Welfare Reform

The passage of the Welfare Reform Act, the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) of 1996, legislated the most sweeping changes to public assistance to poor people. The major focus of the act was to reduce caseloads and spending on public assistance. The most controversial component of the act, Temporary Assistance to Needy Families (TANF), replaced the older Aid to Families with Dependent Children (AFDC). TANF embodied the welfare to work principle with provisions that needy families could only receive assistance for 2 years at a time and a total of 5 years in a lifetime, and that the poor must take personal responsibility to become self-supporting through employment. Welfare reform included changes to Supplemental Security Income (SSI) which make it more difficult for disabled children to qualify for benefits. Reductions in the Food Stamp program were also included in welfare reform. This paper discusses the details of the Welfare Reform Act and calls attention to concerns that reforms may have negative effects on poor people.     

Welfare Reform

Abstract

This paper examines the impact of Temporary Aid to Needy Families (TANF) on a growing constituency that may require welfare assistance: grandparents raising grandchildren. A brief review of the demographics of grandparent caregivers is followed by an exploration of welfare reform legislation, including work requirements and the Healthy Marriage Initiative (HMI). The importance of state-level policies in assisting grandparent-headed households, particularly health care, school enrollment, and housing policies, are also discussed. The paper concludes by offering implications for welfare policies in terms of their impact on intergenerational households headed by grandparents.     

Ineligible to Save? Asset Limits and the Saving Behavior of Welfare Recipients

ABSTRACT

This article explores how asset limits used to determine eligibility for the Temporary Assistance for Needy Families (TANF) program influence the saving behavior of program participants. The qualitative evidence presented in this study serves to explain how asset limit policy may contribute to the low rate of savings and bank account ownership among the welfare population. From these conversations, it is clear that the existence of asset limits—or, just as importantly, the perception that these limits exist—negatively impacts the saving behavior of TANF recipients.     

‘In a bind’: Foster mothers' experiences with welfare reform

The Personal Responsibility and Work Opportunity Reconciliation Act of 1996 has diminished government support to single mothers and further limits the options for full-time parenting, placing priority on work participation and reduction of welfare caseloads. Based upon interviews with 100 low-income foster mothers who are also Temporary Assistance for Needy Families (TANF) recipients, this study examines their experiences with these policies while they balance multiple responsibilities as caregivers for abused and neglected children from the child welfare system. The implications of TANF policies for foster mothers and policy alternatives that support diverse family structures are also discussed.     

Welfare Reform on American Indian Reservations

Abstract

In this article we document trends in welfare caseloads and some initial experiences of service providers and welfare recipients on reservations within Arizona under Temporary Assistance for Needy Families (TANF). We document the issues and concerns of state and tribal service providers as they implement the legislation on reservations that are often geographically isolated and which lack infrastructure, jobs, childcare and transportation. We also record experiences of women with children on reservations with the 1996 federal welfare legislation. These families experience similar barriers when trying to move from welfare to work as do their counterparts across the country; however, these barriers are magnified on reservations. The welfare recipients' barriers include: a shortage of employment opportunities on reservations; a lack of transportation and childcare facilities; low levels of education and job experience; and, individual and family problems. Poor families in Indian communities face additional barriers to employment because of their geographic isolation, lack of access to basic necessities (like telephones), as well as stereotypes and discrimination by employers due to ethnicity or personal/family histories.     

A Rose by Any Other Name? Lump-Sum Diversion or Traditional Welfare Grant?

Summary

Critics of diversion grants, lump-sum payments designed to alleviate short-term emergencies and prevent the need for ongoing Temporary Assistance to Needy Families (TANF) receipt, claim that recipients use monetary amounts similar to traditional welfare recipients. This paper examines the total cash grants for two cohorts of TANF applicants: those whose applications resulted in a TANF grant and those who received a diversion grant. Multivariate regression models show that diversion leads to a reduction of $1,841.44 in cash benefit receipt during the three-year tracking period (p < 0.001). Findings suggest that diversion payments are not TANF under another name.     

Reaching Temporary Time Limits

Abstract

Concerns about long-term welfare dependency provided the primary reason for the nation's time-limited welfare benefits. This study compares the likelihood of reaching temporary time limits between families who repeatedly attempted to leave Temporary Assistance to Needy Families (TANF) and those who remained on the rolls continuously. Using logit analysis, we find that relatively few families reach the 24 month time limits in Nevada because most families left on their own for employment, marriage or for other reasons. This finding raises the question of whether time limits are even necessary. Government needs to further explore the service needs of families who are about to reach their time limits.     

