−CITE− 42 USC Sec. 678 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IV − GRANTS TO STATES FOR AID AND SERVICES TO NEEDY FAMILIES WITH CHILDREN AND FOR CHILD−WELFARE SERVICES Part E − Federal Payments for Foster Care and Adoption Assistance −HEAD− Sec. 678. Rule of construction −STATUTE− Nothing in this part shall be construed as precluding State courts from exercising their discretion to protect the health and safety of children in individual cases, including cases other than those described in section 671(a)(15)(D) of this title. −SOURCE− (Aug. 14, 1935, ch. 531, title IV, Sec. 478, as added Pub. L. 105−89, title I, Sec. 101(d), Nov. 19, 1997, 111 Stat. 2117.) −MISC1− PRIOR PROVISIONS A prior section 678, act Aug. 14, 1935, ch. 531, title IV, Sec. 478, as added Oct. 22, 1986, Pub. L. 99−514, title XVIII, Sec. 1883(b)(10)(A), 100 Stat. 2917, excluded from AFDC unit child for whom foster care maintenance payments are made, prior to repeal by

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Pub. L. 101−508, title V, Sec. 5052(b), (c), Nov. 5, 1990, 104 Stat. 1388−228, applicable with respect to benefits for months beginning on or after the first day of the sixth calendar month following November 1990. EFFECTIVE DATE Section 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 an Effective Date of 1997 Amendments note under section 622 of this title. −End− −CITE− 42 USC Sec. 679 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IV − GRANTS TO STATES FOR AID AND SERVICES TO NEEDY FAMILIES WITH CHILDREN AND FOR CHILD−WELFARE SERVICES Part E − Federal Payments for Foster Care and Adoption Assistance −HEAD− Sec. 679. Collection of data relating to adoption and foster care −STATUTE− (a) Advisory Committee on Adoption and Foster Care Information (1) Not later than 90 days after October 21, 1986, the Secretary shall establish an Advisory Committee on Adoption and Foster Care Information (in this section referred to as the "Advisory

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Committee") to study the various methods of establishing, administering, and financing a system for the collection of data with respect to adoption and foster care in the United States. (2) The study required by paragraph (1) shall − (A) identify the types of data necessary to − (i) assess (on a continuing basis) the incidence, characteristics, and status of adoption and foster care in the United States, and (ii) develop appropriate national policies with respect to adoption and foster care; (B) evaluate the feasibility and appropriateness of collecting data with respect to privately arranged adoptions and adoptions arranged through private agencies without assistance from public child welfare agencies; (C) assess the validity of various methods of collecting data with respect to adoption and foster care; and (D) evaluate the financial and administrative impact of implementing each such method. (3) Not later than October 1, 1987, the Advisory Committee shall submit to the Secretary and the Congress a report setting forth the results of the study required by paragraph (1) and evaluating and making recommendations with respect to the various methods of establishing, administering, and financing a system for the collection of data with respect to adoption and foster care in the United States. (4)(A) Subject to subparagraph (B), the membership and

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organization of the Advisory Committee shall be determined by the Secretary. (B) The membership of the Advisory Committee shall include representatives of − (i) private, nonprofit organizations with an interest in child welfare (including organizations that provide foster care and adoption services), (ii) organizations representing State and local governmental agencies with responsibility for foster care and adoption services, (iii) organizations representing State and local governmental agencies with responsibility for the collection of health and social statistics, (iv) organizations representing State and local judicial bodies with jurisdiction over family law, (v) Federal agencies responsible for the collection of health and social statistics, and (vi) organizations and agencies involved with privately arranged or international adoptions. (5) After the date of the submission of the report required by paragraph (3), the Advisory Committee shall cease to exist. (b) Report to Congress; regulations (1)(A) Not later than July 1, 1988, the Secretary shall submit to the Congress a report that − (i) proposes a method of establishing, administering, and financing a system for the collection of data relating to

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adoption and foster care in the United States, (ii) evaluates the feasibility and appropriateness of collecting data with respect to privately arranged adoptions and adoptions arranged through private agencies without assistance from public child welfare agencies, and (iii) evaluates the impact of the system proposed under clause (i) on the agencies with responsibility for implementing it. (B) The report required by subparagraph (A) shall − (i) specify any changes in law that will be necessary to implement the system proposed under subparagraph (A)(i), and (ii) describe the type of system that will be implemented under paragraph (2) in the absence of such changes. (2) Not later than December 31, 1988, the Secretary shall promulgate final regulations providing for the implementation of − (A) the system proposed under paragraph (1)(A)(i), or (B) if the changes in law specified pursuant to paragraph (1)(B)(i) have not been enacted, the system described in paragraph (1)(B)(ii). Such regulations shall provide for the full implementation of the system not later than October 1, 1991. (c) Data collection system Any data collection system developed and implemented under this section shall − (1) avoid unnecessary diversion of resources from agencies responsible for adoption and foster care; (2) assure that any data that is collected is reliable and

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consistent over time and among jurisdictions through the use of uniform definitions and methodologies; (3) provide comprehensive national information with respect to − (A) the demographic characteristics of adoptive and foster children and their biological and adoptive or foster parents, (B) the status of the foster care population (including the number of children in foster care, length of placement, type of placement, availability for adoption, and goals for ending or continuing foster care), (C) the number and characteristics of − (i) children placed in or removed from foster care, (ii) children adopted or with respect to whom adoptions have been terminated, and (iii) children placed in foster care outside the State which has placement and care responsibility, and (D) the extent and nature of assistance provided by Federal, State, and local adoption and foster care programs and the characteristics of the children with respect to whom such assistance is provided; and (4) utilize appropriate requirements and incentives to ensure that the system functions reliably throughout the United States. −SOURCE− (Aug. 14, 1935, ch. 531, title IV, Sec. 479, as added Pub. L. 99−509, title IX, Sec. 9443, Oct. 21, 1986, 100 Stat. 2073; amended Pub. L. 103−432, title II, Sec. 209(c), Oct. 31, 1994, 108 Stat.

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4459.) −MISC1− AMENDMENTS 1994 − Subsec. (c)(3)(C)(iii). Pub. L. 103−432 added cl. (iii). EFFECTIVE DATE OF 1994 AMENDMENT Amendment by Pub. L. 103−432 effective with respect to fiscal years beginning on or after Oct. 1, 1995, see section 209(d) of Pub. L. 103−432, set out as a note under section 675 of this title. TERMINATION OF ADVISORY COMMITTEES Advisory committees established after Jan. 5, 1973, to terminate not later than the expiration of the 2−year period beginning on the date of their establishment, unless, in the case of a committee established by the President or an officer of the Federal Government, such committee is renewed by appropriate action prior to the expiration of such 2−year period, or in the case of a committee established by the Congress, its duration is otherwise provided by law. See section 14 of Pub. L. 92−463, Oct. 6, 1972, 86 Stat. 776, set out in the Appendix to Title 5, Government Organization and Employees. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 673b, 674, 679a, 1320a−9, 5106f−1 of this title. −End− −CITE− 42 USC Sec. 679a 01/06/03

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−EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IV − GRANTS TO STATES FOR AID AND SERVICES TO NEEDY FAMILIES WITH CHILDREN AND FOR CHILD−WELFARE SERVICES Part E − Federal Payments for Foster Care and Adoption Assistance −HEAD− Sec. 679a. National Adoption Information Clearinghouse −STATUTE− The Secretary of Health and Human Services shall establish, either directly or by grant or contract, a National Adoption Information Clearinghouse. The Clearinghouse shall − (1) collect, compile, and maintain information obtained from available research, studies, and reports by public and private agencies, institutions, or individuals concerning all aspects of infant adoption and adoption of children with special needs; (2) compile, maintain, and periodically revise directories of information concerning − (A) crisis pregnancy centers, (B) shelters and residences for pregnant women, (C) training programs on adoption, (D) educational programs on adoption, (E) licensed adoption agencies, (F) State laws relating to adoption, (G) intercountry adoption, and

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(H) any other information relating to adoption for pregnant women, infertile couples, adoptive parents, unmarried individuals who want to adopt children, individuals who have been adopted, birth parents who have placed a child for adoption, adoption agencies, social workers, counselors, or other individuals who work in the adoption field; (3) disseminate the information compiled and maintained pursuant to paragraph (1) and the directories compiled and maintained pursuant to paragraph (2); and (4) upon the establishment of an adoption and foster care data collection system pursuant to section 679 of this title, disseminate the data and information made available through that system. −SOURCE− (Pub. L. 99−509, title IX, Sec. 9442, Oct. 21, 1986, 100 Stat. 2073.) −COD− CODIFICATION Section was enacted as part of the Medicare and Medicaid Budget Reconciliation Amendments of 1985 and also as part of the Omnibus Budget Reconciliation Act of 1986, and not as part of the Social Security Act which comprises this chapter. −End− −CITE− 42 USC Sec. 679b 01/06/03 −EXPCITE−

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TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IV − GRANTS TO STATES FOR AID AND SERVICES TO NEEDY FAMILIES WITH CHILDREN AND FOR CHILD−WELFARE SERVICES Part E − Federal Payments for Foster Care and Adoption Assistance −HEAD− Sec. 679b. Annual report −STATUTE− The Secretary, in consultation with Governors, State legislatures, State and local public officials responsible for administering child welfare programs, and child welfare advocates, shall − (1) develop a set of outcome measures (including length of stay in foster care, number of foster care placements, and number of adoptions) that can be used to assess the performance of States in operating child protection and child welfare programs pursuant to part B of this subchapter and this part to ensure the safety of children; (2) to the maximum extent possible, the outcome measures should be developed from data available from the Adoption and Foster Care Analysis and Reporting System; (3) develop a system for rating the performance of States with respect to the outcome measures, and provide to the States an explanation of the rating system and how scores are determined under the rating system;

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(4) prescribe such regulations as may be necessary to ensure that States provide to the Secretary the data necessary to determine State performance with respect to each outcome measure, as a condition of the State receiving funds under this part; and (5) on May 1, 1999, and annually thereafter, prepare and submit to the Congress a report on the performance of each State on each outcome measure, which shall examine the reasons for high performance and low performance and, where possible, make recommendations as to how State performance could be improved. −SOURCE− (Aug. 14, 1935, ch. 531, title IV, Sec. 479A, as added Pub. L. 105−89, title II, Sec. 203(a), Nov. 19, 1997, 111 Stat. 2126.) −REFTEXT− REFERENCES IN TEXT Part B of this subchapter, referred to in par. (1), is classified to section 620 et seq. of this title. −MISC1− EFFECTIVE DATE Section 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 an Effective Date of 1997 Amendments note under section 622 of this title. DEVELOPMENT OF PERFORMANCE−BASED INCENTIVE SYSTEM Section 203(b) of Pub. L. 105−89 provided that: "The Secretary of Health and Human Services, in consultation with State and local public officials responsible for administering child welfare

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programs and child welfare advocates, shall study, develop, and recommend to Congress an incentive system to provide payments under parts B and E of title IV of the Social Security Act (42 U.S.C. 620 et seq., 670 et seq.) to any State based on the State's performance under such a system. Such a system shall, to the extent the Secretary determines feasible and appropriate, be based on the annual report required by section 479A of the Social Security Act [this section] (as added by subsection (a) of this section) or on any proposed modifications of the annual report. Not later than 6 months after the date of the enactment of this Act [Nov. 19, 1997], 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 progress report on the feasibility, timetable, and consultation process for conducting such a study. Not later than 15 months after such date of enactment, the Secretary shall submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate the final report on a performance−based incentive system. The report may include other recommendations for restructuring the program and payments under parts B and E of title IV of the Social Security Act." −End− −CITE− 42 USC Part F − Job Opportunities and Basic Skills Training Program 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE

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CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IV − GRANTS TO STATES FOR AID AND SERVICES TO NEEDY FAMILIES WITH CHILDREN AND FOR CHILD−WELFARE SERVICES Part F − Job Opportunities and Basic Skills Training Program −HEAD− PART F − JOB OPPORTUNITIES AND BASIC SKILLS TRAINING PROGRAM −End− −CITE− 42 USC Secs. 681 to 687 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IV − GRANTS TO STATES FOR AID AND SERVICES TO NEEDY FAMILIES WITH CHILDREN AND FOR CHILD−WELFARE SERVICES Part F − Job Opportunities and Basic Skills Training Program −HEAD− Secs. 681 to 687. Repealed. Pub. L. 104−193, title I, Sec. 108(e), Aug. 22, 1996, 110 Stat. 2167 −MISC1− Section 681, act Aug. 14, 1935, ch. 531, title IV, Sec. 481, as added Oct. 13, 1988, Pub. L. 100−485, title II, Sec. 201(b), 102 Stat. 2360, related to purpose of part and definitions. Section 682, act Aug. 14, 1935, ch. 531, title IV, Sec. 482, as added Oct. 13, 1988, Pub. L. 100−485, title II, Sec. 201(b), 102

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Stat. 2360; amended Oct. 31, 1994, Pub. L. 103−432, title II, Sec. 241(a), 108 Stat. 4466, related to establishment and operation of State programs. Section 683, act Aug. 14, 1935, ch. 531, title IV, Sec. 483, as added Oct. 13, 1988, Pub. L. 100−485, title II, Sec. 201(b), 102 Stat. 2369, related to coordination of Federal and State programs. Section 684, act Aug. 14, 1935, ch. 531, title IV, Sec. 484, as added Oct. 13, 1988, Pub. L. 100−485, title II, Sec. 201(b), 102 Stat. 2370, related to provisions generally applicable to provision of services. Section 685, act Aug. 14, 1935, ch. 531, title IV, Sec. 485, as added Oct. 13, 1988, Pub. L. 100−485, title II, Sec. 201(b), 102 Stat. 2371, related to contract authority. Section 686, act Aug. 14, 1935, ch. 531, title IV, Sec. 486, as added Oct. 13, 1988, Pub. L. 100−485, title II, Sec. 201(b), 102 Stat. 2372, related to initial State evaluations. Section 687, act Aug. 14, 1935, ch. 531, title IV, Sec. 487, as added Oct. 13, 1988, Pub. L. 100−485, title II, Sec. 203(b), 102 Stat. 2378; amended Oct. 31, 1994, Pub. L. 103−432, title II, Sec. 242, 108 Stat. 4466, related to performance standards. EFFECTIVE DATE OF REPEAL Repeal effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for

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Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of Pub. L. 104−193, as amended, set out as an Effective Date note under section 601 of this title. −End− −CITE− 42 USC SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −MISC1− AMENDMENTS 1981 − Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 818, substituted "MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT" for "MATERNAL AND CHILD HEALTH AND CRIPPLED CHILDREN'S SERVICES" as the heading of title V of the Social Security Act [this subchapter] as part of the general revision of this subchapter. −SECREF− SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in sections 247b−1, 247b−4a, 247b−16, 254c−8, 280c−6, 280g, 280g−1, 300b−8, 300w−3, 300z−5,

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300ff−71, 671, 1301, 1320a−3, 1320a−7, 1320a−7a, 1320b−19, 1382d, 1396a, 1396b, 1396n, 1396r−1, 1396r−4, 1397d, 14402, 15025 of this title; title 7 section 3178; title 8 section 1255a; title 20 sections 1412, 1440. −End− −CITE− 42 USC Sec. 701 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Sec. 701. Authorization of appropriations; purposes; definitions −STATUTE− (a) To improve the health of all mothers and children consistent with the applicable health status goals and national health objectives established by the Secretary under the Public Health Service Act [42 U.S.C. 201 et seq.] for the year 2000, there are authorized to be appropriated $850,000,000 for fiscal year 2001 and each fiscal year thereafter − (1) for the purpose of enabling each State − (A) to provide and to assure mothers and children (in particular those with low income or with limited availability of health services) access to quality maternal and child health services; (B) to reduce infant mortality and the incidence of

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preventable diseases and handicapping conditions among children, to reduce the need for inpatient and long−term care services, to increase the number of children (especially preschool children) appropriately immunized against disease and the number of low income children receiving health assessments and follow−up diagnostic and treatment services, and otherwise to promote the health of mothers and infants by providing prenatal, delivery, and postpartum care for low income, at−risk pregnant women, and to promote the health of children by providing preventive and primary care services for low income children; (C) to provide rehabilitation services for blind and disabled individuals under the age of 16 receiving benefits under subchapter XVI of this chapter, to the extent medical assistance for such services is not provided under subchapter XIX of this chapter; and (D) to provide and to promote family−centered, community−based, coordinated care (including care coordination services, as defined in subsection (b)(3) of this section) for children with special health care needs and to facilitate the development of community−based systems of services for such children and their families; (2) for the purpose of enabling the Secretary (through grants, contracts, or otherwise) to provide for special projects of regional and national significance, research, and training with respect to maternal and child health and children with special

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health care needs (including early intervention training and services development), for genetic disease testing, counseling, and information development and dissemination programs, for grants (including funding for comprehensive hemophilia diagnostic treatment centers) relating to hemophilia without regard to age, and for the screening of newborns for sickle cell anemia, and other genetic disorders and follow−up services; and (3) subject to section 702(b) of this title for the purpose of enabling the Secretary (through grants, contracts, or otherwise) to provide for developing and expanding the following − (A) maternal and infant health home visiting programs in which case management services as defined in subparagraphs (A) and (B) of subsection (b)(4) of this section, health education services, and related social support services are provided in the home to pregnant women or families with an infant up to the age one by an appropriate health professional or by a qualified nonprofessional acting under the supervision of a health care professional, (B) projects designed to increase the participation of obstetricians and pediatricians under the program under this subchapter and under state (!1) plans approved under subchapter XIX of this chapter, (C) integrated maternal and child health service delivery systems (of the type described in section 1320b−6 (!2) of this title and using, once developed, the model application form developed under section 6506(a) of the Omnibus Budget

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Reconciliation Act of 1989), (D) maternal and child health centers which (i) provide prenatal, delivery, and postpartum care for pregnant women and preventive and primary care services for infants up to age one, and (ii) operate under the direction of a not−for−profit hospital, (E) maternal and child health projects to serve rural populations, and (F) outpatient and community based services programs (including day care services) for children with special health care needs whose medical services are provided primarily through inpatient institutional care. Funds appropriated under this section may only be used in a manner consistent with the Assisted Suicide Funding Restriction Act of 1997 [42 U.S.C. 14401 et seq.]. (b) For purposes of this subchapter: (1) The term "consolidated health programs" means the programs administered under the provisions of − (A) this subchapter (relating to maternal and child health and services for children with special health care needs), (B) section 1382d(c) of this title (relating to supplemental security income for disabled children), (C) sections 247a of this title (relating to lead−based paint poisoning prevention programs), 300b of this title (relating to genetic disease programs), 300c−11 of this title (relating to sudden infant death syndrome programs) and 300c−21 of this

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title (relating to hemophilia treatment centers), and (D) title VI of the Health Services and Centers Amendments of 1978 (Public Law 95−626; relating to adolescent pregnancy grants), as such provisions were in effect before August 13, 1981. (2) The term "low income" means, with respect to an individual or family, such an individual or family with an income determined to be below the income official poverty line defined by the Office of Management and Budget and revised annually in accordance with section 9902(2) of this title. (3) The term "care coordination services" means services to promote the effective and efficient organization and utilization of resources to assure access to necessary comprehensive services for children with special health care needs and their families. (4) The term "case management services" means − (A) with respect to pregnant women, services to assure access to quality prenatal, delivery, and postpartum care; and (B) with respect to infants up to age one, services to assure access to quality preventive and primary care services. −SOURCE− (Aug. 14, 1935, ch. 531, title V, Sec. 501, as added Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 818; amended Pub. L. 97−248, title I, Sec. 137(b)(1), (2), Sept. 3, 1982, 96 Stat. 376; Pub. L. 98−369, div. B, title III, Sec. 2372(a), July 18, 1984, 98 Stat. 1110; Pub. L. 99−272, title IX, Sec. 9527(a)−(c), Apr. 7, 1986, 100 Stat. 219; Pub. L. 99−509, title IX, Sec.

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9441(a), Oct. 21, 1986, 100 Stat. 2071; Pub. L. 100−203, title IV, Sec. 4118(p)(8), Dec. 22, 1987, 101 Stat. 1330−159; Pub. L. 101−239, title VI, Sec. 6501(a), Dec. 19, 1989, 103 Stat. 2273; Pub. L. 103−432, title II, Sec. 201, Oct. 31, 1994, 108 Stat. 4453; Pub. L. 105−12, Sec. 9(d), Apr. 30, 1997, 111 Stat. 27; Pub. L. 106−554, Sec. 1(a)(6) [title IX, Sec. 921(a)], Dec. 21, 2000, 114 Stat. 2763, 2763A−584.) −REFTEXT− REFERENCES IN TEXT The Public Health Service Act, referred to in subsec. (a), is act July 1, 1944, ch. 373, 58 Stat. 682, as amended, which is classified generally to chapter 6A (Sec. 201 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out under section 201 of this title and Tables. The Assisted Suicide Funding Restriction Act of 1997, referred to in subsec. (a), is Pub. L. 105−12, Apr. 30, 1997, 111 Stat. 23, which is classified principally to chapter 138 (Sec. 14401 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out under section 14401 of this title and Tables. Section 1320b−6 of this title, referred to in subsec. (a)(3)(C), was repealed by Pub. L. 104−193, title I, Sec. 108(g)(7), Aug. 22, 1996, 110 Stat. 2168. Section 6506(a) of the Omnibus Budget Reconciliation Act of 1989, referred to in subsec. (a)(3)(C), is section 6506(a) of Pub. L.

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101−239 which is set out below. Sections 247a, 300b, 300c−11, and 300c−21 of this title, referred to in subsec. (b)(1)(C), were repealed by Pub. L. 97−35, Sec. 2193(b)(1), Aug. 13, 1981, 95 Stat. 827. See Effective Date, Savings, and Transitional Provisions note set out below. The Health Services and Centers Amendments of 1978, referred to in subsec. (b)(1)(D), is Pub. L. 95−626, Nov. 10, 1978, 92 Stat. 3551. Title VI of the Health Services and Centers Amendments of 1978 was classified generally to part A (Sec. 300a−21 et seq.) of subchapter VIII−A of this chapter prior to its repeal by Pub. L. 97−35, title IX, Sec. 955(b), title XXI, Sec. 2193(f), Aug. 13, 1981, 95 Stat. 592, 828. For complete classification of this Act to the Code, see Short Title of 1978 Amendment note set out under section 201 of this title and Tables. −MISC1− PRIOR PROVISIONS A prior section 701, act Aug. 14, 1935, ch. 531, title V, Sec. 501, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 921; amended Aug. 1, 1977, Pub. L. 95−83, title III, Sec. 309(a), 91 Stat. 396; Aug. 13, 1981, Pub. L. 97−35, title XXI, Sec. 2193(a)(3), 95 Stat. 827, provided for authorization of appropriations, prior to the general revision of this subchapter by section 2192(a) of Pub. L. 97−35. For effective date, savings, and transitional provisions, see section 2194 of Pub. L. 97−35, set out below. Another prior section 701, acts Aug. 14, 1935, ch. 531, title V,

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Sec. 501, 49 Stat. 629; Aug. 10, 1939, ch. 666, title V, Sec. 501, 53 Stat. 1380; 1946 Reorg. Plan No. 2, Sec. 1, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 10, 1946, ch. 951, title IV, Sec. 401(b)(1), 60 Stat. 986; Aug. 28, 1950, ch. 809, title III, pt. 3, Sec. 331(a), pt. 6, Sec. 361(e), 64 Stat. 551, 558; Aug. 28, 1958, Pub. L. 85−840, title VI, Sec. 602(a), 72 Stat. 1054; Sept. 13, 1960, Pub. L. 86−778, title VII, Sec. 707(a)(1)(A), 74 Stat. 995; Oct. 24, 1963, Pub. L. 88−156, Sec. 2(a), 77 Stat. 273; July 30, 1965, Pub. L. 89−97, title II, Sec. 201(a), 79 Stat. 353, authorized appropriations, for maternal and child health services, of $25,000,000; $30,000,000; $35,000,000; $45,000,000; $50,000,000; $55,000,000; $55,000,000; and $60,000,000 for fiscal years ending June 30, 1963, 1964, 1965, 1966, 1967, 1968, 1969, 1970 and each fiscal year thereafter, respectively, prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301. Provisions similar to those comprising former section 701 were contained in section 511 of act Aug. 14, 1935, ch. 531, title V, 49 Stat. 631, as amended (formerly classified to section 711 of this title, and sections 531(a), 532(a), and 533(a) (formerly 532(a)) of act Aug. 14, 1935, ch. 531, title V, as added Oct. 24, 1963, Pub. L. 88−156, Sec. 4, 77 Stat. 274; amended July 30, 1965, Pub. L. 89−97, title II, Sec. 205(3), 79 Stat. 354; Oct. 24, 1963, Pub. L. 88−156, Sec. 4, 77 Stat. 274; renumbered July 30, 1965, Pub. L. 89−97, title II, Sec. 205(2), 79 Stat. 354 (formerly classified to sections 729(a), 729−1(a), and 729a(a) of this title), prior to the

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general amendment and renumbering of title V of act Aug. 14, 1935, by Pub. L. 90−248, Sec. 301. AMENDMENTS 2000 − Subsec. (a). Pub. L. 106−554 substituted "$850,000,000 for fiscal year 2001" for "$705,000,000 for fiscal year 1994" in introductory provisions. 1997 − Subsec. (a). Pub. L. 105−12 inserted concluding provisions. 1994 − Subsec. (a). Pub. L. 103−432 substituted "$705,000,000 for fiscal year 1994" for "$686,000,000 for fiscal year 1990" in introductory provisions. 1989 − Subsec. (a). Pub. L. 101−239, Sec. 6501(a)(1), amended subsec. (a) generally, substituting pars. (1) to (3) for former pars. (1) to (4) and concluding provisions. Subsec. (b)(3), (4). Pub. L. 101−239, Sec. 6501(a)(2), added pars. (3) and (4). 1987 − Subsec. (b)(2). Pub. L. 100−203 struck out "nonform" after "below the". 1986 − Subsec. (a). Pub. L. 99−509 substituted "$553,000,000 for fiscal year 1987, $557,000,000 for fiscal year 1988, and $561,000,000 for fiscal year 1989" for "$478,000,000 for fiscal year 1984" in concluding provisions. Pub. L. 99−272, Sec. 9527(b), substituted "children with special health care needs" for "crippled children" in concluding provisions. Subsec. (a)(4). Pub. L. 99−272, Sec. 9527(a), substituted

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"children who are 'children with special health care needs' or who are suffering from conditions leading to such status" for "children who are crippled or who are suffering from conditions leading to crippling". Subsec. (b)(1)(A). Pub. L. 99−272, Sec. 9527(c), substituted "services for children with special health care needs" for "crippled children's services". 1984 − Subsec. (a). Pub. L. 98−369 substituted "$478,000,000 for fiscal year 1984 and each fiscal year thereafter" for "$373,000,000 for fiscal year 1982 and for each fiscal year thereafter". 1982 − Subsec. (b)(1)(D). Pub. L. 97−248, Sec. 137(b)(1), substituted "title VI" for "title IV". Subsec. (b)(2). Pub. L. 97−248, Sec. 137(b)(2), substituted "section 9902(2)" for "section 2971d". EFFECTIVE DATE OF 2000 AMENDMENT Pub. L. 106−554, Sec. 1(a)(6) [title IX, Sec. 921(b)], Dec. 21, 2000, 114 Stat. 2763, 2763A−585, provided that: "The amendment made by subsection (a) [amending this section] takes effect on October 1, 2000." EFFECTIVE DATE OF 1997 AMENDMENT Amendment by Pub. L. 105−12 effective Apr. 30, 1997, applicable to Federal payments made pursuant to obligations incurred after Apr. 30, 1997, for items and services provided on or after such date, subject to also being applicable with respect to contracts entered into, renewed, or extended after Apr. 30, 1997, as well as contracts entered into before Apr. 30, 1997, to the extent

25

permitted under such contracts, see section 11 of Pub. L. 105−12, set out as an Effective Date note under section 14401 of this title. EFFECTIVE DATE OF 1989 AMENDMENT Section 6510 of Pub. L. 101−239 provided that: "(a) In General. − Except as provided in subsection (b), the amendments made by this subtitle [subtitle C (Secs. 6501−6510) of title VI of Pub. L. 101−239, amending this section and sections 702 to 706, 708, and 709 of this title] shall apply to appropriations for fiscal years beginning with fiscal year 1990. "(b) Application and Report. − The amendments made − "(1) by subsections (b) and (c) of section 6503 [amending sections 702, 704 to 706, and 709 of this title] shall apply to payments for allotments for fiscal years beginning with fiscal year 1991, and "(2) by section 6504 [amending section 706 of this title] shall apply to annual reports for fiscal years beginning with fiscal year 1991." EFFECTIVE DATE OF 1984 AMENDMENT Section 2372(b) of Pub. L. 98−369 provided that: "The amendment made by subsection (a) [amending this section] shall be effective for fiscal years beginning on or after October 1, 1983." EFFECTIVE DATE OF 1982 AMENDMENT Amendment by Pub. L. 97−248 effective as if originally included as part of this section as this section was amended by the Omnibus Budget Reconciliation Act of 1981, Pub. L. 97−35, see section

26

137(d)(2) of Pub. L. 97−248, set out as a note under section 1396a of this title. EFFECTIVE DATE, SAVINGS, AND TRANSITIONAL PROVISIONS Section 2194 of Pub. L. 97−35 provided that: "(a) Except as otherwise provided in this section, the amendments made by sections 2192 [enacting this subchapter and enacting provisions set out as a note under section 706 of this title] and 2193 [amending this section and sections 247a, 300a−27, 300b, 300c−11, and 300c−21 of this title with respect to fiscal year ending Sept. 30, 1982, amending sections 300b−3, 300b−6, 1301, 1308, 1320a−1, 1320a−8, 1320b−2, 1320b−4, 1320c−21, 1382d, 1395b−1, 1395x, and 1396a of this title, repealing sections 236, 247a, 300a−21 to 300a−28, 300a−41, 300b, 300b−5, 300c−11, and 300c−21 of this title, enacting provisions set out as a note under section 1382d of this title, and amending provisions set out as notes under sections 1320a−8 and 1395b−1 of this title] of this subtitle do not apply to any grant made, or contract entered into, or amounts payable to States under State plans before the earlier of − "(1) October 1, 1982, or "(2)(A) in the case of such grants, contracts, or payments under consolidated State programs (as defined in subsection (c)(2)(C)) to a State (or entities in the State), the date the State is first entitled to an allotment under title V of the Social Security Act [this subchapter] (as amended by this subtitle), or "(B) in the case of grants and contracts under consolidated

27

Federal programs (as defined in subsection (c)(2)(B)), October 1, 1981, or such later date (before October 1, 1982) as the Secretary determines to be appropriate. "(b)(1) The Secretary of Health and Human Services (hereinafter in this section referred to as the 'Secretary') may not provide for any allotment to a State under title V of the Social Security Act [this subchapter] (as amended by this subtitle) for a calendar quarter in fiscal year 1982 unless the State has notified the Secretary, at least 30 days (or 15 days in the case of the first calendar quarter of the fiscal year) before the beginning of the calendar quarter, that the State requests an allotment for that calendar quarter (and subsequent calendar quarters). "(2)(A) Any grants or contracts entered into under the authorities of the consolidated State programs (as defined in subsection (c)(2)(C)) after the date of the enactment of this subtitle [Aug. 13, 1981] shall permit the termination of such grant or contract upon three months notice by the State in which the grantee or contractor is located. "(B) The Secretary shall not make or renew any grants or contracts under the provisions of the consolidated State programs (as defined in subsection (c)(2)(C)) to a State (or an entity in the State) after the date the State becomes entitled to an allotment of funds under title V of the Social Security Act [this subchapter] (as amended by this subtitle). "(3)(A) In the case of funds appropriated for fiscal year 1982 for consolidated health programs (as defined in subsection

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(c)(2)(A)), such funds shall (notwithstanding any other provision of law) be available for use under title V of the Social Security Act (as amended by this subtitle) [this subchapter], subject to subparagraphs (B) and (C). "(B) Notwithstanding any other provision of law − "(i) the amount that may be made available for expenditures for the consolidated Federal programs for fiscal year 1982 and for projects and programs under section 502(a) of the Social Security Act [section 702(a) of this title] (as amended by this subtitle) may not exceed the amount provided for projects and programs under such section 502(a) for that fiscal year, and "(ii) the amount that may be made available to a State (or entities in the State) for carrying out the consolidated State programs for fiscal year 1982 and for allotments to the State under section 502(b) of the Social Security Act [section 702(b) of this title] (as amended by this subtitle) may not exceed the amount which is allotted to the State for that fiscal year under such section (without regard to paragraphs (3) and (4) thereof). "(C) For fiscal year 1982, the Secretary shall reduce the amount which would otherwise be available − "(i) for expenditures by the Secretary under section 502(a) of the Social Security Act [section 702(a) of this title] (as amended by this subtitle) by the amounts which the Secretary determines or estimates are payable for consolidated Federal programs (as defined in subsection (c)(2)(B)) from funds for fiscal year 1982, and

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"(ii) for allotment to each of the States under section 502(b) of such Act [section 702(b) of this title] (as so amended) by the amounts which the Secretary determines or estimates are payable to that State (or entities in the State) under the consolidated State programs (as defined in subsection (c)(2)(C)) from funds for fiscal year 1982. "(c) For purposes of this section: "(1) The term 'State' has the meaning given such term for purposes of title V of the Social Security Act [this subchapter]. "(2)(A) The term 'consolidated health programs' has the meaning given such term in section 501(b) of the Social Security Act [subsec. (b) of this section] (as amended by this subtitle). "(B) The term 'consolidated Federal programs' means the consolidated health programs − "(i) of special projects grants under sections 503 and 504 [sections 703 and 704 of this title], and training grants under section 511 [section 711 of this title], of the Social Security Act, "(ii) of grants and contracts for genetic disease projects and programs under section 1101 of the Public Health Service Act [section 300b of this title], and "(iii) of grants or contracts for comprehensive hemophilia diagnostic and treatment centers under section 1131 of the Public Health Service Act [section 300c−21 of this title], as such sections are in effect before the date of the enactment of this subtitle [Aug. 13, 1981].

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"(C) The term 'consolidated State programs' means the consolidated health programs, other than the consolidated Federal programs. "(d) The provisions of chapter 2 of subtitle C of title XVII of this Act [sections 1741−1745 of Pub. L. 97−35, which were repealed and reenacted as section 7301−7305 of Title 31, Money and Finance, by Pub. L. 97−258, Sept. 13, 1982, 96 Stat. 877] shall not apply to this subtitle (or the programs under the amendments made by this title [probably should be subtitle]) and, specifically, section 1745 of this Act [set out as a note under section 1243 of Title 31] shall not apply to financial and compliance audits conducted under section 506(b) of the Social Security Act [section 706(b) of this title] (as amended by this subtitle)." DEVELOPMENT OF MODEL APPLICATIONS FOR MATERNAL AND CHILD ASSISTANCE PROGRAMS Section 6506(a) of Pub. L. 101−239 directed Secretary of Health and Human Services to develop, not later than one year after Dec. 19, 1989, a model application form for use in applying for assistance for pregnant women and for children less than 6 years old under maternal and child assistance programs and required publication of model form in Federal Register and dissemination of form to State agencies. RESEARCH ON INFANT MORTALITY AND MEDICAID SERVICES Section 6507 of Pub. L. 101−239 provided that: "The Secretary of Health and Human Services shall develop a national data system for linking, for any infant up to age one −

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"(1) the infant's birth record, "(2) any death record for the infant, and "(3) information on any claims submitted under title XIX of the Social Security Act [subchapter XIX of this chapter] for health care furnished to the infant or with respect to the birth of the infant." DEMONSTRATION PROJECT ON HEALTH INSURANCE FOR MEDICALLY UNINSURABLE CHILDREN Section 6508 of Pub. L. 101−239 authorized Secretary of Health and Human Services to conduct not more than 4 demonstration projects to provide health insurance coverage through eligible plans to medically uninsurable children under 19 years of age, further provided for definition of eligible plan, requirements for demonstration projects, including guarantee of insurance coverage for at least two years, provision of non−Federal funds, as well as further restrictions on insurance plans, and further provided for applications for projects, evaluation of projects by Secretary and report to Congress, and authorization of appropriations for each of fiscal years 1991, 1992, and 1993. MATERNAL AND CHILD HEALTH HANDBOOK Section 6509 of Pub. L. 101−239 provided that: "(a) In General. − "(1) Development. − The Secretary of Health and Human Services shall develop a maternal and child health handbook in consultation with the National Commission to Prevent Infant Mortality and public and private organizations interested in the

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health and welfare of mothers and children. "(2) Field testing and evaluation. − The Secretary shall complete publication of the handbook for field testing by July 1, 1990, and shall complete field testing and evaluation by June 1, 1991. "(3) Availability and distribution. − The Secretary shall make the handbook available to pregnant women and families with young children, and shall provide copies of the handbook to maternal and child health programs (including maternal and child health clinics supported through either title V or title XIX of the Social Security Act [this subchapter and subchapter XIX of this chapter], community and migrant health centers under sections 329 and 330 of the Public Health Service Act [former sections 254b and 254c of this title], the grant program for the homeless under section 340 of the Public Health Service Act [former section 256 of this title], the 'WIC' program under section 17 of the Child Nutrition Act of 1966 [section 1786 of this title], and the head start program under the Head Start Act [section 9831 et seq. of this title]) that serve high−risk women. The Secretary shall coordinate the distribution of the handbook with State maternal and child health departments, State and local public health clinics, private providers of obstetric and pediatric care, and community groups where applicable. The Secretary shall make efforts to involve private entities in the distribution of the handbook under this paragraph. "(b) Authorization of Appropriations. − There are authorized to

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be appropriated $1,000,000 for each of fiscal years 1991, 1992, and 1993, for carrying out the purposes of this section." [Reference to community health center, migrant health center, public housing health center, or homeless health center considered reference to health center, see section 4(c) of Pub. L. 104−299, set out as a note under section 254b of this title.] −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 256b, 702, 705, 706, 709, 1396u−2 of this title. −FOOTNOTE− (!1) So in original. Probably should be capitalized. (!2) See References in Text note below. −End− −CITE− 42 USC Sec. 702 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Sec. 702. Allotment to States and Federal set−aside −STATUTE− (a) Special projects (1) Of the amounts appropriated under section 701(a) of this title for a fiscal year that are not in excess of $600,000,000, the

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Secretary shall retain an amount equal to 15 percent for the purpose of carrying out activities described in section 701(a)(2) of this title. The authority of the Secretary to enter into any contracts under this subchapter is effective for any fiscal year only to such extent or in such amounts as are provided in appropriations Acts. (2) For purposes of paragraph (1) − (A) amounts retained by the Secretary for training shall be used to make grants to public or nonprofit private institutions of higher learning for training personnel for health care and related services for mothers and children; and (B) amounts retained by the Secretary for research shall be used to make grants to, contracts with, or jointly financed cooperative agreements with, public or nonprofit institutions of higher learning and public or nonprofit private agencies and organizations engaged in research or in maternal and child health or programs for children with special health care needs for research projects relating to maternal and child health services or services for children with special health care needs which show promise of substantial contribution to the advancement thereof. (3) No funds may be made available by the Secretary under this subsection or subsection (b) of this section unless an application therefor has been submitted to, and approved by, the Secretary. Such application shall be in such form, be submitted in such manner, and contain and be accompanied by such information as the

35

Secretary may specify. No such application may be approved unless it contains assurances that the applicant will use the funds provided only for the purposes specified in the approved application and will establish such fiscal control and fund accounting procedures as may be necessary to assure proper disbursement and accounting of Federal funds paid to the applicant under this subchapter. (b) Excess funds; preference (1)(A) Of the amounts appropriated under section 701(a) of this title for a fiscal year in excess of $600,000,000 the Secretary shall retain an amount equal to 12 3/4 percent thereof for the projects described in subparagraphs (A) through (F) of section 701(a)(3) of this title. (B) Any amount appropriated under section 701(a) of this title for a fiscal year in excess of $600,000,000 that remains after the Secretary has retained the applicable amount (if any) under subparagraph (A) shall be retained by the Secretary in accordance with subsection (a) of this section and allocated to the States in accordance with subsection (c) of this section. (2)(A) Of the amounts retained for the purpose of carrying out activities described in section 701(a)(3)(A), (B), (C), (D) and (E) of this title, the Secretary shall provide preference to qualified applicants which demonstrate that the activities to be carried out with such amounts shall be in areas with a high infant mortality rate (relative to the average infant mortality rate in the United States or in the State in which the area is located).

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(B) In carrying out activities described in section 701(a)(3)(D) of this title, the Secretary shall not provide for developing or expanding a maternal and child health center unless the Secretary has received satisfactory assurances that there will be applied, towards the costs of such development or expansion, non−Federal funds in an amount at least equal to the amount of funds provided under this subchapter toward such development or expansion. (c) Allotments to States From the remaining amounts appropriated under section 701(a) of this title for any fiscal year that are not in excess of $600,000,000, the Secretary shall allot to each State which has transmitted an application for the fiscal year under section 705(a) of this title, an amount determined as follows: (1) The Secretary shall determine, for each State − (A)(i) the amount provided or allotted by the Secretary to the State and to entities in the State under the provisions of the consolidated health programs (as defined in section 701(b)(1) of this title), other than for any of the projects or programs described in subsection (a) of this section, from appropriations for fiscal year 1981, (ii) the proportion that such amount for that State bears to the total of such amounts for all the States, and (B)(i) the number of low income children in the State, and (ii) the proportion that such number of children for that State bears to the total of such numbers of children for all the States.

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(2) Each such State shall be allotted for each fiscal year an amount equal to the sum of − (A) the amount of the allotment to the State under this subsection in fiscal year 1983, and (B) the State's proportion (determined under paragraph (1)(B)(ii)) of the amount by which the allotment available under this subsection for all the States for that fiscal year exceeds the amount that was available under this subsection for allotment for all the States for fiscal year 1983. (d) Re−allotment of unallotted funds (1) To the extent that all the funds appropriated under this subchapter for a fiscal year are not otherwise allotted to States either because all the States have not qualified for such allotments under section 705(a) of this title for the fiscal year or because some States have indicated in their descriptions of activities under section 705(a) of this title that they do not intend to use the full amount of such allotments, such excess shall be allotted among the remaining States in proportion to the amount otherwise allotted to such States for the fiscal year without regard to this paragraph. (2) To the extent that all the funds appropriated under this subchapter for a fiscal year are not otherwise allotted to States because some State allotments are offset under section 706(b)(2) of this title, such excess shall be allotted among the remaining States in proportion to the amount otherwise allotted to such States for the fiscal year without regard to this paragraph.

