Week 10 Welfare Public Policy

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Information about Week 10 Welfare Public Policy
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Published on June 22, 2009

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WELFARE PUBLIC POLICY:Cash Assistance : Barb Allen, Laura Garrido, Alison Hall, Eshanda James, Dilip Kulkarni, Sharmon Monagan CARD 7250, Public Policy Week 10 Presentation WELFARE PUBLIC POLICY:Cash Assistance WHAT IS WELFARE? : WHAT IS WELFARE? Social welfare: any program which seeks to provide a minimum level of income, service or other support for many marginalized groups This includes: Poor Elderly Disabled Add a picture here. Add a picture here. Add a picture here. BRIEF HISTORY OF WELFARE : BRIEF HISTORY OF WELFARE BRITISH POOR LAWS : BRITISH POOR LAWS Early US colonies used British Poor Laws as their basis Distinguished between underemployed and unemployable by those unable to work do to age or physical disabilities and those that were able body Disable were given cash incentives Able body were provided public service employment PRIOR TO THE GREAT DEPRESSION : PRIOR TO THE GREAT DEPRESSION Social workers went to the poor and encouraged them to move to areas of greater employment opportunities Provided them with training on morals and work ethics Civil War Pension Program (1862) provided aid to veterans and their families Assistance came primarily from local communities and churches than governmental agencies PRESIDENTIAL IMPACT ON WELFARE POLICY : PRESIDENTIAL IMPACT ON WELFARE POLICY PRESIDENT FRANKLIN D. ROOSEVELT : PRESIDENT FRANKLIN D. ROOSEVELT 1930’s Great Depression One-fourth of labor force unemployed 1935 Social Security Act 1939 Unemployment and Aid to Dependent Children PRESIDENT LYNDON B. JOHNSON : PRESIDENT LYNDON B. JOHNSON 1960s Medicare Medicaid Public Housing PRESIDENT BILL CLINTON : PRESIDENT BILL CLINTON 1996, Republican Congress passed and President signed swiping welfare reform Personal Responsibility and Work Opportunity Reconciliation Act http://www.gpo.gov/fdsys/pkg/PLAW-104publ193/html/PLAW-104publ193.htm currentSTRUCTUREof theWelfare Programs : currentSTRUCTUREof theWelfare Programs EGIBILITY : EGIBILITY All programs in the welfare system are called “Entitlements” because the government sets the eligibility criteria: Those who meet the criteria are entitled by law to receive the benefit Age Disability Veteran Status Income Level Retirement U.S. FEDERAL BUDGET BY % : U.S. FEDERAL BUDGET BY % 61% SOCIAL WELFARE PROGRAM : SOCIAL WELFARE PROGRAM Public Assistance Programs: 18% 43% Social Insurance Programs: Cash Aid Medical Care Food Benefits Housing Benefits Education Aid Job Training Energy Assistance Social Security Medicare Government Retirement Veteran’s Benefits Unemployment Compensation 61% Do NOT Use Income as Criterion DO Use Income as Criterion Welfare Slice: 8% : Welfare Slice: 8% SOURCE: Budget of the United States Government, 2007 sub-divided into 3 categories THREE MAIN CATEGORIES : THREE MAIN CATEGORIES Temporary Assistance for Needy Families (TANF): (cash assistance to needy families) Supplemental Security Income (SSI): (income for the needy elderly, blind, & disabled) Earned Income Tax Credit (EITC): (Eliminates the federal tax for low-income people & results in a refund check for families earning <$34,000) THREE MAIN CATEGORIES : THREE MAIN CATEGORIES Temporary Assistance for Needy Families (TANF): (cash assistance to needy families) Supplemental Security Income (SSI): (income for the needy elderly, blind, & disabled) Earned Income Tax Credit (EITC): (Eliminates the federal tax for low-income people & results in a refund check for families earning <$34,000) 1% THE PROBLEM . . . : THE PROBLEM . . . A BROKEN SYSTEM DEFINING THE WELFARE CASH ASSISTANCE PROBLEM : DEFINING THE WELFARE CASH ASSISTANCE PROBLEM 1935: The Aid to Dependent Children (ADC): provided lifetime cash assistance to poor 1962: Renamed Aid to Families with Dependent Children (ADC): funding increased DEFINING THE WELFARE CASH ASSISTANCE PROBLEM : DEFINING THE WELFARE CASH ASSISTANCE PROBLEM Results: 1960: Welfare Rolls: 3 million 1971: Welfare Rolls: 10.2 million AFDC expenditures doubled from 1962-1972. DEFINING THE WELFARE CASH ASSISTANCE PROBLEM : DEFINING THE WELFARE CASH ASSISTANCE PROBLEM Results: Provided financial incentives for single-parent families Did little to promote people preparing to go back to work Guaranteed lifetime benefits without requiring work. Not eliminating poverty nor reducing welfare rolls DEFINING THE WELFARE CASH ASSISTANCE PROBLEM : DEFINING THE WELFARE CASH ASSISTANCE PROBLEM Problem: Structure of Welfare was Broken Creating a “Cycle of Dependency” THE PLAN… : THE PLAN… Attack