1Reenacting and amending the act of May 16, 2002 (P.L.315,
2No.46), entitled "An act providing for a community services
3block grant program; and further providing for powers and
4duties of the Department of Community and Economic
5Development," extending the expiration of the act; and making
6editorial changes.

7The General Assembly of the Commonwealth of Pennsylvania
8hereby enacts as follows:

9Section 1. The title and sections 1 and 2 of the act of May
1016, 2002 (P.L.315, No.46), known as the Community Services Block
11Grant Act, are reenacted to read:

12AN ACT

13Providing for a community services block grant program; and
14further providing for powers and duties of the Department of
15Community and Economic Development.

16Section 1. Short title.

17This act shall be known and may be cited as the Community
18Services Block Grant Act.

19Section 2. Declaration of policy.

1The General Assembly finds and declares as follows:

2(1) It is the intention of the General Assembly as a
3matter of public policy to affirm the commitment of the
4Commonwealth to ameliorating the causes and effect of poverty
5by:

6(i) Providing a range of services and activities
7having a measurable and potentially major impact on the
8causes of poverty in the community and establishing
9grants for organizations providing services to migrant
10and seasonal farmworkers.

11(ii) Encouraging and supporting a holistic approach
12designed to move low-income families and individuals
13towards self-sufficiency.

14(iii) Providing activities designed to assist low-
15income participants in obtaining employment, education,
16housing, emergency assistance, transportation and other
17necessities.

18(iv) Providing, on an emergency basis, for the
19provision of such supplies and services, nutritious
20foodstuffs and related services as may be necessary to
21counteract conditions of starvation and malnutrition
22among the poor.

23(v) Coordinating and establishing linkages between
24governmental and other social service programs to assure
25the effective delivery of services to low-income
26individuals.

27(vi) Encouraging the use of entities in the private
28sector in efforts to ameliorate poverty in the community.

29(2) It is also the intention of the General Assembly to
30stimulate a better focusing of human and financial resources

1on the goal of eliminating poverty by providing for the
2continuity of programs which presently exist throughout this
3Commonwealth for this stated purpose.

4(3) By so doing, it is the intention of the General
5Assembly to set forth the policies which shall govern the
6administration of the community services block grant or
7subsequent funding mechanisms established for similar
8purposes. This block grant was created by the Omnibus Budget
9Reconciliation Act of 1981 and follows the provisions defined
10in that act.

11(4) The General Assembly also finds that the Federal
12funds available to finance activities under this act shall be
13used for the following purposes:

14(i) To provide a range of services and activities
15having a measurable and potentially major impact on
16causes of poverty in the community or those areas of the
17community where poverty is a particularly acute problem.

18(ii) To provide activities designed to assist low-
19income participants, including the elderly poor:

20(A) to secure and retain meaningful employment;

21(B) to attain an adequate education;

22(C) to make better use of available income;

23(D) to obtain and maintain adequate housing and
24a suitable living environment;

25(E) to obtain emergency assistance through loans
26or grants to meet immediate and urgent individual and
27family needs, including the need for health services,
28nutritious food, housing and employment-related
29assistance;

30(F) to remove obstacles and solve problems which

1block the achievement of self-sufficiency;

2(G) to achieve greater participation in the
3affairs of the community; and

4(H) to make more effective use of other programs
5related to the purposes of this act.

6(iii) To provide on an emergency basis for the
7provision of such supplies and services, nutritious
8foodstuffs and related services as may be necessary to
9counteract conditions of starvation and malnutrition
10among the poor.

11(iv) To coordinate and establish linkages between
12governmental and other social services programs to assure
13the effective delivery of such services to low-income
14individuals.

15(v) To encourage the use of entities in the private
16sector of the community in efforts to ameliorate poverty
17in the community.

18Section 2. Section 3 of the act is reenacted and amended to
19read:

20Section 3. Definitions.

21The following words and phrases when used in this act shall
22have the meanings given to them in this section unless the
23context clearly indicates otherwise:

24"Case management." A series of coordinated activities to
25determine, with the income-eligible individuals, what services
26are needed and to coordinate their timely provision within the
27agency and through other resources in the community.

