washington, Ms. ESHOO, Mr. KIRK, Mr. NETHERCUTT,
Mr. WEXLER, Ms. WOOLSEY, Mr. CAMP, Mr. WILSON of South Carolina, Ms. DUNN, Mr.
BISHOP, Mr. TOM DAVIS of Virginia, Mr. SHAYS, Mr. SHAW, Mr. SCHAFFER, Mr.
JEFFERSON, Ms. SLAUGHTER, Mr. BENTSEN, Mr. OBERSTAR, Mr. UDALL of Colorado, Mr.
MCDERMOTT, Mr. THOMPSON of Mississippi, Mr. DICKS, Mr. KILDEE, Mr. LUTHER, Mr.
PRICE of North Carolina, Mr. RODRIGUEZ, Ms. CARSON of Indiana, Mr. PASTOR, Mr.
RANGEL, Mrs. MINK of Hawaii, Mr. FILNER, Mr. BROWN of Ohio, and Mr. FALEOMAVAEGA
May 10, 2002
Reported from the Committee on Education and the Workforce with an amendment
[Strike out all after the enacting clause and insert the part printed in
italic]
May 10, 2002
Referral to the Committee on Ways and Means extended for a period not later
than May 10, 2002
May 10, 2002
The Committee on Ways and Means discharged; committed to the Committee of the
Whole House on the State of the Union and ordered to be printed
[For text of introduced bill, see copy of bill as introduced on April 9,
2002]
A BILL
To enhance the opportunities of needy families to achieve
self-sufficiency and access quality child care, and for other purposes.
Be it enacted by the Senate and House of Representatives of the United
States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE- This Act may be cited as the `Working Toward
Independence Act of 2002'.
(b) TABLE OF CONTENTS- The table of contents of this Act is as
follows:
TITLE I--TANF PROGRAM
Sec. 101. Work participation requirements.
Sec. 102. Universal engagement policy.
Sec. 103. Work-related performance objectives.
Sec. 104. Bonus to reward employment achievement.
Sec. 105. Report on integration.
Sec. 107. Purpose of work participation requirements.
Sec. 108. State TANF programs made mandatory partners with one-stop
employment training centers.
Sec. 109. Longitudinal study of TANF applicants and recipients to
determine the factors that contribute to the ability of people to comply
with TANF work requirements.
TITLE II--AMENDMENTS TO THE CHILD CARE AND DEVELOPMENT BLOCK GRANT ACT
OF 1990
Sec. 203. Authorization of appropriations.
Sec. 204. Application and plan.
Sec. 205. Activities to improve the quality of child
care.
TITLE III--BROADENED WAIVER AUTHORITY
Sec. 301. State program demonstration projects.
TITLE VII--EFFECTIVE DATE
Sec. 401. Effective date.
TITLE I--TANF PROGRAM
SEC. 101. WORK PARTICIPATION REQUIREMENTS.
(a) IN GENERAL- Section 407 of the Social Security Act (42 U.S.C. 607)
is amended by striking all that precedes subsection (b)(3) and inserting the
following:
`SEC. 407. WORK PARTICIPATION REQUIREMENTS.
`(a) PARTICIPATION RATE REQUIREMENTS- A State to which a grant is made
under section 403 for a fiscal year shall achieve a minimum participation rate
equal to not less than--
`(1) 50 percent for fiscal year 2003;
`(2) 55 percent for fiscal year 2004;
`(3) 60 percent for fiscal year 2005;
`(4) 65 percent for fiscal year 2006; and
`(5) 70 percent for fiscal year 2007 and each succeeding fiscal
year.
`(b) CALCULATION OF PARTICIPATION RATES-
`(1) AVERAGE MONTHLY RATE- For purposes of subsection (a), the
participation rate of a State for a fiscal year is the average of the
participation rates of the State for each month in the fiscal
year.
`(2) MONTHLY PARTICIPATION RATES; INCORPORATION OF 40-HOUR WORK WEEK
STANDARD-
`(A) IN GENERAL- For purposes of paragraph (1), the participation
rate of a State for a month is--
`(i) the total number of countable hours (as defined in
subsection (c)) with respect to the counted families for the State for
the month; divided by
`(ii) 160 multiplied by the number of counted families for the
State for the month.
`(B) COUNTED FAMILIES DEFINED-
`(i) IN GENERAL- In subparagraph (A), the term `counted family'
means, with respect to a State and a month, a family that includes a
work-eligible individual and that receives assistance in the month under
the State program funded under this part, subject to clause
(ii).
`(ii) STATE OPTION TO EXCLUDE CERTAIN FAMILIES- At the option of
a State, the term `counted family' shall not include--
`(I) a family in the first month for which the family is a
recipient of assistance under the State program;
or
`(II) on a case-by-case basis, a family in which the youngest
child has not attained 12 months of age.
`(iii) STATE OPTION TO INCLUDE INDIVIDUALS RECEIVING ASSISTANCE
UNDER A TRIBAL FAMILY ASSISTANCE PLAN OR TRIBAL WORK PROGRAM- At the
option of a State, the term `counted family' may include families in the
State that are receiving assistance under a tribal family assistance
plan approved under section 412 or under a tribal work program to which
funds are provided under this part.
