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DHS details seven TANF pilots and urges measured wind‑down funding to preserve gains

Finance, Ways, and Means · October 30, 2025
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Summary

DHS Commissioner Clarence Carter told the committee that seven TANF pilots funded from the previously large reserve have produced promising results; pilots will finish next year and DHS asked the legislature to consider modest wind‑down support as programs close.

Commissioner Clarence Carter described steps the department took to reduce an unexpended TANF balance that once exceeded $700,000,000 and to convert those funds into seven pilots testing models to reduce long‑term dependency.

"We have seven pilots ... the objective of each of them is to test a different model for how we would address the issues attendant to vulnerable families with dependent children," Carter said. The pilots were structured across Tennessee’s three grand divisions, each designed to test distinct interventions — from employer partnerships to milestone payments that smooth the benefits cliff as families increase income.

Carter said the pilots were funded with multi‑year awards (each pilot received grant dollars over a three‑year period) and that many participants are showing progress toward employment and reduced reliance on public supports. The department said it provided $1,000,000 per pilot as a wind‑down allocation but some pilots requested larger amounts to close demonstrations without losing infrastructure and staff capacity.

Committee members, including Chairman Hawk, urged continued support for promising pilots and suggested modest additional funding so successful elements can be scaled. DHS said final impact reports are expected next December and the department will submit recommendations for any continuation or scaling of successful models.