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−SOURCE− (Aug. 14, 1935, ch. 531, title V, Sec. 502, as added Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 819; amended Pub. L. 99−272, title IX, Sec. 9527(d), Apr. 7, 1986, 100 Stat. 219; Pub. L. 99−509, title IX, Sec. 9441(b), Oct. 21, 1986, 100 Stat. 2071; Pub. L. 101−239, title VI, Secs. 6502(a), 6503(c)(1), (4), Dec. 19, 1989, 103 Stat. 2275, 2278.) −MISC1− PRIOR PROVISIONS A prior section 702, act Aug. 14, 1935, ch. 531, title V, Sec. 502, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 921; amended July 10, 1972, Pub. L. 92−345, Sec. 1, 86 Stat. 456; July 1, 1973, Pub. L. 93−53, Sec. 4(a)(1), (2), 87 Stat. 135, prescribed purposes for which funds were available, prior to the general revision of this subchapter by section 2192(a) of Pub. L. 97−35. For effective date, savings, and transitional provisions, see section 2194 of Pub. L. 97−35, set out as a note under section 701 of this title. Another prior section 702, acts Aug. 14, 1935, ch. 531, title V, Sec. 502, 49 Stat. 629; Aug. 10, 1939, ch. 666, title V, Sec. 502, 53 Stat. 1380; 1946 Reorg. Plan No. 2, Sec. 1, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 10, 1946, ch. 951, title IV, Sec. 401(b)(2), (3), 60 Stat. 986; Aug. 28, 1950, ch. 809, title III, pt. 3, Sec. 331(b), pt. 6, Sec. 361(e), 64 Stat. 551, 558; Aug. 28, 1958, Pub. L. 85−840, title VI, Sec. 602(b), (c), 72 Stat. 1055; Sept. 13, 1960, Pub. L. 86−778, title VII, Sec. 707(a)(1)(B), (C),

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(b)(1)(A), 74 Stat. 995, 996; Oct. 24, 1963, Pub. L. 88−156, Sec. 2(b), (c), 77 Stat. 273, provided for allotment to States for maternal and child health services, prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301, and was covered by former section 703 of this title. AMENDMENTS 1989 − Subsec. (a)(1). Pub. L. 101−239, Sec. 6502(a)(1), amended first sentence generally. Prior to amendment, first sentence read as follows: "Of the amounts appropriated under section 701(a) of this title for a fiscal year that are not in excess of $478,000,000, the Secretary shall retain an amount equal to 15 percent thereof in the case of fiscal year 1982, and an amount equal to not less than 10, nor more than 15, percent thereof in the case of each fiscal year thereafter, for the purpose of carrying out (through grants, contracts, or otherwise) special projects of regional and national significance, training, and research and for the funding of genetic disease testing, counseling, and information development and dissemination programs and of comprehensive hemophilia diagnostic and treatment centers." Subsec. (a)(3). Pub. L. 101−239, Sec. 6502(a)(2), inserted "or subsection (b) of this section" after "this subsection". Subsec. (b). Pub. L. 101−239, Sec. 6502(a)(3), added subsec. (b). Former subsec. (b) redesignated (c). Subsec. (c). Pub. L. 101−239, Sec. 6503(c)(4), which directed amendment of subsec. (b) by substituting "705(a)" for "705", was executed to subsec. (c) to reflect the probable intent of Congress

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and the intervening redesignation of former subsec. (b) as (c) by Pub. L. 101−239, Sec. 6502(a)(3), see below. Pub. L. 101−239, Sec. 6503(c)(1), substituted "an application" for "a description of intended activities and statement of assurances" in introductory provisions. Pub. L. 101−239, Sec. 6502(a)(4)(A), substituted "$600,000,000" for "$478,000,000" in introductory provisions. Pub. L. 101−239, Sec. 6502(a)(3), redesignated subsec. (b) as (c) and struck out former subsec. (c) which related to special projects for children. Subsec. (c)(2). Pub. L. 101−239, Sec. 6502(a)(4)(B), amended par. (2) generally, substituting provisions basing each State's allotment for each fiscal year upon 1983 amounts for former provisions setting forth formulas for allotments for fiscal years 1982 and 1983 and for each year beginning with fiscal year 1984. Subsec. (d)(1). Pub. L. 101−239, Sec. 6503(c)(4), substituted "705(a)" for "705" in two places. 1986 − Subsec. (a)(1). Pub. L. 99−509, Sec. 9441(b)(1), substituted "amounts appropriated under section 701(a) of this title for a fiscal year that are not in excess of $478,000,000" for "amount appropriated under section 701(a) of this title". Subsec. (a)(2)(B). Pub. L. 99−272 substituted "programs for children with special health care needs" for "crippled children's programs" and "services for children with special health care needs" for "crippled children's services". Subsec. (b). Pub. L. 99−509, Sec. 9441(b)(2), inserted "that are

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not in excess of $478,000,000" in introductory provisions and struck out par. (3) which read as follows: "(A) To the extent that all the funds appropriated under this subchapter for a fiscal year are not otherwise allotted to States either because all the States have not qualified for such allotments under section 705 of this title for the fiscal year or because some States have indicated in their descriptions of activities under section 705 of this title that they do not intend to use the full amount of such allotments, such excess shall be allotted among the remaining States in proportion to the amount otherwise allotted to such States for the fiscal year without regard to this subparagraph. "(B) To the extent that all the funds appropriated under this subchapter for a fiscal year are not otherwise allotted to States because some State allotments are offset under section 706(b)(2) of this title, such excess shall be allotted among the remaining States in proportion to the amount otherwise allotted to such States for the fiscal year without regard to this subparagraph." Subsecs. (c), (d). Pub. L. 99−509, Sec. 9441(b)(3), added subsecs. (c) and (d). EFFECTIVE DATE OF 1989 AMENDMENT Amendment by section 6502(a) of Pub. L. 101−239 applicable to appropriations for fiscal years beginning with fiscal year 1990, and amendment by section 6503(c)(1), (4) of Pub. L. 101−239 applicable to payments for allotments for fiscal years beginning with fiscal year 1991, see section 6510(a), (b)(1) of Pub. L.

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101−239, set out as a note under section 701 of this title. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 300b−6, 701, 703, 704, 706, 708, 709, 710 of this title. −End− −CITE− 42 USC Sec. 703 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Sec. 703. Payments to States −STATUTE− (a) Statutory provisions applicable From the sums appropriated therefor and the allotments available under section 702(c) of this title, the Secretary shall make payments as provided by section 6503(a) of title 31 to each State provided such an allotment under section 702(c) of this title, for each quarter, of an amount equal to four−sevenths of the total of the sums expended by the State during such quarter in carrying out the provisions of this subchapter. (b) Unobligated allotments Any amount payable to a State under this subchapter from allotments for a fiscal year which remains unobligated at the end

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of such year shall remain available to such State for obligation during the next fiscal year. No payment may be made to a State under this subchapter from allotments for a fiscal year for expenditures made after the following fiscal year. (c) Reduction of payments; fair market value of supplies or equipment, value of salaries, travel expenses, etc. The Secretary, at the request of a State, may reduce the amount of payments under subsection (a) of this section by − (1) the fair market value of any supplies or equipment furnished the State, and (2) the amount of the pay, allowances, and travel expenses of any officer or employee of the Government when detailed to the State and the amount of any other costs incurred in connection with the detail of such officer or employee, when the furnishing of supplies or equipment or the detail of an officer or employee is for the convenience of and at the request of the State and for the purpose of conducting activities described in section 705(a) of this title on a temporary basis. The amount by which any payment is so reduced shall be available for payment by the Secretary of the costs incurred in furnishing the supplies or equipment or in detailing the personnel, on which the reduction of the payment is based, and the amount shall be deemed to be part of the payment and shall be deemed to have been paid to the State. −SOURCE− (Aug. 14, 1935, ch. 531, title V, Sec. 503, as added Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 821; amended Pub.

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L. 98−369, div. B, title III, Sec. 2373(a)(1), July 18, 1984, 98 Stat. 1111; Pub. L. 101−239, title VI, Secs. 6502(b), 6503(c)(4), Dec. 19, 1989, 103 Stat. 2276, 2278.) −MISC1− PRIOR PROVISIONS A prior section 703, act Aug. 14, 1935, ch. 531, title V, Sec. 503, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 922, related to allotments to States for maternal and child health services, prior to the general revision of this subchapter by section 2192(a) of Pub. L. 97−35. See section 702 of this title. For effective date, savings, and transitional provisions, see section 2194 of Pub. L. 97−35, set out as a note under section 701 of this title. Another prior section 703, acts Aug. 14, 1935, ch. 531, title V, Sec. 503, 49 Stat. 630; Aug. 10, 1939, ch. 666, title V, Sec. 503, 53 Stat. 1380; 1946 Reorg. Plan No. 2, Secs. 1, 4, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 28, 1950, ch. 809 title III, pt. 6, Sec. 361(e), 64 Stat. 558; July 30, 1965, Pub. L. 89−97, title II, Sec. 204(a), 79 Stat. 354, related to contents of State plans for maternal and child health services and their approval by the Administrator, prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301, and was covered by former section 705 of this title. Provisions similar to those comprising former section 703 were contained in section 502 of act Aug. 14, 1935, ch. 531, title V, 49 Stat. 629, as amended (formerly classified to section 702 of this

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title), prior to the general amendment and renumbering of title V of act Aug. 14, 1935, by Pub. L. 90−248, Sec. 301. AMENDMENTS 1989 − Subsec. (a). Pub. L. 101−239, Sec. 6502(b), substituted "702(c)" for "702(b)" in two places. Subsec. (c). Pub. L. 101−239, Sec. 6503(c)(4), substituted "705(a)" for "705" in penultimate sentence. 1984 − Subsec. (a). Pub. L. 98−369 substituted "section 6503(a) of title 31" for "section 203 of the Intergovernmental Cooperation Act of 1968 (42 U.S.C. 4213)". EFFECTIVE DATE OF 1989 AMENDMENT Amendment by section 6502(b) of Pub. L. 101−239 applicable to appropriations for fiscal years beginning with fiscal year 1990, and amendment by section 6503(c)(4) of Pub. L. 101−239 applicable to payments for allotments for fiscal years beginning with fiscal year 1991, see section 6510(a), (b)(1) of Pub. L. 101−239, set out as a note under section 701 of this title. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 704, 705, 710 of this title. −End− −CITE− 42 USC Sec. 703a 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE

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CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Sec. 703a. Omitted −COD− CODIFICATION Section, Pub. L. 90−132, title II, Nov. 8, 1967, 81 Stat. 404, which provided for approval by Secretary of any State plan which provided standards for professional obstetrical services in accordance with the laws of the State, was not repeated in the Department of Health, Education, and Welfare Appropriation Act, 1969. Similar provisions were contained in the following prior appropriation acts: Nov. 7, 1966, Pub. L. 87−787, title II, 80 Stat. 1397. Aug. 31, 1965, Pub. L. 89−156, title II, 79 Stat. 605. Sept. 19, 1964, Pub. L. 88−605, title II, 78 Stat. 976. Oct. 11, 1963, Pub. L. 88−136, title II, 77 Stat. 240. Aug. 14, 1962, Pub. L. 87−582, title II, 76 Stat. 376. Sept. 22, 1961, Pub. L. 87−290, title II, 75 Stat. 605. Sept. 2, 1960, Pub. L. 86−703, title II, 74 Stat. 770. Aug. 14, 1959, Pub. L. 86−158, title II, 73 Stat. 353. Aug. 1, 1958, Pub. L. 85−580, title II, 72 Stat. 472. June 29, 1957, Pub. L. 85−67, title II, 71 Stat. 222. June 29, 1956, ch. 477, title II, 70 Stat. 434. Aug. 1, 1955, ch. 437, title II, 69 Stat. 408. July 2, 1954, ch. 457, title II, 68 Stat. 444.

47

July 31, 1953, ch. 296, title II, 67 Stat. 255. July 5, 1952, ch. 575, title II, 66 Stat. 368. Aug. 31, 1951, ch. 373, title II, 65 Stat. 219. Sept. 6, 1950, ch. 896, ch. V, title II, 64 Stat. 653. June 29, 1949, ch. 275, title II, 63 Stat. 284. June 16, 1948, ch. 472, title I, 62 Stat. 447. July 8, 1947, ch. 210, title II, 61 Stat. 273. July 26, 1946, title I, 60 Stat. 681. July 3, 1945, ch. 263, title I, 59 Stat. 363. −End− −CITE− 42 USC Sec. 704 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Sec. 704. Use of allotment funds −STATUTE− (a) Covered services Except as otherwise provided under this section, a State may use amounts paid to it under section 703 of this title for the provision of health services and related activities (including planning, administration, education, and evaluation and including payment of salaries and other related expenses of National Health Service Corps personnel) consistent with its application

48

transmitted under section 705(a) of this title. (b) Restrictions Amounts described in subsection (a) of this section may not be used for − (1) inpatient services, other than inpatient services provided to children with special health care needs or to high−risk pregnant women and infants and such other inpatient services as the Secretary may approve; (2) cash payments to intended recipients of health services; (3) the purchase or improvement of land, the purchase, construction, or permanent improvement (other than minor remodeling) of any building or other facility, or the purchase of major medical equipment; (4) satisfying any requirement for the expenditure of non−Federal funds as a condition for the receipt of Federal funds; (5) providing funds for research or training to any entity other than a public or nonprofit private entity; or (6) payment for any item or service (other than an emergency item or service) furnished − (A) by an individual or entity during the period when such individual or entity is excluded under this subchapter or subchapter XVIII, XIX, or XX of this chapter pursuant to section 1320a−7, 1320a−7a, 1320c−5, or 1395u(j)(2) of this title, or (B) at the medical direction or on the prescription of a

49

physician during the period when the physician is excluded under this subchapter or subchapter XVIII, XIX, or XX of this chapter pursuant to section 1320a−7, 1320a−7a, 1320c−5, or 1395u(j)(2) of this title and when the person furnishing such item or service knew or had reason to know of the exclusion (after a reasonable time period after reasonable notice has been furnished to the person). The Secretary may waive the limitation contained in paragraph (3) upon the request of a State if the Secretary finds that there are extraordinary circumstances to justify the waiver and that granting the waiver will assist in carrying out this subchapter. (c) Use of portion of funds A State may use a portion of the amounts described in subsection (a) of this section for the purpose of purchasing technical assistance from public or private entities if the State determines that such assistance is required in developing, implementing, and administering programs funded under this subchapter. (d) Limitation on use of funds for administrative costs Of the amounts paid to a State under section 703 of this title from an allotment for a fiscal year under section 702(c) of this title, not more than 10 percent may be used for administering the funds paid under such section. −SOURCE− (Aug. 14, 1935, ch. 531, title V, Sec. 504, as added Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 821; amended Pub. L. 99−272, title IX, Sec. 9527(e), Apr. 7, 1986, 100 Stat. 219;

50

Pub. L. 100−93, Sec. 8(a), Aug. 18, 1987, 101 Stat. 692; Pub. L. 100−203, title IV, Sec. 4118(e)(12), Dec. 22, 1987, as added Pub. L. 100−360, title IV, Sec. 411(k)(10)(D), July 1, 1988, 102 Stat. 796, and amended Pub. L. 100−485, title VI, Sec. 608(d)(26)(K)(ii), Oct. 13, 1988, 102 Stat. 2422; Pub. L. 101−239, title VI, Sec. 6503(a), (c)(2), (4), Dec. 19, 1989, 103 Stat. 2276, 2278.) −MISC1− PRIOR PROVISIONS A prior section 704, act Aug. 14, 1935, ch. 531, title V, Sec. 504, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 922, related to allotments to States for crippled children's services, prior to the general revision of this subchapter by section 2192(a) of Pub. L. 97−35. See section 702 of this title. For effective date, savings, and transitional provisions, see section 2194 of Pub. L. 97−35, set out as a note under section 701 of this title. Another prior section 704, acts Aug. 14, 1935, ch. 531, title V, Sec. 504, 49 Stat. 630; 1940 Reorg. Plan No. III, Sec. 1(a), eff. June 30, 1940, 5 F.R. 2107, 54 Stat. 1231; 1946 Reorg. Plan No. 2, Sec. 1, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 28, 1950, ch. 809, title III, pt. 6, Sec. 361(e), 64 Stat. 558; Sept. 13, 1960, Pub. L. 86−778, title VII, Sec. 707(b)(1)(B), 74 Stat. 996; July 30, 1965, Pub. L. 89−97, title II, Sec. 201(b), 79 Stat. 353, provided for payment to States with an approved plan for maternal and child−health services and computation of amounts, and prescribed general availability of services by July 1, 1975, as

51

requisite for payments for any period after June 30, 1966, prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301, and was covered by former section 706 of this title. Provisions similar to those comprising former section 704 were contained in section 512 of act Aug. 14, 1935, ch. 531, title V, 49 Stat. 631, as amended (formerly classified to section 712 of this title), prior to the general amendment and renumbering of title V of act Aug. 14, 1935, by Pub. L. 90−248, Sec. 301. AMENDMENTS 1989 − Subsec. (a). Pub. L. 101−239, Sec. 6503(c)(2), (4), substituted "its application" for "its description of intended expenditures and statement of assurances" and "705(a)" for "705". Pub. L. 101−239, Sec. 6503(a)(1), inserted "and including payment of salaries and other related expenses of National Health Service Corps personnel" after "education, and evaluation". Subsec. (d). Pub. L. 101−239, Sec. 6503(a)(2), added subsec. (d). 1988 − Subsec. (b)(6). Pub. L. 100−360, as amended by Pub. L. 100−485, added Pub. L. 100−203, Sec. 4118(e)(12), see 1987 Amendment note below. 1987 − Subsec. (b)(6). Pub. L. 100−203, Sec. 4118(e)(12), as added by Pub. L. 100−360 and amended by Pub. L. 100−485, substituted "under this subchapter or subchapter XVIII, XIX, or XX of this chapter pursuant to section 1320a−7, 1320a−7a, 1320c−5, or 1395u(j)(2) of this title" for "pursuant to section 1320a−7 of this title or section 1320a−7a of this title from participation in the

52

program under this subchapter" in subpars. (A) and (B). Pub. L. 100−93 added par. (6). 1986 − Subsec. (b)(1). Pub. L. 99−272 substituted "children with special health care needs" for "crippled children". EFFECTIVE DATE OF 1989 AMENDMENT Amendment by section 6503(a) of Pub. L. 101−239 applicable to appropriations for fiscal years beginning with fiscal year 1990, and amendment by section 6503(c)(2), (4) of Pub. L. 101−239 applicable to payments for allotments for fiscal years beginning with fiscal year 1991, see section 6510(a), (b)(1) of Pub. L. 101−239, set out as a note under section 701 of this title. EFFECTIVE DATE OF 1988 AMENDMENTS Section 608(g) of Pub. L. 100−485 provided that: "(1) The amendments made by subsections (a), (b), and (d) [amending this section and sections 1320a−7, 1320a−7a, 1320b−10, 1320c−3, 1395i−2, 1395i−3, 1395l, 1395m, 1395r, 1395s, 1395t−1, 1395t−2, 1395u, 1395v, 1395w−2, 1395w−3, 1395x, 1395y, 1395aa to 1395dd, 1395mm, 1395tt, 1395ww, 1395aaa to 1395ccc, 1396a, 1396b, 1396d, 1396i, 1396n, 1396p, 1396r, 1396r−1, 1396r−4, 1396r−5, 1396s, and 1397d of this title, repealing section 1320a−2 of this title, enacting provisions set out as a note under section 1320a−2 of this title, and amending provisions set out as notes under sections 1320c−5, 1395b, 1395d, 1395e, 1395i−3, 1395u, 1395ll, 1395mm, 1395ss, 1395tt, 1395ww, 1396a, 1396d, and 1396r−5 of this title] shall be effective as if included in the enactment of the Medicare Catastrophic Coverage Act of 1988 [Pub. L. 100−360].

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"(2) The amendments made by subsection (c) and subsection (f) (other than paragraph (5)) [amending sections 1395cc, 1396b, 1396d, and 1396n of this title, enacting provisions set out as a note under section 1395k of this title, and amending provisions set out as a note under section 1395k of this title] shall take effect on the date of the enactment of this Act [Oct. 13, 1988]." Except as specifically provided in section 411 of Pub. L. 100−360, amendment by Pub. L. 100−360, as it relates to a provision in the Omnibus Budget Reconciliation Act of 1987, Pub. L. 100−203, effective as if included in the enactment of that provision in Pub. L. 100−203, see section 411(a) of Pub. L. 100−360, set out as a Reference to OBRA; Effective Date note under section 106 of Title 1, General Provisions. EFFECTIVE DATE OF 1987 AMENDMENT Amendment by Pub. L. 100−93 effective at end of fourteen−day period beginning Aug. 18, 1987, and inapplicable to administrative proceedings commenced before end of such period, see section 15(a) of Pub. L. 100−93, set out as a note under section 1320a−7 of this title. −End− −CITE− 42 USC Sec. 704a 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT

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−HEAD− Sec. 704a. Omitted −COD− CODIFICATION Section, Pub. L. 92−80, title II, Aug. 10, 1971, 85 Stat. 290, which provided that certain allotments to States were not to be included in computing amounts expended or estimated to be expended by the State under subsecs. (a) and (b) of section 706 of this title, was not repeated in the Department of Health, Education, and Welfare Appropriation Act, 1973. Similar provisions were contained in the following prior appropriation acts: Jan. 11, 1971, Pub. L. 91−667, 84 Stat. 2006. Mar. 5, 1970, Pub. L. 91−204, title II, 84 Stat. 39. Oct. 11, 1968, Pub. L. 90−557, title II, 82 Stat. 987. Nov. 8, 1967, Pub. L. 90−132, title II, 81 Stat. 403. Nov. 7, 1966, Pub. L. 89−787, title II, 80 Stat. 1396. Aug. 31, 1965, Pub. L. 89−156, title II, 79 Stat. 605. Sept. 10, 1964, Pub. L. 88−605, title II, 78 Stat. 975. Oct. 11, 1963, Pub. L. 88−136, title II, 77 Stat. 240. Aug. 14, 1962, Pub. L. 87−582, title II, 76 Stat. 376. Sept. 22, 1961, Pub. L. 87−290, title II, 75 Stat. 605. Sept. 2, 1960, Pub. L. 86−703, title II, 74 Stat. 770. Aug. 14, 1959, Pub. L. 86−158, title II, 73 Stat. 353. Aug. 1, 1958, Pub. L. 85−580, title II, 72 Stat. 472. June 29, 1957, Pub. L. 85−67, title II, 71 Stat. 222. June 29, 1956, ch. 477, title II, 70 Stat. 434.

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Aug. 1, 1955, ch. 437, title II, 69 Stat. 409. July 2, 1954, ch. 457, title II, 68 Stat. 444. July 31, 1953, ch. 296, title II, 67 Stat. 255. July 5, 1952, ch. 575, title II, 66 Stat. 368. Aug. 31, 1951, ch. 373, title II, 65 Stat. 219. Sept. 6, 1950, ch. 896, ch. V, title II, 64 Stat. 653. June 29, 1949, ch. 275, title II, 63 Stat. 284. June 16, 1948, ch. 472, title I, 62 Stat. 447. July 8, 1947, ch. 210, title II, 61 Stat. 273. July 26, 1946, ch. 672, title I, 60 Stat. 681. July 3, 1945, ch. 263, title I, 59 Stat. 364. June 28, 1944, ch. 302, title I, 58 Stat. 550. July 12, 1943, ch. 221, title I, 57 Stat. 497. July 2, 1942, ch. 475, title I, 56 Stat. 565. July 1, 1941, ch. 269, title I, 55 Stat. 469. June 26, 1940, ch. 428, title I, 54 Stat. 578. June 29, 1939, ch. 249, 53 Stat. 924. Aug. 9, 1939, ch. 633, title I, 53 Stat. 1320. Apr. 27, 1938, ch. 180, title IV, 52 Stat. 288. June 16, 1937, ch. 359, title IV, 50 Stat. 301. May 15, 1936, ch. 405, 49 Stat. 1350. −End− −CITE− 42 USC Sec. 704b 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE

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CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Sec. 704b. Nonavailability of allotments after close of fiscal year −STATUTE− No allotment for this or any succeeding fiscal year under this subchapter shall be available after the close of such fiscal year except as may be necessary to liquidate obligations incurred during such year. −SOURCE− (July 5, 1952, ch. 575, title II, Sec. 201, 66 Stat. 368.) −COD− CODIFICATION Section is from act July 5, 1952, popularly known as the Federal Security Agency Appropriation Act, 1953, and is not a part of the Social Security Act which comprises this chapter. −End− −CITE− 42 USC Sec. 705 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Sec. 705. Application for block grant funds −STATUTE−

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(a) In order to be entitled to payments for allotments under section 702 of this title for a fiscal year, a State must prepare and transmit to the Secretary an application (in a standardized form specified by the Secretary) that − (1) contains a statewide needs assessment (to be conducted every 5 years) that shall identify (consistent with the health status goals and national health objectives referred to in section 701(a) of this title) the need for − (A) preventive and primary care services for pregnant women, mothers, and infants up to age one; (B) preventive and primary care services for children; and (C) services for children with special health care needs (as specified in section 701(a)(1)(D) of this title); (2) includes for each fiscal year − (A) a plan for meeting the needs identified by the statewide needs assessment under paragraph (1); and (B) a description of how the funds allotted to the State under section 702(c) of this title will be used for the provision and coordination of services to carry out such plan that shall include − (i) subject to paragraph (3), a statement of the goals and objectives consistent with the health status goals and national health objectives referred to in section 701(a) of this title for meeting the needs specified in the State plan described in subparagraph (A); (ii) an identification of the areas and localities in the

58

State in which services are to be provided and coordinated; (iii) an identification of the types of services to be provided and the categories or characteristics of individuals to be served; and (iv) information the State will collect in order to prepare reports required under section 706(a) of this title; (3) except as provided under subsection (b) of this section, provides that the State will use − (A) at least 30 percent of such payment amounts for preventive and primary care services for children, and (B) at least 30 percent of such payment amounts for services for children with special health care needs (as specified in section 701(a)(1)(D) of this title); (4) provides that a State receiving funds for maternal and child health services under this subchapter shall maintain the level of funds being provided solely by such State for maternal and child health programs at a level at least equal to the level that such State provided for such programs in fiscal year 1989; and (5) provides that − (A) the State will establish a fair method (as determined by the State) for allocating funds allotted to the State under this subchapter among such individuals, areas, and localities identified under paragraph (1)(A) as needing maternal and child health services, and the State will identify and apply guidelines for the appropriate frequency and content of, and

59

appropriate referral and followup with respect to, health care assessments and services financially assisted by the State under this subchapter and methods for assuring quality assessments and services; (B) funds allotted to the State under this subchapter will only be used, consistent with section 708 of this title, to carry out the purposes of this subchapter or to continue activities previously conducted under the consolidated health programs (described in section 701(b)(1) of this title); (C) the State will use − (i) special consideration (where appropriate) for the continuation of the funding of special projects in the State previously funded under this subchapter (as in effect before August 31, 1981), and (ii) a reasonable proportion (based upon the State's previous use of funds under this subchapter) of such sums to carry out the purposes described in subparagraphs (A) through (D) of section 701(a)(1) of this title; (D) if any charges are imposed for the provision of health services assisted by the State under this subchapter, such charges (i) will be pursuant to a public schedule of charges, (ii) will not be imposed with respect to services provided to low income mothers or children, and (iii) will be adjusted to reflect the income, resources, and family size of the individual provided the services; (E) the State agency (or agencies) administering the State's

60

program under this subchapter will provide for a toll−free telephone number (and other appropriate methods) for the use of parents to access information about health care providers and practitioners who provide health care services under this subchapter and subchapter XIX of this chapter and about other relevant health and health−related providers and practitioners; and (F) the State agency (or agencies) administering the State's program under this subchapter will − (i) participate in the coordination of activities between such program and the early and periodic screening, diagnostic, and treatment program under section 1396d(a)(4)(B) of this title (including the establishment of periodicity and content standards for early and periodic screening, diagnostic, and treatment services), to ensure that such programs are carried out without duplication of effort, (ii) participate in the arrangement and carrying out of coordination agreements described in section 1396a(a)(11) of this title (relating to coordination of care and services available under this subchapter and subchapter XIX of this chapter), (iii) participate in the coordination of activities within the State with programs carried out under this subchapter and related Federal grant programs (including supplemental food programs for mothers, infants, and children, related

61

education programs, and other health, developmental disability, and family planning programs), and (iv) provide, directly and through their providers and institutional contractors, for services to identify pregnant women and infants who are eligible for medical assistance under subparagraph (A) or (B) of section 1396a(l)(1) of this title and, once identified, to assist them in applying for such assistance. The application shall be developed by, or in consultation with, the State maternal and child health agency and shall be made public within the State in such manner as to facilitate comment from any person (including any Federal or other public agency) during its development and after its transmittal. (b) The Secretary may waive the requirements under subsection (a)(3) of this section that a State's application for a fiscal year provide for the use of funds for specific activities if for that fiscal year − (1) the Secretary determines − (A) on the basis of information provided in the State's most recent annual report submitted under section 706(a)(1) of this title, that the State has demonstrated an extraordinary unmet need for one of the activities described in subsection (a)(3) of this section, and (B) that the granting of the waiver is justified and will assist in carrying out the purposes of this subchapter; and (2) the State provides assurances to the Secretary that the

62

State will provide for the use of some amounts paid to it under section 703 of this title for the activities described in subparagraphs (A) and (B) of subsection (a)(3) of this section and specifies the percentages to be substituted in each of such subparagraphs. −SOURCE− (Aug. 14, 1935, ch. 531, title V, Sec. 505, as added Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 822; amended Pub. L. 97−248, title I, Sec. 137(b)(3), (4), Sept. 3, 1982, 96 Stat. 377; Pub. L. 101−239, title VI, Secs. 6501(b), 6503(b), Dec. 19, 1989, 103 Stat. 2275, 2276; Pub. L. 101−508, title IV, Sec. 4755(c)(3), Nov. 5, 1990, 104 Stat. 1388−210.) −MISC1− PRIOR PROVISIONS A prior section 705, act Aug. 14, 1935, ch. 531, title V, Sec. 505, as added and amended Jan. 2, 1968, Pub. L. 90−248, title III, Secs. 301, 304(a), 81 Stat. 923, 929; July 10, 1972, Pub. L. 92−345, Sec. 2(a)−(c), 86 Stat. 456, 457; Oct. 30, 1972, Pub. L. 92−603, title II, Secs. 221(c)(1), 232(b), 239(c), 86 Stat. 1389, 1411, 1417; July 1, 1973, Pub. L. 93−53, Sec. 4(a)(3)−(5), 87 Stat. 135; Dec. 5, 1980, Pub. L. 96−499, title IX, Sec. 914(c)(1), 94 Stat. 2622, related to contents of State plans, approval by Secretary, etc., prior to the general revision of this subchapter by section 2192(a) of Pub. L. 97−35. For effective date, savings, and transitional provisions, see section 2194 of Pub. L. 97−35, set out as a note under section 701 of this title. For effective dates

63

of prior amendments, see section 304(b) of Pub. L. 90−248, sections 232(c) and 239(d) of Pub. L. 92−603, and section 914(c)(2) of Pub. L. 96−499 as amended by section 137(c)(2) of Pub. L. 97−248. Another prior section 705, acts Aug. 14, 1935, ch. 531, title V, Sec. 505, 49 Stat. 631; 1946 Reorg. Plan No. 2, Sec. 1, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 28, 1950, ch. 809, title III, pt. 6, Sec. 361(e), 64 Stat. 558, provided for stopping payment on failure to comply with plan for maternal and child health services, prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301, and was covered by former section 707 of this title. Provisions similar to those comprising former section 705 were contained in sections 503 and 513 of act Aug. 14, 1935, ch. 531, title V, 49 Stat. 630, 632, as amended (formerly classified to sections 703 and 713 of this title), prior to the general amendment and renumbering of title V of act Aug. 14, 1935, by Pub. L. 90−248, Sec. 301. AMENDMENTS 1990 − Subsec. (b). Pub. L. 101−508 substituted "requirements" for "requirement" in introductory provisions. 1989 − Pub. L. 101−239, Sec. 6503(b)(1), substituted "Application for block grant funds" for "Description of intended expenditures and statement of assurances" in section catchline. Subsec. (a). Pub. L. 101−239, Sec. 6503(b)(2), (3), inserted "(a)" before "In order to be entitled" and "an application (in a standardized form specified by the Secretary) that" after "must

64

prepare and transmit to the Secretary". Subsec. (a)(1). Pub. L. 101−239, Sec. 6503(b)(4), added par. (1) and struck out former par. (1) which read as follows: "a report describing the intended use of payments the State is to receive under this subchapter for the fiscal year, including (A) a description of those populations, areas, and localities in the State which the State has identified as needing maternal and child health services, (B) a statement of goals and objectives for meeting those needs, (C) information on the types of services to be provided and the categories or characteristics of individuals to be served, and (D) data the State intends to collect respecting activities conducted with such payments; and". Subsec. (a)(2) to (4). Pub. L. 101−239, Sec. 6503(b)(4), added pars. (2) to (4) and redesignated former par. (2) as (5). Subsec. (a)(5). Pub. L. 101−239, Sec. 6503(b)(5)(A), (6), in introductory provisions, substituted "provides" for "a statement of assurances that represents to the Secretary", and in concluding provisions, substituted "The application shall be developed by, or in consultation with, the State maternal and child health agency and shall be made public within the State in such manner as to facilitate comment from any person (including any Federal or other public agency) during its development and after its transmittal." for "The description and statement shall be made public within the State in such manner as to facilitate comment from any person (including any Federal or other public agency) during development of the description and statement and after its transmittal. The

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description and statement shall be revised (consistent with this section) throughout the year as may be necessary to reflect substantial changes in any element of such description or statement, and any revision shall be subject to the requirements of the preceding sentence." Pub. L. 101−239, Sec. 6503(b)(4), redesignated former par. (2) as (5). Subsec. (a)(5)(A). Pub. L. 101−239, Sec. 6503(b)(5)(B), substituted "will establish" for "will provide". Subsec. (a)(5)(C)(i). Pub. L. 101−239, Sec. 6503(b)(5)(C), amended cl. (i) generally. Prior to amendment, cl. (i) read as follows: "a substantial proportion of the sums expended by the State for carrying out this subchapter for the provision of health services to mothers and children, with special consideration given (where appropriate) to the continuation of the funding of special projects in the State previously funded under this subchapter (as in effect before August 13, 1981), and". Subsec. (a)(5)(C)(ii). Pub. L. 101−239, Sec. 6501(b), substituted "subparagraphs (A) through (D) of section 701(a)(1) of this title" for "paragraphs (1) through (3) of section 701(a) of this title". Subsec. (a)(5)(E). Pub. L. 101−239, Sec. 6503(b)(5)(D), (E), added subpar. (E). Former subpar. (E) redesignated (F). Subsec. (a)(5)(F). Pub. L. 101−239, Sec. 6503(b)(5)(F)(i), struck out "participate" after "under this subchapter will" in introductory provisions. Pub. L. 101−239, Sec. 6503(b)(5)(E), redesignated subpar. (E) as

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(F). Subsec. (a)(5)(F)(i). Pub. L. 101−239, Sec. 6503(b)(5)(F)(ii)−(iv), inserted "participate" before "in the coordination" and substituted "diagnostic" for "diagnosis" and "section 1396d(a)(4)(B) of this title (including the establishment of periodicity and content standards for early and periodic screening, diagnostic, and treatment services)" for "subchapter XIX of this chapter". Subsec. (a)(5)(F)(ii). Pub. L. 101−239, Sec. 6503(b)(5)(F)(iv), inserted "participate" before "in the arrangement". Subsec. (a)(5)(F)(iii). Pub. L. 101−239, Sec. 6503(b)(5)(F)(iv), inserted "participate" before "in the coordination". Subsec. (a)(5)(F)(iv). Pub. L. 101−239, Sec. 6503(b)(5)(F)(v)−(vii), added cl. (iv). Subsec. (b). Pub. L. 101−239, Sec. 6503(b)(7), added subsec. (b). 1982 − Par. (2)(B). Pub. L. 97−248, Sec. 137(b)(3), substituted "section 701(b)(1)" for "section 702(b)(1)". Subsec. (2)(D). Pub. L. 97−248, Sec. 137(b)(4), substituted "any charges are imposed" for "the State imposes any charges". EFFECTIVE DATE OF 1989 AMENDMENT Amendment by section 6501(b) of Pub. L. 101−239 applicable to appropriations for fiscal years beginning with fiscal year 1990, and amendment by section 6503(b) of Pub. L. 101−239 applicable to payments for allotments for fiscal years beginning with fiscal year 1991, see section 6510(a), (b)(1) of Pub. L. 101−239, set out as a note under section 701 of this title.

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EFFECTIVE DATE OF 1982 AMENDMENT Amendment by section 137 of Pub. L. 97−248 effective as if originally included as part of this section as this section was amended by the Omnibus Budget Reconciliation Act of 1981, Pub. L. 97−35, see section 137(d)(2) of Pub. L. 97−248, set out as a note under section 1396a of this title. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 702, 703, 704, 706, 709, 710, 4728 of this title. −End− −CITE− 42 USC Sec. 706 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Sec. 706. Administrative and fiscal accountability −STATUTE− (a) Annual reporting requirements; form, etc. (1) Each State shall prepare and submit to the Secretary annual reports on its activities under this subchapter. Each such report shall be prepared by, or in consultation with, the State maternal and child health agency. In order properly to evaluate and to compare the performance of different States assisted under this

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subchapter and to assure the proper expenditure of funds under this subchapter, such reports shall be in such standardized form and contain such information (including information described in paragraph (2)) as the Secretary determines (after consultation with the States) to be necessary (A) to secure an accurate description of those activities, (B) to secure a complete record of the purposes for which funds were spent, of the recipients of such funds, (C) to describe the extent to which the State has met the goals and objectives it set forth under section 705(a)(2)(B)(i) of this title and the national health objectives referred to in section 701(a) of this title, and (D) to determine the extent to which funds were expended consistent with the State's application transmitted under section 705(a) of this title. Copies of the report shall be provided, upon request, to any interested public agency, and each such agency may provide its views on these reports to the Congress. (2) Each annual report under paragraph (1) shall include the following information: (A)(i) The number of individuals served by the State under this subchapter (by class of individuals). (ii) The proportion of each class of such individuals which has health coverage. (iii) The types (as defined by the Secretary) of services provided under this subchapter to individuals within each such class. (iv) The amounts spent under this subchapter on each type of

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services, by class of individuals served. (B) Information on the status of maternal and child health in the State, including − (i) information (by county and by racial and ethnic group) on − (I) the rate of infant mortality, and (II) the rate of low−birth−weight births; (ii) information (on a State−wide basis) on − (I) the rate of maternal mortality, (II) the rate of neonatal death, (III) the rate of perinatal death, (IV) the number of children with chronic illness and the type of illness, (V) the proportion of infants born with fetal alcohol syndrome, (VI) the proportion of infants born with drug dependency, (VII) the proportion of women who deliver who do not receive prenatal care during the first trimester of pregnancy, and (VIII) the proportion of children, who at their second birthday, have been vaccinated against each of measles, mumps, rubella, polio, diphtheria, tetanus, pertussis, Hib meningitis, and hepatitis B; and (iii) information on such other indicators of maternal, infant, and child health care status as the Secretary may specify.

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(C) Information (by racial and ethnic group) on − (i) the number of deliveries in the State in the year, and (ii) the number of such deliveries to pregnant women who were provided prenatal, delivery, or postpartum care under this subchapter or were entitled to benefits with respect to such deliveries under the State plan under subchapter XIX of this chapter in the year. (D) Information (by racial and ethnic group) on − (i) the number of infants under one year of age who were in the State in the year, and (ii) the number of such infants who were provided services under this subchapter or were entitled to benefits under the State plan under subchapter XIX of this chapter or the State plan under subchapter XXI of this chapter at any time during the year. (E) Information on the number of − (i) obstetricians, (ii) family practitioners, (iii) certified family nurse practitioners, (iv) certified nurse midwives, (v) pediatricians, and (vi) certified pediatric nurse practitioners, who were licensed in the State in the year. For purposes of subparagraph (A), each of the following shall be considered to be a separate class of individuals: pregnant women, infants up to age one, children with special health care needs,

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other children under age 22, and other individuals. (3) The Secretary shall annually transmit to the Committee on Energy and Commerce of the House of Representatives and the Committee on Finance of the Senate a report that includes − (A) a description of each project receiving funding under paragraph (2) or (3) of section 702(a) of this title, including the amount of Federal funds provided, the number of individuals served or trained, as appropriate, under the project, and a summary of any formal evaluation conducted with respect to the project; (B) a summary of the information described in paragraph (2)(A) reported by States; (C) based on information described in paragraph (2)(B) supplied by the States under paragraph (1), a compilation of the following measures of maternal and child health in the United States and in each State: (i) Information on − (I) the rate of infant mortality, and (II) the rate of low−birth−weight births. Information under this clause shall also be compiled by racial and ethnic group. (ii) Information on − (I) the rate of maternal mortality, (II) the rate of neonatal death, (III) the rate of perinatal death, (IV) the proportion of infants born with fetal alcohol

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syndrome, (V) the proportion of infants born with drug dependency, (VI) the proportion of women who deliver who do not receive prenatal care during the first trimester of pregnancy, and (VII) the proportion of children, who at their second birthday, have been vaccinated against each of measles, mumps, rubella, polio, diphtheria, tetanus, pertussis, Hib meningitis, and hepatitis B. (iii) Information on such other indicators of maternal, infant, and child health care status as the Secretary has specified under paragraph (2)(B)(iii). (iv) Information (by racial and ethnic group) on − (I) the number of deliveries in the State in the year, and (II) the number of such deliveries to pregnant women who were provided prenatal, delivery, or postpartum care under this subchapter or were entitled to benefits with respect to such deliveries under the State plan under subchapter XIX of this chapter in the year; (D) based on information described in subparagraphs (C), (D), and (E) of paragraph (2) supplied by the States under paragraph (1), a compilation of the following information in the United States and in each State: (i) Information on − (I) the number of deliveries in the year, and (II) the number of such deliveries to pregnant women who were provided prenatal, delivery, or postpartum care under

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this subchapter or were entitled to benefits with respect to such deliveries under a State plan under subchapter XIX of this chapter in the year. Information under this clause shall also be compiled by racial and ethnic group. (ii) Information on − (I) the number of infants under one year of age in the year, and (II) the number of such infants who were provided services under this subchapter or were entitled to benefits under a State plan under subchapter XIX of this chapter or the State plan under subchapter XXI of this chapter at any time during the year. Information under this clause shall also be compiled by racial and ethnic group. (iii) Information on the number of − (I) obstetricians, (II) family practitioners, (III) certified family nurse practitioners, (IV) certified nurse midwives, (V) pediatricians, and (VI) certified pediatric nurse practitioners, who were licensed in a State in the year; and (E) an assessment of the progress being made to meet the health status goals and national health objectives referred to in section 701(a) of this title.

