ActionBrief

Welfare Reform: The Temporary Assistance For Needy Families (TANF) Program

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  • TANF funds can be used for a variety of initiatives and supportive services, such as childcare, education, training, counseling, mentoring, transportation assistance, and work expense allowances among others. States can also tailor services to better address the needs of individuals.
  • Many states have large TANF surpluses. As state governments move to spend these surplus funds, especially in response to the post-9/11 economic changes, it may be an opportune time to step in and help design human services programs. Spending deadlines, the obligations to maintain state expenditure levels, and the upcoming reauthorization debate put pressure on the states to use TANF program funds. With labor’s help, the Workforce Investment Act (WIA) system can help connect TANF recipients to good jobs and training.
  • Look for Opportunities

    Programs should keep a close watch on availability of funds. New systems for applications are developing under the Workforce Investment Act system. A California example: California has a new application process. The California Department of Education (CDE) and the Outreach and Technical Assistance Network (OTAN) have teamed up to launch a virtual application process for federal adult education funds. The OTAN Website is: http://www.otan.dni.us

    State governors, legislators, and human services administrators will generally set the agenda for the state’s TANF program. Local governments and county welfare agencies may also have a role in program design and implementation in some states. Decision-making at these levels may provide openings for collaboration and opportunities to access customized services.
  • Federal TANF funding is much higher than for many other federal human services or workforce development programs. Federal TANF funding is $16.8 billion each year through FY2002.

What are the purposes of TANF?

The federal statute sets out the following four purposes:

  1. To provide assistance to needy families;
  2. To end dependence of needy parents by promoting job preparation, work and marriage;
  3. To prevent and reduce out-of-wedlock pregnancies; and
  4. To encourage the formation and maintenance of two-parent families.

Under these general purposes, a wide variety of programs and services can be established to serve needy families with (or expecting) children.

Who can be served under TANF

Under its first two purposes, TANF serves “needy” families, including single-parent and two-parent families. The family must include a minor child or pregnant woman. States may also choose to provide assistance or services to noncustodial parents when they are members of a TANF-eligible family.

TANF funds may also be used to advance the out-of-wedlock pregnancy prevention and family formation purposes, the third and fourth purposes under the federal TANF statute.

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