To amend part A of title IV of the Social Security Act to improve quality control standards and procedures under the Aid to Families With Dependent Children Program, and for other purposes.

[AI summary unavailable — showing source text] Amends part A (Aid to Families with Dependent Children) of title IV of the Social Security Act to require, in order to establish and maintain improved AFDC quality control standards and procedures: (1) each State to collect and submit to the Secretary of Health and Human Services a statistically reliable sample of AFDC cases; (2) the Secretary to review the sample and notify the State of its AFDC overpayment error rate; (3) the Secretary and the State to negotiate and agree upon an error rate determination plan establishing the criteria by which the State will be held accountable for errors; and (4) each State to develop and submit to the Secretary a quality improvement plan for eliminating or reducing errors. Excuses a State from submitting a quality improvement plan if it has consistently had error rates below its error rate tolerance levels. Directs the Secretary to establish procedures for quality control review of AFDC cases and criteria for State quality improvement plans. Requires each State to reimburse the Federal Government to the extent the State's overpayments exceed its overpayment error rate tolerance level. Sets State overpayment tolerance levels pursuant to a formul…