Welfare Clock Ticking for State : California officials are facing a deadline under federal reform

The clock starts ticking next month for welfare recipients. Under a new law, they will be limited to two consecutive years of benefits. That means they must be off public assistance by November 1998. The deadline was triggered by a basic plan filed last week by state officials to avoid losing more than $200 million in federal funding under Washington’s new welfare reform law. This necessary first step puts pressure on the Legislature to approve a new state program that addresses California’s needs.

To speed the process, Gov. Pete Wilson has asked legislative leaders to participate in a dialogue with task forces that will address child care, Medi-Cal benefits and moving people from welfare to work. Perhaps this approach can avoid the political hurdles that threaten to delay agreement on how to provide the essential needs of poverty-stricken children and how to help their parents become independent of government assistance.

Among the thorny issues under consideration is whether legal noncitizens will be eligible for the temporary assistance program that replaces the old Aid to Families with Dependent Children. Washington left that decision to the states. It will be a tough call in California, which has a huge impoverished legal immigrant population.

The Legislature will also be asked to decide whether each county will be allowed to craft a separate plan. While there is no precedent for that novel approach, the Legislature has approved deeper reductions in welfare payments for poor families who live in rural areas. They will lose nearly 10% of their grants as of Jan. 1, while those who live in urban areas will lose 4.9%. Lawmakers, recognizing that city living cost more than country living, approved a two-tier grant.

The new state program must emphasize getting recipients off public assistance and into jobs. GAIN, the state’s successful welfare-to-work program, functions well but can accommodate only 25% of eligible recipients. State officials, using new federal money, will boost funding for GAIN by $60 million and will attempt to double the number of poor parents receiving the training necessary to become competitive in the job market.

With a deadline in place, the pressure is on Gov. Wilson and the California Legislature to craft a temporary aid program that will provide for the state’s poorest children while helping their parents get off welfare as quickly as possible and go to work.