28"Community action agency." Any organization which was
29officially designated by county commissioners or mayors as such
30under the Omnibus Budget Reconciliation Act of 1981 (Public Law

197-35, 95 Stat. 357) or established pursuant to this act, whose
2structure and functions are further defined in sections 4 and 5.

3"Community food and nutrition program." A program whereby
4grants are made to State and local hunger prevention
5organizations for activities which address the food and
6nutrition needs of low-income populations, especially high risk
7children, as outlined in section 681A(a) of the Community
8Services Block Grant Act (Public Law 97-35, [42 U.S.C. §
99910A(a)] 98 Stat. 2886).

10"Community services block grant." A program authorized by
11the Omnibus Budget Reconciliation Act of 1981 (Public Law 97-35,
1295 Stat. 357) which follows the provision defined in Title XVII,
13Subtitle C, Chapter 2 (95 Stat. 762), which is intended to be
14used by the Commonwealth for programs to ameliorate the causes
15and effects of poverty.

16"Community Services Block Grant Advisory Task Force." An
17advisory panel established by the department pursuant to the
18Omnibus Budget Reconciliation Act of 1981 (Public Law 97-35, 95
19Stat. 357) to:

20(1) coordinate and establish linkages between
21governmental and other social services programs as
22established by this act to assure the effective delivery of
23such services to low-income individuals; and

24(2) encourage the use of entities in the private sector
25of the community to ameliorate poverty.

26"Department." The Department of Community and Economic
27Development of the Commonwealth or the designated agency
28responsible for the administration of community service block
29grant funds.

30"Eligible entity." Any agency or organization designated in

1the Omnibus Budget Reconciliation Act of 1981 (Public Law 97-35,
295 Stat. 357) as an eligible recipient of community services
3block grant funds, including a limited purpose agency and a
4Statewide migrant and seasonal farmworkers' organization.

5"Limited purpose agency." An agency that was funded under
6Title II of the Economic Opportunity Act of 1964 (Public Law 88-
7452, 78 Stat. 508) for a limited functional or geographical
8purpose and recognized as a community action program under the
9Omnibus Budget Reconciliation Act of 1981 (Public Law 97-35, 95 
10Stat. 357).

11"Omnibus Budget Reconciliation Act of 1981." The Omnibus
12Budget Reconciliation Act of 1981 (Public Law 97-35, [42 U.S.C.
13§ 9901 et seq.] 95 Stat. 357).

14"Secretary." The Secretary of Community and Economic
15Development of the Commonwealth or the designated individual
16responsible for the administration of community service block
17grant funds.

18Section 3. Sections 4 and 5 of the act are reenacted to
19read:

20Section 4. Eligibility for community services block grant funds
21and designation of community action agencies.

22(a) Community action agency receives block grants.--Each
23county and first and second class city within this Commonwealth
24to receive funds under this act shall have a community action
25agency designated to receive community services block grant
26funds. These community action agencies may be an arm of the
27designating unit of government or other eligible entity,
28constituted so that one-third of the members of the board of
29directors are elected public officials currently holding offices
30or their representatives, except that, if the number of elected

1officials reasonably available and willing to serve is less than
2one-third of the board membership, membership on the board of
3appointive officials may be counted in meeting such one-third
4requirement; at least one-third are persons chosen in accordance
5with departmentally approved democratic selection procedures
6adequate to assure that they are representative of the poor in
7the area served; and the remainder of the members are officials
8or members of business, industry, labor, religious, welfare,
9education or other major groups and interests in the community.

10(b) Present agencies included for eligibility.--This
11designation includes all present community action agencies and
12other eligible entities established under the Omnibus Budget
13Reconciliation Act of 1981. In counties and first and second
14class cities where there is no community action agency, the
15department shall provide services through another eligible
16agency which shall receive community service block grant funds
17specifically for this purpose.

18Section 5. Community action agencies and board.

