SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Job Opportunity and Welfare 
Reduction Act of 1997''.

SEC. 2. PILOT PROGRAM FOR PLACING WELFARE RECIPIENTS IN JOBS VACATED BY 
              UNAUTHORIZED ALIENS.

    (a) In General.--The Attorney General shall conduct a pilot program 
under which the Attorney General shall provide a written notice to a 
State of one or more potential employment opportunities for an adult 
who is receiving assistance under the State program funded under part A 
of title IV of the Social Security Act, where such opportunity arises 
from--
            (1) the removal of one or more unauthorized aliens from a 
        work site in the State by an officer or employee of the Service 
        performing duties relating to the enforcement of the 
        immigration laws; or
            (2) the issuance of an unauthorized work letter by the 
        Attorney General to an employer.
    (b) Implementation Deadline; Termination.--The Attorney General 
shall implement the pilot program not later than October 1, 1998. The 
Attorney General shall terminate the pilot program at the end of the 4-
year period beginning on the first day the pilot program is in effect.
    (c) Scope of Operation.--The Attorney General shall provide for the 
operation of the pilot program in each State--
            (1) the chief executive officer of which has requested that 
        the Attorney General provide for such operation; and
            (2) that is receiving a grant under part A of title IV of 
        the Social Security Act.
    (d) Notice.--
            (1) Contents.--The notice required under subsection (a) 
        shall include the following:
                    (A) The name and address of the employer--
                            (i) from whose work site an unauthorized 
                        alien was removed; or
                            (ii) to whom the unauthorized work letter 
                        was issued.
                    (B) A classification of the employment position (or 
                positions) formerly held by each unauthorized alien who 
                was removed from the work site or was the subject of 
                the unauthorized work letter, in terms of industry and 
                whether the work performed was skilled or unskilled.
                    (C) The location of the work site.
                    (D) The number of unauthorized aliens who were--
                            (i) removed; or
                            (ii) the subject of the unauthorized work 
                        letter.
            (2) Deadline.--The Attorney General shall submit the notice 
        required under subsection (a) not later than 8 days after the 
        day on which--
                    (A) the unauthorized alien is removed (in a case 
                described in subsection (a)(1)); or
                    (B) an officer or employee of the Service enters 
                onto the work site for the purpose of removing an 
                unauthorized alien, following issuance of the 
                unauthorized work letter (in a case described in 
                subsection (a)(2)).
    (e) Definitions.--For purposes of this Act:
            (1) Service.--The term ``Service'' has the meaning given 
        such term in section 101(a)(34) of the Immigration and 
        Nationality Act.
            (2) State.--The term ``State'' has the meaning given such 
        term in section 101(a)(36) of the Immigration and Nationality 
        Act.
            (3) Unauthorized alien.--The term ``unauthorized alien'' 
        has the meaning given such term in section 274A(h)(3) of the 
        Immigration and Nationality Act.
            (4) Unauthorized work letter.--The term ``unauthorized work 
        letter'' means a Form I-9 Inspection Result Letter, issued by 
        the Attorney General to an employer, identifying the possible 
        presence of an unauthorized alien worker.

SEC. 3. BONUS TO REWARD PARTICIPATING STATES.