`(C) WORK-ELIGIBLE INDIVIDUAL DEFINED- In this section, the term
`work-eligible individual' means an individual--
`(i) who is married, or is a single head of household;
and
`(ii) whose needs are (or, but for sanctions under this part
that have been in effect for more than 3 months (whether or not
consecutive) in the preceding 12 months or under part D, would be)
included in determining the amount of cash assistance to be provided to
the family under the State program funded under this
part.'.
(b) REVISION OF CASELOAD REDUCTION CREDIT- Section 407(b)(3)(A)(ii) of
such Act (42 U.S.C. 607(b)(3)(A)(ii)) is amended to read as follows:
`(ii) the average monthly number of families that received
assistance under the State program funded under this part
during--
`(I) if the fiscal year is fiscal year 2003, fiscal year
1996;
`(II) if the fiscal year is fiscal year 2004, fiscal year
1998;
`(III) if the fiscal year is fiscal year 2005, fiscal year
2001; or
`(IV) if the fiscal year is fiscal year 2006 or any succeeding
fiscal year, the then 4th preceding fiscal year.'.
(c) COUNTABLE HOURS- Section 407 of such Act (42 U.S.C. 607) is
amended by striking subsections (c) and (d) and inserting the
following:
`(1) DEFINITION- In subsection (b)(2), the term `countable hours'
means, with respect to a family for a month, the total number of hours in
the month in which any member of the family who is a work-eligible
individual is engaged in a direct work activity or other activities
specified by the State, subject to the other provisions of this
subsection.
`(2) LIMITATIONS- Subject to such regulations as the Secretary may
prescribe:
`(A) MINIMUM WEEKLY AVERAGE OF 24 HOURS OF DIRECT WORK ACTIVITIES
REQUIRED- If the work-eligible individuals in a family are engaged in a
direct work activity for an average total of fewer than 24 hours per week
in a month, then the number of countable hours with respect to the family
for the month shall be zero.
`(B) MAXIMUM WEEKLY AVERAGE OF 16 HOURS OF OTHER ACTIVITIES- An
average of not more than 16 hours per week of activities specified by the
State that are not direct work activities may be considered countable
hours in a month with respect to a family.
`(3) SPECIAL RULES- For purposes of paragraph (1):
`(A) PARTICIPATION IN QUALIFIED ACTIVITIES-
`(i) IN GENERAL- If, with the approval of the State, the
work-eligible individuals in a family are engaged in 1 or more qualified
activities for an average total of at least 24 hours per week in a
month, then all such engagement in the month shall be considered
engagement in a direct work activity, subject to clause
(iii).
`(ii) QUALIFIED ACTIVITY DEFINED- The term `qualified activity'
means--
`(I) substance abuse counseling or
treatment;
`(II) rehabilitation treatment and
services;
`(III) work-related education or training directed effectively
at enabling the family member to work; or
`(IV) job search or job readiness
assistance.
`(I) GENERAL RULE- Except as provided in subclause (II),
clause (i) may not be applied to a family for more than 3 months in
any period of 24 consecutive months.
`(II) SPECIAL RULE APPLICABLE TO EDUCATION AND TRAINING- A
State may, on a case-by-case basis, apply clause (i) to a
work-eligible individual so that participation by the individual in
education or training, if needed to permit the individual to complete
a certificate program or other
work-related education or training directed effectively at enabling the
individual to fill a known job need in a local area, may be considered countable
hours with respect to the family of the individual for not more than 4 months in
any period of 24 consecutive months.
`(B) SCHOOL ATTENDANCE BY TEEN HEAD OF HOUSEHOLD- A family shall
be considered to be engaged in a direct work activity for an average of 40
hours per week in a month if the family includes an individual who is
married or is a single head of household who has not attained 20 years of
age, and the individual--
`(i) maintains satisfactory attendance at secondary school or
the equivalent in the month; or
`(ii) participates in education directly related to employment
for an average of at least 20 hours per week in the
month.
`(d) DIRECT WORK ACTIVITIES- In this section, the term `direct work
activities' means--
`(1) unsubsidized employment;
`(2) subsidized private sector employment;
`(3) subsidized public sector employment;
`(4) on-the-job training;
`(5) supervised work experience, including entrepreneurship or
micro-enterprise activities; or
`(6) supervised community service.'.
(d) PENALTIES AGAINST INDIVIDUALS- Section 407(e)(1) (42 U.S.C.
607(e)(1)) is amended to read as follows:
`(1) IN GENERAL- Except as provided in paragraph (2), if an
individual in a family receiving assistance under a State program funded
under this part fails to engage in activities required in accordance with
this section, or other activities required by the State under the program,
and the family does not otherwise engage in activities in accordance with
the self-sufficiency plan established for the family pursuant to section
408(b), the State shall--
`(A) if the failure is partial or persists for not more than 1
month--
`(i) 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 failure occurs;
or
`(ii) terminate all assistance to the family, subject to such
good cause exceptions as the State may establish; or
`(B) if the failure is total and persists for at least 2
consecutive months, terminate the payment to the family, under all State
programs, of any cash benefit that is a qualified State expenditure (as
defined in section 409(a)(7)(B)(i)) for at least 1 month and thereafter
until the State determines that the individual is in full compliance with
all requirements imposed under the State program funded under this part,
subject to such good cause exceptions as the State may
establish.'.
