263.11—What uses of Federal TANF funds are improper?

(a) States may use Federal TANF funds for expenditures:
(1) That are reasonably calculated to accomplish the purposes of TANF, as specified at § 260.20 of this chapter; or
(2) For which the State was authorized to use IV-A or IV-F funds under prior law, as in effect on September 30, 1995 (or, at the option of the State, August 21, 1996).
(b) We will consider use of funds in violation of paragraph (a) of this section, sections 404 and 408 and other provisions of the Act, section 115(a)(1) of PRWORA, the provisions of part 92 of this title, or OMB Circular A-87 to be misuse of funds.