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House Debt Limit Bill Adjusts Work Requirement Changes

AEIdeas

April 26, 2023

Early this morning, House Republicans made three last-minute changes to the work requirement policies included in their debt limit proposal as it headed to the House floor for consideration.

As Roll Call summarized,

The changes wouldn’t toughen up new Medicaid work requirements, as some conservatives wanted. But it would move up the effective date by a year, to Oct. 1, 2024, for stiffer work rules impacting Temporary Assistance for Needy Families beneficiaries. A provision barring states from carrying over from year to year unused exemptions from Supplemental Nutrition Assistance Program work rules would become effective this October, rather than a year later. And it would add to the food stamp program’s “declaration of policy” new language stating that another purpose of SNAP is to assist low-income adults in obtaining employment and increasing their earnings, which will in turn help them purchase healthier food.

Here’s the full text of the addition to the food stamp program’s declaration of policy:

Section 2 of the Food and Nutrition Act of 2008 (7 U.S.C. 2011) is amended by adding at end the following: “That program includes as a purpose to assist low-income adults in obtaining employment and increasing their earnings. Such employment and earnings, along with program benefits, will permit low-income households to obtain a more nutritious diet through normal channels of trade by increasing food purchasing power for all eligible households who apply for participation.”

That statement echoes a key purpose of the nation’s Temporary Assistance for Needy Families (TANF) program, which is similarly intended to promote job preparation and work, among other program goals.

The changes were made after the nonpartisan Congressional Budget Office on Tuesday released its estimate that the legislation overall would reduce budget deficits in the coming decade by $4.8 trillion.

That includes an estimated $120 billion in savings from the effects of work requirement policies included in the legislation, which would reduce federal spending on Medicaid and SNAP benefits. Over 90 percent of those savings would be from the rapidly-growing Medicaid program, which as Roll Call noted would be unaffected by the last-minute changes.

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