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(b) Audits; implementation, standards, etc. (1) Each State shall, not less often than once every two years, audit its expenditures from amounts received under this subchapter. Such State audits shall be conducted by an entity independent of the State agency administering a program funded under this subchapter in accordance with the Comptroller General's standards for auditing governmental organizations, programs, activities, and functions and generally accepted auditing standards. Within 30 days following the completion of each audit report, the State shall submit a copy of that audit report to the Secretary. (2) Each State shall repay to the United States amounts found by the Secretary, after notice and opportunity for a hearing to the State, not to have been expended in accordance with this subchapter and, if such repayment is not made, the Secretary may offset such amounts against the amount of any allotment to which the State is or may become entitled under this subchapter or may otherwise recover such amounts. (3) The Secretary may, after notice and opportunity for a hearing, withhold payment of funds to any State which is not using its allotment under this subchapter in accordance with this subchapter. The Secretary may withhold such funds until the Secretary finds that the reason for the withholding has been removed and there is reasonable assurance that it will not recur. (c) Public inspection of reports and audits The State shall make copies of the reports and audits required by this section available for public inspection within the State.

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(d) Access to books, records, etc.; creation of new records (1) For the purpose of evaluating and reviewing the block grant established under this subchapter, the Secretary and the Comptroller General shall have access to any books, accounts, records, correspondence, or other documents that are related to such block grant, and that are in the possession, custody, or control of States, political subdivisions thereof, or any of their grantees. (2) In conjunction with an evaluation or review under paragraph (1), no State or political subdivision thereof (or grantee of either) shall be required to create or prepare new records to comply with paragraph (1). (3) For other provisions relating to deposit, accounting, reports, and auditing with respect to Federal grants to States, see section 6503(b) (!1) of title 31. −SOURCE− (Aug. 14, 1935, ch. 531, title V, Sec. 506, as added Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 823; amended Pub. L. 98−369, div. B, title III, Sec. 2373(a)(2), July 18, 1984, 98 Stat. 1111; Pub. L. 101−239, title VI, Secs. 6503(c)(3), (4), 6504, Dec. 19, 1989, 103 Stat. 2278; Pub. L. 104−316, title I, Sec. 122(f), Oct. 19, 1996, 110 Stat. 3837; Pub. L. 106−113, div. B, Sec. 1000(a)(6) [title VII, Sec. 703(d)(1)], Nov. 29, 1999, 113 Stat. 1536, 1501A−402.) −REFTEXT− REFERENCES IN TEXT

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Section 6503 of title 31, referred to in subsec. (d)(3), was amended generally by Pub. L. 101−453, Sec. 5(b), Oct. 24, 1990, 104 Stat. 1059, and, as so amended, provisions formerly appearing in subsec. (b) are now contained in subsec. (h). −MISC1− PRIOR PROVISIONS A prior section 706, act Aug. 14, 1935, ch. 531, title V, Sec. 506, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 924; amended Oct. 30, 1972, Pub. L. 92−603, title II, Secs. 221(c)(2), 224(d), 229(d), 233(d), 237(b), 86 Stat. 1389, 1395, 1410, 1412, 1416, related to computation of amount of payments to States, prior to the general revision of this subchapter by section 2192(a) of Pub. L. 97−35. See section 703 of this title. For effective date, savings, and transitional provisions, see section 2194 of Pub. L. 97−35, set out as a note under section 701 of this title. Provisions similar to those comprising former section 706 were contained in sections 504 and 514 of act Aug. 14, 1935, ch. 531, title V, 49 Stat. 630, 632, as amended (formerly classified to sections 704 and 714 of this title), prior to the general amendment and renumbering of title V of act Aug. 14, 1935, by Pub. L. 90−248, Sec. 301. AMENDMENTS 1999 − Subsec. (a)(2)(D)(ii), (3)(D)(ii)(II). Pub. L. 106−113 inserted "or the State plan under subchapter XXI of this chapter" after "subchapter XIX of this chapter".

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1996 − Subsec. (a)(1). Pub. L. 104−316 struck out "and the Comptroller General" after "with the States". 1989 − Subsec. (a)(1). Pub. L. 101−239, Sec. 6504(a)(1), inserted after first sentence "Each such report shall be prepared by, or in consultation with, the State maternal and child health agency.", substituted "be in such standardized form and contain such information (including information described in paragraph (2))" for "be in such form and contain such information", and substituted ", (C) to describe the extent to which the State has met the goals and objectives it set forth under section 705(a)(2)(B)(i) of this title and the national health objectives referred to in section 701(a) of this title, and (D)" for "and of the progress made toward achieving the purposes of this subchapter, and (C)". Pub. L. 101−239, Sec. 6503(c)(3), (4), substituted "application transmitted under section 705(a) of this title" for "description and statement transmitted under section 705 of this title" in subpar. (C). Subsec. (a)(2). Pub. L. 101−239, Sec. 6504(a)(3), added par. (2). Former par. (2) redesignated (3). Subsec. (a)(3). Pub. L. 101−239, Sec. 6504(b), amended par. (3) generally. Prior to amendment, par. (3) read as follows: "The Secretary shall annually report to the Congress on activities funded under section 702(a) of this title and shall provide for transmittal of a copy of such report to each State." Pub. L. 101−239, Sec. 6504(a)(2), redesignated former par. (2) as (3).

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1984 − Subsec. (d)(3). Pub. L. 98−369 substituted "section 6503(b) of title 31" for "section 202 of the Intergovernmental Cooperation Act of 1968 (42 U.S.C. 4212)". −CHANGE− CHANGE OF NAME Committee on Energy and Commerce of House of Representatives treated as referring to Committee on Commerce of House of Representatives by section 1(a) of Pub. L. 104−14, set out as a note preceding section 21 of Title 2, The Congress. Committee on Commerce of House of Representatives changed to Committee on Energy and Commerce of House of Representatives, and jurisdiction over matters relating to securities and exchanges and insurance generally transferred to Committee on Financial Services of House of Representatives by House Resolution No. 5, One Hundred Seventh Congress, Jan. 3, 2001. −MISC2− EFFECTIVE DATE OF 1999 AMENDMENT Pub. L. 106−113, div. B, Sec. 1000(a)(6) [title VII, Sec. 703(d)(2)], Nov. 29, 1999, 113 Stat. 1536, 1501A−402, provided that: "The amendments made by paragraph (1) [amending this section] apply to annual reports submitted under section 506 of the Social Security Act (42 U.S.C. 706) for years beginning after the date of the enactment of this Act [Nov. 29, 1999]." EFFECTIVE DATE OF 1989 AMENDMENT Amendment by section 6503(c)(3), (4) of Pub. L. 101−239 applicable to payments for allotments for fiscal years beginning

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with fiscal year 1991, and amendment by section 6504 of Pub. L. 101−239 applicable to annual reports for fiscal years beginning with fiscal year 1991, see section 6510(b) of Pub. L. 101−239, set out as a note under section 701 of this title. REPORTS TO CONGRESS; ACTIVITIES OF STATES RECEIVING ALLOTMENTS AND STUDY OF ALTERNATIVE FORMULAS FOR ALLOTMENT Section 2192(b) of Pub. L. 97−35 provided that: "(1) The Secretary of Health and Human Services shall, no later than October 1, 1984, report to the Congress on the activities of States receiving allotments under title V of the Social Security Act [this subchapter] (as amended by this section) and include in such report any recommendations for appropriate changes in legislation. "(2) The Secretary of Health and Human Services, in consultation with the Comptroller General, shall examine alternative formulas, for the allotment of funds to States under section 502(b) of the Social Security Act [section 702(b) of this title] (as amended by this section) which might be used as a substitute for the method of allotting funds described in such section, which provide for the equitable distribution of such funds to States (as defined for purposes of such section), and which take into account − "(A) the populations of the States, "(B) the number of live births in the States, "(C) the number of crippled children in the States, "(D) the number of low income mothers and children in the States,

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"(E) the financial resources of the various States, and "(F) such other factors as the Secretary deems appropriate, and shall report to the Congress thereon not later than June 30, 1982." −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 702, 705, 709, 710 of this title. −FOOTNOTE− (!1) See References in Text note below. −End− −CITE− 42 USC Sec. 707 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Sec. 707. Criminal penalty for false statements −STATUTE− (a) Whoever − (1) knowingly and willfully makes or causes to be made any false statement or representation of a material fact in connection with the furnishing of items or services for which payment may be made by a State from funds allotted to the State under this subchapter, or

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(2) having knowledge of the occurrence of any event affecting his initial or continued right to any such payment conceals or fails to disclose such event with an intent fraudulently to secure such payment either in a greater amount than is due or when no such payment is authorized, shall be fined not more than $25,000 or imprisoned for not more than five years, or both. (b) For civil monetary penalties for certain submissions of false claims, see section 1320a−7a of this title. −SOURCE− (Aug. 14, 1935, ch. 531, title V, Sec. 507, as added Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 824.) −MISC1− PRIOR PROVISIONS A prior section 707, act Aug. 14, 1935, ch. 531, title V, Sec. 507, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 925, related to failure of State plan to comply with provisions of this subchapter, prior to the general revision of this subchapter by section 2192(a) of Pub. L. 97−35. See section 706 of this title. For effective date, savings, and transitional provisions, see section 2194 of Pub. L. 97−35, set out as a note under section 701 of this title. Provisions similar to those comprising former section 707 were contained in sections 505 and 515 of act Aug. 14, 1935, ch. 531, title V, 49 Stat. 631, 633, as amended (formerly classified to sections 705 and 715 of this title), prior to the general amendment

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and renumbering of title V of act Aug. 14, 1935, by Pub. L. 90−248, Sec. 301. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 710 of this title. −End− −CITE− 42 USC Sec. 708 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Sec. 708. Nondiscrimination provisions −STATUTE− (a) Federally funded activities (1) For the purpose of applying the prohibitions against discrimination on the basis of age under the Age Discrimination Act of 1975 [42 U.S.C. 6101 et seq.], on the basis of handicap under section 504 of the Rehabilitation Act of 1973 [29 U.S.C. 794], on the basis of sex under title IX of the Education Amendments of 1972 [20 U.S.C. 1681 et seq.], or on the basis of race, color, or national origin under title VI of the Civil Rights Act of 1964 [42 U.S.C. 2000d et seq.], programs and activities funded in whole or in part with funds made available under this subchapter are considered to be programs and activities receiving Federal

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financial assistance. (2) No person shall on the ground of sex or religion be excluded from participation in, be denied the benefits of, or be subjected to discrimination under, any program or activity funded in whole or in part with funds made available under this subchapter. (b) Compliance Whenever the Secretary finds that a State, or an entity that has received a payment from an allotment to a State under section 702(c) of this title, has failed to comply with a provision of law referred to in subsection (a)(1) of this section, with subsection (a)(2) of this section, or with an applicable regulation (including one prescribed to carry out subsection (a)(2) of this section), he shall notify the chief executive officer of the State and shall request him to secure compliance. If within a reasonable period of time, not to exceed sixty days, the chief executive officer fails or refuses to secure compliance, the Secretary may − (1) refer the matter to the Attorney General with a recommendation that an appropriate civil action be instituted, (2) exercise the powers and functions provided by title VI of the Civil Rights Act of 1964 [42 U.S.C. 2000d et seq.], the Age Discrimination Act of 1975 [42 U.S.C. 6101 et seq.], or section 504 of the Rehabilitation Act of 1973 [29 U.S.C. 794], as may be applicable, or (3) take such other action as may be provided by law. (c) Authority of Attorney General; civil actions When a matter is referred to the Attorney General pursuant to

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subsection (b)(1) of this section, or whenever he has reason to believe that the entity is engaged in a pattern or practice in violation of a provision of law referred to in subsection (a)(1) of this section or in violation of subsection (a)(2) of this section, the Attorney General may bring a civil action in any appropriate district court of the United States for such relief as may be appropriate, including injunctive relief. −SOURCE− (Aug. 14, 1935, ch. 531, title V, Sec. 508, as added Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 825; amended Pub. L. 101−239, title VI, Sec. 6502(b), Dec. 19, 1989, 103 Stat. 2276.) −REFTEXT− REFERENCES IN TEXT The Age Discrimination Act of 1975, referred to in subsecs. (a)(1) and (b)(2), is title III of Pub. L. 94−135, Nov. 28, 1975, 89 Stat. 728, as amended, which is classified generally to chapter 76 (Sec. 6101 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out under section 6101 of this title and Tables. The Education Amendments of 1972, referred to in subsec. (a)(1), is Pub. L. 92−318, June 23, 1972, 86 Stat. 235, as amended. Title IX of the Act, known as the Patsy Takemoto Mink Equal Opportunity in Education Act, is classified principally to chapter 38 (Sec. 1681 et seq.) of Title 20, Education. For complete classification of title IX to the Code, see Short Title note set out under section 1681 of Title 20 and Tables.

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The Civil Rights Act of 1964, referred to in subsecs. (a)(1) and (b)(2), is Pub. L. 88−352, July 2, 1964, 78 Stat. 241, as amended. Title VI of the Civil Rights Act of 1964 is classified generally to subchapter V (Sec. 2000d et seq.) of chapter 21 of this title. For complete classification of this Act to the Code, see Short Title note set out under section 2000a of this title and Tables. −MISC1− PRIOR PROVISIONS A prior section 708, act Aug. 14, 1935, ch. 531, title V, Sec. 508, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 926; amended July 10, 1972, Pub. L. 92−345, Sec. 2(d), 86 Stat. 457; July 1, 1973, Pub. L. 93−53, Sec. 4(a)(6), 87 Stat. 135, related to special project grants for maturity and infant care, prior to the general revision of this subchapter by section 2192(a) of Pub. L. 97−35. For effective date, savings, and transitional provisions, see section 2194 of Pub. L. 97−35, set out as a note under section 701 of this title. Provisions similar to those comprising former section 708 were contained in section 531 of act Aug. 14, 1935, ch. 531, title V, as added Oct. 24, 1963, Pub. L. 88−156, Sec. 4, 77 Stat. 274 (formerly classified to section 729 of this title), prior to the general amendment and renumbering of title V of act Aug. 14, 1935, by Pub. L. 90−248, Sec. 301. AMENDMENTS 1989 − Subsec. (b). Pub. L. 101−239 substituted "702(c) of this title" for "702(b) of this title" in introductory provisions.

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EFFECTIVE DATE OF 1989 AMENDMENT Amendment by Pub. L. 101−239 applicable to appropriations for fiscal years beginning with fiscal year 1990, see section 6510(a) of Pub. L. 101−239, set out as a note under section 701 of this title. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 705, 710 of this title. −End− −CITE− 42 USC Sec. 709 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Sec. 709. Administration of Federal and State programs −STATUTE− (a) The Secretary shall designate an identifiable administrative unit with expertise in maternal and child health within the Department of Health and Human Services, which unit shall be responsible for − (1) the Federal program described in section 702(a) of this title; (2) promoting coordination at the Federal level of the activities authorized under this subchapter and under subchapter

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XIX of this chapter, especially early and periodic screening, diagnosis and treatment, related activities funded by the Departments of Agriculture and Education, and under health block grants and categorical health programs, such as immunizations, administered by the Secretary; (3) disseminating information to the States in such areas as preventive health services and advances in the care and treatment of mothers and children; (4) providing technical assistance, upon request, to the States in such areas as program planning, establishment of goals and objectives, standards of care, and evaluation and in developing consistent and accurate data collection mechanisms in order to report the information required under section 706(a)(2) of this title; (5) in cooperation with the National Center for Health Statistics and in a manner that avoids duplication of data collection, collection, maintenance, and dissemination of information relating to the health status and health service needs of mothers and children in the United States; (6) assisting in the preparation of reports to the Congress on the activities funded and accomplishments achieved under this subchapter from the information required to be reported by the States under sections 705(a) and 706 of this title; and (!1) (7) assisting States in the development of care coordination services (as defined in section 701(b)(3) of this title); and (8) developing and making available to the State agency (or

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agencies) administering the State's program under this subchapter a national directory listing by State the toll−free numbers described in section 705(a)(5)(E) of this title. (b) The State health agency of each State shall be responsible for the administration (or supervision of the administration) of programs carried out with allotments made to the State under this subchapter, except that, in the case of a State which on July 1, 1967, provided for administration (or supervision thereof) of the State plan under this subchapter (as in effect on such date) by a State agency other than the State health agency, that State shall be considered to comply (!2) the requirement of this subsection if it would otherwise comply but for the fact that such other State agency administers (or supervises the administration of) any such program providing services for children with special health care needs. −SOURCE− (Aug. 14, 1935, ch. 531, title V, Sec. 509, as added Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 825; amended Pub. L. 99−272, title IX, Sec. 9527(e), Apr. 7, 1986, 100 Stat. 219; Pub. L. 101−239, title VI, Secs. 6503(c)(4), 6505, Dec. 19, 1989, 103 Stat. 2278, 2281.) −MISC1− PRIOR PROVISIONS A prior section 709, act Aug. 14, 1935, ch. 531, title V, Sec. 509, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 926; amended July 10, 1972, Pub. L. 92−345, Sec. 2(e), 86

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Stat. 457; Oct. 30, 1972, Pub. L. 92−603, title II, Secs. 221(c)(3), 233(e), 86 Stat. 1389, 1412; July 1, 1973, Pub. L. 93−53, Sec. 4(a)(7), 87 Stat. 135, related to special project grants for health of school and preschool children, prior to the general revision of this subchapter by section 2192(a) of Pub. L. 97−35. For effective date, savings, and transitional provisions, see section 2194 of Pub. L. 97−35, set out as a note under section 701 of this title. Provisions similar to those comprising former section 709, were contained in section 532 of act Aug. 14, 1935, ch. 531, title V, as added July 30, 1965, Pub. L. 89−97, title II, Sec. 205(3), 79 Stat. 354 (formerly classified to section 729−1 of this title), prior to the general amendment and renumbering of title V of act Aug. 14, 1935, by Pub. L. 90−248, Sec. 301. AMENDMENTS 1989 − Subsec. (a)(4). Pub. L. 101−239, Sec. 6505(1), inserted before semicolon at end "and in developing consistent and accurate data collection mechanisms in order to report the information required under section 706(a)(2) of this title". Subsec. (a)(6). Pub. L. 101−239, Sec. 6503(c)(4), substituted "705(a)" for "705". Subsec. (a)(7), (8). Pub. L. 101−239, Sec. 6505(2)−(4), added pars. (7) and (8). 1986 − Subsec. (b). Pub. L. 99−272 substituted "children with special health care needs" for "crippled children". EFFECTIVE DATE OF 1989 AMENDMENT

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Amendment by section 6503(c)(4) of Pub. L. 101−239 applicable to payments for allotments for fiscal years beginning with fiscal year 1991, and amendment by section 6505 of Pub. L. 101−239 applicable to appropriations for fiscal years beginning with fiscal year 1990, see section 6510(a), (b)(1) of Pub. L. 101−239, set out as a note under section 701 of this title. REPORT TO CONGRESS; EVALUATION OF PROGRAM Pub. L. 89−97, title II, Sec. 206, July 30, 1965, 79 Stat. 354, authorized Secretary to submit to President for transmission to Congress before July 1, 1969, a full report of administration of provisions of section 729−1 of this title, which was covered by former sections 701, 702(1)(B), and 709 of this title, together with an evaluation of program established thereby and his recommendations as to continuation of and modifications in that program. −FOOTNOTE− (!1) So in original. The word "and" probably should not appear. (!2) So in original. Probably should be "comply with". −End− −CITE− 42 USC Sec. 710 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD−

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Sec. 710. Separate program for abstinence education −STATUTE− (a) In general For the purpose described in subsection (b) of this section, the Secretary shall, for fiscal year 1998 and each subsequent fiscal year, allot to each State which has transmitted an application for the fiscal year under section 705(a) of this title an amount equal to the product of − (1) the amount appropriated in subsection (d) of this section for the fiscal year; and (2) the percentage determined for the State under section 702(c)(1)(B)(ii) of this title. (b) Purpose of allotment (1) The purpose of an allotment under subsection (a) of this section to a State is to enable the State to provide abstinence education, and at the option of the State, where appropriate, mentoring, counseling, and adult supervision to promote abstinence from sexual activity, with a focus on those groups which are most likely to bear children out−of−wedlock. (2) For purposes of this section, the term "abstinence education" means an educational or motivational program which − (A) has as its exclusive purpose, teaching the social, psychological, and health gains to be realized by abstaining from sexual activity; (B) teaches abstinence from sexual activity outside marriage as the expected standard for all school age children;

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(C) teaches that abstinence from sexual activity is the only certain way to avoid out−of−wedlock pregnancy, sexually transmitted diseases, and other associated health problems; (D) teaches that a mutually faithful monogamous relationship in context of marriage is the expected standard of human sexual activity; (E) teaches that sexual activity outside of the context of marriage is likely to have harmful psychological and physical effects; (F) teaches that bearing children out−of−wedlock is likely to have harmful consequences for the child, the child's parents, and society; (G) teaches young people how to reject sexual advances and how alcohol and drug use increases vulnerability to sexual advances; and (H) teaches the importance of attaining self−sufficiency before engaging in sexual activity. (c) Applicability of sections 703, 707, and 708 (1) Sections 703, 707, and 708 of this title apply to allotments under subsection (a) of this section to the same extent and in the same manner as such sections apply to allotments under section 702(c) of this title. (2) Sections 705 and 706 of this title apply to allotments under subsection (a) of this section to the extent determined by the Secretary to be appropriate. (d) Appropriations

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For the purpose of allotments under subsection (a) of this section, there is appropriated, out of any money in the Treasury not otherwise appropriated, an additional $50,000,000 for each of the fiscal years 1998 through 2002. The appropriation under the preceding sentence for a fiscal year is made on October 1 of the fiscal year. −SOURCE− (Aug. 14, 1935, ch. 531, title V, Sec. 510, as added Pub. L. 104−193, title IX, Sec. 912, Aug. 22, 1996, 110 Stat. 2353.) −MISC1− PRIOR PROVISIONS A prior section 710, act Aug. 14, 1935, ch. 531, title V, Sec. 510, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 927; amended July 10, 1972, Pub. L. 92−345, Sec. 2(f), 86 Stat. 457; July 1, 1973, Pub. L. 93−53, Sec. 4(a)(8), 87 Stat. 136, provided for special project grants for dental health of children, prior to the general revision of this subchapter by Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 818. For effective date, savings, and transitional provisions, see section 2194 of Pub. L. 97−35, set out as a note under section 701 of this title. ESTABLISHING NATIONAL GOALS TO PREVENT TEENAGE PREGNANCIES Section 905 of Pub. L. 104−193 provided that: "(a) In General. − Not later than January 1, 1997, the Secretary of Health and Human Services shall establish and implement a strategy for − "(1) preventing out−of−wedlock teenage pregnancies, and

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"(2) assuring that at least 25 percent of the communities in the United States have teenage pregnancy prevention programs in place. "(b) Report. − Not later than June 30, 1998, and annually thereafter, the Secretary shall report to the Congress with respect to the progress that has been made in meeting the goals described in paragraphs (1) and (2) of subsection (a)." −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 603 of this title. −End− −CITE− 42 USC Secs. 711 to 716 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Secs. 711 to 716. Omitted −COD− CODIFICATION Sections 711 to 716 were omitted in the general revision of this subchapter by Pub. L. 97−35, title XXI, Sec. 2192(a), Aug. 13, 1981, 95 Stat. 818. For effective date, savings, and transitional provisions, see section 2194 of Pub. L. 97−35, set out as a note under section 701 of this title.

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Section 711, act Aug. 14, 1935, ch. 531, title V, Sec. 511, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 927, related to training of personnel for health care and related services for mothers and children. Another prior section 711, acts Aug. 14, 1935, ch. 531, title V, Sec. 511, 49 Stat. 631; Aug. 10, 1939, ch. 666, title V, Sec. 504, 53 Stat. 1380; 1946 Reorg. Plan No. 2, Sec. 1, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 10, 1946, ch. 951, title IV, Sec. 401(b)(4), 60 Stat. 986; Aug. 28, 1950, ch. 809, title III, pt. 3, Sec. 331(c), pt. 6, Sec. 361(e), 64 Stat. 551, 558; Aug. 28, 1958, Pub. L. 85−840, title VI, Sec. 603(a), 72 Stat. 1055; Sept. 13, 1960, Pub. L. 86−778, title VII, Sec. 707(a)(2)(A), 74 Stat. 995; Oct. 24, 1963, Pub. L. 88−156, Sec. 3(a), 77 Stat. 273; July 30, 1965, Pub. L. 89−97, title II, Sec. 202(a), 79 Stat. 353, authorized appropriations, for services for crippled children, of $25,000,000; $30,000,000; $35,000,000; $45,000,000; $50,000,000; $55,000,000; and $60,000,000, for fiscal years ending June 30, 1963, 1964, 1965, 1966, 1967, 1968, 1969, 1970 and thereafter respectively, prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301, and was covered by former section 701 of this title. Provisions similar to those comprising former section 711 were contained in section 516 of act Aug. 14, 1935, ch. 531, title V, as added July 30, 1965, Pub. L. 89−97, title II, Sec. 203(a), 79 Stat. 353 (formerly classified to section 716 of this title), prior to the general amendment and renumbering of title V of act Aug. 14,

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1935, by Pub. L. 90−248, Sec. 301. Section 712, act Aug. 14, 1935, ch. 531, title V, Sec. 512, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 927, provided for research projects relating to maternal and child health services and crippled children's services. See section 702(a) of this title. Another prior section 712, acts Aug. 14, 1935, ch. 531, title V, Sec. 512, 49 Stat. 631; Aug. 10, 1939, ch. 666, title V, Sec. 505, 53 Stat. 1380; 1946 Reorg. Plan. No. 2, Sec. 1, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 10, 1946, ch. 951, title IV, Sec. 401(b)(5), (6), 60 Stat. 986; Aug. 28, 1950, ch. 809, title III, pt. 3, Sec. 331(d), pt. 6, Sec. 361(e), 64 Stat. 552, 558; Aug. 28, 1958, Pub. L. 85−840, title VI, Sec. 603(b), (c), 72 Stat. 1055; Sept. 13, 1960, Pub. L. 86−778, title VII, Sec. 707(a)(2)(B), (C), (b)(2)(A), 74 Stat. 996; Oct. 24, 1963, Pub. L. 88−156, Sec. 3(b), (c), 77 Stat. 274, provided for allotment to States for services for crippled children, and was covered by former section 704 of this title. Provisions similar to those comprising former section 712 were contained in section 533, formerly section 532, of act Aug. 14, 1935, ch. 531, title V, as added Oct. 24, 1963, Pub. L. 88−156, Sec. 4, 77 Stat. 274, and renumbered July 30, 1965, Pub. L. 89−97, title II, Sec. 205(2), 79 Stat. 354 (formerly classified to section 729a of this title), prior to the general amendment and renumbering of title V of act Aug. 14, 1935, by Pub. L. 90−248, Sec. 301. Section 713, act Aug. 14, 1935, ch. 531, title V, Sec. 513, as

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added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 928, related to administration. See section 709 of this title. Another prior section 713, acts Aug. 14, 1935, ch. 531, title V, Sec. 513, 49 Stat. 632; Aug. 10, 1939, ch. 666, title V, Sec. 506, 53 Stat. 1381; 1946 Reorg. Plan No. 2, Secs. 1, 4, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 28, 1950, ch. 809, title III, pt. 6, Sec. 361(e), 64 Stat. 558; July 30, 1965, Pub. L. 89−97, title II, Sec. 204(b), 79 Stat. 354, related to contents of State plans for services for crippled children and their approval by the Administrator prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301, and was covered by former section 705 of this title. Provisions similar to those comprising former section 713 were contained in section 541 of act Aug. 14, 1935, ch. 531, title V, 49 Stat. 634, as amended (formerly classified to section 731 of this title), prior to the general amendment and renumbering of title V of act Aug. 14, 1935, by Pub. L. 90−248, Sec. 301. Section 714, act Aug. 14, 1935, ch. 531, title V, Sec. 514, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 928, defined "crippled child". Another prior section 714, acts Aug. 14, 1935, ch. 531, title V, Sec. 514, 49 Stat. 632; Aug. 10, 1939, ch. 666, title V, Sec. 507(a), (b), 53 Stat. 1381; 1940 Reorg. Plan No. III, Sec. 1(a)(1), eff. June 30, 1940, 5 F.R. 2107, 54 Stat. 1231; 1946 Reorg. Plan No. 2, Sec. 1, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 28, 1950, ch. 809, title III, pt. 6, Sec. 361(e), 64 Stat.

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558; Sept. 13, 1960, Pub. L. 86−778, title VII, Sec. 707(b)(2)(B), 74 Stat. 996; July 30, 1965, Pub. L. 89−97, title II, Secs. 202(b), 203(b), 79 Stat. 353, 354, provided for payment to States with an approved plan for services for crippled children, computation of amounts, and prescribed general availability of services by July 1, 1975, as requisite for payments for any period after June 30, 1966 prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301, and was covered by former section 706 of this title. Section 715, act Aug. 14, 1935, ch. 531, title V, Sec. 515, as added Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 301, 81 Stat. 928, related to observance of religious beliefs. Another prior section 715, acts Aug. 14, 1935, ch. 531, title V, Sec. 515, 49 Stat. 633; 1946 Reorg. Plan No. 2, Sec. 1, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 28, 1950, ch. 809, title III, pt. 6, Sec. 361(e), 64 Stat. 558, provided for stopping payment on failure to comply with State plan for services for crippled children prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301, and was covered by former section 707 of this title. Section 716, act Aug. 14, 1935, ch. 531, title V, Sec. 516, as added July 1, 1973, Pub. L. 93−53, Sec. 4(b), 87 Stat. 136, related to supplemental allotments. Another prior section 716, act Aug. 14, 1935, ch. 531, title V, Sec. 516, as added July 30, 1965, Pub. L. 89−97, title II, Sec. 203(a), 79 Stat. 353, authorized appropriations for training of

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professional personnel for health and related care of crippled and mentally retarded children of $5,000,000, $10,000,000, and $17,500,000 for fiscal years ending June 30, 1967, 1968, 1969, and thereafter, respectively, and was omitted in the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301, and was covered by former sections 702 and 711 of this title. −MISC1− SUPPLEMENTAL ALLOTMENTS FOR FISCAL YEAR ENDING JUNE 30, 1974 Section 4(c) of Pub. L. 93−53 authorized a State, for fiscal year ending June 30, 1974, to receive an additional supplemental allotment to match excess of amount of allotments which such State would have received under sections 703 and 704 of this title for such year if section 4(a) of Pub. L. 93−53 had not been enacted over aggregate of allotments which such State actually received under such sections plus aggregate of grants received under sections 708, 709, and 710 of this title for fiscal year ending June 30, 1973, and authorized appropriations necessary for supplemental allotments. −End− −CITE− 42 USC Secs. 721 to 728 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD−

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Secs. 721 to 728. Repealed. Pub. L. 90−248, title II, Sec. 240(e)(1), Jan. 2, 1968, 81 Stat. 915 −MISC1− Section 721, acts Aug. 14, 1935, ch. 531, title V, Sec. 521, 49 Stat. 633; Aug. 10, 1939, ch. 666, title V, Sec. 507(c), 53 Stat. 1381; 1940 Reorg. Plan No. III, Sec. 1(a)(1), eff. June 30, 1940, 5 F.R. 2107, 54 Stat. 1231; 1946 Reorg. Plan. No. 2, Sec. 1, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 10, 1946, ch. 951, title IV, Sec. 401(b)(7), 60 Stat. 986; Aug. 28, 1950, ch. 809, title III, pt. 3, Sec. 331(e), pt. 6, Sec. 361(e), 64 Stat. 552, 558; Aug. 1, 1956, ch. 836, title IV, Sec. 402, 70 Stat. 856; Aug. 28, 1958, Pub. L. 85−840, title VI, Sec. 601, 72 Stat. 1052; Sept. 13, 1960, Pub. L. 86−778, title VII, Sec. 707(a)(3)(A), 74 Stat. 996; July 25, 1962, Pub. L. 87−543, title I, Sec. 102(a), (d)(1), 76 Stat. 182, 184; July 30, 1965, Pub. L. 89−97, title II, Sec. 207, 79 Stat. 355, authorized appropriations for child−welfare services. See section 620 of this title. Section 722, act Aug. 14, 1935, ch. 531, title V, Sec. 522, as added Aug. 28, 1958, Pub. L. 85−840, title VI, Sec. 601, 72 Stat. 1053; amended Sept. 13, 1960, Pub. L. 86−778, title VII, Sec. 707(a)(3)(B), 74 Stat. 996; July 25, 1962, Pub. L. 87−543, title I, Sec. 102(c)(1), 76 Stat. 183; July 30, 1965, Pub. L. 89−97, title II, Sec. 208(b), 79 Stat. 355, provided for allotments to States. See section 621 of this title. Section 723, act Aug. 14, 1935, ch. 531, title V, Sec. 523, as added Aug. 28, 1958, Pub. L. 85−840, title VI, Sec. 601, 72 Stat.

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1053; amended July 25, 1962, Pub. L. 87−543, title I, Sec. 102(b), 76 Stat. 182; July 30, 1965, Pub. L. 89−97, title II, Sec. 208(c), 79 Stat. 356, provided for payment to States and computation of amounts. See section 622 of this title. Section 724, act Aug. 14, 1935, ch. 531, title V, Sec. 524, as added Aug. 28, 1958, Pub. L. 85−840, title VI, Sec. 601, 72 Stat. 1054; amended June 25, 1959, Pub. L. 86−70, Sec. 32(b), 73 Stat. 149; July 12, 1960, Pub. L. 86−624, Sec. 30(b), 74 Stat. 420, provided for allotment percentage and Federal share. See section 623 of this title. Section 725, act Aug. 14, 1935, ch. 531, title V, Sec. 525, as added Aug. 28, 1958, Pub. L. 85−840, title VI, Sec. 601, 72 Stat. 1054, provided for reallotment of allotments to States. See section 624 of this title. Section 726, act Aug. 14, 1935, ch. 531, title V, Sec. 526, as added Sept. 13, 1960, Pub. L. 86−778, title VII, Sec. 707(b)(3), 74 Stat. 997; amended July 25, 1962, Pub. L. 87−543, title I, Sec. 123(d), 76 Stat. 193, provided for research, training, or demonstration projects. See section 626 of this title. Section 727, act Aug. 14, 1935, ch. 531, title V, Sec. 527, as added July 25, 1962, Pub. L. 87−543, title I, Sec. 102(c)(2), 76 Stat. 183, provided for allotments and reallotment of allotments to States for day care services. Section had been previously repealed by Pub. L. 89−97, title II, Sec. 208(a)(1), July 30, 1965, 79 Stat. 355, effective Jan. 1, 1966, under section 208(d) of Pub. L. 89−97. Section 728, act Aug. 14, 1935, ch. 531, title V, Sec. 528, as

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added July 25, 1962, Pub. L. 87−543, title I, Sec. 102(d)(2), 76 Stat. 184, defined, child−welfare "services". See section 625 of this title. −End− −CITE− 42 USC Secs. 729 to 729a, 731 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER V − MATERNAL AND CHILD HEALTH SERVICES BLOCK GRANT −HEAD− Secs. 729 to 729a, 731. Omitted −COD− CODIFICATION Section 729, act Aug. 14, 1935, ch. 531, title V, Sec. 531, as added Oct. 24, 1963, Pub. L. 88−156, Sec. 4, 77 Stat. 274; amended Jan. 2, 1968, Pub. L. 90−248, title III, Sec. 303, 81 Stat. 929, related to maternity and infant care projects, authorized appropriations of $5,000,000; $15,000,000; $30,000,000; and $35,000,000 for fiscal years ending June 30, 1964, 1965, 1966 and 1967, and 1968, respectively; provided for grants to State health agencies, limitations on payments, scope of projects, health hazards, low−income families, other reasons for lack of health care; and provided for payments to States, adjustments, advances or reimbursement, installments, and conditions, prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248,

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Sec. 301. See sections 701 and 702 of this title. Section 531 of act Aug. 14, 1935, as originally enacted, appropriated funds for vocational rehabilitation, and was classified to section 45b of Title 29, Labor. It was omitted as superseded by section 31 of Title 29. Section 729−1, act Aug. 14, 1935, ch. 531, title V, Sec. 532, as added July 30, 1965, Pub. L. 89−97, title II, Sec. 205(3), 79 Stat. 354, provided for projects for health of school and preschool children, authorized appropriations of $15,000,000; $35,000,000; $40,000,000; $45,000,000; and $50,000,000 for fiscal years ending June 30, 1966, 1967, 1968, 1969, and 1970, respectively; provided for grants to State health agencies, medical and dental schools, and teaching hospitals, limitations on payments, eligibility for grants, comprehensive care and services; and provided for payments to States, adjustments, advances or reimbursement, installments, and conditions, prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301. See sections 701 and 702 of this title. Section 729a, act Aug. 14, 1935, ch. 531, title V, Sec. 533, formerly Sec. 532, as added Oct. 24, 1963, Pub. L. 88−156, Sec. 4, 77 Stat. 274; renumbered July 30, 1965, Pub. L. 89−97, title II, Sec. 205(2), 79 Stat. 354, provided for research projects relating to maternal and child health services and crippled children's services, authorized appropriations of $8,000,000 for fiscal year ending June 30, 1964, and each subsequent fiscal year; and provided for payments to eligible institutions, agencies, and organizations,

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adjustments, advances or reimbursements, installments, and conditions, prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301. See sections 701 and 702 of this title. Section 731, acts Aug. 14, 1935, ch. 531, title V, Sec. 541, 49 Stat. 634; 1946 Reorg. Plan No. 2, Sec. 1, eff. July 16, 1946, 11 F.R. 7873, 60 Stat. 1095; Aug. 10, 1946, ch. 951, title IV, Sec. 401(b)(8), 60 Stat. 986; Aug. 28, 1950, ch. 809, title III, pt. 6, Sec. 361(e), title IV, Sec. 402(a), 64 Stat. 558, required the Administrator to make studies and investigations to promote efficient administration of sections 701 to 703, 704, 705, 711 to 715, 721 to 729a, and 731 of this title, prior to the general amendment of title V of the Social Security Act by Pub. L. 90−248, Sec. 301. See section 713 of this title. −End− −CITE− 42 USC SUBCHAPTER VI − GRANTS TO STATES FOR SERVICES TO AGED, BLIND, OR DISABLED 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VI − GRANTS TO STATES FOR SERVICES TO AGED, BLIND, OR DISABLED −HEAD− SUBCHAPTER VI − GRANTS TO STATES FOR SERVICES TO AGED, BLIND, OR DISABLED

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−End− −CITE− 42 USC Secs. 801 to 805 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VI − GRANTS TO STATES FOR SERVICES TO AGED, BLIND, OR DISABLED −HEAD− Secs. 801 to 805. Repealed. Pub. L. 93−647, Sec. 3(b), Jan. 4, 1975, 88 Stat. 2349 −MISC1− Section 801, act Aug. 14, 1935, ch. 531, title VI, Sec. 601, as added Oct. 30, 1972, Pub. L. 92−603, title III, Sec. 302, 86 Stat. 1478, authorized appropriations for encouraging States to furnish rehabilitation to needy individuals 65 years of age or older, and the blind or disabled. Another prior section 801, acts Aug. 14, 1935, ch. 531, title VI, Sec. 601, 49 Stat. 634; Aug. 10, 1939, ch. 666, title V, Sec. 509, 53 Stat. 1381, which provided appropriations for the purpose of assisting States and subdivisions in maintaining adequate public health services, was repealed by act July 1, 1944, ch. 373, title XI, Sec. 1113, 58 Stat. 714. See section 246 of this title. Section 802, act Aug. 14, 1935, ch. 531, title VI, Sec. 602, as added Oct. 30, 1972, Pub. L. 92−603, title III, Sec. 302, 86 Stat. 1479, set out the necessary provisions for State plans for services

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to the aged, blind, or disabled. Another prior section 802, act Aug. 14, 1935, ch. 531, title VI, Sec. 602, 49 Stat. 634, which provided for allotments to States by Surgeon General, was repealed by act July 1, 1944, ch. 373, title XI, Sec. 1113, 58 Stat. 714. See section 246 of this title. Section 803, act Aug. 14, 1935, ch. 531, title VI, Sec. 603, as added Oct. 30, 1972, Pub. L. 92−603, title III, Sec. 302, 86 Stat. 1481, provided for payments to States under approved plans for services to the aged, blind, or disabled. Another prior section 803, act Aug. 14, 1935, ch. 531, title VI, Sec. 603, 49 Stat. 635, which provided for allotments to States by appropriations for investigation of diseases by Public Health Service, was repealed by act July 1, 1944, ch. 373, title XI, Sec. 1113, 58 Stat. 714. See section 246 of this title. Section 804, act Aug. 14, 1935, ch. 531, title VI, Sec. 604, as added Oct. 30, 1972, Pub. L. 92−603, title III, Sec. 302, 86 Stat. 1484, provided for notification to States and termination of payments in case of noncompliance with laws or State plan. Section 805, act Aug. 14, 1935, ch. 531, title VI, Sec. 605, as added Oct. 30, 1972, Pub. L. 92−603, title III, Sec. 302, 86 Stat. 1484, defined "services to the aged, blind or disabled". EFFECTIVE DATE OF REPEAL Repeal effective with respect to payments under section 803 for quarters commencing after Sept. 30, 1975, see section 7(b) of Pub. L. 93−647, set out as an Effective Date of 1975 Amendment note under section 303 of this title.

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RENUMBERING OF REPEALING ACT Section 611 of act July 1, 1944, which repealed these prior sections 801, 802 and 803, was renumbered Sec. 711 by act Aug. 13, 1946, ch. 958, Sec. 5, 60 Stat. 1049, Sec. 713 by act Feb. 28, 1948, ch. 83, Sec. 9(b), 62 Stat. 47, Sec. 813 by act July 30, 1956, ch. 779, Sec. 3(b), 70 Stat. 720, Sec. 913 by Pub. L. 88−581, Sec. 4(b), Sept. 4, 1964, 78 Stat. 919, Sec. 1013 by Pub. L. 89−239, Sec. 3(b), Oct. 6, 1965, 79 Stat. 931, and Sec. 1113 by Pub. L. 91−572, Sec. 6(b), Dec. 24, 1970, 84 Stat. 1506. −End− −CITE− 42 USC SUBCHAPTER VII − ADMINISTRATION 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− SUBCHAPTER VII − ADMINISTRATION −MISC1− AMENDMENTS 1950 − Act Aug. 28, 1950, ch. 809, title III, pt. 6, Sec. 361(f), 64 Stat. 558, substituted "ADMINISTRATION" for "SOCIAL SECURITY BOARD" as subchapter heading. −SECREF− SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in section 1301 of this title.