(e) CONFORMING AMENDMENTS-
(1) Section 404(k)(1)(D) of such Act (42 U.S.C. 604(k)(1)(D)) is
amended by striking `work activities' and inserting `direct work
activities'.
(2) Section 407(b) of such Act (42 U.S.C. 607(b)) is amended by
striking paragraphs (4) and (5).
(3) Section 407(f) of such Act (42 U.S.C. 607(f)) is amended in each
of paragraphs (1) and (2) by striking `work activity described in subsection
(d)' and inserting `direct work activity'.
(4) The heading of section 409(a)(14) of such Act (42 U.S.C.
609(a)(14)) is amended by inserting `OR REFUSING TO ENGAGE IN ACTIVITIES
UNDER A FAMILY SELF-SUFFICIENCY PLAN' after `WORK'.
(f) SENSE OF THE CONGRESS- It is the sense of the Congress that a
State welfare-to-work program should include a mentorship program.
SEC. 102. UNIVERSAL ENGAGEMENT POLICY.
(a) MODIFICATION OF STATE PLAN REQUIREMENTS- Section 402(a)(1)(A) of
the Social Security Act (42 U.S.C. 602(a)(1)(A)) is amended by striking
clauses (ii) and (iii) and inserting the following:
`(ii) Require a parent or caretaker receiving assistance under
the program to engage in work and alternative self-sufficiency
activities (as defined by the State), consistent with section
407(e)(2).
`(iii) Require families receiving assistance under the program
to engage in activities in accordance with family self-sufficiency plans
developed pursuant to section 408(b).'.
(b) ESTABLISHMENT OF FAMILY SELF-SUFFICIENCY PLANS- Section 408(b) of
such Act (42 U.S.C. 608(b)) is amended to read as follows:
`(b) FAMILY SELF-SUFFICIENCY PLANS-
`(1) IN GENERAL- A State to which a grant is made under section 403
shall--
`(A) assess, in the manner deemed appropriate by the State, the
employability, skills, job readiness, barriers to employment, and any
additional factors hindering the achievement of self-sufficiency of each
work-eligible individual (as defined in section 407(b)(2)(C)), including
whether a member of a family receiving assistance under the State program
funded under this part has been a victim of domestic or sexual violence,
and may refer any such family member for services as deemed appropriate by
the State;
`(B) establish for each family receiving assistance under the
State program funded under this part, in consultation with each
work-eligible individual (as so defined), a self-sufficiency plan that
specifies appropriate activities described in the State plan submitted
pursuant to section 402, including direct work activities as appropriate
designed to assist the family in achieving their maximum degree of
self-sufficiency;
`(C) require, at a minimum, each member of the family who is a
work eligible individual
(as so defined) to participate in activities in accordance with the
employment or other goals established in the self-sufficiency plan;
`(D) provide a description of the services, programs, and supports
that are determined appropriate by the State to meet employment or other
goals;
`(E) set forth the obligations of the recipient;
`(F) monitor the participation of such family members in the
planned activities and the progress of the family toward
self-sufficiency;
`(G) regularly review the effectiveness of the self-sufficiency
plan and the activities in which the individuals are engaged;
and
`(H) upon such a review, revise the self-sufficiency plan and
activities as the State deems appropriate.
Nothing in this part shall preclude a State from requiring
participation in work and any other activities the State deems appropriate
for helping families achieve self-sufficiency and improving child
well-being.
`(2) TIMING- The State shall comply with paragraph (1) with respect
to a family--
`(A) in the case of a family that, as of October 1, 2002, is not
receiving assistance from the State program funded under this part, not
later than 60 days after the family first receives assistance on the basis
of the most recent application for the assistance; or
`(B) in the case of a family that, as of such date, is receiving
the assistance, not later than 180 days after October 1,
2002.
`(3) STATE DISCRETION- A State shall have sole discretion,
consistent with section 407, to define and design activities for families
for purposes of this subsection, and to develop methods for monitoring and
reviewing progress pursuant to this subsection.
`(4) CONDITION- A State may use funds provided under this part to
provide free or reduced price transportation on any bus or van which is used
under the State program funded under this part.'.
(c) PENALTY FOR FAILURE TO ESTABLISH FAMILY SELF-SUFFICIENCY PLAN-
Section 409(a)(3) of such Act (42 U.S.C. 609(a)(3)) is amended--
(1) in the paragraph heading, by inserting `OR ESTABLISH FAMILY
SELF-SUFFICIENCY PLAN' after `RATES'; and
(2) in subparagraph (A), by inserting `or 408(b)' after
`407(a)'.
SEC. 103. WORK-RELATED PERFORMANCE OBJECTIVES.
