H.R. 7923 — Stop Fraud by SOMALIA Act

This section establishes enforcement procedures for child care provider fraud under the Child Care and Development Block Grant Act of 1990 (i.e., CCDBG, which provides formula block grants to states to subsidize child care for low-income working families and improve child care quality). It defines a "final determination of fraud" (i.e., a judicial decision or administrative order, with appeals exhausted or waived) as including knowingly submitting false statements or documentation, misrepresenting ownership/enrollment/attendance/services/eligibility, operating without required state licensing, making knowing improper expenditures, or other fraud related to CCDBG funds. Upon such a determination for a provider that received funds via a state, the Secretary must notify the state and require reimbursement of the fraudulently obtained funds, via direct state reimbursement, deduction from the state's next fiscal year administrative allotment, or both; authorizes additional sanctions (e.g., recoupment, disqualification); mandates permanent debarment of the provider from all HHS-funded federal child care programs, without waiver, reversal, reinstatement, or evasion via name change/reorganization/repayment; requires states to deny debarred providers participation/funding; and mandates referral to the Attorney General for federal criminal investigation/prosecution if debarment follows an administrative order.

This section establishes a new ground of inadmissibility under the Immigration and Nationality Act for any alien child care provider permanently debarred, based on a final determination of fraud, under the Child Care and Development Block Grant Act of 1990 (i.e., 42 U.S.C. 9858g(b)(3)(D)). (The provision also redesignates existing INA sec. 212(a)(2)(F) as subparagraph (J).)

This section adds to the terrorist activity grounds of inadmissibility in the Immigration and Nationality Act two new subclauses covering (1) aliens permanently debarred as child care providers for fraud under the Child Care and Development Block Grant Act (42 U.S.C. 9858g(b)(3)(D)) whom the Attorney General, Secretary of State, or Secretary of Homeland Security determines used such funds to support terrorist organizations (including Al-Shabaab) or individuals engaged in terrorist activity; and (2) aliens who are officers, officials, representatives, spokespersons, members, or otherwise associated with the Palestine Liberation Organization or al-Shabaab (including any alias). (The Child Care and Development Block Grant Act provides federal funding to states for child care assistance, primarily serving low-income working families, with enforcement mechanisms including permanent debarment for fraud.)

This section amends the Immigration and Nationality Act (INA) to establish immigration consequences for aliens permanently debarred as child care providers, based on a final determination of fraud, under the Child Care and Development Block Grant Act of 1990 (i.e., CCDBG, which provides federal block grants to states for child care subsidies to low-income working families). Specifically, it (1) makes such aliens deportable under INA §237(a)(2)(A)(vi); (2) renders them ineligible for asylum under INA §208(a)(2)(E) and §208(b)(2)(A)(vi); (3) bars them from adjustment of status under INA §245(c)(9); and (4) excludes them from findings of good moral character under INA §101(f)(2).

This section amends the Immigration and Nationality Act (INA) to expand immigration enforcement against aliens involved in child care provider fraud, as follows: (1) in INA §235 (inspection of applicants for admission), establishes expedited removal—subject to review by the Secretary of Homeland Security, the Attorney General, or a designee—for arriving aliens or admission applicants suspected of inadmissibility under INA §212(a)(2)(F) (child care provider fraud), with the option for further inquiry if removal is not ordered; (2) in INA §236(c)(1)(B) (mandatory detention of criminal aliens), expands covered offenses to include those described in INA §237(a)(2)(A)(vi) (child care provider fraud), in addition to the prior offenses in §237(a)(2)(A)(ii), (A)(iii), (B), (C), and (D); and (3) in INA §238 (expedited removal of criminal aliens), expands covered offenses to include those in §237(a)(2)(A)(vi), adds permanently debarred child care providers under sec. 658I(b)(3)(B) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858g(b)(3)(B)), updates statutory cross-references, and redesignates a subsection.

This section exempts the Secretary of Health and Human Services, Secretary of Homeland Security, and Attorney General from (1) Paperwork Reduction Act (PRA) requirements (i.e., obtaining Office of Management and Budget approval for information collections) and (2) Administrative Procedure Act (APA) rulemaking requirements (i.e., notice-and-comment procedures), when implementing sections 3 through 6, if the respective secretary determines that compliance would impede immediate implementation.

This section establishes a severability clause, requiring invalid or unenforceable provisions of the Act to be construed for maximum lawful effect where possible and otherwise deemed severable without affecting the remainder of the Act or its application to other persons or circumstances.

This section specifies that the Act and its amendments generally take effect on the date of enactment. It further provides that amendments made by sections 3 through 6 apply to fraudulent conduct by an alien 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 enactment.