42 U.S.C. § 603 — Grants to States

Page 2141 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 as made applicable by section 2(b) of div. W of Pub. L. 117–103, which is set out as a note under section 12291 of Title 34]. NATIONAL GRANT PROGRAM FOR DEVELOPING A MODEL TRAINING PROGRAM FOR TANF PERSONNEL TRAINING Pub. L. 117–103, div. W, title VII, § 703(b), Mar. 15, 2022, 136 Stat. 893, provided that: ‘‘(1) GRANTS AUTHORIZED.— ‘‘(A) MODEL TRAINING PROGRAM.—The Secretary of Health and Human Services (in this subsection re- ferred to as the ‘Secretary’) shall— ‘‘(i) develop and disseminate a model training program (and related materials) for the training re- quired under section 402(a)(8) of the Social Security Act [42 U.S.C. 602(a)(8)], and if the State so elects, section 402(a)(7) of such Act [42 U.S.C. 602(a)(7)]; and ‘‘(ii) provide technical assistance with respect to such model training program to eligible States (as defined in section 402 of the Social Security Act [42 U.S.C. 602]). ‘‘(B) GRANTS.—In developing the model training program under subparagraph (A)(i), the Secretary may award grants and contracts and may develop such program in cooperation with an eligible partner. ‘‘(2) ELIGIBLE PARTNER DEFINED.—For purposes of paragraph (1), the term ‘eligible partner’ means an en- tity that is— ‘‘(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 vio- lence, sexual assault, or stalking whose primary mis- sion is to provide services to survivors of domestic vi- olence, sexual assault, or stalking, including a rape crisis center or domestic violence program. ‘‘(3) REPORT.— ‘‘(A) REPORT TO CONGRESS.—Not later than 5 years after the date of the enactment of this Act [Mar. 15, 2022], the Secretary shall submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate a report on the program established under this subsection. ‘‘(B) REPORT AVAILABLE TO PUBLIC.—The Secretary shall establish procedures for the dissemination to the public of the report submitted under subpara- graph (A) not later than 10 days after the submission of such report to Congress under such subparagraph. Such procedures shall include the use of the internet to disseminate such report. ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.—There are authorized to be appropriated $3,000,000 to carry out this section for each of fiscal years 2023 through 2027.’’ [For definitions of terms used in section 703(b) of div. W of Pub. L. 117–103, set out above, see section 12291 of Title 34, Crime Control and Law Enforcement, as made applicable by section 2(b) of div. W of Pub. L. 117–103, which is set out as a note under section 12291 of Title 34]. DEMONSTRATION OF FAMILY INDEPENDENCE PROGRAM Pub. L. 100–203, title IX, § 9121, Dec. 22, 1987, 101 Stat. 1330–310, authorized State of Washington, upon applica- tion of State and approval by Secretary of Health and Human Services, to conduct demonstration project for purpose of testing whether operation of its Family Independence Program enacted in May 1987, as alter- native to AFDC program under this subchapter, would more effectively break the cycle of poverty and provide families with opportunities for economic independence and strengthened family functioning, prior to repeal by Pub. L. 104–193, title I, § 110(b), Aug. 22, 1996, 110 Stat. 2171. CHILD SUPPORT DEMONSTRATION PROGRAM IN NEW YORK STATE Pub. L. 100–203, title IX, § 9122, Dec. 22, 1987, 101 Stat. 1330–312, authorized State of New York, upon applica- tion by State and approval by Secretary of Health and Human Services, to conduct demonstration program in accordance with this section for purpose of testing State’s Child Support Supplemental Program as alter- native to the program of Aid to Families with Depend- ent Children under this subchapter, prior to repeal by Pub. L. 104–193, title I, § 110(c), Aug. 22, 1996, 110 Stat. 2171. UTILITY PAYMENTS MADE BY TENANTS IN ASSISTED HOUSING Pub. L. 98–181, title I [title II, § 221], Nov. 30, 1983, 97 Stat. 1188, as amended by Pub. L. 98–479, title I, § 102(g)(3), Oct. 17, 1984, 98 Stat. 2222, provided that not- withstanding any other provision of law, for purposes of determining eligibility, or amount of benefits pay- able, under this part, any utility payment made in lieu of any rental payment by person living in dwelling unit in lower income housing project assisted under the United States Housing Act of 1937 (42 U.S.C. 1437 et seq.) or section 1715z–1 of Title 12, Banks and Banking, was to be considered to be shelter payment, prior to re- peal by Pub. L. 104–193, title I, § 110(d), Aug. 22, 1996, 110 Stat. 2171. EXCLUSION FROM INCOME Pub. L. 97–248, title I, § 159, Sept. 3, 1982, 96 Stat. 400, provided that payments made under statutorily estab- lished State program to meet certain needs of children receiving aid under State’s plan approved under this part were to be excluded from income of such children and their families for purposes of section 602(a)(17) of this title and for all other purposes of this part and of such plan, effective Sept. 3, 1982, if the payments were made to such children by State agency administering such plan, but were made without Federal financial participation under section 603(a) of this title or other- wise, and if State program had been continuously in ef- fect since before Jan. 1, 1979, prior to repeal by Pub. L. 104–193, title I, § 110(e), Aug. 22, 1996, 110 Stat. 2171. STATE PLANS TO DISREGARD EARNED INCOME OF INDI- VIDUALS IN DETERMINATION OF NEED FOR AID; EF- FECTIVE DATE Pub. L. 90–248, title II, § 202(d), Jan. 2, 1968, 81 Stat. 882, provided that effective with respect to quarters be- ginning after June 30, 1968, in determining need of indi- viduals claiming aid under State plan approved under this part, State was to apply provisions of this part notwithstanding any provisions of law other than this chapter requiring State to disregard earned income of such individuals in determining need under such State plan, prior to repeal by Pub. L. 104–193, title I, § 110(f), Aug. 22, 1996, 110 Stat. 2171. § 603. Grants to States (a) Grants (1) Family assistance grant (A) In general Each eligible State shall be entitled to re- ceive 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 section 613(h)(1) of this title with respect to the fiscal year, as the amount required to be paid to the State under this paragraph (as so in effect) for fiscal year 2002 (determined without regard to any reduction pursuant to Page 2142 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 section 609 or 612(a)(1) of this title) bears to the total amount required to be paid under this paragraph for fiscal year 2002 (as so de- termined). (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 respon- sible 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 re- search and demonstration projects by pub- lic or private entities, and providing tech- nical assistance to States, Indian tribes and tribal organizations, and such other entities as the Secretary may specify that are receiving a grant under another provi- sion 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 pro- motion activities or for the purpose of car- rying 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 fa- therhood, 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 activi- ties) which— (I) describes— (aa) how the programs or activities proposed in the application will ad- dress, as appropriate, issues of domes- tic violence; and (bb) what the applicant will do, to the extent relevant, to ensure that par- ticipation in the programs or activities is voluntary, and to inform potential participants that their participation is voluntary; and (II) contains a commitment by the en- tity— (aa) to not use the funds for any other purpose; and (bb) to consult with experts in do- mestic violence or relevant community domestic violence coalitions in devel- oping the programs and activities. (iii) Healthy marriage promotion activities In clause (ii), the term ‘‘healthy mar- riage promotion activities’’ means the fol- lowing: (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, finan- cial management, conflict resolution, and job and career advancement. (IV) Pre-marital education and mar- riage skills training for engaged couples and for couples or individuals interested in marriage. (V) Marriage enhancement and mar- riage skills training programs for mar- ried 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 disincen- tives to marriage in means-tested aid programs, if offered in conjunction with any activity described in this subpara- graph. (B) Limitation on use of funds for demonstra- tion projects for coordination of provi- sion 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 Sec- retary may not award more than $2,000,000 on a competitive basis to fund demonstra- tion projects designed to test the effective- ness of tribal governments or tribal con- sortia in coordinating the provision to tribal families at risk of child abuse or ne- glect 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 assist- ance to tribal children in out-of-home placements and the tribal families car- ing for such children, including families who adopt such children; and (III) for prevention services and assist- ance 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 informa- tion 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. Page 2143 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 (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 Sec- retary may not award more than $75,000,000 on a competitive basis to States, terri- tories, Indian tribes and tribal organiza- tions, and public and nonprofit community entities, including religious organizations, for activities promoting responsible fa- therhood. (ii) Activities promoting responsible father- hood 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 mar- riage and 2-parent involvement for chil- dren, enhancing relationship skills, edu- cation regarding how to control aggres- sive behavior, disseminating information on the causes of domestic violence and child abuse, marriage preparation pro- grams, premarital counseling, marital inventories, skills-based marriage edu- cation, financial planning seminars, in- cluding improving a family’s ability to effectively manage family business af- fairs by means such as education, coun- seling, or mentoring on matters