H.R. 1859 modifies how states treat apprenticeship income when determining eligibility for Temporary Assistance for Needy Families (TANF), a federal program that provides cash assistance to low-income families. Under this bill, states would be required to disregard all income earned during the first year of a registered apprenticeship when calculating whether someone qualifies for TANF benefits, effectively allowing apprentices to earn entry-level wages without losing or reducing their assistance. The bill affects low-income individuals entering registered apprenticeships and the state agencies administering TANF programs. States that fail to comply with this requirement would face a 1 percent reduction in their annual TANF grants from the federal government. The bill takes effect on the first day of the federal fiscal year following its enactment, giving states time to update their eligibility systems and procedures.
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