Welfare Reform Briefing Today

The Joint Committee on Welfare Reform met today to receive briefings from the Department of Legislative Services (DLS), the Department of Human Resources (DHR), and Dr. Catherine Born of the University of Maryland School of Social Work.

From UM School of Social Work, Life After Welfare 2012 Annual Update

DLS presented a review of substance abuse screening and treatment for Temporary Cash Assistance (TCA) recipients. In Maryland TCA applicants are screened for their substance abuse risk level. High-risk applicants are required to submit to a drug test. If they test positive the applicant is required to enter some sort of treatment program. Failure to complete the program, or to submit to screening, testing, or treatment is grounds for denying benefits based on that person's needs (if they are the head of household they may still receive benefits based on dependents' needs). Unfortunately, the data tracking TCA substance abuse referrals is incomplete. DLS recommended improving data collection and the effectiveness of substance abuse treatment services provided to TCA clients.

Secretary Dallas then gave an update on DHS welfare-related activities:

• Welfare caseload growth is slowing, with the exception of food assistance.
• Temporary Cash Assistance enrollment peaked in December of last year.
• DHR placed a record number of clients in jobs in FY 2012.
• Many of those jobs are paid $10/hour or better, although it is unclear if these are part- or full-time jobs.
• Only 7 percent of TCA clients have reached the federal 60 month time limit, well below the 20 percent federal cap.
• The Thompson order has been satisfied, as DHR's monthly application timeliness rates have now exceeded 96 percent for all five assistance programs for almost two years running.
• There is still a Temporary Assistance to Needy Families (TANF) shortfall of $45 for FY 2013, due largely to the ongoing slow economic recovery.
• $229 million in federal TANF dollars for Maryland is at risk if Congress does not reauthorize TANF by the end of this month. Congress is likely to pass a six-month extension soon, but longer-term reauthorization is unlikely before next year.
• Secretary Dallas also touched on child support collection issues, auditing, and non-custodial parent issues.

Dr. Born rounded out the briefing with a presentation on her annual report on Life after Welfare (the September 2012 report isn't up yet):

• The typical TCA case remains an unmarried African-American woman in her 30's, who lives in Baltimore City with one or two children, with a high school education.
• TCA recipients are no strangers to the world of work: 70 percent worked before and after receiving benefits.
• Short spells on welfare are common, particularly after the recession when previously employed individuals flooded TCA. 
• Families that leave TCA and remain independent for at least three years are unlikely to fall back into welfare.

As, Dr. Born stressed in her presentation, the recession and its aftereffects have made it much harder for welfare recipients to exit and stay off TCA. Maryland continues to fare better than other states in many ways, but must continue to treat its most vulnerable residents with compassion and support to advance an economic agenda that benefits and uplifts all Marylanders.