Referred to the Committee on Ways and Means, and in addition to the Committees on Financial Services, Agriculture, Education and Workforce, and Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
The Upward Mobility Act of 2026 establishes a 5-year pilot program allowing up to 5 states to consolidate federal antipoverty funding from programs including food assistance, cash assistance, child care, energy assistance, workforce training, and housing into unified "Upward Mobility Grants." States can redesign how they deliver these benefits with federal waivers to reduce "benefit cliffs" that discourage work, though civil rights protections, labor standards, and environmental safeguards remain in place. Grant amounts are based on each state's prior-year spending on these programs, adjusted annually for inflation and distributed quarterly, with states required to submit applications showing how they will improve employment outcomes, establish work requirements, engage community organizations, and conduct independent evaluations. The bill prioritizes applications that keep the effective tax rate on earnings at 50 percent or lower and transfer program administration from multiple federal agencies to the Administration for Children and Families, which receives administrative funding proportional to the grants distributed.
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