the dependency of welfare and cash assistance recipients Make “work-able” people less dependent on welfare Promote an “anti-welfare culture” Save $55 billion WELFARE REFORM ACT : WELFARE REFORM ACT The 1996 Welfare Reform Act – Signed By President Clinton The Personal Responsibility And Work Opportunity Act Members of The Congress Felt Compelled To Act Major Provisions Of The Act Lump sum Allocation Of Federal Funding To States Flexibility Given To States Financial Incentives: For Reducing Out-of Wedlock Births Work Requirements: Requirement To Begin Work Within Two Years No Payment For Parents Under Age 18 Unless Living With An Adult And Attending School Restrictions: Federal Funds Limited To A Maximum Of Five Years Lifetime Limit POLICY FORMATION : POLICY FORMATION WELFARE POLICY : WELFARE POLICY Clinton’s promise to “change welfare as we know it” in 1992 replaced AFDC with TANF TANF provisions Provide assistance to needy families so that children maybe cared for in their own homes or in the homes of relatives. End the dependence of needy parents on government benefits by promoting job preparation, work and marriage. Prevent and reduce the incidence of out-of-wedlock  pregnancies and establish annual numerical goals for preventing and reducing the incidence of these pregnancies; and Encourage the formation and maintenance of two parent families. FUNDING AND IMPLEMENTING TANF : FUNDING AND IMPLEMENTING TANF 1997 Balanced Budget Act – $3 billion for welfare-to-work grants; Indian tribes $30 million of these funds. 1997 Welfare-to-work tax credit for employers 1999 - $283 million provided for housing assistance BEHIND THE SCENCES OF TANF : BEHIND THE SCENCES OF TANF Huge fight between Clinton and the Republican Congress. Republicans’ accusation of too free spending by the Democratic administration Changes in funding – no longer unlimited Federal welfare budget severely constrained Controversy and contention: disenfranchising migrants SOME STATISTICS : SOME STATISTICS In 2001 cash assistance for single parent families ranged between states from $163 to $673 per month.  In the US, 2 million welfare families and a further 12 - 15 million ‘working’ families live in poverty. IMPLEMENTATION : IMPLEMENTATION STATUTE : The Temporary Assistance for Needy Families (TANF) program became the TANF Bureau within the Office of Family Assistance in May 2006. The Bureau has primary responsibility for the administration of the programs authorized under titles IV-A and XVI of the Social Security Act. Through its divisions and program units, the Bureau provides assistance and work opportunities (through the Personal Responsibility and Work Opportunity Reconciliation Act – PWRORA – Public Law 104-193) to needy families by granting states, territories and tribes the federal funds and wide flexibility to develop and implement their own welfare programs. The assistance is time-limited and promotes work, responsibility and self-sufficiency. The TANF block grant is administered by state, territorial and tribal agencies. Citizens can make application for TANF at the respective agency administering the program in their community. The federal government does not provide TANF assistance directly to individuals or families. For Additional information, please review the following: TITLE IV. SSA . Major Provisions of the Welfare Law . Questions and Answers on TANF Policy and Data Reporting . http://frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname=104_cong_bills&docid=f:h3734enr.txt.pdf STATUTE AGENCY RULES & REGULATIONS : AGENCY RULES & REGULATIONS AGENCY RULES & REGULATIONS : AGENCY RULES & REGULATIONS Principles Governing the Final Rule The Administration for Children and Families (ACF) has published a final rule that governs key provisions of the TANF program. It incorporates the core TANF accountability provisions, including work requirements, time limits, State penalties, and data collection and reporting requirements. It does not address other key provisions, such as the High Performance Bonus, the Bonus to Reward Decreases in Illegitimacy Ratios, the Child Poverty Rates, and the Tribal TANF program. The TANF final regulations provide States a clear and balanced set of rules for meeting the law's performance goals. For Additional information on the Principles Governing the Final Rules, please review the following: http://www.acf.hhs.gov/programs/ofa/law-reg/finalrule/exsumcl.htm GOVERNMENTAL AGENCIES : Agencies created to administer social welfare programs: Department of Health and Human Services (HHS) Department of Housing and Urban Development (HUD) Department of Labor (DOL) Department of Agriculture Department of Education GOVERNMENTAL AGENCIES AGENCY ENFORCEMENT ACTIONS : The TANF Bureau is comprised