There are ways states can structure their program within the TANF system and still avoid federal fiscal penalties. If they
choose to operate within TANF, they must address the requirement that benefits stop after 24 months unless recipients
are "engaged in work." States should be prepared to define work, as is their right, to include postsecondary education.
The second hurdle is to meet TANF's required participation rates. While there are limits to including college as
participation, states may not have to worry if they are already exceeding the requirement. The number of qualified adults
willing to attend college may not be enough to push a state's participation rate below the federally required level. This is
especially true for states that have experienced a sharp reduction in welfare rolls since 1995--which includes most of
them. A lower caseload not only makes it easier to meet the targets, it also lowers the targets because participation rate
requirements are calculated as a formula that includes caseload reductions.