Intergenerational and program-induced effects of welfare dependency: Evidence from the national longitudinal survey of youth

This study uses data from the National Longitudinal Survey of Youth to examine intergenerational and program-induced effects of welfare dependency. Three research questions are asked: (a) How do parental Aid to Families with Dependent Children (AFDC) receipt and other family background characteristics affect subsequent dependency on AFDC? (b) How do attitudes about welfare and state AFDC benefit levels affect AFDC dependency? and (c) How do the patterns and factors associated with AFDC dependency vary across racial and ethnic lines? The results suggest that women who grew up in households that received welfare during the woman's adolescence are approximately twice as likely to be dependent on AFDC in young adulthood as women whose families did not received welfare. Further, state AFDC benefit levels are associated with higher risks of AFDC dependency, but the association is significant only for Anglo women. These analyses provide little support for the hypothesis that attitudes toward welfare and low-wage work increase the likelihood of welfare dependency.     

The welfare/self-sufficiency gap among single mothers through theoretical lenses

ABSTRACT

Poverty has been a recurring issue in America since time immemorial and become the target of a panoply of corrective measures from the federal government. One of these measures is, of course, the Temporary Assistance to Needy Families (TANF), the key welfare policy under the Personal Responsibility and Work Opportunity Reconciliation Act of 1996. Since its inception, TANF has constantly been the subject of vehement controversies among politicians, lawmakers, community advocates, social researchers, and government officials. Indeed, there has been a growing concern about the effectiveness of the program in galvanizing economically disadvantaged families toward economic self-sufficiency. This paper presents a historical overview of the political context that led to the passage of the TANF policy, identifies barriers associated with TANF implementation, explains the concept of self-sufficiency, and critically analyzes the gap between welfare receipt and economic self-sufficiency through the lenses of four theoretical benchmarks: policy design and social construction, culture of poverty, racial classification, and social control. Implications for research are discussed.     

Dynamics of the intergenerational transmission of welfare receipt in the United States

Using data from the Panel Study of Income Dynamics, this article expands upon earlier empirical efforts to understand intergenerational welfare participation in the United States. Empirical studies have suggested that growing up in a household that receives Aid to Families with Dependent Children (AFDC) increases the probability that a child will receive AFDC, although little insight exists on the dynamics of this relationship. In particular, no one has formally examined how the time a daughter spends on AFDC varies from the time her parents receive welfare. By observing the behavior of parents and their daughters for five years, this study examines the length of participation in AFDC across generations. The results imply that growing up in a household that receives AFDC increases the amount of time that a daughter will also receive aid, although the time a daughter receives AFDC is not affected by the length of time parents receive AFDC. His research interests include welfare programs, tax policies, local public finance, and econometrics.     

The Role of Family Income in the Intergenerational Association of AFDC Receipt

Daughters from low‐income families who did not receive Aid to Families with Dependent Children (AFDC) are compared to daughters from low‐income families who did receive assistance to better account for family income in the intergenerational association of AFDC. The research models the timing of a daughter's first birth and, for those who become mothers, the number of years a daughter receives any AFDC. Women whose families received AFDC during their childhood are more likely to receive AFDC as adults relative to those women whose families did not receive AFDC. Controlling for family income in a more careful and comprehensive way than past research explains part but not all of the effects of childhood AFDC receipt. Among daughters from chronically poor families, however, parental AFDC use is not associated with additional years of AFDC participation. Although the present research cannot confirm or deny a causal role for parental welfare use, the intergenerational transmission of financial resources does explain part of the intergenerational association of welfare use.     

Welfare reform's ineligible immigrant parents: Program reach and enrollment barriers

Since the implementation of the 1996 welfare reform act, the child-only Temporary Assistance for Needy Families (TANF) caseload has increased dramatically. Perhaps the least understood child-only population is that of ineligible immigrant parents (IIPs), who are ineligible for TANF because of their citizenship or immigration status. Using data collected through in-depth interviews and focus groups in Stanislaus County, California, this study examines how well California's TANF program serves this at-risk group. We analyze the factors that lead IIPs to seek aid for their children, the enrollment obstacles they face, and TANF's ability to meet their needs. Our results demonstrate that immigration-related fears as well as concerns about caseworkers, stigma, and future government sanctions heighten these parents' reluctance to seek aid. They also create multiple and often population-specific barriers to TANF enrollment. We close with research and policy recommendations for serving this vulnerable population.     

