H.R. 702

Congressional Research Service summary, version: Introduced in House (Jan 23, 2025)

Improving Federal Assistance to Families Act

This bill directs the Bureau of the Census to develop and publish a new regional poverty line index for each state, and requires the Department of Health and Human Services (HHS) to use the new index to determine eligibility for federal programs in certain circumstances.

Specifically, the bureau must develop and publish a new poverty line index, to be known as the Regionally Adjusted Poverty Line, that is measured separately for each state on an annual basis. The Regionally Adjusted Poverty Line must use new poverty thresholds calculated based on the most recent poverty thresholds and each state’s most recent regional price parity. (Poverty thresholds are specified dollar amounts used by the bureau to determine a household’s poverty status. Regional price parities are measurements of the differences in price levels between states and the national average, and are published by the Bureau of Economic Analysis.)

For each state, HHS must determine annually which poverty line index—the Regionally Adjusted Poverty Line or the current poverty line—results in a greater percentage of households falling below the poverty line. HHS must generally use the identified poverty line index for administrative purposes applicable to each state, including to determine residents’ financial eligibility for certain federal programs.

Finally, the Government Accountability Office must study and report to Congress on the Asset Limited, Income Constrained, Employed threshold, an alternate poverty measure that includes consideration of regional costs of necessities like housing, child care, taxes, and transportation.