42 U.S.C. § 434 — Demonstration project authority

Page 2116 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 434 (B)(i) that employment or self-employment, or any service which is recognized as equiva- lent to employment or self-employment under this subchapter or the social security system of a foreign country which is a party to such agreement, shall, on or after the effective date of such agreement, result in a period of cov- erage under the system established under this subchapter or under the system established under the laws of such foreign country, but not under both, and (ii) the methods and con- ditions for determining under which system employment, self-employment, or other serv- ice shall result in a period of coverage; and (C) that where an individual’s periods of cov- erage are combined, the benefit amount pay- able under this subchapter shall be based on the proportion of such individual’s periods of coverage which was completed under this sub- chapter. (2) Any such agreement may provide that an individual who is entitled to cash benefits under this subchapter shall, notwithstanding the pro- visions of section 402(t) of this title, receive such benefits while he resides in a foreign country which is a party to such agreement. (3) Section 426 of this title shall not apply in the case of any individual to whom it would not be applicable but for this section or any agree- ment or regulation under this section. (4) Any such agreement may contain other provisions which are not inconsistent with the other provisions of this subchapter and which the President deems appropriate to carry out the purposes of this section. (d) Regulations The Commissioner of Social Security shall make rules and regulations and establish proce- dures which are reasonable and necessary to im- plement and administer any agreement which has been entered into in accordance with this section. (e) Reports to Congress; effective date of agree- ments (1) Any agreement to establish a totalization arrangement entered into pursuant to this sec- tion shall be transmitted by the President to the Congress together with a report on the esti- mated number of individuals who will be af- fected by the agreement and the effect of the agreement on the estimated income and expend- itures of the programs established by this chap- ter. (2) Such an agreement shall become effective on any date, provided in the agreement, which occurs after the expiration of the period (fol- lowing the date on which the agreement is transmitted in accordance with paragraph (1)) during which at least one House of the Congress has been in session on each of 60 days; except that such agreement shall not become effective if, during such period, either House of the Con- gress adopts a resolution of disapproval of the agreement. (Aug. 14, 1935, ch. 531, title II, § 233, as added Pub. L. 95–216, title III, § 317(a), Dec. 20, 1977, 91 Stat. 1538; amended Pub. L. 97–35, title XXII, § 2201(b)(12), Aug. 13, 1981, 95 Stat. 831; Pub. L. 98–21, title III, § 326(a), Apr. 20, 1983, 97 Stat. 126; Pub. L. 98–369, div. B, title VI, § 2663(j)(3)(A)(v), July 18, 1984, 98 Stat. 1170; Pub. L. 103–296, title I, § 107(a)(4), Aug. 15, 1994, 108 Stat. 1478.) Editorial Notes AMENDMENTS 1994—Subsec. (d). Pub. L. 103–296 substituted ‘‘Com- missioner of Social Security’’ for ‘‘Secretary’’. 1984—Subsec. (d). Pub. L. 98–369 struck out ‘‘of Health, Education, and Welfare’’ after ‘‘Secretary’’. 1983—Subsec. (e)(2). Pub. L. 98–21 substituted ‘‘during which at least one House of the Congress has been in session on each of 60 days’’ for ‘‘during which each House of the Congress has been in session on each of 90 days’’. 1981—Subsec. (c)(2). Pub. L. 97–35 struck out provision permitting the agreement to provide that if the benefit paid by the United States to an individual who legally resides in the United States when added to the benefit paid by the foreign country is less than the benefit amount payable to such individual based on the first figure in, or deemed to be in, column IV of the table in section 415(a) of this title in the case of an individual becoming eligible before Jan. 1, 1979, or based on a pri- mary insurance amount determined under section 415(a)(1)(C)(i)(I) of this title in the case of an individual becoming eligible for such benefit on or after such date, the benefit paid by the United States be increased so that the two benefits equal the benefit amount that would be payable. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1994 AMENDMENT Amendment by Pub. L. 103–296 effective Mar. 31, 1995, see section 110(a) of Pub. L. 103–296, set out as a note under section 401 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98–369 effective July 18, 1984, but not to be construed as changing or affecting any right, liability, status, or interpretation which existed (under the provisions of law involved) before that date, see section 2664(b) of Pub. L. 98–369, set out as a note under section 401 of this title. EFFECTIVE DATE OF 1983 AMENDMENT Pub. L. 98–21, title III, § 326(b), Apr. 20, 1983, 97 Stat. 126, provided that: ‘‘The amendment made by sub- section (a) [amending this section] shall be effective on the date of the enactment of this Act [Apr. 20, 1983].’’ EFFECTIVE DATE OF 1981 AMENDMENT Amendment by Pub. L. 97–35 applicable with respect to benefits for months after December 1981, with cer- tain exceptions, see section 2(j)(2)–(4) of Pub. L. 97–123, set out as a note under section 415 of this title. § 434. Demonstration project authority (a) Authority (1) In general The Commissioner of Social Security (in this section referred to as the ‘‘Commis- sioner’’) shall develop and carry out experi- ments and demonstration projects designed to promote attachment to the labor force and to determine the relative advantages and dis- advantages of— (A) various alternative methods of treat- ing the work activity of individuals entitled to disability insurance benefits under sec- tion 423 of this title or to monthly insurance benefits under section 402 of this title based on such individual’s disability (as defined in Page 2117 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 434 1 So in original. Probably should be ‘‘section’’. section 423(d) of this title), including such methods as a reduction in benefits based on earnings, designed to encourage the return to work of such individuals; (B) altering other limitations and condi- tions applicable to such individuals (includ- ing lengthening the trial work period (as de- fined in section 422(c) of this title), altering the 24-month waiting period for hospital in- surance benefits under section 426 of this title, altering the manner in which the pro- gram under this subchapter is administered, earlier referral of such individuals for reha- bilitation, and greater use of employers and others to develop, perform, and otherwise stimulate new forms of rehabilitation); and (C) implementing sliding scale benefit off- sets using variations in— (i) the amount of the offset as a propor- tion of earned income; (ii) the duration of the offset period; and (iii) the method of determining the amount of income earned by such individ- uals, to the end that savings will accrue to the Trust Funds, or to otherwise promote the ob- jectives or facilitate the administration of this subchapter. (2) Authority for expansion of scope The Commissioner may expand the scope of any such experiment or demonstration project to include any group of applicants for benefits under the program established under this sub- chapter with impairments that reasonably may be presumed to be disabling for purposes of such demonstration project, and may limit any such demonstration project to any such group of applicants, subject to the terms of such demonstration project which shall define the extent of any such presumption. (b) Requirements The experiments and demonstration projects developed under subsection (a) shall be of suffi- cient scope and shall be carried out on a wide enough scale to permit a thorough evaluation of the alternative methods under consideration while giving assurance that the results derived from the experiments and projects will obtain generally in the operation of the disability in- surance program under this subchapter without committing such program to the adoption of any particular system either locally or nation- ally. (c) Authority to waive compliance with benefits requirements In the case of any experiment or demonstra- tion project initiated under subsection (a) on or before December 30, 2021, the Commissioner may waive compliance with the benefit requirements of this subchapter and the requirements of sec- tion 1320b–19 of this title as they relate to the program established under this subchapter, and the Secretary may (upon the request of the Commissioner) waive compliance with the bene- fits requirements of subchapter XVIII, insofar as is necessary for a thorough evaluation of the al- ternative methods under consideration. No such experiment or project shall be actually placed