(a) STATE PLAN MODIFICATIONS- Section 402(a)(1) of the Social Security
Act (42 U.S.C. 602(a)(1)) is amended--
(1) in subparagraph (A), by adding at the end the
following:
`(vii) The document shall--
`(I) describe how the State will pursue ending dependence of
needy parents on government benefits by promoting job preparation and
work;
`(II) include specific numerical and measurable performance
objectives for accomplishing the purpose so described, which shall
include objectives consistent with the criteria used by the Secretary
in establishing performance targets under section 403(a)(4)(B) if
available; and
`(III) describe the methodology that the State will use to
measure State performance in relation to each such
objective.
`(viii) The document shall describe any strategies and programs
the State may be undertaking to address--
`(I) employment retention and advancement for recipients of
assistance under the State program funded under this part, including
placement into high-demand jobs identified using labor market
information available through the One-Stop delivery system created
under the Workforce Investment Act of 1998;
`(II) services for struggling and noncompliant families and
clients with special problems; and
`(III) program integration, including the extent to which TANF
employment and training services are provided through the One-Stop
delivery system created under the Workforce Investment Act of 1998,
and the extent to which former recipients of such assistance have
access to additional core, intensive, or training services funded
through such Act.'; and
(2) in subparagraph (B), by striking clause (iv).
(b) REPORT ON ANNUAL ACHIEVEMENT OF PERFORMANCE GOALS- Section 411 of
such Act (42 U.S.C. 611) is amended by adding at the end the
following:
`(c) ANNUAL REPORT ON ACHIEVEMENT OF PERFORMANCE GOALS- Beginning with
fiscal year 2004, not later than 3 months after the end of each fiscal year,
each eligible State shall submit to the Secretary a report on achievement and
improvement during the preceding fiscal year under the numerical objectives
referred to in section 402(a)(1)(A)(vii), using the measurement methodology
described in such section.'.
(c) ANNUAL RANKING OF STATES- Section 413(d)(1) of such Act (42 U.S.C.
613(d)(1)) is amended by striking `long-term private sector jobs,' and
inserting `private sector jobs, the success of the recipients in retaining
employment, the ability of the recipients to increase their wages,'.
(d) PERFORMANCE IMPROVEMENT- Section 413 of such Act (42 U.S.C. 613)
is amended by adding at the end the following:
`(k) PERFORMANCE IMPROVEMENT- The Secretary, in consultation with
States, shall develop uniform performance measures designed to assess the
degree of effectiveness, and the degree of improvement, of State programs
funded under this part in accomplishing the work-related purposes of this
part.'.
SEC. 104. BONUS TO REWARD EMPLOYMENT ACHIEVEMENT.
(a) IN GENERAL- Section 403(a)(4) of the Social Security Act (42
U.S.C. 603(a)(4)) is amended to read as follows:
`(4) BONUS TO REWARD EMPLOYMENT ACHIEVEMENT-
`(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 an
employment achievement State.
`(i) IN GENERAL- Subject to clause (ii) of this subparagraph,
the Secretary shall determine the amount of the grant payable under this
paragraph to an employment achievement State for a bonus year, which
shall be based on the performance of the State as determined 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-
`(i) IN GENERAL- Subject to clause (ii), not later than October
1, 2003, the Secretary, in consultation with States and the Secretary of
Labor, shall develop a formula for measuring State performance in
operating the State program funded under this part so as to achieve the
goals of employment entry, job retention, and increased earnings from
employment for families receiving assistance under the program, as
measured on an absolute basis and on the basis of improvement in State
performance.
`(ii) SPECIAL RULE FOR BONUS YEAR 2004- For the purposes of
awarding a bonus under this paragraph for bonus year 2004, the Secretary
may measure the performance of a State in fiscal year 2003 using the job
entry rate, job retention rate, and earnings gain rate components of the
formula developed under section 403(a)(4)(C) as in effect immediately
before the effective date of this paragraph.
`(D) DETERMINATION OF STATE PERFORMANCE- For each bonus year, the
Secretary shall--
`(i) use the formula developed under subparagraph (C) to
determine the performance of each eligible State for the fiscal year
that precedes the bonus year; and
`(ii) prescribe performance standards 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 $100,000,000;
and
`(II) the total amount of grants to be made under this
paragraph for all bonus years equals $500,000,000.
`(E) DEFINITIONS- In this paragraph:
`(i) BONUS YEAR- The term `bonus year' means each of fiscal
years 2004 through 2008.
`(ii) EMPLOYMENT ACHIEVEMENT STATE- The term `employment
achievement State' means, with respect to a bonus year, an eligible
State whose performance determined pursuant to subparagraph (D)(i) for
the fiscal year preceding the bonus year equals or exceeds the
performance standards 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
2004 through 2008 $500,000,000 for grants under this
paragraph.
`(G) SENSE OF THE CONGRESS- It is the sense of the Congress that
in developing the bonus to reward employment achievement under this
paragraph, the Secretary and States should consult with the Secretary of
Labor so that measures for employment achievement under State programs
funded under this part are consistent with the core indicators of
performance which States report under subclauses (I) through (III) of
section 136(b)(2)(A)(i) of the Workforce Investment Act of
1998.'.
(b) EFFECTIVE DATE- The amendment made by subsection (a) shall take
effect on October 1, 2003.
