Welfare Reform of 1996

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Welfare Reform of 1996

• The Personal Responsibility and Work Opportunity
  Reconciliation Act
• (PRWORA)

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PRWORA

• Established in 1996 under President Clinton
• Federal law that was passed to change the methods
  and goals for distributing cash to Americas poor
• TANF, Temporary Assistance to Needy Families,
  replaced AFDC, the previous welfare system
• Instituted from PRWORA

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AFDC

• Aid to Families with Dependant Children
• The previous social welfare system, enacted under
  President Johnsons War on Poverty
• Provided income assistance to families with
  children that lacked parental support
• No time limit for receiving benefits
• Limited requirements for receiving aid
• Wasnt decreasing Americas poverty rate

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PRWORA

• The new legislation had three main goals
• 1) to reduce welfare dependence and increase
  employment
• 2) to reduce child poverty
• 3) to reduce out-of-wedlock childbearing

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TANF

• Families may only receive benefits for a total of
  five years
• No individual guarantee
• Employment, or in the process of seeking, is
  required
• Distribution is entitled to the states
• A block grant of16.4 billion dollars is expected
  to be spent each year
• Funds for abstinence education

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Because of PRWORA

• Welfare caseloads have fallen by 56 since 1996
• 1.6 million children no longer live in poverty
• The poverty rates of children of single mothers
  and black children fell to their lowest ever
• Fewer children were born to un-wed mothers

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The Biggest effect concerning the social work
profession was the decline of caseloads.
http//www.heritage.org/research/welfare/cda06-07.
cfm
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Graph of the Decline in Caseloads
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The welfare reform or the economy?

• Some argue that the economy deserved most of the
  credit for the caseload decline.
• Others argue that the welfare reform did have an
  effect/affect on the decline of caseloads.

http//www.heritage.org/research/welfare/cda06-07.
cfm
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Major Factors that affect fluctuations in welfare
caseloads.

• The strength of sanctions
• The performance of the economy
• The level of benefits

http//www.heritage.org/research/welfare/cda06-07.
cfm
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Sanctioning Policies

• Full family sanctioning
• Some states sanction the whole TANF check after a
  nonperformance of required work.
• Graduated sanctioning
• Sanction the full TANF check after multiple
  non-performances of work.
• Partial sanctioning
• Sanction only the adult portion of the TANF check
  even after multiple infractions.

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Conclusion of Welfare Caseloads

• The decline in caseloads has caused a lot of
  attention.
• Some states have had a substantially larger
  decline in welfare caseloads than others.

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Results of the Three Goals

• Reform was largely restricted to one welfare
  program Aid to Families without Children
• The federal work requirements were too lenient.
• Almost all state bureaucracies simply ignored the
  goals of out-of-wedlock childbearing and an
  increase in marriages.

http//www.heritage.org/Research/Welfare/tst071906
a.cfm?renderforprint1
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In the Future

• The work requirements of TANF should be
  strengthened.
• The establishment of work requirements in
  parallel programs. (Food Stamps, public
  housing, and Medicaid)
• The strengthen of marriage is necessary.

http//www.heritage.org/Research/Welfare/tst071906
a.cfm?renderforprint1
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Problems With the Welfare Reform

• The low wage jobs available to former welfare
  recipients.

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Job Types Obtained by Former TANF Recipients from
1995-1997
Source Welfare Reform The Next Act
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Problems With the Welfare Reform

• The low wage jobs available to former welfare
  recipients.
• Barriers welfare recipients face in finding jobs.
  

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Simple Barriers

• Lack of Child Care
• Lack of Transportation

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Treatable Barriers

• Certain physical or mental illnesses or
  disabilities
• Illiteracy
• Lack of work skills or experience
• Language barriers

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Permanent Barriers

• Permanents physical or mental illnesses and
  disabilities.
• Learning disabilities
• Mental disabilities

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Problems With the Welfare Reform

• The low wage jobs available to former welfare
  recipients.
• Barriers welfare recipients face in finding jobs.
  
• Families that are neither receiving welfare nor
  have a source of income.

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Reasons For Leaving Welfare
Source The Urban Institute Who Returns to
Welfare?
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Work first/Post-Secondary Education

• Work First
• Mission
• Background and Emergence
• Ideology
• The Role of Education
• Views of Americans
• Education vs. Training
• Access to Education
• Response
• Conclusion

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