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−End− −CITE− 42 USC Sec. 901 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 901. Social Security Administration −STATUTE− (a) There is hereby established, as an independent agency in the executive branch of the Government, a Social Security Administration (in this subchapter referred to as the "Administration"). (b) It shall be the duty of the Administration to administer the old−age, survivors, and disability insurance program under subchapter II of this chapter and the supplemental security income program under subchapter XVI of this chapter. −SOURCE− (Aug. 14, 1935, ch. 531, title VII, Sec. 701, 49 Stat. 635; Aug. 28, 1950, ch. 809, title IV, Sec. 401(a), 64 Stat. 558; Pub. L. 103−296, title I, Sec. 101, Aug. 15, 1994, 108 Stat. 1465.) −MISC1− AMENDMENTS 1994 − Pub. L. 103−296 amended section generally, substituting present provisions for former provisions relating to a Commissioner

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for Social Security in the Federal Security Agency. 1950 − Act Aug. 28, 1950, amended section generally to provide for the appointment of a Commissioner of Social Security. 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. TRANSFERS TO NEW SOCIAL SECURITY ADMINISTRATION Section 105 of title I of Pub. L. 103−296 provided that: "(a) Functions. − "(1) In general. − There are transferred to the Social Security Administration all functions of the Secretary of Health and Human Services with respect to or in support of the programs and activities the administration of which is vested in the Social Security Administration by reason of this title [see Tables for classification] and the amendments made thereby. The Commissioner of Social Security shall allocate such functions in accordance with sections 701, 702, 703, and 704 of the Social Security Act [this section and sections 902 to 904 of this title] (as amended by this title). "(2) Functions of other agencies. − "(A) In general. − Subject to subparagraph (B), the Social Security Administration shall also perform − "(i) the functions of the Department of Health and Human Services, including functions relating to titles XVIII and XIX of the Social Security Act [subchapters XVIII and IX of

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this chapter] (including adjudications, subject to final decisions by the Secretary of Health and Human Services), that the Social Security Administration in such Department performed as of immediately before the date of the enactment of this Act [Aug. 15, 1994], and "(ii) the functions of any other agency for which administrative responsibility was vested in the Social Security Administration in the Department of Health and Human Services as of immediately before the date of the enactment of this Act. "(B) Rules governing continuation of functions in the administration. − The Social Security Administration shall perform, on behalf of the Secretary of Health and Human Services (or the head of any other agency, as applicable), the functions described in subparagraph (A) in accordance with the same financial and other terms in effect on the day before the date of the enactment of this Act, except to the extent that the Commissioner and the Secretary (or other agency head, as applicable) agree to alter such terms pertaining to any such function or to terminate the performance by the Social Security Administration of any such function. "(b) Personnel, Assets, Etc. − "(1) In general. − There are transferred from the Department of Health and Human Services to the Social Security Administration, for appropriate allocation by the Commissioner of Social Security in the Social Security Administration −

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"(A) the personnel employed in connection with the functions transferred by this title and the amendments made thereby; and "(B) the assets, liabilities, contracts, property, records, and unexpended balance of appropriations, authorizations, allocations, and other funds employed, held, or used in connection with such functions, arising from such functions, or available, or to be made available, in connection with such functions. "(2) Unexpended funds. − Unexpended funds transferred pursuant to this subsection shall be used only for the purposes for which the funds were originally appropriated. "(3) Employment protections. − "(A) In general. − During the 1−year period beginning March 31, 1995 − "(i) the transfer pursuant to this section of any full−time personnel (except special Government employees) and part−time personnel holding permanent positions shall not cause any such personnel to be separated or reduced in grade or compensation solely as a result of such transfer, and "(ii) except as provided in subparagraph (B), any such personnel who were not employed in the Social Security Administration in the Department of Health and Human Services immediately before the date of the enactment of this Act [Aug. 15, 1994] shall not be subject to directed reassignment to a duty station outside their commuting area. "(B) Special rules. −

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"(i) In the case of personnel whose duty station is in the Washington, District of Columbia, commuting area immediately before March 31, 1995, subparagraph (A)(ii) shall not apply with respect to directed reassignment to a duty station in the Baltimore, Maryland, commuting area after September 30, 1995. "(ii) In the case of personnel whose duty station is in the Baltimore, Maryland, commuting area immediately before March 31, 1995, subparagraph (A)(ii) shall not apply with respect to directed reassignment to a duty station in the Washington, District of Columbia, commuting area after September 30, 1995. "(4) Office space. − Notwithstanding section 7 of the Public Buildings Act of 1959 (40 U.S.C. 606) [now 40 U.S.C. 3305(b)(2)(B), 3307], and subject to available appropriations, the Administrator of General Services may, after consultation with the Commissioner of Social Security and under such terms and conditions as the Administrator finds to be in the interests of the United States − "(A) acquire occupiable space in the metropolitan area of Washington, District of Columbia, for housing the Social Security Administration, and "(B) renovate such space as necessary. "(c) Inter−Agency Transfer Arrangement. − The Secretary of Health and Human Services and the Commissioner of Social Security shall enter into a written inter−agency transfer arrangement (in this

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subsection referred to as the 'arrangement'), which shall be effective March 31, 1995. Transfers made pursuant to this section shall be in accordance with the arrangement, which shall specify the personnel and resources to be transferred as provided under this section. The terms of such arrangement shall be transmitted not later than January 1, 1995, to the Committee on Ways and Means of the House of Representatives, to the Committee on Finance of the Senate, and to the Comptroller General of the United States. Not later than February 15, 1995, the Comptroller General shall submit a report to each such Committee setting forth an evaluation of such arrangement." [Section 105(a)−(b)(3) of Pub. L. 103−296, set out above, effective Mar. 31, 1995, and section 105(b)(4), (c) of Pub. L. 103−296, set out above, effective Aug. 15, 1994, see section 110(a), (c) of Pub. L. 103−296, set out as an Effective Date of 1994 Amendment note under section 401 of this title.] TRANSITION RULES Section 106 of title I of Pub. L. 103−296 provided that: "(a) Transition Rules Relating to Officers of the Social Security Administration. − "(1) Appointment of initial commissioner of social security. − The President shall nominate for appointment the initial Commissioner of Social Security to serve as head of the Social Security Administration established under section 701 of the Social Security Act [this section] (as amended by this Act) not later than 60 days after the date of the enactment of this Act

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[Aug. 15, 1994]. "(2) Assumption of office of initial commissioner before effective date of new agency. − If the appointment of the initial Commissioner of Social Security pursuant to section 702 of the Social Security Act [section 902 of this title] (as amended by this Act) is confirmed by the Senate pursuant to such section 702 before March 31, 1995, the individual shall take office as Commissioner immediately upon confirmation, and, until March 31, 1995, such Commissioner shall perform the functions of the Commissioner of Social Security in the Department of Health and Human Services. "(3) Treatment of inspector general and other appointments. − At any time on or after the date of the enactment of this Act [Aug. 15, 1994], any of the officers provided for in section 702 of the Social Security Act (as amended by this title) and any of the members of the Social Security Advisory Board provided for in section 703 of such Act [section 903 of this title] (as so amended) may be nominated and take office, under the terms and conditions set out in such sections. "(4) Compensation for initial officers and board members before effective date of new agency. − Funds available to any official or component of the Department of Health and Human Services, functions of which are transferred to the Commissioner of Social Security or the Social Security Administration by this title [see Tables for classification], may, with the approval of the Director of the Office of Management and Budget, be used to pay

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the compensation and expenses of any officer or employee of the new Social Security Administration and of any member or staff of the Social Security Advisory Board who takes office pursuant to this subsection before March 31, 1995, until such time as funds for that purpose are otherwise available. "(5) Interim role of current commissioner after effective date of new agency. − In the event that, as of March 31, 1995, an individual appointed to serve as the initial Commissioner of Social Security has not taken office, until such initial Commissioner has taken office, the officer serving on March 31, 1995, as Commissioner of Social Security (or Acting Commissioner of Social Security, if applicable) in the Department of Health and Human Services shall, while continuing to serve as such Commissioner of Social Security (or Acting Commissioner of Social Security), serve as Commissioner of Social Security (or Acting Commissioner of Social Security, respectively) in the Social Security Administration established under such section 701 and shall assume the powers and duties under such Act [this chapter] (as amended by this Act) of the Commissioner of Social Security in the Social Security Administration as so established under such section 701. In the event that, as of March 31, 1995, the President has not nominated an individual for appointment to the office of Commissioner of Social Security in the Social Security Administration established under such section 701, then the individual serving as Commissioner of Social Security (or Acting Commissioner of Social Security, if applicable) in the Department

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of Health and Human Services shall become the Acting Commissioner of Social Security in the Social Security Administration as so established under such section 701. "(6) Interim inspector general. − The Commissioner of Social Security may appoint an individual to assume the powers and duties under the Inspector General Act of 1978 [Pub. L. 95−452, set out in the Appendix to Title 5, Government Organization and Employees] of Inspector General of the Social Security Administration as established under section 701 of the Social Security Act for a period not to exceed 60 days. The Inspector General of the Department of Health and Human Services may, when so requested by the Commissioner, while continuing to serve as Inspector General in such Department, serve as Inspector General of the Social Security Administration established under such section 701 and shall assume the powers and duties under the Inspector General Act of 1978 of Inspector General of the Social Security Administration as established under such section 701. The Social Security Administration shall reimburse the Office of Inspector General of the Department of Health and Human Services for costs of any functions performed pursuant to this subsection, from funds available to the Administration at the time the functions are performed. The authority under this paragraph to exercise the powers and duties of the Inspector General shall terminate upon the entry upon office of an Inspector General for the Social Security Administration under the Inspector General Act of 1978.

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"(7) Abolishment of office of commissioner of social security in the department of health and human services. − Effective when the initial Commissioner of Social Security of the Social Security Administration established under section 701 of the Social Security Act (as amended by this title) takes office pursuant to section 702 of such Act (as so amended) − "(A) the position of Commissioner of Social Security in the Department of Health and Human Services is abolished; and "(B) [Amended section 5315 of Title 5, Government Organization and Employees.] "(b) Continuation of Orders, Determinations, Rules, Regulations, Etc. − All orders, determinations, rules, regulations, permits, contracts, collective bargaining agreements (and ongoing negotiations relating to such collective bargaining agreements), recognitions of labor organizations, certificates, licenses, and privileges − "(1) which have been issued, made, promulgated, granted, or allowed to become effective, in the exercise of functions (A) which were exercised by the Secretary of Health and Human Services (or the Secretary's delegate), and (B) which relate to functions which, by reason of this title, the amendments made thereby, and regulations prescribed thereunder, are vested in the Commissioner of Social Security; and "(2) which are in effect immediately before March 31, 1995, shall (to the extent that they relate to functions described in paragraph (1)(B)) continue in effect according to their terms until

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modified, terminated, suspended, set aside, or repealed by such Commissioner, except that any collective bargaining agreement shall remain in effect until the date of termination specified in such agreement. "(c) Continuation of Proceedings. − The provisions of this title (including the amendments made thereby) shall not affect any proceeding pending before the Secretary of Health and Human Services immediately before March 31, 1995, with respect to functions vested (by reason of this title, the amendments made thereby, and regulations prescribed thereunder) in the Commissioner of Social Security, except that such proceedings, to the extent that such proceedings relate to such functions, shall continue before such Commissioner. Orders shall be issued under any such proceeding, appeals taken therefrom, and payments shall be made pursuant to such orders, in like manner as if this title had not been enacted, and orders issued in any such proceeding shall continue in effect until modified, terminated, superseded, or repealed by such Commissioner, by a court of competent jurisdiction, or by operation of law. "(d) Continuation of Suits. − Except as provided in this subsection − "(1) the provisions of this title shall not affect suits commenced before March 31, 1995; and "(2) in all such suits proceedings shall be had, appeals taken, and judgments rendered, in the same manner and effect as if this title had not been enacted.

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No cause of action, and no suit, action, or other proceeding commenced by or against any officer in such officer's official capacity as an officer of the Department of Health and Human Services, shall abate by reason of the enactment of this title. In any suit, action, or other proceeding pending immediately before March 31, 1995, the court or hearing officer may at any time, on the motion of the court or hearing officer or that of a party, enter an order which will give effect to the provisions of this subsection (including, where appropriate, an order for substitution of parties). "(e) Continuation of Penalties. − This title shall not have the effect of releasing or extinguishing any civil or criminal prosecution, penalty, forfeiture, or liability incurred as a result of any function which (by reason of this title, the amendments made thereby, and regulations prescribed thereunder) is vested in the Commissioner of Social Security. "(f) Judicial Review. − Orders and actions of the Commissioner of Social Security in the exercise of functions vested in such Commissioner under this title and the amendments made thereby (other than functions performed pursuant to 105(a)(2) [set out above]) shall be subject to judicial review to the same extent and in the same manner as if such orders had been made and such actions had been taken by the Secretary of Health and Human Services in the exercise of such functions immediately before March 31, 1995. Any statutory requirements relating to notice, hearings, action upon the record, or administrative review that apply to any function so

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vested in such Commissioner shall continue to apply to the exercise of such function by such Commissioner. "(g) Exercise of Functions. − In the exercise of the functions vested in the Commissioner of Social Security under this title, the amendments made thereby, and regulations prescribed thereunder, such Commissioner shall have the same authority as that vested in the Secretary of Health and Human Services with respect to the exercise of such functions immediately preceding the vesting of such functions in such Commissioner, and actions of such Commissioner shall have the same force and effect as when exercised by such Secretary." RULES OF CONSTRUCTION Section 109 of title I of Pub. L. 103−296 provided that: "(a) References to the Department of Health and Human Services. − Whenever any reference is made in any provision of law (other than this title [see Tables for classification] or a provision of law amended by this title), regulation, rule, record, or document to the Department of Health and Human Services with respect to such Department's functions under the old−age, survivors, and disability insurance program under title II of the Social Security Act [subchapter II of this chapter] or the supplemental security income program under title XVI of such Act [subchapter XVI of this chapter] or other functions performed by the Social Security Administration pursuant to section 105(a)(2) of this Act [set out above], such reference shall be considered a reference to the Social Security Administration.

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"(b) References to the Secretary of Health and Human Services. − Whenever any reference is made in any provision of law (other than this title or a provision of law amended by this title), regulation, rule, record, or document to the Secretary of Health and Human Services with respect to such Secretary's functions under the old−age, survivors, and disability insurance program under title II of the Social Security Act or the supplemental security income program under title XVI of such Act or other functions performed by the Commissioner of Social Security pursuant to section 105(a)(2) of this Act, such reference shall be considered a reference to the Commissioner of Social Security. "(c) References to Other Officers and Employees. − Whenever any reference is made in any provision of law (other than this title or a provision of law amended by this title), regulation, rule, record, or document to any other officer or employee of the Department of Health and Human Services with respect to such officer or employee's functions under the old−age, survivors, and disability insurance program under title II of the Social Security Act or the supplemental security income program under title XVI of such Act or other functions performed by the officer or employee of the Social Security Administration pursuant to section 105(a)(2) of this Act, such reference shall be considered a reference to the appropriate officer or employee of the Social Security Administration." −SECREF− SECTION REFERRED TO IN OTHER SECTIONS

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This section is referred to in section 902 of this title. −End− −CITE− 42 USC Sec. 901a 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 901a. Repealed. Aug. 28, 1950, ch. 809, title IV, Sec. 401(b), 64 Stat. 558 −MISC1− Section, act Aug. 10, 1939, ch. 666, title IX, Sec. 908, 53 Stat. 1402, placed Social Security Board under direction and supervision of Federal Security Administrator. −End− −CITE− 42 USC Sec. 902 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 902. Commissioner; Deputy Commissioner; other officers −STATUTE− (a) Commissioner of Social Security

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(1) There shall be in the Administration a Commissioner of Social Security (in this subchapter referred to as the "Commissioner") who shall be appointed by the President, by and with the advice and consent of the Senate. (2) The Commissioner shall be compensated at the rate provided for level I of the Executive Schedule. (3) The Commissioner shall be appointed for a term of 6 years, except that the initial term of office for Commissioner shall terminate January 19, 2001. In any case in which a successor does not take office at the end of a Commissioner's term of office, such Commissioner may continue in office until the entry upon office of such a successor. A Commissioner appointed to a term of office after the commencement of such term may serve under such appointment only for the remainder of such term. An individual serving in the office of Commissioner may be removed from office only pursuant to a finding by the President of neglect of duty or malfeasance in office. (4) The Commissioner shall be responsible for the exercise of all powers and the discharge of all duties of the Administration, and shall have authority and control over all personnel and activities thereof. (5) The Commissioner may prescribe such rules and regulations as the Commissioner determines necessary or appropriate to carry out the functions of the Administration. The regulations prescribed by the Commissioner shall be subject to the rulemaking procedures established under section 553 of title 5.

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(6) The Commissioner may establish, alter, consolidate, or discontinue such organizational units or components within the Administration as the Commissioner considers necessary or appropriate, except that this paragraph shall not apply with respect to any unit, component, or provision provided for by this chapter. (7) The Commissioner may assign duties, and delegate, or authorize successive redelegations of, authority to act and to render decisions, to such officers and employees of the Administration as the Commissioner may find necessary. Within the limitations of such delegations, redelegations, or assignments, all official acts and decisions of such officers and employees shall have the same force and effect as though performed or rendered by the Commissioner. (8) The Commissioner and the Secretary of Health and Human Services (in this subchapter referred to as the "Secretary") shall consult, on an ongoing basis, to ensure − (A) the coordination of the programs administered by the Commissioner, as described in section 901 of this title, with the programs administered by the Secretary under subchapters XVIII and XIX of this chapter; and (B) that adequate information concerning benefits under such subchapters XVIII and XIX of this chapter is available to the public. (b) Deputy Commissioner of Social Security (1) There shall be in the Administration a Deputy Commissioner of

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Social Security (in this subchapter referred to as the "Deputy Commissioner") who shall be appointed by the President, by and with the advice and consent of the Senate. (2) The Deputy Commissioner shall be appointed for a term of 6 years, except that the initial term of office for the Deputy Commissioner shall terminate January 19, 2001. In any case in which a successor does not take office at the end of a Deputy Commissioner's term of office, such Deputy Commissioner may continue in office until the entry upon office of such a successor. A Deputy Commissioner appointed to a term of office after the commencement of such term may serve under such appointment only for the remainder of such term. (3) The Deputy Commissioner shall be compensated at the rate provided for level II of the Executive Schedule. (4) The Deputy Commissioner shall perform such duties and exercise such powers as the Commissioner shall from time to time assign or delegate. The Deputy Commissioner shall be Acting Commissioner of the Administration during the absence or disability of the Commissioner and, unless the President designates another officer of the Government as Acting Commissioner, in the event of a vacancy in the office of the Commissioner. (c) Chief Actuary (1) There shall be in the Administration a Chief Actuary, who shall be appointed by, and in direct line of authority to, the Commissioner. The Chief Actuary shall be appointed from individuals who have demonstrated, by their education and experience, superior

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expertise in the actuarial sciences. The Chief Actuary shall serve as the chief actuarial officer of the Administration, and shall exercise such duties as are appropriate for the office of the Chief Actuary and in accordance with professional standards of actuarial independence. The Chief Actuary may be removed only for cause. (2) The Chief Actuary shall be compensated at the highest rate of basic pay for the Senior Executive Service under section 5382(b) of title 5. (d) Chief Financial Officer There shall be in the Administration a Chief Financial Officer appointed by the Commissioner in accordance with section 901(a)(2) of title 31. (e) Inspector General There shall be in the Administration an Inspector General appointed by the President, by and with the advice and consent of the Senate, in accordance with section 3(a) of the Inspector General Act of 1978. −SOURCE− (Aug. 14, 1935, ch. 531, title VII, Sec. 702, 49 Stat. 636; Aug. 28, 1950, ch. 809, title III, pt. 6, Sec. 361(c), (d), 64 Stat. 558; Pub. L. 98−369, div. B, title VI, Sec. 2663(j)(2)(C)(i), (l)(1), July 18, 1984, 98 Stat. 1170, 1171; Pub. L. 103−296, title I, Sec. 102, Aug. 15, 1994, 108 Stat. 1465; Pub. L. 104−121, title I, Sec. 103(e)(1), Mar. 29, 1996, 110 Stat. 851.) −REFTEXT− REFERENCES IN TEXT

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Levels I and II of the Executive Schedule, referred to in subsecs. (a)(2) and (b)(3), are set out in sections 5312 and 5313, respectively, of Title 5, Government Organization and Employees. Section 3(a) of the Inspector General Act of 1978, referred to in subsec. (e), is section 3(a) of Pub. L. 95−452, which is set out in the Appendix to Title 5, Government Organization and Employees. −MISC1− AMENDMENTS 1996 − Subsecs. (c) to (e). Pub. L. 104−121 added subsec. (c) and redesignated former subsecs. (c) and (d) as (d) and (e), respectively. 1994 − Pub. L. 103−296 amended section generally. Prior to amendment, section read as follows: "The Secretary shall perform the duties imposed upon him by this chapter and shall also have the duty of studying and making recommendations as to the most effective methods of providing economic security through social insurance, and as to legislation and matters of administrative policy concerning old−age pensions, unemployment compensation, accident compensation, and related subjects." 1984 − Pub. L. 98−369, Sec. 2663(l)(1), substituted "Secretary" for "Administrator". Pub. L. 98−369, Sec. 2663(j)(2)(C)(i), which directed the substitution of "Health and Human Services" for "Health, Education, and Welfare", could not be executed because "Health, Education, and Welfare" did not appear in text. 1950 − Act Aug. 28, 1950, substituted "Administrator" for "Board"

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and "him" for "it". EFFECTIVE DATE OF 1996 AMENDMENT Section 103(e)(2) of Pub. L. 104−121 provided that: "The amendments made by this subsection [amending this section] shall take effect on the date of the enactment of this Act [Mar. 29, 1996]." 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. DEMONSTRATION PROJECTS RELATING TO ACCOUNTABILITY FOR TELEPHONE SERVICE CENTER COMMUNICATIONS Pub. L. 101−508, title V, Sec. 5108, Nov. 5, 1990, 104 Stat. 1388−269, directed Secretary of Health and Human Services to develop and carry out demonstration projects designed to implement certain accountability procedures in not fewer than 3 telephone service centers operated by the Social Security Administration, provided that such projects commence not later than 180 days after Nov. 5, 1990, and remain in operation for not less than 1 year and not more than 3 years, and directed Secretary to submit to Congress

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a written report on the progress of the demonstration projects not later than 90 days after the termination of the project. TELEPHONE ACCESS TO SOCIAL SECURITY ADMINISTRATION Section 302 of Pub. L. 103−296 directed Comptroller General of the United States to submit to Congress, not later than Jan. 31, 1996, report and study of telephone access to local offices of the Social Security Administration, based on independent assessment of Social Security Administration's use of innovative technology (including attendant call and voice mail) to increase public telephone access to local offices of the Administration. Pub. L. 101−508, title V, Sec. 5110, Nov. 5, 1990, 104 Stat. 1388−272, provided that: "(a) Required Minimum Level of Access to Local Offices. − In addition to such other access by telephone to offices of the Social Security Administration as the Secretary of Health and Human Services may consider appropriate, the Secretary shall maintain access by telephone to local offices of the Social Security Administration at the level of access generally available as of September 30, 1989. "(b) Telephone Listings. − The Secretary shall make such requests of local telephone utilities in the United States as are necessary to ensure that the listings subsequently maintained and published by such utilities for each locality include the address and telephone number for each local office of the Social Security Administration to which direct telephone access is maintained under subsection (a) in such locality. Such listing may also include

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information concerning the availability of a toll−free number which may be called for general information. "(c) Report by Secretary. − Not later than January 1, 1993, 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 which − "(1) assesses the impact of the requirements established by this section on the Social Security Administration's allocation of resources, workload levels, and service to the public, and "(2) presents a plan for using new, innovative technologies to enhance access to the Social Security Administration, including access to local offices. "(d) GAO Report. − The Comptroller General of the United States shall review the level of telephone access by the public to the local offices of the Social Security Administration. The Comptroller General shall file an interim report with the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate describing such level of telephone access not later than 120 days after the date of the enactment of this Act [Nov. 5, 1990] and shall file a final report with such Committees describing such level of access not later than 210 days after such date. "(e) Effective Date. − The Secretary of Health and Human Services shall meet the requirements of subsections (a) and (b) as soon as possible after the date of the enactment of this Act but not later [than] 180 days after such date."

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REPORT REGARDING NOTICES IN LANGUAGES OTHER THAN ENGLISH Pub. L. 101−239, title X, Sec. 10306(b), Dec. 19, 1989, 103 Stat. 2484, directed Secretary of Health and Human Resources, not later than Jan. 1, 1991, to submit a report to Congress relating to procedures of Social Security Administration for issuing notices in languages other than English. STUDY CONCERNING ESTABLISHMENT OF SOCIAL SECURITY ADMINISTRATION AS AN INDEPENDENT AGENCY Pub. L. 98−21, title III, Sec. 338, Apr. 20, 1983, 97 Stat. 132, as amended by Pub. L. 98−369, div. B, title VI, Sec. 2662(h)(1), July 18, 1984, 98 Stat. 1160, established, under authority of Committee on Ways and Means of the House of Representatives and Committee on Finance of the Senate, a Joint Study Panel on the Social Security Administration to undertake a study of removing Social Security Administration from Department of Health and Human Services and establishing it as an independent agency in the executive branch with its own independent administrative structure, including possibility of such a structure headed by a board appointed by the President, by and with the advice and consent of the Senate, and to submit, not later than Apr. 1, 1984, a report of the findings of the study, and provided that the Panel would expire 30 days after the date of the submission of the report. EARNINGS SHARING IMPLEMENTATION REPORT Pub. L. 98−21, title III, Sec. 343, Apr. 20, 1983, 97 Stat. 136, directed Secretary of Health and Human Services to develop, in consultation with Committee on Finance of the Senate and Committee

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on Ways and Means of the House of Representatives, proposals for earnings sharing legislation (i.e., proposals that combined earnings of a husband and wife during period of their marriage be divided equally and shared between them for social security benefit purposes) and report such proposals to such committees not later than July 1, 1984. UNIVERSAL COVERAGE OF SOCIAL SECURITY PROGRAMS; STUDY AND REPORT TO PRESIDENT AND CONGRESS RESPECTING SCOPE, ALTERNATIVES, ETC.; CONSULTATION BY SECRETARY Pub. L. 95−216, title III, Sec. 311, Dec. 20, 1977, 91 Stat. 1531, as amended by 1978 Reorg. Plan No. 2, Sec. 102, eff. Jan. 1, 1979, 43 F.R. 36037, 92 Stat. 3783, directed Secretary of Health, Education, and Welfare to undertake as soon as possible after Dec. 20, 1977, a thorough study with respect to extent of coverage under old−age, survivors, and disability insurance programs and under programs established by subchapter XVIII of this chapter and submit a report on findings of such study not later than 2 years after Dec. 20, 1977. PROPOSALS FOR ELIMINATION OF DEPENDENCY AND SEX DISCRIMINATION UNDER SOCIAL SECURITY PROGRAM; STUDY AND REPORT TO CONGRESS Pub. L. 95−216, title III, Sec. 341, Dec. 20, 1977, 91 Stat. 1548, directed Secretary of Health, Education, and Welfare, in consultation with the Task Force on Sex Discrimination, to make a detailed study of proposals to eliminate dependency as a factor in the determination of entitlement to spouse's benefits under the program established under subchapter II of this chapter and of

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proposals to bring about equal treatment for men and women in any and all respects under such program and submit a report to Congress within 6 months of Dec. 20, 1977. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 904 of this title. −End− −CITE− 42 USC Sec. 903 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 903. Social Security Advisory Board −STATUTE− (a) Establishment of Board There shall be established a Social Security Advisory Board (in this section referred to as the "Board"). (b) Functions of Board On and after the date the Commissioner takes office, the Board shall advise the Commissioner on policies related to the old−age, survivors, and disability insurance program under subchapter II of this chapter, the program of special benefits for certain World War II veterans under subchapter VIII of this chapter, and the supplemental security income program under subchapter XVI of this

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chapter. Specific functions of the Board shall include − (1) analyzing the Nation's retirement and disability systems and making recommendations with respect to how the old−age, survivors, and disability insurance program and the supplemental security income program, supported by other public and private systems, can most effectively assure economic security; (2) studying and making recommendations relating to the coordination of programs that provide health security with programs described in paragraph (1); (3) making recommendations to the President and to the Congress with respect to policies that will ensure the solvency of the old−age, survivors, and disability insurance program, both in the short−term and the long−term; (4) making recommendations with respect to the quality of service that the Administration provides to the public; (5) making recommendations with respect to policies and regulations regarding the old−age, survivors, and disability insurance program and the supplemental security income program; (6) increasing public understanding of the social security system; (7) making recommendations with respect to a long−range research and program evaluation plan for the Administration; (8) reviewing and assessing any major studies of social security as may come to the attention of the Board; and (9) making recommendations with respect to such other matters as the Board determines to be appropriate.

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(c) Structure and membership of Board (1) The Board shall be composed of 7 members who shall be appointed as follows: (A) 3 members shall be appointed by the President, by and with the advice and consent of the Senate. Not more than 2 of such members shall be from the same political party. (B) 2 members (each member from a different political party) shall be appointed by the President pro tempore of the Senate with the advice of the Chairman and the Ranking Minority Member of the Senate Committee on Finance. (C) 2 members (each member from a different political party) shall be appointed by the Speaker of the House of Representatives, with the advice of the Chairman and the Ranking Minority Member of the House Committee on Ways and Means. (2) The members shall be chosen on the basis of their integrity, impartiality, and good judgment, and shall be individuals who are, by reason of their education, experience, and attainments, exceptionally qualified to perform the duties of members of the Board. (d) Terms of appointment Each member of the Board shall serve for a term of 6 years, except that − (1) a member appointed to a term of office after the commencement of such term may serve under such appointment only for the remainder of such term; and (2) the terms of service of the members initially appointed

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under this section shall begin on October 1, 1994, and expire as follows: (A) The terms of service of the members initially appointed by the President shall expire as designated by the President at the time of nomination, 1 each at the end of − (i) 2 years; (ii) 4 years; and (iii) 6 years. (B) The terms of service of members initially appointed by the President pro tempore of the Senate shall expire as designated by the President pro tempore of the Senate at the time of nomination, 1 each at the end of − (i) 3 years; and (ii) 6 years. (C) The terms of service of members initially appointed by the Speaker of the House of Representatives shall expire as designated by the Speaker of the House of Representatives at the time of nomination, 1 each at the end of − (i) 4 years; and (ii) 5 years. (e) Chairman A member of the Board shall be designated by the President to serve as Chairman for a term of 4 years, coincident with the term of the President, or until the designation of a successor. (f) Expenses and per diem Members of the Board shall serve without compensation, except

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that, while serving on business of the Board away from their homes or regular places of business, members may be allowed travel expenses, including per diem in lieu of subsistence, as authorized by section 5703 of title 5 for persons in the Government employed intermittently. (g) Meetings (1) The Board shall meet at the call of the Chairman (in consultation with the other members of the Board) not less than 4 times each year to consider a specific agenda of issues, as determined by the Chairman in consultation with the other members of the Board. (2) Four members of the Board (not more than 3 of whom may be of the same political party) shall constitute a quorum for purposes of conducting business. (h) Federal Advisory Committee Act The Board shall be exempt from the provisions of the Federal Advisory Committee Act (5 U.S.C. App.). (i) Personnel The Board shall, without regard to the provisions of title 5 relating to the competitive service, appoint a Staff Director who shall be paid at a rate equivalent to a rate established for the Senior Executive Service under section 5382 of title 5. The Board shall appoint such additional personnel as the Board determines to be necessary to provide adequate support for the Board, and may compensate such additional personnel without regard to the provisions of title 5 relating to the competitive service.

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(j) Authorization of appropriations There are authorized to be appropriated, out of the Federal Disability Insurance Trust Fund, the Federal Old−Age and Survivors Insurance Trust Fund, and the general fund of the Treasury, such sums as are necessary to carry out the purposes of this section. −SOURCE− (Aug. 14, 1935, ch. 531, title VII, Sec. 703, 49 Stat. 636; Aug. 28, 1950, ch. 809, title III, pt. 6, Sec. 361(c), (d), 64 Stat. 558; Pub. L. 98−369, div. B, title VI, Sec. 2663(l)(1), July 18, 1984, 98 Stat. 1171; Pub. L. 103−296, title I, Sec. 103, Aug. 15, 1994, 108 Stat. 1467; Pub. L. 104−121, title I, Sec. 108, Mar. 29, 1996, 110 Stat. 857; Pub. L. 105−33, title V, Sec. 5526, Aug. 5, 1997, 111 Stat. 625; Pub. L. 106−169, title II, Sec. 251(b)(4), Dec. 14, 1999, 113 Stat. 1855.) −REFTEXT− REFERENCES IN TEXT The Federal Advisory Committee Act, referred to in subsec. (h), is Pub. L. 92−463, Oct. 6, 1972, 86 Stat. 770, as amended, which is set out in the Appendix to Title 5, Government Organization and Employees. The provisions of title 5 relating to the competitive service, referred to in subsec. (i), are classified generally to section 3301 et seq. of Title 5. −MISC1− AMENDMENTS 1999 − Subsec. (b). Pub. L. 106−169 substituted "subchapter II of

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this chapter, the program of special benefits for certain World War II veterans under title VIII of this chapter," for "subchapter II of this chapter" in introductory provisions. 1997 − Subsec. (i). Pub. L. 105−33 struck out ", and three professional staff members one of whom shall be appointed from among individuals approved by the members of the Board who are not members of the political party represented by the majority of the Board," after "Staff Director" and "clerical" after "provide adequate". 1996 − Subsec. (i). Pub. L. 104−121 inserted ", and three professional staff members one of whom shall be appointed from among individuals approved by the members of the Board who are not members of the political party represented by the majority of the Board," after "Staff Director". 1994 − Pub. L. 103−296 amended section generally. Prior to amendment, section read as follows: "The Secretary is authorized to appoint and fix the compensation of such officers and employees, and to make such expenditures, as may be necessary for carrying out his functions under this chapter. Appointments of attorneys and experts may be made without regard to the civil−service laws." 1984 − Pub. L. 98−369 substituted "Secretary" for "Administrator". 1950 − Act Aug. 28, 1950, substituted "Administrator" for "Board" and "his" for "its". EFFECTIVE DATE OF 1997 AMENDMENT Section 5528 of title V of Pub. L. 105−33 provided that:

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"(a) In General. − Except as provided in this section, the amendments made by this chapter [chapter 2 (Secs. 5521−5528) of subtitle F of title V of Pub. L. 105−33, amending this section, sections 1310, 1382, 1382c, 1382d, and 1383 of this title, and provisions set out as a note under section 1382 of this title and repealing provisions set out as notes under sections 425 and 1382 of this title] shall take effect as if included in the enactment of title II of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (Public Law 104−193; 110 Stat. 2185). "(b) Section 5524 Amendments. − The amendments made by section 5524 of this Act [amending section 1310 of this title] shall take effect as if included in the enactment of the Social Security Independence and Program Improvements Act of 1994 (Public Law 103−296; 108 Stat. 1464). "(c) Section 5525 Amendments. − "(1) In general. − The amendments made by subsections (a) and (b) of section 5525 of this Act [amending provisions set out as a note under section 1382 of this title] shall take effect as if included in the enactment of section 105 of the Contract with America Advancement Act of 1996 (Public Law 104−121; 110 Stat. 852 et seq.). "(2) Repeals. − The repeals made by section 5525(c) [repealing provisions set out as notes under sections 425 and 1382 of this title] shall take effect on the date of the enactment of this Act [Aug. 5, 1997]. "(d) Section 5526 Amendments. − The amendments made by section

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5526 of this Act [amending this section] shall take effect as if included in the enactment of section 108 of the Contract with America Advancement Act of 1996 (Public Law 104−121; 110 Stat. 857). "(e) Section 5227. − Section 5227 [probably means section 5527 of this Act which is set out as a note under section 909 of this title] shall take effect on the date of the enactment of this Act." 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. −End− −CITE− 42 USC Sec. 904 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 904. Administrative duties of Commissioner −STATUTE− (a) Personnel (1) The Commissioner shall appoint such additional officers and employees as the Commissioner considers necessary to carry out the

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functions of the Administration under this chapter, and attorneys and experts may be appointed without regard to the civil service laws. Except as otherwise provided in the preceding sentence or in any other provision of law, such officers and employees shall be appointed, and their compensation shall be fixed, in accordance with title 5. (2) The Commissioner may procure the services of experts and consultants in accordance with the provisions of section 3109 of title 5. (3) Notwithstanding any requirements of section 3133 of title 5, the Director of the Office of Personnel Management shall authorize for the Administration a total number of Senior Executive Service positions which is substantially greater than the number of such positions authorized in the Social Security Administration in the Department of Health and Human Services as of immediately before August 15, 1994, to the extent that the greater number of such authorized positions is specified in the comprehensive work force plan as established and revised by the Commissioner under subsection (b)(2) of this section. The total number of such positions authorized for the Administration shall not at any time be less than the number of such authorized positions as of immediately before such date. (b) Budgetary matters (1)(A) The Commissioner shall prepare an annual budget for the Administration, which shall be submitted by the President to the Congress without revision, together with the President's annual

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budget for the Administration. (B) The Commissioner shall include in the annual budget prepared pursuant to subparagraph (A) an itemization of the amount of funds required by the Social Security Administration for the fiscal year covered by the budget to support efforts to combat fraud committed by applicants and beneficiaries. (2)(A) Appropriations requests for staffing and personnel of the Administration shall be based upon a comprehensive work force plan, which shall be established and revised from time to time by the Commissioner. (B) Appropriations for administrative expenses of the Administration are authorized to be provided on a biennial basis. (c) Employment restriction The total number of positions in the Administration (other than positions established under section 902 of this title) which − (1) are held by noncareer appointees (within the meaning of section 3132(a)(7) of title 5) in the Senior Executive Service, or (2) have been determined by the President or the Office of Personnel Management to be of a confidential, policy−determining, policy−making, or policy−advocating character and have been excepted from the competitive service thereby, may not exceed at any time the equivalent of 20 full−time positions. (d) Seal of office The Commissioner shall cause a seal of office to be made for the

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Administration of such design as the Commissioner shall approve. Judicial notice shall be taken of such seal. (e) Data exchanges (1) Notwithstanding any other provision of law (including subsections (b), (o), (p), (q), (r), and (u) of section 552a of title 5 − (A) the Secretary shall disclose to the Commissioner any record or information requested in writing by the Commissioner for the purpose of administering any program administered by the Commissioner, if records or information of such type were disclosed to the Commissioner of Social Security in the Department of Health and Human Services under applicable rules, regulations, and procedures in effect before August 15, 1994; and (B) the Commissioner shall disclose to the Secretary or to any State any record or information requested in writing by the Secretary to be so disclosed for the purpose of administering any program administered by the Secretary, if records or information of such type were so disclosed under applicable rules, regulations, and procedures in effect before August 15, 1994. (2) The Commissioner and the Secretary shall enter into an agreement under which the Commissioner provides the Secretary data concerning the quality of the services and information provided to beneficiaries of the programs under subchapters XVIII and XIX of this chapter and the administrative services provided by the Social Security Administration in support of such programs. Such agreement shall stipulate the type of data to be provided and the terms and

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conditions under which the data are to be provided. (3) The Commissioner and the Secretary shall periodically review the need for exchanges of information not referred to in paragraph (1) or (2) and shall enter into such agreements as may be necessary and appropriate to provide information to each other or to States in order to meet the programmatic needs of the requesting agencies. (4)(A) Any disclosure from a system of records (as defined in section 552a(a)(5) of title 5) pursuant to this subsection shall be made as a routine use under subsection (b)(3) of section 552a of such title (unless otherwise authorized under such section 552a). (B) Any computerized comparison of records, including matching programs, between the Commissioner and the Secretary shall be conducted in accordance with subsections (o), (p), (q), (r), and (u) of section 552a of title 5. (5) The Commissioner and the Secretary shall each ensure that timely action is taken to establish any necessary routine uses for disclosures required under paragraph (1) or agreed to pursuant to paragraph (3). −SOURCE− (Aug. 14, 1935, ch. 531, title VII, Sec. 704, 49 Stat. 636; Aug. 28, 1950, ch. 809, title IV, Sec. 402(b), 64 Stat. 558; Pub. L. 94−273, Sec. 33, Apr. 21, 1976, 90 Stat. 380; Pub. L. 98−369, div. B, title VI, Sec. 2663(l)(1), July 18, 1984, 98 Stat. 1171; Pub. L. 103−296, title I, Sec. 104(a), Aug. 15, 1994, 108 Stat. 1470; Pub. L. 106−169, title II, Sec. 211(a), Dec. 14, 1999, 113 Stat. 1842.) −REFTEXT−

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REFERENCES IN TEXT The civil service laws, referred to in subsec. (a)(1), are classified generally to Title 5, Government Organization and Employees. See, particularly, section 3301 et seq. of Title 5. −MISC1− AMENDMENTS 1999 − Subsec. (b)(1). Pub. L. 106−169 designated existing provisions as subpar. (A) and added subpar. (B). 1994 − Pub. L. 103−296 amended section generally. Prior to amendment, section read as follows: "The Secretary shall make a full report to Congress, within one hundred and twenty days after the beginning of each regular session, of the administration of the functions with which he is charged under this chapter. In addition to the number of copies of such report authorized by other law to be printed, there is hereby authorized to be printed not more than five thousand copies of such report for use by the Secretary for distribution to Members of Congress and to State and other public or private agencies or organizations participating in or concerned with the social security program." 1984 − Pub. L. 98−369 substituted "Secretary" for "Administrator". 1976 − Pub. L. 94−273 substituted "within one hundred and twenty days after the beginning" for "at the beginning". 1950 − Act Aug. 28, 1950, substituted "Administrator" for "Board" in first sentence and added second sentence. EFFECTIVE DATE OF 1999 AMENDMENT