SEC. 105. REPORT ON INTEGRATION.
Not later than 6 months after the date of the enactment of this Act,
the Secretary of Health and Human Services and the Secretary of Labor shall
jointly submit a report to the Congress describing changes needed to the
definitions, performance measures, and reporting requirements in the Workforce
Investment Act of 1998 and part A of title IV of the Social Security Act, and,
at the discretion of either Secretary, any other program administered by the
respective Secretary, to allow greater integration between the welfare and
workforce development systems.
SEC. 106. GAO STUDY.
(a) IN GENERAL- The Comptroller General of the United States shall
conduct a study to determine the combined effect of the phase-out rates for
Federal programs and policies which provide support to low-income families and
individuals as they move from welfare to work, including those funded under
title I of the Workforce Investment Act of 1998, the Child Care and
Development Block Grant Act of 1990, the special supplemental nutrition
program for women, infants, and children under section 17 of the Child
Nutrition Act of 1966, the Richard B. Russell National School Lunch Act, the
Head Start Act, and the Low-Income Home Energy Assistance Act of 1981, at all
earning levels up to $35,000 per year for at least 5 States, including
Wisconsin and California, and any potential disincentives the combined
phase-out rates create for families to achieve independence.
(b) REPORT- Not later than 1 year after the date of the enactment of
this section, the Comptroller General shall submit a report to Congress
containing the results of the study conducted under this section and, as
appropriate, any recommendations consistent with the results.
SEC. 107. PURPOSE OF WORK PARTICIPATION REQUIREMENTS.
(a) IN GENERAL- Section 407 of the Social Security Act (42 U.S.C.
607), as amended by section 101 of this Act, is amended--
(1) by redesignating subsections (a) through (i) as subsections (b)
through (j), respectively, and inserting before subsection (b) (as so
redesignated) the following:
`(a) PURPOSE- The purpose of this section is to end dependence of
needy families on government benefits, reduce poverty, and help achieve
long-term income security by promoting job preparation and work.'; and
(2) in subsection (c) (as so redesignated)--
(A) in paragraph (1), by striking `(a)' and inserting `(b)';
and
(B) in paragraph (2)(A)(i), by striking `(c)' and inserting `(d)';
and
(3) in paragraph (1) of subsection (d) (as so redesignated), strike
`(b)(2)' and insert `(c)(2)'.
(b) CONFORMING AMENDMENTS-
(1) Section 402(a)(1)(A)(ii) of such Act (42 U.S.C.
602(a)(1)(A)(ii)) is amended by striking `407(e)(2)' and inserting
`407(f)(2)'.
(2) Section 404(k)(1)(D) of such Act (42 U.S.C. 604(k)(1)(D)) is
amended by striking `407(d)' and inserting `407(e)'.
(3) Section 408(b)(1)(A) of such Act (42 U.S.C. 608(b)(1)(A)), as
amended by section 102(b) of this Act, is amended by striking `407(b)(2)(C)'
and inserting `407(c)(2)(C)'.
(4) Section 409(a) of such Act (42 U.S.C. 609(a)) is amended in each
of paragraphs (3)(A) and (7)(B)(ii), by striking `407(a)' and inserting
`407(b)'.
(5) Section 409(a)(11)(A) of such Act (42 U.S.C. 609(a)(11)(A)) is
amended by striking `407(e)(2)' and inserting `407(f)(2)'.
(6) Section 409(a)(14)(A) of such Act (42 U.S.C. 609(a)(14)(A)) is
amended by striking `407(e)' and inserting `407(f)'.
(7) Section 411(a)(4) of such Act (42 U.S.C. 611(a)(4)) is amended
by striking `407(d)' and inserting `407(e)'.
(8) Section 411(b) of such Act (42 U.S.C. 611(b)) is amended by
striking `407(a)' and inserting `407(b)'.
(9) Section 412(c)(3) of such Act (42 U.S.C. 612(c)(3)) is amended
by striking `407(e)' and inserting `407(f)'.
(10) Section 412(g)(2) of such Act (42 U.S.C. 612(g)(2)) is amended
by striking `407(a)' and inserting `407(b)'.
(11) Section 466(a)(15)(B) of such Act (42 U.S.C. 666(a)(15)(B)) is
amended by striking `407(d)' and inserting `407(e)'.
SEC. 108. STATE TANF PROGRAMS MADE MANDATORY PARTNERS WITH ONE-STOP
EMPLOYMENT TRAINING CENTERS.
Section 408 of the Social Security Act (42 U.S.C. 608) is amended by
adding at the end the following:
`(h) STATE TANF PROGRAMS MADE MANDATORY PARTNERS WITH ONE-STOP
EMPLOYMENT TRAINING CENTERS- For purposes of section 121(b) of the Workforce
Investment Act of 1998, a State program funded under part A of title IV of the
Social Security Act shall be considered a program referred to in paragraph
(1)(B) of such section.'.
SEC. 109. LONGITUDINAL STUDY OF TANF APPLICANTS AND RECIPIENTS TO
DETERMINE THE FACTORS THAT CONTRIBUTE TO THE ABILITY OF PEOPLE TO COMPLY WITH
TANF WORK REQUIREMENTS.
