The ACT—RER No Choices pilot was one of the demonstration projects made possible by Section 1115 waivers to the rules in effect at the time for the Aid to Families with Dependent Children (AFDC) program. These Section 1115 waivers allowed states to test new approaches to advance the objectives of the AFDC program. The ACT waiver was one of the last AFDC waivers granted before the implementation of the TANF program.

The Office of the Attorney General (OAG) partnered with the Texas Workforce Commission and Title IV-D court (involving a state child support enforcement agency) to administer the program with the goal of helping noncustodial parents become more responsible parents and preventing them from falling behind on child support payments. The program began with a workforce orientation, job readiness services, and job search activities. Noncustodial parents pursuing employment were also eligible for supportive services, including transportation assistance.

Participation in Tier 2 was mandatory and could be enforced by sanctioning TANF benefits. Participants worked with Tier 2 case managers from local service providers, who had caseloads of 25 to 30 cases rather than the 75 to 100 cases of a typical Tier 1 case manager. Case managers performed detailed assessments of clients to identify the underlying challenges affecting them and their families and then referred clients to services that addressed those challenges. They also monitored participation, including through home visits.