text: SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
  
      (a) Short Title.--This Act may be cited as the ``Welfare 
  Improvement Act of 1997''.
      (b) Table of Contents.--The table of contents for this Act is as 
  follows:
  
  Sec. 1. Short title; table of contents.
  Sec. 2. No additional cash assistance for children born to families 
                              receiving assistance.
  Sec. 3. Prohibition of recruitment activities.
  Sec. 4. Mandatory termination of assistance.
  Sec. 5. Work participation rate requirement.
  Sec. 6. Limitation on payments to States.
  Sec. 7. Effective date.
  
  SEC. 2. NO ADDITIONAL CASH ASSISTANCE FOR CHILDREN BORN TO FAMILIES 
                RECEIVING ASSISTANCE.
  
      Section 408(a) of the Social Security Act (42 U.S.C. 608(a)) is 
  amended by adding at the end the following:
              ``(12) No additional cash assistance for children born to 
          families receiving assistance.--
                      ``(A) General rule.--A State to which a grant is 
                  made under section 403 shall not use any part of the 
                  grant to provide cash benefits for a minor child who is 
                  born to--
                              ``(i) a recipient of assistance under the 
                          program operated under this part; or
                              ``(ii) a person who received such 
                          assistance at any time during the 10-month 
                          period ending with the birth of the child.
                      ``(B) Exception for children born into families 
                  with no other children.--Subparagraph (A) shall not 
                  apply to a minor child who is born into a family that 
                  does not include any other children.
                      ``(C) Exception for vouchers.--Subparagraph (A) 
                  shall not apply to vouchers which are provided in lieu 
                  of cash benefits and which may be used only to pay for 
                  particular goods and services specified by the State as 
                  suitable for the care of the child involved.
                      ``(D) Exception for rape or incest.--Subparagraph 
                  (A) shall not apply with respect to a child who is born 
                  as a result of rape or incest.
                      ``(E) State election to opt out.--Subparagraph (A) 
                  shall not apply to a State if State law specifically 
                  exempts the State program funded under this part from 
                  the application of subparagraph (A).
                      ``(F) Substitution of family caps in effect under 
                  waivers.--Subparagraph (A) shall not apply to a State--
                              ``(i) if, as of the date of the enactment 
                          of this part, there is in effect a waiver 
                          approved by the Secretary under section 1115 
                          which permits the State to deny aid under the 
                          State plan approved under part A of this title 
                          (as in effect without regard to the amendments 
                          made by title I of the Personal Responsibility 
                          and Work Opportunity Reconciliation Act of 1996 
                          (Public Law 104-193, 110 Stat. 2110) to a 
                          family by reason of the birth of a child to a 
                          family member otherwise eligible for such aid; 
                          and
                              ``(ii) for so long as the State continues 
                          to implement such policy under the State 
                          program funded under this part, under rules 
                          prescribed by the State.''.
  
  SEC. 3. PROHIBITION OF RECRUITMENT ACTIVITIES.
  
      Section 1631 of the Social Security Act (42 U.S.C. 1383) is amended 
  by adding at the end the following new subsection:
  
                  ``prohibition of recruitment activities
  
      ``(p) Nothing in this title shall be construed to authorize 
  recruitment activities under this title, including with respect to any 
  outreach programs or demonstration projects.''.
  
  SEC. 4. MANDATORY TERMINATION OF ASSISTANCE.
  
      Section 407(e)(1) of the Social Security Act (42 U.S.C. 607(e)(1)), 
  is amended to read as follows:
              ``(1) In general.--Except as provided in paragraph (2), if 
          an individual in a family receiving assistance under the State 
          program funded under this part refuses to engage in work 
          required in accordance with this section, the State shall--
                      ``(A) in the case of the first or second refusal--
                              ``(i) reduce the amount of assistance 
                          otherwise payable to the family pro rata (or 
                          more, at the option of the State) with respect 
                          to any period during a month in which the 
                          individual so refuses; or
                              ``(ii) terminate such assistance,
                  subject to such good cause and other exceptions as the 
                  State may establish; and
                      ``(B) in the case of the third refusal, terminate 
                  the assistance.''.
  
  SEC. 5. WORK PARTICIPATION RATE REQUIREMENT.
  
      The table in section 407(a)(1) of the Social Security Act (42 
  U.S.C. 607(a)(1)), is amended, in the item relating to fiscal year 2002 
  or thereafter, by striking ``50'' and inserting ``75''.
  
  SEC. 6. LIMITATION ON PAYMENTS TO STATES.
  
      Part A of title IV of the Social Security Act (42 U.S.C. 601 et 
  seq.) is amended by adding at the end the following:
  
  ``SEC. 420. LIMITATION ON PAYMENTS TO STATES.
  
      ``Notwithstanding any other provision of this part, no funds may be 
  paid to a State under this part unless the State--
              ``(1) establishes and maintains a reasonable program for 
          randomly testing an individual in a family receiving assistance 
          under the State program funded under this part for the use of 
          controlled substances; and
              ``(2) terminates assistance under the State program funded 
          under this part for any individual who tests positive for the 
          use of controlled substances.''.
  
  SEC. 7. EFFECTIVE DATE.
  
      This Act and the amendments made by this Act take effect as if 
  included in the enactment of the Personal Responsibility and Work 
  Opportunity Reconciliation Act of 1996 (Public Law 104-193, 110 Stat. 
  2105).
target: Welfare Improvement Act of 1997 - Amends part A (Temporary Assistance for Needy Families) (TANF) of title IV of the Social Security Act (SSA) in order to make various specified changes to the Personal Responsibility and Work Opportunity Reconciliation Act of 1996. 
  Prohibits States from providing cash TANF benefits for a minor child born to a TANF recipient family with other children or to a person with other children who received TANF assistance during the ten-month period ending with the birth of the child, with certain exceptions for rape or incest, unless the State elects to opt out of the application of such prohibition.  Exempts from such prohibition a minor child born into a family with no other children. 
  Requires termination of TANF assistance after the TANF recipient's third refusal to engage in required work activities. 
  Increases from 50 percent to 75 percent the minimum work participation rate required under TANF for FY 2002 and thereafter. 
  Prohibits Federal TANF funds to States which do not establish random drug testing programs under which the TANF assistance for individual family recipients who test positive for controlled substance use is terminated. 
  Amends SSA title XVI (Supplemental Security Income) to expressly provide that nothing in it shall be construed to authorize recruitment activities under such title, including with respect to any outreach programs or demonstration projects.
feat_title: Welfare Improvement Act of 1997