A Study of States' TANF Diversion Programs.

In response to higher effective work participation rates that followed the reauthorization of the TANF program in 2005, states added new policies and programs that divert eligible families from the TANF system. This report describes states’ policies on and experiences with diversion. Strategies included lump-sum payment programs, applicant work requirements, and temporary support programs. All but three states had implemented at least one diversion strategy. Thirty-five states had a lump-sum payment program, a net increase of six states from 2005. In 20 states, applicants completed a job search activity as a condition of their TANF eligibility; 19 other states required applicants to complete a TANF program orientation or an employment plan as a condition of eligibility. By spring 2008, nine states had implemented a temporary support program.