AZ HB2104

Amends Arizona's Temporary Assistance for Needy Families (TANF) program to modify work compliance requirements and sanction procedures for recipients.

Changes the sanction structure for noncompliance with work activities, child support enforcement, and school attendance requirements from a two-tier system to a three-tier graduated penalty system: 25% benefit reduction for first violation, 50% reduction for second violation, and termination for third violation.

Modifies the language in Section 46-294 regarding the 12-month extension period to require heads of household to "remain in full compliance" with work activity requirements throughout the additional 12 months of assistance, rather than just being in compliance.

Maintains existing time limits of 12 months for initial assistance eligibility and 60 months total lifetime eligibility in TANF programs, with hardship exemptions available.