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CRS-4 to the state. It establishes an amount that the state may draw from the federal government, but actual cash is drawn only when needed. Table 2 summarizes TANF, CCDF, and welfare-to-work program grants and expenditures. TANF and CCDF grants represent the sum of FY1997 and FY1998 grants; the welfare-to-work program made grants beginning in FY1998. As of September 30, 1998, all three programs had some unexpended funds. Almost all welfare-to-work funds were unspent. However, it should be noted that having unspent grants at the end of a fiscal year is not unusual. In federal grants-to- state programs, the time when grants are converted into actual spending is determined by both federal deadlines for states to obligate and expend grant funds, and by state decisions about obligating and expending funds. Each of the three programs has different rules setting deadlines for obligating and expending grant funds. The CCDF has different deadlines for the obligation and expenditure of discretionary, mandatory, and matching funds. The welfare-to-work program allows 3 years for the expenditure of mandatory grant funds. There is no deadline for the expenditure of TANF funds. Additionally, TANF and the welfare-to-work grant program require states to expend some of their own funds in order to draw cash from federal grants. Though TANF is a block grant, states must make progress toward meeting the program's maintenance of effort (MOE) requirement to draw federal funds. The welfare-to- work grant program is a matching grant program. CCDF also requires states to expend their own funds in order to draw matching grants. In FY1997 and FY1998, all states participated in the CCDF matching grant program. States have "obligated" some of the grants that have yet to be spent. Generally, a state obligation is a commitment to spend. The definition of obligation varies from

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    "ocrText": "CRS-4\nto the state. It establishes an amount that the state may draw from the federal\ngovernment, but actual cash is drawn only when needed.\nTable 2 summarizes TANF, CCDF, and welfare-to-work program grants and\nexpenditures. TANF and CCDF grants represent the sum of FY1997 and FY1998\ngrants; the welfare-to-work program made grants beginning in FY1998.\nAs of September 30, 1998, all three programs had some unexpended funds.\nAlmost all welfare-to-work funds were unspent. However, it should be noted that\nhaving unspent grants at the end of a fiscal year is not unusual. In federal grants-to-\nstate programs, the time when grants are converted into actual spending is determined\nby both federal deadlines for states to obligate and expend grant funds, and by state\ndecisions about obligating and expending funds. Each of the three programs has\ndifferent rules setting deadlines for obligating and expending grant funds. The CCDF\nhas different deadlines for the obligation and expenditure of discretionary,\nmandatory, and matching funds. The welfare-to-work program allows 3 years for the\nexpenditure of mandatory grant funds. There is no deadline for the expenditure of\nTANF funds.\nAdditionally, TANF and the welfare-to-work grant program require states to\nexpend some of their own funds in order to draw cash from federal grants. Though\nTANF is a block grant, states must make progress toward meeting the program's\nmaintenance of effort (MOE) requirement to draw federal funds. The welfare-to-\nwork grant program is a matching grant program. CCDF also requires states to\nexpend their own funds in order to draw matching grants. In FY1997 and FY1998,\nall states participated in the CCDF matching grant program.\nStates have \"obligated\" some of the grants that have yet to be spent. Generally,\na state obligation is a commitment to spend. The definition of obligation varies from"
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