related to family finances, including household management, budgeting, banking, and handling of financial transactions and home maintenance, and divorce edu- cation and reduction programs, includ- ing 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 par- enting education, encouraging child sup- port payments, and other methods. (III) Activities to foster economic sta- bility 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 encour- aging education, including career-ad- vancing education, dissemination of em- ployment 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 organi- zation, such as the development, pro- motion, and distribution of a media cam- paign to encourage the appropriate in- volvement of parents in the life of any child and specifically the issue of respon- sible fatherhood, and the development of a national clearinghouse to assist States and communities in efforts to promote and support marriage and responsible fa- therhood. (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 accord- ance 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 pro- moting responsible fatherhood. If the Secretary makes an award under sub- paragraph (B)(i) for fiscal year 2017 or 2018, the funds for such award shall be taken in equal portion from the amounts appro- priated 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 fis- cal year and that have demonstrated the ability to successfully carry out the pro- grams funded under this paragraph. (3) Supplemental grant for population in- creases 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 section 603 of this title (as in effect during fiscal year 1994) for fiscal year 1994; and (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 section 603 of this title (as in effect during fis- cal year 1994) for fiscal year 1994; and (bb) the amount (if any) required to be paid to the State under this para- graph 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 Sec- retary for the specified fiscal year, a grant in an amount equal to the amount required Page 2144 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 1 So in original. Probably should be followed by ‘‘and’’. 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 imme- diately preceding fiscal year is less than the national average level of State wel- fare 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 fis- cal 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 na- tional average level of State welfare spending per poor person for fiscal year 1994; or (II) the population of the State in- creased 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 per- son The term ‘‘level of State welfare spend- ing 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 section 603 of this title (as in effect during fis- cal year 1994) for fiscal year 1994; and (bb) the amount (if any) paid to the State under this paragraph for the im- mediately preceding fiscal year; di- vided by (II) the number of individuals, accord- ing to the 1990 decennial census, who were residents of the State and whose in- come 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 section 603 of this title (as in effect during fiscal year 1994) for fiscal year 1994; divided by (II) the number of individuals, accord- ing 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 Dis- trict 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 nec- essary 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 section 907(b)(2) of title 2, the baseline shall assume that no grant shall be made under this paragraph after fiscal year 2001. (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 fis- cal 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 appro- priated, there are appropriated for each of fiscal years 2002 and 2003 such sums as are necessary for grants under this subpara- graph. (4) Bonus to reward high performance States (A) In general The Secretary shall make a grant pursu- ant to this paragraph to each State for each bonus year for which the State is a high per- forming State. Page 2145 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 2 So in original. Probably should be ‘‘entities’’. (B) Amount of grant (i) In general Subject to clause (ii) of this subpara- graph, 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 subpara- graph (D)(i) for the fiscal year that imme- diately 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 assist- ance grant. (C) Formula for measuring State perform- ance Not later than 1 year after August 22, 1996, the Secretary, in consultation with the Na- tional Governors’ Association and the Amer- ican Public Welfare Association, shall de- velop a formula for measuring State per- formance in operating the State program funded under this part so as to achieve the goals set forth in section 601(a) of this title. (D) Scoring of State performance; setting of performance thresholds For each bonus year, the Secretary shall— (i) use the formula developed under sub- paragraph (C) to assign a score to each eli- gible State for the fiscal year that imme- diately 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 el- igible State whose score assigned pursuant to subparagraph (D)(i) for the fiscal year immediately preceding the bonus year equals or exceeds the performance thresh- old 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 fis- cal 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 section 609(a)(7)(B)(i) of this title) and any ex- penditure described in subclause (I), (II), or (IV) of section 609(a)(7)(B)(iv) of this title) during the period permitted under subparagraph (C)(vii) of this paragraph for the expenditure of funds under the grant for activities described in subpara- graph (C)(i) of this paragraph; or (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 fol- lowing requirements: (I) The State has submitted to the Sec- retary of Labor and the Secretary of Health and Human Services (in the form of an addendum to the State plan sub- mitted under section 602 of this title) a plan which— (aa) describes how, consistent with this subparagraph, the State will use any funds provided under this subpara- graph 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 de- veloped; (cc) contains evidence that the plan was developed in consultation and co- ordination with appropriate entitites 2 in sub-State areas; (dd) contains assurances by the Gov- ernor of the State that the private in- dustry 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 de- sires to have an agency other than a private industry council administer the funds provided under this subpara- graph for the benefit of 1 or more serv- ice delivery areas in the State, con- tains 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 ad- minister the funds; and (ff) describes how the State will en- sure that a private industry council to Page 2146 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 3 See References in Text note below. which information is disclosed pursu- ant to section 603(a)(5)(K) 3 or 654A(f)(5) of this title has procedures for safe- guarding the information and for en- suring that the information is used solely for the purpose described in that section. (II) The State has provided to the Sec- retary of Labor an estimate of the amount that the State intends to expend during the period permitted under sub- paragraph (C)(vii) of this paragraph for the expenditure of funds under the grant (excluding expenditures described in sec- tion 609(a)(7)(B)(iv) of this title (other than subclause (III) thereof)) pursuant to this paragraph. (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 eval- uation under section 613(j) of this title, and to cooperate with the conduct of any such evaluation. (IV) The State is an eligible State for the fiscal year. (V) The State certifies that qualified State expenditures (within the meaning of section 609(a)(7) of this title) for the fiscal year will be not less than the ap- plicable percentage of historic State ex- penditures (within the meaning of sec- tion 609(a)(7) of this title) with respect to the fiscal year. (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 fis- cal year, multiplied by the State per- centage for the fiscal year. (II) Minimum allotment The allotment of a welfare-to-work State (other than Guam, the Virgin Is- lands, 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 subpara- graph (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 imme- diately preceding fiscal year that has not been obligated; and (II) any available amount for the im- mediately preceding fiscal year that has not been obligated by a State, other than funds reserved by the State for distribu- tion under clause (vi)(III) and funds dis- tributed 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 fis- cal year, 1⁄2 of the sum of— (I) the percentage represented by the number of individuals in the State whose income is less than the poverty line di- vided 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 serv- ice delivery areas in the State, which— (aa) determines the amount to be al- located for the benefit of a service de- livery area in proportion to the num- ber (if any) by which the population of the area with an income that is less than the poverty line exceeds 7.5 per- cent 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 in- dividuals residing in the State. Page 2147 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 4 So in original. The period probably should be a semicolon. (II) Distribution of funds (aa) In general If the amount allocated by the for- mula to a service delivery area is at least $100,000, the State shall distribute the amount to the entity admin- istering the grant in the area. (bb) Special rule If the amount allocated by the for- mula to a service delivery area is less than $100,000, the sum shall be avail- able 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 re- quired to be distributed under this sub- clause 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 unsub- sidized employment. (vii) Administration (I) Private industry councils The private industry council for a serv- ice delivery area in a State shall have sole authority, in coordination with the chief elected official (as defined in sec- tion 3 of the Workforce Innovation and Opportunity Act [29 U.S.C. 3102]) of the area, to expend the amounts distributed under clause (vi)(II)(aa) for the benefit of the service delivery area, in accordance with the assurances described in clause (ii)(I)(dd) provided by the Governor of the State. (II) Enforcement of coordination of ex- penditures with other expenditures under this part Notwithstanding subclause (I) of this clause, on a determination by the Gov- ernor of a State that a private industry council (or an alternate agency described in clause (ii)(I)(dd)) has used funds pro- vided under this subparagraph in a man- ner inconsistent with the assurances de- scribed 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 sub- clause (I) of this clause with respect to the service delivery area or areas in- volved 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 deter- mines that the alternate agency des- ignated in the application would improve the effectiveness or efficiency of the ad- ministration 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 be- fore 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 subpara- graph, 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 re- cipients of assistance under State pro- grams funded under this part who are least job ready into unsubsidized em- ployment.