§ 603. Grants to States

Subsec. (a)(3)(H)(ii). Pub. L. 108–89, § 101(b)(1)(B), substituted “March 31, 2004” for “2003” and “fiscal year 2001” for “2001”.

Pub. L. 108–40, § 3(d)(3), substituted “2003” for “2002”.

Subsec. (a)(3)(H)(iii). Pub. L. 108–40, § 3(d)(4), substituted “each of fiscal years 2002 and 2003” for “fiscal year 2002”.

Subsec. (b)(2). Pub. L. 108–40, § 3(e)(1), substituted “2002, and 2003” for “and 2002”.

Subsec. (b)(3)(C)(ii). Pub. L. 108–89, § 101(b)(2), substituted “2004” for “2003”.

Pub. L. 108–40, § 3(e)(2), substituted “2003” for “2002”.

2002—Subsec. (a)(3)(H). Pub. L. 107–147, § 616, added subpar. (H).

Subsec. (b)(2). Pub. L. 107–147, § 617(1), substituted “2001, and 2002” for “and 2001”.

Subsec. (b)(3)(C)(ii). Pub. L. 107–147, § 617(2), substituted “2002” for “2001”.

2000—Subsec. (a)(5)(A)(i). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(1)], substituted “subparagraph (H)” for “subparagraph (I)” in introductory provisions.

Subsec. (a)(5)(A)(iv)(I)(aa). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(2)(A)], substituted “(H)” for “(I)” and “and (G)” for “(G), and (H)”.

Subsec. (a)(5)(A)(iv)(I)(bb). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(2)(B)], substituted “subparagraph (E)” for “subparagraph (F)”.

Subsec. (a)(5)(B)(v). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(3)], substituted “subparagraph (H)” for “subparagraph (I) ” in introductory provisions.

Subsec. (a)(5)(B)(v)(I)(aa). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(2)(A)], substituted “(H)” for “(I)” and “and (G)” for “(G), and (H)”.

Subsec. (a)(5)(B)(v)(I)(bb). Pub. L. 106–554, § 1(a)(1) [title I, § 107(b)(2)(B)], substituted “subparagraph (E)” for “subparagraph (F)”.

Subsec. (a)(5)(C)(viii). Pub. L. 106–554, § 1(a)(1) [title I, § 103)], substituted “5 years” for “3 years”.

Subsec. (a)(5)(E). Pub. L. 106–554, § 1(a)(1) [title I, § 107(a), (b)(4)], redesignated subpar. (F) as (E), substituted “subparagraph (H)” for “subparagraph (I)”, and struck out former subpar. (E), which established a set-aside for successful performance bonuses.

Subsec. (a)(5)(F). Pub. L. 106–554, § 1(a)(1) [title I, § 107(a), (b)(4)], redesignated subpar. (G) as (F) and substituted “subparagraph (H)” for “subparagraph (I)”. Former subpar. (F) redesignated (E).

Pub. L. 106–246, § 2402(1), substituted “$15,000,000” for “$1,500,000”.

Subsec. (a)(5)(G). Pub. L. 106–554, § 1(a)(1) [title V, § 513], which directed the amendment of subpar. (H) by substituting “2005” for “2001” in cl. (iii) and adding cl. (iv), was executed by making amendments to subpar. (G), to reflect the probable intent of Congress and the redesignation of subpar. (H) as (G) by Pub. L. 106–554, § 1(a)(1) [title V, § 107(a)]. See below.

Pub. L. 106–554, § 1(a)(1) [title I, § 107(a), (b)(4)], redesignated subpar. (H) as (G) and substituted “subparagraph (H)” for “subparagraph (I)” in cl. (i). Former subpar. (G) redesignated (F).

Pub. L. 106–246, § 2402(2), substituted “$9,000,000” for “$900,000”.

Subsec. (a)(5)(H). Pub. L. 106–554, § 1(a)(1) [title I, § 107(a), (c)], redesignated subpar. (I) as (H) and substituted “$1,400,000,000” for “$1,450,000,000” in cl. (i)(II). Former subpar. (H) redesignated (G).

Pub. L. 106–246, § 2402(3), substituted “$3,000,000” for “$300,000” in cl. (i).

