Chairman Smith Floor Remarks: Preventing Waste, Fraud, and Abuse in TANF Act Defends Against Abuse of Taxpayer Dollars, Improves Integrity of TANF to Better Support Families in[...]

WASHINGTON, D.C. - Ways and Means Committee Chairman Jason Smith (MO-08) delivered the following statement during debate in the U.S. House of Representatives on the Preventing Waste, Fraud, and Abuse in TANF Act (H.R. 8872):

As prepared for delivery.

"I rise today in support of H.R. 8872, the Preventing Waste, Fraud, and Abuse in TANF Act, introduced by my Ways and Means Committee colleague Representative Mike Carey.

"With an annual price tag of over $16 billion, the Temporary Assistance for Needy Families program is a sizeable investment and plays a critical support role for families who have fallen on hard times. A core tenet of the program is promoting self-sufficiency through work - a goal I know many of us see as a cornerstone of a successful welfare system.

"Unfortunately, right now there are major weaknesses in the TANF program that make it ripe for waste, fraud, and abuse. Despite the billions of dollars flowing through TANF, it is one of the few federal programs we have that is not required to account for improper payments. Additionally, investigations and reporting conducted by the Government Accountability Office found that the 78 percent of TANF spending that goes toward non-assistance activities lacks guardrails to prevent abuse and misuse of these federal resources.

"With instances of fraud occurring at an alarming rate across multiple government programs at the federal, state, and local levels, Congress must act. That is why the Ways and Means Committee has held hearings and conducted critical oversight to determine what solutions will protect taxpayers and the families who should be benefiting from programs like TANF.

"The Preventing Waste, Fraud, and Abuse in TANF Act is a straightforward piece of legislation that addresses four key areas of concern - reflecting priorities of four members of the Ways and Means Committee.

"The lead sponsor of this bill, Representative Carey, has fought to keep states from sitting on TANF funds while families struggle. Right now, states are holding on to nearly $8 billion in funds because there are no spending deadlines holding them accountable. This legislation requires that states spend down their TANF funds within a three-year window.

"Representative Arrington, the chairman of the House Budget Committee who is a leader in the fight to rein in waste, fraud, and abuse in government, has championed a provision within this bill that finally requires the federal government to track and report instances of improper payments. This reporting is crucial to ensuring policymakers and the American people know if tax dollars are being spent as advertised.

"With her understanding of how states often repurpose TANF funds to cover unrelated gaps in state budgets, Representative Tenney has worked to ensure states only use federal TANF resources to supplement - not replace - state and local spending.

"Thanks to the leadership of Representative Adrian Smith - who has worked to ensure TANF funding is actually going to those truly in need of assistance - this bill includes a provision that establishes an income threshold of 200 percent of the federal poverty line, which is $62,000 for a family of four, to ensure states are targeting TANF spending to give more to those in need.

"These policies defend against the abuse and misuse of taxpayer dollars and improve the integrity of the TANF program to better support those it was created to serve.

"I'm grateful for the leadership of the members of the Ways and Means Committee who have made weeding out waste, fraud, and abuse in our federal welfare programs a priority.

"I urge my colleagues to support this bill."