births out-of-wedlock. There must be a program to prevent or reduce the incidence of births out-ofwedlock and to otherwise strengthen family life. Services to prevent and reduce births out-of-wedlock must be extended progressively to all appropriate adults and youths, with initial priority for mothers who have had children born out-of-wedlock within the 2 preceding years or who are currently pregnant outof-wedlock and for youths living in conditions immediately conducive to births out-of-wedlock. Services must be provided for fathers of such children.

§ 220.21 Family planning services.

Family planning services must be offered and provided to those individuals wishing such services, specifically including medical contraceptive services (diagnosis, treatment, supplies, and followup), social services and educational services. Such services must be available without regard to marital status, age, or parenthood. Individuals must be assured choice of method and there must be arrangements with varied medical resources so that individuals can be assured choice of source of service. Acceptance of any services must be voluntary on the part of the individual and may not be a prerequisite or impediment to eligibility for the receipt of any other service or aid under the plan. Medical services must be provided in accordance with the standards of other State programs providing medical services for family planning (e.g., maternal and child health services).

(e) Assist parent in child rearing. (f) Offer education for family living. (g) Evaluate the need for, and in appropriate cases provide for, protective and vendor payments and related services.

§ 220.23

Protective services and cooperation with courts.

(a) Protective services must be provided to children receiving aid who are found to be in danger of or subject to neglect, abuse or exploitation.

(b) There must be a specific plan whereby the State or local agency will bring cases of child abuse, neglect or exploitation to the attention of appropriate courts or law enforcement agencies. The same criteria for referral to courts or law enforcement agencies must be used as are used by the State or local agency for all other parents and children. There must be continued cooperation with such courts and officials to assist in planning for the child to serve his best interests.

§ 220.24 Services related to health needs.

Services must be provided to families and children with health needs through identifying needs for preventive and remedial medical services; locating organizations or individuals who are willing to provide quality services on a dignified basis and helping to solve any problems which may prevent them from obtaining needed medical services and from making optimum use of the services available.

REQUIREMENTS APPLICABLE TO THE WORK INCENTIVE PROGRAM UNDER TITLE IV, PART A

§ 220.35 Work incentive program.

(a) State plan requirements. Effective July 1, 1968, unless a State is prevented from complying on that date by State statute, and then no later than July 1, 1969, a State plan for AFDC under part A of title IV of the Social Security Act must provide that:

(1) Except as qualified in subparagraph (2) of this paragraph, prompt referral (see subdivision (iii) of this subparagraph) of the following will be made to the manpower agency designated by the Secretary of Labor (hereinafter referred to as the Manpower Agency) operating a Work Incentive Program under part C of title IV of such Act, for participation in such program: (i) Each appropriate individual (see

subdivision (iv) of this subparagraph), age 16 or over, who is receiving AFDC or who lives in the same household as an AFDC recipient and whose needs are taken into account in determining the assistance payment.

(ii) Any other individual receiving aid under the program who is not appropriate under the State plan and who, after being informed of the Work Incentive Program, requests such referral unless the State agency determines, subject to criteria established in the State plan, that participation therein will be inimiIcal to the welfare of such individual or the family.

(iii) A referral is the transmission of notice in writing by the State or local agency to the Manpower Agency to the effect that an individual described in subdivision (i) or (ii) of this subparagraph (1) has been determined to meet the criteria for referral, in an area where a Work Incentive Program is operated, and has been directed by the welfare agency to appear in person at an office of the Manpower Agency, when notified. Referrals of such individuals shall be made promptly after such determination, in an orderly manner, and will not be deferred by reason of the fact that there is no project activity under the Work Incentive Program to which such individual can be assigned.

(iv) Except as qualified in subparagraph (2) of this paragraph (a), appropriate individuals, under subdivision (i) of this subparagraph (1) must include (a) unemployed fathers, and (b) dependent children and essential persons age 16 or over who are not in school, at work, or in training, and for whom there are no educational plans under consideration for implementation within the next 3 months. The decision as to what other individuals are appropriate for referral is the responsibility of the State. The State plan must specify any such individuals and describe criteria, consistent with the provisions of this section, for their referral.