Subsec. (a)(5)(I) to (K). Pub. L. 106–554, § 1(a)(1) [title I, § 107(a)], redesignated subpars. (J) and (K) as (I) and (J), respectively. Former subpar. (I) redesignated (H).

1999—Subsec. (a)(5)(A)(ii)(I)(ff). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 805(b)], added item (ff).

Subsec. (a)(5)(C)(i)(IV). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 803], inserted before period at end “, or if the entity is not a private industry council or workforce investment board, the direct provision of such services”.

Subsec. (a)(5)(C)(i)(VII). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 802], added subcl. (VII).

Subsec. (a)(5)(C)(ii). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 801(a)], amended heading and text of cl. (ii) generally, substituting provisions relating to general eligibility for provisions relating to required beneficiaries.

Subsec. (a)(5)(C)(iii). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 801(b)(1)(B)], added cl. (iii). Former cl. (iii) redesignated (iv).

Subsec. (a)(5)(C)(iv). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 801(c)], inserted “hard to employ” before “individuals” in heading, substituted “clauses (ii) and (iii) and, as appropriate, clause (v)” for “clause (ii)” before period at end of concluding provisions, added subcls. (II) to (IV), and struck out former subcl. (II) which read as follows: “to individuals—

“(aa) who are noncustodial parents of minors whose custodial parent is such a recipient; and

“(bb) who have such characteristics.”

Pub. L. 106–113, § 1000(a)(4) [title VIII, § 801(b)(1)(A)], redesignated cl. (iii) as (iv). Former cl. (iv) redesignated (v).

Subsec. (a)(5)(C)(v) to (ix). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 801(b)(1)(A)], redesignated cls. (iv) to (viii) as (v) to (ix), respectively.

Subsec. (a)(5)(C)(x). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 804(b)], added cl. (x).

Subsec. (a)(5)(E)(i). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(c)], substituted “award” for “make” and inserted “, but shall not make any outlay to pay any such grant before October 1, 2000” before period at end.

Subsec. (a)(5)(E)(iv)(I)(bb), (vi). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(a)], substituted “$50,000,000” for “$100,000,000”.

Subsec. (a)(5)(F). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(b)(1)], inserted “$1,500,000” before “of the amount so specified for fiscal year 1999”.

Subsec. (a)(5)(G). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(b)(2)], inserted “$900,000” before “of the amount so specified for fiscal year 1999”.

Subsec. (a)(5)(H)(i). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(b)(3)], inserted “$300,000” before “of the amount so specified for fiscal year 1999”.

Subsec. (a)(5)(I)(i). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 806(b)(4)], substituted “for grants under this paragraph—” and subcls. (I) and (II) for “$1,500,000,000 for each of fiscal years 1998 and 1999 for grants under this paragraph.”

Subsec. (a)(5)(K). Pub. L. 106–113, § 1000(a)(4) [title VIII, § 805(a)(2)], added subpar. (K).

1998—Subsec. (a)(5)(A)(iv)(II). Pub. L. 105–306 substituted “, other than funds reserved by the State for distribution under clause (vi)(III) and funds distributed pursuant to clause (vi)(I) in any State in which the service delivery area is the State” for “or sub-State entity”.

Subsec. (a)(5)(A)(vii)(I). Pub. L. 105–277, § 101(f) [title VIII, § 405(f)(22)(A)], struck out “described in section 103(c) of the Job Training Partnership Act or” before “defined in section 101 of the Workforce”.

Pub. L. 105–277, § 101(f) [title VIII, § 405(d)(30)(A)], substituted “(as described in section 103(c) of the Job Training Partnership Act or defined in section 101 of the Workforce Investment Act of 1998)” for “(as described in section 103(c) of the Job Training Partnership Act)”.

Subsec. (a)(5)(A)(ix). Pub. L. 105–277, § 101(f) [title I, § 102], added cl. (ix).

Subsec. (a)(5)(C)(ii). Pub. L. 105–200, § 408(1), struck out “of minors whose custodial parent is such a recipient” after “noncustodial parents” in introductory provisions.

Subsec. (a)(5)(C)(ii)(I). Pub. L. 105–200, § 408(2), inserted “or the noncustodial parent” after “recipient” in introductory provisions.

Subsec. (a)(5)(C)(ii)(II). Pub. L. 105–200, § 408(3), substituted “The recipient or the minor children of the noncustodial parent—” for “The individual—” in introductory provisions.