Achieving Permanence in Foster Care for Young Children: A Comparison of Kinship and Non-Kinship Placements

ABSTRACT

A number of child welfare policies have reinforced the use of kinship care as the most preferred placement for foster children, reflecting the philosophy that maintaining children within their own extended family system contributes to their stability and well-being. Given the growing utilization and legislative emphasis on kinship care along with the push for an immediate implementation of permanency plans for children in foster care, this study examines how the permanency goal under the 1997 Adoption and Safe Families Act (ASFA) is being implemented and achieved. The reunification and permanency placement (adoption or legal guardianship) outcomes of children in relative and non-relative care are analyzed, focusing on the experiences of young children. Based on public child welfare agency data from 2000 to 2003, child, case, and placement variables are explored to identify which set of factors best explains case outcomes. The present study identifies the total length of foster placement (kinship and non-kinship), the length of family maintenance services, and the number of placement changes as the most important variables in determining family reunification and permanent placement (legal guardianship and adoption) outcomes for young children.     

Familial and Social Dimensions of Welfare Receipt

Abstract

In this study we categorize welfare duration determinants into those associated with family traits and the social macro environment outside the family. Monthly AFDC-Basic data for Texas from mid-1989 through April 1993 are analyzed using an event history analysis to examine the length of time families receive AFDC benefits and to estimate the effects of the two latent traits that influence the pace of quitting welfare. Results suggest a need for reformulating welfare policies to address the disadvantages stemming from the social structural context of poverty such as urban residence and race membership.     

Making the Transition from Welfare to Work: Employment Experiences of CalWORKs Participants in the San Francisco Bay Area

ABSTRACT

This study describes welfare-to-work participants in the San Francisco Bay Area, support services, experiences with the CalWORKs program, and predictors of employment status in the wake of welfare reform. Findings indicate that many are working and more Stayers and Recidivists than Leavers are using food stamps and Medi-Cal. Multivariate analysis reveals that race and financial supports were the significant factors contributing to employability, defined as the ability to secure employment despite the need to supplement earned income with welfare payments. To help people stay off of welfare, case management services are needed to help participants maintain employment and increase job skills. In addition to expanding our understanding of human behavior within the social environment of poverty, implications for practice and policy are identified.     

Facing Time Limits

Abstract

With reauthorization of the 1996 Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) on the horizon, policy makers need to have a sound understanding of the act's consequences for children and families. In contrast to earlier studies, the present study quantifies the impact of a 24-month state imposed welfare time limit on foster care placements. It also examines the impact of a “hardship” provision that temporarily excuses select families from meeting a two-year time limit on foster care placements in Nevada. In order to determine how these factors, in conjunction with other relevant welfare experiences and personal factors, affect parent-child separation, a multivariate logit model was tested. Key findings reveal that families who have more months counted toward their time limits also are more likely to have at least one child removed and placed in foster care. On the other hand, hardship families are not more likely to have their children placed in foster care than non-hardship families. The findings lend support to the notion of providing family-centered casework services to those identified to be at risk of approaching their welfare time limits. The findings also lend support to inter-agency collaboration between TANF and child welfare systems.     

Welfare Leavers and Returners

ABSTRACT

This study compares representative samples from a mid-Atlantic state of people who left the TANF (Temporary Assistance to Needy Families Program) rolls in 2002 and people who returned to TANF in this same year, after being off the rolls. Previous studies showed that the work lives of the welfare poor are more stressful than those in the primary job market. Findings of this study show the quality of life of respondents was particularly related to resource deprivations, and neighborhood conditions, while suggesting relationships to employment barriers and child well-being. Returners report more barriers to employment and neighborhood issues than leavers.     

Welfare and Welfare to Work in the United States

Summary

Despite social work's historic ambivalence toward income support programs, the policy changes introduced by the TANF welfare to work program demand the profession's attention. Although social workers are not directly responsible for the administration or implementation of the program, many serve TANF clients whose lives have been affected by these changes. Tracing social work's historic but reluctant involvement with income support, this paper urges the profession to respond to the challenges posed by the TANF program in a more systematic way and to contribute more effectively to the wider task of poverty eradication.     

The Social and Economic Impact of Sanctions and Time Limits on Recipients of Temporary Assistance to Needy Families

A central feature of the reforms enacted through the Personal Responsibility and Work Opportunity Reconciliation Act (welfare reform) has been the adoption of strategies to involuntarily remove Temporary Assistance to Needy Families (TANF) recipients from the welfare rolls, including increased use of sanctions and time limits on welfare receipt. Drawing on data from a three year panel study of women who had been receiving welfare in a state which adopted stringent sanctioning and time limit policies, we investigate predictors of recipients' TANF status after implementation of welfare reform, and identify differences in post-reform material resources, hardships and quality of life based on TANF status. Almost half of all welfare case closures during the first time period after reforms were implemented through involuntary strategies. Relatively few baseline characteristics predicted different outcomes once welfare time limits and sanctions were implemented. Those who were timed off welfare had substantially lower incomes in the year following their removal. One third of all respondents, regardless of reason for leaving TANF reported having insufficient food, housing problems and lack of access to needed medical care.