II 118THCONGRESS 1 STSESSION S. 35 To amend title II of the Social Security Act to make available parental leave benefits to parents following the birth or adoption of a child, and for other purposes. IN THE SENATE OF THE UNITED STATES JANUARY24 (legislative day, JANUARY3), 2023 Mr. R UBIO(for himself and Mr. ROMNEY) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To amend title II of the Social Security Act to make avail- able parental leave benefits to parents following the birth or adoption of a child, and for other purposes. Be it enacted by the Senate and House of Representa-1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘New Parents Act of 4 2023’’. 5 SEC. 2. PARENTAL LEAVE BENEFITS. 6 (a) I NGENERAL.—Title II of the Social Security Act 7 is amended by inserting after section 218 the following: 8 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 2 •S 35 IS ‘‘SEC. 219. PARENTAL LEAVE BENEFITS. 1 ‘‘(a) I NGENERAL.—Every individual— 2 ‘‘(1) who has— 3 ‘‘(A) not less than 8 quarters of coverage, 4 4 of which are credited to calendar quarters 5 during the calendar year preceding the calendar 6 year in which the 1st month of the benefit pe-7 riod described in subsection (c) occurs; or 8 ‘‘(B) not less than 12 quarters of coverage; 9 and 10 ‘‘(2) who has filed an application for a parental 11 leave benefit with respect to a qualified child of the 12 individual, 13 shall be entitled to a parental leave benefit with respect 14 to such qualified child. 15 ‘‘(b) B ENEFITAMOUNT.—Such individual’s parental 16 leave benefit shall be an amount equal to the product of— 17 ‘‘(1) the number of benefit months (not to ex-18 ceed 3) selected by the individual in the individual’s 19 application for a parental leave benefit, multiplied by 20 ‘‘(2) an amount equal to the primary insurance 21 amount for the individual that would be determined 22 under section 215 if— 23 ‘‘(A) the individual had attained age 62 in 24 the first month of the individual’s benefit pe-25 riod; and 26 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 3 •S 35 IS ‘‘(B) the individual had become entitled to 1 an old-age insurance benefit under section 202 2 beginning with such month. 3 For the purposes of the preceding sentence, the elapsed 4 years referred to in section 215(b)(2)(B)(iii) shall not in-5 clude the year in which the individual’s benefit period be-6 gins, or any year thereafter. 7 ‘‘(c) P AYMENT OFBENEFIT.— 8 ‘‘(1) S ELECTION OF NUMBER OF BENEFIT 9 MONTHS.—In filing an application for a parental 10 leave benefit under this section, an individual shall 11 select the number of months (not to exceed 3) for 12 which the individual will receive a monthly payment 13 under such parental leave benefit (in this section re-14 ferred to as ‘benefit months’). 15 ‘‘(2) E LECTION OF BENEFIT MONTHS .—Not 16 later than 14 days before the start of any month in 17 the benefit period of an individual entitled to a pa-18 rental leave benefit, the individual may elect to treat 19 such month as a benefit month. The number of 20 months in such benefit period treated as benefit 21 months shall equal the number selected in the indi-22 vidual’s benefit application, and the Commissioner 23 may designate any month as a benefit month in any 24 case in which an individual does not elect to treat 25 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 4 •S 35 IS a sufficient number of months as benefit months be-1 fore the end of the benefit period. 2 ‘‘(3) A MOUNT OF MONTHLY PAYMENT .—The 3 amount of a monthly payment made in any benefit 4 month within a benefit period to an individual enti-5 tled to a parental leave benefit shall be an amount 6 equal to— 7 ‘‘(A) the amount of the parental leave ben-8 efit determined for the individual under sub-9 section (b); divided by 10 ‘‘(B) the number of benefit months se-11 lected by the individual pursuant to paragraph 12 (1) with respect to such benefit. 13 ‘‘(4) D EFINITION OF BENEFIT PERIOD .—For 14 purposes of this section, the term ‘benefit period’ 15 means, with respect to an individual entitled to a pa-16 rental leave benefit with respect to a qualified child, 17 the 1-year period beginning with the month after the 18 month in which the birth or adoption of the qualified 19 child occurs. 20 ‘‘(d) B ENEFITAPPLICATION.— 21 ‘‘(1) I N GENERAL.