HR702-119

1. Short title This Act may be cited as the Improving Federal Assistance to Families Act .

2. New poverty line index The Bureau of the Census shall develop and publish a new poverty line index to be measured separately for each State on an annual basis and to be known as the Regionally Adjusted Poverty Line. The Regionally Adjusted Poverty Line shall be a revised version of the most recent poverty line that, for each State— uses new poverty thresholds created by multiplying the State’s most recent poverty thresholds by its most recent Regional Price Parity, divided by 100; and uses new poverty rates created by using the poverty thresholds determined in paragraph (1) rather than each State’s current poverty thresholds to determine the percentage of households that are below each State’s poverty line.

3. Use of the regionally adjusted poverty line in lieu of the poverty line The Secretary of Health and Human Services, in consultation with the Secretary of Housing and Urban Development, shall— determine, for each State annually, which poverty line index between the Regionally Adjusted Poverty Line as specified in section 2 and the current poverty line has a higher poverty rate for such State; issue, and publish in the Federal Register, for each State, the poverty line index that has a higher poverty rate for such State as specified in paragraph (1) in lieu of the poverty line; and for each State— except as provided in subparagraph (B), use the poverty line index that has a higher poverty rate for such State as specified in paragraph (1) for administrative purposes, including for determining financial eligibility for certain Federal programs, in lieu of the poverty line, and for the purpose of determining financial eligibility for Premium Tax Credits under the Affordable Care Act, have flexibility to use either the Regionally Adjusted Poverty Line or the current poverty line to ensure low-income households in States not expanding Medicaid do not lose access to Premium Tax Credits.

4. GAO study on ALICE poverty measure Not later than 2 years after the enactment of the enactment of this Act, the Comptroller General of the United States shall submit to the Committee on Homeland Security and Government Affairs of the Senate and the Committee on Oversight and Accountability of the House of Representatives, a report containing the results of a study on— the advantages and disadvantages of the ALICE threshold as a measure of poverty and household material need relative to the current poverty line, including any additional information that the ALICE threshold provides to policymakers that is not available from the current poverty line; any areas in which the ALICE threshold can be improved to better measure household material need or improve upon the current poverty line; how the Government can assist in the development and publication of the ALICE threshold; and how, if at all, the ALICE threshold could be incorporated into the financial eligibility criteria, both that maintained by the Secretary of Health and Human Services and that legislated by Congress, for certain Federal programs to better meet the material need of households and improve access to certain Federal programs.

5. Definitions In this Act: The term ALICE threshold means the Asset Limited, Income Constrained, Employed measure developed by the United Way of Northern New Jersey as an alternative to the poverty line that includes the regional minimum cost of necessities including housing, child care, food, transportation, healthcare, and taxes. The term poverty line has the same definition as under section 673 of the Community Services Block Grant Act (42 U.S.C. 9902). The term poverty threshold means the dollar amounts used by the Bureau of the Census to determine a household’s poverty line status. The term Regional Price Parity means the difference in price levels between a State and the national average, expressed as a percentage of the overall national price level, as published by the Bureau of Economic Analysis. The term State means any State of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands.

6. Effective dates Section 2 shall take effect 1 year after the date of the enactment of this Act and section 3 shall take effect 3 years after the date of the enactment of this Act.