North Columbus News

Washington, DC – Today, Congressman Mike Carey (R-OH) introduced legislation aimed at expediting the disbursement of payments to families in need through the Temporary Assistance for Needy Families program (TANF). The Improve Transparency and Stability for Families and Children Act mandates that states allocate and distribute federal funding they receive for TANF within three years.

“States should not be stockpiling TANF money at the expense of low-income families and children,” said Congressman Carey. “Even a short-term delay in receiving TANF benefits can be costly for families struggling to make ends meet.”

“The TANF program provides a lifeline to families all across our nation that have fallen on hard times, yet the current system allows states to sit on those benefits instead of providing support to folks in need,” said Ways and Means Committee Chairman Jason Smith (R-MO). “I applaud Congressman Carey’s work on the Improve Transparency and Stability for Families and Children Act as a much-needed step toward accountability to bring TANF in line with other federal grant programs by requiring the support quickly flow to those in need, providing basic financial safeguards for taxpayer dollars.”

Unlike other grant programs, there is no current obligation or liquidation deadline for states to spend TANF funds. This has resulted in multiple states failing to properly use their TANF funds to create programs to help lift individuals out of poverty.

Congressman Carey’s bill sets a two-year period by which TANF funds must be designated for use, with an additional year before the money must be spent.

The bill also allows states to allocate 15% of their TANF funding toward a “rainy day fund,” which is to be used in case of crisis.

Congressman Carey’s bill is part of a larger reform package being considered by the House Ways and Means Committee to ensure that social assistance gets into the hands of the people who need it most in a timely manner.

A copy of the bill can be found here.