Setting the Baseline: A Report on State Welfare Waivers

by Ann Rosewater, Deputy Assistant Secretary for Human Services Policy,

Office of the Assistant Secretary for Planning and Evaluation

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Foreword

In August, 1996, the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) was enacted. This Act eliminated the federal statute that governed the Aid to Families with Dependent Children (AFDC) program, the sixty-year old program most commonly referred to by the term "welfare." In its place, the new law created the Temporary Assistance for Needy Families (TANF) block grant which states can use to provide cash and services to low-income families with children.

This Report on State Welfare Waivers is one in a series designed to provide baseline information on the AFDC program as it existed prior to enactment of the new law. Other reports in this series will provide an historical overview of the program as it evolved over time, and will include statistical information on program and recipient characteristics. We hope this series will be of use to anyone with an interest in welfare policy and in the impact of the new law.

This first report focuses on the waivers of AFDC requirements that were granted to states in the years preceding enactment of PRWORA. Between 1993 and 1996, 43 waivers were granted to states to reform their welfare programs. The report provides an overview of the types of waivers that states requested and received, and also provides detailed information on the specific policies chosen by the states.

Many observers have noted that the flexibility granted to the states through the waiver process and under the new TANF block grant creates an unprecedented opportunity for experimentation. Experimentation requires careful observation of initial conditions and the changes that are made, as well as the eventual outcomes. We hope that this report and its successors will contribute to that effort.

Ann Rosewater

Deputy Assistant Secretary for Human Services Policy

Office of the Assistant Secretary for Planning and Evaluation

An Overview

The federal requirements for the Aid to Families with Dependent Children (AFDC) program were set forth in Title IV-A of the Social Security Act. Section 1115 of the Act authorizes the Secretary of Health and Human Services (HHS) to waive specified requirements in order to enable a state to carry out an experimental or pilot project that promotes the purposes of the AFDC program. This authority had been used to a limited extent in prior administrations, but the Clinton Administration greatly expanded both the number and scope of waivers approved. Between January 1993 and August 1996, the Department of Health and Human Services approved welfare waivers in 43 states. Some of these waivers supported modest demonstration projects, limited to a few counties, but many others instituted dramatic statewide changes in the AFDC program. These waivers can be considered the first phase of welfare reform; many of the policies and concepts included in state waiver requests were later incorporated into the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) of 1996.

In order to receive federal approval for waivers, states were required to conduct rigorous evaluations of the impact of their demonstrations. In most cases, they were required to randomly assign applicants and recipients to a control group, which was subject to the standard AFDC rules, or to an experimental group, which was subject to the waiver rules. By comparing the outcomes of the two groups, the states could measure the impact of the waiver provisions. States also had to show that the waivers would be cost-neutral -- in other words, that they would not require additional federal spending. The Clinton Administration allowed states to achieve cost-neutrality over the lifetime of the waiver, rather than in each year, as had previously been required. This allowed states to make up-front investments, for example, in child care or job training that they expected to recoup in reduced benefit payments in later years.

This compilation of state waiver provisions serves two purposes, one historical and one forward looking. First, it shows what states were doing under the waiver authority of the AFDC program before it was replaced by the new Temporary Assistance to Needy Families (TANF) program. The number and extent of waivers granted prior to enactment of PRWORA mean that the requirements of the AFDC program do not fully reflect the actual program as operated immediately prior to enactment of the new law. In assessing the impact of TANF, it is necessary to compare it to the policies adopted by states under waiver authority as well as to the underlying federal rules.

In addition, states have the option of continuing AFDC waivers under TANF. In some cases, states will opt to continue their waivers because they allow them to provide services or impose requirements that would not be allowed under the new law. The PRWORA allows states to postpone implementation of certain provisions of the TANF program to the extent they are inconsistent with an ongoing waiver until the waiver expires. In addition, states may choose to continue a waiver in order to continue the evaluation, even if all of its components are allowable under the new law.

This report is based on the agreements as to terms and conditions issued by HHS as part of the state waiver approval process. Thus, it focuses on what states received authority to implement. In some cases, states may have later chosen not to implement the waivers that were approved or to submit an additional waiver request. In addition, a number of states have discontinued their waivers with the enactment of TANF so this document should be supplemented by state TANF plans for information on the latest state policies.

Section 1: Work Requirements

AFDC Requirement: States could require recipients who did not fall into one of the specified exemption categories to participate in the Job Opportunities and Basic Skills Training (JOBS) program, which provided education, training, and work experience activities. Individuals were exempt from JOBS participation if they: were ill, incapacitated, or aged; were under age 16 or in school full-time; were already working at least 30 hours per week; were in the second or third trimester of pregnancy; were needed in the home to care for an ill or incapacitated family member; resided in an area where the program was not available; were providing care to a child under age 3 (or age 1 at state option); or were providing care to a child under age 6 and child care was not available. Individuals caring for a child under age 6 could not be required to participate more than 20 hours per week. Individuals who did not meet one of these categories, and who did not have good cause for not participating, were considered JOBS mandatory.