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 ap- plicant in moving individuals with multiple barriers into work. (bb) Evidence of the applicant’s abil- ity to leverage private, State, and local resources. (cc) Use by the applicant of State and local resources beyond those re- quired by subparagraph (A). Page 2148 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 (dd) Plans of the applicant to coordi- nate 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 coun- cil for a service delivery area in a State, a political subdivision of a State, or a pri- vate entity applying in conjunction with the private industry council for such a service delivery area or with such a polit- ical subdivision, that submits a proposal developed in consultation with the Gov- ernor 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 Sec- retary 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 assist- ance under a State program funded under this part, the level of unemployment, the job opportunities and job growth, the pov- erty 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 subpara- graph, the Secretary of Labor shall con- sider 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 Sec- retary of Labor an amount equal to the sum of— (I) 25 percent of the sum of— (aa) the amount specified in subpara- graph (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 imme- diately preceding fiscal year that has not been obligated; and (II) any amount available for grants under this subparagraph for the imme- diately 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 pri- vate 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 enti- ty is not a private industry council or workforce investment board, the direct provision of such services. (V) Job vouchers for placement, readi- ness, and postemployment services. (VI) Job retention or support services if such services are not otherwise avail- able. (VII) Not more than 6 months of voca- tional educational or job training. Contracts or vouchers for job placement services supported by such funds must re- quire that at least 1⁄2 of the payment occur after an eligible individual placed into the workforce has been in the workforce for 6 months. (ii) 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 Op- portunity 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 in- eligible for assistance under the State program funded under this part by rea- son of a durational limit on such assist- ance, without regard to any exemption provided pursuant to section 608(a)(7)(C) of this title that may apply to the indi- vidual. (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 par- ents with respect to whom the require- ments of the following subclauses are met: (I) The noncustodial parent is unem- ployed, underemployed, or having dif- ficulty in paying child support obliga- tions. (II) At least 1 of the following applies to a minor child of the noncustodial par- ent (with preference in the determina- tion of the noncustodial parents to be provided services under this paragraph to be provided by the entity to those Page 2149 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 noncustodial parents with minor chil- dren 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 re- quirements of subclause (I) or (II) of clause (ii). (bb) The minor child is eligible for, or is receiving, benefits under the pro- gram funded under this part. (cc) The minor child received bene- fits under the program funded under this part in the 12-month period pre- ceding 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 [7 U.S.C. 2011 et seq.], benefits under the supplemental security income program under subchapter XVI of this chapter, medical assistance under subchapter XIX of this chapter, or child health as- sistance under subchapter XXI of this chapter. (III) In the case of a noncustodial par- ent who becomes enrolled in the project on or after November 29, 1999, the non- custodial parent is in compliance with the terms of an oral or written personal responsibility contract entered into among the noncustodial parent, the enti- ty, and (unless the entity demonstrates to the Secretary that the entity is not capable of coordinating with such agen- cy) the agency responsible for admin- istering 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 noncusto- dial parent to cooperate, at the ear- liest opportunity, in the establishment of the paternity of the minor child, through voluntary acknowledgement or other procedures, and in the estab- lishment of a child support order. (bb) A commitment by the noncusto- dial parent to cooperate in the pay- ment of child support for the minor child, which may include a modifica- tion of an existing support order to take into account the ability of the noncustodial parent to pay such sup- port and the participation of such par- ent in the project. (cc) A commitment by the noncusto- dial parent to participate in employ- ment or related activities that will en- able the noncustodial parent to make regular child support payments, and if the noncustodial parent has not at- tained 20 years of age, such related ac- tivities may include completion of high school, a general equivalency de- gree, or other education directly re- lated 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 non- custodial parent obtain and retain em- ployment, increase earnings, and en- hance the financial and emotional con- tributions 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 af- fect any other provision of law requiring a custodial parent to cooperate in estab- lishing the paternity of a child or estab- lishing or enforcing a support order with respect to a child, or entitling a custo- dial parent to refuse, for good cause, to provide such cooperation as a condition of assistance or benefit under any pro- gram, 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 con- strued to require a custodial parent to cooperate with or participate in any ac- tivity under this clause. The entity oper- ating a project under this clause with funds provided under this paragraph shall consult with domestic violence pre- vention and intervention organizations in the development of the project. (iv) Targeting of hard to employ individ- uals 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 as- sistance 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 section 675(4) of this title) under part E or were in foster care under the respon- sibility of a State; (III) to recipients of assistance under the State program funded under this part, determined to have significant bar- Page 2150 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 5 So in original. riers to self-sufficiency, pursuant to cri- teria established by the local private in- dustry council; or (IV) to custodial parents with incomes below 100 percent of the poverty line (as defined in section 9902(2) of this title, in- cluding any revision required by such section, applicable to a family of the size involved). To the extent that the entity does not ex- pend such funds in accordance with the preceding sentence, the entity shall ex- pend such funds in accordance with clauses (ii) and (iii) and, as appropriate, clause (v). (v) Authority to provide work-related serv- ices 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 sub- paragraph to, or for the benefit of, individ- uals who (but for section 608(a)(7) of this title) would be eligible for assistance under the program funded under this part of the State in which the entity is located. (vi) Relationship to other provisions of this part (I) Rules governing use of funds The rules of section 604 of this title, other than subsections (b), (f), and (h) of section 604 of this title, shall not apply to a grant made under this paragraph. (II) Rules governing payments to States The Secretary of Labor shall carry out the functions otherwise assigned by sec- tion 605 of this title to the Secretary of Health and Human Services with respect to the grants payable under this para- graph. (III) Administration Section 616 of this title shall not apply to the programs under this paragraph. (vii) Prohibition against use of grant funds for any other fund matching require- ment An entity to which funds are provided under this paragraph shall not use any part of the funds, nor any part of State ex- penditures made to match the funds, to fulfill any obligation of any State, polit- ical subdivision, or private industry coun- cil to contribute funds under subsection (b) or section 618 of this title or any other provision of this chapter or other Federal law. (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 imple- ment 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 collec- tion and maintenance of financial and par- ticipant 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 num- ber of individuals with an income that is less than the poverty line shall be deter- mined 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 ‘‘pri- vate industry council’’ means, with respect to a service delivery area, the private in- dustry council or local workforce develop- ment board established