Ch. 593                                    1997 LAWS OF MARYLAND

(3) institutions of [postsecondary] HIGHER education may provide school
credits to students who participate in demonstration projects under this section with
satisfactory results.

(a) (1) The Secretary shall establish demonstration projects through grants to
nonprofit organizations, LOCAL EDUCATION AGENCIES, LOCAL MANAGEMENT BOARDS,
LOCAL HEALTH DEPARTMENTS. RELIGIOUS ORGANIZATIONS AND INSTITUTIONS OF
HIGHER EDUCATION, which shall jointly develop proposals for these demonstration projects
with local departments of social services,

(2) [(i) Subject to subparagraph (ii) of this paragraph, the Secretary shall
allocate to demonstration projects under this section at least 10% of the total savings that, as
of July J, the Family Investment Program anticipates achieving during the current fiscal year
through caseload reductions or other reductions in the total amount of cash assistance benefits
paid to families compared to the total amount of cash assistance benefits budgeted.]

[(ii)](I) Not more than 50% of the funding allocated for demonstration
projects wider this section shall be allocated to a single demonstration project,

[(iii)] (II) The funds allocated for demonstration projects under this
section are incentive funds over and above any transfer of program benefits to a third party.

(3)    At least one of the demonstration projects under this section shall he located
in counties other than the two counties with the largest numbers of FIP recipients.

(4)     [(i) At least one of the demonstration projects shall be located at or near an
elementary or secondary school and shall include school-based resources in the services
provided to demonstration project participants.

(ii) Demonstration projects located at or near an elementary or secondary
school shall, to the extent feasible, incorporate a parenting education component which
encourages parent involvement in the development of their children.

(5)] The funds allocated to demonstration projects under tin's section may not be
used in the furtherance of sectarian religious instruction or worship.

[(6)](5) [Savings] FUNDS allocable to demonstration projects under the
provisions of paragraph (2) of this subsection shall, if feasible, be used for demonstration
projects in the subdivisions which generated the savings.

[(7)](6) The Secretary shall award grants for these demonstration projects
through a competitive bid process which includes:

(i) The issuance of a request for proposals; and

(ii) The establishment of an evaluation panel to review competing
proposals and to make a recommendation to the Secretary concerning which proposals have
the greatest programmatic and financial merit.

[(b) The request for proposals for these demonstration projects shall require offerors to
specify the ways in which the proposed demonstration project will create incentives for
increased employment and child support collections.

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