19(a) Powers of agency.--Each community action agency
20designated and created pursuant to the criteria set forth in
21section 4 shall:

22(1) Develop and implement programs and projects designed
23in accordance with Federal regulations established under the
24Omnibus Budget Reconciliation Act of 1981 to serve the poor
25or low-income areas with maximum feasible participation of
26residents of the areas and members of the groups served, so
27as to best stimulate and take full advantage of capabilities
28for self-advancement and assure that those programs and
29projects are otherwise meaningful to and widely utilized by
30their intended beneficiaries. Participation in any community

1service block grant program is limited to persons whose
2income in relation to family size does not exceed 125% of the
3official poverty line established by the Federal Office of
4Management and Budget.

5(2) Be a continuing and effective mechanism for securing
6broad community involvement in the programs assisted under
7this act.

8(3) Provide effective coordination of existing community
9action programs with other Federal and State funds provided
10within the jurisdictional area targeted to the low-income
11population to avoid duplication of efforts within the area.

12(b) Functions of agency.--In exercising its powers and
13carrying out its overall responsibility for a community action
14program, a community action agency shall have, subject to the
15purposes of this act, at least the following functions:

16(1) Planning systematically for and evaluating the
17programs, including actions to develop information as to the
18problems and causes of poverty in the community; determining
19how much and how effectively assistance is being provided to
20deal with those problems and causes; and establishing
21priorities among projects, activities and areas as needed for
22the best and most efficient use of resources.

23(2) Encouraging agencies engaged in activities related
24to the community action program to plan for, secure and
25administer assistance available under this act or from other
26sources on a common or cooperative basis; providing planning
27or technical assistance to those agencies; and generally, in
28cooperation with community agencies and officials,
29undertaking actions to improve existing efforts to attack
30poverty, such as improving day-to-day communication, closing

1service gaps, focusing resources on the most needy and
2providing additional opportunities to low-income individuals
3for regular employment and affordable housing or
4participation in the programs or activities for which those
5community agencies and officials are responsible.

6(3) Initiating and sponsoring projects responsive to
7needs of the poor which are not otherwise being met, with
8particular emphasis on providing central or common services
9that can be drawn upon by a variety of related programs;
10developing new approaches or new types of services that can
11be incorporated into other programs; and filling gaps pending
12the expansion or modification of those programs.

13(4) Establishing effective procedures by which the poor
14and area residents concerned will be enabled to influence the
15character of programs affecting their interests and providing
16technical and other support needed to enable the poor and
17neighborhood groups to secure on their own behalf available
18assistance from public and private sources.

19(5) Joining with and encouraging business, labor and
20other private groups and organizations to undertake, together
21with public officials and agencies, activities in support of
22the community action program which will result in the
23additional use of private resources and capabilities, with a
24view to such things as developing new employment
25opportunities, stimulating investment that will have a
26measurable impact in reducing poverty among residents of
27areas of concentrated poverty and providing methods by which
28residents of those areas can work with private groups, firms
29and institutions in seeking solutions to problems of common
30concern.

1(6) Utilizing a comprehensive case-management approach
2to the provision of services provided to eligible low-income
3individuals as defined in section 3.

4(c) Prohibition of activities.--No community action agency
5or limited purpose agency receiving funds pursuant to this act
6may engage in organized political activity, including, but not
7limited to, endorsement of candidates for public office,
8political fundraising or provide similar assistance in
9connection with an election, nor shall funds received pursuant
10to this act be expended for providing transportation of voters
11or prospective voters to the polls on a nonpartisan basis, for
12providing any nonpartisan voter registration activity or
13lobbying efforts at the local, State or Federal level.

14Section 4. Section 6 of the act is reenacted and amended to
15read:

16Section 6. Financial assistance for community services block
17grant program.

18(a) Apportionment of appropriations.--To help meet the
19department's objective of establishing community action agencies
20to provide services to all counties within this Commonwealth,
21the sum appropriated under the community services block grant
22shall be distributed as follows:

23(1) No greater than 5% shall be allotted to the
24department for the administration of program operations.

25(2) No less than 5% may be allotted, at the discretion
26of the secretary, for a range of activities, including the
27funding of community food and nutrition programs in a manner
28consistent with this act.

29(3) Of the remaining 90%, no greater than 5% may be
30alloted to establish community action agencies in those areas

1currently unserved; no less than 85% shall be reserved for
2existing community action agencies and other eligible
3entities as defined in section 3.