for the local work- force development area pursuant to title I of the Workforce Innovation and Oppor- tunity Act [29 U.S.C. 3111 et seq.], as ap- propriate. (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 sub- paragraph (H) for fiscal year 1998 and $15,000,000 of the amount so specified for fis- cal year 1999 shall be reserved for grants to Indian tribes under section 612(a)(3) of this title. (F) Funding for evaluations of welfare-to- work programs 0.6 percent of the amount specified in sub- paragraph (H) for fiscal year 1998 and $9,000,000 of the amount so specified for fis- cal year 1999 shall be reserved for use by the Secretary to carry out section 613(j) of this title. (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 Page 2151 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 $3,000,000 of the amount so specified for fis- cal year 1999 shall be reserved for use by the Secretary to evaluate programs under section 710 of this title, directly or through grants, contracts, or interagency agreements. (ii) Authority to use funds for evaluations of welfare-to-work programs Any such amount not required for such evaluations shall be available for use by the Secretary to carry out section 613(j) of this title. (iii) Deadline for outlays Outlays from funds used pursuant to clause (i) for evaluation of programs under section 710 of this title shall not be made after fiscal year 2005. (iv) Interim report Not later than January 1, 2002, the Sec- retary shall submit to the Congress an in- terim 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 con- tracts 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 collec- tive bargaining agreement, and such a work activity that would violate a col- lective bargaining agreement shall not be undertaken without the written con- currence 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 substan- tially equivalent job; (bb) if the employer has terminated the employment of any regular em- ployee or otherwise caused an involun- tary reduction in its workforce with the intention of filling the vacancy so created with the participant; or (cc) if the employer has caused an in- voluntary 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 ap- plicable to working conditions of employ- ees 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 section 608(c) of this title, an individual may not be discriminated against by rea- son of gender with respect to participation in work activities engaged in under a pro- gram operated with funds provided under this paragraph. (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 vio- lations of clause (i) and participants in work activities alleging violations of clause (i), (ii), or (iii). (II) Hearing The procedure shall include an oppor- tunity 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 in- clude— (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 equi- table relief. (IV) Appeals (aa) Filing Not later than 30 days after a griev- ant or complainant receives an adverse decision under the procedure estab- lished pursuant to subclause (I), the grievant or complainant may appeal the decision to a State agency des- ignated by the State which shall be independent of the State or local agen- Page 2152 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 cy that is administering the programs operated with funds provided under this paragraph and the State agency administering, or supervising the ad- ministration 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 de- termination on the appeal. (v) Rule of interpretation This subparagraph shall not be construed to affect the authority of a State to pro- vide 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 protec- tions to employees or to other participants engaged in work activities under a pro- gram funded under this part than is af- forded by such provisions of this subpara- graph. (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 fur- nishing 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 Sec- retary a request for funds under this para- graph during an eligible month, the Sec- retary 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 pay- ments. (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 ‘‘eligi- ble 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 con- sisting 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 pe- riod equals or exceeds 110 percent of such average rate for either (or both) of the cor- responding 3-month periods ending in the 2 preceding calendar years; or (B) as determined by the Secretary of Ag- riculture (in the discretion of the Secretary of Agriculture), the monthly average num- ber 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 indi- viduals (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 pe- riod in fiscal year 1994 if the amendments made by titles IV [8 U.S.C. 1601 et seq.] and VIII of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 had been in effect throughout fiscal year 1994; or (ii) the monthly average number of indi- viduals (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 pe- riod in fiscal year 1995 if the amendments made by titles IV and VIII of the Personal Responsibility and Work Opportunity Rec- onciliation Act of 1996 had been in effect throughout fiscal year 1995. Page 2153 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 (6) Annual reconciliation (A) In general Notwithstanding paragraph (3), if the Sec- retary 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 pe- riod 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 per- centage for the State (as defined in sec- tion 1396d(b) of this title, as such section was in effect on September 30, 1995); (II) the State’s reimbursable expendi- tures for the fiscal year; and (III) 1⁄12 times the number of months during the fiscal year for which the Sec- retary 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 de- fined in section 609(a)(7)(B)(iii) of this title), excluding any amount expended by the State for child care under sub- section (g) or (i) of section 602 of this title (as in effect during fiscal year 1994) for fiscal year 1994. (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 section 609(a)(7)(B)(i) of this title (other than the expenditures de- scribed in subclause (I)(bb) of such sec- tion)) under the State program funded under this part for the fiscal year; plus (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 sub- paragraph (A) to be remitted by a State for a fiscal year shall be increased by the less- er of— (I) the total adjustment for the fiscal year, multiplied by the adjustment per- centage 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 ad- justment’’ 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 ‘‘adjust- ment 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 pay- ments to all States for the fiscal year. (iv) Unadjusted net payment As used in this subparagraph, the term, ‘‘unadjusted net payment’’ means with re- spect 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 section 609(a)(10) of this title to be remitted by the State in respect of the payment. (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 ex- pended, to carry out this subsection. (2) Reservation of funds for technical assist- ance Of the amount specified in paragraph (1), the Secretary shall reserve $2,000,000 for adminis- trative expenses and the provision of technical assistance to States and Indian tribes with re- spect 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 para- graph (1) that is not reserved under para- graph (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): Page 2154 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 (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 Cen- sus; 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-re- current short term benefits, and emer- gency assistance in fiscal year 2019, as reported by the State under section 611 of this title; divided by (bb) the total amount expended by the States that are not territories for basic assistance, non-recurrent short term benefits, and emergency assist- ance in fiscal year 2019, as so reported by the States. (B) Territories and Indian Tribes The Secretary shall allot among the terri- tories and Indian tribes otherwise eligible for a grant under this part such portions of 7.5 percent of the amount specified in para- graph (1) that are not reserved under para- graph (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 pay- able under this subsection, a State or Indian tribe shall inform the Secretary as to wheth- er it intends to use all of its allotment under this paragraph and provide that informa- tion— (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 accord- ance 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 ben- efits, whether in the form of cash or in other forms. (B) Limitation on use for administrative ex- penses 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 serv- ices and activities that promote the pur- poses 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 Section 1308 of this title shall not apply with respect to any funds provided under this sub- section. (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 bene- fits’’ 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 Common- wealth 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 Pub. L. 104–193, title I, § 103(a)(1), Aug. 22, 1996, 110 Stat. 2115; amended Pub. L. 104–327, § 1(b), Page 2155 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 Oct. 19, 1996, 110 Stat. 4002; Pub. L. 105–33, title V, §§ 5001(a)(1), 5502, 5514(c), Aug. 5, 1997, 111 Stat. 577, 606, 620; Pub. L. 105–78, title VI, § 608, Nov. 13, 1997, 111 Stat. 1522; Pub. L. 105–89, title IV, § 404(a), (b), Nov. 19, 1997, 111 Stat. 2134; Pub. L. 105–200, title IV, § 408, July 16, 1998, 112 Stat. 672; Pub. L. 105–277, div. A, § 101(f) [title I, § 102, title VIII, § 405(d)(30), (f)(22)], Oct. 21, 1998, 112 Stat. 2681–337, 2681–346, 2681–425, 2681–432; Pub. L. 105–306, § 6(a), Oct. 28, 1998, 112 Stat. 2928; Pub. L. 106–113, div. B, § 1000(a)(4) [title VIII, §§ 801(a), (b)(1), (c), 802, 803, 804(b), 805(a)(2), (b), 806], Nov. 29, 1999, 113 Stat. 1535, 1501A–280, 1501A–281, 1501A–283 to 1501A–286; Pub. L. 106–246, div. B, title II, § 2402, July 13, 2000, 114 Stat. 555; Pub. L. 106–554, § 1(a)(1) [title I, §§ 