in operation unless at least 90 days prior thereto a written report, prepared for purposes of notifica- tion and information only and containing a full and complete description thereof, including the objectives of the experiment or demonstration project, the expected annual and total costs, and the dates on which the experiment or dem- onstration project is expected to start and fin- ish, has been transmitted by the Commissioner to the Committee on Ways and Means of the House of Representatives and to the Committee on Finance of the Senate. Periodic reports on the progress of such experiments and dem- onstration projects shall be submitted by the Commissioner to such committees. When appro- priate, such reports shall include detailed rec- ommendations for changes in administration or law, or both, to carry out the objectives stated in subsection (a). (d) Reports (1) Interim reports On or before September 30 of each year, the Commissioner shall submit to the Committee on Ways and Means of the House of Represent- atives and to the Committee on Finance of the Senate an annual interim report on the progress of the experiments and demonstra- tion projects carried out under this sub- section 1 together with any related data and materials that the Commissioner may con- sider appropriate. (2) Termination and final report The authority to initiate projects under the preceding provisions of this section shall ter- minate on December 31, 2021, and the author- ity to carry out such projects shall terminate on December 31, 2022. Not later than 90 days after the termination of any experiment or demonstration project carried out under this section, the Commissioner shall submit to the Committee on Ways and Means of the House of Representatives and to the Committee on Fi- nance of the Senate a final report with respect to that experiment or demonstration project. (e) Additional requirements In developing and carrying out any experi- ment or demonstration project under this sec- tion, the Commissioner may not require any in- dividual to participate in such experiment or demonstration project and shall ensure— (1) that the voluntary participation of indi- viduals in such experiment or demonstration project is obtained through informed written consent which satisfies the requirements for informed consent established by the Commis- sioner for use in such experiment or dem- onstration project in which human subjects are at risk; (2) that any individual’s voluntary agree- ment to participate in any such experiment or demonstration project may be revoked by such individual at any time; and (3) that such experiment or demonstration project is expected to yield statistically sig- nificant results. (f) Promoting opportunity demonstration project (1) In general The Commissioner shall carry out a dem- onstration project under this subsection as de- Page 2118 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 434 scribed in paragraph (2) during a 5-year period beginning not later than January 1, 2017. (2) Benefit offset Under the demonstration project described in this paragraph, with respect to any indi- vidual participating in the project who is oth- erwise entitled to a benefit under section 423(a)(1) of this title for a month— (A) any such benefit otherwise payable to the individual for such month (other than a benefit payable for any month prior to the 1st month beginning after the date on which the individual’s entitlement to such benefit is determined) shall be reduced by $1 for each $2 by which the individual’s earnings derived from services paid during such month exceeds an amount equal to the indi- vidual’s impairment-related work expenses for such month (as determined under para- graph (3)), except that such benefit may not be reduced below $0; (B) no benefit shall be payable under sec- tion 402 of this title on the basis of the wages and self-employment income of the in- dividual for any month for which the benefit of such individual under section 423(a)(1) of this title is reduced to $0 pursuant to sub- paragraph (A); (C) entitlement to any benefit described in subparagraph (A) or (B) shall not terminate due to earnings derived from services except following the first month for which such benefit has been reduced to $0 pursuant to subparagraph (A) (and the trial work period (as defined in section 422(c) of this title) and extended period of eligibility shall not apply to any such individual for any such month); and (D) in any case in which such an individual is entitled to hospital