Assigned to FS & APPROP                                                                                                                  FOR COMMITTEE

 

 


 

ARIZONA STATE SENATE

Phoenix, Arizona

 

FACT SHEET FOR S.B. 1089

 

TANF; eligibility requirements

 

Purpose

 

            Restores eligibility for temporary assistance for needy families (TANF) to children born during specified time periods.

 

Background

 

            Current statutes relating to TANF deems ineligible for benefits any child born during three periods of time:  (1) when the child’s parent is receiving welfare benefits; (2) during a voluntary interruption in benefits of less than five years; and (3) while the parent is temporarily ineligible due to noncompliance with an eligibility requirement. 

 

There are exceptions for children born:  (1) as a result of sexual assault;  (2) within the first ten months of the parent’s initial eligibility; (3) within ten months after the twelfth consecutive month the parent was not receiving benefits; and   (4) within ten months of the parent’s resumption of benefits following twelve months of not receiving benefits. These children are counted when calculating any benefit increases that arise from across-the-board increases for all program recipients, and a parent or other relative may earn an amount equal to the disallowed cash payment without affecting their eligibility.

 

            The bill removes ineligibility based on the time period of a child’s birth, thereby allowing a family to receive $72 per month in cash assistance for a child born to a TANF recipient.  The bill also contains a legislative intent clause that the bill has only prospective effect and is effective if TANF funds for federal fiscal year 2001-2002 are appropriated at an amount at least equal to the current TANF funding for Arizona, excluding bonus monies.  The TANF appropriation for FFY 2001-2002 was approved at the same level as FFY 2000-2001 on December 21, 2001.

 

A fiscal analysis conducted by Joint Legislative Budget Committee staff on similar legislation introduced during the 2001 session estimated an annual impact of $3.3 million from a combination of federal TANF and state general funds.  Updated information has been requested.

 

Provisions

 

1.      Allows a family to receive an additional TANF benefit for a child born while a parent is receiving TANF benefits, born during a voluntary interruption of benefits or born during a period of noncompliance.

 

2.      Makes technical and conforming changes.

 

3.      Confirms that the act is prospective.

 

4.      Conditions enactment on TANF appropriations for FFY 2001-2002 being at least equal to TANF appropriations for FFY 2000-2001.  (An amendment will be offered to correctly reflect that TANF will be reauthorized for FFY 2002-2003.  This act will be conditional upon the funding for FFY 2002-2003 being at least equal to the current funding level.)

 

5.      Requires the Director of the Department of Economic Security to notify Legislative Council of the federal reauthorization and funding amount within one day of receiving notification from the federal government.

 

6.      Becomes effective on the federal funding applicable date.

 

 

Prepared by Senate Staff

January 21, 2002