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Analysis of Policy
Proposals
Senator Rockefeller
Introduces TANF Legislation
On
March 21st, Senator John D. "Jay" Rockefeller (D-WV) introduced
comprehensive legislation (S. 2052) to reauthorize the Temporary
Assistance for Needy Families (TANF) Program. In general, the bill
increases the block grant by $2.5 billion over five years, from
$16.5 billion in 2003 to $17.4 billion on 2007. The bill also renews
and expands supplemental grants, reinstates the contingency fund,
increases money for child care, and provides $300 million bonus fund
to reward states for reducing poverty.
In the areas of education and
training, the Rockefeller bill:
- Counts vocational education as an allowed work
activity for 24 months (the current limit is 12
months).
- Removes teen parents from counting towards the
30 percent cap on the number of recipients who can be engaged in
education and training activities and count towards a state's work
participation rate.
- Counts English as a Second Language (ESL) as a
permissible pre-employment activity.
- Provides $200 million in grants to create
transitional jobs programs, and for nonprofit organizations, local
workforce investment boards, or localities to create programs that
promote linkages with businesses to upgrade the skills of TANF
recipients and strengthen career pathways for low-income workers.
- Allows up to five percent of a state's caseload
to be involved in programs that combine work and post secondary
education.
- Provides $75 million in grants to states to
improve policies and procedures for assisting individuals with
barriers to work.
- Replaces the caseload reduction credit with an
employment credit that rewards states for families that leave
welfare for work, with additional credit for those leaving for
higher-paying jobs. This provision was introduced separately by
Senator Blanche Lincoln (D-AR) and Rep. Sander Levin (D-MI). Click
here for Lincoln proposal
Many of these provisions are
core elements of the Workforce Alliance's TANF reauthorization
platform, including increasing the 12-month limit on training,
eliminating the 30 percent cap on the percentage of a state's
recipients that can be engaged in training activities, including
post-secondary education as a countable work activity, and
encouraging states to emphasize training as part of a strategy for
improving employment outcomes.
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