insurance benefits under part A of subchapter XVIII by reason of section 426(b) of this title and such indi- vidual’s entitlement to a benefit described in subparagraph (A) or (B) or status as a quali- fied railroad retirement beneficiary is termi- nated pursuant to subparagraph (C), such in- dividual shall be deemed to be entitled to such benefits or to occupy such status (not- withstanding the termination of such enti- tlement or status) for the period of consecu- tive months throughout all of which the physical or mental impairment, on which such entitlement or status was based, con- tinues, and throughout all of which such in- dividual would have been entitled to month- ly insurance benefits under subchapter II or as a qualified railroad retirement bene- ficiary had such termination of entitlement or status not occurred, but not in excess of 93 such months. (3) Impairment-related work expenses (A) In general For purposes of paragraph (2)(A) and ex- cept as provided in subparagraph (C), the amount of an individual’s impairment-re- lated work expenses for a month is deemed to be the minimum threshold amount. (B) Minimum threshold amount In this paragraph, the term ‘‘minimum threshold amount’’ means an amount, to be determined by the Commissioner, which shall not exceed the amount sufficient to demonstrate that an individual has rendered services in a month, as determined by the Commissioner under section 422(c)(4)(A) of this title. The Commissioner may test mul- tiple minimum threshold amounts. (C) Exception for itemized impairment-re- lated work expenses (i) In general Notwithstanding subparagraph (A), in any case in which the amount of such an individual’s itemized impairment-related work expenses (as defined in clause (ii)) for a month is greater than the minimum threshold amount, the amount of the indi- vidual’s impairment-related work expenses for the month shall be equal to the amount of the individual’s itemized impairment- related work expenses (as so defined) for the month. (ii) Definition In this subparagraph, the term ‘‘itemized impairment-related work expenses’’ means the amount excluded under section 423(d)(4)(A) of this title from an individ- ual’s earnings for a month in determining whether an individual is able to engage in substantial gainful activity by reason of such earnings in such month, except that such amount does not include the cost to the individual of any item or service for which the individual does not provide to the Commissioner a satisfactory itemized accounting. (D) Limitation Notwithstanding the other provisions of this paragraph, for purposes of paragraph (2)(A), the amount of an individual’s impair- ment-related work expenses for a month shall not exceed the amount of earnings de- rived from services, prescribed by the Com- missioner under regulations issued pursuant to section 423(d)(4)(A) of this title, sufficient to demonstrate an individual’s ability to en- gage in substantial gainful activity. (Aug. 14, 1935, ch. 531, title II, § 234, as added Pub. L. 106–170, title III, § 301(a), Dec. 17, 1999, 113 Stat. 1900; amended Pub. L. 108–203, title IV, § 401, Mar. 2, 2004, 118 Stat. 525; Pub. L. 114–74, title VIII, §§ 821–823, Nov. 2, 2015, 129 Stat. 605.) Editorial Notes AMENDMENTS 2015—Subsec. (a)(1). Pub. L. 114–74, § 822(a), in intro- ductory provisions, inserted ‘‘to promote attachment to the labor force and’’ after ‘‘designed’’. Subsec. (c). Pub. L. 114–74, §§ 821(b), 822(b), substituted ‘‘December 30, 2021’’ for ‘‘December 17, 2005’’ and in- serted ‘‘including the objectives of the experiment or demonstration project, the expected annual and total costs, and the dates on which the experiment or dem- onstration project is expected to start and finish,’’ after ‘‘thereof,’’. Subsec. (d)(1). Pub. L. 114–74, § 822(d), substituted ‘‘September 30’’ for ‘‘June 9’’. Subsec. (d)(2). Pub. L. 114–74, § 821(a), substituted ‘‘De- cember 31, 2021, and the authority to carry out such projects shall terminate on December 31, 2022’’ for ‘‘De- cember 18, 2005’’. Page 2119 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 434 Subsec. (e). Pub. L. 114–74, § 822(c), added subsec. (e). Subsec. (f). Pub. L. 114–74, § 823, added subsec. (f). 2004—Subsec. (c). Pub. L. 108–203, § 401(1), substituted ‘‘initiated under subsection (a) on or before December 17, 2005’’ for ‘‘conducted under subsection (a)’’. Subsec. (d)(2). Pub. L. 108–203, § 401(2), substituted ‘‘The authority to initiate projects under the preceding provisions of this section shall terminate on December 18, 2005.’’ for ‘‘The authority under the preceding provi- sions of this section (including any waiver granted pur- suant to subsection (c) of this section) shall terminate 5 years after December 17, 1999.’’ Statutory Notes and Related Subsidiaries DEMONSTRATION PROJECTS PROVIDING FOR REDUCTIONS IN DISABILITY INSURANCE BENEFITS BASED ON EARN- INGS Pub. L. 106–170, title III, § 302, Dec. 17, 1999, 113 Stat. 1902, as amended by Pub. L. 108–203, title IV, §§ 402, 403, Mar. 2, 2004, 118 Stat. 525, provided that: ‘‘(a) AUTHORITY.—The Commissioner of Social Secu- rity shall conduct demonstration projects for the pur- pose of evaluating, through the collection of data, a program for title II disability beneficiaries (as defined in section 1148(k)(3) of the Social Security Act [42 U.S.C. 1320b–19(k)(3)]) under which benefits payable under section 223 of such Act [42 U.S.C. 423], or under section 202 of such Act [42 U.S.C. 402] based on the bene- ficiary’s disability, are reduced by $1 for each $2 of the beneficiary’s earnings that is above a level to be deter- mined by the Commissioner. Such projects shall be conducted at a number of localities which the Commis- sioner shall determine is sufficient to adequately evaluate the appropriateness of national implementa- tion of such a program. Such projects shall identify re- ductions in Federal expenditures that may result from the permanent implementation of such a program. ‘‘(b) SCOPE AND SCALE AND MATTERS TO BE DETER- MINED.— ‘‘(1) IN GENERAL.—The demonstration projects de- veloped under subsection (a) shall be of sufficient du- ration, shall be of sufficient scope, and shall be car- ried out on a wide enough scale to permit a thorough evaluation of the project to determine— ‘‘(A) the effects, if any, of induced entry into the project and reduced exit from the project; ‘‘(B) the extent, if any, to which the project being tested is affected by whether it is in operation in a locality within an area under the administration of the Ticket to Work and Self-Sufficiency Program established under section 1148 of the Social Secu- rity Act [42 U.S.C. 1320b–19]; and ‘‘(C) the savings that accrue to the Federal Old- Age and Survivors Insurance Trust Fund, the Fed- eral Disability Insurance Trust Fund, and other Federal programs under the project being tested. The Commissioner shall take into account advice provided by the Ticket to Work and Work Incentives Advisory Panel pursuant to section 101(f)(2)(B)(ii) of this Act [set out as a note under section 1320b–19 of this title]. ‘‘(2) ADDITIONAL MATTERS.—The Commissioner shall also determine with respect to each project— ‘‘(A) the annual cost (including net cost) of the project and the annual cost (including net cost) that would have been incurred in the absence of the project; ‘‘(B) the determinants of return to work, includ- ing the characteristics of the beneficiaries who par- ticipate in the project; and ‘‘(C) the employment outcomes, including wages, occupations, benefits, and hours worked, of bene- ficiaries who return to work as a result of partici- pation in the project. The Commissioner may include within the matters evaluated under the project the merits of trial work periods and periods of extended eligibility. ‘‘(c) WAIVERS.—The Commissioner may waive compli- ance with the benefit provisions of title II of the Social Security Act (42 U.S.C. 401 et seq.) and the require- ments of section 1148 of such Act (42 U.S.C. 1320b–19) as they relate to the program established under title II of such Act, and the Secretary of Health and Human Serv- ices may waive compliance with the benefit require- ments of title XVIII of such Act (42 U.S.C. 1395 et seq.), insofar as is necessary for a thorough evaluation of the alternative methods under consideration. No such project shall be actually placed in operation unless at least 90 days prior thereto a written report, prepared for purposes of notification and information only and containing a full and complete description thereof, has been transmitted by the Commissioner to the Com- mittee on Ways and Means of the House of Representa- tives and to the Committee on Finance of the Senate. Periodic reports on the progress of such projects shall be submitted by the Commissioner to such committees. When appropriate, such reports shall include detailed recommendations for changes in administration or law, or both, to carry out the objectives stated in subsection (a). ‘‘(d) INTERIM REPORTS.