Section 1 Short title
This Act may be cited as the “Stop Fraud by Strengthening Oversight and More Accountability for Lying and Illegal Activity Act” or the “Stop Fraud by SOMALIA Act”.
Stop Fraud by Strengthening Oversight and More Accountability for Lying and Illegal Activity Act
A BILL
To amend the Child Care and Development Block Grant Act of 1990 to debar child care providers who commit fraud from receiving certain financial assistance, and for other purposes.
Sec. 2 Noncompliance due to fraud
Section 658I(b) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858g(b)) is amended—
by redesignating paragraph (3) as paragraph (4); and
by inserting after paragraph (2) the following:
“(3) Noncompliance due to fraud
“(A) Definition—In this paragraph, the term final determination of fraud means a judicial decision or administrative order, for which all rights to appeal have been exhausted or waived, that determines that a child care provider—
“(i) knowingly submitted a false statement or documentation to obtain funds appropriated under any authority and available under this subchapter;
“(ii) misrepresented ownership of, enrollment at, attendance at, or services provided through a program of child care services, or the eligibility of the provider to provide such a program, to obtain such funds;
“(iii) to obtain such funds, operated without State licensing that is required under section 658E(c)(2)(F);
“(iv) made a knowing and improper expenditure of such funds; or
“(v) engaged in any other conduct related to such funds that constituted fraud under Federal or State law.
“(B) Reimbursement—If the Secretary finds that there has been a final determination of fraud by a child care provider that received funds described in subparagraph (A)(i) from a State, the Secretary shall notify the State of the finding and shall require that the State reimburse the Secretary for the financial assistance that was the subject of the determination of fraud (referred to in this paragraph as “financial assistance obtained through fraud”), that the Secretary deduct from the administrative portion of the State allotment for the following fiscal year an amount that is less than or equal to the financial assistance obtained through fraud, or a combination of such options.
“(C) Additional sanctions—If the Secretary makes a finding described in subparagraph (B), the Secretary may, in addition to imposing the sanctions described in such subparagraph, impose other appropriate sanctions, including recoupment of money improperly expended for purposes prohibited or not authorized by this subchapter, and disqualification from the receipt of financial assistance under this subchapter.
“(D) Mandatory permanent debarment
“(i) Debarment—If the Secretary makes a finding described in subparagraph (B), the Secretary shall permanently debar the provider from participating in, or receiving financial assistance under, any Federal child care assistance program funded in whole or in part by the Department of Health and Human Services.
“(ii) No reinstatement—No person may waive, reverse, or reduce the period or scope of a debarment made under clause (i). No child care provider, subject to such a debarment, may regain eligibility to participate in or receive financial assistance under a program described in clause (i) by changing the name of the provider or the program offered by the provider, by reorganizing, by merging with another entity, or by repaying the financial assistance that is the subject of the final determination of fraud.
“(iii) State compliance—A State that receives funds described in subparagraph (A)(i) shall deny such participation, and such financial assistance, to any child care provider debarred under clause (i).
“(E) Mandatory referral for Federal criminal investigation and prosecution—If a debarment made under subparagraph (D) is based on an administrative order, the Secretary shall refer the matter, including the administrative record containing the final determination of fraud, the order, and any supporting documentation, to the Attorney General to initiate a Federal criminal investigation and, if warranted, prosecution for fraud under chapter 47 of title 18, United States Code.”
Sec. 3 Inadmissibility for alien child care providers who commit fraud
Section 212(a)(2) of the Immigration and Nationality Act (8 U.S.C. 1182(a)(2)) is amended—
by redesignating subparagraph (F) as subparagraph (J), and moving the redesignated subparagraph so it appears after subparagraph (I); and
by inserting after subparagraph (E) the following:
“(F) Fraud—Any alien child care provider who has been permanently debarred as a child care provider, based on a final determination of fraud, under section 658I(b)(3)(D) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858g(b)(3)(D)).”