103, 107(a)–(b)(4), (c), title V, § 513], Dec. 21, 2000, 114 Stat. 2763, 2763A–11, 2763A–12, 2763A–71; Pub. L. 107–147, title VI, §§ 616, 617, Mar. 9, 2002, 116 Stat. 62; Pub. L. 108–40, § 3(a), (c)–(e), June 30, 2003, 117 Stat. 836, 837; Pub. L. 108–89, title I, § 101(b)(1), (2), Oct. 1, 2003, 117 Stat. 1131; Pub. L. 108–210, § 2(b), Mar. 31, 2004, 118 Stat. 564; Pub. L. 108–262, § 2(b), June 30, 2004, 118 Stat. 696; Pub. L. 108–308, § 2(b)(1), (2), Sept. 30, 2004, 118 Stat. 1135; Pub. L. 109–4, § 2(b), Mar. 25, 2005, 119 Stat. 17; Pub. L. 109–19, § 2(b), July 1, 2005, 119 Stat. 344; Pub. L. 109–68, § 2(b)(2)(A), (B), Sept. 21, 2005, 119 Stat. 2003; Pub. L. 109–161, § 2(b), Dec. 30, 2005, 119 Stat. 2958; Pub. L. 109–171, title VII, §§ 7101(b)(1), (2), 7103(a), Feb. 8, 2006, 120 Stat. 135, 138; Pub. L. 110–234, title IV, § 4002(b)(1)(A), (B), (2)(V), May 22, 2008, 122 Stat. 1095–1097; Pub. L. 110–246, § 4(a), title IV, § 4002(b)(1)(A), (B), (2)(V), June 18, 2008, 122 Stat. 1664, 1857, 1858; Pub. L. 110–275, title III, § 301(b), July 15, 2008, 122 Stat. 2594; Pub. L. 111–5, div. B, title II, §§ 2101(a), 2102(b), Feb. 17, 2009, 123 Stat. 446, 449; Pub. L. 111–242, § 131(b)(1), (2), Sept. 30, 2010, 124 Stat. 2612; Pub. L. 111–291, title VIII, § 811(b)–(d), Dec. 8, 2010, 124 Stat. 3159; Pub. L. 112–96, title IV, § 4002(a), (b), Feb. 22, 2012, 126 Stat. 194, 195; Pub. L. 112–275, § 9(a), Jan. 14, 2013, 126 Stat. 2465; Pub. L. 113–128, title V, § 512(dd)(1), July 22, 2014, 128 Stat. 1717; Pub. L. 115–31, div. M, title I, § 102(a)(1), (2), (b), (c)(2), May 5, 2017, 131 Stat. 800, 803; Pub. L. 117–2, title IX, § 9201, Mar. 11, 2021, 135 Stat. 124.) Editorial Notes REFERENCES IN TEXT Section 603(a)(5)(K) of this title, referred to in subsec. (a)(5)(A)(ii)(I)(ff), was redesignated as section 603(a)(5)(J) by Pub. L. 106–554, § 1(a)(1) [title I, § 107(a)], Dec. 21, 2000, 114 Stat. 2763, 2763A–12. 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 Pub. L. 104–193, which enacted this part, amended sections 602, 603, and 1308 of this title, and repealed pro- visions formerly set out as this part. For complete clas- sification of section 103 to the Code, see Tables. The Food and Nutrition Act of 2008, referred to in subsec. (a)(5)(C)(iii)(II)(dd), is Pub. L. 88–525, Aug. 31, 1964, 78 Stat. 703, which is classified generally to chap- ter 51 (§ 2011 et seq.) of Title 7, Agriculture. For com- plete classification of this Act to the Code, see Short Title note set out under section 2011 of Title 7 and Ta- bles. The Workforce Innovation and Opportunity Act, re- ferred to in subsec. (a)(5)(D)(ii), is Pub. L. 113–128, July 22, 2014, 128 Stat. 1425. Title I of the Act is classified generally to subchapter I (§ 3111 et seq.) of chapter 32 of Title 29, Labor. For complete classification of this Act to the Code, see Short Title note set out under section 3101 of Title 29 and Tables. The Job Training Partnership Act, referred to in sub- sec. (a)(5)(D)(iii), is Pub. L. 97–300, Oct. 13, 1982, 96 Stat. 1322, which was classified generally to chapter 19 (§ 1501 et seq.) of Title 29, Labor, and was repealed by Pub. L. 105–220, title I, § 199(b)(2), (c)(2)(B), Aug. 7, 1998, 112 Stat. 1059, effective July 1, 2000. Pursuant to former section 2940(b) of Title 29, references to a provision of the Job Training Partnership Act, effective Aug. 7, 1998, were deemed to refer to that provision or the corresponding provision of the Workforce Investment Act of 1998, Pub. L. 105–220, Aug. 7, 1998, 112 Stat. 936, and, effective July 1, 2000, were deemed to refer to the corresponding provi- sion of the Workforce Investment Act of 1998. The Workforce Investment Act of 1998 was repealed by Pub. L. 113–128, title V, §§ 506, 511(a), July 22, 2014, 128 Stat. 1703, 1705, effective July 1, 2015. For complete classifica- tion of the Job Training Partnership Act and the Work- force Investment Act of 1998 to the Code, see Tables. The Personal Responsibility and Work Opportunity Reconciliation Act of 1996, referred to in subsec. (b)(5)(B), is Pub. L. 104–193, Aug. 22, 1996, 110 Stat. 2105. Title IV of the Act is classified principally to chapter 14 (§ 1601 et seq.) of Title 8, Aliens and Nationality. For complete classification of titles IV and VIII of the Act to the Code, see Tables. CODIFICATION Pub. L. 110–234 and Pub. L. 110–246 made identical amendments to this section. The amendments by Pub. L. 110–234 were repealed by section 4(a) of Pub. L. 110–246. PRIOR PROVISIONS A prior section 603, acts Aug. 14, 1935, ch. 531, title IV, § 403, 49 Stat. 628; Aug. 10, 1939, ch. 666, title IV, § 402, 53 Stat. 1380; Aug. 10, 1946, ch. 951, title V, § 502, 60 Stat. 992; June 14, 1948, ch. 468, § 3(b), 62 Stat. 439; Aug. 28, 1950, ch. 809, title III, pt. 2, § 322(a), pt. 6, § 361(c), (d), 64 Stat. 550, 558; July 18, 1952, ch. 945, § 8(b), 66 Stat. 778; Sept. 1, 1954, ch. 1206, title III, § 303(a), 68 Stat. 1097; Aug. 1, 1956, ch. 836, title III, §§ 302, 312(c), 342, 351(a), 70 Stat. 847, 849, 852, 854; Aug. 28, 1958, Pub. L. 85–840, title V, § 502, 72 Stat. 1048; July 25, 1962, Pub. L. 87–543, title I, §§ 101(a)(2), (b)(2)(A)–(C), 104(a)(3)(C), 108(b), (c), 76 Stat. 174, 180, 185, 190; July 30, 1965, Pub. L. 89–97, title I, § 122, title IV, § 401(c), 79 Stat. 353, 415; Jan. 2, 1968, Pub. L. 90–248, title II, §§ 201(c)–(e)(3), 205(b), 206(a), 207(b), 208, 241(b)(2), (3), 81 Stat. 879, 880, 892–894, 916; June 28, 1968, Pub. L. 90–364, title III, § 301, 82 Stat. 273; July 9, 1969, Pub. L. 91–41, § 3, 83 Stat. 45; Dec. 28, 1971, Pub. L. 92–223, § 3(a)(8), (9), 85 Stat. 805; Oct. 20, 1972, Pub. L. 92–512, title III, § 301(b)–(d), 86 Stat. 946, 947; Oct. 30, 1972, Pub. L. 92–603, title II, §§ 299E(d), 299F, 86 Stat. 1462, 1463; Jan. 4, 1975, Pub. L. 93–647, §§ 3(a)(3), (4), (e)(2), 5(b), 101(c)(6)(A), 88 Stat. 2348–2350, 2360; Aug. 9, 1975, Pub. L. 94–88, title II, § 204, 89 Stat. 435; Nov. 12, 1977, Pub. L. 95–171, § 3(a)(1), 91 Stat. 1354; Dec. 20, 1977, Pub. L. 95–216, title IV, §§ 401, 402(a), 91 Stat. 1559, 1560; June 9, 1980, Pub. L. 96–265, title IV, §§ 401(g), (h), 406(a), 407(c), 94 Stat. 462, 465, 467; Aug. 13, 1981, Pub. L. 97–35, title XXI, §§ 2181(a)(1), 2184(b)(1), title XXIII, §§ 2307(b), 2315(b), 2317(a), 2319(a)–(c), 2353(b)(1), (d), 95 Stat. 815, 817, 848, 855–857, 872; Sept. 3, 1982, Pub. L. 97–248, title I, §§ 154(b), 156(a)–(c), 157(a), 96 Stat. 397–399; July 18, 1984, Pub. L. 98–369, div. B, title VI, § 2663(c)(2), (j)(2)(B)(i), (3)(B)(i), 98 Stat. 1166, 1170, 1171; Aug. 16, 1984, Pub. L. 98–378, § 9(b), 98 Stat. 1316; Nov. 6, 1986, Pub. L. 99–603, title I, § 121(b)(1), 100 Stat. 3390; Dec. 22, 1987, Pub. L. 100–203, title IX, § 9102(c), 101 Stat. 1330–300; Oct. 13, 1988, Pub. L. 100–485, title II, §§ 201(c), (d), 202(b)(4)–(6), 204(b)(2), title III, §§ 302(b)(2), 304(b)(2), title VI, §§ 601(c)(1), 606, 609(a), 102 Stat. 2372, 2377, 2381, 2384, 2393, 2407, 2410, 2424; Dec. 19, 1989, Pub. L. 101–239, title VIII, § 8004(b), 103 Stat. 2460; Nov. 5, 1990, Pub. L. 101–508, title V, § 5081(b), 104 Stat. 1388–235; Aug. 10, 1993, Pub. L. 103–66, title XIII, § 13741(a), 107 Stat. 663; July 27, 1995, Page 2156 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 Pub. L. 104–19, title I, 109 Stat. 215; Apr. 26, 1996, Pub. L. 104–134, title III, 110 Stat. 1321–355; Aug. 22, 1996, Pub. L. 104–193, title I, § 103(c)(2)(B), 110 Stat. 2161; June 12, 1997, Pub. L. 105–18, title II, 111 Stat. 204, related to pay- ments to States with approved plans for aid and serv- ices to needy families with children, prior to repeal by Pub. L. 104–193, § 103(a)(1), as amended by Pub. L. 105–33, title V, § 5514(c), Aug. 5, 1997, 111 Stat. 620, effective July 1, 1997. AMENDMENTS 2021—Subsec. (c). Pub. L. 117–2 added subsec. (c). 2017—Subsec. (a)(1)(A). Pub. L. 115–31, § 102(a)(1), sub- stituted ‘‘each of fiscal years 2017 and 2018’’ for ‘‘fiscal year 2012’’. Subsec. (a)(1)(B). Pub. L. 115–31, § 102(c)(2), inserted ‘‘, reduced by the percentage specified in section 613(h)(1) of this title with respect to the fiscal year,’’ before ‘‘as the amount’’. Subsec. (a)(1)(C). Pub. L. 115–31, § 102(a)(1), substituted ‘‘each of fiscal years 2017 and 2018’’ for ‘‘fiscal year 2012’’. Subsec. (a)(2)(D). Pub. L. 115–31, § 102(a)(2), sub- stituted ‘‘each of fiscal years 2017 and 2018’’ for ‘‘fiscal year 2012’’ in introductory provisions and ‘‘fiscal year 2017 or 2018’’ for ‘‘fiscal year 2012’’ in concluding provi- sions. Subsec. (b)(2). Pub. L. 115–31, § 102(b), amended par. (2) generally. Prior to amendment, text read as follows: ‘‘Out of any money in the Treasury of the United States not otherwise appropriated, there are appro- priated for fiscal years 2013 and 2014 such sums as are necessary for payment to the Fund in a total amount not to exceed $612,000,000 for each fiscal year, of which $2,000,000 shall be reserved for carrying out the activi- ties of the commission established by the Protect our Kids Act of 2012 to reduce fatalities resulting from child abuse and neglect.’’ 2014—Subsec. (a)(5)(A)(vii)(I). Pub. L. 113–128, § 512(dd)(1)(A), substituted ‘‘chief elected official (as de- fined in section 3 of the Workforce Innovation and Op- portunity Act)’’ for ‘‘chief elected official (as defined in section 101 of the Workforce Investment Act of 1998)’’. Subsec. (a)(5)(D)(ii). Pub. L. 113–128, § 512(dd)(1)(B), which directed the substitution of ‘‘local workforce de- velopment board established for the local workforce de- velopment area pursuant to title I of the Workforce In- novation and Opportunity Act, as appropriate’’ for ‘‘local workforce investment board established for the service delivery area pursuant to title I of the Work- force Investment Act of 1998, as appropriate’’, was exe- cuted by making the substitution for ‘‘local workforce investment board established for the service delivery area pursuant to title I of the Workforce Investment Area of 1998, as appropriate’’ to reflect the probable in- tent of Congress. 2013—Subsec. (b)(2). Pub. L. 112–275 substituted ‘‘for fiscal years 2013 and 2014 such sums as are necessary for payment to the Fund in a total amount not to exceed $612,000,000 for each fiscal year, of which $2,000,000 shall be reserved for carrying out the activities of the com- mission established by the Protect our Kids Act of 2012 to reduce fatalities resulting from child abuse and ne- glect.’’ for ‘‘for fiscal years 2011 and 2012 such sums as are necessary for payment to the Fund in a total amount not to exceed, in the case of fiscal year 2011, such sums as are necessary for amounts obligated on or after October 1, 2010, and before December 8, 2010, and in the case of fiscal year 2012, $612,000,000.’’ 2012—Subsec. (a)(1)(A). Pub. L. 112–96, § 4002(a)(1), sub- stituted ‘‘fiscal year 2012’’ for ‘‘each of fiscal years 1996, 1997, 1998, 1999, 2000, 2001, 2002, and 2003’’. Subsec. (a)(1)(B). Pub. L. 112–96, § 4002(a)(2), inserted ‘‘(as in effect just before February 22, 2012)’’ after ‘‘sub- paragraph (C) of this paragraph’’ and ‘‘(as so in effect)’’ after ‘‘State under this paragraph’’. Subsec. (a)(1)(C). Pub. L. 112–96, § 4002(a)(3), sub- stituted ‘‘2012’’ for ‘‘2003’’. Subsec. (a)(2)(D). Pub. L. 112–96, § 4002(b), substituted ‘‘2012’’ for ‘‘2011’’ in two places. 2010—Subsec. (a)(2)(A)(i). Pub. L. 111–291, § 811(b)(1)(A), substituted ‘‘, (C), and (E)’’ for ‘‘and (C)’’. Subsec. (a)(2)(A)(ii). Pub. L. 111–291, § 811(b)(1)(B), in- serted ‘‘(or, in the case of an entity seeking funding to carry out healthy marriage promotion activities and activities promoting responsible fatherhood, a com- bined application that contains assurances that the en- tity will carry out such activities under separate pro- grams and shall not combine any funds awarded to carry out either such activities)’’ after ‘‘an applica- tion’’ in introductory provisions. Subsec. (a)(2)(A)(iii)(III). Pub. L. 111–291, § 811(b)(1)(C), added subcl. (III) and struck out former subcl. (III) which read as follows: ‘‘Marriage education, marriage skills, and relationship skills programs, that may in- clude parenting skills, financial management, conflict resolution, and job and career advancement, for non- married pregnant women and non-married expectant fathers.’’ Subsec. (a)(2)(C)(i). Pub. L. 111–291, § 811(b)(2), sub- stituted ‘‘$75,000,000’’ for ‘‘$50,000,000’’. Subsec. (a)(2)(D), (E). Pub. L. 111–291, § 811(b)(3), (4), added subpars. (D) and (E) and struck out former sub- par. (D). Prior to amendment, text of subpar. (D) read as follows: ‘‘Out of any money in the Treasury of the United States not otherwise appropriated, there are ap- propriated $150,000,000 for each of fiscal years 2006 through 2010, for expenditure in accordance with this paragraph.’’ Subsec. (a)(3)(F). Pub. L. 111–291, § 811(d)(1), inserted ‘‘(or portion of a fiscal year)’’ after ‘‘a fiscal year’’ and inserted ‘‘(or portion of the fiscal year)’’ after ‘‘the fis- cal year’’ in two places. Subsec. (a)(3)(H)(ii). Pub. L. 111–291, § 811(d)(2), added cl. (ii) and struck out former cl. (ii) which read as fol- lows: ‘‘subparagraph (G) shall be applied as if ‘the date specified in section 106(3) of the Continuing Appropria- tions Act, 2011’ were substituted for ‘fiscal year 2001’; and’’. Pub. L. 111–242, § 131(b)(1), amended cl. (ii) generally. Prior to amendment, cl. (ii) read as follows: ‘‘subpara- graph (G) shall be applied as if ‘fiscal year 2010’ were substituted for ‘fiscal year 2001’; and’’. Subsec. (b)(2). Pub. L. 111–291, § 811(c), substituted ‘‘such sums as are necessary for amounts obligated on or after October 1, 2010, and before December 8, 2010,’’ for ‘‘$506,000,000’’ and struck out ‘‘, reduced by the sum of the dollar amounts specified in paragraph (6)(C)(ii)’’ before period at end. Pub. L. 111–242, § 131(b)(2)(A), substituted ‘‘fiscal years 2011 and 2012’’ for ‘‘fiscal years 1997, 1998, 1999, 2000, 2001, 2002, and 2003’’ and ‘‘, in the case of fiscal year 2011, $506,000,000 and in the case of fiscal year 2012, $612,000,000’’ for ‘‘$2,000,000,000’’. Subsec. (b)(3)(C)(ii). Pub. L. 111–242, § 131(b)(2)(B), sub- stituted ‘‘fiscal year 2011 and 2012, respectively, shall not exceed the total amount appropriated pursuant to paragraph (2) for each such fiscal year’’ for ‘‘fiscal years 1997 through 2010 shall not exceed the total amount appropriated pursuant to paragraph (2)’’. 2009—Subsec. (a)(3)(H)(ii). Pub. L. 111–5, § 2102(b), amended cl. (ii) generally. Prior to amendment, cl. (ii) read as follows: ‘‘subparagraph (G) shall be applied as if ‘fiscal year 2009’ were substituted for ‘fiscal year 2001’; and’’. Subsec. (c). Pub. L. 111–5, § 2101(a)(2), struck out sub- sec. (c) which related to the Emergency Contingency Fund for State TANF Programs. Pub. L. 111–5, § 2101(a)(1), added subsec. (c). 2008—Subsec. (a)(3)(H)(ii). Pub. L. 110–275 amended cl. (ii) generally. Prior to amendment, cl. (ii) read as fol- lows: ‘‘subparagraph (G) shall be applied as if ‘fiscal year 2008’ were substituted for ‘fiscal year 2001’; and’’. Subsec. (a)(5)(C)(iii)(II)(dd). Pub. L. 110–246, § 4002(b)(1)(B), (2)(V), substituted ‘‘Food and Nutrition Act of 2008’’ for ‘‘Food Stamp Act of 1977’’. Subsec. (b)(5)(B). Pub. L. 110–246, § 4002(b)(1)(A), (2)(V), substituted ‘‘supplemental nutrition assistance pro- gram’’ for ‘‘food stamp program’’ wherever appearing. 2006—Subsec. (a)(2). Pub. L. 109–171, § 7103(a), amended heading and text of par. (2) generally. Prior to amend- Page 2157 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 ment, text related to bonus grant to reward decrease in illegitimacy ratio and defined for purposes of par. (2) terms ‘‘eligible State’’, ‘‘bonus year’’, and ‘‘illegit- imacy ratio’’. Subsec. (a)(3)(H)(ii). Pub. L. 109–171, § 7101(b)(1), which directed substitution of ‘‘fiscal year 2008’’ for ‘‘Decem- ber, 31, 2005’’, was executed by making the substitution for ‘‘December 31, 2005’’ to reflect the probable intent of Congress. Subsec. (b)(3)(C)(ii). Pub. L. 109–171, § 7101(b)(2), sub- stituted ‘‘2010’’ for ‘‘2006’’. 2005—Subsec. (a)(3)(H)(ii). Pub. L. 109–161, which di- rected substitution of ‘‘March 31, 2006’’ for ‘‘December 31, 2005’’, could not be executed due to amendment by Pub. L. 109–171, § 7101(b)(1). See 2006 Amendment note above and Effective Date of 2006 Amendment note below. Pub. L. 109–68, § 2(b)(2)(A), substituted ‘‘December 31’’ for ‘‘September 30’’. Pub. L. 109–19 substituted ‘‘September 30’’ for ‘‘June 30’’. Pub. L. 109–4 substituted ‘‘June 30’’ for ‘‘March 31’’. Subsec. (b)(3)(C)(ii). Pub. L. 109–68, § 2(b)(2)(B), sub- stituted ‘‘2006’’ for ‘‘2005’’. 2004—Subsec. (a)(3)(H)(ii). Pub. L. 108–308, § 2(b)(1), substituted ‘‘March 31, 2005’’ for ‘‘September 30, 2004’’. Pub. L. 108–262 substituted ‘‘September 30’’ for ‘‘June 30’’. Pub. L. 108–210 substituted ‘‘June 30’’ for ‘‘March 31’’. Subsec. (b)(3)(C)(ii). Pub. L. 108–308, § 2(b)(2), sub- stituted ‘‘2005’’ for ‘‘2004’’. 2003—Subsec. (a)(1)(A). Pub. L. 108–40, § 3(a)(1), sub- stituted ‘‘2002, and 2003’’ for ‘‘and 2002’’. Subsec. (a)(1)(B) to (E). Pub. L. 108–40, § 3(a)(2), added subpars. (B) and (C) and struck out former subpars. (B) to (E) which related to, in subpar. (B), definition of ‘‘State family assistance grant’’, in subpar. (C), defini- tion of ‘‘total amount required to be paid to the State under former section 603 of this title’’, in subpar. (D), information to be used in determining amounts of grants for fiscal years 1992 to 1995, and, in subpar. (E), appropriations for fiscal years 1996 to 2002. Subsec. (a)(2)(C)(ii). Pub. L. 108–40, § 3(c)(1), sub- stituted ‘‘2002, and 2003’’ for ‘‘and 2002’’. Subsec. (a)(2)(D). Pub. L. 108–40, § 3(c)(2), substituted ‘‘2003’’ for ‘‘2002’’. Subsec. (a)(3)(H). Pub. L. 108–40, § 3(d)(1), and Pub. L. 108–89, § 101(b)(1)(A), amended subpar. identically, strik- ing out ‘‘of grants for fiscal year 2002’’ after ‘‘Reauthor- ization’’ in heading. Subsec. (a)(3)(H)(i). Pub. L. 108–40, § 3(d)(2), sub- stituted ‘‘each of fiscal years 2002 and 2003’’ for ‘‘fiscal year 2002’’. Subsec. (a)(3)(H)(ii). Pub. L. 108–89, § 101(b)(1)(B), sub- stituted ‘‘March 31, 2004’’ for ‘‘2003’’ and ‘‘fiscal year 2001’’ for ‘‘2001’’. Pub. L. 108–40, § 3(d)(3), substituted ‘‘2003’’ for ‘‘2002’’. Subsec. (a)(3)(H)(iii). Pub. L. 108–40, § 3(d)(4), sub- stituted ‘‘each of fiscal years 2002 and 2003’’ for ‘‘fiscal year 2002’’. Subsec. (b)(2). Pub. L. 108–40, § 3(e)(1), substituted ‘‘2002, and 2003’’ for ‘‘and 2002’’. Subsec. (b)(3)(C)(ii). Pub. L. 108–89, § 101(b)(2), sub- stituted ‘‘2004’’ for ‘‘2003’’. Pub. L. 108–40, § 3(e)(2), substituted ‘‘2003’’ for ‘‘2002’’. 2002—Subsec. (a)(3)(H). Pub. L. 107–147, § 616, added subpar. (H). Subsec. (b)(2). Pub. L. 107–147, § 617(1), substituted ‘‘2001, and 2002’’ for ‘‘and 2001’’. Subsec. (b)(3)(C)(ii). Pub. L. 107–147, § 617(2), sub- stituted ‘‘2002’’ for ‘‘2001’’. 2000—Subsec. (a)(5)(A)(i). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(1)], substituted ‘‘subparagraph (H)’’ for ‘‘subparagraph (I)’’ in introductory provisions. Subsec. (a)(5)(A)(iv)(I)(aa). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(2)(A)], substituted ‘‘(H)’’ for ‘‘(I)’’ and ‘‘and (G)’’ for ‘‘(G), and (H)’’. Subsec. (a)(5)(A)(iv)(I)(bb). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(2)(B)], substituted ‘‘subparagraph (E)’’ for ‘‘subparagraph (F)’’. Subsec. (a)(5)(B)(v). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(3)], substituted ‘‘subparagraph (H)’’ for ‘‘sub- paragraph (I) ’’ in introductory provisions. Subsec. (a)(5)(B)(v)(I)(aa). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(2)(A)], substituted ‘‘(H)’’ for ‘‘(I)’’ and ‘‘and (G)’’ for ‘‘(G), and (H)’’. Subsec. (a)(5)(B)(v)(I)(bb). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(2)(B)], substituted ‘‘subparagraph (E)’’ for ‘‘subparagraph (F)’’. Subsec. (a)(5)(C)(viii). Pub. L. 106–554, § 1(a)(1) [title I, § 103)], substituted ‘‘5 years’’ for ‘‘3 years’’. Subsec. (a)(5)(E). Pub. L. 106–554, § 1(a)(1) [title I, § 107(a), (b)(4)], redesignated subpar. (F) as (E), sub- stituted ‘‘subparagraph (H)’’ for ‘‘subparagraph (I)’’, and struck out former subpar. (E), which established a set-aside for successful performance bonuses. Subsec. (a)(5)(F). Pub. L. 106–554, § 1(a)(1) [title I, § 107(a), (b)(4)], redesignated subpar. (G) as (F) and sub- stituted ‘‘subparagraph (H)’’ for ‘‘subparagraph (I)’’. Former subpar. (F) redesignated (E). Pub. L. 106–246, § 2402(1), substituted ‘‘$15,000,000’’ for ‘‘$1,500,000’’. Subsec. (a)(5)(G). Pub. L. 106–554, § 1(a)(1) [title V, § 513], which directed the amendment of subpar. (H) by substituting ‘‘2005’’ for ‘‘2001’’ in cl. (iii) and adding cl. (iv), was executed by making amendments to subpar. (G), to reflect the probable intent of Congress and the redesignation of subpar. (H) as (G) by Pub. L. 106–554, § 1(a)(1) [title V, § 107(a)]. See below. Pub. L. 106–554, § 1(a)(1) [title I, § 107(a), (b)(4)], redes- ignated subpar. (H) as (G) and substituted ‘‘subpara- graph (H)’’ for ‘‘subparagraph (I)’’ in cl. (i). Former sub- par. (G) redesignated (F). Pub. L. 106–246, § 2402(2), substituted ‘‘$9,000,000’’ for ‘‘$900,000’’. Subsec. (a)(5)(H). Pub. L. 106–554, § 1(a)(1) [title I, § 107(a), (c)], redesignated subpar. (I) as (H) and sub- stituted ‘‘$1,400,000,000’’ for ‘‘$1,450,000,000’’ in cl. (i)(II). Former subpar. (H) redesignated (G). Pub. L. 106–246, § 2402(3), substituted ‘‘$3,000,000’’ for ‘‘$300,000’’ in cl. (i). Subsec. (a)(5)(I) to (K). Pub. L. 106–554, § 1(a)(1) [title I, § 107(a)], redesignated subpars. (J) and (K) as (I) and (J), respectively. Former subpar. (I) redesignated (H). 