of the following divisions: Division of State TANF Policy Division of State and Territory TANF Management. Division of Data Collection and Analysis. Division of Tribal TANF Management. TANF Bureau Regional Program Units AGENCY ENFORCEMENT ACTIONS OUTPUT : Intended: ALL states receive a block grant to design and operate their programs to accomplish the purposes of TANF. These are: assisting needy families so that children can be cared for in their own homes reducing the dependency of needy parents by promoting job preparation, work and marriage preventing out-of-wedlock pregnancies encouraging the formation and maintenance of two-parent families. OUTPUT OUTCOME : OUTCOME Program Results are More Mixed Than Often Understood Child poverty fell during the 1990s, but has increased significantly in recent years as has the number of children living below half the poverty line.  Employment rates among single mothers are higher today than in the mid-1990s, but they have fallen since 2000.  The number of poor single mothers who are jobless, do not receive cash public assistance (from TANF or other programs), and do not live with others who work or receive cash income support has increased significantly. TANF now helps a much smaller share of the families that are poor enough to qualify for the program than it used to.  For Additional information on the Principles Governing the Final Rules, please review the following: http://www.cbpp.org/cms/index.cfm?fa=view&id=600 EVIDENCE : EVIDENCE IS WELFARE REFORM WORKING? : IS WELFARE REFORM WORKING? ? Is Welfare Reform Working? ?Yes ? Is Poverty Reduced? Child Poverty, Including In-Kind Government Benefits and Tax Benefits, 1983-89 and 1993-99 IS POVERTY REDUCED? : IS POVERTY REDUCED? ? Is Welfare Reform Working? ?Yes ? Is Poverty Reduced? ?NO ? Million Low-income Parents Lost Medicaid & Most Likely Are Uninsured ? Welfare Leavers Got That Required Reliance On Other Kind Of Assistance ? Thirty Two States Experienced Increased Case Load During 2002 Recession ? Early Success Was Caused By Low Unemployment Rate of About Than 5% Vs. Current Rate Of Over 8.5% & Good INCOME DISTRIBUTION IN THE US : INCOME DISTRIBUTION IN THE US ? Is Welfare Reform Working? ?NO ? Million Low-income Parents Lost Medicaid & Most Likely Are Uninsured ? Welfare Leavers Got That Required Reliance On Other Kind Of Assistance ? Thirty Two States Experienced Increased Case Load During 2002 Recession ? Early Success Was Caused By Low Unemployment Rate of About Than 5% Vs. Current Rate Of Over 8.5% & Good Economy US POVERTY RATE BY AGES : US POVERTY RATE BY AGES ? Is Welfare Reform Working? ?NO Vertical Lines within the chart identify years which were within a recession. Source: U.S. Census Bureau, Current Population Survey.1960-2003 Annual Social and Economic Supplements. Note: The data points represent the midpoints of the respective years. Data for people eighteen to sixty-four and sixty-five and older are not available from 1960 to 1965. WELFARE REFORM : WELFARE REFORM ? Is Welfare Reform Working? ?NO (Loprest, 2003,Urban Institute) DATA AT A GLANCE : DATA AT A GLANCE Zedlewski & Nelson, 2003 DATA AT A GLANCE IN 2002 (Zedlewski & Nelson, 2003, Urban Institute) ? New Welfare Recipients Increased From 26% Of The Welfare Caseload In 1999 To 34% In 2002 ? Over 4 Million Nonelderly Low-income Families Reported Using A Food Pantry In IN The Past 12 Months ? 46 % Of Low-income Families Using Food Pantries Reported Receiving Food Stamps ? Working Parents With Children Made Up Nearly Half The Families That Turned To Food Pantries SNAPSHOT OF RESULTS : SNAPSHOT OF RESULTS ? Is Welfare Reform Working? ?No DATA AT A GLANCE (Loprest, 2003, Urban Institute) ? Food Stamp Receipt Among Welfare Leavers Rose From 28% In 1999 To 35% In 2002 ? Adult’s Medicaid And SCHIP Receipt Increased From 40% In 1999 To 48% In 2002 ? 33% Of Families Without Medicaid Or SCHIP Returned To Welfare Compared With 22 % Of Families With This Coverage SNAP SHOT OF RESULTS : A Decade of Welfare Reform – Facts & Figures ? Many Welfare Recipients Face Significant Barriers (Office Of Public Affairs, 2006, Urban Institute) ? 