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Social Services Block Grant


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Updated December 5, 2019


The Social Services Block Grant (SSBG) is a flexible
funding stream used by states and territories to support a
wide variety of social services. At the federal level, the
SSBG is administered by the U.S. Department of Health
and Human Services (HHS).


Social services for certain welfare recipients have been
authorized under various titles of the Social Security Act
since 1956. The SSBG, in its current form, was created in
1981 (P.L. 97-35). The SSBG is permanently authorized by
Title XX, Subtitle A, of the Social Security Act.
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Federal law establishes several broad goals for the SSBG.
The goals focus on promoting self-sufficiency; eliminating
dependency; preventing abuse, neglect, or exploitation of
children and adults; reducing inappropriate institutional
care; and supporting institutional care, when appropriate.


The SSBG is an annually appropriated capped entitlement
to states. This means that states are entitled to their share of
funding, as determined by formula, out of an amount that is
capped in statute at a specific level. At its highest, the cap
was set at $2.8 billion (FY1990-FY1995), but over time it
has decreased to the current level of $1.7 billion.


Since FY2002, annual appropriations laws have funded the
SSBG at its authorized level of $1.7 billion. However,
SSBG appropriations since FY2013 have been subject to
sequestration, a spending reduction process by which
budgetary resources are canceled to enforce budget policy
goals (see Table 1 for a recent funding history). In addition
to annual appropriations, the SSBG has occasionally
received supplemental appropriations to assist states and
territories in responding to natural disasters, including in
FY2006, FY2008, and FY2013.

TANF TaFie,
The Social Security Act authorizes states to transfer a
portion of their Temporary Assistance for Needy Families
(TANF) block grants to the SSBG. The 1996 welfare
reform law (P.L. 104-193) capped TANF transfers to the
SSBG at 10% of each state's TANF allotment. Subsequent
legislation (P.L. 105-178) reduced the allowable transfer to
4.25% beginning in FY2001. However, this provision has
been superseded in every year (from FY2001 on) by
provisions in annual appropriations acts. These provisions
have essentially reinstated the transfer authority to 10%.
Table 1 shows TANF transfers to the SSBG since FY2010,
as reported in TANF financial data published by HHS.


Table I. SSBG Funding History
(nominal $ in billions)

                                 SSBG           TANF
 Fiscal Year    Ceiling     Appropriation      Transfer

    2010         $1.700          $1.700         $1.220
    2011         $1.700          $1.700         $1.135
    2012         $1.700          $1.700         $1.133
    2013         $1.700      $1.613 + $0.475    $1.135
    2014         $1.700          $1.578         $1.156
    2015         $1.700          $1.576         $1.165
    2016         $1.700          $1.584         $1.143
    2017         $1.700          $1.583         $1.140
    2018         $1.700          $1.588         $1.119
    2019         $1.700          $1.565        not avail.
    2020         $1.700         not avail,     not avail.

Source: SSBG budget documents and TANF spending reports. SSBG
funding levels for FY2013-FY2019 reflect sequestration. FY2013
displays annual and supplemental funds after sequestration. Full-year
FY2020 appropriations have not yet been enacted.


SSBG funds are allocated to states according to the relative
size of each state's population based on the most recent data
available. Grants to Puerto Rico, Guam, the Virgin Islands,
and Northern Mariana Islands are based on their share of
Title XX funds in FY 1981. Grants to American Samoa are
based on the relative size of its population compared to the
population of the Northern Mariana Islands.


No match is required for federal SSBG funds, and federal
law does not specify a sub-state allocation formula.


There are no federal eligibility criteria for SSBG recipients,
but states may set their own. One exception is that welfare
reform established an income limit of 200% of the poverty
level for recipients of services funded by TANF.
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Each year, states must submit an intended use plan to HHS,
outlining the services to be supported with the state's SSBG
funds, as well as certain characteristics of the individuals to
be served (e.g., children, adults 59 and younger, adults 60
and older, and the disabled). States are also required to
report annually on SSBG expenditures in various service
categories defined in federal regulations.


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