—Not later than 2 years after the date of the enactment of this Act [Dec. 17, 1999], and annually thereafter, the Commissioner of Social Security shall submit to the Congress an interim re- port on the progress of the demonstration projects car- ried out under this subsection together with any re- lated data and materials that the Commissioner of So- cial Security may consider appropriate. ‘‘(e) FINAL REPORT.—The Commissioner of Social Se- curity shall submit to the Congress a final report with respect to all demonstration projects carried out under this section not later than 1 year after their comple- tion. ‘‘(f) EXPENDITURES.—Administrative expenses for demonstration projects under this section shall be paid from funds available for the administration of title II or XVIII of the Social Security Act [42 U.S.C. 401 et seq., 1395 et seq.], as appropriate. Benefits payable to or on behalf of individuals by reason of participation in projects under this section shall be made from the Fed- eral Disability Insurance Trust Fund and the Federal Old-Age and Survivors Insurance Trust Fund, as deter- mined appropriate by the Commissioner of Social Secu- rity, and from the Federal Hospital Insurance Trust Fund and the Federal Supplementary Medical Insur- ance Trust Fund, as determined appropriate by the Sec- retary of Health and Human Services, from funds avail- able for benefits under such title II or XVIII.’’ STUDY BY GENERAL ACCOUNTING OFFICE OF THE IM- PACT OF THE SUBSTANTIAL GAINFUL ACTIVITY LIMIT ON RETURN TO WORK Pub. L. 106–170, title III, § 303(c), Dec. 17, 1999, 113 Stat. 1904, provided that, as soon as practicable after Dec. 17, 1999, the Comptroller General was to undertake a study of the substantial gainful activity level appli- cable as of that date to recipients of benefits under sec- tions 402 and 423 of this title and the effect of such level as a disincentive for those recipients to return to work, to address the merits of increasing the substantial gainful activity level applicable to recipients and the rationale for not yearly indexing that level to infla- tion, and not later than 2 years after Dec. 17, 1999, to transmit to the appropriate congressional committees a written report presenting the results of the Comp- troller General’s study conducted pursuant to this sub- section and appropriate recommendations for legisla- tive or administrative changes. STUDY BY THE GOVERNMENT ACCOUNTABILITY OFFICE OF SOCIAL SECURITY ADMINISTRATION’S DISABILITY INSURANCE PROGRAM DEMONSTRATION AUTHORITY Pub. L. 106–170, title III, § 303(e), Dec. 17, 1999, 113 Stat. 1905, provided that, as soon as practicable after Dec. 17, 1999, the Comptroller General of the United States was to undertake a study to assess the results of the Social Security Administration’s efforts to conduct disability demonstrations authorized under prior law as Page 2120 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 501 well as under 42 U.S.C. 434 and, not later than 5 years after Dec. 17, 1999, to transmit to the appropriate con- gressional committees a written report presenting the results of the Comptroller General’s study conducted pursuant to 42 U.S.C. 434 and a recommendation as to whether the demonstration authority authorized under 42 U.S.C. 434 should be made permanent. SUBCHAPTER III—GRANTS TO STATES FOR UNEMPLOYMENT COMPENSATION ADMIN- ISTRATION § 501. Use of available funds The amounts made available pursuant to sec- tion 1101(c)(1)(A) of this title for the purpose of assisting the States in the administration of their unemployment compensation laws shall be used as hereinafter provided. (Aug. 14, 1935, ch. 531, title III, § 301, 49 Stat. 626; Apr. 19, 1939, ch. 73, 53 Stat. 581; Pub. L. 86–778, title V, § 524(a), Sept. 13, 1960, 74 Stat. 982.) Editorial Notes AMENDMENTS 1960—Pub. L. 86–778 struck out provisions prescribing specific sums for fiscal years 1936–1939 and for each fis- cal year thereafter and inserted provisions relating to amounts made available pursuant to section 1101(c)(1)(A) of this title. 