Tennessee House Bill HB2397

Tennessee 2023-2024 Regular Session

• Introduced: 1/30/24
• Refer: 2/1/24

Caption

AN ACT to amend Tennessee Code Annotated, Title 71, relative to inflationary adjustments for TANF benefits.

Impact

The passage of HB 2397 would directly impact state law by ensuring that TANF benefits remain aligned with inflation, thereby helping low-income families to maintain their purchasing power. This adjustment mechanism is designed to prevent the erosion of financial support as living costs increase over time. By tying benefit levels to an established economic indicator, the bill reinforces the state's commitment to supporting vulnerable populations and adapts welfare provisions to changing economic conditions.

Summary

House Bill 2397 aims to amend Tennessee Code Annotated, Title 71, to introduce inflationary adjustments for Temporary Assistance for Needy Families (TANF) benefits. Specifically, the bill stipulates that starting from January 1, 2025, and on January 1 of each subsequent year, TANF base payments for eligible families must be adjusted to reflect the changes in the average consumer price index as published by the U.S. Department of Labor. The bill ensures that if the consumer price index decreases, the base payment for TANF will not be reduced, providing a safeguard for families reliant on these benefits.

Sentiment

The sentiment surrounding HB 2397 is generally supportive among advocates for low-income families, who view it as a necessary action for addressing economic disparities exacerbated by inflation. Supporters argue that without such adjustments, the real value of TANF benefits would diminish, leaving families at greater risk of financial insecurity. Conversely, there may be opposition from fiscal conservatives who could argue against the implications of continually increasing public assistance based on inflation, emphasizing concerns about state budgetary constraints.

Contention

Notable points of contention could arise regarding the funding mechanisms required to support the adjustments mandated by HB 2397. Critics may raise questions about how the state plans to accommodate potential financial increases in the TANF program, especially if inflation continues to rise. Additionally, discussions may focus on whether or not additional eligibility restrictions should be put in place to balance budget impacts while still providing necessary support to families in need.