4(4) A formula basis shall be established for the
5distribution of funds reserved for community action agencies.
6The formula shall include consideration of the number of
7persons below the poverty level and the number of persons
8unemployed, as determined annually by the United States
9Department of Labor, and shall include a minimum funding
10level of community services block grant funds for existing
11community action agencies meeting the requirements of the
12Omnibus Budget Reconciliation Act of 1981 and a Statewide
13migrant and seasonal farmworkers' organization approved by
14the secretary.

15(5) A minimum funding level of only community service
16block grant funds shall be set at [$150,000 or a pro rata
17amount if insufficient funds are available to provide the
18minimum amount.] an amount equal to 1.06% of the annual 
19community service block grant allocation awarded to the 
20Commonwealth following the distribution of administrative and 
21discretionary funds by the department. Each community action 
22agency shall receive no less than $250,000 in any year. If 
23insufficient funds are available to meet that amount, funds 
24shall be distributed on a pro rata basis.

25(6) As established by the formula under this section,
26the determination of annual funding levels shall be made by
27the secretary based on input from the local agencies and the
28Community Services Block Grant Advisory Task Force.

29(a.1) Reduction or termination of funding.--

30(1) Any community action agency or migrant and seasonal

1farmworker organization which received funding in the
2previous fiscal year under this act will not have its present
3or future funding terminated under this act or reduced below
4the proportional share of funding it received in the previous
5fiscal year unless, after notice and opportunity for hearing
6on the record, the Commonwealth determines that cause existed
7for such termination or such reduction, subject, however, to
8review under section 678C(b) of the Omnibus Budget
9Reconciliation Act of 1981 (42 U.S.C. § 9916(b)).

10(2) For purposes of making a determination with respect
11to a funding reduction, the term "cause" includes:

12(i) a Statewide redistribution of funds under this
13act to respond to:

14(A) the results of the most recently available
15census or other appropriate data;

16(B) the establishment of a new eligible entity;

17(C) severe economic dislocation; and

18(ii) the failure of an eligible entity to comply
19with the terms of its agreement to provide services under
20this act.

21(b) Grant prerequisite.--The secretary shall require, as a
22condition of assistance, that each community action agency or
23other eligible agency designated for funding adopt a systematic
24approach for achieving the functions stated in section 5(b) and
25for utilizing the funds provided under this act. Such an
26approach shall encompass a planning and implementation process
27which seeks to identify the problems and causes of poverty in
28the community, seeks to mobilize and coordinate relevant public
29and private resources, establishes program priorities, links
30program components with one another and with other relevant

1programs and provides for evaluation.

2(c) Program priorities.--The secretary may establish
3Statewide priorities for the offering of specific services or
4type of services. In establishing these priorities, the
5secretary shall consider the recommendations of the Community
6Services Block Grant Advisory Task Force.

7(d) Determination of local services.--To promote local
8responsibility and initiatives, decisions regarding which of the
9qualified services shall be provided shall be established
10through a local planning process administered by the local
11agency. The plan should be based on the recommendations of the
12local board of directors and the public at large and the
13Statewide priorities established by the secretary. Each local
14agency shall submit its plan to the department for review to
15ensure eligibility of proposed services under the provision of
16Federal law and regulations and consistency to the extent
17possible with the Statewide priorities.

18Section 5. Section 7 of the act is reenacted to read:

19Section 7. Monitoring of community action agency.

20(a) Monitoring procedures.--It shall be the policy of the
21department to monitor the community action agencies to assure
22compliance with all contractual obligations and to assess the
23effectiveness of local agencies in meeting the objectives of
24this act as outlined in section 2 and to assess the impact of
25Statewide priorities on local services. Monitoring procedures
26shall be established annually by the department and published as
27part of the State plan.

28(b) Onsite visits.--If determined to be necessary by the
29department, the department may conduct an agency onsite visit.
30The department may conduct an onsite visit to clarify

1discrepancies that may result from monitoring procedures, review
2agency records regarding programs funded pursuant to this act,
3interview agency personnel and board members and interview
4agency constituents and other local human services agencies.