1939—Act Apr. 19, 1939, provided increased appropria- tion for fiscal year ending June 30, 1939, and for each fiscal year thereafter. § 502. Payments to States; computation of amounts (a) Certification of amounts The Secretary of Labor shall from time to time certify to the Secretary of the Treasury for payment to each State which has an unemploy- ment compensation law approved by the Sec- retary of Labor under the Federal Unemploy- ment Tax Act, such amounts as the Secretary of Labor determines to be necessary for the proper and efficient administration of such law during the fiscal year for which such payment is to be made, including 100 percent of so much of the reasonable expenditures of the State as are at- tributable to the costs of the implementation and operation of the immigration status verification system described in section 1320b–7(d) of this title. The Secretary of Labor’s determination shall be based on (1) the popu- lation of the State; (2) an estimate of the num- ber of persons covered by the State law and of the cost of proper and efficient administration of such law; and (3) such other factors as the Secretary of Labor finds relevant. The Secretary of Labor shall not certify for payment under this section in any fiscal year a total amount in excess of the amount appropriated therefor for such fiscal year. (b) Payment of amounts Out of the sums appropriated therefor, the Secretary of the Treasury shall, upon receiving a certification under subsection (a), pay, through the Fiscal Service of the Department of the Treasury and prior to audit or settlement by the Government Accountability Office, to the State agency charged with the administration of such law the amount so certified. (c) Mailing costs No portion of the cost of mailing a statement under section 6050B(b) of the Internal Revenue Code of 1986 (relating to unemployment com- pensation) shall be treated as not being a cost for the proper and efficient administration of the State unemployment compensation law by reason of including with such statement infor- mation about the earned income credit provided by section 32 of the Internal Revenue Code of 1986. The preceding sentence shall not apply if the inclusion of such information increases the postage required to mail such statement. (Aug. 14, 1935, ch. 531, title III, § 302, 49 Stat. 626; Aug. 10, 1939, ch. 666, title III, § 301, 53 Stat. 1378; 1946 Reorg. Plan No. 2, § 4, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; 1949 Reorg. Plan No. 2, § 1, eff. Aug. 20, 1949, 14 F.R. 5225, 63 Stat. 1065; Pub. L. 98–369, div. B, title VI, § 2663(b)(1), July 18, 1984, 98 Stat. 1165; Pub. L. 99–603, title I, § 121(b)(3), Nov. 6, 1986, 100 Stat. 3390; Pub. L. 102–318, title III, § 302(a), July 3, 1992, 106 Stat. 297; Pub. L. 108–271, § 8(b), July 7, 2004, 118 Stat. 814.) Editorial Notes REFERENCES IN TEXT The Federal Unemployment Tax Act, referred to in subsec. (a), comprised subchapter C (§§ 1600 to 1611) of chapter 9 of the Internal Revenue Code of 1939. Chapter 9 of the 1939 Code was repealed (subject to certain ex- ceptions) by section 7851(a)(3) of the Internal Revenue Code of 1954, Title 26. The Internal Revenue Code of 1954 was redesignated the Internal Revenue Code of 1986 by Pub. L. 99–514, § 2, Oct. 22, 1986, 100 Stat. 2095. The Fed- eral Unemployment Tax Act also comprises chapter 23 (§ 3301 et seq.) of the Internal Revenue Code of 1986. For table of comparisons of the 1939 Code to the 1986 Code, see Table I preceding section 1 of Title 26, Internal Rev- enue Code. See also section 7852(b) of Title 26 for provi- sion that references in any other law to a provision of the 1939 Code, unless expressly incompatible with the intent thereof, shall be deemed a reference to the cor- responding provision of the 1986 Code. AMENDMENTS 2004—Subsec. (b). Pub. L. 108–271 substituted ‘‘Govern- ment Accountability Office’’ for ‘‘General Accounting Office’’. 1992—Subsec. (c). Pub. L. 102–318 added subsec. (c). 1986—Subsec. (a). Pub. L. 99–603 inserted at end of first sentence ‘‘, including 100 percent of so much of the reasonable expenditures of the State as are attrib- utable to the costs of the implementation and oper- ation of the immigration status verification system de- scribed in section 1320b–7(d) of this title’’. 1984—Subsec. (b). Pub. L. 98–369 substituted ‘‘the Fis- cal Service of the Department of the Treasury’’ for ‘‘the Division of Disbursement of the Treasury Depart- ment’’. 1939—Subsec. (a). Act Aug. 10, 1939, substituted ‘‘Fed- eral Unemployment Tax Act’’ for ‘‘sections 1101–1110 of this title,’’ and inserted ‘‘efficient’’ before ‘‘administra- tion’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1992 AMENDMENT Pub. L. 102–318, title III, § 302(b), July 3, 1992, 106 Stat. 297, provided that: ‘‘The amendment made by sub- section (a) [amending this section] shall take effect on the date of the enactment of this Act [July 3, 1992].’’ EFFECTIVE DATE OF 1986 AMENDMENT Pub. L. 99–603, title I, § 121(c)(2), Nov. 6, 1986, 100 Stat. 3391, provided that: ‘‘The amendments made by sub-