(2) No referral will be made to the Manpower Agency for participation under a Work Incentive Program of an individual described in subparagraph (1) (i) of this paragraph (a) if he is:

(1) A person with illness, incapacity, or advanced age;

(ii) A person so remote from any project under the Work Incentive Program that he cannot effectively participate therein;

(iii) A child attending school fulltime;

(iv) A person whose presence in the home on a substantially continuous basis is required because of the illness or incapacity of another member of the household; or

(v) A person whose presence in the home is required because adequate childcare services cannot be furnished.

(3) Determinations as to whether individuals shall be referred under subparagraph (1) (i) and (ii) of this paragraph (a) for participation under a Work Incentive Program, will be made in the following order of priority:

(i) (a) Unemployed fathers currently participating in a Work Experience and Training Program under title V of the Economic Opportunity Act or who have participated in a Community Work and Training Program under section 409 of the Social Security Act;

(b) Other unemployed fathers.

(ii) Mothers and other caretaker relatives and essential persons who volunteer and are currently participating in a Title V Work Experience and Training Program or have participated in a Community Work and Training Program.

(iii) Dependent children and essential persons age 16 or over who are not in school, at work, or in training, and for whom there are no educational plans under consideration for implementation within the next 3 months.

(iv) Mothers and others who volunteer but are not currently involved in a Work Experience and Training program and who have no preschool children.

(v) Mothers and others who volunteer and have preschool children.

(vi) Any others determined by the State to be appropriate for referral.

(4) If the plan includes dependent children of unemployed fathers, referral of such fathers who are appropriate will be made to the Manpower Agency, for participation under a Work Incentive Program, within 30 days after receipt of aid with respect to such children.

(5) AFDC will not be denied because of a referral to the Work Incentive Program or because of an individual's participation on a project under a program of institutional and work experience training or of special work projects under part C of title IV of the Social Security Act.

(6) (i) If and for so long as an individual described in and referred pursuant to subparagraph (1)(i) of this

paragraph (a) has been determined by the Manpower Agency to have refused without good cause to participate in the Work Incentive Program or to accept a bona fide offer of employment in which he is able to engage:

(a) If such individual is a relative receiving AFDC, his needs will not be taken into account in determining the family's need for assistance, and assistance in the form of protective or vendor payments or of foster care will be made;

(b) If such individual is the only dependent child in the family, assistance for the family will be denied;

(c) If such individual is one of several dependent children in the family, assistance for such child will be denied and his needs will not be taken into account in determining the family's need for assistance; and

(d) If such individual is not a recipient, his needs will not be taken into account in determining the family's need for assistance.

(ii) If an individual referred on a voluntary basis pursuant to subparagraph (1) (ii) of this paragraph (a) discontinues participation in the Work Incentive Program, he and his family are not subject to the provisions of subdivision (i) of this subparagraph (6).

(7) Each individual described in subparagraph (6) (i) of this paragraph (a) will, for a period of 60 days, be provided counseling or other services aimed at persuading him to participate in the Work Incentive Program or take employment in which he is able to engage.

(8) With respect to each individual described in subparagraph (6) (i) of this paragraph (a), the actions specified therein shall not be taken during the period of 60 days in which he is being provided the services referred to in subparagraph (7) of this paragraph, except scribed in subparagraph (6) (i) (a) of this paragraph (a), assistance in the form that in the case of the individual deof protective or vendor payments will be made in behalf of him and his family.

(9) In the determination of need for assistance, the following will be included in the State agency's policies for participation in the Work Incentive Program:

(i) The $30 monthly incentive payment made by the Manpower Agency to any participant in a program of institutional and work experience training will be disregarded.

