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GAO-12-1028R 1 (2012-09-19)

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L GAO
         Accountablty *Integrity * Reliability
United States Government Accountability Office
Washington, DC 20548


           September 19, 2012

           The Honorable Orrin G. Hatch
           Ranking Member
           Committee on Finance
           United States Senate

           The Honorable Dave Camp
           Chairman
           Committee on Ways and Means
           House of Representatives

           Subject: Waivers Related to the Temporary Assistance for Needy Families Block Grant

           The Temporary Assistance for Needy Families (TANF) block grant, administered by the U.S.
           Department of Health and Human Services (HHS), provides federal funding to states for
           both traditional welfare cash assistance as well as a variety of other benefits and services to
           meet the needs of low-income families and children.1 In December 2011, 1.9 million low-
           income families nationwide received cash assistance through states' TANF programs. While
           states have some flexibility in implementing and administering their state TANF programs,
           there are numerous federal requirements and guidelines that states must meet. For
           example, under section 402 of the Social Security Act, in order to be eligible to receive
           TANF funds, a state must submit to HHS a written plan outlining, among other things, how it
           will implement various aspects of its TANF program.2 More specifically, under section
           402(a)(1)(A)(iii) of the Social Security Act, the written plan must outline how the state will
           ensure that TANF recipients engage in work activities.3 Under section 407 of the Social
           Security Act, states must also ensure that a specified percentage of their TANF recipients
           engage in work activities as defined by federal law.4 Compared with its predecessor
           program, Aid to Families with Dependent Children (AFDC), TANF increased the percentage
           of welfare recipients expected to prepare for work, imposed stronger sanctions against
           individuals who did not participate as required by states, and placed time limits on the
           receipt of cash assistance for many TANF recipients, among other changes.
           In its July 12, 2012, Information Memorandum,5 HHS notified states of HHS' willingness to

           exercise its waiver authority under section 1115 of the Social Security Act.6 Under section

           1 See 42 U.S.C. § 601.
           2 Codified at 42 U.S.C. § 602.

           3 Codified at 42 U.S.C. § 602(a)(1)(A)(iii).

           4 Codified at 42 U.S.C. § 607.
           5 Transmittal No. TANF-ACF-IM-2012-03.
           6 Codified at 42 U.S.C. § 1315.


GAO-12-1028R TANF Waivers


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