1999—Subsec. (a)(5)(A)(ii)(I)(ff). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 805(b)], added item (ff). Subsec. (a)(5)(C)(i)(IV). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 803], inserted before period at end ‘‘, or if the entity is not a private industry council or work- force investment board, the direct provision of such services’’. Subsec. (a)(5)(C)(i)(VII). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 802], added subcl. (VII). Subsec. (a)(5)(C)(ii). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 801(a)], amended heading and text of cl. (ii) gen- erally, substituting provisions relating to general eligi- bility for provisions relating to required beneficiaries. Subsec. (a)(5)(C)(iii). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 801(b)(1)(B)], added cl. (iii). Former cl. (iii) redes- ignated (iv). Subsec. (a)(5)(C)(iv). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 801(c)], inserted ‘‘hard to employ’’ before ‘‘indi- viduals’’ in heading, substituted ‘‘clauses (ii) and (iii) and, as appropriate, clause (v)’’ for ‘‘clause (ii)’’ before period at end of concluding provisions, added subcls. (II) to (IV), and struck out former subcl. (II) which read as follows: ‘‘to individuals— ‘‘(aa) who are noncustodial parents of minors whose custodial parent is such a recipient; and ‘‘(bb) who have such characteristics.’’ Pub. L. 106–113, § 1000(a)(4) [title VIII, § 801(b)(1)(A)], redesignated cl. (iii) as (iv). Former cl. (iv) redesig- nated (v). Subsec. (a)(5)(C)(v) to (ix). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 801(b)(1)(A)], redesignated cls. (iv) to (viii) as (v) to (ix), respectively. Subsec. (a)(5)(C)(x). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 804(b)], added cl. (x). Subsec. (a)(5)(E)(i). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(c)], substituted ‘‘award’’ for ‘‘make’’ and in- Page 2158 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 serted ‘‘, but shall not make any outlay to pay any such grant before October 1, 2000’’ before period at end. Subsec. (a)(5)(E)(iv)(I)(bb), (vi). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(a)], substituted ‘‘$50,000,000’’ for ‘‘$100,000,000’’. Subsec. (a)(5)(F). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(b)(1)], inserted ‘‘$1,500,000’’ before ‘‘of the amount so specified for fiscal year 1999’’. Subsec. (a)(5)(G). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(b)(2)], inserted ‘‘$900,000’’ before ‘‘of the amount so specified for fiscal year 1999’’. Subsec. (a)(5)(H)(i). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(b)(3)], inserted ‘‘$300,000’’ before ‘‘of the amount so specified for fiscal year 1999’’. Subsec. (a)(5)(I)(i). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(b)(4)], substituted ‘‘for grants under this paragraph—’’ and subcls. (I) and (II) for ‘‘$1,500,000,000 for each of fiscal years 1998 and 1999 for grants under this paragraph.’’ Subsec. (a)(5)(K). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 805(a)(2)], added subpar. (K). 1998—Subsec. (a)(5)(A)(iv)(II). Pub. L. 105–306 sub- stituted ‘‘, 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’’ for ‘‘or sub-State en- tity’’. Subsec. (a)(5)(A)(vii)(I). Pub. L. 105–277, § 101(f) [title VIII, § 405(f)(22)(A)], struck out ‘‘described in section 103(c) of the Job Training Partnership Act or’’ before ‘‘defined in section 101 of the Workforce’’. Pub. L. 105–277, § 101(f) [title VIII, § 405(d)(30)(A)], sub- stituted ‘‘(as described in section 103(c) of the Job Training Partnership Act or defined in section 101 of the Workforce Investment Act of 1998)’’ for ‘‘(as de- scribed in section 103(c) of the Job Training Partner- ship Act)’’. Subsec. (a)(5)(A)(ix). Pub. L. 105–277, § 101(f) [title I, § 102], added cl. (ix). Subsec. (a)(5)(C)(ii). Pub. L. 105–200, § 408(1), struck out ‘‘of minors whose custodial parent is such a recipi- ent’’ after ‘‘noncustodial parents’’ in introductory pro- visions. Subsec. (a)(5)(C)(ii)(I). Pub. L. 105–200, § 408(2), in- serted ‘‘or the noncustodial parent’’ after ‘‘recipient’’ in introductory provisions. Subsec. (a)(5)(C)(ii)(II). Pub. L. 105–200, § 408(3), sub- stituted ‘‘The recipient or the minor children of the noncustodial parent—’’ for ‘‘The individual—’’ in intro- ductory provisions. Subsec. (a)(5)(D)(ii). Pub. L. 105–277, § 101(f) [title VIII, § 405(f)(22)(B)(i)], struck out ‘‘the Job Training Partner- ship Act or’’ before ‘‘title I of the Workforce Invest- ment’’. Pub. L. 105–277, § 101(f) [title VIII, § 405(d)(30)(B)(i)], substituted ‘‘means, with respect to a service delivery area, the private industry council or local workforce investment board established for the service delivery area pursuant to the Job Training Partnership Act or title I of the Workforce Investment Area of 1998, as ap- propriate’’ for ‘‘means, with respect to a service deliv- ery area, the private industry council (or successor en- tity) established for the service delivery area pursuant to the Job Training Partnership Act’’. Subsec. (a)(5)(D)(iii). Pub. L. 105–277, § 101(f) [title VIII, § 405(f)(22)(B)(ii)], struck out before period at end ‘‘shall mean a local area as defined in section 101 of the Workforce Investment Act of 1998, as appropriate’’. Pub. L. 105–277, § 101(f) [title VIII, § 405(d)(30)(B)(ii)], substituted ‘‘shall have the meaning given such term for purposes of the Job Training Partnership Act or shall mean a local area as defined in section 101 of the Workforce Investment Act of 1998, as appropriate’’ for ‘‘shall have the meaning given such term (or the suc- cessor to such term) for purposes of the Job Training Partnership Act’’. 1997—Pub. L. 105–33, § 5514(c), made technical amend- ment to directory language of Pub. L. 104–193, § 103(a)(1), which enacted this section. Subsec. (a)(2). Pub. L. 105–33, § 5502(b)(1), inserted ‘‘ratio’’ after ‘‘illegitimacy’’ in heading. Subsec. (a)(2)(A). Pub. L. 105–33, § 5502(b)(2), struck out ‘‘for which the State demonstrates a net decrease in out-of-wedlock births’’ after ‘‘bonus year’’. Subsec. (a)(2)(B). Pub. L. 105–33, § 5502(a)(1), amended heading and text of subpar. (B) generally. Prior to amendment, text read as follows: ‘‘(i) IF 5 ELIGIBLE STATES.—If there are 5 eligible States for a bonus year, the amount of the grant shall be $20,000,000. ‘‘(ii) IF FEWER THAN 5 ELIGIBLE STATES.—If there are fewer than 5 eligible States for a bonus year, the amount of the grant shall be $25,000,000.’’ Subsec. (a)(2)(C)(i)(I)(aa). Pub. L. 105–33, § 5502(b)(3)(A)(i), substituted ‘‘illegitimacy ratio of the State for’’ for ‘‘number of out-of-wedlock births that occurred in the State during’’ and ‘‘illegitimacy ratio of the State for’’ for ‘‘number of such births that oc- curred during’’. Pub. L. 105–33, § 5502(a)(2), inserted at end ‘‘In the case of a State that is not a territory specified in subpara- graph (B), the comparative magnitude of the decrease for the State shall be determined without regard to the magnitude of the corresponding decrease for any such territory.’’ Subsec. (a)(2)(C)(i)(I)(bb). Pub. L. 105–33, § 5502(c)(1)(A), substituted ‘‘the calendar year for which the most recent data are available’’ for ‘‘the fiscal year’’ and ‘‘calendar year 1995’’ for ‘‘fiscal year 1995’’. Subsec. (a)(2)(C)(i)(II). Pub. L. 105–33, § 5502(c)(1)(B), substituted ‘‘calendar’’ for ‘‘fiscal’’ wherever appearing. Subsec. (a)(2)(C)(i)(II)(aa). Pub. L. 105–33, § 5502(b)(3)(A)(ii), substituted ‘‘illegitimacy ratio of’’ for ‘‘number of out-of-wedlock births that occurred in’’ in two places and ‘‘calculate the illegitimacy ratio’’ for ‘‘calculate the number of out-of-wedlock births’’. Subsec. (a)(2)(C)(ii). Pub. L. 105–33, § 5502(c)(2), sub- stituted ‘‘calendar years’’ for ‘‘fiscal years’’. Subsec. (a)(2)(C)(iii). Pub. L. 105–33, § 5502(b)(3)(B), added cl. (iii). Subsec. (a)(3)(C)(ii). Pub. L. 105–33, § 5502(d), sub- stituted ‘‘1998’’ for ‘‘1997’’ in heading. Subsec. (a)(5). Pub. L. 105–33, § 5001(a)(1), added par. (5). Subsec. (a)(5)(A)(i)(I), (ii)(II). Pub. L. 105–78 sub- stituted ‘‘during the period permitted under subpara- graph (C)(vii) of this paragraph for the expenditure of funds under the grant’’ for ‘‘during the fiscal year’’. Subsec. (b)(2). Pub. L. 105–89, § 404(a), inserted ‘‘, reduced by the sum of the dollar amounts specified in paragraph (6)(C)(ii)’’ before period. Subsec. (b)(4), (5). Pub. L. 105–33, § 5502(e)(2), redesig- nated pars. (5) and (6) as (4) and (5), respectively, and struck out former par. (4) which required each State to remit to the Secretary at the end of each fiscal year certain excess amounts paid to the State under par. (3) during the fiscal year. Subsec. (b)(6). Pub. L. 105–33, § 5502(e)(3), added par. (6). Pub. L. 105–33, § 5502(e)(2), redesignated par. (6) as (5). Pub. L. 105–33, § 5502(e)(1), substituted ‘‘paragraph (4)’’ for ‘‘paragraph (5)’’ in introductory provisions. Subsec. (b)(6)(C). Pub. L. 105–89, § 404(b), added subpar. (C). Subsec. (b)(7). Pub. L. 105–33, § 5502(f), amended head- ing and text of par. (7) generally. Prior to amendment, text read as follows: ‘‘As used in this subsection: ‘‘(A) STATE.—The term ‘State’ means each of the 50 States of the United States and the District of Co- lumbia. ‘‘(B) SECRETARY.—The term ‘Secretary’ means the Secretary of the Treasury.’’ 