Subsec. (a)(5)(D)(ii). Pub. L. 105–277, § 101(f) [title VIII, § 405(f)(22)(B)(i)], struck out “the Job Training Partnership Act or” before “title I of the Workforce Investment”.

Pub. L. 105–277, § 101(f) [title VIII, § 405(d)(30)(B)(i)], substituted “means, with respect to a service delivery area, the private industry council or local workforce investment board established for the service delivery area pursuant to the Job Training Partnership Act or title I of the Workforce Investment Area of 1998, as appropriate” for “means, with respect to a service delivery area, the private industry council (or successor entity) established for the service delivery area pursuant to the Job Training Partnership Act”.

Subsec. (a)(5)(D)(iii). Pub. L. 105–277, § 101(f) [title VIII, § 405(f)(22)(B)(ii)], struck out before period at end “shall mean a local area as defined in section 101 of the Workforce Investment Act of 1998, as appropriate”.

Pub. L. 105–277, § 101(f) [title VIII, § 405(d)(30)(B)(ii)], substituted “shall have the meaning given such term for purposes of the Job Training Partnership Act or shall mean a local area as defined in section 101 of the Workforce Investment Act of 1998, as appropriate” for “shall have the meaning given such term (or the successor to such term) for purposes of the Job Training Partnership Act”.

1997—Pub. L. 105–33, § 5514(c), made technical amendment to directory language of Pub. L. 104–193, § 103(a)(1), which enacted this section.

Subsec. (a)(2). Pub. L. 105–33, § 5502(b)(1), inserted “ratio” after “illegitimacy” in heading.

Subsec. (a)(2)(A). Pub. L. 105–33, § 5502(b)(2), struck out “for which the State demonstrates a net decrease in out-of-wedlock births” after “bonus year”.

Subsec. (a)(2)(B). Pub. L. 105–33, § 5502(a)(1), amended heading and text of subpar. (B) generally. Prior to amendment, text read as follows:

“(i) If 5 eligible States.—If there are 5 eligible States for a bonus year, the amount of the grant shall be $20,000,000.

“(ii) If fewer than 5 eligible States.—If there are fewer than 5 eligible States for a bonus year, the amount of the grant shall be $25,000,000.”

Subsec. (a)(2)(C)(i)(I)(aa). Pub. L. 105–33, § 5502(b)(3)(A)(i), substituted “illegitimacy ratio of the State for” for “number of out-of-wedlock births that occurred in the State during” and “illegitimacy ratio of the State for” for “number of such births that occurred during”.

Pub. L. 105–33, § 5502(a)(2), inserted at end “In the case of a State that is not a territory specified in subparagraph (B), the comparative magnitude of the decrease for the State shall be determined without regard to the magnitude of the corresponding decrease for any such territory.”

Subsec. (a)(2)(C)(i)(I)(bb). Pub. L. 105–33, § 5502(c)(1)(A), substituted “the calendar year for which the most recent data are available” for “the fiscal year” and “calendar year 1995” for “fiscal year 1995”.

Subsec. (a)(2)(C)(i)(II). Pub. L. 105–33, § 5502(c)(1)(B), substituted “calendar” for “fiscal” wherever appearing.

Subsec. (a)(2)(C)(i)(II)(aa). Pub. L. 105–33, § 5502(b)(3)(A)(ii), substituted “illegitimacy ratio of” for “number of out-of-wedlock births that occurred in” in two places and “calculate the illegitimacy ratio” for “calculate the number of out-of-wedlock births”.

Subsec. (a)(2)(C)(ii). Pub. L. 105–33, § 5502(c)(2), substituted “calendar years” for “fiscal years”.

Subsec. (a)(2)(C)(iii). Pub. L. 105–33, § 5502(b)(3)(B), added cl. (iii).

Subsec. (a)(3)(C)(ii). Pub. L. 105–33, § 5502(d), substituted “1998” for “1997” in heading.

Subsec. (a)(5). Pub. L. 105–33, § 5001(a)(1), added par. (5).

Subsec. (a)(5)(A)(i)(I), (ii)(II). Pub. L. 105–78 substituted “during the period permitted under subparagraph (C)(vii) of this paragraph for the expenditure of funds under the grant” for “during the fiscal year”.

Subsec. (b)(2). Pub. L. 105–89, § 404(a), inserted “, reduced by the sum of the dollar amounts specified in paragraph (6)(C)(ii)” before period.

Subsec. (b)(4), (5). Pub. L. 105–33, § 5502(e)(2), redesignated pars. (5) and (6) as (4) and (5), respectively, and struck out former par. (4) which required each State to remit to the Secretary at the end of each fiscal year certain excess amounts paid to the State under par. (3) during the fiscal year.

Subsec. (b)(6). Pub. L. 105–33, § 5502(e)(3), added par. (6).

Pub. L. 105–33, § 5502(e)(2), redesignated par. (6) as (5).

Pub. L. 105–33, § 5502(e)(1), substituted “paragraph (4)” for “paragraph (5)” in introductory provisions.

Subsec. (b)(6)(C). Pub. L. 105–89, § 404(b), added subpar. (C).

Subsec. (b)(7). Pub. L. 105–33, § 5502(f), amended heading and text of par. (7) generally. Prior to amendment, text read as follows: “As used in this subsection:

“(A) State.—The term ‘State’ means each of the 50 States of the United States and the District of Columbia.

“(B) Secretary.—The term ‘Secretary’ means the Secretary of the Treasury.”

1996—Subsec. (b)(4)(A)(i)(II). Pub. L. 104–327, § 1(b)(1), struck out “minus any Federal payment with respect to such child care expenditures” after “for fiscal year 1994”.

Subsec. (b)(4)(A)(ii)(I). Pub. L. 104–327, § 1(b)(2), inserted “the sum of” before “the expenditures” and “, and any additional qualified State expenditures, as defined in section 609(a)(7)(B)(i) of this title, for child care assistance made under the Child Care and Development Block Grant Act of 1990” before “; exceeds”.

Statutory Notes and Related Subsidiaries

Effective Date of 2014 Amendment

Amendment by Pub. L. 113–128 effective on the first day of the first full program year after July 22, 2014 (July 1, 2015), see section 506 of Pub. L. 113–128, set out as an Effective Date note under section 3101 of Title 29, Labor.

Effective Date of 2012 Amendment

Pub. L. 112–96, title IV, § 4002(j), Feb. 22, 2012, 126 Stat. 195, provided that: “This section [amending this section and sections 609, 612 to 614, 618, and 1308 of this title] and the amendments made by this section shall take effect on the date of the enactment of this Act [Feb. 22, 2012].”

Effective Date of 2009 Amendment; Savings Provision

Pub. L. 111–5, div. B, title II, § 2101(a)(2), Feb. 17, 2009, 123 Stat. 448, provided that: “Effective October 1, 2010, subsection (c) of section 403 of the Social Security Act (42 U.S.C. 603) (as added by paragraph (1)) is repealed, except that paragraph (9) of such subsection shall remain in effect until October 1, 2011, but only with respect to section 407(b)(3)(A)(i) of such Act [42 U.S.C. 607(b)(3)(A)(i)].”

Effective Date of 2008 Amendment

Amendment of this section and repeal of Pub. L. 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, except as otherwise provided, see section 4 of Pub. L. 110–246, set out as an Effective Date note under section 8701 of Title 7, Agriculture.

Amendment by section 4002(b)(1)(A), (B), (2)(V) of Pub. L. 110–246 effective Oct. 1, 2008, see section 4407 of Pub. L. 110–246, set out as a note under section 1161 of Title 2, The Congress.

Effective Date of 2006 Amendment

Pub. L. 109–171, title VII, § 7701, Feb. 8, 2006, 120 Stat. 155, provided that: “Except as otherwise provided in this title [amending this section and sections 607, 608, 609, 611, 618, 622, 629f, 629h, 652, 653, 654, 655, 657, 664, 666, 671 to 673, 674, 1383, and 1383b of this title and section 6402 of Title 26, Internal Revenue Code, repealing section 1675c of Title 19, Customs Duties, enacting provisions set out as notes under sections 607, 608, 652, 654, 655, 657, 664, 666, and 1383 of this title and section 1675c of Title 19, and amending provisions set out as a note under section 1169 of Title 29, Labor], this title and the amendments made by this title shall take effect as if enacted on October 1, 2005.”

