3000.1 Funding the TANF Program

Statutory Authority 45 CFR §201, §261, §263, §264, §265, §270, §283 The Temporary Assistance for Needy Families (TANF) program is a capped Federal Block Grant made available to the states to provide cash assistance to needy families with minor children. 1. The amount of TANF funds available to each state is determined by a formula which considers the amount each state expended for needy families in the years just prior to the enactment of The Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (PRWORA). 2. States may qualify for contingency funds if the state exhibits low economic conditions in one of two ways: • A state has an unemployment rate of at least 6.5% and the average rate is at least 10% higher than the same quarter in either of the two preceding years; or • The number of Food Supplement Program recipients from the three most recent months for which data is avail- able is 10% greater than the monthly average number of individuals that participated in the Food Supplement Program in FY 1994 or 1995 (whichever is lower) in the same three-month period. A. States may be required to return a portion of their contingency funds based on total state spending during the year. 3. States must limit the amount spent on administrative costs to no more than 15% of the total of the state’s grant. 4. States may be penalized and the state’s grant may be reduced for failing to: • Use TANF funds as required by federal law; • Submit required TANF data collection reports; • Satisfy TANF work participation requirements; • Comply with basic TANF maintenance of effort requirements; • Comply with the TANF five-year limit on assistance; • Maintain TANF assistance to an adult single custodial parent who cannot obtain child care for a child under the age of six; • Penalize TANF recipients for child support non-cooperation; • Penalize TANF recipients who refuse to engage in work; • Use the Income Eligibility and Verification System (IEVS); or • Replace a penalty reduction with state funds. 25 DE Reg. 534 (11/01/21)