119-hr2108

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2108 Introduced in House

    (IH) ]

<DOC>

119th CONGRESS
 1st Session
 H. R. 2108

 To prevent and address intentional misuse of subrecipient TANF funds.

_______________________________________________________________________

 IN THE HOUSE OF REPRESENTATIVES

 March 14, 2025

Mr. Davis of Illinois (for himself, Ms. Chu, Mr. Evans of Pennsylvania, 
 Mr. Gomez, Ms. Moore of Wisconsin, and Mr. Thompson of Mississippi) 
 introduced the following bill; which was referred to the Committee on 
 Ways and Means

_______________________________________________________________________

 A BILL

 To prevent and address intentional misuse of subrecipient TANF funds.

 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 ``TANF State Expenditure Integrity Act 
of 2025''.

SEC. 2. AUTHORITY TO PREVENT AND ADDRESS INTENTIONAL MISUSE OF 
 SUBRECIPIENT FUNDS UNDER THE TANF PROGRAM.

    (a) In General.--

Section 417 of the Social Security Act (42 U.S.C. 
617) is amended--

    (1) by inserting ``

    (a) In General.--'' before ``No''; and

    (2) by adding at the end the following:
 ``

    (b) Authority To Prevent Intentional Misuse of Subrecipient 
Funds.--
 ``

    (1) Subrecipient monitoring.--
 ``
        (A) In general.--The Secretary--
 ``
            (i) shall develop a framework for the 
 monitoring of subrecipient use of funds 
 provided under 

section 403

    (a)

    (1) of this Act, 
 for the purpose of identifying intentional 
 misuse, to supplement single State audits 
 conducted under chapter 75 of title 31, United 
 States Code;
 ``
            (ii) may establish State plan 
 requirements or formats relating to clause
            (i) ; 
 and
 ``
            (iii) may require States to report to the 
 Secretary such information to supplement the 
 report provided under 

section 411

    (a) as the 
 Secretary determines is necessary to enable the 
 Secretary to comply with clauses
            (i) and
            (ii) of this subparagraph.
 ``
        (B) No effect on single state audit authority.--
 Clause
            (i) of this subparagraph shall not be 
 interpreted to limit the authority of the Secretary to 
 conduct single State audits under chapter 75 of title 
 31, United States Code.
 ``

    (2) Program integrity unit authorization and funding.--
 ``
        (A) TANF program integrity unit.--The Secretary 
 shall create a TANF Program Integrity Unit at the 
 Administration for Children & Families, which shall 
 conduct the monitoring described in paragraph

    (1)
        (A)
            (i) .
 ``
        (B) Appropriation.--Out of any money in the 
 Treasury not otherwise appropriated, the amount made 
 available in 

section 403

    (a)

    (1)
            (C) for each fiscal year 
 shall be increased by $10,000,000, and the amount of 
 the increase shall be available for the staffing and 
 operations of the TANF Program Integrity Unit and 
 related functions.
 ``

    (3) Annual report to the congress.--The Secretary shall 
 submit an annual report to the Congress on the activities 
 undertaken under paragraph

    (2)
        (A) in the fiscal year covered by 
 the report.''.

    (b) Remedies.--

Section 409

    (a)

    (1)
        (B) of such Act (42 U.S.C. 
609

    (a)

    (1)
        (B) ) is amended--

    (1) by striking ``
        (B) Enhanced penalty for intentional 
 violations.--If'' and inserting the following:
 ``
        (B) Enhanced penalty for intentional 
 violations.--
 ``
            (i) In general.--If''; and

    (2) by adding at the end the following:
 ``
            (ii) Additional remedies.--If the 
 Secretary finds, as a result of subrecipient 
 monitoring under 

section 417

    (b)

    (1) of this Act, 
 that an amount has been intentionally misused 
 in violation of this part, then the Secretary 
 shall--
 ``
            (I) notify the State involved of 
 the finding; and
 ``
            (II) in addition to any penalty 
 imposed under clause
            (i) , require the 
 State to expend, in addition to any 
 other amount required to be expended 
 under the State program funded under 
 this part, an amount equal to the 
 amount so misused, for the provision of 
 cash assistance directly to families 
 with an income below 100 percent of the 
 poverty line (as defined in 

section 673

    (2) of the Omnibus Budget 
 Reconciliation Act of 1981, including 
 any revision required by such section, 
 applicable to a family of the size 
 involved).''.
            (c) Deadline for Publication of Notice of Rulemaking.--Within 2 
years after the date of the enactment of this Act, the Secretary of 
Health and Human Services shall publish a notice of rulemaking to 
implement the amendments made by this section.
            (d) Effective Date.--The amendments made by this section shall take 
effect on the later of--

    (1) the 1st day of the 5th calendar quarter that begins 
 after the date of the enactment of this Act; or

    (2) the 1st day of the 1st Federal fiscal year that begins 
 after such date of enactment.
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