Sponsors (11)
Official title: To provide targeted funding for States and other eligible entities through the Social Services Block Grant program to address the increased burden that maintaining the health and hygiene of infants and toddlers, medically complex children, and low-income adults or adults with disabilities who rely on adult incontinence materials and supplies place on families in need, the resultant adverse health effects on children and families, and the limited child care options available for infants and toddlers who lack sufficient diapers and diapering supplies, and for other purposes.
Introduced May 20, 2025 by Rosa L. Delauro · Last progress May 20, 2025
The bill reduces out‑of‑pocket diaper costs and improves access—especially for low‑income families and people with disabilities—by funding diaper assistance and expanding tax‑advantaged coverage, at the cost of added federal spending, administrative/reporting burdens, and potential compliance-driven price or supply pressures.
Low-income families and parents will receive free diapers and supplies funded by a new federal program (with $200M/year FY2026–2029) that supports diaper banks and national partners, substantially lowering out‑of‑pocket child care costs.
People with disabilities and medically complex children/adults gain greater access to medically necessary diapers and incontinence supplies, improving hygiene and health outcomes and reducing caregiver burden.
Individuals who need diapers (age 3+) can use pre-tax HSA/Archer MSA funds and employer FSAs/HRAs to pay for medically necessary diapers and wipes, lowering ongoing out‑of‑pocket costs for disabled adults and seniors.
Taxpayers bear new federal costs: direct appropriations of about $200M/year (FY2026–2029) plus some revenue loss from expanded tax-advantaged treatment of diaper purchases.
Manufacturers and suppliers may face higher compliance costs to meet required disposable, latex‑ and common‑allergen‑free quality standards, which could raise prices or limit product availability for consumers and beneficiaries.
States and local agencies must absorb new administrative, reporting, and monitoring duties (even with a capped admin allowance), and SSBG constraints and supplement‑not‑supplant rules may reduce state flexibility and leave some needs unmet.
Based on analysis of 3 sections of legislative text.
Directs SSBG increases and $200M/year FY2026–2029 to diaper assistance and makes medically necessary diapers and supplies eligible pre‑tax HSA/FSA/HRA/MSA expenses after Dec. 31, 2025.
Provides new federal funding and rules to help low-income families and adults get diapers and incontinence supplies, and makes medically necessary diapers and related supplies eligible expenses for HSAs, FSAs, HRAs, and Archer MSAs. It increases the Social Services Block Grant (SSBG) formula amount for FY2026–2029, directs states to use the added SSBG allotments for diaper assistance, creates a national funding/technical assistance carve‑out, and adds tax code language allowing pre‑tax account dollars to pay for medically necessary diapers and diaper supplies for expenses after Dec. 31, 2025.