H.R. 4724 would amend title XX of the Social Security Act to repeal the Social Services Block Grant (SSBG) program, effective October 1, 2016. SSBG, which is administered by the Department of Health and Human Services, supports a variety of activities, including child welfare services, day care for both children and adults, counseling services, home-delivered meals, and special services for the disabled. This program has a permanent authorization of $1.7 billion per year. Although funding for the program is provided in annual appropriation acts, spending for SSBG is classified as direct spending. CBO estimates that enacting this legislation would reduce direct spending by $16.5 billion over the 2016-2026 period.
Because enacting the legislation would affect direct spending, pay-as-you-go procedures apply. Enacting H.R. 4724 would not affect revenues. CBO estimates that enacting H.R. 4724 would not increase net direct spending or on-budget deficits in any of the four consecutive 10-year periods beginning in 2027.
H.R. 4724 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act (UMRA).