Effective Date of 2003 Amendment

Pub. L. 108–40, § 8, June 30, 2003, 117 Stat. 838, provided that: “The amendments made by this Act [amending this section and sections 606, 609, 612, 614, 618, 710, 1308, 1320a–9, 1396a, and 1396r–6 of this title] shall take effect on July 1, 2003.”

Effective Date of 2000 Amendment

Pub. L. 106–554, § 1(a)(1) [title I, § 107(d)], Dec. 21, 2000, 114 Stat. 2763, 2763A–12, provided that: “The amendments made by subsections (a), (b), and (c) of this section [amending this section and section 612 of this title] shall take effect on October 1, 2000.”

Effective Date of 1999 Amendment

Pub. L. 106–113, div. B, § 1000(a)(4) [title VIII, § 801(e)], Nov. 29, 1999, 113 Stat. 1535, 1501A–283, provided that: “The amendments made by this section [amending this section and sections 604 and 612 of this title]— “(1) shall be effective January 1, 2000, with respect to the determination of eligible individuals for purposes of section 403(a)(5)(B) of the Social Security Act [42 U.S.C. 603(a)(5)(B)] (relating to competitive grants); “(2) shall be effective July 1, 2000, except that expenditures from allotments to the States shall not be made before October 1, 2000—“(A) with respect to the determination of eligible individuals for purposes of section 403(a)(5)(A) of the Social Security Act [42 U.S.C. 603(a)(5)(A)] (relating to formula grants) in the case of those individuals who may be determined to be so eligible, but would not have been eligible before July 1, 2000; or “(B) for allowable activities described in section 403(a)(5)(C)(i)(VII) of the Social Security Act [42 U.S.C. 603(a)(5)(C)(i)(VII)] (as added by section 802 of this title) provided to any individuals determined to be eligible for purposes of section 403(a)(5)(A) of the Social Security Act (relating to formula grants).”

Effective Date of 1998 Amendments

Pub. L. 105–306, § 6(b), Oct. 28, 1998, 112 Stat. 2928, provided that: “The amendment made by subsection (a) [amending this section] shall take effect as if included in the enactment of section 5001 of the Balanced Budget Act of 1997 [Pub. L. 105–33].”

Amendment by section 101(f) [title VIII, § 405(d)(30)] of Pub. L. 105–277 effective Oct. 21, 1998, and amendment by section 101(f) [title VIII, § 405(f)(22)] of Pub. L. 105–277 effective July 1, 2000, see section 101(f) [title VIII, § 405(g)(1), (2)(B)] of Pub. L. 105–277, set out as a note under section 3502 of Title 5, Government Organization and Employees.

Effective Date of 1997 Amendments

Amendment by Pub. L. 105–89 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 a note under section 622 of this title.

Amendment by section 5502 of Pub. L. 105–33 effective as if included in section 103(a) of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, Pub. L. 104–193, at the time such section 103(a) became law, see section 5518(a) of Pub. L. 105–33, set out as a note under section 602 of this title.

Amendment by section 5514(c) of Pub. L. 105–33 effective as if included in the provision of Pub. L. 104–193 amended at the time the provision became law, see section 5518(d) of Pub. L. 105–33, set out as a note under section 862a of Title 21, Food and Drugs.

Effective Date of 1996 Amendment

Pub. L. 104–327, § 1(d), Oct. 19, 1996, 110 Stat. 4003, provided that: “The amendments made by this section [amending this section and provisions set out as a note under section 601 of this title] shall take effect as if included in the provisions of and the amendments made by the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 [Pub. L. 104–193].”

Effective Date

Subsec. (a)(1)(C), (D) of this section effective Oct. 1, 1996, and remainder of this section 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 a note under section 601 of this title.

Regulations

Pub. L. 106–113, div. B, § 1000(a)(4) [title VIII, § 801(f)], Nov. 29, 1999, 113 Stat. 1535, 1501A–284, provided that: “Interim final regulations shall be prescribed to implement the amendments made by this section [amending this section and sections 604 and 612 of this title] not later than January 1, 2000. Final regulations shall be prescribed within 90 days after the date of the enactment of this Act [Nov. 29, 1999] to implement the amendments made by this Act to section 403(a)(5) of the Social Security Act [42 U.S.C. 603(a)(5)], in the same manner as described in section 403(a)(5)(C)(ix) of the Social Security Act (as so redesignated by subsection (b)(1)(A) of this section).”