Section 413 of the Social Security Act (42 U.S.C. 613), as amended by
section 103(d) of this Act, is amended by adding at the end the
following:
`(l) LONGITUDINAL STUDY OF TANF APPLICANTS AND RECIPIENTS TO DETERMINE
THE FACTORS THAT CONTRIBUTE TO THE ABILITY OF PEOPLE TO COMPLY WITH TANF WORK
REQUIREMENTS-
`(1) IN GENERAL- The Secretary, through grant or contract, shall
conduct a longitudinal study of a representative sample of families that
receive, and families that apply for, assistance from a State program funded
under this part or under a program funded with qualified State expenditures
(as defined in section 409(a)(7)(B)(i)).
`(2) REQUIREMENTS- The study conducted under this subsection shall
follow families that leave such a program, those that receive assistance
throughout the study period, and those diverted from such a program. The
study shall gather information on--
`(A) family and adult demographics;
`(B) family income and child support; and
`(C) factors that contribute to the ability of people to comply
with work requirements and achieve long-term
self-sufficiency.'.
TITLE II--AMENDMENTS TO THE CHILD CARE AND DEVELOPMENT BLOCK GRANT
ACT OF 1990
SEC. 201. SHORT TITLE.
This title may be cited as the `Caring for Children Act of
2002'.
SEC. 202. GOALS.
(a) GOALS- Section 658A(b) of the Child Care and Development Block
Grant Act of 1990 (42 U.S.C. 9801 note) is amended--
(1) in paragraph (3) by striking `encourage' and inserting
`assist',
(2) by amending paragraph (4) to read as follows:
`(4) to assist State to provide child care to low-income
parents;',
(3) by redesignating paragraph (5) as paragraph (7), and
(4) by inserting after paragraph (4) the following:
`(5) to encourage States to improve the quality of child care
available to families;
`(6) to promote school readiness by encouraging the exposure of
young children in child care to nurturing environments and
developmentally-appropriate activities, including activities to foster early
cognitive and literacy development; and'.
(b) CONFORMING AMENDMENT- Section 658E(c)(3)(B) of the Child Care and
Development Block Grant Act of 1990 (42 U.S.C. 9858c(c)(3)(B)) is amended by
striking `through (5)' and inserting `through (7)'.
SEC. 203. AUTHORIZATION OF APPROPRIATIONS.
Section 658B of the Child Care and Development Block Grant Act of 1990
(42 U.S.C. 9858) is amended--
(1) by striking `is' and inserting `are', and
(2) by striking `$1,000,000,000 for each of the fiscal years 1996
through 2002' and inserting `$2,300,000,000 for fiscal year 2003 and such
sums as may be necessary for fiscal years 2004, 2005, 2006, and
2007'.
SEC. 204. APPLICATION AND PLAN.
Section 658E(c)(2) of the Child Care and Development Block Grant Act
of 1990 (42 U.S.C. 9858C(c)(2)) is amended--
(1) by amending subparagraph (D) to read as follows:
`(D) CONSUMER AND CHILD CARE PROVIDER EDUCATION INFORMATION-
Certify that the State will collect and disseminate, through resource and
referral services and other means as determined by the State, to parents
of eligible children, child care providers, and the general public,
information regarding--
`(i) the promotion of informed child care choices, including
information about the quality and availability of child care
services;
`(ii) research and best practices on children's development,
including early cognitive development;
`(iii) the availability of assistance to obtain child care
services; and
`(iv) other programs for which families that receive child care
services for which financial assistance is provided under this
subchapter may be eligible, including the food stamp program, the WIC
program under section 17 of the Child Nutrition Act of 1966, the child
and adult care food program under section 17 of the Richard B. Russell
National School Lunch Act, and the medicaid and CHIP programs under
titles XIX and XXI of the Social Security Act.', and
(2) by inserting after subparagraph (H) the following:
`(I) COORDINATION WITH OTHER EARLY CHILD CARE SERVICES AND EARLY
CHILDHOOD EDUCATION PROGRAMS- Demonstrate how the State is coordinating
child care services provided under this subchapter with Head Start, Early
Reading First, Even Start, State pre-kindergarten programs, and other
early childhood education programs to expand accessibility to and
continuity of care and early education without displacing services
provided by the current early care and education delivery
system.
`(J) PUBLIC-PRIVATE PARTNERSHIPS- Demonstrate how the State
encourages partnerships with private and other public entities to leverage
existing service delivery systems of early childhood education and
increase the supply and quality of child care services.
`(K) CHILD CARE SERVICE QUALITY-
`(i) CERTIFICATION- For each fiscal year after fiscal year 2003,
certify that during the then preceding fiscal year the State was in
compliance with section 658G and describe how funds were used to comply
with such section during such preceding fiscal year.
