Welfare Reform bill

Work and Family Act of 2002 - Amends part A (Temporary Assistance for Needy Families) (TANF) of title IV of the Social Security Act (SSA) with respect to: (1) work participation rates; (2) child care funding; (3) competitive grants for public-private partnerships to provide educational opportunities for TANF recipients; (4) transitional jobs programs; and (5) prohibition against displacement of public employees by TANF recipients.

Amends SSA title IV part D (Child Support and Establishment of Paternity) with respect to: (1) optional State media campaigns promoting responsible fatherhood; (2) a national marriage and responsible fatherhood information clearinghouse; and (3) policy reviews and demonstration projects to coordinate services for low-income, noncustodial parents.

Amends SSA title IV part A with respect to: (1) a ban on stricter TANF eligibility criteria for two-parent families; and (2) court-supervised employment programs for noncustodial parents with a history of nonpayment of child support.

Provides for teen pregnancy prevention grants and a national teen pregnancy prevention resource center.

Amends the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (PRWORA) to direct the Secretary to establish a national goal of reducing teen pregnancy by at least 25 percent by January 1, 2013.

Revises requirements for assignment of support rights to the State and child support distribution. Provides for demonstration projects involving establishment and enforcement of child support obligations by public non-SSA title IV part D child support enforcement agencies.

Provides for: (1) a decrease in the amount of child support arrearage triggering passport denial; (2) use of the tax refund intercept program to collect past-due child support on behalf of children who are not minors; and (3) garnishment of compensation paid to veterans for service-connected disabilities in order to enforce child support obligations.

Reauthorizes and extends State family assistance grants, supplemental grants for population increases, and grants for Indian tribes.

Amends SSA title XX (Block Grants to States for Social Services) to restore funding for the social services block grant.

Provides for: (1) a one year extension and revision of the transitional medical assistance program under SSA title XIX (Medicaid); and (2) optional coverage of legal immigrants under the Medicaid program and SSA title XXI (State Children's Health Insurance) (SCHIP).