42% Did Not Finish High School; 35% In Very Poor Health; 44% Experienced Multiple Barriers ? Share Welfare Recipient Who Worked Dropped From 20% In 1999 to 14% In 2002 ? Individuals Disconnected From Labor Market And The Welfare Increased From 10% In 1999 To 14% In 2002 ? Only, 60% Of Poor Children & 50% Near Poor Children Did Not Receive Any Support In 2001 ? The Likelihood of Returning To Welfare Within Two Years Increased From 20% In 1997 To 26% In 2002 ? In 2001, States Received $ 1.8 Trillion In Grants & Expended $ 2.1 Trillion – Projecting Reductions In Cash Assistance ? The Portion Of Children in Low-income Single Parent With An Employed Parent Increased To 61% Vs. 56% In 1997 ? Child Poverty Has Increased From 2000 To 2004 CONTINUING DILEMA : CONTINUING DILEMA EVALUATION OF POLICY CHANGE : EVALUATION OF POLICY CHANGE Changing imagery of welfare dependents, by offering alternatives and also understanding why they are unable to work in the first place. “Most people who are trapped on welfare and don’t go to work don’t do it because they have no education, they have no skills. If they went to work, they’d get a minimum-wage job, they couldn’t afford child care and they’d give up the Medicaid coverage which gives their children benefits.” Policy helped put parents back to work and give them the tools to provide for their families. EVALUATION OF POLICY CHANGE : EVALUATION OF POLICY CHANGE Goal was to redefine the program. Policy focus on work and family, and shifting from dependence to independence, and creating a path to a job. Put requirements on work, time limits on welfare, and anti-teen pregnancy provisions. Stress on healthcare reform, minimum wage increases, funds for child care, and job training. BREAKING THE CYCLE OF POVERTY : BREAKING THE CYCLE OF POVERTY GROUP DISCUSSION QUESTIONS (Taken from Controveries in American Public Policy – Hird, Reese) : GROUP DISCUSSION QUESTIONS (Taken from Controveries in American Public Policy – Hird, Reese) Facilitator for Group A: Barb The welfare reform law passed in 1996 requires states to impose strict work requirements on able-bodied adult welfare recipients. Since such recipients are almost all single mothers, what sort of support services will be needed to assist these women in finding and keeping jobs? Should the federal government provide additional funding for support services such as day care? Facilitator for Group B: Eshanda Do American’s have an obligation-moral or otherwise-to provide assistance to the poor? What form should such assistance take (cash assistance, medical insurance…)? Facilitator for Group C: Dilip In what ways may need-based welfare assistance be considered degrading to recipients? Is the same true of Social Security benefits? Why or why not? GROUP DISCUSSION QUESTIONS (Cont.)(Taken from Controveries in American Public Policy – Hird, Reese) : GROUP DISCUSSION QUESTIONS (Cont.)(Taken from Controveries in American Public Policy – Hird, Reese) Facilitator for Group D: Sharmon Do you agree with the premise of the 1996 welfare reforms, which suggests that financial assistance carries with it a responsibility on the part of recipients to seek work? Facilitator for Group E: Laura Should programs designed to help the working poor (such as Earned Income Tax Credit, which provides tax benefits to low-income workers that are gradually phased out as incomes rise) be expanded? If so, should these programs be funded at the expense of other social welfare programs? General Discussion Question: Alison Should U.S. cities receive additional federal assistance because most immigrants live in cities? WORKS CITED : WORKS CITED Anderson, J. ( 2006). Public Policy Making. Belmont, CA: Wadsworth, Cengage Learning Bardach, E. (2009). A practical Guide For Policy Analysis – The Eightfold Path to More Effective Problem Solving. Washington, DC: CQ Press Center on Budget and Policy Priorities, Policy Basics: An Introduction to TANF: http://www.cbpp.org/cms/?fa=view&id=936 http://www.cbpp.org/cms/index.cfm?fa=view&id=600 Dye, T. (2008). Understanding Public Policy. Upper Saddle, NJ: Pearson Education, Inc. Kraft, M. and Furlong, S. ( 2007). Public Policy – Politics, Analysis, And Alternatives. Washington, DC: CQ Press Loprest, P. (2003). Disconnected Welfare Leavers Face Serious Risks. http://www.urban.org/publications/310839.html Retrieved on June 5, 2009 Office of Public Affairs, The Urban Institute (2006). A Decade of Welfare Reform: Facts And Figures. http://www.urban.org/UploadedPDF/900980_welfarereform.pdf Retrieved on June 5, 2009 Stone, D. (2002). Policy Paradox – The Art of Political Decision Making. New York, NY: W.W. Norton & Company, Inc. U.S. Department of Health and Human Services. Administration for Children & Families, About TANF: http://www.acf.hhs.gov/programs/ofa/tanf/about.html Zedlewski, S. (2003).Work and Barriers to Work among Welfare Recipients in 2002. http://www.urban.org/publications/310836.html. Retrieved on June 5, 2009 Zedlewski, S. and Nelson, S. (2003). Many Families Turn to Food Pantries for Help. http://www.urban.org/publications/310895.html Retrieved on June 5, 2009 www.irp.wisc.edu/publications/focus/pdfs/foc261c.pdf DEPONDENTS OF THE DOLE : DEPONDENTS OF THE DOLE Barb Allen Laura Garrido Alison Hall Eshanda James Dilip Kulkarni Sharmon Monagan

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