—The Commissioner shall 22 ensure that the application for a parental leave ben-23 efit— 24 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 5 •S 35 IS ‘‘(A) includes a notice, clearly written in 1 language that is easily understandable to the 2 reader, explaining that— 3 ‘‘(i) failure to submit such proof or 4 documentation as the Commissioner may 5 require to demonstrate that the applicant 6 is the parent of the qualified child shall be 7 subject to criminal and civil penalties; 8 ‘‘(ii) the full cost to the Trust Funds 9 of any amount received by an individual as 10 a parental leave benefit must be repaid 11 through reductions to old-age insurance 12 benefits payable to the individual in subse-13 quent months, or by other means; and 14 ‘‘(iii) entitlement to a parental leave 15 benefit has no effect on the determination 16 of an individual’s entitlement to leave 17 under the Family and Medical Leave Act 18 of 1993; and 19 ‘‘(B) requires an attestation by the indi-20 vidual submitting the application that— 21 ‘‘(i) the individual expects to be the 22 parent of a qualified child throughout the 23 benefit period with respect to such applica-24 tion; 25 VerDate Sep 11 2014 20:35 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 6 •S 35 IS ‘‘(ii) the individual intends to use the 1 benefit to finance spending more time with 2 the qualified child at home and away from 3 employment during the benefit period; and 4 ‘‘(iii) the individual consents to the 5 terms and conditions specified in the notice 6 described in subparagraph (A). 7 ‘‘(2) O PTION TO FILE SIMULTANEOUS APPLICA -8 TIONS.—The Commissioner of Social Security may 9 establish an option under which an individual may 10 file an application for a parental leave benefit under 11 this section with respect to a qualified child at the 12 same time the individual submits an application for 13 a social security account number for such qualified 14 child. 15 ‘‘(3) O NLINE AVAILABILITY .—The Commis-16 sioner of Social Security shall, as soon as practicable 17 after the date of enactment of this section, permit 18 an individual to apply for a parental leave benefit 19 through an internet website or other electronic 20 media. 21 ‘‘(e) F RAUDPREVENTION.— 22 ‘‘(1) I N GENERAL.—The Commissioner of So-23 cial Security shall establish procedures to ensure the 24 prevention of fraud with respect to applications for 25 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 7 •S 35 IS parental leave benefits under this section, including 1 procedures for the submission of such proof or docu-2 mentation as the Commissioner may require to 3 verify the information contained in such an applica-4 tion. 5 ‘‘(2) E NFORCEMENT.—In any case in which an 6 individual willfully, knowingly, and with intent to de-7 ceive the Commissioner of Social Security fails to 8 comply with the procedures established under para-9 graph (1), the Commissioner may impose on such in-10 dividual, in addition to any other penalties that may 11 be prescribed by law— 12 ‘‘(A) a civil monetary penalty of not more 13 than $7,500 for each such failure; and 14 ‘‘(B) an assessment, in lieu of any dam-15 ages sustained by the United States because of 16 such failure, of not more than twice the amount 17 of the cost to the Federal Old-Age and Sur-18 vivors Insurance Trust Fund of any parental 19 leave benefit paid to the individual. 20 ‘‘(f) B ENEFITREPAYMENT.— 21 ‘‘(1) I N GENERAL.—An individual who is paid 22 a parental leave benefit under this section shall 23 repay the full cost of such benefit to the Federal 24 Old-Age and Survivors Insurance Trust Fund (as 25 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 8 •S 35 IS such amount is determined by the Commissioner) in 1 accordance with this subsection. 2 ‘‘(2) O LD-AGE INSURANCE BENEFIT OFFSET .— 3 ‘‘(A) I N GENERAL.—Except as provided in 4 paragraph (3), in the case of any individual de-5 scribed in paragraph (1) who becomes entitled 6 to an old-age insurance benefit, deductions shall 7 be made from each monthly payment of such 8 benefit (not to exceed the first 60 such monthly 9 payments) in such amounts, subject to subpara-10 graph (B), as the Commissioner of Social Secu-11 rity shall determine necessary to fully recover 12 the cost to the Federal Old-Age and Survivors 13 Insurance Trust Fund of any parental leave 14 benefit paid to the individual as of the month 15 in which the individual becomes entitled to an 16 old-age insurance benefit. 