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Pub. L. 106−169, title II, Sec. 211(b), Dec. 14, 1999, 113 Stat. 1842, provided that: "The amendments made by this section [amending this section] shall apply with respect to annual budgets prepared for fiscal years after fiscal year 1999." EFFECTIVE DATE OF 1994 AMENDMENT Section 104(c) of Pub. L. 103−296 provided that: "(1) Effective date. − Section 704(e)(4) of the Social Security Act [subsec. (e)(4) of this section] (as amended by subsection (a)) shall take effect March 31, 1996. "(2) Transition rule. − Notwithstanding any other provision of law (including subsections (b), (o), (p), (q), (r), and (u) of section 552a of title 5, United States Code), arrangements for disclosure of records or other information, and arrangements for computer matching of records, which were in effect immediately before the date of the enactment of this Act [Aug. 15, 1994] between the Social Security Administration in the Department of Health and Human Services and other components of such Department may continue between the Social Security Administration established under section 701 of the Social Security Act [section 901 of this title] (as amended by this Act) and such Department during the period beginning on the date of the enactment of this Act and ending March 31, 1996." Amendment by section 104(a) of Pub. L. 103−296 effective Mar. 31, 1995, except as otherwise provided, 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

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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. REPORT ON SES POSITIONS UNDER COMPREHENSIVE WORK FORCE PLAN Section 104(b) of Pub. L. 103−296 provided that within 60 days after establishment by Commissioner of Social Security of comprehensive work force plan required under subsec. (b)(2) of this section, Director of Office of Personnel Management was to transmit to Congress a report specifying total number of Senior Executive Services positions authorized for Social Security Administration in connection with such work force plan. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 405, 1383 of this title. −End− −CITE− 42 USC Secs. 905, 905a 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Secs. 905, 905a. Transferred −COD−

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CODIFICATION Section 905, act July 5, 1952, ch. 575, title II, Sec. 201, 66 Stat. 369, as amended, which related to the working capital fund, was transferred to section 3513 of this title. Section 905a, act Aug. 10, 1971, Pub. L. 92−80, title II, Sec. 200, 85 Stat. 297, which related to additional use of the working capital fund, was transferred to section 3513b of this title. −End− −CITE− 42 USC Sec. 906 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 906. Training grants for public welfare personnel −STATUTE− (a) Authorization of appropriations In order to assist in increasing the effectiveness and efficiency of administration of public assistance programs by increasing the number of adequately trained public welfare personnel available for work in public assistance programs, there are hereby authorized to be appropriated for the fiscal year ending June 30, 1963, the sum of $3,500,000, and for each fiscal year thereafter the sum of $5,000,000. (b) Allocation for carrying out direct grant programs

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Such portion of the sums appropriated pursuant to subsection (a) of this section for any fiscal year as the Secretary may determine, but not in excess of $1,000,000 in the case of the fiscal year ending June 30, 1963, and $2,000,000 in the case of any fiscal year thereafter, shall be available for carrying out subsection (f) of this section. From the remainder of the sums so appropriated for any fiscal year, the Secretary shall make allotments to the States on the basis of (1) population, (2) relative need for trained public welfare personnel, particularly for personnel to provide self−support and self−care services, and (3) financial need. (c) Payments to States for cost of grant programs to certain agencies and institutions From each State's allotment under subsection (b) of this section, the Secretary shall from time to time pay to such State its costs of carrying out the purposes of this section through (1) grants to public or other nonprofit institutions of higher learning for training personnel employed or preparing for employment in public assistance programs, (2) special courses of study or seminars of short duration conducted for such personnel by experts hired on a temporary basis for the purpose, and (3) establishing and maintaining, directly or through grants to such institutions, fellowships or traineeships for such personnel at such institutions, with such stipends and allowances as may be permitted under regulations of the Secretary. (d) Advance payments to States Payments pursuant to subsection (c) of this section shall be made

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in advance on the basis of estimates by the Secretary and adjustments may be made in future payments under this section to take account of overpayments or underpayments in amounts previously paid. (e) Reallotments The amount of any allotment to a State under subsection (b) of this section for any fiscal year which the State certifies to the Secretary will not be required for carrying out the purposes of this section in such State shall be available for reallotment from time to time, on such dates as the Secretary may fix, to other States which the Secretary determines have need in carrying out such purposes for sums in excess of those previously allotted to them under this section and will be able to use such excess amounts during such fiscal year; such reallotments to be made on the basis provided in subsection (b) of this section for the initial allotments to the States. Any amount so reallotted to a State shall be deemed part of its allotment under such subsection. (f) Direct grants to certain agencies and institutions (1) The portion of the sums appropriated for any fiscal year which is determined by the Secretary under the first sentence of subsection (b) of this section to be available for carrying out this subsection shall be available to enable him to provide (A) directly or through grants to or contracts with public or nonprofit private institutions of higher learning, for training personnel who are employed or preparing for employment in the administration of public assistance programs, (B) directly or through grants to or

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contracts with public or nonprofit private agencies or institutions, for special courses of study or seminars of short duration (not in excess of one year) for training of such personnel, and (C) directly or through grants to or contracts with public or nonprofit private institutions of higher learning, for establishing and maintaining fellowships or traineeships for such personnel at such institutions, with such stipends and allowances as may be permitted by the Secretary. (2) Payments under paragraph (1) may be made in advance on the basis of estimates by the Secretary, or may be made by way of reimbursement, and adjustments may be made in future payments under this subsection to take account of overpayments or underpayments in amounts previously paid. (3) The Secretary may, to the extent he finds such action to be necessary, prescribe requirements to assure that any individual will repay the amount of his fellowship or traineeship received under this subsection to the extent such individual fails to serve, for the period prescribed by the Secretary, with a State or political subdivision thereof, or with the Federal Government, in connection with administration of any State or local public assistance program. The Secretary may relieve any individual of his obligation to so repay, in whole or in part, whenever and to the extent that requirement of such repayment would, in his judgment, be inequitable or would be contrary to the purposes of any of the public welfare programs established by this chapter. −SOURCE−

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(Aug. 14, 1935, ch. 531, title VII, Sec. 705, as added Aug. 1, 1956, ch. 836, title III, Sec. 332, 70 Stat. 851; amended Pub. L. 87−31, Sec. 3, May 8, 1961, 75 Stat. 77; Pub. L. 87−543, title I, Sec. 123 (a)−(c), July 25, 1962, 76 Stat. 192.) −MISC1− AMENDMENTS 1962 − Subsec. (a). Pub. L. 87−543, Sec. 123(a), substituted "for the fiscal year ending June 30, 1963, the sum of $3,500,000, and for each fiscal year thereafter the sum of $5,000,000" for "for the fiscal year ending June 30, 1958, the sum of $5,000,000, and for each of the five succeeding fiscal years such sums as the Congress may determine". Subsec. (b). Pub. L. 87−543, Sec. 123(b), required appropriated moneys to be made available for carrying out subsec. (f) of this section. Subsec. (f). Pub. L. 87−543, Sec. 123(c), added subsec. (f). 1961 − Subsec. (a). Pub. L. 87−31, Sec. 3(a), substituted "five" for "four". Subsec. (c). Pub. L. 87−31, Sec. 3(b), substituted "its costs of carrying out the purposes of this section" for "80 per centum of the total of its expenditures in carrying out the purposes of this section". EFFECTIVE DATE OF 1962 AMENDMENT Section 202(b) of Pub. L. 87−543 provided that: "The amendments made by sections 102(c), 123, and 132(d) [enacting section 727 of this title, amending this section and sections 722 and 726 of this

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title, and repealing credits to section 1308 of this title and provisions set out as notes under section 1308 of this title] shall be applicable in the case of fiscal years beginning after June 30, 1962." EFFECTIVE DATE OF 1961 AMENDMENT Section 3(b) of Pub. L. 87−31 provided that the amendment made by that section is effective with respect to payments from allotments from appropriations made for fiscal years beginning after June 30, 1961. −End− −CITE− 42 USC Sec. 907 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 907. Repealed. Pub. L. 103−296, title I, Sec. 108(a)(2), Aug. 15, 1994, 108 Stat. 1481 −MISC1− Section, act Aug. 14, 1935, ch. 531, title VII, Sec. 706, as added July 30, 1965, Pub. L. 89−97, title I, Sec. 109(a), 79 Stat. 339; amended Jan. 2, 1968, Pub. L. 90−248, title I, Sec. 165, title IV, Sec. 403(d), 81 Stat. 874, 932; July 18, 1984, Pub. L. 98−369, div. B, title VI, Sec. 2663(j)(2)(C)(ii), 98 Stat. 1170; Apr. 7, 1986, Pub. L. 99−272, title XII, Sec. 12102(g)(1), 100 Stat. 285;

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Oct. 22, 1986, Pub. L. 99−514, Sec. 2, 100 Stat. 2095, provided for appointment by Secretary every four years of an Advisory Council on Social Security and functions of Council. EFFECTIVE DATE OF REPEAL Repeal effective Mar. 31, 1995, see section 110(a) of Pub. L. 103−296, set out as an Effective Date of 1994 Amendment note under section 401 of this title. APPLICABILITY OF REPEAL TO 1994 COUNCIL Section 108(a)(2) of Pub. L. 103−296 provided in part that: "This paragraph [repealing this section] shall not apply with respect to the Advisory Council for Social Security appointed in 1994." −End− −CITE− 42 USC Sec. 907a 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 907a. National Commission on Social Security −STATUTE− (a) Establishment; membership; Chairman and Vice Chairman; quorum; terms of office; vacancies; per diem and expense reimbursement; meetings (1) There is established a commission to be known as the National Commission on Social Security (hereinafter referred to as the

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"Commission"). (2)(A) The Commission shall consist of − (i) five members to be appointed by the President, by and with the advice and consent of the Senate, one of whom shall, at the time of appointment, be designated as Chairman of the Commission; (ii) two members to be appointed by the Speaker of the House of Representatives; and (iii) two members to be appointed by the President pro tempore of the Senate. (B) At no time shall more than three of the members appointed by the President, one of the members appointed by the Speaker of the House of Representatives, or one of the members appointed by the President pro tempore of the Senate be members of the same political party. (C) The membership of the Commission shall consist of individuals who are of recognized standing and distinction and who possess the demonstrated capacity to discharge the duties imposed on the Commission, and shall include representatives of the private insurance industry and of recipients and potential recipients of benefits under the programs involved as well as individuals whose capacity is based on a special knowledge or expertise in those programs. No individual who is otherwise an officer or full−time employee of the United States shall serve as a member of the Commission. (D) The Chairman of the Commission shall designate a member of the Commission to act as Vice Chairman of the Commission.

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(E) A majority of the members of the Commission shall constitute a quorum, but a lesser number may conduct hearings. (F) Members of the Commission shall be appointed for a term which shall end on April 1, 1981. (G) A vacancy in the Commission shall not affect its powers, but shall be filled in the same manner as that herein provided for the appointment of the member first appointed to the vacant position. (3) Members of the Commission shall receive $138 per diem while engaged in the actual performance of the duties vested in the Commission, plus reimbursement for travel, subsistence, and other necessary expenses incurred in the performance of such duties. (4) The Commission shall meet at the call of the Chairman, or at the call of a majority of the members of the Commission; but meetings of the Commission shall be held not less frequently than once in each calendar month which begins after a majority of the authorized membership of the Commission has first been appointed. (b) Continuing study, investigation, and review of social security program; scope of study, etc., and public participation (1) It shall be the duty and function of the Commission to conduct a continuing study, investigation, and review of − (A) the Federal old−age, survivors, and disability insurance program established by subchapter II of this chapter; and (B) the health insurance programs established by subchapter XVIII of this chapter. (2) Such study, investigation, and review of such programs shall include (but not be limited to) −

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(A) the fiscal status of the trust funds established for the financing of such programs and the adequacy of such trust funds to meet the immediate and long−range financing needs of such programs; (B) the scope of coverage, the adequacy of benefits including the measurement of an adequate retirement income, and the conditions of qualification for benefits provided by such programs including the application of the retirement income test to unearned as well as earned income; (C) the impact of such programs on, and their relation to, public assistance programs, nongovernmental retirement and annuity programs, medical service delivery systems, and national employment practices; (D) any inequities (whether attributable to provisions of law relating to the establishment and operation of such programs, to rules and regulations promulgated in connection with the administration of such programs, or to administrative practices and procedures employed in the carrying out of such programs) which affect substantial numbers of individuals who are insured or otherwise eligible for benefits under such programs, including inequities and inequalities arising out of marital status, sex, or similar classifications or categories; (E) possible alternatives to the current Federal programs or particular aspects thereof, including but not limited to (i) a phasing out of the payroll tax with the financing of such programs being accomplished in some other manner (including

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general revenue funding and the retirement bond), (ii) the establishment of a system providing for mandatory participation in any or all of the Federal programs, (iii) the integration of such current Federal programs with private retirement programs, and (iv) the establishment of a system permitting covered individuals a choice of public or private programs or both; (F) the need to develop a special Consumer Price Index for the elderly, including the financial impact that such an index would have on the costs of the programs established under this chapter; and (G) methods for effectively implementing the recommendations of the Commission. (3) In order to provide an effective opportunity for the general public to participate fully in the study, investigation, and review under this section, the Commission, in conducting such study, investigation, and review, shall hold public hearings in as many different geographical areas of the country as possible. The residents of each area where such a hearing is to be held shall be given reasonable advance notice of the hearing and an adequate opportunity to appear and express their views on the matters under consideration. (c) Special, annual, and final reports to President and Congress concerning implementation, etc., of study, investigation, and review responsibilities; termination of Commission (1) No later than four months after the date on which a majority of the authorized membership of the Commission is initially

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appointed, the Commission shall submit to the President and the Congress a special report describing the Commission's plans for conducting the study, investigation, and review under subsection (b) of this section, with particular reference to the scope of such study, investigation, and review and the methods proposed to be used in conducting it. (2) At or before the close of each of the first two years after the date on which a majority of the authorized membership of the Commission is initially appointed, the Commission shall submit to the President and the Congress an annual report on the study, investigation, and review under subsection (b) of this section, together with its recommendations with respect to the programs involved. The second such report shall constitute the final report of the Commission on such study, investigation, and review, and shall include its final recommendations; and the Commission shall cease to exist on April 1, 1981. (d) Executive Director and additional personnel; appointment and compensation (1) The Commission shall appoint an Executive Director of the Commission who shall be compensated at a rate fixed by the Commission, but which shall not exceed the rate established for level V of the Executive Schedule by title 5. (2) In addition to the Executive Director, the Commission shall have the power to appoint and fix the compensation of such personnel as it deems advisable, in accordance with the provisions of title 5 governing appointments to the competitive service, and

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the provisions of chapter 51 and subchapter III of chapter 53 of such title, relating to classification and General Schedule pay rates. (e) Administrative procedures In carrying out its duties under this section, the Commission, or any duly authorized committee thereof, is authorized to hold such hearings, sit and act at such times and places, and take such testimony, with respect to matters with respect to which it has a responsibility under this section, as the Commission or such committee may deem advisable. The Chairman of the Commission or any member authorized by him may administer oaths or affirmations to witnesses appearing before the Commission or before any committee thereof. (f) Data and information from other Federal departments and agencies The Commission may secure directly from any department or agency of the United States such data and information as may be necessary to enable it to carry out its duties under this section. Upon request of the Chairman of the Commission, any such department or agency shall furnish any such data or information to the Commission. (g) Administrative support services from General Services Administration; reimbursement The General Services Administration shall provide to the Commission, on a reimbursable basis such administrative support services as the Commission may request.

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(h) Authorization of appropriations There are authorized to be appropriated such sums as may be necessary to carry out this section. −SOURCE− (Pub. L. 95−216, title III, Sec. 361, Dec. 20, 1977, 91 Stat. 1556; Pub. L. 96−265, title V, Sec. 502, June 9, 1980, 94 Stat. 470; Pub. L. 98−369, div. B, title III, Sec. 2349(b)(3), July 18, 1984, 98 Stat. 1097.) −REFTEXT− REFERENCES IN TEXT Level V of the Executive Schedule, referred to in subsec. (d)(1), is set out in section 5316 of Title 5, Government Officers and Employees. The provisions of title 5 governing appointments to the competitive service, referred to in subsec. (d)(2), are classified to section 3301 et seq. of Title 5. −COD− CODIFICATION Section was enacted as part of the Social Security Amendments of 1977, and not as part of the Social Security Act which comprises this chapter. −MISC1− AMENDMENTS 1984 − Subsec. (i). Pub. L. 98−369 struck out subsec. (i) which provided for notice of and attendance at meetings of the Health Insurance Benefits Advisory Council.

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1980 − Subsec. (a)(2)(F). Pub. L. 96−265, Sec. 502(a), substituted "a term which shall end on April 1, 1981" for "a term of two years". Subsec. (c)(2). Pub. L. 96−265, Sec. 502(b), substituted "and the Commission shall cease to exist on April 1, 1981" for "and upon the submission of such final report the Commission shall cease to exist". EFFECTIVE DATE OF 1984 AMENDMENT Section 2349(c) of Pub. L. 98−369 provided that: "The amendments made by this section [amending this section and section 1395z of this title and section 231f of Title 45, Railroads, and repealing section 1395dd of this title] shall become effective on the date of the enactment of this Act [July 18, 1984]." −End− −CITE− 42 USC Sec. 908 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 908. Omitted −COD− CODIFICATION Section, act Aug. 14, 1935, ch. 531, title VII, Sec. 707, as added Jan. 2, 1968, Pub. L. 90−248, title IV, Sec. 401, 81 Stat.

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930, related to grants for expansion and development of undergraduate and graduate programs in the fiscal year ending June 30, 1969, and each of the three succeeding fiscal years. −End− −CITE− 42 USC Sec. 909 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 909. Delivery of benefit checks −STATUTE− (a) Saturdays, Sundays, and holidays If the day regularly designated for the delivery of benefit checks under subchapter II, VIII, or XVI of this chapter falls on a Saturday, Sunday, or legal public holiday (as defined in section 6103 of title 5) in any month, the benefit checks which would otherwise be delivered on such day shall be mailed for delivery on the first day preceding such day which is not a Saturday, Sunday, or legal public holiday (as so defined), without regard to whether the delivery of such checks would as a result have to be made before the end of the month for which such checks are issued. (b) Recovery of overpayments If more than the correct amount of payment under subchapter II, VIII, or XVI of this chapter is made to any individual as a result

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of the receipt of a benefit check pursuant to subsection (a) of this section before the end of the month for which such check is issued, no action shall be taken (under section 404 or 1383(b) of this title or otherwise) to recover such payment or the incorrect portion thereof. (c) Early delivery For purposes of computing the "OASDI trust fund ratio" under section 401(l) of this title, the "OASDI fund ratio" under section 415(i) of this title, and the "balance ratio" under section 910(b) of this title, benefit checks delivered before the end of the month for which they are issued by reason of subsection (a) of this section shall be deemed to have been delivered on the regularly designated delivery date. −SOURCE− (Aug. 14, 1935, ch. 531, title VII, Sec. 708, as added Pub. L. 95−216, title III, Sec. 333(a), Dec. 20, 1977, 91 Stat. 1543; amended Pub. L. 99−272, title XII, Sec. 12111(a), Apr. 7, 1986, 100 Stat. 287; Pub. L. 106−169, title II, Sec. 251(b)(5), Dec. 14, 1999, 113 Stat. 1855.) −MISC1− AMENDMENTS 1999 − Subsecs. (a), (b). Pub. L. 106−169 substituted "subchapter II, VIII," for "subchapter II". 1986 − Subsec. (c). Pub. L. 99−272 added subsec. (c). EFFECTIVE DATE OF 1986 AMENDMENT Section 12111(c) of Pub. L. 99−272 provided that: "The amendments

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made by this section [amending this section and section 86 of Title 26, Internal Revenue Code] shall apply with respect to benefit checks issued for months ending after the date of the enactment of this Act [Apr. 7, 1986]." EFFECTIVE DATE Section 333(b) of Pub. L. 95−216 provided that: "The amendment made by subsection (a) of this section [enacting this section] shall apply with respect to benefit checks the regularly designated day for delivery of which occurs on or after the thirtieth day after the date of the enactment of this Act [Dec. 20, 1977]." TIMING OF DELIVERY OF OCTOBER 1, 2000, SSI BENEFIT PAYMENTS Pub. L. 105−33, title V, Sec. 5527, Aug. 5, 1997, 111 Stat. 625, provided that, notwithstanding the provisions of section 908(a) of this title, the day designated for delivery of benefit payments under subchapter XVI of this chapter for October 2000 would be the second day of that month, prior to repeal by Pub. L. 106−246, div. B, title V, Sec. 5105, July 13, 2000, 114 Stat. 582. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 26 section 86. −End− −CITE− 42 USC Sec. 910 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY

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SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 910. Recommendations by Board of Trustees to remedy inadequate balances in Social Security trust funds −STATUTE− (a) Terms and conditions of recommendations If the Board of Trustees of the Federal Old−Age and Survivors Insurance Trust Fund and the Federal Disability Insurance Trust Fund, the Federal Hospital Insurance Trust Fund, or the Federal Supplementary Medical Insurance Trust Fund determines at any time that the balance ratio of any such Trust Fund for any calendar year may become less than 20 percent, the Board shall promptly submit to each House of the Congress a report setting forth its recommendations for statutory adjustments affecting the receipts and disbursements of such Trust Fund necessary to maintain the balance ratio of such Trust Fund at not less than 20 percent, with due regard to the economic conditions which created such inadequacy in the balance ratio and the amount of time necessary to alleviate such inadequacy in a prudent manner. The report shall set forth specifically the extent to which benefits would have to be reduced, taxes under section 1401, 3101, or 3111 of the Internal Revenue Code of 1986 would have to be increased, or a combination thereof, in order to obtain the objectives referred to in the preceding sentence. (b) "Balance ratio" defined For purposes of this section, the term "balance ratio" means,

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with respect to any calendar year in connection with any Trust Fund referred to in subsection (a) of this section, the ratio of − (1) the balance in such Trust Fund as of the beginning of such year, including the taxes transferred under section 401(a) of this title on the first day of such year and reduced by the outstanding amount of any loan (including interest thereon) theretofore made to such Trust Fund under section 401(l) or 1395i(j) of this title, to (2) the total amount which (for amounts which will be paid from the Federal Old−Age and Survivors Insurance Trust Fund and the Federal Disability Insurance Trust Fund, as estimated by the Commissioner, and for amounts which will be paid from the Federal Hospital Insurance Trust and the Federal Supplementary Medical Insurance Trust Fund, as estimated by the Secretary) will be paid from such Trust Fund during such calendar year for all purposes authorized by section 401, 1395i, or 1395t of this title (as applicable), other than payments of interest on, or repayments of, loans under section 401(l) or 1395i(j) of this title, but excluding any transfer payments between such Trust Fund and any other Trust Fund referred to in subsection (a) of this section and reducing the amount of any transfers to the Railroad Retirement Account by the amount of any transfers into such Trust Fund from that Account. −SOURCE− (Aug. 14, 1935, ch. 531, title VII, Sec. 709, as added Pub. L. 98−21, title I, Sec. 143, Apr. 20, 1983, 97 Stat. 102; amended Pub.

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L. 99−272, title XII, Sec. 12106, Apr. 7, 1986, 100 Stat. 286; Pub. L. 99−514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095; Pub. L. 103−296, title I, Sec. 108(a)(3), Aug. 15, 1994, 108 Stat. 1481.) −REFTEXT− REFERENCES IN TEXT The Internal Revenue Code of 1986, referred to in subsec. (a), is classified generally to Title 26, Internal Revenue Code. −MISC1− AMENDMENTS 1994 − Subsec. (b)(2). Pub. L. 103−296 substituted "(for amounts which will be paid from the Federal Old−Age and Survivors Insurance Trust Fund and the Federal Disability Insurance Trust Fund, as estimated by the Commissioner, and for amounts which will be paid from the Federal Hospital Insurance Trust and the Federal Supplementary Medical Insurance Trust Fund, as estimated by the Secretary)" for "(as estimated by the Secretary)". 1986 − Subsec. (a). Pub. L. 99−514 substituted "Internal Revenue Code of 1986" for "Internal Revenue Code of 1954". Subsec. (b)(1). Pub. L. 99−272 amended par. (1) generally. Prior to amendment, par. (1) read as follows: "the balance in such Trust Fund, reduced by the outstanding amount of any loan (including interest thereon) theretofore made to such Trust Fund under section 401(l) or 1395i(j) of this title, as of the beginning of such year, to". EFFECTIVE DATE OF 1994 AMENDMENT Amendment by Pub. L. 103−296 effective Mar. 31, 1995, see section

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110(a) of Pub. L. 103−296, set out as a note under section 401 of this title. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by Pub. L. 99−272 effective on first day of month following April 1986, see section 12115 of Pub. L. 99−272, set out as a note under section 415 of this title. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 909 of this title. −End− −CITE− 42 USC Sec. 911 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 911. Budgetary treatment of trust fund operations −STATUTE− (a) The receipts and disbursements of the Federal Old−Age and Survivors Insurance Trust Fund and the Federal Disability Insurance Trust Fund and the taxes imposed under sections 1401 and 3101 of the Internal Revenue Code of 1986 shall not be included in the totals of the budget of the United States Government as submitted by the President or of the congressional budget and shall be exempt from any general budget limitation imposed by statute on

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expenditures and net lending (budget outlays) of the United States Government. (b) No provision of law enacted after December 12, 1985 (other than a provision of an appropriation Act that appropriated funds authorized under this chapter as in effect on December 12, 1985) may provide for payments from the general fund of the Treasury to any Trust Fund specified in subsection (a) of this section or for payments from any such Trust Fund to the general fund of the Treasury. −SOURCE− (Aug. 14, 1935, ch. 531, title VII, Sec. 710, as added and amended Pub. L. 98−21, title III, Sec. 346(a)(1), (b), Apr. 20, 1983, 97 Stat. 137, 138; Pub. L. 99−177, title II, Sec. 261(a)(1), (b), Dec. 12, 1985, 99 Stat. 1093, 1094; Pub. L. 105−33, title X, Sec. 10209(c), Aug. 5, 1997, 111 Stat. 711.) −REFTEXT− REFERENCES IN TEXT The Internal Revenue Code of 1986, referred to in subsec. (a), is classified generally to Title 26, Internal Revenue Code. −MISC1− AMENDMENTS 1997 − Pub. L. 105−33 amended section generally. Prior to amendment, section provided that receipts and disbursements of Federal Old−Age and Survivors Insurance Trust Fund, Federal Disability Insurance Trust Fund, and Federal Hospital Insurance Trust Fund and taxes imposed under sections 1401, 3101, and 3111 of

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title 26 were not to be included in totals of budget of United States Government, that no law enacted after Dec. 12, 1985, except certain appropriations Act provisions, could provide for payments from general fund of the Treasury to any such Trust Fund or from any such Trust Fund to general fund, and that disbursements of Federal Supplementary Medical Insurance Trust Fund were to be treated as a separate major functional category in budget of the Government. 1985 − Subsec. (a). Pub. L. 99−177, Sec. 261(b), designated existing provisions as par. (1) and added par. (2). Pub. L. 99−177, Sec. 261(a)(1)(E), temporarily added subsec. (a). See Effective and Termination Dates of 1985 Amendment note below. Subsec. (b). Pub. L. 99−177, Sec. 261(a)(1)(A)−(D), temporarily designated existing provisions as subsec. (b), struck out references to the Federal Old−Age and Survivors Insurance Trust Fund and to the Federal Disability Insurance Trust Fund, and substituted "sections 1401(b), 3101(b), and 3111(b) of the Internal Revenue Code of 1954" for "sections 1401, 3101, and 3111 of the Internal Revenue Code of 1954". See Effective and Termination Dates of 1985 Amendment note below. Subsec. (c). Pub. L. 99−177, Sec. 261(a)(1)(F), temporarily added subsec. (c). See Effective and Termination Dates of 1985 Amendment note below. 1983 − Pub. L. 98−21, Sec. 346(b), amended section generally, adding subsec. (a) and designating existing provisions as subsec. (b) and striking out "Federal Old−Age and Survivors Insurance Trust

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Fund, the Federal Disability Insurance Trust Fund, the Federal Hospital Insurance Trust Fund, and the" after "The disbursements of the" and substituting "such Trust Fund" for "such Trust Funds", including the taxes imposed under sections 1401, 3101, and 3111 of the Internal Revenue Code of 1954," after "receipts of such Trust Fund". EFFECTIVE AND TERMINATION DATES OF 1985 AMENDMENT Section 261(a)(2) of Pub. L. 99−177 provided that: "The amendments made by paragraph (1) [amending this section] shall apply with respect to fiscal years beginning after September 30, 1985, and ending before October 1, 1992." EFFECTIVE DATE OF 1983 AMENDMENT Section 346(b) of Pub. L. 98−21 provided that the amendment made by that section is effective for fiscal years beginning on or after Oct. 1, 1992. EFFECTIVE AND TERMINATION DATES Section 346(a)(2) of Pub. L. 98−21 provided that: "The amendment made by paragraph (1) [enacting this section] shall apply with respect to fiscal years beginning on or after October 1, 1984, and ending on or before September 30, 1992, except that such amendment shall apply with respect to the fiscal year beginning on October 1, 1983, to the extent it relates to the congressional budget." −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 2 section 906. −End−

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−CITE− 42 USC Sec. 912 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 912. Office of Rural Health Policy −STATUTE− (a) There shall be established in the Department of Health and Human Services (in this section referred to as the "Department") an Office of Rural Health Policy (in this section referred to as the "Office"). The Office shall be headed by a Director, who shall advise the Secretary on the effects of current policies and proposed statutory, regulatory, administrative, and budgetary changes in the programs established under subchapters XVIII and XIX of this chapter on the financial viability of small rural hospitals, the ability of rural areas (and rural hospitals in particular) to attract and retain physicians and other health professionals, and access to (and the quality of) health care in rural areas. (b) In addition to advising the Secretary with respect to the matters specified in subsection (a) of this section, the Director, through the Office, shall − (1) oversee compliance with the requirements of section 1302(b) of this title and section 4403 of the Omnibus Budget

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Reconciliation Act of 1987 (as such section pertains to rural health issues), (2) establish and maintain a clearinghouse for collecting and disseminating information on − (A) rural health care issues, including rural mental health, rural infant mortality prevention, and rural occupational safety and preventive health promotion, (B) research findings relating to rural health care, and (C) innovative approaches to the delivery of health care in rural areas, including programs providing community−based mental health services, pre−natal and infant care services, and rural occupational safety and preventive health education and promotion, (3) coordinate the activities within the Department that relate to rural health care, and (4) provide information to the Secretary and others in the Department with respect to the activities, of other Federal departments and agencies, that relate to rural health care, including activities relating to rural mental health, rural infant mortality, and rural occupational safety and preventive health promotion. −SOURCE− (Aug. 14, 1935, ch. 531, title VII, Sec. 711, as added Pub. L. 100−203, title IV, Sec. 4401, Dec. 22, 1987, 101 Stat. 1330−225; amended Pub. L. 100−360, title IV, Sec. 411(m)(1), July 1, 1988, 102 Stat. 806; Pub. L. 101−239, title VI, Sec. 6213(g), Dec. 19,

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1989, 103 Stat. 2251.) −REFTEXT− REFERENCES IN TEXT Section 4403 of the Omnibus Budget Reconciliation Act of 1987, referred to in subsec. (b)(1), is section 4403 of Pub. L. 100−203, which is set out as a note under section 1395b−1 of this title. −MISC1− AMENDMENTS 1989 − Subsec. (b)(2)(A). Pub. L. 101−239, Sec. 6213(g)(1), substituted "health care issues, including rural mental health, rural infant mortality prevention, and rural occupational safety and preventive health promotion" for "health care issues". Subsec. (b)(2)(C). Pub. L. 101−239, Sec. 6213(g)(2), substituted "health care in rural areas, including programs providing community−based mental health services, pre−natal and infant care services, and rural occupational safety and preventive health education and promotion" for "health care in rural areas". Subsec. (b)(4). Pub. L. 101−239, Sec. 6213(g)(3), substituted "rural health care, including activities relating to rural mental health, rural infant mortality, and rural occupational safety and preventive health promotion" for "rural health care". 1988 − Subsec. (b)(1). Pub. L. 100−360 substituted "section 4403 of the Omnibus Budget Reconciliation Act of 1987 (as such section pertains to rural health issues)" for "section 4083 of the Omnibus Budget Reconciliation Act of 1987". EFFECTIVE DATE OF 1988 AMENDMENT

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Except as specifically provided in section 411 of Pub. L. 100−360, amendment by Pub. L. 100−360, as it relates to a provision in the Omnibus Budget Reconciliation Act of 1987, Pub. L. 100−203, effective as if included in the enactment of that provision in Pub. L. 100−203, see section 411(a) of Pub. L. 100−360, set out as a Reference to OBRA; Effective Date note under section 106 of Title 1, General Provisions. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 254r of this title. −End− −CITE− 42 USC Sec. 913 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VII − ADMINISTRATION −HEAD− Sec. 913. Duties and authority of Secretary −STATUTE− The Secretary shall perform the duties imposed upon the Secretary by this chapter. The Secretary is authorized to appoint and fix the compensation of such officers and employees, and to make such expenditures as may be necessary for carrying out the functions of the Secretary under this chapter. The Secretary may appoint attorneys and experts without regard to the civil service laws.

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−SOURCE− (Aug. 14, 1935, ch. 531, title VII, Sec. 712, as added Pub. L. 103−296, title I, Sec. 108(a)(1), Aug. 15, 1994, 108 Stat. 1481.) −REFTEXT− REFERENCES IN TEXT The civil service laws, referred to in text, are classified generally to Title 5, Government Organization and Employees. See, particularly, section 3301 et seq. of Title 5. −End− −CITE− 42 USC SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −MISC1− PRIOR PROVISIONS A prior subchapter VIII, relating to taxes with respect to employment and consisting of sections 1001 to 1011 of this title, was omitted. See Prior Provisions note set out under section 1001 of this title. −SECREF−

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SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in sections 401, 405, 659, 903, 909, 1008, 1320a−8, 1320a−8a, 1320b−17, 1320b−18, 1382, 1383 of this title; title 31 section 3716. −End− −CITE− 42 USC Sec. 1001 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1001. Basic entitlement to benefits −STATUTE− Every individual who is a qualified individual under section 1002 of this title shall, in accordance with and subject to the provisions of this subchapter, be entitled to a monthly benefit paid by the Commissioner of Social Security for each month after September 2000 (or such earlier month, if the Commissioner determines is administratively feasible) the individual resides outside the United States. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 801, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1844.) −MISC1− PRIOR PROVISIONS

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Prior sections 1001 to 1011, act Aug. 14, 1935, ch. 531, title VIII, Secs. 801−811, 49 Stat. 636−639, related to taxes with respect to employment. Section 4 of act Feb. 10, 1939, ch. 2, 53 Stat. 1, which act enacted Title 26, Internal Revenue Code of 1939, provided that all laws and parts of laws codified into the I.R.C. 1939, to the extent that they related exclusively to internal revenue laws, were repealed. Provisions of I.R.C. 1939 were generally repealed by section 7851 of Title 26, Internal Revenue Code of 1954 (act Aug. 16, 1954, ch. 736, 68A Stat. 3). See, also, section 7807 of said Title 26, I.R.C. 1954, respecting rules in effect upon enactment of I.R.C. 1954. The I.R.C. 1954 was redesignated I.R.C. 1986 by Pub. L. 99−514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095. The omitted sections were formerly and are now covered by certain sections in Title 26, I.R.C. 1939 and I.R.C. 1986, respectively, as follows: Omitted I.R.C. 1939 I.R.C. 1986 sections −−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−− 1001 1400 3101. 1002 1402 3102. 1003 1401 3502. 1004 1410 3111. 1005 1411 6205(a), 6413(a). 1006 1421 6205(b), 6413(b). 1007 1420, 1430 3501. 1008 1429 7805(a), (c).

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1009 1423, 1424 6801 et seq. 1010 1425 7208(1), 7209. 1011 (as amended Aug. 1426 3121, 7701(a)(1). 10, 1939, ch. 666, title IX, Sec. 905(a), 53 Stat. 1400) −−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−− Section 1001 related to income tax on employees. Section 1002 related to deduction of tax from wages. Section 1003 related to deductibility from income taxes. Section 1004 related to excise tax on employers. Section 1005 related to adjustment of employers' tax. Section 1006 related to refunds and deficiencies. Section 1007 related to collection and payment of taxes. Section 1008 related to rules and regulations. Section 1009 related to sale by postmasters of stamps or other devices for collection or payment of tax. Section 1010 related to penalties. Section 1011 related to definitions. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1003 of this title. −End− −CITE− 42 USC Sec. 1002 01/06/03 −EXPCITE−

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TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1002. Qualified individuals −STATUTE− Except as otherwise provided in this subchapter, an individual − (1) who has attained the age of 65 on or before December 14, 1999; (2) who is a World War II veteran; (3) who is eligible for a supplemental security income benefit under subchapter XVI of this chapter for − (A) the month in which this subchapter is enacted; and (B) the month in which the individual files an application for benefits under this subchapter; (4) whose total benefit income is less than 75 percent of the Federal benefit rate under subchapter XVI of this chapter; (5) who has filed an application for benefits under this subchapter; and (6) who is in compliance with all requirements imposed by the Commissioner of Social Security under this subchapter, shall be a qualified individual for purposes of this subchapter. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 802, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1844.) −MISC1−

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PRIOR PROVISIONS For prior provisions, see note set out under section 1001 of this title. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1001, 1004 of this title. −End− −CITE− 42 USC Sec. 1003 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1003. Residence outside the United States −STATUTE− For purposes of section 1001 of this title, with respect to any month, an individual shall be regarded as residing outside the United States if, on the first day of the month, the individual so resides outside the United States. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 803, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1845.) −MISC1− PRIOR PROVISIONS For prior provisions, see note set out under section 1001 of this

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title. −End− −CITE− 42 USC Sec. 1004 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1004. Disqualifications −STATUTE− (a) In general Notwithstanding section 1002 of this title, an individual may not be a qualified individual for any month − (1) that begins after the month in which the Commissioner of Social Security is notified by the Attorney General that the individual has been removed from the United States pursuant to section 1227(a) or 1182(a)(6)(A) of title 8 and before the month in which the individual is lawfully admitted to the United States for permanent residence; (2) during any part of which the individual is fleeing to avoid prosecution, or custody or confinement after conviction, under the laws of the United States or the jurisdiction within the United States from which the person has fled, for a crime, or an attempt to commit a crime, that is a felony under the laws of the place from which the individual has fled, or which, in the case

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of the State of New Jersey, is a high misdemeanor under the laws of such State; (3) during any part of which the individual violates a condition of probation or parole imposed under Federal or State law; or (4) during which the individual resides in a foreign country and is not a citizen or national of the United States if payments for such month to individuals residing in such country are withheld by the Treasury Department under section 3329 of title 31. (b) Requirement for Attorney General For the purpose of carrying out subsection (a)(1) of this section, the Attorney General shall notify the Commissioner of Social Security as soon as practicable after the removal of any individual under section 1227(a) or 1182(a)(6)(A) of title 8. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 804, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1845.) −MISC1− PRIOR PROVISIONS For prior provisions, see note set out under section 1001 of this title. −End− −CITE− 42 USC Sec. 1005 01/06/03 −EXPCITE−

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TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1005. Benefit amount −STATUTE− The benefit under this subchapter payable to a qualified individual for any month shall be in an amount equal to 75 percent of the Federal benefit rate under subchapter XVI of this chapter for the month, reduced by the amount of the qualified individual's benefit income for the month. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 805, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1845.) −MISC1− PRIOR PROVISIONS For prior provisions, see note set out under section 1001 of this title. −End− −CITE− 42 USC Sec. 1006 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD−

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Sec. 1006. Applications and furnishing of information −STATUTE− (a) In general The Commissioner of Social Security shall, subject to subsection (b) of this section, prescribe such requirements with respect to the filing of applications, the furnishing of information and other material, and the reporting of events and changes in circumstances, as may be necessary for the effective and efficient administration of this subchapter. (b) Verification requirement The requirements prescribed by the Commissioner of Social Security under subsection (a) of this section shall preclude any determination of entitlement to benefits under this subchapter solely on the basis of declarations by the individual concerning qualifications or other material facts, and shall provide for verification of material information from independent or collateral sources, and the procurement of additional information as necessary in order to ensure that the benefits are provided only to qualified individuals (or their representative payees) in correct amounts. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 806, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1846.) −MISC1− PRIOR PROVISIONS For prior provisions, see note set out under section 1001 of this title.