States were required to provide the following JOBS activities: educational activities, including high school or the equivalent, and ESL, job skills training, job readiness, and job development and placement; states were also required to offer at least two of the following work activities: job search, on-the-job training, work supplementation, or community work experience. Post-secondary education was an optional component. States could require up to eight weeks of job search for new applicants, and up to eight weeks of job search per year for recipients. Within this framework, states were allowed to develop their own policies regarding what activities to assign recipients. States' practices varied widely, with some states encouraging participants to take advantage of the educational opportunities offered in order to improve their employment prospects, while other states focused on immediate job search and placement in the components that most resemble work. Changes in these policies did not require a waiver of federal regulations; in general, they did not even require an amendment to the state plan.

Individuals who were assigned to JOBS activities could be sanctioned for failure to participate. The sanction was the elimination of the participant's needs from the grant amount. This sanction was applied according to the following schedule: for the first failure to participate, the sanction lasted until compliance; for the second instance, the sanction lasted until compliance or for three months, whichever was longer, and for any subsequent instances, the sanction lasted until compliance, or for six months, whichever was longer.

States were not required to serve all non-exempt individuals. In FY 95, states were expected to achieve a participation rate of 20 percent of JOBS mandatory individuals, for an average of 20 hours per week. By law, states could be penalized for failure to meet this participation rate by a reduction in the matching rate on JOBS dollars. However, in practice, although some states did not meet the participation standard, no state was ever penalized. The Secretary of HHS waived the penalty, as allowed by law if the state made a good faith effort to meet the standard and submitted a plan for improvement.

Waivers: As stated in their waiver requests, many states believed that the exemption criteria from JOBS were too broad. They therefore applied for waivers to make JOBS work activities mandatory for more AFDC recipients. The waivers granted that affected JOBS exemptions are summarized in Table I.A. The most commonly requested waivers required parents of young children -- in some cases children as young as 12 weeks -- to participate in JOBS. These waivers were motivated by the fear that parents would be excused from participation for long periods of time, and would find themselves with no labor market experience or skills when their children finally reached school age. In addition, some people argued that very few working parents have the opportunity to take a year off of work to care for their children, and that it is therefore unreasonable to expect that welfare recipients should be allowed to do so. A number of waivers also allowed states to require parents of pre-school age children to participate for more than 20 hours per week.

Other waivers reduced the exemptions for pregnant women to those with a medical reason not to participate and tightened the criteria for an exemption based on a disability. Some waivers allowed teen parents attending high school and people working 30 hours per week to be considered as JOBS participants. These waivers allowed the states to provide such individuals with supportive services, but also allowed them to impose JOBS sanctions for nonparticipation. A few states eliminated virtually all categorical exemptions, and left it to caseworker discretion as to whether individuals should be required to participate in JOBS.

A concern expressed by many states was that the sanctions for non-compliance were not strong enough to motivate unwilling individuals to participate, or were too difficult to impose. States therefore applied for waivers to increase the severity of their sanctions or to reduce the administrative burden associated with imposing sanctions. Table I.B summarizes the waivers that were granted which affected the sanctions for failure to meet JOBS participation requirements. As shown in this table, 23 states received waivers which allowed them to impose full-family sanctions (i.e. termination of the entire family's AFDC grant) after a continued period of non-compliance. States also received waivers which allowed them to impose sanctions for longer periods than under the standard AFDC program.

Relatively few waivers affected the services provided under JOBS since the AFDC regulations gave states substantial flexibility without requiring waivers. One of the most common waivers was one that lifted the limit on the number of weeks during which a recipient could be assigned to job search. A number of states received waivers from the Department of Agriculture allowing food stamps as well as AFDC grants to be diverted in order to subsidize employment of people receiving assistance under both programs.

TANF Provision: TANF removes most of the federal requirements regarding exemptions and required activities, and replaces them with a more stringent participation rate requirement (25 percent in FY 1997, rising to 50 percent by FY 2002). The only remaining federal provisions are: a) single parents of children under age 6 who cannot find child care can not be penalized for failure to meet work requirements; and b) states can exempt single parents of children under age 1 from the work requirement and can disregard these individuals in the calculation of participation rates for up to a total of 12 months.

