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for Federal Fiscal Year (FFY) 2024 is estimated to be 81.3%. The adjusted All- Family Participation Rate requirement to be met is zero percent (50% - 81.3% = 0%).2 As of February 2025, 15.6% of mandatory households met the work participation requirements for FFY 2024. Therefore, Hawaii is expected to exceed the required participation by 15.6% compared to zero percent. Mandatory Households Meeting All-Family Participation Rate Requirements FFY 2024 Planned = 15% Actual = 15.6% (prior to the application of the Caseload Reduction Credit)

FFY 2025 Planned = 15% (prior to the application of the Caseload Reduction Credit) b) Two-Parent Participation Rate of 90%: Of all TANF recipient cases that have two work-eligible parents who are complying with their federally mandated work activities. The 90% compliance rate for the Two-Parent Participation Rate is the federal baseline before factoring in the Caseload Reduction Credit. The same estimated Caseload Reduction Credit for FFY 2024 of 81.3% can be applied. The adjusted Two-Parent Participation Rate to be met is 21.5% (90% - 81.3% = 8.7%). As of February 2025, 27.9% of mandatory two-parent met the work participation requirements for FFY 2024. Therefore, Hawaii is expected to meet the required Two-Parent Participation Rate of 27.9% compared to 8.7%.

Mandatory Households Meeting Two-Parent Participation Rate Requirements FFY 2024 Planned = 20% FFY 2024 Actual = 27.9% (prior to the application of the caseload reduction credit) FY 2025 Planned = 27% (prior to the application of the caseload reduction credit)

2 Pursuant to Section 407(b)(3) of the Social Security Act (the Act), the U.S. Department of Health and Human Services (HHS), Administration for Children and Families (ACF), reduces a state’s required participation rate for a Federal Fiscal Year (FFY) when the number of percentage points that the average monthly number of families receiving assistance during the year immediately preceding the current fiscal year is less than the average monthly number of families that received assistance during the comparison year (FFY 1995). The statute prohibits this reduction from including any caseload declines due to requirements of Federal law or due to differences in state eligibility criteria. The reduction in the participation rate is referred to as the Caseload Reduction Credit.