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−End− −CITE− 42 USC Sec. 1007 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1007. Representative payees −STATUTE− (a) In general If the Commissioner of Social Security determines that the interest of any qualified individual under this subchapter would be served thereby, payment of the qualified individual's benefit under this subchapter may be made, regardless of the legal competency or incompetency of the qualified individual, either directly to the qualified individual, or for his or her benefit, to another person (the meaning of which term, for purposes of this section, includes an organization) with respect to whom the requirements of subsection (b) of this section have been met (in this section referred to as the qualified individual's "representative payee"). If the Commissioner of Social Security determines that a representative payee has misused any benefit paid to the representative payee pursuant to this section, 405(j) of this title, or section 1383(a)(2) of this title, the Commissioner of Social Security shall promptly revoke the person's designation as

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the qualified individual's representative payee under this subsection, and shall make payment to an alternative representative payee or, if the interest of the qualified individual under this subchapter would be served thereby, to the qualified individual. (b) Examination of fitness of prospective representative payee (1) Any determination under subsection (a) of this section to pay the benefits of a qualified individual to a representative payee shall be made on the basis of − (A) an investigation by the Commissioner of Social Security of the person to serve as representative payee, which shall be conducted in advance of the determination and shall, to the extent practicable, include a face−to−face interview with the person (or, in the case of an organization, a representative of the organization); and (B) adequate evidence that the arrangement is in the interest of the qualified individual. (2) As part of the investigation referred to in paragraph (1), the Commissioner of Social Security shall − (A) require the person being investigated to submit documented proof of the identity of the person; (B) in the case of a person who has a social security account number issued for purposes of the program under subchapter II of this chapter or an employer identification number issued for purposes of the Internal Revenue Code of 1986, verify the number; (C) determine whether the person has been convicted of a violation of section 408, 1011, or 1383a of this title; and

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(D) determine whether payment of benefits to the person in the capacity as representative payee has been revoked or terminated pursuant to this section, section 405(j) of this title, or section 1383(a)(2)(A)(iii) of this title by reason of misuse of funds paid as benefits under this subchapter, subchapter II, or XVI of this chapter, respectively. (c) Requirement for maintaining lists of undesirable payees The Commissioner of Social Security shall establish and maintain lists which shall be updated periodically and which shall be in a form that renders such lists available to the servicing offices of the Social Security Administration. The lists shall consist of − (1) the names and (if issued) social security account numbers or employer identification numbers of all persons with respect to whom, in the capacity of representative payee, the payment of benefits has been revoked or terminated under this section, section 405(j) of this title, or section 1383(a)(2)(A)(iii) of this title by reason of misuse of funds paid as benefits under this subchapter, subchapter II, or XVI of this chapter, respectively; and (2) the names and (if issued) social security account numbers or employer identification numbers of all persons who have been convicted of a violation of section 408, 1011, or 1383a of this title. (d) Persons ineligible to serve as representative payees (1) In general The benefits of a qualified individual may not be paid to any

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other person pursuant to this section if − (A) the person has been convicted of a violation of section 408, 1011, or 1383a of this title; (B) except as provided in paragraph (2), payment of benefits to the person in the capacity of representative payee has been revoked or terminated under this section, section 405(j) of this title, or section 1383(a)(2)(A)(ii) (!1) of this title by reason of misuse of funds paid as benefits under this subchapter, subchapter II, or subchapter XVI of this chapter, respectively; or (C) except as provided in paragraph (2)(B), the person is a creditor of the qualified individual and provides the qualified individual with goods or services for consideration. (2) Exemptions (A) The Commissioner of Social Security may prescribe circumstances under which the Commissioner of Social Security may grant an exemption from paragraph (1) to any person on a case−by−case basis if the exemption is in the best interest of the qualified individual whose benefits would be paid to the person pursuant to this section. (B) Paragraph (1)(C) shall not apply with respect to any person who is a creditor referred to in such paragraph if the creditor is − (i) a relative of the qualified individual and the relative resides in the same household as the qualified individual; (ii) a legal guardian or legal representative of the

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

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

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Security determines is in the best interest of the qualified individual. (f) Hearing Any qualified individual who is dissatisfied with a determination by the Commissioner of Social Security to make payment of the qualified individual's benefit to a representative payee under subsection (a) of this section or with the designation of a particular person to serve as representative payee shall be entitled to a hearing by the Commissioner of Social Security to the same extent as is provided in section 1009(a) of this title, and to judicial review of the Commissioner of Social Security's final decision as is provided in section 1009(b) of this title. (g) Notice requirements (1) In general In advance, to the extent practicable, of the payment of a qualified individual's benefit to a representative payee under subsection (a) of this section, the Commissioner of Social Security shall provide written notice of the Commissioner's initial determination to so make the payment. The notice shall be provided to the qualified individual, except that, if the qualified individual is legally incompetent, then the notice shall be provided solely to the legal guardian or legal representative of the qualified individual. (2) Specific requirements Any notice required by paragraph (1) shall be clearly written in language that is easily understandable to the reader, shall

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identify the person to be designated as the qualified individual's representative payee, and shall explain to the reader the right under subsection (f) of this section of the qualified individual or of the qualified individual's legal guardian or legal representative − (A) to appeal a determination that a representative payee is necessary for the qualified individual; (B) to appeal the designation of a particular person to serve as the representative payee of the qualified individual; and (C) to review the evidence upon which the designation is based and to submit additional evidence. (h) Accountability monitoring (1) In general In any case where payment under this subchapter is made to a person other than the qualified individual entitled to the payment, the Commissioner of Social Security shall establish a system of accountability monitoring under which the person shall report not less often than annually with respect to the use of the payments. The Commissioner of Social Security shall establish and implement statistically valid procedures for reviewing the reports in order to identify instances in which persons are not properly using the payments. (2) Special reports Notwithstanding paragraph (1), the Commissioner of Social Security may require a report at any time from any person receiving payments on behalf of a qualified individual, if the

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Commissioner of Social Security has reason to believe that the person receiving the payments is misusing the payments. (3) Maintaining lists of payees The Commissioner of Social Security shall maintain lists which shall be updated periodically of − (A) the name, address, and (if issued) the social security account number or employer identification number of each representative payee who is receiving benefit payments pursuant to this section, section 405(j) of this title, or section 1383(a)(2) of this title; and (B) the name, address, and social security account number of each individual for whom each representative payee is reported to be providing services as representative payee pursuant to this section, section 405(j) of this title, or section 1383(a)(2) of this title. (4) Maintaining lists of agencies The Commissioner of Social Security shall maintain lists, which shall be updated periodically, of public agencies and community−based nonprofit social service agencies which are qualified to serve as representative payees pursuant to this section and which are located in the jurisdiction in which any qualified individual resides. (i) Restitution In any case where the negligent failure of the Commissioner of Social Security to investigate or monitor a representative payee results in misuse of benefits by the representative payee, the

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Commissioner of Social Security shall make payment to the qualified individual or the individual's alternative representative payee of an amount equal to the misused benefits. The Commissioner of Social Security shall make a good faith effort to obtain restitution from the terminated representative payee. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 807, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1846.) −REFTEXT− REFERENCES IN TEXT The Internal Revenue Code of 1986, referred to in subsec. (b)(2)(B), is classified generally to Title 26, Internal Revenue Code. −MISC1− PRIOR PROVISIONS For prior provisions, see note set out under section 1001 of this title. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 405, 1008, 1011, 1383 of this title. −FOOTNOTE− (!1) So in original. Probably should be "1383(a)(2)(A)(iii)". −End− −CITE− 42 USC Sec. 1008 01/06/03

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−EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1008. Overpayments and underpayments −STATUTE− (a) In general Whenever the Commissioner of Social Security finds that more or less than the correct amount of payment has been made to any person under this subchapter, proper adjustment or recovery shall be made, as follows: (1) With respect to payment to a person of more than the correct amount, the Commissioner of Social Security shall decrease any payment − (A) under this subchapter to which the overpaid person (if a qualified individual) is entitled, or shall require the overpaid person or his or her estate to refund the amount in excess of the correct amount, or, if recovery is not obtained under these two methods, shall seek or pursue recovery by means of reduction in tax refunds based on notice to the Secretary of the Treasury, as authorized under section 3720A of title 31; or (B) under subchapter II of this chapter to recover the amount in excess of the correct amount, if the person is not currently eligible for payment under this subchapter. (2) With respect to payment of less than the correct amount to

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a qualified individual who, at the time the Commissioner of Social Security is prepared to take action with respect to the underpayment − (A) is living, the Commissioner of Social Security shall make payment to the qualified individual (or the qualified individual's representative payee designated under section 1007 of this title) of the balance of the amount due the underpaid qualified individual; or (B) is deceased, the balance of the amount due shall revert to the general fund of the Treasury. (b) No effect on subchapter VIII eligibility or benefit amount In any case in which the Commissioner of Social Security takes action in accordance with subsection (a)(1)(B) of this section to recover an amount incorrectly paid to an individual, that individual shall not, as a result of such action − (1) become qualified for benefits under this subchapter; or (2) if such individual is otherwise so qualified, become qualified for increased benefits under this subchapter. (c) Waiver of recovery of overpayment In any case in which more than the correct amount of payment has been made, there shall be no adjustment of payments to, or recovery by the United States from, any person who is without fault if the Commissioner of Social Security determines that the adjustment or recovery would defeat the purpose of this subchapter or would be against equity and good conscience. (d) Limited immunity for disbursing officers

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A disbursing officer may not be held liable for any amount paid by the officer if the adjustment or recovery of the amount is waived under subsection (b) of this section, or adjustment under subsection (a) of this section is not completed before the death of the qualified individual against whose benefits deductions are authorized. (e) Authorized collection practices (1) In general With respect to any delinquent amount, the Commissioner of Social Security may use the collection practices described in sections 3711(e), 3716, and 3718 of title 31, as in effect on October 1, 1994. (2) Definition For purposes of paragraph (1), the term "delinquent amount" means an amount − (A) in excess of the correct amount of the payment under this subchapter; and (B) determined by the Commissioner of Social Security to be otherwise unrecoverable under this section from a person who is not a qualified individual under this subchapter. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 808, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1850.) −MISC1− PRIOR PROVISIONS For prior provisions, see note set out under section 1001 of this

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title. −End− −CITE− 42 USC Sec. 1009 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1009. Hearings and review −STATUTE− (a) Hearings (1) In general The Commissioner of Social Security shall make findings of fact and decisions as to the rights of any individual applying for payment under this subchapter. The Commissioner of Social Security shall provide reasonable notice and opportunity for a hearing to any individual who is or claims to be a qualified individual and is in disagreement with any determination under this subchapter with respect to entitlement to, or the amount of, benefits under this subchapter, if the individual requests a hearing on the matter in disagreement within 60 days after notice of the determination is received, and, if a hearing is held, shall, on the basis of evidence adduced at the hearing affirm, modify, or reverse the Commissioner of Social Security's findings of fact and the decision. The Commissioner of Social Security

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may, on the Commissioner of Social Security's own motion, hold such hearings and conduct such investigations and other proceedings as the Commissioner of Social Security deems necessary or proper for the administration of this subchapter. In the course of any hearing, investigation, or other proceeding, the Commissioner may administer oaths and affirmations, examine witnesses, and receive evidence. Evidence may be received at any hearing before the Commissioner of Social Security even though inadmissible under the rules of evidence applicable to court procedure. The Commissioner of Social Security shall specifically take into account any physical, mental, educational, or linguistic limitation of the individual (including any lack of facility with the English language) in determining, with respect to the entitlement of the individual for benefits under this subchapter, whether the individual acted in good faith or was at fault, and in determining fraud, deception, or intent. (2) Effect of failure to timely request review A failure to timely request review of an initial adverse determination with respect to an application for any payment under this subchapter or an adverse determination on reconsideration of such an initial determination shall not serve as a basis for denial of a subsequent application for any payment under this subchapter if the applicant demonstrates that the applicant failed to so request such a review acting in good faith reliance upon incorrect, incomplete, or misleading information, relating to the consequences of reapplying for payments in lieu

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of seeking review of an adverse determination, provided by any officer or employee of the Social Security Administration. (3) Notice requirements In any notice of an adverse determination with respect to which a review may be requested under paragraph (1), the Commissioner of Social Security shall describe in clear and specific language the effect on possible entitlement to benefits under this subchapter of choosing to reapply in lieu of requesting review of the determination. (b) Judicial review The final determination of the Commissioner of Social Security after a hearing under subsection (a)(1) of this section shall be subject to judicial review as provided in section 405(g) of this title to the same extent as the Commissioner of Social Security's final determinations under section 405 of this title. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 809, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1851.) −MISC1− PRIOR PROVISIONS For prior provisions, see note set out under section 1001 of this title. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1007 of this title; title 31 section 3716.

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−End− −CITE− 42 USC Sec. 1010 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1010. Other administrative provisions −STATUTE− (a) Regulations and administrative arrangements The Commissioner of Social Security may prescribe such regulations, and make such administrative and other arrangements, as may be necessary or appropriate to carry out this subchapter. (b) Payment of benefits Benefits under this subchapter shall be paid at such time or times and in such installments as the Commissioner of Social Security determines are in the interests of economy and efficiency. (c) Entitlement redeterminations An individual's entitlement to benefits under this subchapter, and the amount of the benefits, may be redetermined at such time or times as the Commissioner of Social Security determines to be appropriate. (d) Suspension and termination of benefits Regulations prescribed by the Commissioner of Social Security under subsection (a) of this section may provide for the suspension

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and termination of entitlement to benefits under this subchapter as the Commissioner determines is appropriate. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 810, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1852.) −MISC1− PRIOR PROVISIONS For prior provisions, see note set out under section 1001 of this title. −End− −CITE− 42 USC Sec. 1010a 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1010a. Optional Federal administration of State recognition payments −STATUTE− (a) In general The Commissioner of Social Security may enter into an agreement with any State (or political subdivision thereof) that provides cash payments on a regular basis to individuals entitled to benefits under this subchapter under which the Commissioner of Social Security shall make such payments on behalf of such State

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(or subdivision). (b) Agreement terms (1) In general Such agreement shall include such terms as the Commissioner of Social Security finds necessary to achieve efficient and effective administration of both this subchapter and the State program. (2) Financial terms Such agreement shall provide for the State to pay the Commissioner of Social Security, at such times and in such installments as the parties may specify − (A) an amount equal to the expenditures made by the Commissioner of Social Security pursuant to such agreement as payments to individuals on behalf of such State; and (B) an administration fee to reimburse the administrative expenses incurred by the Commissioner of Social Security in making payments to individuals on behalf of the State. (c) Special disposition of administration fees Administration fees, upon collection, shall be credited to a special fund established in the Treasury of the United States for State recognition payments for certain World War II veterans. The amounts so credited, to the extent and in the amounts provided in advance in appropriations Acts, shall be available to defray expenses incurred in carrying out this subchapter. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 810A, as added Pub. L.

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106−554, Sec. 1(a)(1) [title V, Sec. 518(a)], Dec. 21, 2000, 114 Stat. 2763, 2763A−73.) −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1320a−8a of this title. −End− −CITE− 42 USC Sec. 1011 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1011. Penalties for fraud −STATUTE− (a) In general Whoever − (1) knowingly and willfully makes or causes to be made any false statement or representation of a material fact in an application for benefits under this subchapter; (2) at any time knowingly and willfully makes or causes to be made any false statement or representation of a material fact for use in determining any right to the benefits; (3) having knowledge of the occurrence of any event affecting − (A) his or her initial or continued right to the benefits; or (B) the initial or continued right to the benefits of any

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other individual in whose behalf he or she has applied for or is receiving the benefit, conceals or fails to disclose the event with an intent fraudulently to secure the benefit either in a greater amount or quantity than is due or when no such benefit is authorized; or (4) having made application to receive any such benefit for the use and benefit of another and having received it, knowingly and willfully converts the benefit or any part thereof to a use other than for the use and benefit of the other individual, shall be fined under title 18, imprisoned not more than 5 years, or both. (b) Restitution by representative payee If a person or organization violates subsection (a) of this section in the person's or organization's role as, or in applying to become, a representative payee under section 1007 of this title on behalf of a qualified individual, and the violation includes a willful misuse of funds by the person or entity, the court may also require that full or partial restitution of funds be made to the qualified individual. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 811, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1852.) −MISC1− PRIOR PROVISIONS For prior provisions, see note set out under section 1001 of this title.

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−SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 405, 1007, 1383 of this title. −End− −CITE− 42 USC Sec. 1012 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1012. Definitions −STATUTE− In this subchapter: (1) World War II veteran The term "World War II veteran" means a person who − (A) served during World War II − (i) in the active military, naval, or air service of the United States during World War II; or (ii) in the organized military forces of the Government of the Commonwealth of the Philippines, while the forces were in the service of the Armed Forces of the United States pursuant to the military order of the President dated July 26, 1941, including among the military forces organized guerrilla forces under commanders appointed, designated, or

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subsequently recognized by the Commander in Chief, Southwest Pacific Area, or other competent authority in the Army of the United States, in any case in which the service was rendered before December 31, 1946; and (B) was discharged or released therefrom under conditions other than dishonorable − (i) after service of 90 days or more; or (ii) because of a disability or injury incurred or aggravated in the line of active duty. (2) World War II The term "World War II" means the period beginning on September 16, 1940, and ending on July 24, 1947. (3) Supplemental security income benefit under subchapter XVI The term "supplemental security income benefit under subchapter XVI", except as otherwise provided, includes State supplementary payments which are paid by the Commissioner of Social Security pursuant to an agreement under section 1382e(a) of this title or section 212(b) of Public Law 93−66. (4) Federal benefit rate under subchapter XVI The term "Federal benefit rate under subchapter XVI of this chapter" means, with respect to any month, the amount of the supplemental security income cash benefit (not including any State supplementary payment which is paid by the Commissioner of Social Security pursuant to an agreement under section 1382e(a) of this title or section 212(b) of Public Law 93−66) payable under subchapter XVI of this chapter for the month to an eligible

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individual with no income. (5) United States The term "United States" means, notwithstanding section 1301(a)(1) of this title, only the 50 States, the District of Columbia, and the Commonwealth of the Northern Mariana Islands. (6) Benefit income The term "benefit income" means any recurring payment received by a qualified individual as an annuity, pension, retirement, or disability benefit (including any veterans' compensation or pension, workmen's compensation payment, old−age, survivors, or disability insurance benefit, railroad retirement annuity or pension, and unemployment insurance benefit), but only if a similar payment was received by the individual from the same (or a related) source during the 12−month period preceding the month in which the individual files an application for benefits under this subchapter. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 812, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1853.) −REFTEXT− REFERENCES IN TEXT Section 212(b) of Public Law 93−66, referred to in pars. (3) and (4), is section 212(b) of Pub. L. 93−66, title II, July 9, 1973, 87 Stat. 155, as amended, which is set out as a note under section 1382 of this title. −End−

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−CITE− 42 USC Sec. 1013 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER VIII − SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS −HEAD− Sec. 1013. Appropriations −STATUTE− There are hereby appropriated for fiscal year 2000 and subsequent fiscal years, out of any funds in the Treasury not otherwise appropriated, such sums as may be necessary to carry out this subchapter. −SOURCE− (Aug. 14, 1935, ch. 531, title VIII, Sec. 813, as added Pub. L. 106−169, title II, Sec. 251(a), Dec. 14, 1999, 113 Stat. 1854.) −End− −CITE− 42 USC SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING −HEAD− SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING

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−MISC1− AMENDMENTS 1954 − Act Aug. 5, 1954, ch. 657, Sec. 2, 68 Stat. 668, in amending subchapter generally substituted subchapter heading "EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING" for "TAX ON EMPLOYMENT OF EIGHT OR MORE". PRIOR LAW; TAX ON EMPLOYERS OF EIGHT OR MORE Former subchapter IX, sections 1101−1103, 1105−1110, act Aug. 14, 1935, ch. 531, title IX, Secs. 901−903, 905−910, 49 Stat. 639−644, related to taxes on employers of eight or more. Section 4 of act Feb. 10, 1939, ch. 2, 53 Stat. 1, which act enacted Title 26, Internal Revenue Code of 1939, provided that all laws and parts of laws codified into the I.R.C. 1939, to the extent that they related exclusively to internal revenue laws, were repealed. Provisions of I.R.C. 1939 were generally repealed by section 7851 of Title 26, Internal Revenue Code of 1954 (act Aug. 16, 1954, ch. 736, 68A Stat. 3). See, also, section 7807 of said Title 26, I.R.C. 1954, respecting rules in effect upon enactment of I.R.C. 1954. The I.R.C. 1954 was redesignated I.R.C. 1986 by Pub. L. 99−514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095. Said prior law sections were formerly and are now covered by certain sections in Title 26, I.R.C. 1939 and I.R.C. 1986, respectively, as follows: Former I.R.C. 1939 I.R.C. 1986 sections −−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−− 1101 1600 3301.

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1102 1601(a) 3302. 1103 1603 3304. 1105 1604, 1605, 1610 3501, 6011(a), 6065, 6071, 6081(a), 6091(b)(1), (2), 6106, 6152(a)(3), (b), 6161(a)(1), 6313, 6601(a), (f)(1). 1106 1606 3305. 1107 (as amended act 1607 3306, 7701(a)(1). June 25, 1938, ch. 680, Sec. 13(a), 52 Stat. 1110) 1108 1609 7805(a), (c). 1109 1601(b), (c) 3302. 1110 1602 3303. −−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−− REPAIR OF 1938 HURRICANE DAMAGE Act Aug. 11, 1939, ch. 719, Sec. 1, 53 Stat. 1420, provided that no special security taxes should be collected for work done prior to Jan. 1, 1940, in cleaning up debris and damage caused by the 1938 hurricane. CREDITS AGAINST SOCIAL SECURITY TAX Act Aug. 10, 1939, ch. 666, title IX, Sec. 902(a)−(d), (h), 53 Stat. 1399, provided for a credit against the social security tax of certain contributions made with respect to employment during

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calendar years 1936, 1937, or 1938. Said act Aug. 10, 1939, was affected by act Sept. 20, 1941, ch. 412, title VII, Sec. 701(c), 55 Stat. 728. Act May 28, 1938, ch. 289, Sec. 810, 52 Stat. 576, related to credits against Social Security Tax for 1936. It was affected by act Sept. 20, 1941, ch. 412, title VII, Sec. 701(c), 55 Stat. 728, relating to credit against Federal unemployment taxes. −End− −CITE− 42 USC Sec. 1101 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING −HEAD− Sec. 1101. Employment Security Administration Account −STATUTE− (a) Establishment There is hereby established in the Unemployment Trust Fund an employment security administration account. (b) Amount credited to Account; transfer of funds; adjustments; repayment of internal revenue refunds (1) There is hereby appropriated to the Unemployment Trust Fund for credit to the employment security administration account, out of any moneys in the Treasury not otherwise appropriated, for the fiscal year ending June 30, 1961, and for each fiscal year

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thereafter, an amount equal to 100 per centum of the tax (including interest, penalties, and additions to the tax) received during the fiscal year under the Federal Unemployment Tax Act [26 U.S.C. 3301 et seq.] and covered into the Treasury. (2) The amount appropriated by paragraph (1) shall be transferred at least monthly from the general fund of the Treasury to the Unemployment Trust Fund and credited to the employment security administration account. Each such transfer shall be based on estimates made by the Secretary of the Treasury of the amounts received in the Treasury. Proper adjustments shall be made in the amounts subsequently transferred, to the extent prior estimates (including estimates for the fiscal year ending June 30, 1960) were in excess of or were less than the amounts required to be transferred. (3) The Secretary of the Treasury is directed to pay from time to time from the employment security administration account into the Treasury, as repayments to the account for refunding internal revenue collections, amounts equal to all refunds made after June 30, 1960, of amounts received as tax under the Federal Unemployment Tax Act [26 U.S.C. 3301 et seq.] (including interest on such refunds). (c) Administrative expenditures; necessary expenses; quarterly transfer of funds; adjustments; limitation; estimate of net receipts (1) There are hereby authorized to be made available for expenditure out of the employment security administration account

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for the fiscal year ending June 30, 1971, and for each fiscal year thereafter − (A) such amounts (not in excess of the applicable limit provided by paragraph (3) and, with respect to clause (ii), not in excess of the limit provided by paragraph (4)) as the Congress may deem appropriate for the purpose of − (i) assisting the States in the administration of their unemployment compensation laws as provided in subchapter III of this chapter (including administration pursuant to agreements under any Federal unemployment compensation law), (ii) the establishment and maintenance of systems of public employment offices in accordance with the Act of June 6, 1933, as amended (29 U.S.C., secs. 49−49n), and (iii) carrying into effect section 4103 of title 38; (B) such amounts (not in excess of the limit provided by paragraph (4) with respect to clause (iii)) as the Congress may deem appropriate for the necessary expenses of the Department of Labor for the performance of its functions under − (i) this subchapter and subchapters III and XII of this chapter, (ii) the Federal Unemployment Tax Act [26 U.S.C. 3301 et seq.], (iii) the provisions of the Act of June 6, 1933, as amended [29 U.S.C. 49 et seq.], (iv) chapter 41 (except section 4103) of title 38, and (v) any Federal unemployment compensation law.

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The term "necessary expenses" as used in this subparagraph (B) shall include the expense of reimbursing a State for salaries and other expenses of employees of such State temporarily assigned or detailed to duty with the Department of Labor and of paying such employees for travel expenses, transportation of household goods, and per diem in lieu of subsistence while away from their regular duty stations in the State, at rates authorized by law for civilian employees of the Federal Government. (2) The Secretary of the Treasury is directed to pay from the employment security administration account into the Treasury as miscellaneous receipts the amount estimated by him which will be expended during a three−month period by the Treasury Department for the performance of its functions under − (A) this subchapter and subchapters III and XII of this chapter, including the expenses of banks for servicing unemployment benefit payment and clearing accounts which are offset by the maintenance of balances of Treasury funds with such banks, (B) the Federal Unemployment Tax Act [26 U.S.C. 3301 et seq.], and (C) any Federal unemployment compensation law with respect to which responsibility for administration is vested in the Secretary of Labor. If it subsequently appears that the estimates under this paragraph in any particular period were too high or too low, appropriate adjustments shall be made by the Secretary of the Treasury in

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future payments. (3)(A) For purposes of paragraph (1)(A), the limitation on the amount authorized to be made available for any fiscal year after June 30, 1970, is, except as provided in subparagraph (B) and in the second sentence of subsection (f)(3)(A) of this section, an amount equal to 95 percent of the amount estimated and set forth in the budget of the United States Government for such fiscal year as the amount by which the net receipts during such year under the Federal Unemployment Tax Act [26 U.S.C. 3301 et seq.] will exceed the amount transferred under section 1105(b) of this title during such year to the extended unemployment compensation account. (B) The limitation established by subparagraph (A) is increased by any unexpended amount retained in the employment security administration account in accordance with subsection (f)(2)(B) of this section. (C) Each estimate of net receipts under this paragraph shall be based upon a tax rate of 0.6 percent. (4) For purposes of paragraphs (1)(A)(ii) and (1)(B)(iii) the amount authorized to be made available out of the employment security administration account for any fiscal year after June 30, 1972, shall reflect the proportion of the total cost of administering the system of public employment offices in accordance with the Act of June 6, 1933, as amended [29 U.S.C. 49 et seq.], and of the necessary expenses of the Department of Labor for the performance of its functions under the provisions of such Act, as the President determines is an appropriate charge to the employment

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security administration account, and reflects in his annual budget for such year. The President's determination, after consultation with the Secretary, shall take into account such factors as the relationship between employment subject to State laws and the total labor force in the United States, the number of claimants and the number of job applicants, and such other factors as he finds relevant. (5)(A) There are authorized to be appropriated out of the employment security administration account to carry out program integrity activities, in addition to any amounts available under paragraph (1)(A)(i) − (i) $89,000,000 for fiscal year 1998; (ii) $91,000,000 for fiscal year 1999; (iii) $93,000,000 (!1) fiscal year 2000; (iv) $96,000,000 for fiscal year 2001; and (v) $98,000,000 for fiscal year 2002. (B) In any fiscal year in which a State receives funds appropriated pursuant to this paragraph, the State shall expend a proportion of the funds appropriated pursuant to paragraph (1)(A)(i) to carry out program integrity activities that is not less than the proportion of the funds appropriated under such paragraph that was expended by the State to carry out program integrity activities in fiscal year 1997. (C) For purposes of this paragraph, the term "program integrity activities" means initial claims review activities, eligibility review activities, benefit payments control activities, and

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employer liability auditing activities. (d) Additional tax attributable to reduced credits; transfer of funds (1) The Secretary of the Treasury is directed to transfer from the employment security administration account − (A) To the Federal unemployment account, an amount equal to the amount by which − (i) 100 per centum of the additional tax received under the Federal Unemployment Tax Act [26 U.S.C. 3301 et seq.] with respect to any State by reason of the reduced credits provisions of section 3302(c)(3) of such Act [26 U.S.C. 3302(c)(3)] and covered into the Treasury for the repayment of advances made to the State under section 1321 of this title, exceeds (ii) the amount transferred to the account of such State pursuant to subparagraph (B) of this paragraph. Any amount transferred pursuant to this subparagraph shall be credited against, and shall operate to reduce, that balance of advances, made under section 1321 of this title to the State, with respect to which employers paid such additional tax. (B) To the account (in the Unemployment Trust Fund) of the State with respect to which employers paid such additional tax, an amount equal to the amount by which such additional tax received and covered into the Treasury exceeds that balance of advances, made under section 1321 of this title to the State, with respect to which employers paid such additional tax.

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(2) Transfers under this subsection shall be as of the beginning of the month succeeding the month in which the moneys were credited to the employment security administration account pursuant to subsection (b)(2) of this section. (e) Revolving fund; appropriations; advances to Account; repayment; interest (1) There is hereby established in the Treasury a revolving fund which shall be available to make the advances authorized by this subsection. There are hereby authorized to be appropriated, without fiscal year limitation, to such revolving fund such amounts as may be necessary for the purposes of this section. (2) The Secretary of the Treasury is directed to advance from time to time from the revolving fund to the employment security administration account such amounts as may be necessary for the purposes of this section. If the net balance in the employment security administration account as of the beginning of any fiscal year equals 40 percent of the amount of the total appropriation by the Congress out of the employment security administration account for the preceding fiscal year, no advance may be made under this subsection during such fiscal year. (3) Advances to the employment security administration account made under this subsection shall bear interest until repaid at a rate equal to the average rate of interest (computed as of the end of the calendar month next preceding the date of such advance) borne by all interest−bearing obligations of the United States then forming a part of the public debt; except that where such average

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rate is not a multiple of one−eighth of 1 per centum, the rate of interest shall be the multiple of one−eighth of 1 per centum next lower than such average rate. (4) Advances to the employment security administration account made under this subsection, plus interest accrued thereon, shall be repaid by the transfer from time to time, from the employment security administration account to the revolving fund, of such amounts as the Secretary of the Treasury, in consultation with the Secretary of Labor, determines to be available in the employment security administration account for such repayment. Any amount transferred as a repayment under this paragraph shall be credited against, and shall operate to reduce, any balance of advances (plus accrued interest) repayable under this subsection. (f) Determination of excess in Account; limitation on amount to be retained; use of balance in Account during certain fiscal years; net balance (1) The Secretary of the Treasury shall determine as of the close of each fiscal year (beginning with the fiscal year ending June 30, 1961) the excess in the employment security administration account. (2) The excess in the employment security administration account as of the close of any fiscal year is the amount by which the net balance in such account as of such time (after the application of section 1102(b) of this title and paragraph (3)(C) of this subsection) exceeds the net balance in the employment security administration account as of the beginning of that fiscal year (including the fiscal year for which the excess is being computed)

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for which the net balance was higher than as of the beginning of any other such fiscal year. (3)(A) The excess determined as provided in paragraph (2) as of the close of any fiscal year after June 30, 1972, shall be retained (as of the beginning of the succeeding fiscal year) in the employment security administration account until the amount in such account is equal to 40 percent of the amount of the total appropriation by the Congress out of the employment security administration account for the fiscal year for which the excess is determined. Three−eighths of the amount in the employment security administration account as of the beginning of any fiscal year after June 30, 1972, or $150 million, whichever is the lesser, is authorized to be made available for such fiscal year pursuant to subsection (c)(1) of this section for additional costs of administration due to an increase in the rate of insured unemployment for a calendar quarter of at least 15 percent over the rate of insured unemployment for the corresponding calendar quarter in the immediately preceding year. (B) If the entire amount of the excess determined as provided in paragraph (2) as of the close of any fiscal year after June 30, 1972, is not retained in the employment security administration account, there shall be transferred (as of the beginning of the succeeding fiscal year) to the extended unemployment compensation account the balance of such excess or so much thereof as is required to increase the amount in the extended unemployment compensation account to the limit provided in section 1105(b)(2) of

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this title. (C) If as of the close of any fiscal year after June 30, 1972, the amount in the extended unemployment compensation account exceeds the limit provided in section 1105(b)(2) of this title, such excess shall be transferred to the employment security administration account as of the close of such fiscal year. (4) For the purposes of this section, the net balance in the employment security administration account as of any time is the amount in such account as of such time reduced by the sum of − (A) the amounts then subject to transfer pursuant to subsection (d) of this section, and (B) the balance of advances (plus interest accrued thereon) then repayable to the revolving fund established by subsection (e) of this section. The net balance in the employment security administration account as of the beginning of any fiscal year shall be determined after the disposition of the excess in such account as of the close of the preceding fiscal year. −SOURCE− (Aug. 14, 1935, ch. 531, title IX, Sec. 901, as added Aug. 5, 1954, ch. 657, Sec. 2, 68 Stat. 668; amended Pub. L. 86−778, title V, Sec. 521, Sept. 13, 1960, 74 Stat. 970; Pub. L. 87−31, Sec. 7, May 8, 1961, 75 Stat. 78; Pub. L. 88−31, Sec. 1, May 29, 1963, 77 Stat. 51; Pub. L. 91−53, Sec. 3, Aug. 7, 1969, 83 Stat. 93; Pub. L. 91−373, title III, Sec. 303, Aug. 10, 1970, 84 Stat. 713; Pub. L. 94−273, Sec. 39, Apr. 21, 1976, 90 Stat. 381; Pub. L. 94−566, title

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II, Sec. 211(e)(1) [(c)(1)], Oct. 20, 1976, 90 Stat. 2676; Pub. L. 97−248, title II, Sec. 271(b)(2)(A), (c)(3)(D), Sept. 3, 1982, 96 Stat. 554, 555; Pub. L. 98−369, div. B, title VI, Sec. 2663(d)(1), (2), July 18, 1984, 98 Stat. 1167; Pub. L. 100−203, title IX, Sec. 9154(a), (c)(2), Dec. 22, 1987, 101 Stat. 1330−326; Pub. L. 102−83, Sec. 5(c)(2), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102−318, title V, Sec. 531(d)(1), (2), July 3, 1992, 106 Stat. 316, 317; Pub. L. 105−33, title V, Sec. 5408, Aug. 5, 1997, 111 Stat. 605.) −REFTEXT− REFERENCES IN TEXT The Federal Unemployment Tax Act, referred to in subsecs. (b)(1), (3), (c)(1)(B)(ii), (2)(B), (3)(A), and (d)(1)(A)(i), is act Aug. 16, 1954, ch. 736, Secs. 3301 to 3311, 68A Stat. 439, as amended, which is classified generally to chapter 23 (Sec. 3301 et seq.) of Title 26, Internal Revenue Code. For complete classification of this Act to the Code, see section 3311 of Title 26 and Tables. Act of June 6, 1933, as amended (29 U.S.C. 49−49n), referred to in subsec. (c)(1)(A)(ii), (B)(iii), and (4), probably means act June 6, 1933, ch. 49, 48 Stat. 113, as amended, known as the Wagner−Peyser Act, which is classified generally to chapter 4B (Sec. 49 et seq.) of Title 29, Labor. Sections 49m and 49n were not part of act June 6, 1933. For complete classification of this Act to the Code, see Short Title note set out under section 49 of Title 29 and Tables. −MISC1− PRIOR PROVISIONS

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A prior section 1101, act Aug. 14, 1935, ch. 531, title IX, Sec. 901, 49 Stat. 639, related to imposition of tax. For further details, see Prior Law note set out preceding this section. AMENDMENTS 1997 − Subsec. (c)(5). Pub. L. 105−33 added par. (5). 1992 − Subsec. (f)(2). Pub. L. 102−318, Sec. 531(d)(1), struck out designation for subpar. (A), substituted "The" for "Except as provided in subparagraph (B), the", and struck out subpar. (B) which read as follows: "With respect to the fiscal years ending June 30, 1970, June 30, 1971, and June 30, 1972, the balance in the employment security administration account at the close of each such fiscal year shall not be considered excess but shall be retained in the account for use as provided in paragraph (1) of subsection (c) of this section." Subsec. (g). Pub. L. 102−318, Sec. 531(d)(2), struck out subsec. (g) which read as follows: "(1) With respect to calendar years 1988, 1989, and 1990, the Secretary of the Treasury shall transfer from the employment security administration account − "(A) to the Federal unemployment account an amount equal to 50 percent of the amount of tax received under section 3301(1) of the Federal Unemployment Tax Act which is attributable to the difference in the tax rates between paragraphs (1) and (2) of such section; and "(B) to the extended unemployment compensation account an amount equal to 50 percent of such amount of tax received.

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"(2) Transfers under this subsection shall be as of the beginning of the month succeeding the month in which the moneys were credited to the employment security administration account pursuant to subsection (b)(2) of this section with respect to wages paid during such calendar years." 1991 − Subsec. (c)(1)(A)(iii), (B)(iv). Pub. L. 102−83 substituted reference to section 4103 of title 38 for reference to section 2003 of title 38. 1987 − Subsec. (c)(3)(C). Pub. L. 100−203, Sec. 9154(c)(2), substituted "a tax rate of 0.6 percent" for "(i) a tax rate of 0.6 percent in the case of any calendar year for which the rate of tax under section 3301 of the Federal Unemployment Tax Act is 6.0 percent, and (ii) a tax rate of 0.8 percent in the case of any calendar year for which the rate of tax under such section is 6.2 percent". Subsec. (g). Pub. L. 100−203, Sec. 9154(a), added subsec. (g). 1984 − Subsec. (c). Pub. L. 98−369, Sec. 2663(d)(1), realigned margins of subsec. (c). Subsec. (f). Pub. L. 98−369, Sec. 2663(d)(2), realigned margins of par. (3). 1982 − Subsec. (c)(3)(C). Pub. L. 97−248, Sec. 271(c)(3)(D), substituted "0.6" for "0.5", "6.0" for "3.2", and "6.2" for "3.5". Subsec. (c)(3)(C)(ii). Pub. L. 97−248, Sec. 271(b)(2)(A), substituted "0.8" for "0.7", struck out "3301" after "tax under such section", and substituted "3.5" for "3.4". 1976 − Subsec. (c)(3)(C). Pub. L. 94−566 limited existing

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provisions by making them applicable only in the case of calendar years for which the rate of tax under section 3301 of the Federal Unemployment Tax Act is 3.2 percent, designated the existing provisions as so amended as cl. (i) and added cl. (ii). Subsec. (f)(3)(A). Pub. L. 94−273 struck out "fiscal" after "immediately preceding". 1970 − Subsec. (c)(1). Pub. L. 91−373, Sec. 303(a)(1), substituted "fiscal year ending June 30, 1971" for "fiscal year ending June 30, 1964", inserted reference to par. (4), struck out reference to the Temporary Unemployment Compensation Act of 1958, as amended, and substituted "section 2003 of title 38" for "section 2012 of title 38". Subsec. (c)(2). Pub. L. 91−373, Sec. 303(a)(2), struck out provision for the exclusion of amounts attributable to the Temporary Unemployment Compensation Act of 1958, as amended. Subsec. (c)(3). Pub. L. 91−373, Sec. 303(a)(3), changed the ceiling on the amount in the employment security administration account authorized for appropriation for State grants by making it 95 percent of the amount set forth in the budget of the United States Government as the amount by which the net receipts during the fiscal year are estimated to exceed the amount transferred to the extended unemployment compensation account under section 1105(b) of this title. Subsec. (c)(4). Pub. L. 91−373, Sec. 303(a)(4), added par. (4). Subsec. (d). Pub. L. 91−373, Sec. 303(b), struck out reference to section 3302(c)(2) of the Federal Unemployment Tax Act in par.

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(1)(A)(i), struck out provision for separate application of par. (1) in years in which there was both a balance described in sections 3302(c)(2) and 3302(c)(3) of the Federal Unemployment Tax Act, redesignated par. (3) as par. (2), and struck out former par. (2) covering the transfer of funds from the employment security administration account to the general fund of the Treasury and to the State account, with respect to which employers paid additional tax, received by reason of the reduced credit provisions of section 1400c of this title. Subsec. (e)(2). Pub. L. 91−373, Sec. 303(c), substituted "equals 40 percent of the amount of the total appropriation by the Congress out of the employment security administration account of the preceding fiscal year" for "is $250,000,000". Subsec. (f)(2)(A). Pub. L. 91−373, Sec. 303(d)(1), inserted reference to par. (3)(C) of this subsection. Subsec. (f)(3). Pub. L. 91−373, Sec. 303(d)(2), revised provisions for the distribution of any excess in the employment security administration account at the end of any fiscal year after June 30, 1972. 1969 − Subsec. (c)(3). Pub. L. 91−53, Sec. 3(a), struck out subpar. (A) provisions limiting expenditures for fiscal year ending June 30, 1964, to 95 percent of amount estimated by the Secretary of Treasury as the net receipts during such fiscal year under the Federal Unemployment Tax Act, redesignated subpar. (B) provisions as par. (3) without restricting their application to fiscal years ending after June 30, 1964, increased expenditure limitation by

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unexpended amount retained in the employment security administration account in accordance with subsec. (f)(2)(B) of this section, reenacted provision for estimate of net receipts, and struck out dated provisions requiring the Secretary of Treasury to report to Congress his estimate under subpar. (A) within thirty days after May 29, 1963, the date of enactment of Pub. L. 88−31, and providing for its printing as a House document. Subsec. (f)(2). Pub. L. 91−53, Sec. 3(b), designated existing provisions as subpar. (A), inserted introductory text "Except as provided in subparagraph (B)", and added subpar. (B). 1963 − Subsec. (c). Pub. L. 88−31 substituted "June 30, 1964" for "June 30, 1961" in par. (1), "(not in excess of the limit provided by paragraph (3))" for "(not in excess of $350,000,000 for any fiscal year)" in par. (1)(A), and added par. (3). 1961 − Subsec. (c)(1)(B). Pub. L. 87−31 inserted provision relating to necessary expenses. 1960 − Subsec. (a). Pub. L. 86−778 substituted provision establishing the employment security administration account for former provision making an appropriation to the Unemployment Trust Fund for fiscal year ending June 30, 1954, and for each fiscal year thereafter, providing for transfer of funds from the general fund in the Treasury to the Unemployment Trust Fund at the close of the fiscal year, and adjustments in the transfers, and requiring the Secretary of the Treasury to consult with the Secretary of Labor with respect to estimates of employment security administrative expenditures.