(ii) The wages paid to an individual for his employment or participation in

a special work project will be supplemented as provided in subparagraph (13) (ii) of this paragraph (a); and net earnings (i.e., gross earnings minus wage deductions over which the individual has no control, such as social security and income taxes, and other work-related expenses, such as for transportation, grooming, extra food, etc.), will be used in determining whether the income of the individual employed in a special project will be supplemented by an assistance payment.

(iii) Such incentive payments or wages of participants will not be taken into consideration in determining the need of any other individual.

(10) Additional expenses reasonably attributable to an individual's participation in a program of institutional and work experience training will be paid to the family by the agency.

(11) All persons referred to the Work Incentive Program will be provided a prereferral medical examination to determine the individual's condition for participating in work and training activities, unless adequate information for this purpose is already available. States are urged to provide restorative medical services directly related to the participant's employability utilizing all available resources such as the vocational rehabilitation and title XIX programs. Such services include the provisions of items such as eyeglasses, hearing aids, cosmetic dentistry, and similar services.

(12) (i) Arrangements will be made by the State agency to assure a non-Federal contribution (see paragraph (b) of this section) to the Manpower Agency for 20 percent of the cost of operation of the Work Incentive Program.

(ii) There will be joint planning between the State agency and the Manpower Agency on projects, project costs, in-kind resources including facilities, equipment, and personnel (for purposes of the non-Federal contribution), and methods of exchange of information concerning wage rates and earnings.

(13) The State agency will make:

(i) Payments each month into the account(s) established by the Manpower Agency for participants in special work projects equal to the money payment which would otherwise be made to or on behalf of the individual (and his family), or 80 percent of the individual's gross earnings, whichever is lesser; and

(ii) Supplemental payments of assistance to the individual participating in a

special work project, in an amount which, when added to his net earnings, will equal the money payment he would have received for himself and his family if he were not in the project, plus 20 percent of his gross earnings from the special work project.

(14) The State agency will make arrangements with the Manpower Agency for the return of unexpended payments described in subparagraph (13) (i) of this paragraph (a); and will make adjustments in overpayments resulting from the return of such unexpended payments at the end of the fiscal year or such other periods as may be determined.

(15) After planning with the individual for his participation in a Work Incentive Program, the welfare agency will notify the individual in writing that he has been referred to the Work Incentive Program and that he has a right to a fair hearing before the State agency with respect to a determination regarding the appropriateness of such referral, the amount of payments, or the denial of assistance.

(16) In the event an individual who has been referred to the Work Incentive Program refuses to accept employment which is offered to him by an employer, whether directly or through the employment service or the welfare agency, the determination as to whether the offer was bone fide or there was good cause to refuse the offer will be made only by the Manpower Agency (after providing opportunity for fair hearing) and will be binding on the welfare agency.

(b) Non-Federal contribution. For purposes of paragraph (a) (12) (i) of this section:

(1) Except as specifically authorized by Federal statute, a non-Federal contribution may not include funds or expenditures which are used to meet the Federal or State share of other programs receiving Federal financial assistance.

(2) The non-Federal contribution may be in cash or in-kind. A contribution inkind may be made in the form of the provision of services, staff, space, equipment, or any other goods or services of value essential to the operation of the Work Incentive Program or any project under such program. Where such contribution is in-kind, the amount thereof will be determined on the basis of its reasonable value as established by suitable documentation.

(3) The costs of operation of the Work Incentive Program which may be met by the non-Federal contribution may include the costs of training, supervision, materials, administration, incentive payments, transportation, and other items as are authorized by the Manpower Agency, but may not include any reimbursement for time spent by participants in work, training, or other participation in such program.

(4) If the State welfare agency fails to make arrangements for the non-Federal contribution of 20 percent of the total Statewide Work Incentive Program costs of operation, the Secretary of Health, Education, and Welfare may withhold under the conditions specified in the law the equivalent of amounts to be paid from the grants to the State agency for the public assistance titles.

