I
119THCONGRESS
1
STSESSION H. R. 2359
To amend part A of title IV of the Social Security Act to establish deadlines
for the obligation and expenditure of funds and allow States to establish
rainy day funds under the program of block grants to States for tem-
porary assistance for needy families.
IN THE HOUSE OF REPRESENTATIVES
MARCH26, 2025
Mr. C
AREY(for himself and Mr. MILLERof Ohio) introduced the following
bill; which was referred to the Committee on Ways and Means
A BILL
To amend part A of title IV of the Social Security Act
to establish deadlines for the obligation and expenditure
of funds and allow States to establish rainy day funds
under the program of block grants to States for tem-
porary assistance for needy families.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE. 3
This Act may be cited as the ‘‘Improve Transparency 4
and Stability for Families and Children Act’’. 5
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SEC. 2. DEADLINES FOR THE OBLIGATION AND EXPENDI-1
TURE OF FUNDS. 2
(a) I
NGENERAL.—Section 404(e) of the Social Secu-3
rity Act (42 U.S.C. 604(e)) is amended to read as follows: 4
‘‘(e) D
EADLINES FOR OBLIGATION AND EXPENDI-5
TURE OFFUNDS BYSTATES.— 6
‘‘(1) I
N GENERAL.—Except as provided in para-7
graph (2), a State to which funds are paid, after the 8
effective date of this subsection, under section 9
403(a)(1) for a fiscal year shall obligate the funds 10
not later than the end of the succeeding fiscal year, 11
and shall expend the funds not later than the end 12
of the 2nd succeeding fiscal year. 13
‘‘(2) E
XCEPTION FOR LIMITED AMOUNT OF 14
FUNDS SET ASIDE FOR FUTURE USE .— 15
‘‘(A) I
N GENERAL.—Notwithstanding para-16
graph (1) of this subsection, a State to which 17
funds are paid under section 403(a)(1), after 18
the effective date of this subsection, for a fiscal 19
year may reserve not more than 15 percent of 20
the funds for future use in the State program 21
funded under this part, subject to subparagraph 22
(B) of this paragraph. 23
‘‘(B) L
IMITATION.—The total amount held 24
in reserve by a State under subparagraph (A) 25
of this paragraph shall not exceed an amount 26
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equal to 50 percent of the total amount paid to 1
the State under section 403(a)(1) for the then 2
preceding fiscal year. 3
‘‘(C) N
OTICE OF INTENT TO RESERVE 4
FUNDS.—A State that intends to reserve funds 5
under subparagraph (A) shall notify the Sec-6
retary of the intention not later than the end of 7
the period in which the funds are available for 8
obligation without regard to subparagraph (A) 9
of this paragraph.’’. 10
(b) E
FFECTIVEDATE.—The amendment made by 11
subsection (a) shall take effect on October 1, 2026. 12
Æ
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