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Congress·In Committee·H.R. 6949

Congress Proposes 5-State Pilot Letting States Merge Safety-Net Funds Into Flexible Upward Mobility Grants

Upward Mobility Act of 2026

3 months ago·View on Congress.gov
Part of: Congress Proposes 'Upward Mobility Grants' to Overhaul State Welfare Funding

Legislative Progress

House
Senate
President
Law

Key Points

  • Creates a 5-year pilot letting up to 5 states combine several federal anti-poverty funding streams into one flexible grant.
  • States could ask for waivers to change how programs are run and who qualifies, but waivers can’t override civil rights, health and safety, or limits on aid for people unlawfully in the U.S.
  • The pilot targets “benefit cliffs,” where a small raise can cause big benefit losses, and pushes states to design smoother step-downs as income rises.
  • Adds a work requirement tied to existing food assistance rules and requires states to set up anti-fraud controls, privacy protections, and clear records.
  • For oversight, states must hire an independent evaluator each year to track employment, earnings, poverty changes, and whether the state’s use of direct aid per person goes down.
HealthcareHousingLabor EmploymentConsumer ProtectionEducation

Impact Analysis

Personal Impact

How this policy affects specific groups of people

Mixed Impacts(6)
Snap Food Stamps
Neutral
Housing Assistance
Neutral
Child Tax Credit
Neutral
Renter
Neutral
Unemployment Benefits
Neutral
Gig Worker
Neutral

Milestones

2 milestones2 actions
Jan 6, 2026House

Referred to the Committee on Ways and Means, and in addition to the Committees on Financial Services, Agriculture, Education and Workforce, and Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Jan 6, 2026

Introduced in House

What Happens Next

Projected impacts based on AI analysis

After the bill becomes law; timing depends on HHS application window

States prepare and submit applications to run a 5-year pilot (up to 5 States total)

If your State applies, you may hear about proposed changes to how SNAP, cash aid, child care help, energy help, or housing supports are bundled and delivered.

Within days after HHS receives a State application, then 30 days for comments

HHS posts each State’s application online and opens a 30-day public comment period

Residents, advocates, and local providers can submit feedback before HHS approves or denies a State plan.

Within 90 days after HHS receives the application

HHS decides whether to approve a State application within 90 days of receiving it

People in applying States would learn whether their State will actually switch to the pilot approach.

After a denial; decision due within 30 days of modified application

If HHS disapproves, a State can resubmit and get a decision within 30 days

States that miss the mark can try again, which could delay changes that families might otherwise expect soon.

Likely starting at the beginning of a fiscal quarter after approval

Approved States start receiving quarterly Upward Mobility Grant payments

Funding begins flowing under the new combined-grant setup, which is when program rules could begin changing for households.

During the first year of a State’s 5-year pilot

Pilot States roll out new combined eligibility and benefit rules (including work-rule enforcement)

Families may see a new application process, new reporting requirements, or different benefit phase-outs as earnings rise.

Once each year during the 5-year pilot

Annual independent evaluation reports are produced for each pilot State

Results may influence whether the State changes the program midstream and whether Congress considers expanding the model.

Five years after each State’s pilot start date

End of the 5-year pilot period for each participating State

Unless extended by future law, States would likely return to standard program rules or transition to a new permanent structure decided later.

Source Information

Document Type

Congressional Bill

Official Title

Upward Mobility Act of 2026

Bill NumberHR 6949
Congress119th Congress
ChamberHouse of Representatives
Latest ActionReferred to the Committee on Ways and Means, and in addition to the Committees on Financial Services, Agriculture, Education and Workforce, and Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Sponsor

Analysis generated by AI. Always verify with official sources.