EXTENSION OF INDEPENDENT LIVING INITIATIVES PROGRAM.

SEC. 8002. EXTENSION OF INDEPENDENT LIVING INITIATIVES PROGRAM. (a) Program Extended for 3 Years.—Section 477 (42 U.S.C. 677) is amended— (1) in each of subsections (a)(1) and (e)(1), by striking “, 1988, and 1989” and inserting “through 1992”; and (2) in subsection (c), by striking “the fiscal year 1988 or 1989” and inserting “any of the fiscal years 1988 through 1992”. (b) Entitlement Increased.—Section 477(e)(1) (42 U.S.C. 677(e)(1)) is amended— (1) by inserting “(A)” after “(1)”; 103 STAT. 2453 (2) by striking ”The amount” and inserting ”The basic amount”; (3) by striking ”and 1989” and inserting ”1989, 1990, 1991, and 1992”; (4) by striking “$45,000,000” and inserting ”the basic ceiling for such fiscal year”; and (5) by adding after and below such provision the following: “(B) The maximum additional amount to which a State shall be entitled under section 474(a)(4) for fiscal years 1991 and 1992 shall be an amount which bears the same ratio to the additional ceiling for such fiscal year as the basic amount of such State bears to $45,000,000.”; and “(C) As used in this section: “(i) The term ‘basic ceiling’ means— “(I) for fiscal year 1990, $50,000,000; and “(II) for each fiscal year other than fiscal year 1990, $45,000,000. “(ii) The term ‘additional ceiling’ means— “(I) for fiscal year 1991, $15,000,000; and “(II) for fiscal year 1992, $25,000,000.”. (c) Matching Payments to States.—Section 474(a)(4) (42 U.S.C. 674(a)(4)) is amended to read as follows: “(4) an amount equal to the sum of— “(A) so much of the amounts expended by such State to carry out programs under section 477 as do not exceed the basic amount for such State determined under section 477(e)(1); and “(B) the lesser of— “(i) one-half of any additional amounts expended by such State for such programs; or “(ii) the maximum additional amount for such State under such section 477(e)(1).”. (d) Study by the Secretary of HHS; Report.— (1) Study.—The Secretary of Health and Human Services shall study the programs authorized under section 477 of the Social Security Act for the purposes of evaluating the effectiveness of the programs. The study shall include a comparison of outcomes of children who participated in the programs and a comparable group of children who did not participate in the programs. (2) Report.—Upon completion of the study, the Secretary shall issue a report to the Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives. (e) Effective Date.—The amendments made by subsections (a), (b) and (c) shall take effect October 1, 1989.