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Analysis of Policy Proposals

Representative Cardin Introduces TANF Reauthorization Legislation
On January 24th, (H.R. 3625), Rep. Benjamin Cardin (D-MD), Ranking Member of the House Ways and Means Human Resources Subcommittee, introduced legislation to reauthorize the Temporary Assistance for Needy Families (TANF) program. When introducing the bill, Cardin stated that purpose of the bill is to shift the emphasis of the program to reducing poverty and promoting advancement in the workforce as the next steps in welfare reform.

As for education and training provisions, the bill's authors note that "new resources would be provided to improve employment outcomes, and Federal restrictions on promoting educational opportunities would be relaxed to allow individuals to gain the skills and receive the services needed for employment advancement." Some specific provisions of the bill include:

  • State TANF plans must include goals to improve earnings, advancement, and employment retention of those transitioning from welfare to work.

  • Elimination of the 30% cap on the number of TANF recipients who can be enrolled in vocational education or high school and count towards a state's participation requirement.

  • Vocational education could count as an allowed work activity for 24 months (the current limit is 12 months). The bill clarifies that vocational and education training includes post-secondary education.

  • The "caseload reduction credit" would be replaced by an "employment credit", reducing a state's participation requirement by its number of employed welfare leavers, rather than simply just the number of those leaving the rolls.

  • A new "Employment Advancement Fund" would provide grants to states for research, evaluation, and demonstration projects that focus on improving wages for low-income workers (through training and other services) and enhancing employment prospects for welfare recipients with certain barriers, such as a disability or limited proficiency in English. The bill would provide $150 million per year for these grants.

  • The legislation would allow states to count TANF recipients enrolled in rehabilitative services designed to improve future employment opportunities — including substance abuse treatment, domestic violence counseling, and physical rehabilitation — towards a state's work participation requirement for up to six months.

  • The measure would allow states to use TANF funds which are carried over from previous years to be used to fund activities other than cash assistance (such as work supports like child care and transportation).

Many of these provisions are core elements of the Workforce Alliance's TANF reauthorization platform, including requiring state plans to include strategies for improved employment outcomes, eliminating the 30 percent cap on the percentage of a state's recipients that can be engaged in training activities, increasing the 12-month limit on training, including post-secondary education as a countable work activity, and encouraging states to emphasize training as part of a strategy for improving employment outcomes.

Rep. Cardin made an effort to build consensus with his fellow Democrats on the subcommittee in drafting this bill. Co-sponsors of the bill include all of the subcommittee's Democratic members: Reps. Fortney "Pete" Stark (CA), Sander Levin (MI), Jim McDermott (WA), and Lloyd Doggett (TX).


 

   

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