[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8872 Introduced in House (IH)]

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119th CONGRESS
  2d Session
                                H. R. 8872

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.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 19, 2026

Mr. Carey (for himself, Mr. Arrington, Mr. Bean of Florida, Mr. Miller 
    of Ohio, Mr. Smith of Nebraska, and Ms. Tenney) introduced the 
 following bill; which was referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
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.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Preventing Waste, Fraud, and Abuse 
in TANF Act''.

SEC. 2. STRENGTHENING PROGRAM INTEGRITY THROUGH IMPROPER PAYMENTS 
              REVIEW.

    (a) In General.--Section 404 of the Social Security Act (42 U.S.C. 
604) is amended by adding at the end the following:
    ``(l) Applicability of Payment Integrity Law.--The Payment 
Integrity Information Act of 2019 shall apply to a State in respect of 
the State program funded under this part in the same manner in which 
such Act applies to a Federal agency.''.
    (b) Report to Congress.--Within 1 year after the date of the 
enactment of this Act, the Secretary of Health and Human Services shall 
submit to the Congress a written report that contains a plan to reduce 
or eliminate improper payments made by States under part A of title IV 
of the Social Security Act within 10 years.

SEC. 3. TARGETING FUNDS TO FAMILIES IN NEED.

    Section 404 of the Social Security Act (42 U.S.C. 604) is further 
amended by adding at the end the following:
    ``(m) Establishing a Threshold for Families in Need.--A State to 
which a grant is made under section 403(a)(1) shall use the grant only 
to provide assistance or services to a family whose income is less than 
twice the poverty guidelines updated periodically in the Federal 
Register under section 673(2) of the Omnibus Budget Reconciliation Act 
of 1981 (42 U.S.C. 9902(2)).''.

SEC. 4. DEADLINES FOR THE OBLIGATION AND EXPENDITURE OF FUNDS.

    Section 404(e) of the Social Security Act (42 U.S.C. 604(e)) is 
amended to read as follows:
    ``(e) Deadlines for Obligation and Expenditure of Funds by 
States.--
            ``(1) In general.--Except as provided in paragraph (2), a 
        State to which funds are paid, after the effective date of this 
        subsection, under section 403(a)(1) for a fiscal year shall 
        obligate the funds not later than the end of the succeeding 
        fiscal year, and shall expend the funds not later than the end 
        of the 2nd succeeding fiscal year.
            ``(2) Exception for limited amount of funds set aside for 
        future use.--
                    ``(A) In general.--Notwithstanding paragraph (1) of 
                this subsection, a State to which funds are paid under 
                section 403(a)(1), after the effective date of this 
                subsection, for a fiscal year may reserve not more than 
                15 percent of the funds for future use in the State 
                program funded under this part, subject to subparagraph 
                (B) of this paragraph.
                    ``(B) Limitation.--The total amount held in reserve 
                by a State under subparagraph (A) of this paragraph 
                shall not exceed an amount equal to 50 percent of the 
                total amount paid to the State under section 403(a)(1) 
                for the then preceding fiscal year.
                    ``(C) Notice of intent to reserve funds.--A State 
                that intends to reserve funds under subparagraph (A) 
                shall notify the Secretary of the intention not later 
                than the end of the period in which the funds are 
                available for obligation without regard to subparagraph 
                (A) of this paragraph.''.

SEC. 5. PROHIBITION ON STATE DIVERSION OF FEDERAL FUNDS TO REPLACE 
              STATE SPENDING.

    (a) In General.--Section 404 of the Social Security Act (42 U.S.C. 
604) is further amended by adding at the end the following:
    ``(n) Limitation on Use of Federal Funds to Replace State General 
Revenue Funds.--A State shall use Federal funds received under this 
part only to supplement funds that, in the absence of the Federal 
funds, would be made available from State and local sources for 
programs assisted under this part, and not to supplant the funds.''.
    (b) State Certification.--Section 402(a) of such Act (42 U.S.C. 
602(a)) is amended by adding at the end the following:
            ``(9) Certification of state supplementation.--A 
        certification by the chief executive officer of the State that 
        the funds provided to the State under this part will not be 
        used to supplant State or non-Federal funds for services and 
        activities that promote the purposes of this part.''.

SEC. 6. EFFECTIVE DATE.

    The amendments made by this Act shall take effect on October 1, 
2027.
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