1996—Subsec. (b)(4)(A)(i)(II). Pub. L. 104–327, § 1(b)(1), struck out ‘‘minus any Federal payment with respect to such child care expenditures’’ after ‘‘for fiscal year 1994’’. Subsec. (b)(4)(A)(ii)(I). Pub. L. 104–327, § 1(b)(2), in- serted ‘‘the sum of’’ before ‘‘the expenditures’’ and ‘‘, and any additional qualified State expenditures, as defined in section 609(a)(7)(B)(i) of this title, for child care assistance made under the Child Care and Develop- ment Block Grant Act of 1990’’ before ‘‘; exceeds’’. Page 2159 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603 Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2014 AMENDMENT Amendment by Pub. L. 113–128 effective on the first day of the first full program year after July 22, 2014 (July 1, 2015), see section 506 of Pub. L. 113–128, set out as an Effective Date note under section 3101 of Title 29, Labor. EFFECTIVE DATE OF 2012 AMENDMENT Pub. L. 112–96, title IV, § 4002(j), Feb. 22, 2012, 126 Stat. 195, provided that: ‘‘This section [amending this section and sections 609, 612 to 614, 618, and 1308 of this title] and the amendments made by this section shall take ef- fect on the date of the enactment of this Act [Feb. 22, 2012].’’ EFFECTIVE DATE OF 2009 AMENDMENT; SAVINGS PROVISION Pub. L. 111–5, div. B, title II, § 2101(a)(2), Feb. 17, 2009, 123 Stat. 448, provided that: ‘‘Effective October 1, 2010, subsection (c) of section 403 of the Social Security Act (42 U.S.C. 603) (as added by paragraph (1)) is repealed, except that paragraph (9) of such subsection shall re- main in effect until October 1, 2011, but only with re- spect to section 407(b)(3)(A)(i) of such Act [42 U.S.C. 607(b)(3)(A)(i)].’’ EFFECTIVE DATE OF 2008 AMENDMENT Amendment of this section and repeal of Pub. L. 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, except as other- wise provided, see section 4 of Pub. L. 110–246, set out as an Effective Date note under section 8701 of Title 7, Agriculture. Amendment by section 4002(b)(1)(A), (B), (2)(V) of Pub. L. 110–246 effective Oct. 1, 2008, see section 4407 of Pub. L. 110–246, set out as a note under section 1161 of Title 2, The Congress. EFFECTIVE DATE OF 2006 AMENDMENT Pub. L. 109–171, title VII, § 7701, Feb. 8, 2006, 120 Stat. 155, provided that: ‘‘Except as otherwise provided in this title [amending this section and sections 607, 608, 609, 611, 618, 622, 629f, 629h, 652, 653, 654, 655, 657, 664, 666, 671 to 673, 674, 1383, and 1383b of this title and section 6402 of Title 26, Internal Revenue Code, repealing sec- tion 1675c of Title 19, Customs Duties, enacting provi- sions set out as notes under sections 607, 608, 652, 654, 655, 657, 664, 666, and 1383 of this title and section 1675c of Title 19, and amending provisions set out as a note under section 1169 of Title 29, Labor], this title and the amendments made by this title shall take effect as if enacted on October 1, 2005.’’ EFFECTIVE DATE OF 2003 AMENDMENT Pub. L. 108–40, § 8, June 30, 2003, 117 Stat. 838, provided that: ‘‘The amendments made by this Act [amending this section and sections 606, 609, 612, 614, 618, 710, 1308, 1320a–9, 1396a, and 1396r–6 of this title] shall take effect on July 1, 2003.’’ EFFECTIVE DATE OF 2000 AMENDMENT Pub. L. 106–554, § 1(a)(1) [title I, § 107(d)], Dec. 21, 2000, 114 Stat. 2763, 2763A–12, provided that: ‘‘The amend- ments made by subsections (a), (b), and (c) of this sec- tion [amending this section and section 612 of this title] shall take effect on October 1, 2000.’’ EFFECTIVE DATE OF 1999 AMENDMENT Pub. L. 106–113, div. B, § 1000(a)(4) [title VIII, § 801(e)], Nov. 29, 1999, 113 Stat. 1535, 1501A–283, provided that: ‘‘The amendments made by this section [amending this section and sections 604 and 612 of this title]— ‘‘(1) shall be effective January 1, 2000, with respect to the determination of eligible individuals for pur- poses of section 403(a)(5)(B) of the Social Security Act [42 U.S.C. 603(a)(5)(B)] (relating to competitive grants); ‘‘(2) shall be effective July 1, 2000, except that ex- penditures 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 [42 U.S.C. 603(a)(5)(A)] (re- lating to formula grants) in the case of those indi- viduals who may be determined to be so eligible, but would not have been eligible before July 1, 2000; or ‘‘(B) for allowable activities described in section 403(a)(5)(C)(i)(VII) of the Social Security Act [42 U.S.C. 603(a)(5)(C)(i)(VII)] (as added by section 802 of this title) provided to any individuals determined to be eligible for purposes of section 403(a)(5)(A) of the Social Security Act (relating to formula grants).’’ EFFECTIVE DATE OF 1998 AMENDMENTS Pub. L. 105–306, § 6(b), Oct. 28, 1998, 112 Stat. 2928, pro- vided that: ‘‘The amendment made by subsection (a) [amending this section] shall take effect as if included in the enactment of section 5001 of the Balanced Budget Act of 1997 [Pub. L. 105–33].’’ Amendment by section 101(f) [title VIII, § 405(d)(30)] of Pub. L. 105–277 effective Oct. 21, 1998, and amendment by section 101(f) [title VIII, § 405(f)(22)] of Pub. L. 105–277 effective July 1, 2000, see section 101(f) [title VIII, § 405(g)(1), (2)(B)] of Pub. L. 105–277, set out as a note under section 3502 of Title 5, Government Organization and Employees. EFFECTIVE DATE OF 1997 AMENDMENTS Amendment by Pub. L. 105–89 effective Nov. 19, 1997, except as otherwise provided, with delay permitted if State legislation is required, see section 501 of Pub. L. 105–89, set out as a note under section 622 of this title. Amendment by section 5502 of Pub. L. 105–33 effective as if included in section 103(a) of the Personal Responsi- bility and Work Opportunity Reconciliation Act of 1996, Pub. L. 104–193, at the time such section 103(a) became law, see section 5518(a) of Pub. L. 105–33, set out as a note under section 602 of this title. Amendment by section 5514(c) of Pub. L. 105–33 effec- tive as if included in the provision of Pub. L. 104–193 amended at the time the provision became law, see sec- tion 5518(d) of Pub. L. 105–33, set out as a note under section 862a of Title 21, Food and Drugs. EFFECTIVE DATE OF 1996 AMENDMENT Pub. L. 104–327, § 1(d), Oct. 19, 1996, 110 Stat. 4003, pro- vided that: ‘‘The amendments made by this section [amending this section and provisions set out as a note under section 601 of this title] shall take effect as if in- cluded in the provisions of and the amendments made by the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 [Pub. L. 104–193].’’ 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 re- lating to closing out of accounts for terminated or sub- stantially modified programs and continuance in office of Assistant Secretary for Family Support, and provi- sions relating to termination of entitlement under AFDC program, see section 116 of Pub. L. 104–193, as amended, set out as a note under section 601 of this title. REGULATIONS Pub. L. 106–113, div. B, § 1000(a)(4) [title VIII, § 801(f)], Nov. 29, 1999, 113 Stat. 1535, 1501A–284, provided that: ‘‘Interim final regulations shall be prescribed to imple- ment the amendments made by this section [amending this section and sections 604 and 612 of this title] not later than January 1, 2000. Final regulations shall be Page 2160 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 603a 1 See References in Text note below. prescribed within 90 days after the date of the enact- ment of this Act [Nov. 29, 1999] to implement the amendments made by this Act to section 403(a)(5) of the Social Security Act [42 U.S.C. 603(a)(5)], in the same manner as described in section 403(a)(5)(C)(ix) of the So- cial Security Act (as so redesignated by subsection (b)(1)(A) of this section).’’ § 603a. Transferred Editorial Notes CODIFICATION Section, Pub. L. 94–566, title V, § 508(b), Oct. 20, 1976, 90 Stat. 2689; Pub. L. 104–193, title I, § 110(a), Aug. 22, 1996, 110 Stat. 2171, which related to reimbursement to State employment offices for expenses incurred for fur- nishing information requested of such offices by State or local agency administering this part, was trans- ferred to section 655a of this title. § 604. Use of grants (a) General rules Subject to this part, a State to which a grant is made under section 603 of this title may use the grant— (1) in any manner that is reasonably cal- culated 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 author- ized 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 sec- tion 603 of this title shall not expend more than 15 percent of the grant for administrative purposes. (2) Exception Paragraph (1) shall not apply to the use of a grant for information technology and comput- erization 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 section 603(a) of this title for a fiscal year to carry out a State program pursuant to any or all of the fol- lowing provisions of law: (A) Division A of subchapter XX of this chapter. (B) The Child Care and Development Block Grant Act of 1990 [42 U.S.C. 9857 et seq.]. (2) Limitation on amount transferable to divi- sion A 1 of subchapter XX programs (A) In general A State may use not more than the appli- cable percent of the amount of any grant made to the State under section 603(a) of this title for a fiscal year to carry out State programs pursuant to division A 1 of sub- chapter XX. (B) Applicable percent For purposes of subparagraph (A), the ap- plicable 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 ex- penditure under this part. (B) Exception relating to division A 1 of sub- chapter XX programs All amounts paid to a State under this part that are used to carry out State pro- grams pursuant to division A 1 of subchapter XX shall be used only for programs and serv- ices to children or their families whose in- come is less than 200 percent of the income official poverty line (as defined by the Office of Management and Budget, and revised an- nually in accordance with section 9902(2) of this title) applicable to a family of the size involved. (e) Authority to carry over certain amounts for benefits or services or for future contin- gencies 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 sec- tion 603 of this title may use the grant to make payments (or provide job placement vouchers) to State-approved public and private job placement agencies that provide employment placement services to individuals who receive assistance under the State program funded under this part. (g) Implementation of electronic benefit transfer system A State to which a grant is made under sec- tion 603 of this title is encouraged to implement an electronic benefit transfer system for pro-