    (a) In General.--Section 403(a)(4) of the Social Security Act (42 
U.S.C. 603(a)(4)) (as amended by section 103 of the Personal 
Responsibility and Work Opportunity Reconciliation Act of 1996 (Public 
Law 104-193; 110 Stat. 2121)) is amended--
            (1) in subparagraph (B)(i), by adding at the end the 
        following:
                        ``In the case of a high performing State that 
                        is an immigration pilot program State, such 
                        amount shall also be based on the score 
                        assigned to the State under subparagraph 
                        (D)(iii) for such fiscal year.'';
            (2) by amending subparagraph (C) to read as follows:
                    ``(C) Formula for measuring state performance.--
                            ``(i) In general.--Not later than 1 year 
                        after the date of the enactment of the Personal 
                        Responsibility and Work Opportunity 
                        Reconciliation Act of 1996, the Secretary, in 
                        consultation with the National Governors' 
                        Association and the American Public Welfare 
                        Association, shall develop a formula for 
                        measuring State performance in operating the 
                        State program funded under this part so as to 
                        achieve the goals set forth in section 401(a).
                            ``(ii) Immigration pilot program states.--
                        Not later than 6 months after the date of the 
                        enactment of the Job Opportunity and Welfare 
                        Reduction Act of 1997, the Secretary, in 
                        consultation with the National Governors' 
                        Association and the American Public Welfare 
                        Association, shall develop a formula for 
                        measuring the performance of immigration pilot 
                        program States in placing adults receiving 
                        assistance under the State program funded under 
                        this part in employment vacancies arising 
                        from--
                                    ``(I) the removal of an 
                                unauthorized alien (as defined in 
                                section 2 of such Act) from a work site 
                                in the State by an officer or employee 
                                of the Immigration and Naturalization 
                                Service performing duties relating to 
                                the enforcement of the immigration 
                                laws; or
                                    ``(II) the issuance by the Attorney 
                                General to an employer of an 
                                unauthorized work letter (as defined in 
                                such section) with respect to a work 
                                site in the State.'';
            (3) by amending subparagraph (D) to read as follows:
                    ``(D) Scoring of state performance; setting of 
                performance thresholds.--For each bonus year, the 
                Secretary shall--
                            ``(i) use the formula developed under 
                        subparagraph (C)(i) to assign a score to each 
                        eligible State for the fiscal year that 
                        immediately precedes the bonus year;
                            ``(ii) prescribe a performance threshold, 
                        based on the scores assigned under clause (i), 
                        in such a manner so as to ensure that--
                                    ``(I) the average annual total 
                                amount of grants to be made under this 
                                paragraph for each bonus year equals 
                                $200,000,000; and
                                    ``(II) the total amount of grants 
                                to be made under this paragraph for all 
                                bonus years equals $1,000,000,000; and
                            ``(iii) use the formula developed under 
                        subparagraph (C)(ii) to assign an additional 
                        score to each immigration pilot program State 
                        for the fiscal year that immediately precedes 
                        the bonus year, which score shall be used to 
                        reward immigration pilot program States--
                                    ``(I) based on their performance, 
                                as measured under subparagraph (C)(ii); 
                                and
                                    ``(II) in a manner consistent with 
                                subclauses (I) and (II) of clause 
                                (ii).''; and
            (4) in subparagraph (E), by adding at the end the 
        following:
                            ``(iii) Immigration pilot program state.--
                        The term `immigration pilot program State' 
                        means, with respect to a fiscal year 
                        immediately preceding a bonus year, an eligible 
                        State--
                                    ``(I) within which the Attorney 
                                General is operating the pilot program 
                                under section 2 of the Job Opportunity 
                                and Welfare Reduction Act of 1997;
                                    ``(II) that, after each receipt of 
                                a notice of an employment vacancy (or 
                                vacancies) from the Attorney General 
                                under such section 2, provided to the 
                                employer having the vacancy a list 
                                containing, with respect to each such 
                                vacancy, the name, address, and 
                                telephone number of not more than 3 
                                adults who are receiving assistance 
                                under the State program funded under 
                                this part and who are determined by the 
                                State, based on the adult's training, 
                                skills, prior experience, and 
                                availability for employment, to be 
                                qualified to fill the vacancy; and
                                    ``(III) that provided to the 
                                Secretary, in such form and manner as 
                                the Secretary may have required, a 
                                report containing the information 
                                necessary for the Secretary to measure 
                                the State's performance under 
                                subparagraph (C)(ii).''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
take effect on the later of July 1, 1998, or the date of the enactment 
of this Act.

SEC. 4. REPORT.

    Not later than 3 months after the date of the termination of the 
pilot program under section 2, the Secretary of Health and Human 
Services shall submit to the Congress a report, based on the rate of 
success of the program in providing referrals leading to job 
placements, containing the recommendations of the Secretary of Health 
and Human Services concerning whether the program should be 
reauthorized, whether the program should be expanded, and how the 
program could be improved.
Job Opportunity and Welfare Reduction Act of 1997 - Directs the Attorney General to conduct a temporary pilot program in States participating in the (welfare reform) program under part A (Temporary Assistance for Needy Families) (TANF) of title IV of the Social Security Act.  Requires the Attorney General to notify a State of potential employment opportunities for an adult TANF recipient arising from:  (1) removal of an unauthorized alien from a work site by the Immigration and Naturalization Service; or (2) the issuance by the Attorney General to an employer of an unauthorized work letter (Form I-9 Inspection Result Letter, identifying the possible presence of an unauthorized alien). 
Provides for a bonus under TANF to reward high-performing States.
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