Modeling & Simulation

The Welfare Indicators Act of 1994 (Public Law 103-432) requires the Secretary of the Department of Health and Human Services to prepare an annual report to Congress on indicators and predictors of “welfare dependence.” That Act requires the report to include three programs: Temporary Assistance for Needy Families (TANF) program (which replaced the Aid to Families with Dependent Children (AFDC)

Biosimilars provide competition for biologics, which account for a significant and growing portion of Medicare Part B drug spending. This report evaluates the current state of biosimilar competition in Medicare Part B and explores opportunities to achieve further savings.

The Inflation Reduction Act includes many provisions that aim to reduce out-of-pocket spending for prescription drugs covered under Medicare Part D. In 2024, cost-sharing in the final phase of the Part D benefit, the catastrophic coverage phase, was eliminated.

The Centers for Medicare & Medicaid Services (CMS) Innovation Center is in the process of developing the Medicare $2 Drug List (M2DL) Model. This would allow Part D plan sponsors to offer a standardized list of generic drugs for a copayment of $2 or less for a month’s supply that would not be subject to prior authorization, quantity limits, or other utilization management restrictions.

Key Points:

The Welfare Indicators Act of 1994 (Public Law 103-432) requires the Secretary of the Department of Health and Human Services to prepare an annual report to Congress on indicators and predictors of “welfare dependence.” That Act requires the report to include three programs: Temporary Assistance for Needy Families (TANF) program (which replaced the Aid to Families with Dependent Children (AFDC)

This report does not represent the views or policies of the Department of Health and Human Services or the Trump Administration. It was published in 2024 and is provided only for historical purposes.

Key Points

This report provides welfare dependence indicators through 2019 for most indicators and through 2020 for other indicators, reflecting changes that have taken place since enactment of the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) in 1996.

People facing economic instability often need more than one program or service. This pre-pandemic analysis looks at the reach of the social safety net, including the interaction of specific programs, to better understand program participation as the economy continues to recover.Key Points: