A bill to amend the treatment of earnings under the AFDC program, to increase the amount of the funds available for social services block grants, to make permanent the present temporary provisions authorizing continued payment of SSI benefits to individuals who work despite severe medical impairment, and to make permanent the present temporary provisions authorizing Federal payments for dependent children voluntarily placed in foster care.

Title I: Aid to Families with Dependent Children - Amends part A (Aid to Families with Dependent Children) of title IV of the Social Security Act to revise provisions relating to income disregards. Repeals the provision prohibiting AFDC eligibility if total family income, without disregards, exceeds 150 percent of a State's standard of need. Treats any income tax refund made because of the earned income credit and any advance payment of the earned income credit as earned income for purposes of AFDC eligibility. Sets forth effective data provisions for this title.

Title II: Social Services Block Grant Program - Amends title XX (Block Grants to States for Social Services) of the Act to increase the amounts available for allotments.

Title III: Benefits for Individuals who Perform Substantial Gainful Activity Despite Severe Medical Impairment - Amends the Social Security Disability Amendments of 1980 to make permanent provisions of title XVI (Supplemental Security Income) concerning benefits for individuals who perform substantial gainful activity despite severe medical impairment.

Title IV: Federal Payments for Dependent Children Voluntarily Placed in Foster Care - Amends the Adoption Assistance and Child Welfare of 1980 to make permanent provisions of part E (Foster Care and Adoption Assistance) of the Act which provide Federal payments for dependent child voluntarily placed in foster care.