Sec. 4 Inadmissibility for alien child care providers who provide support to terrorists
Section 212(a)(3)(B)(i) of the Immigration and Nationality Act (8 U.S.C. 1182(a)(3)(B)(i)) is amended—
in subclause (VIII), by striking “or” at the end;
by redesignating subclause (IX) as subclause (XI);
by inserting after subclause (VIII) the following:
“(IX)
“(aa) has been permanently debarred as a child care provider, based on a final determination of fraud, under section 658I(b)(3)(D) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858g(b)(3)(D)); and
“(bb) the Attorney General, the Secretary of State, or the Secretary of Homeland Security has determined has received funds as a child care provider that were used to support any terrorist organization, including Al-Shabaab, or any individual engaged in terrorist activity;
“(X) is an officer, official, representative, spokesperson, or member of, or is in any way associated with—
“(aa) the Palestine Liberation Organization; or
“(bb) al-Shabaab (including any other alias for al-Shabaab); or”
by striking the undesignated matter at the end.
Sec. 5 Removability, and ineligibility for asylum and adjustment of status, for alien child care providers who commit fraud
Deportability— Section 237(a)(2)(A) of the Immigration and Nationality Act (8 U.S.C. 1227(a)(2)(A)) is amended—
by redesignating clause (vi) as clause (vii);
by inserting after clause (v) the following:
“(vi) Any alien who has been permanently debarred as a child care provider, based on a final determination of fraud, under section 658I(b)(3)(D) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858g(b)(3)(D)), is deportable.”
in clause (vii), as redesignated, by striking “and (iv)” and inserting “(iv), and (vi)”.
Ineligibility for asylum—
in subsection (a)(2)—
by redesignating subparagraph (E) as subparagraph (F); and
by inserting after subparagraph (D) the following:
“(E) Paragraph (1) shall not apply to an alien who has been permanently debarred as a child care provider, based on a final determination of fraud, under section 658I(b)(3)(D) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858g(b)(3)(D)).”
in subsection (b)(2)(A)—
in clause (v), by striking “or” at the end;
by redesignating clause (vi) as clause (vii); and
by inserting after clause (v) the following:
“(vi) the alien has been permanently debarred as a child care provider, based on a final determination of fraud, under section 658I(b)(3)(D) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858g(b)(3)(D)).”
Conforming amendment— Section 316 of the Immigration and Nationality Act (8 U.S.C. 1427(f)(1)) is amended, in the second proviso, by striking “clauses (i) through (v)” and inserting “clauses (i) through (vi)”.
Ineligibility for adjustment of status— Section 245(c) of the Immigration and Nationality Act (8 U.S.C. 1255(c)), is amended—
in paragraph (7), by striking “; or” and inserting a semicolon; and
by striking the period at the end and inserting “; or (9) any alien who has been permanently debarred as a child care provider, based on a final determination of fraud, under section 658I(b)(3)(D) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858g(b)(3)(D)).”.
Exclusion from finding of good moral character— Section 101(f) of the Immigration and Nationality Act (8 U.S.C. 1101(f)) is amended by inserting after paragraph (1) the following:
“(2) a person who has been permanently debarred as a child care provider, based on a final determination of fraud, under section 658I(b)(3)(D) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858g(b)(3)(D));”
Sec. 6 Mandatory detention and expedited removal
Expedited removal of inadmissible alien child care providers— Section 235 of the Immigration and Nationality Act (8 U.S.C. 1225), is amended—
by redesignating subsection (d) as subsection (e); and
by inserting after subsection (c) the following:
“(d) Removal of aliens inadmissible due to child care provider fraud
“(1) Removal without further hearing—If an immigration officer or an immigration judge suspects that an arriving alien or an applicant for admission may be inadmissible under section 212(a)(2)(F), the officer or judge shall—
“(A) order the alien removed, subject to review under paragraph (2);
“(B) report the order of removal to the Secretary of State, the Attorney General, or a designee of the Secretary or Attorney General; and
“(C) refrain from conducting any further inquiry or hearing with respect to such alien until ordered to do so by the Secretary, the Attorney General, or a designated senior official.
“(2) Review of order
“(A) In general—The Secretary of Homeland Security, the Attorney General, or a designee of the Secretary or Attorney General shall review each order issued pursuant to paragraph (1)(A).
“(B) Expedited removal—If the Secretary, the Attorney General, or a designee determines that the alien who is the subject of such order is inadmissible under section 212(a)(2)(F), the Secretary or the Attorney General may order the alien removed without further inquiry or hearing.
