IN HB1007

Establishes a 2-year pilot program in 3 Indiana counties (one each from high, medium, and low population groups) to drug test adults aged 18+ receiving Temporary Assistance for Needy Families (TANF) benefits, effective July 1, 2012

Allows recipients to consent to random drug testing or be tested based on reasonable suspicion, which includes prior criminal convictions, drug-related charges, or missed TANF appointments

Imposes graduated penalties for positive tests: first positive on a consensual random test triggers regular testing for up to 4 months; positive test based on reasonable suspicion results in 6-month ineligibility and 50% reduction in child benefits

Permanently disqualifies individuals from receiving TANF benefits for themselves after testing positive twice based on reasonable suspicion, and makes children ineligible for benefits while residing with that individual

Requires the Department of Child Services to conduct a home visit within 9 months when notified that a child becomes ineligible for TANF due to a guardian's positive drug test