MLRI REPORT: "TANF Reauthorization: What Are The Key Issues for Massachusetts?"

Since 1996, Massachusetts has been eligible to receive $459 million a year in TANF block grant funds. There are many restrictions on how states may spend block grant funds, but there is also a great deal of flexibility. Massachusetts has chosen to use most of the funds for child care and other services rather than for cash assistance benefits. The 1996 federal welfare law that authorized TANF expires at the end of federal fiscal year 2002 (September 30, 2002). Congress will consider legislation to reauthorize the block grant, as well as proposals to change the federal rules on how TANF may be spent. This report looks at how Massachusetts currently deals with the federal restrictions and what the the state needs most in the TANF reauthorization process.