STATE WELFARE REFORM ACCORD REACHED/BUDGET LIKELY TO

FOLLOW

On Monday, Governor Pete Wilson and key members of the

Legislature reached an agreement on the groundbreaking welfare

legislation that has been a major obstacle to passage of a state

budget. The compromise welfare plan could go to the Assembly and

Senate floors as early as today, and, assuming quick ratification

of the welfare legislation, a budget could follow shortly.

The following is an overview of the major components of the

agreement. Our thanks to the bipartisan Senate Office of Research

for their assistance in compiling this list. Another useful

resource is a California Budget Project fact sheet, available at

<http://www.cbp.org/qhits/qh970729.html>.

Immunizations Applicants: 30 days from eligibility for Medi-Cal.

Recipients: 45 days from annual redetermination.

School Assistance Not a condition of eligibility. Require

children's

school attendance as part of the welfare-to-work

plan.

Sanction parent if child under 16 fails to attend

classes. If 16 or 17, make those not attending

school

participate in work activities, or experience

sanctions.

SIP's Allows those enrolled in programs not designated as

leading to employment only to continue until the next

semester break. Conforms time in SIP's to alternative

time limits.

County Fiscal Incentives Counties are scheduled to keep 100% of

savings.

75% stays within each county and 25% will be

allocated on a statewide basis. Three measures:

Diversion, exits to employment, and increased

earnings. Penalties: 50/50, include sunset of 2

years.

Grant Structure $225 +50% disregard. Disregard unearned income

money for

money with the exception of disability based income.

Maintain the $50 child support disregard.

Parents With Infants 1st child: 6 months with county discretion

(can

be extended for an additional 6 mos. By the

county) and 24 months for current recipients.

2nd or subsequent children: 12 weeks with county

option to extend to 6 months.

Time Limits Within the 60 Month Frame After 18 months for new

applicants

(can be extended for an additional 6

mos by the county) and 24 months for

current recipients, if recipient has

not been employed, the county would

certify that "no job was available"

and person would enter community

service.

Hours of Participation Begin with federal minimum, extend to reach

32

hours per week after two years.

Grant Levels Continue grant cuts one additional year, suspend

COLA for

one additional year.

Safety Net After five years on aid children will be provided

child-only grants. Counties will have option to provide

employment or other services and may require workfare

for

recipient of services.

Drug Felons Include explicit prohibition on receipt of aid for those

convicted of a drug felony to be carried in separate

legislation.

General Assistance Current law with prohibition of receipt of GA

while

children are receiving aid.

Earn Your Check Sanction adult portion of the grant for failure to

participate.

Community Service Activity Work off grant pursuant to federal

law. Not

wages.

Paternity Sanction family 25% for non-cooperation. Co-locate DA

staff with welfare staff to increase paternity and

support order establishment.

Food Stamps:ABAWDS Governor's discretion to continue waiver.

Contracting Out of Services No change to current law.

Volume 4, Bulletin 27 -- July 31, 1997