17 ‘‘(B) N OTIFICATION.—Not later than the 18 beginning of each calendar year, the Commis-19 sioner of Social Security shall notify each indi-20 vidual whose old-age insurance benefits are sub-21 ject to a deduction under subparagraph (A) 22 during such calendar year of the amount of the 23 deduction that will be applied to each monthly 24 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 9 •S 35 IS payment of such benefits during the calendar 1 year. 2 ‘‘(3) A LTERNATIVE INCREASE OF RETIREMENT 3 AGE.— 4 ‘‘(A) I N GENERAL.—In the case of any in-5 dividual described in paragraph (1) who be-6 comes entitled to an old-age insurance benefit, 7 such individual may elect, at the time of appli-8 cation for such benefit, to be subject to a retire-9 ment age increase in accordance with this para-10 graph. Such election shall be irrevocable, and 11 an individual who makes such an election shall 12 not be subject to a deduction under paragraph 13 (2) for any month. 14 ‘‘(B) R ETIREMENT AGE INCREASE .—Not-15 withstanding section 216(l)(1), with respect to 16 an individual who makes an election under sub-17 paragraph (A), the retirement age of such indi-18 vidual shall be deemed to be— 19 ‘‘(i) the retirement age determined 20 with respect to the individual under such 21 section; plus 22 ‘‘(ii) the additional number of months 23 the Commissioner of Social Security shall 24 determine necessary to result in the full re-25 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 10 •S 35 IS covery of the cost to the Federal Old-Age 1 and Survivors Insurance Trust Fund of 2 any parental leave benefit paid to the indi-3 vidual as of the month in which the indi-4 vidual becomes entitled to an old-age in-5 surance benefit. 6 ‘‘(C) I NCREASE TO EARLIEST ENTITLE -7 MENT AGE.—In the case of an individual who 8 makes an election under subparagraph (A), not-9 withstanding subsection (a) of section 202, no 10 old-age insurance benefit shall be paid to such 11 individual for any month before the first month 12 throughout which the individual has attained 13 age 62 plus the additional number of months 14 determined for the individual under subpara-15 graph (B)(ii). 16 ‘‘(4) O THER RECOVERY METHODS .—In any 17 case in which the Commissioner of Social Security 18 determines that the cost to the Federal Old-Age and 19 Survivors Insurance Trust Fund of a parental leave 20 benefit paid to an individual cannot be fully recov-21 ered pursuant to paragraph (2) or (3)— 22 ‘‘(A) such benefit shall be deemed, upon 23 the making of such determination, to be a pay-24 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 11 •S 35 IS ment of more than the correct amount for pur-1 poses of section 204; and 2 ‘‘(B) the Commissioner may recover such 3 amounts by means of any method available to 4 the Commissioner under such section. 5 ‘‘(5) P ROJECTION OF REPAYMENT AMOUNT .— 6 As soon as practicable after the date of enactment 7 of this section, the Commissioner shall establish a 8 system to make available through an internet 9 website or other electronic media to each individual 10 who is paid a parental leave benefit under this sec-11 tion, beginning with the first month beginning after 12 the individual’s benefit period the projected amount 13 of the deduction to be made from each of the first 14 60 monthly payments of old-age insurance benefits 15 under paragraph (2), or if the individual so elects, 16 the additional number of months by which the indi-17 vidual’s retirement age would be increased under 18 paragraph (3), in order to fully repay the cost to the 19 Federal Old-Age and Survivors Insurance Trust 20 Fund of any parental leave benefit paid to the indi-21 vidual, and a description of the assumptions used by 22 the Commissioner in making such projection. 23 ‘‘(g) R ELATIONSHIPWITHSTATELAW; EMPLOYER 24 B ENEFITS.— 25 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 12 •S 35 IS ‘‘(1) IN GENERAL.—This section does not pre-1 empt or supersede any provision of State or local 2 law that authorizes a State or political subdivision to 3 provide paid parental or family medical leave bene-4 fits similar to the benefits provided under this sec-5 tion. 6 ‘‘(2) G REATER BENEFITS ALLOWED .