In general, TANF encourages states to require work (unsubsidized or subsidized) and training that is closely linked to work, rather than to place recipients in long-term educational activities. Although no specific types of education or training are absolutely mandated or forbidden, the limitations on what may count towards the participation rate are likely to shape the work-related services that states offer to recipients. For example, under TANF, no more than four consecutive weeks of job search, and no more than six weeks overall, can be counted towards the participation rate. States are not forbidden to spend money on job search programs beyond these limitations, but this increases the risk of being unable to meet the participation rate goals. (Note, however, that caseload reductions can be counted towards the participation rate, so if a longer period of job search is effective in placing recipients in well-paid jobs, it still might help the state meet the participation rate goals.) Similarly, no more than 20 percent of individuals can be counted as participating based on participation in vocational education or secondary school for teen parents. States that do not meet the participation rate goals will be penalized by a reduction in the amount of their block grant.

Table I.A, Section 1115 Waivers Affecting JOBS Exemptions

State	Part-time participation when child is at least age	Full-time participation when child is at least age	Other provisions
Alabama	6 months	6 years*
Arizona	--	1 year	Under pilot Full Employment Demonstration Project only.
Arkansas	1 year*	6 years*	Parents under the age of 16 are required to participate in JOBS, either through school attendance or another educational activity.
California	3 years	6 years*	The JOBS exemption for having a child under age 3 will be limited to one child during a period of continuous AFDC eligibility (a period without a break of at least 6 consecutive months off AFDC). Upon the birth or adoption of a child while on AFDC, a 4-month JOBS exemption will be provided.
Connecticut	1 year*	6 years*	Exemptions are available for: children under 18, unless the child is a minor parent not in school; individuals who are incapacitated or of advanced age; individuals needed to care for an incapacitated household member; pregnant or postpartum women, if a physician has said she is unable to work; and otherwise "unemployable" individuals. No exemption is provided for caring for a child under 1 if the child is subject to the family cap provisions.
Delaware	12 weeks	6 years*	JOBS exemption for those working over 30 hours per week is eliminated. An assessment will be conducted to determine whether such employment is likely to lead to self-sufficiency within the time limit. Parents of children under 12 weeks may be required to attend part-time family planning and parenting classes.
Florida	6 months	6 years*
Hawaii	6 months	6 years*	Limits JOBS exemptions to: a dependent child under age 16; a dependent child attending school full-time; a person who is ill or incapacitated for at least 30 days; a person who must provide in-home care to ill or incapacitated family member; a person over age 60, or a VISTA volunteer.
Idaho	12 weeks	6 years*	Removes JOBS exemptions for: minor parents (assigned activity will be school attendance or an approved alternative educational activity); those working 30 hours or more per week, unless they are earning at least 30 times the federal hourly minimum wage; and for women who are pregnant, unless they are determined to be unable to participate for medical reasons.
Indiana	3 years, phased down to 12 weeks	6 years*	Eliminates the JOBS exemptions for recipients living in rural or hard-to-access areas, and those employed 30 or more hours per week. For children conceived while family is on AFDC, exemptions will only be allowed for care of a child under 12 weeks.
Iowa	3 months	6 years*	Only JOBS exemptions allowed are for care of child, for individuals already working 30 hours per week or more, and for disabled individuals.
Kansas	3 years*	3 years	Exemptions related to illness, injury or incapacity will no longer refer to the individual's potential for education or training. A pregnancy in itself will no longer be grounds for an exemption. Persons residing in a licensed certified alcohol or drug treatment center will be exempt. A person with multiple or severe barriers which make it unlikely that participation in work-related activities would result in self-sufficiency will be exempt.
Maine	2 years*	6 years*	Exemptions are limited to: caretakers for a child under 2; individuals who are unable to work due to a physical or mental condition (including pregnancy when a doctor certifies that the woman is unable to work without undue risk to herself or the fetus); caretakers of an impaired household member, individuals aged 60 or older; caretakers of a child with professionally documented needs related to physical or mental disabilities; children under 16, who are not heads of household, and in school; and full-time VISTA volunteers.