5(c) Preparation of report.--The department shall prepare a
6report using the findings of the monitoring procedures and
7onsite visits, if conducted, which identifies agency strengths
8and weaknesses and any required remedial actions. A copy of the
9report shall be forwarded by mail to the community action
10agency. The agency may request a conference with the department
11to discuss the report.

12Section 6. Section 8 of the act is reenacted and amended to
13read:

14Section 8. Fiscal control and fund accounting.

15Under the provisions of the Omnibus Budget Reconciliation Act
16of 1981, the department shall:

17(1) Provide that fiscal control and fund accounting
18procedures be established as may be necessary to assure the
19proper disbursement of and accounting for Federal funds paid
20to the Commonwealth. This includes procedures which may be
21necessary for monitoring the assistance provided to community
22action agencies and other eligible agencies under the
23provisions of that act.

24(2) Provide that at least once a year the department
25shall prepare an audit of its expenditures of amounts
26received and transferred to carry out the purposes of this
27section. If the auditing and monitoring procedures result in
28any audit exceptions or disallowed costs on the part of any
29local agency, the local agency shall reimburse the department
30for said audit exceptions and disallowed costs from non-State

1and non-Federal funds.

2(3) Permit and cooperate with Federal investigations
3undertaken pursuant to section [678D] 678C of the Omnibus
4Budget Reconciliation Act of 1981 ([Public Law 97-35,] 42
5U.S.C. § 9916).

6Section 7. Sections 9, 10, 11 and 12 of the act are
7reenacted to read:

8Section 9. Remedies.

9(a) Notice of discrepancy or violation.--If a discrepancy or
10violation of this act is discovered through monitoring and
11auditing activities of the department, the department shall
12notify the community action agency of the discrepancy or
13violation immediately by certified mail.

14(b) Agency response.--The agency shall respond to the
15department's notice of discrepancy or violation within two weeks
16of receipt of said notice by written correspondence to or by
17requesting a meeting with the department to negotiate or clarify
18facts.

19(c) Agency noncompliance.--If the community action agency is
20found to have been in noncompliance with the provisions of this
21act, the department shall have the power to do any of the
22following:

23(1) Require appropriate corrective measures and provide
24technical assistance to assist in implementing them.

25(2) Place the community action agency on probation until
26the agency complies with this act.

27(d) Agency violation.--Notwithstanding subsection (b), if
28the department determines that a violation has occurred with
29willful disregard for this act, the department may do any of the
30following:

1(1) Suspend the community service block grant contract
2for a designated period of time. The agency must then rectify
3the violation and reestablish itself as competent as
4determined by the department to carry out those
5responsibilities enumerated in this statute for a community
6action agency.

7(2) Close out the community service block grant contract
8through the process of defunding, in accordance with Federal
9law and regulations. If closeout is approved by the
10secretary, a minimum of 30 days' notice shall be given to the
11agency. The department shall oversee agency equipment
12inventory transfer to other agencies.

13(e) Right of appeal.--The community action agency shall, at
14all times, retain the right to appeal any departmental
15adjudications concerning this program as otherwise provided by
16law.

17Section 10. Waivers.

18If a determination is made by the Department of Health and
19Human Services that any provisions of this act are in violation
20of Federal law or regulations and would jeopardize Federal
21funding, the secretary, with the approval of the Governor, may
22suspend those sections or portions thereof whose enforcement
23constitutes said violations.

24Section 11. Construction.

25This act shall be construed as a continuation of the act of
26July 10, 1986 (P.L.1263, No.116), known as the Community
27Services Act.

28Section 12. Retroactivity.

29This act shall be retroactive to January 1, 2002.

30Section 8. Section 13 of the act, amended November 16, 2005

1(P.L.381, No.70), is reenacted and amended to read:

2Section 13. Expiration.

3This act shall expire December 31, [2011] 2017.

4Section 9. Section 14 of the act is reenacted to read:

5Section 14. Effective date.

6This act shall take effect immediately.

7Section 10. This act shall apply retroactively to December
831, 2011.

9Section 11. This act shall take effect immediately.