(e) Referral to the manpower agency. (1) To refer a client to the Work Incentive Program (see paragraph (a)(1) of this section), the welfare agency will complete section 1 of the Referral and Enrollment Form and send it, accompanied by a resume on the applicant's history, to the local Manpower Agency office. When such office notifies the client of a date for a personal interview, it will also notify the welfare agency of this date. It is then the obligation of the agency to follow through with the client and offer assistance, if needed, to help him keep his appointment. If something in the client's situation arises that prevents the client from keeping his appointment, another appointment will be made. In some cases, it may be necessary for a caseworker or someone else known to the client to accompany him on his interview. If the client so referred does not keep his scheduled interview, the welfare agency will work with the client to arrange another appointment and will advise the Manpower Agency of the outcome.

(2) When an individual referred to the Work Incentive Program refuses without good cause to accept employment in which he is able to engage or participate in a Work Incentive Program project, the Manpower Agency shall (after providing opportunity for fair hearing) notify the welfare agency and submit all the information on the refusal. Provision is made for special help for such an individual. The welfare agency is to provide intensive counseling and

services for up to 60 days with a view to persuading the client to take employment in which he is able to engage or participate in the Work Incentive Program. (For related provisions, see paragraph (a) (6) of this section.)

(3) In the event an individual referred to the Manpower Agency should need to be referred back to the welfare agency as having good cause for not continuing on a training plan or a job, the welfare agency shall promptly restore the assistance payment to the individual or make other necessary payment adjustments. [34 F.R. 1354, Jan. 28, 1969, as amended at 36 F.R. 5605, Mar. 25, 1971] MANDATORY SERVICES APPLICABLE TO TITLE IV, PART B

§ 220.40 Child welfare services.

(a) The State plan must assure progressive extension of child welfare services so that such services will be available in all political subdivisions by July 1, 1975, for all children in need of them; including annual progress in one or more of the following dimensions:

(1) Covering additional political subdivisions;

(2) Reaching additional children in need of services;

(3) Expanding the range of services provided;

(4) Improving the quality of services through additional trained child welfare personnel.

(b) The State plan must provide that: (1) As a basis for giving priority in extending the provision of child welfare services to communities with the greatest need for such services, there will be a reasonable and objective method for assessing this need, taking into consideration their relative financial need.

(2) As a minimum, there will be child welfare services to children in their own homes and the provision of foster care of children.

(3) There will be a case plan, including diagnostic evaluation and plan for treatment, when a child is accepted for child welfare services; and periodic review of such plan.

(4) Child welfare services will be available on the basis of need for services and shall not be denied on the basis of financial need, legal residence, social status or religion.

(5) Child welfare services will not be limited to AFDC cases.

OTHER REQUIREMENTS APPLICABLE ΤΟ TITLE IV, PARTS A AND B, AS INDICATED § 220.45 Community planning (applicable to IV-A and B).

(a) There must be progress in developing State and local agency leadership for participation in community affairs which will result in the development of community resources necessary to achieve program objectives of title IV, parts A and B.

(b) The State plan must also show the steps to be taken to achieve this objective, including the staffing for this function.

§ 220.46 Reports and evaluations (applicable to IV-A and B).

Such reports and evaluations must be furnished to the Secretary as he may specify, showing the scope, results and costs of services for families and children.

§ 220.47 Implementation; local agencies and service contractors (applicable to IV-A and B).

(a) The State agency must have methods of assuring that local agencies are meeting the plan requirements, and where services are purchased, of monitoring local agencies and service contractors to insure that the plan requirements are being met and funds are being appropriately and effectively used. See separate SRS policy governing purchase of services.

(b) The State plan must also describe the methods to be used to carry out this requirement.

§ 220.48 Establishing paternity and securing support for children receiving aid (applicable to IV-A).

(a) There must be a program for establishing paternity for children born out-of-wedlock and for securing financial support for them and for all other children receiving AFDC who have been deserted by their parents or other legally liable persons. Efforts must be made to locate putative and absent parents and there must be a determination of their potential to provide financial support. There must be provision for the utilization of reciprocal arrangements with other States to obtain or enforce court orders for support. There must be a single staff unit in the State agency and in large local agencies to administer this