Maryland	12 weeks	1 year	Eliminates JOBS exemption for having a medical disability of more than 12 months, unless recipient applies for SSI and application is pending or in appeal. Eliminates exemption for pregnancy, unless a doctor says it is medically required.
Michigan	--	--	Eliminates all JOBS exemptions, except for VISTA volunteers and children under age 16. Participants who were not required to participate before the implementation of the waiver must now participate 20 hours per week under a Social Contract, which can include a wide range of self-sufficiency activities.
Minnesota	3 years*	6 years*	Exemptions from work requirements are limited to recipients who are: under 20 and attending high school full time, age 60 or older, ill, injured or incapacitated, working at least 30 hours per week, caretakers of a child under age 3 of an ill or incapacitated family member, is expecting to give birth within six months, has difficulty obtaining and retaining a job due to lack of proficiency in English, or meet other hardship criteria.
Montana	1 year*	6 years*	Eliminates exemption for teen parents under age 16. Minor parents of all ages are required to participate in education as their JOBS activity and are subject to JOBS sanctions.
Nebraska	12 weeks	6 months	Exemptions from the time-limits and from participation requirements are limited to recipients with mental, emotional or physical barriers that preclude self-sufficiency, and to recipients who do not have parental responsibility for the children.
New Hampshire	1 year*	1 year	Eliminates automatic exemption from JOBS for remoteness. Individuals who have significant employment-related barriers (as defined in State policy manuals) will be exempt from JOBS. The age of child exemption may be reduced to 13 weeks in the case of a child conceived while the parent was receiving AFDC, with certain restrictions.
New Jersey	2 years*	6 years*	Parents with children under 2 will be non-exempt for the purposes of required participation in counseling and vocational assessment. Eliminates exemption for those employed 30 or more hours per week.
North Carolina	5 years	6 years*	Under statewide Work First program, exemptions are limited to: disabled and incapacitated individuals; those needed as caretakers for disabled individuals in the home; parents of a child under 5 years old (unless the parent is working more than 30 hours per week); individuals under 16 or over 65; 16- and 17-year-olds who are attending school; and individuals who can not participate because the state can not provide child care and reasonable transportation.
North Dakota	3 years*	6 years*	In 10 county pilot project, limits exemptions to full-time VISTA volunteers, dependent children under age 16, and parents or caretakers of a child under age 3. Recipients' health and commuting status will be taken into consideration in determining the activities to be included in the social contract.
Oregon	3 months	6 years*	Eliminates all JOBS exemptions except for VISTA volunteers. Instead, case managers determine JOBS exemptions on an individual basis. Pregnant women are only exempt during the last month of pregnancy and for the first three months after birth.
South Carolina	1 year*	6 years*	Exemption for care of child is not provided if custodial parent is under age 25 and has not completed high school. Exemptions are also provided for individuals at least 6 months pregnant, incapacitated individuals; those caring for an incapacitated person; and individuals unable to participate because child care or transportation was not provided. Other JOBS exemptions are eliminated.
Tennessee	16 weeks	6 years*	Individuals working between 30 and 40 hours per week and pregnant women are not automatically exempt.
Texas	5 years* (will drop to 4 years in 9/97)	6 years*	JOBS exemption based on age of youngest child may be used only once for each family.
Utah	--	--	All current JOBS exemptions are eliminated, except that for children under age 16.
Vermont	16 weeks	6 years*	Eliminates exemptions for recipients with temporary disabilities, or based on pregnancy.
Wisconsin	1 year*	1 year	Under statewide Pay for Performance waiver, exemptions are limited to: one parent caring for a child under age 1; recipients subject to learnfare provisions; incapacitated individuals; individuals needed to care for incapacitated individuals; non-legally responsible relatives who are not in the budget group; pregnant women in their second or third trimester; those age 60 or over; full-time VISTA volunteers; those working 30 or more hours per week; and individuals residing in areas where the work program is not available. Similar provisions apply under the pilot Work Not Welfare waiver.
Wyoming	1 year*	1 year	In three counties, able-bodied AFDC recipients must work or perform community service unless: full-time student, participating in approved training at least 40 hours per week; has child under age 1 (under 3 months if child is conceived while family is receiving assistance); or employed at least 35 hours per week.

