TANF Extension Discussion Draft

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TANF Extension Discussion Draft

The Temporary Assistance for Needy Families (TANF) program is a $16.5 billion annual block grant to states. TANF funds are used for a wide range of benefits and services to provide assistance to low-income families with children, promote employment, and increase family stability. States are also required to expend a minimum amount of their own funds in the program (a total of $10.3 billion per year). In addition to providing cash assistance to poor families, states use TANF funds to help recipients prepare for work and enter the workforce, participate in education and training programs, provide work supports like child care, and to fund other efforts to assist those in need.

 

The authorization for TANF expires on December 8, 2018. This proposal, released last week by Senate Finance Committee Chairman Orrin Hatch and Ranking Member Ron Wyden, would extend the program by 3 years while making modest, but important, changes to the program. These changes would further encourage states to engage recipients in ways that lead to positive outcomes, and would produce valuable information on how to improve the program in the future. The proposal also seeks to improve how states help parents with children find and maintain employment, while also evaluating new state outcome and accountability measures to better measure their progress and success in doing so.