42 U.S.C. § 1397e — Administrative and fiscal accountability

Page 4427 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 1397e Editorial Notes REFERENCES IN TEXT The Assisted Suicide Funding Restriction Act of 1997, referred to in subsec. (a)(10), is Pub. L. 105–12, Apr. 30, 1997, 111 Stat. 23, which is classified principally to chap- ter 138 (§ 14401 et seq.) of this title. For complete classi- fication of this Act to the Code, see Short Title note set out under section 14401 of this title and Tables. PRIOR PROVISIONS A prior section 1397d, act Aug. 14, 1935, ch. 531, title XX, § 2005, as added Jan. 4, 1975, Pub. L. 93–647, § 2, 88 Stat. 2347; amended June 17, 1980, Pub. L. 96–272, title II, § 206(d), 94 Stat. 525, related to effective date of im- plementing regulations, prior to the general revision of this subchapter by section 2352(a) of Pub. L. 97–35. AMENDMENTS 2010—Pub. L. 111–148, which directed substitution of ‘‘this division’’ for ‘‘this subchapter’’ wherever appear- ing in subtitle 1 of title XX of act Aug. 14, 1935, was exe- cuted by making the substitution wherever appearing in this section, which is in subtitle A of title XX act Aug. 14, 1935, to reflect the probable intent of Congress. 1997—Subsec. (a)(10). Pub. L. 105–12 added par. (10). 1988—Subsec. (a)(9)(A), (B). Pub. L. 100–360, § 411(k)(10)(D), as amended by Pub. L. 100–485, § 608(d)(26)(K)(ii), added Pub. L. 100–203, § 4118(e)(13), see 1987 Amendment note below. 1987—Subsec. (a)(9). Pub. L. 100–93 added par. (9). Subsec. (a)(9)(A), (B). Pub. L. 100–203, § 4118(e)(13), as added by Pub. L. 100–360, § 411(k)(10)(D), as amended by Pub. L. 100–485, § 608(d)(26)(K)(ii), substituted ‘‘under this subchapter or subchapter V, XVIII, or XIX pursu- ant 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 program under this subchapter’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1997 AMENDMENT Amendment by Pub. L. 105–12 effective Apr. 30, 1997, and 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 con- tracts entered into before Apr. 30, 1997, to the extent permitted under such contracts, see section 11 of Pub. L. 105–12, set out as an Effective Date note under sec- tion 14401 of this title. EFFECTIVE DATE OF 1988 AMENDMENTS Amendment by Pub. L. 100–485 effective as if included in the enactment of the Medicare Catastrophic Cov- erage Act of 1988, Pub. L. 100–360, see section 608(g)(1) of Pub. L. 100–485, set out as a note under section 704 of this title. 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 four- teen-day period beginning Aug. 18, 1987, and inappli- cable 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. § 1397e. Administrative and fiscal accountability (a) Reporting requirements; form, contents, etc. Each State shall prepare reports on its activi- ties carried out with funds made available (or transferred for use) under this division. Reports shall be prepared annually, covering the most recently completed fiscal year, and shall be in such form and contain such information (includ- ing but not limited to the information specified in subsection (c)) as the State finds necessary to provide an accurate description of such activi- ties, to secure a complete record of the purposes for which funds were spent, and to determine the extent to which funds were spent in a manner consistent with the reports required by section 1397c of this title. The State shall make copies of the reports required by this section available for public inspection within the State and shall transmit a copy to the Secretary. Copies shall also be provided, upon request, to any interested public agency, and each such agency may pro- vide its views on these reports to the Congress. (b) Audits; implementation, etc. Each State shall, not less often than every two years, audit its expenditures from amounts re- ceived (or transferred for use) under this divi- sion. Such State audits shall be conducted by an entity independent of any agency administering activities funded under this division, in accord- ance with generally accepted auditing prin- ciples. Within 30 days following the completion of each audit, the State shall submit a copy of that audit to the legislature of the State and to the Secretary. Each State shall repay to the United States amounts ultimately found not to have been expended in accordance with this divi- sion, or the Secretary may offset such amounts against any other amount to which the State is or may become entitled under this division. (c) State reports on expenditure and use of social services funds Each report prepared and transmitted by a State under subsection (a) shall set forth (with respect to the fiscal year covered by the re- port)— (1) the number of individuals who received services paid for in whole or in part with funds made available under this division, showing separately the number of children and the number of adults who received such services, and broken down in each case to reflect the types of services and circumstances involved; (2) the amount spent in providing each such type of service, showing separately for each type of service the amount spent per child re- cipient and the amount spent per adult recipi- ent; (3) the criteria applied in determining eligi- bility for services (such as income eligibility guidelines, sliding fee scales, the effect of pub- lic assistance benefits, and any requirements for enrollment in school or training pro- grams); and (4) the methods by which services were pro- vided, showing separately the