* These age limits do not require waivers from AFDC requirements.

Table I.B, Changes to JOBS Sanctions under Section 1115 Waivers

State	Provisions	Scope	Imp. Date
Arizona	Increases the first sanction for noncompliance with JOBS program requirements to last for a period of at least one month, or until the participant complies.	Statewide	Start: 10/95 End: 9/02
Colorado	Once the work requirement takes effect, the sanction for a third instance of noncompliance with JOBS requirements without good cause is a JOBS sanction for the duration of the demonstration (i.e. the caretaker's needs are removed from the grant and the caretaker is ineligible for Medicaid). After six months, if the caretaker complies with JOBS requirements, she will regain Medicaid eligibility, although the fiscal sanction will remain. No sanction will be applied if the recipient is unemployed and no JOBS slot is available.	Adams, El Paso, Jefferson, Logan and Mesa counties	Start: 4/94 End: 3/99
Connecticut	The sanctions for failure, without good cause, to cooperate with the requirements of the JOBS, child support enforcement, or quality control programs, or for voluntarily quitting a job without good cause are: for the first instance, the AFDC benefit will be reduced by 20 percent for three months; for the second instance, the AFDC benefit will be reduced by 35 percent for six months; for the third and subsequent instances, no AFDC benefit will be issued for a three-month period. Individuals who fail to comply with a requirement by the end of a given penalty period will automatically progress to the penalty associated with the next higher offense. If while in sanction status, a recipient fails to comply with a different program requirement, the penalty associated with the next higher offense will begin on the first possible date following the required notice.	Statewide	Start: 1/96 End: 12/03
Delaware	The sanction for failure to cooperating in the development of the mutual responsibility contract, or for noncompliance with employment-related provisions of the contract are: 1/3 reduction in AFDC grant for first offense, 2/3 reduction for second, and AFDC loss for the whole family upon the third offense. The first two sanctions will be imposed until compliance. After each redetermination, if the caretaker does not comply at the time, the next higher sanction will be imposed. The third sanction will be imposed for the duration of the demonstration.	Statewide, after a phased implementation	Start: 10/95 End: 9/02
Georgia	The sanction for a first refusal of a job offer or a voluntary quit is removal of the individual's needs from the grant for three months, or until the individual complies, whichever comes first. On subsequent incidences, the sanction shall last for six months, or until the individual complies, whichever comes first. The sanction for nonparticipation in the mandatory work experience program is loss of that individual's portion of the AFDC grant for: one month for the first violation, three months for the second violation, and 24 months for the third violation. Benefits can be reinstated after six months of the third sanction period of the individual complies with program requirements. After the third violation, the individual's sanction history will be disregarded and the process will begin from the top.	Statewide   10 pilot counties	Start: 1/94 End: 12/98   Start: between 11/95 and 10/96 Duration: 5 yrs
Idaho	The penalty for voluntary quits, firing for cause, or turning down a job offer is full-family ineligibility for 90 days or until compliance. For non-compliance with JOBS or work requirements, there is a progressive full-family sanction of the longer of one month or until compliance for the first instance, the longer of three months or until compliance for the second instance, and until the end of the demonstration in the third instance. These sanctions may not be imposed until an attempt at conciliation has been made.	Statewide	Start: between 10/96 and 10/97 Duration: 5 yrs
Illinois	The sanction policy for the first three instances of non-cooperation will be in accordance with the JOBS policy. For the fourth and subsequent instances, the sanction will be loss of the entire AFDC cash benefit until the individual cooperations or for six months, whichever is longer. Failure to accept a job offer will result in a loss of the family's AFDC cash benefit for three months. The sanction will be removed if the individual becomes employed either full- or part-time.	Statewide	Start: 10/95 End: 9/00
Indiana	Imposes progressive sanctions for repeat occurrences of JOBS non-compliance as follows: For the first instance, a sanction will be applied against the individual for two months or until the failure to comply ceases, whichever is longer. Until the individual complies, the sanction will be a JOBS sanction, making the individual ineligible for Medicaid. Once the individual complies, the sanction will only be a fiscal sanction. For the second instance, the sanction will be applied until the individual complies or for 12 months, whichever is longer. Upon compliance or after six months, whichever is longer, the sanction will be reduced from a JOBS sanction to a fiscal sanction. For the third instance, the sanction will be applied until the individual complies or for 36 months, whichever is longer. Again, upon compliance or after six months, whichever is longer, the sanction will be reduced from a JOBS sanction to a fiscal sanction. JOBS volunteers are subject to the regular sanctions. The penalty for a voluntary quit or reduction in hours is the needs of the individual shall be disregarded, both in determining eligibility and benefit levels, for a period of six months from the date of the quit or reduction.	Statewide	Start: 4/95 End: 6/02
Iowa	Recipients who do not develop a self-sufficiency plan, or who do not demonstrate satisfactory performance under it will be assigned to the "limited benefit plan" (LBP). Their families will receive a grant based on only the needs of the children for 3 months. The family's grant will then be terminated and they cannot reapply for another 6 months. (Under original waiver, LBP began with 3 months of regular benefits before grant reduction was imposed.)	Statewide	Start: 10/93 End: 9/98   Amended: 4/96
