TEST PROGRAM FOR REIMBURSEMENT FOR ADOPTION EXPENSES

SEC. 638. TEST PROGRAM FOR REIMBURSEMENT FOR ADOPTION EXPENSES (a) Test Program.—The Secretary of Defense shall establish a test program under which a member of the Armed Forces may be reimbursed, as provided in this section, for qualifying adoption expenses incurred by the member in the adoption of a child under 18 years of age. (b) Adoptions Covered.—An adoption for which expenses may be reimbursed under this section includes an adoption by a single 101 STAT. 1107 person, an infant adoption, an intercountry adoption of a child with special needs (as defined in section 473(c) of the Social Security Act (42 U.S.C. 673(c))). (c) Benefits Paid After Adoption is Final.—Benefits paid under this section in the case of an adoption may be paid only after the adoption is final. (d) Treatment of Other Benefits.—A benefit may not be paid under this section for any expense paid to or for a member of the Armed Forces under any other adoption benefits program administered by the Federal Government or under any such program administered by a State or local government. (e) Limitations.—(1) Not more than $2,000 may be paid to a member of the Armed Forces under this section for expenses incurred in the adoption of a child. (2) Not more than $5,000 may be paid to a member of the Armed Forces under this section for adoptions by such member in any calendar year. (f) Regulations.—The Secretary shall prescribe regulations to carry out this section. (g) Definitions.—In this section: (1) The term “qualifying adoption expenses” means reasonable and necessary expenses that are directly related to the legal adoption of a child, but only if such adoption is arranged— (A) by a State or local government agency which has responsibility under State or local law for child placement through adoption; (B) by a nonprofit, voluntary adoption agency which is authorized by State or local law to place children for adoption; (C) through a private placement. (2) The term “qualifying adoption expenses” does not include any expense incurred— (A) for any travel performed outside the United States by an adopting parent, unless such travel— (i) is required by law as a condition of a legal adoption in the country of the child’s origin, or is otherwise necessary for the purpose of qualifying for the adoption of a child; (ii) is necessary for the purpose of assessing the health and status of the child to be adopted; (iii) is necessary for the purpose of escorting the child to be adopted to the United States or the place where the adopting member of the Armed Forces is stationed; (B) in connection with an adoption arranged in violation of Federal, State, or local law. (3) The term “reasonable and necessary expenses” includes— (A) public and private agency fees, including adoption fees charged by an agency in a foreign country; (B) placement fees, including fees charged adoptive parents for counseling; (C) legal fees, including court costs; (D) medical expenses, including hospital expenses of a newborn infant, for medical care furnished the adopted child before the adoption, and for physical examinations for the adopting parents; 101 STAT. 1108 (E) expenses relating to pregnancy and childbirth for the biological mother, including counseling, transportation, and maternity home costs; (F) temporary foster care charges when payment of such charges is required to be made immediately before the child’s placement; and (G) except as provided in paragraph (2)(A), transportation expenses relating to the adoption, (h) Effective Date and Duration of Test Program.—The test program required under this section shall apply with respect to qualifying adoption expenses incurred for adoption proceedings initiated after September 30, 1987, and before October 1, 1989.