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June 26,
2002 |
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Jeffords Supports Welfare Reform Bill in Senate Finance
Committee WASHINGTON, D.C. - U.S.
Sen. Jim Jeffords, I - Vt., today supported a welfare reform
proposal in the Senate Finance Committee that would provide more
opportunities for education and vocational training for welfare
recipients and increased flexibility for States. Senators must
approve the bill before this fall, when the 1996 welfare overhaul
expires. The Committee approved the legislation on a vote of 13 to
8.
"I am proud of the work that we have done thus far and believe we
have managed to develop a truly moderate, bipartisan compromise.
This is not a perfect bill, but I believe it is a far better than
what the President has proposed and will allow our States to better
help those residents who need the most assistance on the road to
self-sufficiency. I look forward to the Senate floor where we will
have the opportunity to increase the amount of money available for
child care."
Summary of the "Work, Opportunity, and Responsibility for Kids
(WORK) Act of 2002" Welfare Reauthorization Bill
Funding- The mark extends TANF funding through FY2007 and
provides $16.5 billion annually for basic grants to the states. It
also extends and expands the TANF supplemental grants so as to
qualify 24 states at a total cost of $441 million per year.
Child Care- The mark provides for $5.5 billion in new child care
funding over 5 years. In recognition of State budgetary concerns,
most of the new money is not subject to a matching requirement. In
addition, health and safety requirements are applied to all TANF
direct spending on child care.
Education and Training- Increasing from 12 to 24 months the
period for which vocational education and training may count,
including community college programs.
Post-Secondary Education- The Finance Committee approved an
amendment that would allow States to use Federal dollars to allow
welfare recipients to pursue post-secondary education. Vermont
currently runs a similar program with State dollars.
Transportation- The mark includes a new $15 million annual
demonstration program to support low-income car ownership programs,
such as Vermont's Good News Garage.
Housing- The mark establishes competitive grants to non-profit
organizations for demonstrations projects to test different models
for providing housing and services for TANF recipients who have
multiple barriers to work.
Work Hours- The mark maintains general requirement for 30 hours
of weekly work participation by most adults while increasing from 20
hours to 24 hours the share of time that must be spent in priority
activities.
Work Definition- The mark adds substance abuse treatment, mental
health treatment, vocational rehabilitation services, adult basic
education, and limited English proficiency as activities that count
as work, for up to 6 months. The mark also increases the amount of
time allowed for job search from 6 to 8 weeks.
Caregivers of Family Members with Disabilities- States have the
option of exempting caregivers of a family member with a disability
from the work requirements for up to 10% of their caseload.
Work Participation Rates- The mark increases the work
participation rate by 5 percentage points yearly until FY2007, as
follows: 55% in FY2004, 60% in FY2005, 65% in FY2006, and 70% in
FY2007. It eliminates the separate, higher rate for two-parent
families.
Employment Credit- The mark eliminates the caseload reduction
credit and replaces it with an employment credit. The employment
credit rewards states for moving recipients into jobs, not simply
off the caseload. The employment credit provides greater rewards for
moving recipients into higher-paying jobs, and provides rewards for
part-time work.
Definition of Assistance- The mark defines child care funded
directly by TANF, transportation subsidies, and supplemental housing
benefits as "nonassistance." Families receiving this "nonassistance"
will not use any part of their 5 year "lifetime limit".
Transitional Medicaid- The mark extends transitional Medicaid for
5 years and allows States the option of providing Medicaid for up to
24 months. -- 30 -- |