Kansas	The JOBS sanction for a non-complying parent or spouse is: the needs of the adult will be excluded from the unit for two months; after that, the entire family will lose AFDC cash benefits for at least two months, or until the parent or spouse complies. If an adult other than a parent or spouse does not comply with JOBS requirements, the needs of that adult will be excluded until he or she complies. For AFDC applicants and recipients, failure to attend a job interview if referred, failure to accept a bona fide job offer, and termination of employment without good cause will result in a fiscal sanction as follows: if the non-complying individual is a parent or spouse, the family will not receive AFDC cash benefits for three months, or until compliance; otherwise, the non-complying person's needs will be removed from the grant for three months, or until compliance.	Statewide	Start: between 9/96 and 8/97 Duration: 7 yrs
Louisiana	Applies a three-month full-family sanction where the parent has declined an opportunity for full-time employment without good cause.	Statewide	Start: 1/97 End: 12/02
Maryland	The sanction for non-cooperation with JOBS requirements will be case closure, but the sanction may not be imposed until 30 days after a conciliation letter has been sent. Family will be reinstated immediately upon compliance the first time this happens, but only after 10 days the second time, and after 30 days the third time. Families whose case has been closed because of this sanction may receive up to three months of transitional assistance through third-party payments.	Statewide	Start: 10/96 End: 9/01
Massachusetts	Initial failure to comply with the requirements of the Work Program or the Community Service Program will be sanctioned by a reduction in the grant by the portion attributed to the individual who is required to participate. The entire assistance unit will be sanctioned for continued non-participation. Full Employment Program participants who fail to maintain a position after three attempts will be reassessed, and may be reassigned to the Community Service Program. Failure to participate in a JOBS component other than the Work Program, the Full Employment Program or the Community Service Program will result in the issuance of a warning. If non-compliance continues, the individual will be required to participate in the Community Service Program.	Statewide	Start: 10/95 End: 9/05
Michigan	Changes sanction under JOBS to 25 percent of AFDC and food stamp benefits for the first 12 months of non-compliance and loss of family's AFDC benefits after 12 months of non-participation.	Statewide	Start: 10/94 End: 9/99
Minnesota	The sanction for failure to participate in orientation, or preliminary job search activities will be removal of the adult's needs in determining the level of AFDC benefits for a minimum of six months. The sanction for failure to engage in job search or for voluntarily quitting a job, after warning, is required participation in work experience (combined with job search) for a total of at least 32 hours per week, and as much as 40 hours per week, based on the grant amount. If a recipient fails to participate in work experience, or is terminated without good cause, the penalty will be a full-family fiscal sanction for a minimum of six months. This penalty may not be imposed until the recipient has failed to comply with a conciliation agreement. Recipients assigned to the Deferred Employment track who do not participate in required employability activities will be assigned to the Immediate Employment track after two warnings.	Clay and Carver counties	Start: between 10/96 and 10/97 Duration: 5 yrs
Mississippi	A Work First participant who refuses a placement, terminates a placement within the two-week trial period, or establishes a pattern of requesting early termination will be sanctioned by removal of the entire grant. This sanction will be cured immediately if the participant agrees to cooperate. JOBS sanctions may be imposed on exempt clients that volunteer for JOBS and then drop out without good cause. Eligibility for Medicaid will not be affected by this provision.	Adams, Harrison, Jones, Lee, Hinds, and Washington counties	Start: 10/95 End: 9/00
Missouri	The sanction for failure to sign a self-sufficiency agreement or to participate in assigned job search or work experience is the standard JOBS sanction. Volunteers who enter an self-sufficiency agreement will be subject to the same sanction for non-participation.	Statewide	Start: 4/95 End: 5/00
Montana	Recipients who fail to comply with Pathways and Community Service Program requirements, without good cause, will be sanctioned by removal of their needs from the family grant according to the following schedule: 1 month for the first instance; 3 months for the second instance; 6 months for the third instance; and 12 months for the fourth and subsequent instances.	Statewide	Start: 1/96 End: 12/04
Nebraska	The sanctions for non-compliance with work requirements are as follows when the caretaker is the parent of the children: first instance, full-family sanction for at least one month, or until compliance; second instance, full-family sanction for at least 90 days, or until compliance; third instance, full-family sanction until the end of the 48-month period. If the caretaker is not a parent, only the caretaker's portion of the grant is sanctioned. Food stamp benefits do not increase when the family is sanctioned.	Statewide, after phased implementation	Start: 10/95 End: 9/02
New Hampshire	The penalty for adult non-participation in JOBS, or for a voluntary quit is: the usual JOBS sanction (disqualification of the adult) will be imposed for half a month (one payment period) or until compliance, whichever is greater. After three months, the adjusted payment standard (excluding the needs of the sanctioned adult) will be reduced by one-third. After another three months, the adjusted payment standard will be reduced by two-thirds. After another three months of noncompliance, the case will be terminated. If a participant is sanctioned within 6 months of the end of the most recent sanction period, the payment reduction shall begin at the next highest level of payment reduction. Otherwise, the next sanction shall begin at the lowest level of sanction. The penalty for non-compliance by a dependent child is removal of the child's needs from consideration for both eligibility and determination of grant amount.	Statewide	Start: between 7/96 and 7/97 Duration: 5 yrs
