1.1                          A bill for an act 
  1.2             relating to human services; transferring funds from 
  1.3             the federal TANF block grant to the child care block 
  1.4             grant, Title XX, and MFIP employment and training 
  1.5             grants; making other changes in the area of welfare 
  1.6             reform; appropriating money; amending Minnesota 
  1.7             Statutes 1998, sections 256J.11, subdivision 2; and 
  1.8             256J.37, subdivision 9. 
  1.9   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.10     Section 1.  Minnesota Statutes 1998, section 256J.11, 
  1.11  subdivision 2, is amended to read: 
  1.12     Subd. 2.  [NONCITIZENS; FOOD PORTION.] (a) For the period 
  1.13  September 1, 1997, to October 31, 1997, noncitizens who do not 
  1.14  meet one of the exemptions in section 412 of the Personal 
  1.15  Responsibility and Work Opportunity Reconciliation Act of 1996, 
  1.16  but were residing in this state as of July 1, 1997, are eligible 
  1.17  for the 6/10 of the average value of food stamps for the same 
  1.18  family size and composition until MFIP-S is operative in the 
  1.19  noncitizen's county of financial responsibility and thereafter, 
  1.20  the 6/10 of the food portion of MFIP-S.  However, federal food 
  1.21  stamp dollars cannot be used to fund the food portion of MFIP-S 
  1.22  benefits for an individual under this subdivision. 
  1.23     (b) For the period November 1, 1997, to June 30, 1999, 
  1.24  Noncitizens who do not meet one of the exemptions in section 412 
  1.25  of the Personal Responsibility and Work Opportunity 
  1.26  Reconciliation Act of 1996, and are receiving cash assistance 
  1.27  under the AFDC, family general assistance, MFIP or MFIP-S 
  2.1   programs are eligible for the average value of food stamps for 
  2.2   the same family size and composition until MFIP-S is operative 
  2.3   in the noncitizen's county of financial responsibility and 
  2.4   thereafter, the food portion of the MFIP-S grant.  However, 
  2.5   federal food stamp dollars cannot be used to fund the food 
  2.6   portion of MFIP-S benefits for an individual under this 
  2.7   subdivision.  The assistance provided under this subdivision, 
  2.8   which is designated as a supplement to replace lost benefits 
  2.9   under the federal food stamp program, must be disregarded as 
  2.10  income in all programs that do not count food stamps as income 
  2.11  where the commissioner has the authority to make the income 
  2.12  disregard determination for the program. 
  2.13     (c) The commissioner shall submit a state plan to the 
  2.14  secretary of agriculture to allow the commissioner to purchase 
  2.15  federal Food Stamp Program benefits in an amount equal to the 
  2.16  MFIP-S food portion for each legal noncitizen receiving MFIP-S 
  2.17  assistance who is ineligible to participate in the federal Food 
  2.18  Stamp Program solely due to the provisions of section 402 or 403 
  2.19  of Public Law Number 104-193, as authorized by Title VII of the 
  2.20  1997 Emergency Supplemental Appropriations Act, Public Law 
  2.21  Number 105-18.  The commissioner shall enter into a contract as 
  2.22  necessary with the secretary to use the existing federal Food 
  2.23  Stamp Program benefits delivery system for the purposes of 
  2.24  administering the food portion of MFIP-S under this subdivision. 
  2.25     Sec. 2.  Minnesota Statutes 1998, section 256J.37, 
  2.26  subdivision 9, is amended to read: 
  2.27     Subd. 9.  [UNEARNED INCOME.] (a) The county agency must 
  2.28  apply unearned income to the transitional standard.  When 
  2.29  determining the amount of unearned income, the county agency 
  2.30  must deduct the costs necessary to secure payments of unearned 
  2.31  income.  These costs include legal fees, medical fees, and 
  2.32  mandatory deductions such as federal and state income taxes. 
  2.33     (b) Effective July 1, 1999, the county agency shall count 
  2.34  $100 of the value of public and assisted rental subsidies 
  2.35  provided through the Department of Housing and Urban Development 
  2.36  (HUD) as unearned income.  The full amount of the subsidy must 
  3.1   be counted as unearned income when the subsidy is less than $100.
  3.2      Sec. 3.  [APPROPRIATIONS.] 
  3.3      (a) $32,000,000 is transferred from the state's federal 
  3.4   TANF block grant to the state's federal Title XX block grant for 
  3.5   purposes of increasing services for families with children whose 
  3.6   incomes are at or below 200 percent of the federal poverty 
  3.7   guidelines. 
  3.8      (b) $10,000,000 is transferred from the state's federal 
  3.9   TANF block grant to the child care block grant for purposes of 
  3.10  the sliding fee child care program. 
  3.11     (c) $18,000,000 is transferred from the state's federal 
  3.12  TANF block grant to the commissioner of human services to 
  3.13  increase MFIP employment and training grants.