`(ii) STRATEGY- For each fiscal year after fiscal year 2003,
contain an outline of the strategy the State will implement during such
fiscal year for which the State plan is submitted, to address the
quality of child care services in child care settings that provide
services for which assistance is made available under this subchapter,
and include in such strategy--
`(I) a statement specifying how the State will address the
activities described in paragraphs (1), (2), and (3) of section
658G;
`(II) a description of quantifiable, objective measures for
evaluating the quality of child care services separately with respect
to the activities listed in each of such paragraphs that the State
will use to evaluate its progress in improving the quality of such
child care services;
`(III) a list of State-developed child care service quality
targets for such fiscal year quantified on the basis of such measures;
and
`(IV) for each fiscal year after fiscal year 2003, a report on
the progress made to achieve such targets during the then preceding
fiscal year.
`(iii) RULE OF CONSTRUCTION- Nothing in this subparagraph shall
be construed to require that the State apply measures for evaluating
quality to specific types of child care providers.
`(L) ACCESS TO CARE FOR CERTAIN POPULATIONS- Demonstrate how the
State is addressing the child care needs of parents eligible for child
care services for which financial assistance is provided under this
subchapter who have children with special needs, work nontraditional
hours, or require child care services for infants or
toddlers.'.
SEC. 205. ACTIVITIES TO IMPROVE THE QUALITY OF CHILD CARE.
Section 658G of the Child Care and Development Block Grant Act of 1990
(42 U.S.C. 9858e) is amended to read as follows:
`SEC. 658G. ACTIVITIES TO IMPROVE THE QUALITY OF CHILD CARE
SERVICES.
`A State that receives funds to carry out this subchapter for a fiscal
year, shall use not less than 6 percent of the amount of such funds for
activities provided through resource and referral services or other means,
that are designed to improve the quality of child care services for which
financial assistance is made available under this subchapter. Such activities
include--
`(1) programs that provide training, education, and other
professional development activities to enhance the skills of the child care
workforce, including training opportunities for caregivers in informal care
settings;
`(2) activities within child care settings to enhance early learning
for young children, to promote early literacy, and to foster school
readiness;
`(3) initiatives to increase the retention and compensation of child
care providers, including tiered reimbursement rates for providers that meet
quality standards as defined by the State; or
`(4) other activities deemed by the State to improve the quality of
child care services provided in such State.'.
SEC. 206. DEFINITIONS.
Section 658P(4)(B) of the Child Care and Development Block Grant Act
of 1990 (42 U.S.C. 9858N(4)(B)) is amended by striking `85 percent of the
State median income' and inserting `income levels as established by the State,
prioritized by need,'.
TITLE III--BROADENED WAIVER AUTHORITY
SEC. 301. PROGRAM INTEGRATION DEMONSTRATION PROJECTS.
(a) PURPOSE- The purpose of this section is to establish a program of
demonstration projects in a State or portion of a State to integrate multiple
public assistance, workforce development, and other programs, for the purpose
of supporting working individuals and families, helping families escape
welfare dependency, promoting child well-being, or helping build stronger
families, using innovative approaches to strengthen service systems and
provide more coordinated and effective service delivery.
(b) DEFINITIONS- In this section:
(1) ADMINISTERING SECRETARY- The term `administering Secretary'
means, with respect to a qualified program, the head of the Federal agency
responsible for administering the program.
(2) QUALIFIED PROGRAM- The term `qualified program'
means--
(A) a demonstration project authorized under section 505 of the
Family Support Act of 1988;
(B) activities funded under the Wagner-Peyser Act;
(C) activities funded under the Adult Education and Family
Literacy Act; or
(D) activities funded under the Child Care and Development Block
Grant Act of 1990;
(c) APPLICATION REQUIREMENTS- The head of a State or sub-State entity
administering 2 or more qualified programs proposed to be included in a
demonstration project under this section shall (or, if the project is proposed
to include qualified programs administered by 2 or more such entities, the
heads of the administering entities (each of whom shall be considered an
applicant for purposes of this section) shall jointly) submit to the
administering Secretary of each such program an application that contains the
following:
(1) PROGRAMS INCLUDED- A statement identifying each qualified
program to be included in the project, and describing how the purposes of
each such program will be achieved by the project.
(2) POPULATION SERVED- A statement identifying the population to be
served by the project and specifying the eligibility criteria to be
used.
(3) DESCRIPTION AND JUSTIFICATION- A detailed description of the
project, including--
(A) a description of how the project is expected to improve or
enhance achievement of the purposes of the programs to be included in the
project, from the standpoint of quality, of cost-effectiveness, or of
both; and
(B) a description of the performance objectives for the project,
including any proposed modifications to the performance measures and
reporting requirements used in the programs.
(4) WAIVERS REQUESTED- A description of the statutory and regulatory
requirements with respect to which a waiver is requested in order to carry
out the project, and a justification of the need for each such
waiver.
(5) COST NEUTRALITY- Such information and assurances as necessary to
establish to the satisfaction of the administering Secretary, in
consultation with the Director of the Office of Management and Budget, that
the proposed project is reasonably expected to meet the applicable cost
neutrality requirements of subsection (d)(4).
(6) EVALUATION AND REPORTS- An assurance that the applicant will
conduct ongoing and final evaluations of the project, and make interim and
final reports to the administering Secretary, at such times and in such
manner as the administering Secretary may require.
(7) OTHER INFORMATION AND ASSURANCES- Such other information and
assurances as the administering Secretary may require.