“(C) Further inquiry—If the Secretary or the Attorney General does not order the removal of the alien pursuant to subparagraph (B), the Secretary, the Attorney General, or a designee may determine the scope of further administrative inquiry or hearing that may be conducted with respect to such alien.
“(3) Submission of statement and information—Each alien who is the subject of a removal order under this subsection, or the alien’s representative, may submit a written statement and additional information for consideration by the Secretary of Homeland Security, the Attorney General, or a designee of the Secretary or the Attorney General.”
Mandatory detention for convicted alien child-Care providers— Section 236(c)(1)(B) of the Immigration and Nationality Act (8 U.S.C. 1226(c)(1)(B)), is amended by striking “offense covered in section 237(a)(2)(A)(ii), (A)(iii), (B), (C), or (D),” and inserting “described in subparagraph (A)(ii), (A)(iii), (A)(vi), (B), (C), or (D) of section 237(a)(2);”.
Expedited removal for incarcerated alien child-Care providers— Section 238 of the Immigration and Nationality Act (8 U.S.C. 1228) is amended—
in subsection (a)—
in paragraph (1), by striking “any criminal offense covered in section 241(a)(2)(A)(iii), (B), (C), or (D), or any offense covered by section 241(a)(2)(A)(ii) for which both predicate offenses are, without regard to the date of their commission, otherwise covered by section 241(a)(2)(A)(i)” and inserting “any criminal offense described in subparagraph (A)(iii), (A)(vi), (B), (C), or (D) of section 237, or any offense described in section 237(a)(2)(A)(ii) for which both predicate offenses are, without regard to the date of their commission, otherwise described in section 237(a)(2)(A)(i)”; and
in paragraph (2), by inserting “, or an alien who has been permanently debarred as a child care provider, based on a final determination of fraud, under section 658I(b)(3)(B) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858g(b)(3)(B)),” after “aggravated felony”;
in subsection (b), by inserting “or under section 237(a)(2)(A)(vi) (relating to a conviction for child-care provider fraud)” after “aggravated felony)”; and
by redesignating the second subsection (c) (previously so designated by section 671(b)(13) of the Illegal Immigration Reform and Immigrant Responsibility Act of 1996 (division C of Public Law 104–208)) as subsection (d).
Sec. 7 Exemption from Paperwork Reduction Act and the Administrative Procedure Act
Paperwork Reduction Act— Nothing in this Act may be construed to require the Secretary of Health and Human Services, Secretary of Homeland Security, or Attorney General to comply with the requirements of chapter 35 of title 44, United States Code (commonly referred to as the “Paperwork Reduction Act”) to implement the provisions of sections 3 through 6 of this Act, if the Secretary of Health and Human Services, Secretary of Homeland Security, or Attorney General, respectively, determines that compliance would impede the immediate implementation of this Act or the amendments made by this Act.
Administrative Procedure Act— Nothing in this Act may be construed to require the Secretary of Health and Human Services, Secretary of Homeland Security, or Attorney General to promulgate regulations under subchapter II of chapter 5 of title 5, United States Code (commonly referred to as the “Administrative Procedure Act”), if the Secretary of Health and Human Services, Secretary of Homeland Security, or Attorney General, respectively, determines that promulgation would impede the immediate implementation of this Act or the amendments made by this Act.
Sec. 8 Construction; severability
Any provision of this Act or an amendment made by this Act held to be invalid or unenforceable by its terms, or as applied to any person or circumstance, shall be construed so as to give it the maximum effect permitted by law, unless such holding shall be utterly invalid or unenforceable, in which event such provision shall be deemed severable from this Act or the Act amended, respectively and shall not affect the remainder of this Act or the Act amended, respectively, or the application of such provision to other persons not similarly situated or to other, dissimilar circumstances.
Sec. 9 Effective date; applicability
In general— Except as provided in subsection (b), this Act and the amendments made by this Act shall take effect on the date of enactment of this Act.
Applicability— The amendments made by sections 3 through 6 of this Act shall apply to any conduct by an alien that constituted fraud and was committed on or after September 30, 1996, against any private individual, fund, corporation, or government entity, for which the alien has not yet been arrested, charged, or indicted as of the date of the enactment of this Act.