New Jersey	Eliminates the sanction conciliation process. Sanction of 20 percent of the payment standard for refusal to cooperate before signing a contract, to last for a minimum of 30 days or until compliance. For non-cooperation with program requirements, or activities specified in the contract, participant's needs will be removed from the grant for at least 90 days, or until compliance.	Statewide	Start: 10/92 End: 9/97
North Carolina	Under Work First, the state will deny AFDC to a family if the parent refuses to sign the Personal Responsibility Contract. For the first instance of non-compliance with the contract, the penalty will be a $50 reduction in benefits for 3 months; for the second instance, a $75 reduction for 3 months; for the third instance, a $75 reduction for 6 months; and for the fourth instance, a $75 reduction for 12 months. No conciliation period will be required. Participants who do not meet with a case worker to review their contracts at the end of a sanction period will be moved up to the next level of sanctions. Under Work Over Welfare, the sanctions for failure to comply with an Opportunity Agreement, without good cause, are as follows: for the first instance, a 40 percent reduction in the family's AFDC benefit until the failure to comply ceases; for the second instance, a 45 percent reduction for a minimum of four months, or until the failure to comply ceases; and for the third and subsequent instances, a 55 percent reduction for a minimum of eight months, or until the failure to comply ceases.	Statewide   Cabarrus County	Start: between 3/96 and 3/97 Duration: 5 yrs   Start: between 5/96 and 5/97 Duration: 2 yrs
North Dakota	Failure of the caretaker relative to sign or cooperate in the development of the social contract, without good cause, within 2 months will result in case closure. The family may not receive additional assistance for 10 months unless the caretaker signs a contract. For failure to comply with self-sufficiency or child support enforcement provisions of the contract, the following sanctions will be imposed against the AFDC portion of the TEEM grant: For the first instance, the needs of the non-complying individual will be removed for a minimum of one month; if the individual fails to comply for six consecutive months, the penalty will be the loss of the entire AFDC portion of the grant. For the second instance, the needs of the non-complying individual will be removed for a minimum of two months; if the individual fails to comply for three consecutive months, the penalty will be loss of the entire AFDC portion of the grant. For the third and subsequent instances, the needs of the non-complying individual will be removed for a minimum of three months; if the individual fails to comply for three consecutive months, the penalty will be loss of the entire AFDC portion of the grant. The penalty for voluntary quits will be the loss of the earned income disregard for the benefit month, and the ineligibility of the individual for the benefit month. JOBS volunteers will be subject to the standard JOBS sanctions.	10 pilot counties: Adams, Cass, Ransom, Richland, Sargent, Stark, Steele, Stutsman, Traill, and Williams.	Start: 4/95 End: 3/02
Ohio	Imposes progressive sanctions for noncompliance with JOBS requirements, including failure by pregnant recipients to cooperate with substance abuse assessment and or treatment, without good cause, as follows: for the first instance, removal of the needs of the noncomplying individual for at least one month, or until compliance; for the second instance, denial of AFDC cash benefits to the entire unit, for at least one month, or until compliance; for the third instance, denial of AFDC cash benefits to the entire unit, for at least two months, or until compliance; and for the fourth and subsequent instances, denial of AFDC cash benefits to the entire unit for six months, or until compliance. The sanction for a voluntary quit is ineligibility for the assistance group for a period of six months.	Statewide	Start: between 6/96 and 12/96 Duration: 5 yrs
Oklahoma	Sanction for refusal to accept a workfare placement at the time limit is the JOBS sanction: the parent's needs will be removed from the grant, but the children will continue to receive AFDC.	Creek, Grady, Jackson, McCurtain, Okmulgee, and Seminole	Start: 4/96 End: 3/01
Oregon	The sanctions for failure, without good cause, to meet JOBS participation requirements or to participate in mental health or substance abuse screening and treatment are as follows: For a client who has not been previously sanctioned, or who has been sanctioned in only one previous month, the first two months of non-compliance will result in a $50 decrease in the grant. For a client who has been sanctioned in two or three previous months, the sanction will be removal from the grant. In the case of a work-eligible alien parent, who is not part of the case, the sanction will remain a $50 decrease in the grant. For a client who has been sanctioned in four or more previous months, the sanction will be the closure of the grant. The sanction will be removed, at any point in the sanction process, when a recipient complies. Individuals who are sanctioned at the time of implementation due to the pursuit of unapproved self-initiated education and training may continue under current sanctions for two years following implementation if they are making satisfactory progress. At the end of two years the sanction policy for this group will be reviewed.	Statewide	Start: 7/95 End: 6/02
South Carolina	The sanctions for failure to comply with the requirements of an self-sufficiency plan or for failure to accept an offer of employment after completing training are as follows: For the first instance, removal of the caretaker's needs from the calculation of the AFDC grant for 30 days, curable by compliance. If at the end if 30 days the caretaker has not complied, she is notified that after another 30 days, the entire family will be removed from AFDC, curable after 30 days of compliance. For the second and subsequent instances, removal of the entire family from AFDC, curable after 30 days of compliance. In both cases, benefits will be paid retroactive to the date when compliance began.	Statewide	Start: between 6/96 and 6/97 Duration: 7 yrs