(d) APPROVAL OF APPLICATIONS-
(1) IN GENERAL- The administering Secretary with respect to a
qualified program that is identified in an application submitted pursuant to
subsection (c) may approve the application and, except as provided in
paragraph (2), waive any requirement applicable to the program, to the
extent consistent with this section and necessary and appropriate for the
conduct of the demonstration project proposed in the application, if the
administering Secretary determines that the project--
(A) has a reasonable likelihood of achieving the objectives of the
programs to be included in the project;
(B) may reasonably be expected to meet the applicable cost
neutrality requirements of paragraph (4), as determined by the Director of
the Office of Management and Budget; and
(C) integrates 2 or more qualified programs.
(2) PROVISIONS EXCLUDED FROM WAIVER AUTHORITY- A waiver shall not be
granted under paragraph (1) of this subsection with respect to--
(A) any provision of law relating to--
(i) civil rights or prohibition of
discrimination;
(ii) purposes or goals of any program;
(iii) maintenance of effort requirements;
(v) labor standards under the Fair Labor Standards Act of 1938;
or
(vi) environmental protection;
(B) section 241(a) of the Adult Education and Family Literacy Act;
or
(C) any requirement that a State pass through to a sub-State
entity part or all of an amount paid to the State.
(3) AGREEMENT OF EACH ADMINISTERING SECRETARY REQUIRED-
(A) IN GENERAL- An applicant may not conduct a demonstration
project under this section unless each administering Secretary with
respect to any program proposed to be included in the project has approved
the application to conduct the project.
(B) AGREEMENT WITH RESPECT TO FUNDING AND IMPLEMENTATION- Before
approving an application to conduct a demonstration project under this
section, an administering Secretary shall have in place an agreement with
the applicant with respect to the payment of funds and responsibilities
required of the administering Secretary with respect to the
project.
(4) COST-NEUTRALITY REQUIREMENTS-
(A) GENERAL RULE- Notwithstanding any other provision of law
(except subparagraph (B)), the total of the amounts that may be paid by
the Federal Government for a fiscal year with respect to the programs
affected by a demonstration project conducted under this section shall not
exceed the estimated total amount that the Federal Government would have
paid for the fiscal year with respect to the programs if the project had
not been conducted, as determined by the Director of the Office of
Management and Budget.
(B) SPECIAL RULE- If an applicant submits to the Director of the
Office of Management and Budget a request to apply the rules of this
subparagraph to the programs affected by a demonstration project proposed
in the application submitted pursuant to this section, during such period
of not more than 5 consecutive fiscal years in which the project is in
effect, and the Director determines, on the basis of supporting
information provided by the applicant, to grant the request, then,
notwithstanding any other provision of law, the total of the amounts that
may be paid by the Federal Government for the period with respect to the
programs shall not exceed the estimated total amount that the Federal
Government would have paid for the period with respect to the programs if
the project had not been conducted.
(e) DURATION OF PROJECTS- A demonstration project under this section
may be approved for a term of not more than 5 years, and may be renewed for 1
or more additional terms of not more than 5 years.
(f) REPORTS TO CONGRESS- Each administering Secretary shall provide
annually to the Congress a report concerning demonstration projects approved
under this section, including--
(1) the projects approved for each applicant;
(2) the number of waivers granted under this section, and the
specific statutory provisions waived; and
(3) how well each project for which a waiver is granted is improving
or enhancing program achievement from the standpoint of quality,
cost-effectiveness, or both;
(4) how well each project for which a waiver is granted is meeting
the performance objectives specified in subsection (c)(3)(B);
(5) how each project for which a waiver is granted is conforming
with the cost-neutrality requirements of subsection (d)(4); and
(6) to the extent the administering Secretary deems appropriate,
recommendations for modification of programs based on outcomes of the
projects.
TITLE IV--EFFECTIVE DATE
SEC. 401. EFFECTIVE DATE.
(a) IN GENERAL- Except as otherwise provided, the amendments made by
this Act shall take effect on October 1, 2002.
(b) EXTENSION OF EFFECTIVE DATE FOR STATE LAW AMENDMENT- In the case
of a State plan under part A of title IV of the Social Security Act which the
Secretary determines requires State legislation in order for the plan to meet
the additional requirements imposed by the amendments made by this Act, the
effective date of the amendments imposing the additional requirements shall be
3 months after the first day of the first calendar quarter beginning after the
close of the first regular session of the State legislature that begins after
the date of the enactment of this Act. For purposes of the preceding sentence,
in the case of a State that has a 2-year legislative session, each year of the
session shall be considered to be a separate regular session of the State
legislature.
Union Calendar No. 267
107th CONGRESS
2d Session
H. R. 4092
[Report No. 107-452, Part I]
A BILL
To enhance the opportunities of needy families to achieve self-sufficiency
and access quality child care, and for other purposes.
May 10, 2002
Reported from the Committee on Education and the Workforce with an
amendment
May 10, 2002
Referral to the Committee on Ways and Means extended for a period not
later than May 10, 2002
May 10, 2002
The Committee on Ways and Means discharged; committed to the Committee
of the Whole House on the State of the Union and ordered to be
printed
END