—Nothing 7 in this Act shall be construed to diminish the obliga-8 tion of an employer to comply with any contract, col-9 lective bargaining agreement, or employment benefit 10 program or plan that provides greater benefits for 11 leave or other leave rights to individuals than the 12 benefits for leave or leave rights established under 13 this Act. 14 ‘‘(h) S UNSET.—No application for parental leave ben-15 efits under this section may be filed in any calendar year 16 if the OASDI trust fund ratio (as defined in section 17 215(i)) for such calendar year or for the year following 18 such calendar year is projected, based on the intermediate 19 projections in the most recent (as of January 1 of such 20 calendar year) annual report issued under section 21 201(c)(2), to be less than 20 percent. 22 ‘‘(i) D EFINITIONS.—For purposes of this section— 23 ‘‘(1) the term ‘qualified child’ means, with re-24 spect to an individual for a benefit period, a biologi-25 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 13 •S 35 IS cal child or legally adopted child of the individual (as 1 determined by the Commissioner of Social Security) 2 who— 3 ‘‘(A) will not attain 18 years of age before 4 the end of such benefit period; and 5 ‘‘(B) will be residing with, and under the 6 care of, the individual during the benefit period 7 as determined by the Commissioner.’’. 8 (b) C ONFORMINGAMENDMENTS.— 9 (1) N ONPAYMENT PROVISIONS .—Section 202 of 10 the Social Security Act (42 U.S.C. 402) is amend-11 ed— 12 (A) in subsection (n)(1)(A), by striking 13 ‘‘under this section or section 223’’ and insert-14 ing ‘‘under this section, section 219, or section 15 223’’; 16 (B) in subsection (t), in paragraphs (1) 17 and (10), by striking ‘‘under this section or 18 under section 223’’ each place it appears and 19 inserting ‘‘under this section, under section 20 219, or under section 223’’; 21 (C) in subsection (u)(1), by striking 22 ‘‘under this section or section 223’’ and insert-23 ing ‘‘under this section, section 219, or section 24 223’’; and 25 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 14 •S 35 IS (D) in subsection (x)— 1 (i) in paragraph (1)(A), by striking 2 ‘‘under this section or under section 223’’ 3 and inserting ‘‘under this section, under 4 section 219, or under section 223’’; and 5 (ii) in paragraph (2), by striking 6 ‘‘under this section or section 223’’ and in-7 serting ‘‘under this section, section 219, or 8 section 223’’. 9 (2) D ELAYED RETIREMENT CREDITS .—Section 10 202(w) of the Social Security Act (42 U.S.C. 11 402(w)) is amended by inserting after ‘‘age 70’’ 12 each place it appears the following: ‘‘(or, in the case 13 of an individual whose retirement age is increased 14 under section 219(f)(3), age 70 plus the number of 15 months by which the individual’s retirement age is 16 so increased)’’. 17 (3) V OLUNTARY SUSPENSION OF BENEFITS .— 18 Section 202(z)(1)(A)(ii) of the Social Security Act 19 (42 U.S.C. 402(z)(1)(A)(ii)) is amended by striking 20 ‘‘the age of 70’’ and inserting ‘‘age 70 (or, in the 21 case of an individual whose retirement age is in-22 creased under section 219(f)(3), age 70 plus the 23 number of months by which the individual’s retire-24 ment age is so increased)’’. 25 VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00014 Fmt 6652 Sfmt 6201 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS 15 •S 35 IS (4) NUMBER OF BENEFIT COMPUTATION 1 YEARS.—Section 215(b)(2)(A) of such Act (42 2 U.S.C. 415(b)(2)(A)) is amended— 3 (A) in clause (i), by striking ‘‘, and’’ and 4 inserting a semicolon; 5 (B) in clause (ii), by striking the period 6 and inserting ‘‘; and’’; and 7 (C) by inserting after clause (ii) the fol-8 lowing: 9 ‘‘(iii) in the case of an individual who is entitled 10 to a parental leave benefit under section 219, by the 11 number of years equal to one-fifth of such individ-12 ual’s elapsed years (disregarding any resulting frac-13 tional part of a year), but not by more than 5 14 years.’’. 15 (c) E FFECTIVEDATE.—The amendments made by 16 this section shall apply with respect to applications for pa-17 rental leave benefits filed after 2023. 18 Æ VerDate Sep 11 2014 04:55 Jan 27, 2023 Jkt 039200 PO 00000 Frm 00015 Fmt 6652 Sfmt 6301 E:\BILLS\S35.IS S35 kjohnson on DSK79L0C42PROD with BILLS