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Subsec. (b). Pub. L. 86−778 substituted provisions crediting the employment security administration with funds, and requiring transfer of funds, adjustments and repayment of internal revenue refunds for former provisions defining "employment security administrative expenditures", now incorporated in subsec. (c)(1)(A), (B), (2)(A) of this section. Subsecs. (c) to (f). Pub. L. 86−778 added subsecs. (c) to (f). EFFECTIVE DATE OF 1987 AMENDMENT Section 9154(d) of Pub. L. 100−203 provided that: "The amendments made by this section [amending this section and sections 1102 and 1105 of this title] shall become effective on the date of the enactment of this Act [Dec. 22, 1987]." 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 1982 AMENDMENT Amendment by section 271(b)(2)(A) of Pub. L. 97−248 applicable to remuneration paid after Dec. 31, 1982, and amendment by section 271(c)(3)(D) of Pub. L. 97−248 applicable to remuneration paid after Dec. 31, 1984, see section 271(d)(1), (2) of Pub. L. 97−248, as amended, set out as a note under section 3301 of Title 26, Internal Revenue Code. EFFECTIVE DATE OF 1976 AMENDMENT

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Section 211(d)(3) of Pub. L. 94−566 provided that: "The amendments made by subsection (c) [amending this section, section 1105 of this title, and section 6157 of Title 26, Internal Revenue Code] shall take effect on the date of enactment of this Act [Oct. 20, 1976]." EFFECTIVE DATE OF 1970 AMENDMENT Section 303(a) of Pub. L. 91−373 provided that the amendment made by that section is effective with respect to fiscal years after June 30, 1970. Section 303(c) of Pub. L. 91−373 provided that the amendment made by that section is effective July 1, 1972. Section 303(d) of Pub. L. 91−373 provided that the amendment made by that section is effective with respect to fiscal years after June 30, 1972. EFFECTIVE DATE OF 1969 AMENDMENT Section 4(b) of Pub. L. 91−53 provided that: "The amendments made by section 3 [amending this section] shall take effect upon enactment of this Act [Aug. 7, 1969]." INCREASE IN ADMINISTRATIVE EXPENDITURES LIMITATION FOR FISCAL YEAR 1963 Section 4 of Pub. L. 88−31 provided that notwithstanding subsec. (c)(1)(A) of this section, the limitation on the amount authorized to be available for the fiscal year ending June 30, 1963, for the purposes specified in subsec. (c)(1)(A), was increased to $407,148,000. Pub. L. 87−582, title I, Sec. 101, Aug. 14, 1962, 76 Stat. 363,

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provided that notwithstanding subsec. (c)(1)(A) of this section, the limitation on the amount authorized to be available for the fiscal year ending June 30, 1963, for the purposes specified in subsec. (c)(1)(A), was increased to $400,000,000. INCREASE IN ADMINISTRATIVE EXPENDITURES LIMITATION FOR FISCAL YEARS 1961 AND 1962 Pub. L. 87−6, Sec. 15, Mar. 24, 1961, 75 Stat. 16, provided that notwithstanding subsec. (c)(1)(A) of this section, the limitation on the amount authorized to be available for the fiscal years ending June 30, 1961 and June 30, 1962, for the purposes specified in subsec. (c)(1)(A), was increased to $385,000,000 and $415,000,000, respectively. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 501, 1102, 1103, 1105, 1110, 1321, 1323 of this title; title 26 section 3302. −FOOTNOTE− (!1) So in original. Probably should be followed by "for". −End− −CITE− 42 USC Sec. 1102 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING −HEAD−

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Sec. 1102. Transfers between Federal Unemployment Account and Employment Security Administration Account −STATUTE− (a) Determination of excess; amount transferred Whenever the Secretary of the Treasury determines pursuant to section 1101(f) of this title that there is an excess in the employment security administration account as of the close of any fiscal year and the entire amount of such excess is not retained in the employment security administration account or transferred to the extended unemployment compensation account as provided in section 1101(f)(3) of this title, there shall be transferred (as of the beginning of the succeeding fiscal year) to the Federal unemployment account the balance of such excess or so much thereof as is required to increase the amount in the Federal unemployment account to whichever of the following is the greater: (1) $550 million, or (2) the amount (determined by the Secretary of Labor and certified by him to the Secretary of the Treasury) equal to 0.5 percent of the total wages subject (determined without any limitation on amount) to contributions under all State unemployment compensation laws for the calendar year ending during the fiscal year for which the excess is determined. (b) Unemployment account excesses The amount, if any, by which the amount in the Federal unemployment account as of the close of any fiscal year exceeds the greater of the amounts specified in paragraphs (1) and (2) of

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subsection (a) of this section shall be transferred to the employment security administration account as of the close of such fiscal year. (c) Report to Congress Whenever the Secretary of Labor has reason to believe that in the next fiscal year the employment security administration account will reach the limit provided for such account in section 1101(f)(3)(A) of this title, and the Federal unemployment account will reach the limit provided for such account in subsection (a) of this section, and the extended unemployment compensation account will reach the limit provided for such account in section 1105(b)(2) of this title, he shall, after consultation with the Secretary of the Treasury, so report to the Congress with a recommendation for appropriate action by the Congress. −SOURCE− (Aug. 14, 1935, ch. 531, title IX, Sec. 902, as added Aug. 5, 1954, ch. 657, Sec. 2, 68 Stat. 669; amended Pub. L. 86−778, title V, Sec. 521, Sept. 13, 1960, 74 Stat. 974; Pub. L. 91−373, title III, Sec. 304(a), (b), Aug. 10, 1970, 84 Stat. 715, 716; Pub. L. 100−203, title IX, Sec. 9154(b)(1), Dec. 22, 1987, 101 Stat. 1330−326; Pub. L. 102−318, title V, Sec. 531(b), July 3, 1992, 106 Stat. 316; Pub. L. 105−33, title V, Sec. 5402(a), Aug. 5, 1997, 111 Stat. 603.) −MISC1− PRIOR PROVISIONS A prior section 1102, act Aug. 14, 1935, ch. 531, title IX, Sec.

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902, 49 Stat. 639, related to credit against tax. For further details, see Prior Law note set out preceding section 1101 of this title. AMENDMENTS 1997 − Subsec. (a)(2). Pub. L. 105−33 substituted "0.5 percent" for "0.25 percent". 1992 − Subsec. (a)(2). Pub. L. 102−318 substituted "0.25 percent" for "five−eighths of 1 percent". 1987 − Subsec. (a)(2). Pub. L. 100−203 substituted "five−eighths" for "one−eighth". 1970 − Subsec. (a). Pub. L. 91−373, Sec. 304(a), inserted, in provisions preceding par. (1), reference to the retention of the entire amount of the excess in the employment security administration account or the transfer to the extended unemployment compensation account as provided in section 1101(f)(3) of this title and, in par. (2), substituted "one−eighth of 1 percent" for "four−tenths of 1 per centum". Subsec. (c). Pub. L. 91−373, Sec. 304(b), added subsec. (c). 1960 − Pub. L. 86−778 substituted provisions for transfers between Federal unemployment account and employment security administration account for former provisions crediting the Federal unemployment account with funds and defining "adjusted balance". EFFECTIVE DATE OF 1997 AMENDMENT Section 5402(b) of Pub. L. 105−33 provided that: "This section [amending this section] and the amendment made by this section − "(1) shall take effect on October 1, 2001, and

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"(2) shall apply to fiscal years beginning on or after that date." EFFECTIVE DATE OF 1992 AMENDMENT Section 531(e) of Pub. L. 102−318 provided that: "(1) In general. − Except as provided in paragraph (2), the amendments made by this section [enacting section 1110 of this title and amending this section and sections 1101, 1104, and 1105 of this title] shall take effect on the date of the enactment of this Act [July 3, 1992]. "(2) Changes in ceiling amounts. − The amendments made by subsection[s] (a)(2) and (b) [amending this section and section 1105 of this title] shall apply to fiscal years beginning after September 30, 1993." −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1103, 1110, 1323 of this title. −End− −CITE− 42 USC Sec. 1103 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING −HEAD− Sec. 1103. Amounts transferred to State accounts

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−STATUTE− (a) Determination and certification by Secretary of Labor (1) If as of the close of any fiscal year after the fiscal year ending June 30, 1972, the amount in the extended unemployment compensation account has reached the limit provided in section 1105(b)(2) of this title and the amount in the Federal unemployment account has reached the limit provided in section 1102(a) of this title and all advances and interest pursuant to section 1105(d) of this title and section 1323 of this title have been repaid, and there remains in the employment security administration account any amount over the amount provided in section 1101(f)(3)(A) of this title, such excess amount, except as provided in subsection (b) of this section, shall be transferred (as of the beginning of the succeeding fiscal year) to the accounts of the States in the Unemployment Trust Fund. (2) Each State's share of the funds to be transferred under this subsection as of any October 1 − (A) shall be determined by the Secretary of Labor and certified by such Secretary to the Secretary of the Treasury before such date, and (B) shall bear the same ratio to the total amount to be so transferred as − (i) the amount of wages subject to tax under section 3301 of the Internal Revenue Code of 1986 during the preceding calendar year which are determined by the Secretary of Labor to be attributable to the State, bears to

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(ii) the total amount of wages subject to such tax during such year. (b) Transfer of funds where State is ineligible (1) If the Secretary of Labor finds that on October 1 of any fiscal year − (A) a State is not eligible for certification under section 503 of this title, or (B) the law of a State is not approvable under section 3304 of the Federal Unemployment Tax Act [26 U.S.C. 3304], then the amount available for transfer to such State's account shall, in lieu of being so transferred, be transferred to the Federal unemployment account as of the beginning of such October 1. If, during the fiscal year beginning on such October 1, the Secretary of Labor finds and certifies to the Secretary of the Treasury that such State is eligible for certification under section 503 of this title, that the law of such State is approvable under such section 3304, or both, the Secretary of the Treasury shall transfer such amount from the Federal unemployment account to the account of such State. If the Secretary of Labor does not so find and certify to the Secretary of the Treasury before the close of such fiscal year then the amount which was available for transfer to such State's account as of October 1 of such fiscal year shall (as of the close of such fiscal year) become unrestricted as to use as part of the Federal unemployment account. (2) The amount which, but for this paragraph, would be transferred to the account of a State under subsection (a) of this

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section or paragraph (1) of this subsection shall be reduced (but not below zero) by the balance of advances made to the State under section 1321 of this title. The sum by which such amount is reduced shall − (A) be transferred to or retained in (as the case may be) the Federal unemployment account, and (B) be credited against, and operate to reduce − (i) first, any balance of advances made before September 13, 1960, to the State under section 1321 of this title, and (ii) second, any balance of advances made on or after September 13, 1960, to the State under section 1321 of this title. (c) Use of funds (1) Except as provided in paragraph (2), amounts transferred to the account of a State pursuant to subsections (a) and (b) of this section shall be used only in the payment of cash benefits to individuals with respect to their unemployment, exclusive of expenses of administration. (2) A State may, pursuant to a specific appropriation made by the legislative body of the State, use money withdrawn from its account in the payment of expenses incurred by it for the administration of its unemployment compensation law and public employment offices if and only if − (A) the purposes and amounts were specified in the law making the appropriation, (B) the appropriation law did not authorize the obligation of

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such money after the close of the two−year period which began on the date of enactment of the appropriation law, (C) the money is withdrawn and the expenses are incurred after such date of enactment, (D)(i) the appropriation law limits the total amount which may be obligated under such appropriation at any time to an amount which does not exceed, at any such time, the amount by which − (I) the aggregate of the amounts transferred to the account of such State pursuant to subsections (a) and (b) of this section, exceeds (II) the aggregate of the amounts used by the State pursuant to this subsection and charged against the amounts transferred to the account of such State, and (ii) for purposes of clause (i), amounts used by a State for administration shall be chargeable against transferred amounts at the exact time the obligation is entered into, and (E) the use of the money is accounted for in accordance with standards established by the Secretary of Labor. (3)(A) If − (i) amounts transferred to the account of a State pursuant to subsections (a) and (b) of this section were used in payment of unemployment benefits to individuals; and (ii) the Governor of such State submits a request to the Secretary of Labor that such amounts be restored under this paragraph, then the amounts described in clause (i) shall be restored to the

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status of funds transferred under subsections (a) and (b) of this section which have not been used by eliminating any charge against amounts so transferred for the use of such amounts in the payment of unemployment benefits. (B) Subparagraph (A) shall apply only to the extent that the amounts described in clause (i) of such subparagraph do not exceed the amount then in the State's account. (C) Subparagraph (A) shall not apply if the State has a balance of advances made to its account under subchapter XII of this chapter. (D) If the Secretary of Labor determines that the requirements of this paragraph are met with respect to any request, the Secretary shall notify the Governor of the State that such requirements are met with respect to such request and the amount restored under this paragraph. Such restoration shall be as of the first day of the first month following the month in which the notification is made. (d) Special transfer in fiscal year 2002 (1) The Secretary of the Treasury shall transfer (as of the date determined under paragraph (5)) from the Federal unemployment account to the account of each State in the Unemployment Trust Fund the amount determined with respect to such State under paragraph (2). (2)(A) The amount to be transferred under this subsection to a State account shall (as determined by the Secretary of Labor and certified by such Secretary to the Secretary of the Treasury) be equal to −

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(i) the amount which would have been required to have been transferred under this section to such account at the beginning of fiscal year 2002 if − (I) section 209(a)(1) of the Temporary Extended Unemployment Compensation Act of 2002 had been enacted before the close of fiscal year 2001, and (II) section 5402 of Public Law 105−33 (relating to increase in Federal unemployment account ceiling) had not been enacted, minus (ii) the amount which was in fact transferred under this section to such account at the beginning of fiscal year 2002. (B) Notwithstanding the provisions of subparagraph (A) − (i) the aggregate amount transferred to the States under this subsection may not exceed a total of $8,000,000,000; and (ii) all amounts determined under subparagraph (A) shall be reduced ratably, if and to the extent necessary in order to comply with the limitation under clause (i). (3)(A) Except as provided in paragraph (4), amounts transferred to a State account pursuant to this subsection may be used only in the payment of cash benefits − (i) to individuals with respect to their unemployment, and (ii) which are allowable under subparagraph (B) or (C). (B)(i) At the option of the State, cash benefits under this paragraph may include amounts which shall be payable as − (I) regular compensation, or (II) additional compensation, upon the exhaustion of any

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temporary extended unemployment compensation (if such State has entered into an agreement under the Temporary Extended Unemployment Compensation Act of 2002), for individuals eligible for regular compensation under the unemployment compensation law of such State. (ii) Any additional compensation under clause (i) may not be taken into account for purposes of any determination relating to the amount of any extended compensation for which an individual might be eligible. (C)(i) At the option of the State, cash benefits under this paragraph may include amounts which shall be payable to 1 or more categories of individuals not otherwise eligible for regular compensation under the unemployment compensation law of such State, including those described in clause (iii). (ii) The benefits paid under this subparagraph to any individual may not, for any period of unemployment, exceed the maximum amount of regular compensation authorized under the unemployment compensation law of such State for that same period, plus any additional compensation (described in subparagraph (B)(i)) which could have been paid with respect to that amount. (iii) The categories of individuals described in this clause include the following: (I) Individuals who are seeking, or available for, only part−time (and not full−time) work. (II) Individuals who would be eligible for regular compensation under the unemployment compensation law of such State under an

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alternative base period. (D) Amounts transferred to a State account under this subsection may be used in the payment of cash benefits to individuals only for weeks of unemployment beginning after March 9, 2002. (4) Amounts transferred to a State account under this subsection may be used for the administration of its unemployment compensation law and public employment offices (including in connection with benefits described in paragraph (3) and any recipients thereof), subject to the same conditions as set forth in subsection (c)(2) of this section (excluding subparagraph (B) thereof, and deeming the reference to "subsections (a) and (b)" in subparagraph (D) thereof to include this subsection). (5) Transfers under this subsection shall be made within 10 days after March 9, 2002. −SOURCE− (Aug. 14, 1935, ch. 531, title IX, Sec. 903, as added Aug. 5, 1954, ch. 657, Sec. 2, 68 Stat. 670; amended Pub. L. 86−778, title V, Sec. 521, Sept. 13, 1960, 74 Stat. 974; Pub. L. 88−31, Sec. 3, May 29, 1963, 77 Stat. 51; Pub. L. 90−430, July 26, 1968, 82 Stat. 447; Pub. L. 91−373, title III, Sec. 305(b), Aug. 10, 1970, 84 Stat. 717; Pub. L. 92−224, Sec. 1, title II, Sec. 204(c), Dec. 29, 1971, 85 Stat. 810, 814; Pub. L. 92−329, Sec. 2(d), June 30, 1972, 86 Stat. 398; Pub. L. 93−368, Sec. 4(b), Aug. 7, 1974, 88 Stat. 420; Pub. L. 94−273, Secs. 2(20), 3(23), 23, 41, Apr. 21, 1976, 90 Stat. 375, 377, 379, 381; Pub. L. 97−248, title I, Sec. 192, Sept. 3, 1982, 96 Stat. 408; Pub. L. 100−203, title IX, Sec. 9155(c), Dec.

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22, 1987, 101 Stat. 1330−327; Pub. L. 101−508, title V, Sec. 5021(a), (b), Nov. 5, 1990, 104 Stat. 1388−223; Pub. L. 105−33, title V, Sec. 5403, Aug. 5, 1997, 111 Stat. 603; Pub. L. 107−147, title II, Sec. 209(a)(1), (b), Mar. 9, 2002, 116 Stat. 31.) −REFTEXT− REFERENCES IN TEXT The Internal Revenue Code of 1986, referred to in subsec. (a)(2)(B)(i), is classified generally to Title 26, Internal Revenue Code. The Temporary Extended Unemployment Compensation Act of 2002, referred to in subsec. (d)(2)(A)(i)(I), (3)(B)(i)(II), is title II of Pub. L. 107−147, Mar. 9, 2002, 116 Stat. 26, which is set out as a note under section 3304 of Title 26, Internal Revenue Code. Section 209(a)(1) of the Act amended this section. For complete classification of this Act to the Code, see Tables. Section 5402 of Public Law 105−33, referred to in subsec. (d)(2)(A)(i)(II), is section 5402 of Pub. L. 105−33, title V, Aug. 5, 1997, 111 Stat. 603, which amended section 1102 of this title and enacted provisions set out as a note under section 1102 of this title. −MISC1− PRIOR PROVISIONS A prior section 1103, act Aug. 14, 1935, ch. 531, title IX, Sec. 903, 49 Stat. 640, related to approval and certification of State laws. For further details, see Prior Law note set out preceding section 1101 of this title.

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AMENDMENTS 2002 − Subsec. (a)(3). Pub. L. 107−147, Sec. 209(a)(1)(A), struck out par. (3) which related to disposition of excess amounts remaining in the employment security administration account as of the close of fiscal year 1999, 2000, or 2001. Subsec. (c)(2). Pub. L. 107−147, Sec. 209(a)(1)(B), struck out concluding provisions which read as follows: "Any amount allocated to a State under this section for fiscal year 2000, 2001, or 2002 may be used by such State only to pay expenses incurred by it for the administration of its unemployment compensation law, and may be so used by it without regard to any of the conditions prescribed in any of the preceding provisions of this paragraph." Subsec. (d). Pub. L. 107−147, Sec. 209(b), added subsec. (d). 1997 − Subsec. (a)(3). Pub. L. 105−33, Sec. 5403(a), added par. (3). Subsec. (c)(2). Pub. L. 105−33, Sec. 5403(b), inserted concluding provisions. 1990 − Subsec. (a)(2). Pub. L. 101−508, Sec. 5021(a), amended par. (2) generally. Prior to amendment, par. (2) read as follows: "Each State's share of the funds to be transferred under this subsection as of any October 1 − "(A) shall be determined by the Secretary of Labor and certified by him to the Secretary of the Treasury before that date on the basis of reports furnished by the States to the Secretary of Labor before September 1, and "(B) shall bear the same ratio to the total amount to be so

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transferred as the amount of wages subject to contributions under such State's unemployment compensation law during the preceding calendar year which have been reported to the State before August 1 bears to the total of wages subject to contributions under all State unemployment compensation laws during such calendar year which have been reported to the States before August 1." Subsec. (c)(2). Pub. L. 101−508, Sec. 5021(b), added subpars. (D) and (E) and struck out former subpar. (D) and last sentence which required a State's appropriation law to limit the total amount which may be obligated during a twelve−month or transitional period from its account. 1987 − Subsec. (a)(1). Pub. L. 100−203 inserted "and interest" after "all advances". 1982 − Subsec. (c)(2). Pub. L. 97−248, Sec. 192(a), substituted "thirty−four" for "twenty−four" wherever appearing, and "thirty−fourth" for "twenty−fourth" in provisions following subpar. (D). Subsec. (c)(3). Pub. L. 97−248, Sec. 192(b), added par. (3). 1976 − Subsec. (a)(2). Pub. L. 94−273, Sec. 3(23) substituted "October" for "July". Subsec. (a)(2)(A). Pub. L. 94−273, Sec. 2(20), substituted "September" for "June". Subsec. (a)(2)(B). Pub. L. 94−273, Sec. 23, substituted "August" for "May" wherever appearing. Subsec. (b)(1). Pub. L. 94−273, Sec. 3(23), substituted "October" for "July".

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Subsec. (c)(2). Pub. L. 94−273, Sec. 41, in subpar. (D) and provisions following subpar. (D) substituted provisions relating to determination based on a twelve−month period (as prescribed in the law of the State), or during a transitional period of less than twelve months caused by a change in the twelve−month period (as prescribed in the law of the State), for provisions relating to determination based on a fiscal year period. 1974 − Subsec. (b)(3). Pub. L. 93−368 struck out par. (3) which related to reductions in the amount transferable to the account of any State by reason of emergency compensation paid to any individual for a week of unemployment ending after June 30, 1972. 1972 − Subsec. (b)(3). Pub. L. 92−329 inserted provisions relating to reductions in the amount transferable to the account of any State by reason of emergency compensation paid to any individual for a week of unemployment ending after June 30, 1972. 1971 − Subsec. (b)(3). Pub. L. 92−224, Sec. 204(c), added par. (3). Subsec. (c)(2). Pub. L. 92−224, Sec. 1, substituted "twenty−four preceding fiscal years" and "such twenty−five fiscal years" for "fourteen preceding fiscal years" and "such fifteen fiscal years" in subpar. (D) of first sentence and "twenty−fourth preceding fiscal year" for "fourteenth preceding fiscal year" in second sentence. 1970 − Subsec. (a)(1). Pub. L. 91−373 inserted references to the limits provided in sections 1102(a) and 1105(b)(2) of this title, advances pursuant to section 1105(d) of this title, and the amount

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provided in section 1101(f)(3)(A) of this title. 1968 − Subsec. (c). Pub. L. 90−430 substituted in par. (2)(D)(i) "fourteen" for "nine", in par. (2)(D)(ii) "fifteen" for "ten", and in provisions following par. (2)(D) "fourteenth" for "ninth". 1963 − Subsec. (c)(2). Pub. L. 88−31 substituted "nine preceding fiscal years" for "four preceding fiscal years", "ten fiscal years" for "five fiscal years" in cl. (D), and "ninth preceding fiscal year" for "fourth preceding fiscal year" in last sentence. 1960 − Subsec. (a). Pub. L. 86−778 substituted provisions of par. (1) for first sentence of the section which read "So much of any amount transferred to the Unemployment Trust Fund at the close of any fiscal year under section 1101(a) of this title as is not credited to the Federal unemployment account under section 1102 of this title shall be credited (as of the beginning of the succeeding fiscal year) to the accounts of the States in the Unemployment Trust Fund" and designated existing provisions of second sentence as part (2), substituting "transferred" for "credited", and striking out "on or" before "before" in subpar. (A). Subsec. (b). Pub. L. 86−778 redesignated existing provisions as par. (1) and cls. (1) and (2) thereof as subpars. (A) and (B), substituted "section 3304 of title 26" for "section 1603 of title 26", in two places, and "transfer to such States' account", "transferred", and "transfer" for "crediting to such States' account", "credited" and "credit", respectively, except where already reading "shall transfer", and added par. (2). Subsec. (c). Pub. L. 86−778 substituted "transferred" for

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"credited", wherever appearing, "obligation" for "expenditure" in par. (2)(B), "obligated" for "so used" in par. (2)(D), and "obligated for administration" for "used" in concluding par., inserted references to subsection (b) in pars. (1) and (2)(D), and struck out "any of" before "such five fiscal years" in par. (2)(D). EFFECTIVE DATE OF 1990 AMENDMENT Section 5021(c) of Pub. L. 101−508 provided that: "The amendments made by this section [amending this section] shall apply to fiscal years beginning after the date of the enactment of this Act [Nov. 5, 1990]." EFFECTIVE DATE OF 1987 AMENDMENT Section 9155(d) of Pub. L. 100−203 provided that: "The amendments made by this section [amending this section and sections 1105 and 1323 of this title] shall apply to advances made on or after the date of the enactment of this Act [Dec. 22, 1987]." −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 503, 1321 of this title; title 26 sections 3304, 3306; title 29 section 2943; title 45 section 363. −End− −CITE− 42 USC Sec. 1104 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY

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SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING −HEAD− Sec. 1104. Unemployment Trust Fund −STATUTE− (a) Establishment There is hereby established in the Treasury of the United States a trust fund to be known as the "Unemployment Trust Fund", hereinafter in this subchapter called the "Fund". The Secretary of the Treasury is authorized and directed to receive and hold in the Fund all moneys deposited therein by a State agency from a State unemployment fund, or by the Railroad Retirement Board to the credit of the railroad unemployment insurance account or the railroad unemployment insurance administration fund, or otherwise deposited in or credited to the Fund or any account therein. Such deposit may be made directly with the Secretary of the Treasury, with any depositary designated by him for such purpose, or with any Federal Reserve Bank. (b) Investments It shall be the duty of the Secretary of the Treasury to invest such portion of the Fund as is not, in his judgment, required to meet current withdrawals. Such investment may be made only in interest−bearing obligations of the United States or in obligations guaranteed as to both principal and interest by the United States. For such purpose such obligations may be acquired (1) on original issue at the issue price, or (2) by purchase of outstanding obligations at the market price. The purposes for which obligations

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of the United States may be issued under chapter 31 of title 31 are hereby extended to authorize the issuance at par of special obligations exclusively to the Fund. Such special obligations shall bear interest at a rate equal to the average rate of interest, computed as of the end of the calendar month next preceding the date of such issue, borne by all interest−bearing obligations of the United States then forming part of the public debt; except that where such average rate is not a multiple of one−eighth of 1 per centum, the rate of interest of such special obligations shall be the multiple of one−eighth of 1 per centum next lower than such average rate. Obligations other than such special obligations may be acquired for the Fund only on such terms as to provide an investment yield not less than the yield which would be required in the case of special obligations if issued to the Fund upon the date of such acquisition. Advances made to the Federal unemployment account pursuant to section 1323 of this title shall not be invested. (c) Sale or redemption of obligations Any obligations acquired by the Fund (except special obligations issued exclusively to the Fund) may be sold at the market price, and such special obligations may be redeemed at par plus accrued interest. (d) Treatment of interest and proceeds The interest on, and the proceeds from the sale or redemption of, any obligations held in the Fund shall be credited to and form a part of the Fund.

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(e) Separate book accounts The Fund shall be invested as a single fund, but the Secretary of the Treasury shall maintain a separate book account for each State agency, the employment security administration account, the Federal unemployment account, the railroad unemployment insurance account, and the railroad unemployment insurance administration fund and shall credit quarterly (on March 31, June 30, September 30, and December 31, of each year) to each account, on the basis of the average daily balance of such account, a proportionate part of the earnings of the Fund for the quarter ending on such date. For the purpose of this subsection, the average daily balance shall be computed − (1) in the case of any State account, by reducing (but not below zero) the amount in the account by the balance of advances made to the State under section 1321 of this title, and (2) in the case of the Federal unemployment account − (A) by adding to the amount in the account the aggregate of the reductions under paragraph (1), and (B) by subtracting from the sum so obtained the balance of advances made under section 1323 of this title to the account. (f) Payment to State agencies and Railroad Retirement Board The Secretary of the Treasury is authorized and directed to pay out of the Fund to any State agency such amount as it may duly requisition, not exceeding the amount standing to the account of such State agency at the time of such payment. The Secretary of the Treasury is authorized and directed to make such payments out of

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the railroad unemployment insurance account for the payment of benefits, and out of the railroad unemployment insurance administration fund for the payment of administrative expenses, as the Railroad Retirement Board may duly certify, not exceeding the amount standing to the credit of such account or such fund, as the case may be, at the time of such payment. (g) Federal unemployment account; establishment There is hereby established in the Unemployment Trust Fund a Federal unemployment account. −SOURCE− (Aug. 14, 1935, ch. 531, title IX, Sec. 904, 49 Stat. 640; June 25, 1938, ch. 680, Sec. 10(e)−(g), 52 Stat. 1104, 1105; Oct. 3, 1944, ch. 480, title IV, Sec. 401, 58 Stat. 789; Aug. 6, 1947, ch. 510, Sec. 5(a), 61 Stat. 794; Aug. 28, 1950, ch. 809, title IV, Sec. 404(b), 64 Stat. 560; Aug. 5, 1954, ch. 657, Sec. 5(b)−(f), 68 Stat. 673; Pub. L. 85−927, pt. II, Sec. 204, Sept. 6, 1958, 72 Stat. 1782; Pub. L. 86−346, title I, Sec. 104(3), Sept. 22, 1959, 73 Stat. 622; Pub. L. 86−778, title V, Sec. 521, Sept. 13, 1960, 74 Stat. 976; Pub. L. 98−369, div. B, title VI, Sec. 2663(d)(3), July 18, 1984, 98 Stat. 1167; Pub. L. 102−318, title V, Sec. 531(d)(3), July 3, 1992, 106 Stat. 317.) −MISC1− AMENDMENTS 1992 − Subsec. (g). Pub. L. 102−318 struck out after the first sentence the following: "There is hereby authorized to be appropriated to such Federal unemployment account a sum equal to

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(1) the excess of taxes collected prior to July 1, 1946, under title IX of this Act or under the Federal Unemployment Tax Act, over the total unemployment administrative expenditures made prior to July 1, 1946, plus (2) the excess of taxes collected under the Federal Unemployment Tax Act after June 30, 1946, and prior to July 1, 1953, over the unemployment administrative expenditures made after June 30, 1946, and prior to July 1, 1953. As used in this subsection, the term 'unemployment administrative expenditures' means expenditures for grants under subchapter III of this chapter, expenditures for the administration of that subchapter by the Secretary of Health and Human Services, or the Secretary of Labor, and expenditures for the administration of title IX of this Act, or of the Federal Unemployment Tax Act, by the Department of the Treasury, the Secretary of Health and Human Services, or the Secretary of Labor. For the purposes of this subsection, there shall be deducted from the total amount of taxes collected prior to July 1, 1943, under title IX of this Act, the sum of $40,561,886.43 which was authorized to be appropriated by the Act of August 24, 1937 (50 Stat. 754), and the sum of $18,451,846 which was authorized to be appropriated by section 361(b) of title 45." 1984 − Subsec. (b). Pub. L. 98−369 substituted "chapter 31 of title 31" for "the Second Liberty Bond Act, as amended". 1960 − Subsec. (a). Pub. L. 86−778 substituted "with any depositary designated by him for such purpose, or with any Federal Reserve Bank" for "or with any Federal Reserve bank or member bank of the Federal Reserve System designated by him for such purpose".

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Subsec. (b). Pub. L. 86−778 substituted "Second Liberty Bond Act, as amended" and "section 1323" for "section 752 of title 31" and "section 1322(c)", respectively, and inserted "made" after "Advances". Subsec. (e). Pub. L. 86−778 provided for the maintenance of a separate book account for the employment security administration account and substituted "balance of advances made to the State under section 1321 of this title" for "aggregate of the outstanding advances under section 1321 of this title from the Federal unemployment account" in par. (1) and "balance of advances made under section 1323 of this title to the account" for "aggregate of the outstanding advances from the Treasury to the account pursuant to section 1322(c) of this title". Subsec. (g). Pub. L. 86−778 redesignated former subsec. (h) as (g). 1959 − Subsec. (b). Pub. L. 86−346 substituted "on original issue at the issue price" for "on original issue at par". 1958 − Subsec. (a). Pub. L. 85−927, Sec. 204(a), inserted "or the railroad unemployment insurance administration fund". Subsec. (e). Pub. L. 85−927, Sec. 204(b), substituted "the railroad unemployment insurance account, and the railroad unemployment insurance administration fund" for "and the railroad unemployment insurance account". Subsec. (f). Pub. L. 85−927, Sec. 204(c), substituted "railroad unemployment insurance account for the payment of benefits, and out of the railroad unemployment insurance administration fund for the

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payment of administrative expenses, as the Railroad Retirement Board may duly certify, not exceeding the amount standing to the credit of such account or such fund, as the case may be, at the time of such payment" for "fund as the Railroad Retirement Board may duly certify, not exceeding the amount standing to the railroad unemployment insurance account at the time of such payment". 1954 − Subsec. (a). Act Aug. 5, 1954, Sec. 5(b), substituted "or otherwise deposited in or credited to the Fund or any account therein" for "or deposited pursuant to appropriations to the Federal unemployment account". Subsec. (b). Act Aug. 5, 1954, Sec. 5(c), inserted provision that advances to the Federal unemployment account pursuant to section 1323 of this title shall not be invested. Subsec. (e). Act Aug. 5, 1954, Sec. 5(d), inserted "For the purposes of this subsection, the average daily balance shall be computed − "(1) in the case of any State account, by reducing (but not below zero) the amount in the account by the aggregate of the outstanding advances under section 1201 from the Federal unemployment account, and "(2) in the case of the Federal unemployment account, (A) by adding to the amount in the account the aggregate of the reductions under paragraph (1), and (B) by subtracting from the sum so obtained the aggregate of the outstanding advances from the Treasury to the account pursuant to section 1202(c)." Subsec. (g). Act Aug. 5, 1954, Sec. 5(e), repealed subsec. (g)

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which authorized Secretary of Treasury to make transfers from Federal unemployment account to account of any State in Unemployment Trust Fund. Subsec. (h). Act Aug. 5, 1954, Sec. 5(f), substituted a new cl. (2) in second sentence and repealed the third sentence: "Any amounts in the Federal unemployment account on April 1952, and any amounts repaid to such account after such date, shall be covered into the general fund of the Treasury." 1950 − Subsec. (h). Act Aug. 28, 1950, substituted "prior to July 1, 1951" for "prior to July 1, 1949", "on July 1, 1951, and ending on December 31, 1951" for "on July 1, 1949, and ending on December 31, 1949" in cl. (2) of second sentence, and "April 1, 1952" for "April 1, 1950" in third sentence. 1947 − Subsec. (h). Act Aug. 6, 1947, amended subsec. (h) generally, and, among other changes, changed the periods for which excess of tax collections over administrative expenditures could be appropriated to the unemployment account, limited authorized appropriations for the unemployment account to the excess collections for the period ending Dec. 31, 1949, provided for amounts in such account on Apr. 1, 1950, and any repayments to the account after such date be covered into the general fund of the Treasury, and provided for an additional deduction of $18,451,846 from the total amount of taxes collected prior to July 1, 1943. 1944 − Subsec. (a). Act Oct. 3, 1944, Sec. 401(a), inserted ", or deposited pursuant to appropriations to the Federal unemployment account" after "unemployment insurance account" in second sentence.

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Subsec. (e). Act Oct. 3, 1944, Sec. 401(b), inserted ", the Federal unemployment account" after "a separate book account for each State agency". Subsecs. (g), (h). Act Oct. 3, 1944, Sec. 401(c), added subsecs. (g) and (h). 1938 − Subsec. (a). Act June 25, 1938, Sec. 10(e), inserted "or by the Railroad Retirement Board to the credit of the railroad unemployment insurance account". Subsec. (e). Act June 25, 1938, Sec. 10(f), inserted "and the railroad unemployment insurance account". Subsec. (f). Act June 25, 1938, Sec. 10(g), inserted second sentence. 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 1958 AMENDMENT Amendment by Pub. L. 85−927 effective Sept. 6, 1958, except as otherwise indicated, see section 207(c) of Pub. L. 85−927, set out as a note under section 351 of Title 45, Railroads. EFFECTIVE DATE OF 1950 AMENDMENT Section 404(c) of act Aug. 28, 1950, provided that: "The amendments made by subsections (a) and (b) of this section [amending this section and section 1321 of this title] shall be

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effective January 1, 1950." TERMINATION DATE Section 4 of act Aug. 6, 1947, provided: "Section 603 of the War Mobilization and Reconversion Act of 1944 [formerly set out as a note under section 1651 of Appendix to Title 50, War and National Defense] (terminating the provisions of such Act [sections 1651 to 1678 of Appendix to title 50] on June 30, 1947) shall not be applicable in the case of the amendments made by title IV of such Act [amending sections 1666 and 1667 of Appendix to Title 50] to the Social Security Act [this section and section 1321 of this title]." PAYMENTS TO STATES Act Aug. 24, 1937, ch. 755, 50 Stat. 754, provided for payments to States of 90 per cent of proceeds of the unemployment tax collected prior to Jan. 31, 1938, where State had enacted an approved unemployment−compensation law during 1937. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 503, 1105, 1109, 1322 of this title; title 2 section 906; title 5 section 8509; title 26 sections 3304, 3306; title 45 sections 360, 361, 363a, 366a. −End− −CITE− 42 USC Sec. 1105 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE

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CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING −HEAD− Sec. 1105. Extended Unemployment Compensation Account −STATUTE− (a) Establishment There is hereby established in the Unemployment Trust Fund an extended unemployment compensation account. For the purposes provided for in section 1104(e) of this title, such account shall be maintained as a separate book account. (b) Transfers to account (1) Except as provided in paragraph (3), the Secretary of the Treasury shall transfer (as of the close of each month) from the employment security administration account to the extended unemployment compensation account established by subsection (a) of this section, an amount (determined by such Secretary) equal to 20 percent of the amount by which − (A) the transfers to the employment security administration account pursuant to section 1101(b)(2) of this title during such month, exceed (B) the payments during such month from the employment security administration account pursuant to section 1101(b)(3) and (d) of this title. If for any such month the payments referred to in subparagraph (B) exceed the transfers referred to in subparagraph (A), proper adjustments shall be made in the amounts subsequently transferred.

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(2) Whenever the Secretary of the Treasury determines pursuant to section 1101(f) of this title that there is an excess in the employment security administration account as of the close of any fiscal year beginning after June 30, 1972, there shall be transferred (as of the beginning of the succeeding fiscal year) to the extended unemployment compensation account the total amount of such excess or so much thereof as is required to increase the amount in the extended unemployment compensation account to whichever of the following is the greater: (A) $750,000,000, or (B) the amount (determined by the Secretary of Labor and certified by him to the Secretary of the Treasury) equal to 0.5 percent of the total wages subject (determined without any limitation on amount) to contributions under all State unemployment compensation laws for the calendar year ending during the fiscal year for which the excess is determined. (3) The Secretary of the Treasury shall make no transfer pursuant to paragraph (1) as of the close of any month if he determines that the amount in the extended unemployment compensation account is equal to (or in excess of) the limitation provided in paragraph (2). (c) Transfers to State accounts Amounts in the extended unemployment compensation account shall be available for transfer to the accounts of the States in the Unemployment Trust Fund as provided in section 204(e) of the Federal−State Extended Unemployment Compensation Act of 1970.