services pro- vided by public agencies and those provided by private agencies, and broken down in each case to reflect the types of services and cir- cumstances involved. The Secretary shall establish uniform defini- tions of services for use by the States in pre- paring the information required by this sub- section, and make such other provision as may Page 4428 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 1397f be necessary or appropriate to assure that com- pliance with the requirements of this subsection will not be unduly burdensome on the States. (d) Additional accounting requirements For other provisions requiring States to ac- count for Federal grants, see section 6503 of title 31. (Aug. 14, 1935, ch. 531, title XX, § 2006, as added Pub. L. 97–35, title XXIII, § 2352(a), Aug. 13, 1981, 95 Stat. 870; amended Pub. L. 98–369, div. B, title VI, § 2663(h)(2), July 18, 1984, 98 Stat. 1169; Pub. L. 100–485, title VI, § 607, Oct. 13, 1988, 102 Stat. 2410; Pub. L. 111–148, title VI, § 6703(d)(1)(B), Mar. 23, 2010, 124 Stat. 803.) Editorial Notes PRIOR PROVISIONS A prior section 1397e, act Aug. 14, 1935, ch. 531, title XX, § 2006, as added Jan. 4, 1975, Pub. L. 93–647, § 2, 88 Stat. 2347, related to program evaluation and assist- ance, prior to the general revision of this subchapter by section 2352(a) of Pub. L. 97–35. A prior section 1397e–1, act Aug. 14, 1935, ch. 531, title XX, § 2007, as added Jan. 2, 1980, Pub. L. 96–178, § 4(b), 93 Stat. 1296, related to child day care services, prior to the general revision of this subchapter by section 2352(a) of Pub. L. 97–35. See section 1397f of this title. AMENDMENTS 2010—Pub. L. 111–148, which directed substitution of ‘‘this division’’ for ‘‘this subchapter’’ wherever appear- ing in subtitle 1 of title XX of act Aug. 14, 1935, was exe- cuted by making the substitution wherever appearing in this section, which is in subtitle A of title XX act Aug. 14, 1935, to reflect the probable intent of Congress. 1988—Subsec. (a). Pub. L. 100–485, § 607(1), substituted ‘‘Reports shall be prepared annually, covering the most recently completed fiscal year, and shall be in such form and contain such information (including but not limited to the information specified in subsection (c))’’ for ‘‘Reports shall be in such form, contain such infor- mation, and be of such frequency (but not less often than every two years)’’ in second sentence. Subsecs. (c), (d). Pub. L. 100–485, § 607(3), added subsec. (c) and redesignated former subsec. (c) as (d). 1984—Subsec. (c). Pub. L. 98–369 substituted ‘‘section 6503 of title 31’’ for ‘‘section 202 of the Intergovern- mental Cooperation Act of 1968 (42 U.S.C. 4212)’’. Statutory Notes and Related Subsidiaries 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. § 1397f. Additional grants (a) Entitlement (1) In general In addition to any payment under section 1397a of this title, each State shall be entitled to— (A) 2 grants under this section for each qualified empowerment zone in the State; and (B) 1 grant under this section for each qualified enterprise community in the State. (2) Amount of grants (A) Empowerment grants The amount of each grant to a State under this section for a qualified empowerment zone shall be— (i) if the zone is designated in an urban area, $50,000,000, multiplied by that propor- tion of the population of the zone that re- sides in the State; or (ii) if the zone is designated in a rural area, $20,000,000, multiplied by such propor- tion. (B) Enterprise grants The amount of the grant to a State under this section for a qualified enterprise com- munity shall be 1⁄95 of $280,000,000, multiplied by that proportion of the population of the community that resides in the State. (C) Population determinations The Secretary shall make population de- terminations for purposes of this paragraph based on the most recent decennial census data available. (3) Timing of grants (A) Qualified empowerment zones With respect to each qualified empower- ment zone, the Secretary shall make— (i) 1 grant under this section to each State in which the zone lies, on the date of the designation of the zone under part I of subchapter U of chapter 1 of the Internal Revenue Code of 1986; and (ii) 1 grant under this section to each such State, on the 1st day of the 1st fiscal year that begins after the date of the des- ignation. (B) Qualified enterprise communities With respect to each qualified enterprise community, the Secretary shall make 1 grant under this section to each State in which the community lies, on the date of the designation of the community under part I of subchapter U of chapter 1 of the Internal Revenue Code of 1986. (4) Funding $1,000,000,000 shall be made available to the Secretary for grants under this section. (b) Program options Notwithstanding section 1397d(a) of this title: (1) In order to prevent and remedy the ne- glect and abuse of children, a State may use amounts paid under this section to make grants to, or enter into contracts with, enti- ties to provide residential or nonresidential drug and alcohol prevention and treatment programs that offer comprehensive services for pregnant women and mothers, and their children. (2) In order to assist disadvantaged adults and youths in achieving and maintaining self- sufficiency, a State may use amounts paid under this section to make grants to, or enter into contracts with— (A) organizations operated for profit or not for profit, for the purpose of training and employing disadvantaged adults and youths