; State required to establish certain good cause exceptions Section 407(e)(1) ( 42 U.S.C. 607(e)(1) ) is amended— (i) by striking shall— and all that follows through subparagraph (B) and inserting shall reduce the amount of assistance otherwise payable to the family pro rata with respect to any period during a month in which the individual so refuses, ; and (ii) by striking may establish and inserting the following shall establish, which shall include the decline of an offer of employment at a wage less than the greater of the applicable Federal or State minimum wage, or 80 percent of the wage that would have governed had the minimum hourly rate under the Fair Labor Standards Act been applicable to the offer of employment, at a site subject to a strike or lockout at the time of refusal, or for medical reasons or a lack of sufficient physical strength or stamina . (B) Prohibition on sanctioning individual for failure to engage in work if individual has a child under age 6 months or if failure results from inability to secure child care or after-school arrangements for a child under age 13 Section 407(e)(2) ( 42 U.S.C. 607(e)(2) ) is amended by striking refusal and all that follows and inserting failure of an individual to engage in work required in accordance with this section if— (A) the individual is a single custodial parent caring for a child who has not attained 6 months of age