Tennessee’s TANF Opportunity Pilot Initiative (TOPI): Lessons Learned from Implementing Transitional Benefits

• In Event: Piloting Transitional Benefits to Mitigate the Benefits Cliff: Implementation Lessons and Early Findings

Abstract

The Tennessee Opportunity Pilot Initiative (TOPI) was established to explore innovative strategies for supporting low-income families in achieving economic mobility and well-being. Utilizing excess TANF funds, the Tennessee Department of Human Services (TDHS) awarded a $25 million grant to seven collective impact pilots. Each pilot is led by a backbone organization collaborating with community partners to provide comprehensive support and meet unique community needs. Two of these pilots – the Our ChanceTN initiative and the East Tennessee Collaborative (ETC) – incorporated benefits cliff mitigation strategies in their programs.

We conducted a mixed methods implementation evaluation of the TOPI pilot programs. Data collection included interviews with provider and community partners, participant focus groups, and quantitative analysis of the pilot’s MIS program data. This paper will describe and analyze the design and implementation of transitional benefits within the context of two collective impact pilot programs.

The Our ChanceTN pilot’s family-centered coaches provided benefits counseling to all participants using the Federal Reserve of Atlanta Benefits CLIFF tool. The pilot also offers transitional benefits for up to four months for participants who hit the benefits cliff. These benefits include in-kind provision of fresh foods as well as direct payments to providers (e.g. for housing, child care, or mental health services). After four months, coaches can redetermine participant eligibility for more transitional benefits if there were additional benefits lost. Program data show low utilization of the transitional benefits; 16 caregivers had received a transitional benefit out of about 575 caregivers enrolled in the eligible program pathways through 2024.

The ETC pilot’s EMPath Mobility Mentors provided benefits counseling to participants (also using the CLIFF tool) and transitional benefit payments for up to four months. When a participant experiences a positive loss of benefits, they must submit proof of loss to their mobility mentor. The pilot then offers transitional benefits to participants in the form of gift cards, to match the amount that was lost, for up to four months. Through 2024, 46 out of about 630 participants received transitional benefits.

Analysis will be completed this summer, but preliminary findings from provider interviews and participant focus groups suggest that low utilization of the transitional benefits across both pilots may be due to eligibility; not many participants are increasing wages enough to hit a benefit cliff. However, staff interviews also highlighted various implementation challenges, such as provider confusion around participant eligibility, wide variation in how the benefits are communicated to participants, and insufficiency of the four-month period to support participants through their transition.

This presentation describes the implementation of transitional benefits in two TANF-funded programs, including challenges, successes, and lessons learned. The study team is also conducting randomized impact studies of the pilots, which will be completed in 2026. For one pilot, Our ChanceTN, the impact study uses a three-arm treatment differential design to isolate the impact of transitional benefits alone, though low utilization rates may make effects difficult to assess.

Authors

• Michele Abbott, MEF Associates
  Presenting Author

• Carly Morrison, MEF Associates
  Non-Presenting Co-Author