Sponsors (9)
Applies federal payment‑integrity rules to TANF, requires an HHS plan to cut improper payments, restricts certain TANF grants to <200% FPL, adds spending deadlines and anti‑supplanting rules; effective Oct 1, 2027.
Official title: To amend part A of title IV of the Social Security Act to target funds to low-income families, strengthen program integrity guardrails for State expenditure of funds, require measurement of improper payments, and establish goals for eliminating fraud and improper payments under the program of block grants to States for temporary assistance for needy families, and for other purposes.
Introduced May 19, 2026 by Mike Carey · Last progress May 19, 2026
The bill tightens targeting, accountability, and oversight to reduce improper payments and direct help to the poorest families, but it increases state administrative burdens and fiscal constraints that could reduce access for some moderate-income households, strain state budgets, and create timing or implementation risks.
Low-income families (under 200% of the federal poverty line) will be prioritized for limited assistance, focusing grant dollars on poorer households and concentrating help where need is greatest.
State use of TANF federal funds must supplement—not replace—existing State/local spending, which preserves or increases total assistance to low-income families and reduces the risk of state-level cuts replacing federal support.
Clarifying standards and requiring an HHS plan to reduce improper payments should, over time, cut waste and protect federal funds — benefiting taxpayers and improving program integrity.
Moderate-income families (roughly 100–200% of poverty) who currently get assistance could lose access as grants are targeted below 200%, reducing supports for some working families.
States will face increased administrative and compliance burdens (planning, certification, reporting, and new spending/obligation rules) that raise costs and strain state agency capacity.
Taxpayers could face higher overall costs if states replace lost grant-funded services with state funds or if non-supplanting and targeting rules lead to duplicative state and federal spending.
Based on analysis of 6 sections of legislative text.
Makes states subject to the Payment Integrity Information Act for the Temporary Assistance for Needy Families (TANF) program, requires HHS to produce a plan to cut improper payments, and sets a nationwide income cap and new spending deadlines for certain TANF grants. It also adds anti‑supplanting rules and a gubernatorial certification that federal TANF funds will not replace state or local funding. All changes take effect October 1, 2027.