Stop Fraud by SOMALIA Act

(1) by redesignating paragraph (3) as paragraph (4); and

(2) by inserting after paragraph (2) the following:

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.

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.

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.

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.

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.

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).

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.

(1) by redesignating subparagraph (F) as subparagraph (J), and moving the redesignated subparagraph so it appears after subparagraph (I); and

(2) by inserting after subparagraph (E) the following:

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)).

(1) in subclause (VIII), by striking or at the end;

(2) by redesignating subclause (IX) as subclause (XI);

(3) by inserting after subclause (VIII) the following:

(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

(3) ; and

(4) by striking the undesignated matter at the end.

Section 237(a)(2)(A) of the Immigration and Nationality Act (8 U.S.C. 1227(a)(2)(A)) is amended—

(1) by redesignating clause (vi) as clause (vii);

(2) 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.

(2) ; and

(3) in clause (vii), as redesignated, by striking and (iv) and inserting (iv), and (vi).

Section 208 of the Immigration and Nationality Act (8 U.S.C. 1158), is amended—

(A) in subsection (a)(2)—

(i) by redesignating subparagraph (E) as subparagraph (F); and

(ii) 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)).

(ii) ; and

(B) in subsection (b)(2)(A)—

(i) in clause (v), by striking or at the end;

(ii) by redesignating clause (vi) as clause (vii); and

(iii) 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)).

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).

Section 245(c) of the Immigration and Nationality Act (8 U.S.C. 1255(c)), is amended—

(1) in paragraph (7), by striking; or and inserting a semicolon; and

(2) 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))..

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));

Section 235 of the Immigration and Nationality Act (8 U.S.C. 1225), is amended—

(1) by redesignating subsection (d) as subsection (e); and

(2) by inserting after subsection (c) the following:

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.

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).

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.

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.

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.

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);.

Section 238 of the Immigration and Nationality Act (8 U.S.C. 1228) is amended—

(1) in subsection (a)—

(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

(B) 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;

(2) 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

(3) 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).

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.

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.

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.

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.