Sponsors (9)
Introduced May 20, 2025 by Rosa L. Delauro · Last progress May 20, 2025
The bill expands access and affordability of diapers for low-income families and medically needy individuals through targeted federal funding and tax-advantaged accounts—improving health and reducing caregiving costs—while increasing federal expenditures and imposing new compliance, administrative, and reporting costs on manufacturers, states, and nonprofits.
Low-income families and parents will receive free diapers and diapering supplies through a federally supported program ($200M/year FY2026–2029), lowering out-of-pocket child-care costs.
People with disabilities and medically complex children and adults will gain greater access to medically necessary diapers/incontinence supplies (including allergen-free disposables), improving hygiene and health outcomes.
Employees and beneficiaries can use pre-tax HSA/Archer MSA funds and employer FSAs/HRAs to pay for medically necessary diapers and wipes, increasing affordability and flexibility of employer-provided and individual benefits.
Taxpayers will face increased federal costs from the $200M/year program (FY2026–2029) and some reduction in federal revenue due to expanded tax-advantaged treatment of diaper purchases.
Manufacturers and suppliers must meet new product requirements (latex/common-allergen exclusions and retail quality standards), likely raising compliance and production costs that could be passed to consumers or reduce product availability.
States will incur new reporting, monitoring, and administrative duties (capped at 5%), requiring staff time and possibly reallocating resources from other programs.
Based on analysis of 3 sections of legislative text.
Directs increased SSBG funds and $200M/year (FY2026–2029) to diaper and incontinence assistance and makes medically necessary diapers reimbursable via HSAs/FSAs/HRAs/MSAs.
Sets the Social Services Block Grant (SSBG) formula to $1.9 billion for each fiscal year 2026–2029, requires States to apply any increase in SSBG allotments from that change to diaper and adult incontinence assistance, and provides a $200 million annual appropriation for FY2026–2029 to support those efforts and related technical assistance and evaluation. Expands tax-advantaged health accounts (HSAs, Archer MSAs, FSAs, HRAs) to treat medically necessary diapers and related diapering supplies as qualified medical expenses for reimbursement beginning in 2026.