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(d) Advances to account; repayment There are hereby authorized to be appropriated, without fiscal year limitation, to the extended unemployment compensation account, as repayable advances, such sums as may be necessary to carry out the purposes of the Federal−State Extended Unemployment Compensation Act of 1970. Amounts appropriated as repayable advances shall be repaid by transfers from the extended unemployment compensation account to the general fund of the Treasury, at such times as the amount in the extended unemployment compensation account is determined by the Secretary of the Treasury, in consultation with the Secretary of Labor, to be adequate for such purpose. Repayments under the preceding sentence shall be made whenever the Secretary of the Treasury (after consultation with the Secretary of Labor) determines that the amount then in the account exceeds the amount necessary to meet the anticipated payments from the account during the next 3 months. Any amount transferred as a repayment under this subsection shall be credited against, and shall operate to reduce, any balance of advances repayable under this subsection. Amounts appropriated as repayable advances for purposes of this subsection shall bear interest at a rate equal to the average rate of interest, computed as of the end of the calendar month next preceding the date of such advance, borne by all interest bearing obligations of the United States then forming part of the public debt; except that in cases in which such average rate is not a multiple of one−eighth of 1 percent, the rate of interest shall be the multiple of one−eighth

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of 1 percent next lower than such average rate. −SOURCE− (Aug. 14, 1935, ch. 531, title IX, Sec. 905, as added Pub. L. 87−6, Sec. 13, Mar. 24, 1961, 75 Stat. 14; amended Pub. L. 88−31, Sec. 2(c), May 29, 1963, 77 Stat. 51; Pub. L. 91−373, title III, Sec. 305(a), Aug. 10, 1970, 84 Stat. 716; Pub. L. 92−329, Sec. 2(c), June 30, 1972, 86 Stat. 398; Pub. L. 94−566, title II, Sec. 211(e)(2) [(c)(2)], Oct. 20, 1976, 90 Stat. 2677; Pub. L. 97−248, title II, Secs. 271(b)(2)(B), 275, Sept. 3, 1982, 96 Stat. 555, 558; Pub. L. 100−203, title IX, Secs. 9154(b)(2), (c)(1), 9155(a), Dec. 22, 1987, 101 Stat. 1330−326; Pub. L. 102−318, title V, Sec. 531(a), July 3, 1992, 106 Stat. 315; Pub. L. 103−152, Sec. 5, Nov. 24, 1993, 107 Stat. 1518.) −REFTEXT− REFERENCES IN TEXT The Federal−State Extended Unemployment Compensation Act of 1970, referred to in subsecs. (c) and (d), is Pub. L. 91−373, title II, Aug. 10, 1970, 84 Stat. 708, as amended, which is set out as a note under section 3304 of Title 26, Internal Revenue Code. Section 204(e) of that Act is part of that note. For complete classification of this Act to the Code, see Tables. −MISC1− PRIOR PROVISIONS A prior section 1105, act Aug. 14, 1935, ch. 531, title IX, Sec. 905, 49 Stat. 641, related to administration, refunds and penalties. For further details, see Prior Law note set out

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preceding section 1101 of this title. AMENDMENTS 1993 − Subsec. (b)(1). Pub. L. 103−152 amended par. (1) generally. Prior to amendment, par. (1) read as follows: "Except as provided in paragraph (3), the Secretary of the Treasury shall transfer (as of the close of each month), from the employment security administration account to the extended unemployment compensation account established by subsection (a) of this section, an amount determined by him to be equal to the sum of − "(A) 100 percent of the transfers to the employment security administration account pursuant to section 1101(b)(2) of this title during such month on account of liabilities referred to in section 1101(b)(1)(B) of this title, plus "(B) 20 percent of the excess of the transfers to such account pursuant to section 1101(b)(2) of this title during such month on account of amounts referred to in section 1101(b)(1)(A) of this title over the payments during such month from the employment security administration account pursuant to section 1101(b)(3) and (d) of this title. If for any such month the payments referred to in subparagraph (B) exceed the transfers referred to in subparagraph (B), proper adjustments shall be made in the amounts subsequently transferred." 1992 − Subsec. (b)(1). Pub. L. 102−318, Sec. 531(a)(1), amended par. (1) generally. Prior to amendment, par. (1) read as follows: "Except as provided by paragraph (3), the Secretary of the Treasury shall transfer (as of the close of July 1970, and each month

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thereafter), from the employment security administration account to the extended unemployment compensation account established by subsection (a) of this section, an amount determined by him to be equal, in the case of any month before April 1972, to one−fifth, and in the case of any month after March 1972, to one−tenth, of the amount by which − "(A) transfers to the employment security administration account pursuant to section 1101(b)(2) of this title during such month, exceed "(B) payments during such month from the employment security administration account pursuant to section 1101(b)(3) and (d) of this title. If for any such month the payments referred to in subparagraph (B) exceed the transfers referred to in subparagraph (A), proper adjustments shall be made in the amounts subsequently transferred." Subsec. (b)(2)(B). Pub. L. 102−318, Sec. 531(a)(2), substituted "0.5 percent" for "three−eighths of 1 percent". 1987 − Subsec. (b)(1). Pub. L. 100−203, Sec. 9154(c)(1), struck out at end "In the case of any month after March 1983 and before April 1 of the first calendar year to which paragraph (2) of section 3301 of the Federal Unemployment Tax Act applies, the first sentence of this paragraph shall be applied by substituting '40 percent' for 'one−tenth'." Subsec. (b)(2)(B). Pub. L. 100−203, Sec. 9154(b)(2), substituted "three−eighths" for "one−eighth". Subsec. (d). Pub. L. 100−203, Sec. 9155(a), struck out "(without

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interest)" after "account, as repayable advances" and ", without interest," after "shall be repaid" and inserted sentence at end providing that amounts appropriated as repayable advances for purposes of this subsection shall bear interest. 1982 − Subsec. (b)(1). Pub. L. 97−248, Sec. 271(b)(2)(B), substituted "1983" for "1977", inserted "1" after "April", and substituted "40 percent" for "five−fourteenths" in provisions following subpar. (B). Subsec. (d). Pub. L. 97−248, Sec. 275, inserted provision that repayment shall be made whenever the Secretary of the Treasury determines that the amount then in the account exceeds the amount necessary to meet the anticipated payments from the account during the next 3 months. 1976 − Subsec. (b)(1). Pub. L. 94−566 substituted "In the case of any month after March 1977 and before April of the first calendar year to which paragraph (2) of section 3301 of the Federal Unemployment Tax Act applies, the first sentence of this paragraph shall be applied by substituting 'five−fourteenths' for 'one−tenth' " for "In the case of any month after March 1973 and before April 1974, the first sentence of this paragraph shall be applied by substituting 'thirteen fifty−eighths' for 'one−tenth' ". 1972 − Subsec. (b)(1). Pub. L. 92−329 inserted provisions for transfers in the case of any month after March 1973 and before April 1974. 1970 − Pub. L. 91−373 substituted provisions for an extended unemployment compensation account for provisions for a Federal

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extended compensation account. 1963 − Subsec. (b). Pub. L. 88−31 inserted "(with respect to the calendar year 1963), or 5/13 (with respect to the calendar year 1964),". EFFECTIVE DATE OF 1992 AMENDMENT Amendment by section 531(a) of Pub. L. 102−318 effective July 3, 1992, except that amendment by section 531(a)(2) of Pub. L. 102−318 applicable to fiscal years beginning after Sept. 30, 1993, see section 531(e) of Pub. L. 102−318, set out as a note under section 1102 of this title. EFFECTIVE DATE OF 1987 AMENDMENT Amendment by section 9155(a) of Pub. L. 100−203 applicable to advances made on or after Dec. 22, 1987, see section 9155(d) of Pub. L. 100−203, set out as a note under section 1103 of this title. EFFECTIVE DATE OF 1982 AMENDMENT Amendment by section 271(b)(2)(B) of Pub. L. 97−248 applicable to remuneration paid after Dec. 31, 1982, see section 271(d)(1) of Pub. L. 97−248, as amended, set out as a note under section 3301 of Title 26, Internal Revenue Code. EFFECTIVE DATE OF 1976 AMENDMENT Amendment by Pub. L. 94−566 effective Oct. 20, 1976, see section 211(d)(3) of Pub. L. 94−566, set out as a note under section 1101 of this title. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS

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This section is referred to in sections 1101, 1102, 1103, 1110 of this title. −End− −CITE− 42 USC Sec. 1106 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING −HEAD− Sec. 1106. Unemployment compensation research program −STATUTE− (a) The Secretary of Labor shall − (1) establish a continuing and comprehensive program of research to evaluate the unemployment compensation system. Such research shall include, but not be limited to, a program of factual studies covering the role of unemployment compensation under varying patterns of unemployment including those in seasonal industries, the relationship between the unemployment compensation and other social insurance programs, the effect of State eligibility and disqualification provisions, the personal characteristics, family situations, employment background and experience of claimants, with the results of such studies to be made public; and (2) establish a program of research to develop information (which shall be made public) as to the effect and impact of

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extending coverage to excluded groups with first attention to agricultural labor. (b) To assist in the establishment and provide for the continuation of the comprehensive research program relating to the unemployment compensation system, there are hereby authorized to be appropriated for the fiscal year ending June 30, 1971, and for each fiscal year thereafter, such sums, not to exceed $8,000,000, as may be necessary to carry out the purposes of this section. From the sums authorized to be appropriated by this subsection the Secretary may provide for the conduct of such research through grants or contracts. −SOURCE− (Aug. 14, 1935, ch. 531, title IX, Sec. 906, as added Pub. L. 91−373, title I, Sec. 141, Aug. 10, 1970, 84 Stat. 705.) −MISC1− PRIOR PROVISIONS A prior section 1106, act Aug. 14, 1935, ch. 531, title IX, Sec. 906, 49 Stat. 642, related to excusing payment of tax by engaging in interstate commerce. For further details, see Prior Law note set out preceding section 1101 of this title. −End− −CITE− 42 USC Sec. 1107 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY

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SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING −HEAD− Sec. 1107. Personnel training −STATUTE− (a) Creation of program In order to assist in increasing the effectiveness and efficiency of administration of the unemployment compensation program by increasing the number of adequately trained personnel, the Secretary of Labor shall − (1) provide directly, through State agencies, or through contracts with institutions of higher education or other qualified agencies, organizations, or institutions, programs and courses designed to train individuals to prepare them, or improve their qualifications, for service in the administration of the unemployment compensation program, including claims determinations and adjudication, with such stipends and allowances as may be permitted under regulations of the Secretary; (2) develop training materials for and provide technical assistance to the State agencies in the operation of their training programs; (3) under such regulations as he may prescribe, award fellowships and traineeships to persons in the Federal−State employment security agencies, in order to prepare them or improve their qualifications for service in the administration of the unemployment compensation program.

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(b) Repayment of costs The Secretary may, to the extent that he finds such action to be necessary, prescribe requirements to assure that any person receiving a fellowship, traineeship, stipend or allowance shall repay the costs thereof to the extent that such person fails to serve in the Federal−State employment security program for the period prescribed by the Secretary. The Secretary may relieve any individual of his obligation to so repay, in whole or in part, whenever and to the extent that such repayment would, in his judgment, be inequitable or would be contrary to the purposes of any of the programs established by this section. (c) Detail of Federal and State employees The Secretary, with the concurrence of the State, may detail Federal employees to State unemployment compensation administration and the Secretary may concur in the detailing of State employees to the United States Department of Labor for temporary periods for training or for purposes of unemployment compensation administration, and the provisions of section 869b (!1) of title 20 or any more general program of interchange enacted by a law amending, supplementing, or replacing section 869b (!1) of title 20 shall apply to any such assignment. (d) Authorization of appropriations There are hereby authorized to be appropriated for the fiscal year ending June 30, 1971, and for each fiscal year thereafter such sums, not to exceed $5,000,000, as may be necessary to carry out the purposes of this section.

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−SOURCE− (Aug. 14, 1935, ch. 531, title IX, Sec. 907, as added Pub. L. 91−373, title I, Sec. 141, Aug. 10, 1970, 84 Stat. 705.) −REFTEXT− REFERENCES IN TEXT Section 869b of title 20, referred to in subsec. (c), was repealed by Pub. L. 91−648, title IV, Sec. 403, Jan. 5, 1971, 84 Stat. 1925. Provisions relating to assignment of personnel to and from State and local governments are covered by section 3371 et seq. of Title 5, Government Organization and Employees. −MISC1− PRIOR PROVISIONS A prior section 1107, acts Aug. 14, 1935, ch. 531, title IX, Sec. 907, 49 Stat. 642; June 25, 1938, ch. 680, Sec. 13(a), 52 Stat. 1110, related to definitions. For further details, see Prior Law note set out preceding section 1101 of this title. −FOOTNOTE− (!1) See References in Text note below. −End− −CITE− 42 USC Sec. 1108 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING −HEAD−

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Sec. 1108. Advisory Council on Unemployment Compensation −STATUTE− (a) Establishment Not later than February 1, 1992, and every 4th year thereafter, the Secretary of Labor shall establish an advisory council to be known as the Advisory Council on Unemployment Compensation (referred to in this section as the "Council"). (b) Function It shall be the function of each Council to evaluate the unemployment compensation program, including the purpose, goals, countercyclical effectiveness, coverage, benefit adequacy, trust fund solvency, funding of State administrative costs, administrative efficiency, and any other aspects of the program and to make recommendations for improvement. (c) Members (1) In general Each Council shall consist of 11 members as follows: (A) 5 members appointed by the President, to include representatives of business, labor, State government, and the public. (B) 3 members appointed by the President pro tempore of the Senate, in consultation with the Chairman and ranking member of the Committee on Finance of the Senate. (C) 3 members appointed by the Speaker of the House of Representatives, in consultation with the Chairman and ranking member of the Committee on Ways and Means of the House of

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Representatives. (2) Qualifications In appointing members under subparagraphs (B) and (C) of paragraph (1), the President pro tempore of the Senate and the Speaker of the House of Representatives shall each appoint − (A) 1 representative of the interests of business, (B) 1 representative of the interests of labor, and (C) 1 representative of the interests of State governments. (3) Vacancies A vacancy in any Council shall be filled in the manner in which the original appointment was made. (4) Chairman The President shall appoint the Chairman of the Council from among its members. (d) Staff and other assistance (1) In general Each Council may engage any technical assistance (including actuarial services) required by the Council to carry out its functions under this section. (2) Assistance from Secretary of Labor The Secretary of Labor shall provide each Council with any staff, office facilities, and other assistance, and any data prepared by the Department of Labor, required by the Council to carry out its functions under this section. (e) Compensation Each member of any Council −

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(1) shall be entitled to receive compensation at the rate of pay for level V of the Executive Schedule under section 5316 of title 5 for each day (including travel time) during which such member is engaged in the actual performance of duties vested in the Council, and (2) while engaged in the performance of such duties away from such member's home or regular place of business, shall be allowed travel expenses (including per diem in lieu of subsistence) as authorized by section 5703 of title 5 for persons in the Government employed intermittently. (f) Report (1) In general Not later than February 1 of the third year following the year in which any Council is required to be established under subsection (a) of this section, the Council shall submit to the President and the Congress a report setting forth the findings and recommendations of the Council as a result of its evaluation of the unemployment compensation program under this section. (2) Report of first Council The Council shall include in its report required to be submitted by February 1, 1995, the Council's findings and recommendations with respect to determining eligibility for extended unemployment benefits on the basis of unemployment statistics for regions, States, or subdivisions of States. −SOURCE− (Aug. 14, 1935, ch. 531, title IX, Sec. 908, as added Pub. L.

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91−373, title I, Sec. 141, Aug. 10, 1970, 84 Stat. 706; amended Pub. L. 98−369, div. B, title VI, Sec. 2663(d)(4), July 18, 1984, 98 Stat. 1167; Pub. L. 102−164, title III, Sec. 303, Nov. 15, 1991, 105 Stat. 1059; Pub. L. 103−152, Sec. 6, Nov. 24, 1993, 107 Stat. 1518.) −COD− CODIFICATION Section 9 of Pub. L. 102−107, Aug. 17, 1991, 105 Stat. 547, which contained provisions substantially identical to those of section 303 of Pub. L. 102−164, amending this section, did not become effective pursuant to section 10(b) of Pub. L. 102−107, because the President did not take the action required by that section by Aug. 17, 1991. −MISC1− PRIOR PROVISIONS A prior section 1108, act Aug. 14, 1935, ch. 531, title IX, Sec. 908, 49 Stat. 643, related to rules and regulations. For further details, see Prior Law note set out preceding section 1101 of this title. A prior section 1109, act Aug. 14, 1935, ch. 531, title IX, Sec. 909, 49 Stat. 643, related to an additional credit against tax. For further details, see Prior Law note set out preceding section 1101 of this title. A prior section 1110, act Aug. 14, 1935, ch. 531, title IX, Sec. 910, 49 Stat. 644, related to conditions of additional credit allowance. For further details, see Prior Law note set out

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preceding section 1101 of this title. AMENDMENTS 1993 − Subsec. (f). Pub. L. 103−152 substituted "third year" for "2d year" in par. (1) and "1995" for "1994" in par. (2). 1991 − Pub. L. 102−164 amended section generally, substituting present provisions for provisions which in subsec. (a) established the Federal Advisory Council and its membership, in subsec. (b) prescribed the appointment of its members, in subsec. (c) required that secretarial, clerical, and other assistance be made available to the Council, in subsec. (d) provided for compensation of members, in subsec. (e) encouraged the organization of State advisory councils, and in subsec. (f) authorized certain appropriations for the work of the Council. 1984 − Subsec. (d). Pub. L. 98−369 substituted "5703" for "5703(b)". 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. TERMINATION OF ADVISORY COUNCILS Advisory councils established after Jan. 5, 1973, to terminate not later than the expiration of the 2−year period beginning on the date of their establishment, unless, in the case of a council established by the President or an officer of the Federal

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Government, such council is renewed by appropriate action prior to the expiration of such 2−year period, or in the case of a council established by the Congress, its duration is otherwise provided by law. See sections 3(2) and 14 of Pub. L. 92−463, Oct. 6, 1972, 86 Stat. 770, 776, set out in the Appendix to Title 5, Government Organization and Employees. REPORT ON AGRICULTURAL LABOR PERFORMED BY ALIENS Pub. L. 102−318, title III, Sec. 303(b), July 3, 1992, 106 Stat. 297, directed Advisory Council on Unemployment Compensation to submit a report to Congress, not later than Feb. 1, 1994, on its recommendations with respect to the treatment of agricultural labor performed by aliens. −End− −CITE− 42 USC Sec. 1109 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING −HEAD− Sec. 1109. Federal Employees Compensation Account −STATUTE− There is hereby established in the Unemployment Trust Fund a Federal Employees Compensation Account which shall be used for the purposes specified in section 8509 of title 5. For the purposes provided for in section 1104(e) of this title, such account shall

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be maintained as a separate book account. −SOURCE− (Aug. 14, 1935, ch. 531, title IX, Sec. 909, as added Pub. L. 96−499, title X, Sec. 1023(a), Dec. 5, 1980, 94 Stat. 2657.) −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 2 section 906; title 5 section 8509. −End− −CITE− 42 USC Sec. 1110 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER IX − EMPLOYMENT SECURITY ADMINISTRATIVE FINANCING −HEAD− Sec. 1110. Borrowing between Federal accounts −STATUTE− (a) In general Whenever the Secretary of the Treasury (after consultation with the Secretary of Labor) determines that − (1) the amount in the employment security administration account, Federal unemployment account, or extended unemployment compensation account, is insufficient to meet the anticipated payments from the account, (2) such insufficiency may cause such account to borrow from

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the general fund of the Treasury, and (3) the amount in any other such account exceeds the amount necessary to meet the anticipated payments from such other account, the Secretary shall transfer to the account referred to in paragraph (1) from the account referred to (!1) paragraph (3) an amount equal to the insufficiency determined under paragraph (1) (or, if less, the excess determined under paragraph (3)). (b) Treatment of advance Any amount transferred under subsection (a) of this section − (1) shall be treated as a noninterest−bearing repayable advance, and (2) shall not be considered in computing the amount in any account for purposes of the application of sections 1101(f)(2), 1102(b), and 1105(b) of this title. (c) Repayment Whenever the Secretary of the Treasury (after consultation with the Secretary of Labor) determines that the amount in the account to which an advance is made under subsection (a) of this section exceeds the amount necessary to meet the anticipated payments from the account, the Secretary shall transfer from the account to the account from which the advance was made an amount equal to the lesser of the amount so advanced or such excess. −SOURCE− (Aug. 14, 1935, ch. 531, title IX, Sec. 910, as added Pub. L. 102−318, title V, Sec. 531(c), July 3, 1992, 106 Stat. 316.)

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−FOOTNOTE− (!1) So in original. Probably should be "to in". −End− −CITE− 42 USC SUBCHAPTER X − GRANTS TO STATES FOR AID TO BLIND 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER X − GRANTS TO STATES FOR AID TO BLIND −HEAD− SUBCHAPTER X − GRANTS TO STATES FOR AID TO BLIND −STATAMEND− REPEAL OF SUBCHAPTER X OF THIS CHAPTER; INAPPLICABILITY OF REPEAL TO PUERTO RICO, GUAM, AND VIRGIN ISLANDS Pub. L. 92−603, title III, Sec. 303(a), (b), Oct. 30, 1972, 86 Stat. 1484, provided that this subchapter is repealed effective Jan. 1, 1974, except with respect to Puerto Rico, Guam, and the Virgin Islands. −SECREF− SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in sections 428, 671, 1301, 1306a, 1308, 1309, 1311, 1315, 1316, 1318, 1319, 1320b−2, 1320b−3, 1320b−7, 1382, 1382c, 1395v, 1396a, 1396b, 1396d of this title; title 7 sections 2012, 2014; title 8 section 1255a; title 26 section 6103; title 29 section 802. −End−

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−CITE− 42 USC Sec. 1201 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER X − GRANTS TO STATES FOR AID TO BLIND −HEAD− Sec. 1201. Authorization of appropriations −STATUTE− For the purpose of enabling each State to furnish financial assistance, as far as practicable under the conditions in such State, to needy individuals who are blind, there is hereby authorized to be appropriated for each fiscal year a sum sufficient to carry out the purposes of this subchapter. The sums made available under this section shall be used for making payments to States which have submitted, and had approved by the Secretary of Health and Human Services, State plans for aid to the blind. −SOURCE− (Aug. 14, 1935, ch. 531, title X, Sec. 1001, 49 Stat. 645; Aug. 28, 1950, ch. 809, title III, pt. 6, Sec. 361(b), 64 Stat. 558; 1953 Reorg. Plan No. 1, Secs. 5, 8, eff. Apr. 11, 1953, 18 F.R. 2053, 67 Stat. 631; Aug. 1, 1956, ch. 836, title III, Sec. 313(a), 70 Stat. 849; Pub. L. 87−543, title I, Sec. 104(c)(3), July 25, 1962, 76 Stat. 186; Pub. L. 96−88, title V, Sec. 509(b), Oct. 17, 1979, 93 Stat. 695; Pub. L. 97−35, title XXI, Sec. 2184(c)(1), Aug. 13, 1981, 95 Stat. 817.)

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−STATAMEND− REPEAL OF SECTION Pub. L. 92−603, title III, Sec. 303(a), (b), Oct. 30, 1972, 86 Stat. 1484, provided that this section is repealed effective Jan. 1, 1974, except with respect to Puerto Rico, Guam, and the Virgin Islands. −MISC1− AMENDMENTS 1981 − Pub. L. 97−35 struck out "and of encouraging each State, as far as practicable under such conditions, to furnish rehabilitation and other services to help such individuals attain or retain capability for self−support and self−care" after "who are blind". 1962 − Pub. L. 87−543 inserted "to furnish rehabilitation and other services" before "to help such individuals" and "or retain capability for" after "attain". 1956 − Act Aug. 1, 1956, restated purpose to include assistance to individuals to attain self−support or self−care. 1950 − Act Aug. 28, 1950, substituted "Federal Security Administrator" for "Social Security Board". −TRANS− TRANSFER OF FUNCTIONS Functions of Federal Security Administrator transferred to Secretary of Health, Education, and Welfare and all agencies of Federal Security Agency transferred to Department of Health, Education, and Welfare by section 5 of Reorg. Plan No. 1 of 1953,

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set out as a note under section 3501 of this title. Federal Security Agency and office of Administrator abolished by section 8 of Reorg. Plan No. 1 of 1953. Secretary and Department of Health, Education, and Welfare redesignated Secretary and Department of Health and Human Services by section 509(b) of Pub. L. 96−88 which is classified to section 3508(b) of Title 20, Education. −End− −CITE− 42 USC Sec. 1202 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER X − GRANTS TO STATES FOR AID TO BLIND −HEAD− Sec. 1202. State plans for aid to blind −STATUTE− (a) A State plan for aid to the blind must (1) except to the extent permitted by the Secretary with respect to services, provide that it shall be in effect in all political subdivisions of the State, and, if administered by them, be mandatory upon them; (2) provide for financial participation by the State; (3) either provide for the establishment or designation of a single State agency to administer the plan, or provide for the establishment or designation of a single State agency to supervise the administration of the plan; (4) provide (A) for granting an opportunity for a fair hearing before the State agency to any

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individual whose claim for aid to the blind is denied or is not acted upon with reasonable promptness, and (B) that if the State plan is administered in each of the political subdivisions of the State by a local agency and such local agency provides a hearing at which evidence may be presented prior to a hearing before the State agency, such local agency may put into effect immediately upon issuance its decision upon the matter considered at such hearing; (5) provide (A) such methods of administration (including after January 1, 1940, methods relating to the establishment and maintenance of personnel standards on a merit basis, except that the Secretary shall exercise no authority with respect to the selection, tenure of office, and compensation of any individual employed in accordance with such methods) as are found by the Secretary to be necessary for the proper and efficient operation of the plan, and (B) for the training and effective use of paid subprofessional staff, with particular emphasis on the full−time or part−time employment of recipients and other persons of low−income, as community service aides, in the administration of the plan and for the use of nonpaid or partially paid volunteers in a social service volunteer program in providing services to applicants and recipients and in assisting any advisory committees established by the State agency; (6) provide that the State agency will make such reports, in such form and containing such information, as the Secretary may from time to time require, and comply with such provisions as the Secretary may from time to time find necessary to assure the correctness and verification of such reports; and (!1)

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(7) provide that no aid will be furnished any individual under the plan with respect to any period with respect to which he is receiving old−age assistance under the State plan approved under section 302 of this title or assistance under a State program funded under part A of subchapter IV of this chapter; (8) provide that the State agency shall, in determining need, take into consideration any other income and resources of the individual claiming aid to the blind, as well as any expenses reasonably attributable to the earning of any such income, except that, in making such determination, the State agency (A) shall disregard the first $85 per month of earned income, plus one−half of earned income in excess of $85 per month, (B) shall, for a period not in excess of twelve months, and may, for a period not in excess of thirty−six months, disregard such additional amounts of other income and resources, in the case of an individual who has a plan for achieving self−support approved by the State agency, as may be necessary for the fulfillment of such plan, and (C) may, before disregarding the amounts referred to in clauses (A) and (B), disregard not more than $7.50 of any income; (9) provide safeguards which permit the use or disclosure of information concerning applicants or recipients only (A) to public officials who require such information in connection with their official duties, or (B) to other persons for purposes directly connected with the administration of the State plan; (10) provide that, in determining whether an individual is blind, there shall be an examination by a physician skilled in diseases of the eye or by an optometrist,

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whichever the individual may select; (11) effective July 1, 1951, provide that all individuals wishing to make application for aid to the blind shall have opportunity to do so, and that aid to the blind shall be furnished with reasonable promptness to all eligible individuals; (12) effective July 1, 1953, provide, if the plan includes payments to individuals in private or public institutions, for the establishment or designation of a State authority or authorities which shall be responsible for establishing and maintaining standards for such institutions; (13) provide a description of the services (if any) which the State agency makes available (using whatever internal organizational arrangement it finds appropriate for this purpose) to applicants for and recipients of aid to the blind to help them attain self−support or self−care, including a description of the steps taken to assure, in the provision of such services, maximum utilization of other agencies providing similar or related services; and (14) provide that information is requested and exchanged for purposes of income and eligibility verification in accordance with a State system which meets the requirements of section 1320b−7 of this title. (b) The Secretary shall approve any plan which fulfills the conditions specified in subsection (a) of this section, except that he shall not approve any plan which imposes, as a condition of eligibility for aid to the blind under the plan − (1) Any residence requirement which excludes any resident of the State who has resided therein five years during the nine years immediately preceding the application for aid and has

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resided therein continuously for one year immediately preceding the application; or (2) Any citizenship requirement which excludes any citizen of the United States. At the option of the State, the plan may provide that manuals and other policy issuances will be furnished to persons without charge for the reasonable cost of such materials, but such provision shall not be required by the Secretary as a condition for the approval of such plan under this subchapter. In the case of any State (other than Puerto Rico and the Virgin Islands) which did not have on January 1, 1949, a State plan for aid to the blind approved under this subchapter, the Secretary shall approve a plan of such State for aid to the blind for purposes of this subchapter, even though it does not meet the requirements of clause (8) of subsection (a) of this section, if it meets all other requirements of this subchapter for an approved plan for aid to the blind; but payments under section 1203 of this title shall be made, in the case of any such plan, only with respect to expenditures thereunder which would be included as expenditures for the purposes of section 1203 of this title under a plan approved under this section without regard to the provisions of this sentence. −SOURCE− (Aug. 14, 1935, ch. 531, title X, Sec. 1002, 49 Stat. 645; Aug. 10, 1939, ch. 666, title VII, Sec. 701, 53 Stat. 1397; Aug. 28, 1950, ch. 809, title III, pt. 4, Sec. 341(a)−(e), pt. 6, Sec. 361(c), (d), 64 Stat. 553, 558; 1953 Reorg. Plan No. 1, Secs. 5, 8, eff.

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Apr. 11, 1953, 18 F.R. 2053, 67 Stat. 631; Aug. 1, 1956, ch. 836, title III, Sec. 313(b), 70 Stat. 849; Pub. L. 86−778, title VII, Sec. 710, Sept. 13, 1960, 74 Stat. 997; Pub. L. 87−543, title I, Secs. 104(a)(3)(H), 106(a)(2), 136(a), 154, July 25, 1962, 76 Stat. 185, 188, 197, 206; Pub. L. 88−650, Sec. 5(a), Oct. 13, 1964, 78 Stat. 1078; Pub. L. 89−97, title IV, Sec. 403(c), July 30, 1965, 79 Stat. 418; Pub. L. 90−248, title II, Secs. 210(a)(3), 213(a)(2), Jan. 2, 1968, 81 Stat. 895, 898; Pub. L. 92−603, title IV, Secs. 405(b), 406(b), 407(b), 410(b), 413(b), Oct. 30, 1972, 86 Stat. 1488, 1489, 1491, 1492; Pub. L. 98−369, div. B, title VI, Sec. 2651(f), July 18, 1984, 98 Stat. 1149; Pub. L. 104−193, title I, Sec. 108(f), Aug. 22, 1996, 110 Stat. 2168.) −STATAMEND− REPEAL OF SECTION Pub. L. 92−603, title III, Sec. 303(a), (b), Oct. 30, 1972, 86 Stat. 1484, provided that this section is repealed effective Jan. 1, 1974, except with respect to Puerto Rico, Guam, and the Virgin Islands. −REFTEXT− REFERENCES IN TEXT Part A of subchapter IV of this chapter, referred to in subsec. (a)(7), is classified to section 601 et seq. of this title. −MISC1− AMENDMENTS 1996 − Subsec. (a)(7). Pub. L. 104−193 substituted "assistance under a State program funded under part A of subchapter IV of this

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chapter" for "aid to families with dependent children under the State plan approved under section 602 of this title". 1984 − Subsec. (a)(14). Pub. L. 98−369 added cl. (14). 1972 − Subsec. (a)(1). Pub. L. 92−603, Sec. 410(b), inserted "except to the extent permitted by the Secretary with respect to services," before "provide". Subsec. (a)(4). Pub. L. 92−603, Sec. 407(b), designated existing provisions as subcl. (A) and added subcl. (B). Subsec. (a)(9). Pub. L. 92−603, Sec. 413(b), substituted provisions permitting the use or disclosure of information concerning applicants or recipients to public officials requiring such information in connection with their official duties and to other persons for purposes directly connected with the administration of the State plan, for provisions restricting the use or disclosure of such information to purposes directly connected with the administration of aid to the blind. Subsec. (a)(13). Pub. L. 92−603, Sec. 405(b), inserted provision relating to the use of whatever internal organizational arrangement found appropriate. Subsec. (b). Pub. L. 92−603, Sec. 406(b), inserted provision relating to the furnishing of manuals and other policy issuances to persons without charge and at the option of the State. 1968 − Subsec. (a)(5). Pub. L. 90−248, Sec. 210(a)(3), designated existing provisions as subcl. (A) and added subcl. (B). Subsec. (a)(8)(C). Pub. L. 90−248, Sec. 213(a)(2), increased from $5 to $7.50 limitation on amount of any income which the State may

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disregard in making its determination of need. 1965 − Subsec. (a)(8)(C). Pub. L. 89−97 added subcl. (C). 1964 − Subsec. (a)(8). Pub. L. 88−650 permitted the State agency, for a period not in excess of thirty−six months to disregard such additional amounts of other income and resources. 1962 − Subsec. (a)(7). Pub. L. 87−543, Sec. 104(a)(3)(H), substituted "aid to families with dependent children" for "aid to dependent children". Subsec. (a)(8). Pub. L. 87−543, Secs. 106(a)(2), 154, inserted ", as well as any expenses reasonably attributable to the earning of any such income", and amended the exception provision by striking out "either (i) the first $50 per month of earned income, or" after "disregard", redesignating subcl. (ii) as (A) and adding subcl. (B). Subsec. (b). Pub. L. 87−543, Sec. 136(a), provided for approval of certain plans of States, without an approved plan on Jan. 1, 1949, meeting all but income and resources requirements, and payment of certain expenditures under such plans. 1960 − Subsec. (a)(8). Pub. L. 86−778, Sec. 710(b), struck out provision that required the State agency to disregard, alternatively, the first $50 per month of earned income in considering claimant's income and resources in determining need. Pub. L. 86−778, Sec. 710(a), inserted provision that required the State agency to disregard, alternatively, the first $85 per month of earned income plus one−half of earned income in excess of $85 per month in considering claimant's income and resources in

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determining need. 1956 − Subsec. (a)(13). Act Aug. 1, 1956, added cl. (13). 1950 − Subsec. (a)(4). Act Aug. 28, 1950, Sec. 341(a), substituted "provide for granting an opportunity for a fair hearing before the State agency to any individual whose claim for aid to the blind is denied or is not acted upon with reasonable promptness" for "provide for granting to any individual, whose claim for aid is denied, an opportunity for a fair hearing before such State agency". Subsec. (a)(7). Act Aug. 28, 1950, Sec. 341(b), inserted "or aid to dependent children under the State plan approved under section 302 of this title". Subsec. (a)(8). Act Aug. 28, 1950, Sec. 341(c)(2), (d), amended cl. (8) generally, effective July 1, 1952, and struck out "and" preceding cl. (9). Act Aug. 28, 1950, Sec. 341(c)(1), amended cl. (8) generally for period beginning Oct. 1, 1950, and ending June 30, 1952. Subsec. (a)(9). Act Aug. 28, 1950, Sec. 341(d), substituted comma for period at end. Subsec. (a)(10). Act Aug. 28, 1950, Sec. 341(e), amended cl. (10) generally. Prior to amendment, cl. (10) read as follows: "provide that, in determining whether an individual is blind, there shall be an examination by a physician skilled in diseases of the eye or by an optometrist;". Act Aug. 28, 1950, Sec. 341(d), added cl. (10). Subsec. (a)(11), (12). Act Aug. 28, 1950, Sec. 341(d), added cls.

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(11) and (12). Subsec. (b). Act Aug. 28, 1950, Sec. 361(c), (d), substituted "Administrator" for "Board" and "he" for "it". 1939 − Subsec. (a)(5). Act Aug. 10, 1939, Sec. 701(a), inserted "(including after January 1, 1940, methods relating to the establishment and maintenance of personnel standards on a merit basis, except that the Board shall exercise no authority with respect)" after "methods of administration" and "proper" before "and efficient operation of the plan". Subsec. (a)(8), (9). Act Aug. 10, 1939, Sec. 701(b), added cls. (8) and (9). EFFECTIVE DATE OF 1996 AMENDMENT Amendment by Pub. L. 104−193 effective July 1, 1997, with transition rules relating to State options to accelerate such date, rules relating to claims, actions, and proceedings commenced before such date, rules relating to closing out of accounts for terminated or substantially modified programs and continuance in office of Assistant Secretary for Family Support, and provisions relating to termination of entitlement under AFDC program, see section 116 of Pub. L. 104−193, as amended, set out as an Effective Date note under section 601 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98−369 effective Apr. 1, 1985, except as otherwise provided, see section 2651(l)(2) of Pub. L. 98−369, set out as an Effective Date note under section 1320b−7 of this title. EFFECTIVE DATE OF 1968 AMENDMENT

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Amendment by section 210(a)(3) of Pub. L. 90−248 effective July 1, 1969, or, if earlier (with respect to a State's plan approved under this subchapter) on the date as of which the modification of the State plan to comply with such amendment is approved, see section 210(b) of Pub. L. 90−248, set out as a note under section 302 of this title. EFFECTIVE DATE OF 1965 AMENDMENT Section 403(c) of Pub. L. 89−97 provided that the amendment made by that section is effective Oct. 1, 1965. EFFECTIVE DATE OF 1962 AMENDMENT Amendment by section 106(a)(2) of Pub. L. 87−543 effective July 1, 1963, see section 202(a) of Pub. L. 87−543, set out as a note under section 302 of this title. Section 154 of Pub. L. 87−543 provided that the amendment made by that section is effective July 1, 1963. EFFECTIVE DATE OF 1960 AMENDMENT Section 710(a) of Pub. L. 86−778 provided that the amendment made by that section is effective for the period beginning with first day of calendar quarter which begins after Sept. 13, 1960, and ending with close of June 30, 1962. Section 710(b) of Pub. L. 86−778 provided that the amendment made by that section is effective July 1, 1962. EFFECTIVE DATE OF 1956 AMENDMENT Amendment by act Aug. 1, 1956, effective July 1, 1957, see section 314 [315] of act Aug. 1, 1956, set out as a note under section 302 of this title.

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EFFECTIVE AND TERMINATION DATES OF 1950 AMENDMENT Section 341(c)(1) of act Aug. 28, 1950, provided that the amendment made by that section is effective for the period beginning Oct. 1, 1950, and ending June 30, 1952. Section 341(c)(2) of act Aug. 28, 1950, provided that the amendment made by that section is effective July 1, 1952. Section 341(e) of act Aug. 28, 1950, provided that the amendment made by that section is effective July 1, 1952. Section 341(f) of act Aug. 28, 1950, provided that: "The amendments made by subsections (b) and (d) [amending this section] shall take effect October 1, 1950; and the amendment made by subsection (a) [amending this section] shall take effect July 1, 1951." EFFECTIVE DATE OF 1939 AMENDMENT Section 701(b) of act Aug. 10, 1939, provided that the amendment made by that section is effective July 1, 1941. −TRANS− TRANSFER OF FUNCTIONS Functions, powers, and duties of Secretary under subsec. (a)(5)(A) of this section, insofar as relates to the prescription of personnel standards on a merit basis, transferred to Office of Personnel Management, see section 4728(a)(3)(D) of this title. Functions of Federal Security Administrator transferred to Secretary of Health, Education, and Welfare and agencies of Federal Security Agency transferred to Department of Health, Education, and Welfare by section 5 of Reorg. Plan No. 1 of 1953, set out as a

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note under section 3501 of this title. Federal Security Agency and office of Administrator abolished by section 8 of Reorg. Plan No. 1 of 1953. Secretary and Department of Health, Education, and Welfare redesignated Secretary and Department of Health and Human Services by section 509(b) of Pub. L. 96−88 which is classified to section 3508(b) of Title 20, Education. −MISC2− PUBLIC ACCESS TO STATE DISBURSEMENT RECORDS Public access to State records of disbursements of funds and payments under this subchapter, see note set out under section 302 of this title. −SECREF− SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1204, 1206, 1315, 1352, 1382a, 4728 of this title; title 25 sections 683, 686, 689, 996. −FOOTNOTE− (!1) So in original. The word "and" probably should not appear. −End− −CITE− 42 USC Sec. 1202a 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER X − GRANTS TO STATES FOR AID TO BLIND −HEAD− Sec. 1202a. Repealed. Pub. L. 87−543, title I, Sec. 136(b), July

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25, 1962, 76 Stat. 197 −MISC1− Section, act Aug. 28, 1950, ch. 809, title III, pt. 4, Sec. 344(a), 64 Stat. 554, provided, in the case of any State without a plan for aid to the blind approved on Jan. 1, 1949, for approval of the plan of such a State conforming to all requirements except those relating to determination of need and consideration of resources but conditioned payments to the State meeting the excepted requirement. EFFECTIVE AND TERMINATION DATES Section 136(b) of Pub. L. 87−543 also repealed section 344(b) of act Aug. 28, 1950, as amended Sept. 1, 1954, ch. 1206, title III, Sec. 302, 68 Stat. 1097; Apr. 25, 1957, Pub. L. 85−26, 71 Stat. 27; Aug. 28, 1958, Pub. L. 85−840, title V, Sec. 509, 72 Stat. 1051; Sept. 13, 1960, Pub. L. 86−778, title VII, Sec. 706, 74 Stat. 995, which provided that this section should become effective Oct. 1, 1950 and terminate June 30, 1964. −End− −CITE− 42 USC Sec. 1203 01/06/03 −EXPCITE− TITLE 42 − THE PUBLIC HEALTH AND WELFARE CHAPTER 7 − SOCIAL SECURITY SUBCHAPTER X − GRANTS TO STATES FOR AID TO BLIND −HEAD− Sec. 1203. Payment to States

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−STATUTE− (a) Authorization of payments From the sums appropriated therefor, the Secretary of the Treasury shall pay to each State which has an approved plan for aid to the blind, for each quarter, beginning with the quarter commencing October 1, 1958 − (1) Repealed. Pub. L. 97−35, title XXI, Sec. 2184(c)(2)(A), Aug. 13, 1981, 95 Stat. 817. (2) in the case of Puerto Rico, the Virgin Islands, and Guam, an amount equal to one−half of the total of the sums expended during such quarter as aid to the blind under the State plan, not counting so much of any expenditure with respect to any month as exceeds $37.50 multiplied by the total number of recipients of aid to the blind for such month; and (3) in the case of any State, an amount equal to 50 percent of the total amounts expended during such quarter as found necessary by the Secretary for the proper and efficient administration of the State plan. (b) Computation of amounts The method of computing and paying such amounts shall be as follows: (1) The Secretary of Health and Human Services shall, prior to the beginning of each quarter, estimate the amount to be paid to the State for such quarter under the provisions of subsection (a) of this section, such estimate to be based on (A) a report filed by the State containing its estimate of the total sum to be expended in such quarter in accordance with the provisions of

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such subsection, and stating the amount appropriated or made available by the State and its political subdivisions for such expenditures in such quarter, and if such amount is less than the State's proportionate share of the total sum of such estimated expenditures, the source or sources from which the difference is expected to be derived, (B) records showing the number of blind individuals in the State, and (C) such other investigation as the Secretary may find necessary. (2) The Secretary of Health and Human Services shall then certify to the Secretary of the Treasury the amount so estimated by the Secretary of Health and Human Services, (A) reduced or increased, as the case may be, by any sum by which he finds that his estimate for any prior quarter was greater or less than the amount which should have been paid to the State under subsection (a) of this section for such quarter, and (B) reduced by a sum equivalent to the pro rata share to which the United States is equitably entitled, as determined by the Secretary of Health and Human Services, of the net amount recovered during a prior quarter by the State or any political subdivision thereof with respect to aid to the blind furnished under the State plan; except that such increases or reductions shall not be made to the extent that such sums have been applied to make the amount certified for any prior quarter greater or less than the amount estimated by the Secretary of Health and Human Services for such prior quarter: Provided, That any part of the amount recovered from the estate of a deceased recipient which is not in excess of

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the amount expended by the State or any political subdivision thereof for the funeral expenses of the deceased shall not be considered as a basis for reduction under clause (B) of this paragraph. (3) The Secretary of the Treasury shall thereupon, through the Fiscal Service of the Treasury Department, and prior to audit or settlement by the General Accounting Office, pay to the State, at the time or times fixed by the Secretary of Health and Human Services, the amount so certified. −SOURCE− (Aug. 14, 1935, ch. 531, title X, Sec. 1003, 49 Stat. 646; Aug. 10, 1939, ch. 666, title VII, Sec. 702, 53 Stat. 1397; 1940 Reorg. Plan No. III, Sec. 1(a)(1), eff. June 30, 1940, 5 F.R. 2107, 54 Stat. 1231; Aug. 10, 1946, ch. 951, title V, Sec. 503, 60 Stat. 992; June 14, 1948, ch. 468, Sec. 3(c), 62 Stat. 439; Aug. 28, 1950, ch. 809, title III, pt. 4, Sec. 342(a), pt. 6, Sec. 361(c), (d), 64 Stat. 553, 558; July 18, 1952, ch. 945, Sec. 8(c), 66 Stat. 779; 1953 Reorg. Plan No. 1, Secs. 5, 8, eff. Apr. 11, 1953, 18 F.R. 2053, 67 Stat. 631; Sept. 1, 1954, ch. 1206, title III, Sec. 303(a), 68 Stat. 1097; Aug. 1, 1956, ch. 836, title III, Secs. 303, 313(c), 343, 70 Stat. 847, 849, 853; Pub. L. 85−840, title V, Sec. 503, Aug. 28, 1958, 72 Stat. 1049; Pub. L. 87−64, title III, Sec. 303(b), June 30, 1961, 75 Stat. 143; Pub. L. 87−543, title I, Secs. 101(a)(3), (b)(3), 132(b), July 25, 1962, 76 Stat. 176, 180, 195; Pub. L. 89−97, title I, Sec. 122, title IV, Sec. 401(d), July 30, 1965, 79 Stat. 353, 415; Pub. L. 90−248, title II, Sec. 212(b),

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Jan. 2, 1968, 81 Stat. 897; Pub. L. 92−512, title III, Sec. 301(b), (d), Oct. 20, 1972, 86 Stat. 946, 947; Pub. L. 93−647, Secs. 3(e)(2), 5(c), Jan. 4, 1975, 88 Stat. 2349, 2350; Pub. L. 96−88, title V, Sec. 509(b), Oct. 17, 1979, 93 Stat. 695; Pub. L. 97−35, title XXI, Sec. 2184(c)(2), title XXIII, Sec. 2353(e), Aug. 13, 1981, 95 Stat. 817, 872; Pub. L. 99−603, title I, Sec. 121(b)(4), Nov. 6, 1986, 100 Stat. 3391; Pub. L. 103−66, title XIII, Sec. 13741(b), Aug. 10, 1993, 107 Stat. 663.) −STATAMEND− REPEAL OF SECTION Pub. L. 92−603, title III, Sec. 303(a), (b), Oct. 30, 1972, 86 Stat. 1484, provided that this section is repealed effective Jan. 1, 1974, except with respect to Puerto Rico, Guam, and the Virgin Islands. −MISC1−

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