South Dakota	Sanction for voluntary quits, without good cause, is denial of AFDC cash benefits to entire family for three months, or until the parent finds a job at least comparable to the one quit, whichever is less. For non-JOBS-exempt recipients, the sanction for failure to comply with assigned activities volunteer service requirements is a JOBS sanction. For JOBS-exempt recipients, there are no sanctions for refusal to cooperate with the track program. If JOBS-exempt recipients reach the time limit and are assigned to volunteer service, the sanction for non-compliance is removal of the adult's needs from the grant amount, but the adult will continue to be eligible for Medicaid.	Statewide	Start: 4/94 End: 3/99
Tennessee	The penalty for a voluntarily quit is full-family ineligibility for three months. Sanction will be lifted if the sanctioned individual gets a comparable job, becomes exempt from work requirements, or leaves the assistance unit. The penalty for noncompliance with work requirements is: for the first instance, a full-family fiscal sanction until compliance; for a second and subsequent instances, a full-family fiscal sanction for three months or until compliance, whichever is longer.	Statewide	Start: between 9/96 and 9/97 Duration: 11 yrs
Texas	The sanction for noncompliance with JOBS program requirements or child support requirements is the removal of the needs of the parent from the AFDC grant until compliance.	Statewide	Start: 4/96 End: 6/02
Utah	The penalty for nonparticipation in JOBS without good cause is a $100 reduction in the family's grant. Non-participation by a child between 16 and 18 will be sanctioned by removal of that child's needs from the grant calculation. Imposes a full-family sanction for non-participation in JOBS after two months of the previous sanction. Sanction may not be imposed until after a conciliation process has been undertaken. These penalties are immediately curable upon compliance. Parents removed from the grant due to non-cooperation or fraud remain eligible for JOBS services, including support services.	Beaver, Cedar City, Kane, Kearns, Panguitch, St. George, and Roosevelt offices	Start: 1/93 End: 12/00
Vermont	Under the pay-for-performance model, payments are based on actual number of hours worked and satisfactory performance of assigned activities.	Statewide	Start: 7/94 End: 6/01
Virginia	Changes first-time JOBS non-compliance sanction to at least 1 month, continuing until compliance and removes conciliation requirement. For cases subject to the time limits under VIEW, the sanction for refusal of the case head to sign an Agreement of Personal Responsibility is termination of cash benefits for the entire case. The sanctions for failure to participate in required VIEW activities are as follows: for the first offense, suspension of the entire AFDC cash benefit for one month, or until compliance, whichever is longer; for the second offense, suspension of the entire AFDC cash benefit for three months, or until compliance, whichever is longer; and for the third and subsequent offenses, the entire AFDC cash benefit will be suspended for six months, or until compliance, whichever is longer. All VIEW volunteers who sign an Agreement of Personal Responsibility will be subject to the same sanctions as mandatory participants.	Statewide; VIEW will be phased in geographically over three years.	Start: 7/95 End: 6/03
Washington	Once the grant reduction has been imposed, the unit is no longer subject to JOBS sanctions.	Statewide	Start: 1/96 End: 12/05
West Virginia	For the first failure to comply with JOIN, the adult's needs will be removed from the grant for at least three months, or until compliance. After the second instance of non-compliance, the entire family will lose AFDC cash benefits for at least six months, or until compliance.	Statewide	Start: 1/96 End: 12/00
Wisconsin	AFDC benefits will be reduced by the federal minimum hourly wage for each hour of non-participation without good cause, with no adjustment in the food stamp allotment. If the AFDC grant is fully exhausted, the remaining sanction will be taken against the food stamp allotment. In any month where the hours of participation fall below 25 percent of assigned hours, the AFDC grant will be $0 and the food stamp allotment will be $10.	Statewide (slightly different provisions apply in 2 counties where Work Not Welfare is being operated)	Start: 1/96 End: 12/00
Wyoming	Sanction for nonparticipation is reduction of family's grant by $100. Nonparticipating individual becomes ineligible for assistance (i.e. Medicaid).	Campbell, Carbon and Natrona counties	Start: 7/93 End: 6/95

Section 2: Time Limits

AFDC Requirement: Under the AFDC rules, families were entitled to receive assistance for as long as they met the eligibility standards. There was no federal limit on the length of time a family could receive aid, and states could not impose such limits.

Waivers: Due to concerns that families were becoming dependent on AFDC and accepting welfare as a way of life, a number of states applied for and received waivers setting time limits on welfare receipt. By the time AFDC was repealed, a total of 32 states had received waivers authorizing some form of time limits. The Center for Law and Social Policy (CLASP), an advocacy organization, developed a useful taxonomy for classifying the various time limit waivers into three broad categories. Under this classification, "termination" time limits resulted in a total loss of AFDC benefits for families who have used up their time. "Work requirement" time limits imposed mandatory work requirements on families that reached the time limits, but did not cut off aid so long as participants complied with the work requirements. "Reduction" time limits reduced the amount of assistance that a family could receive after they had been on welfare for a certain period of time, either by a set percentage, or by removing the adults' needs from the grant.

Table II.A lists the states that received approval for each kind of pre-TANF time limit waiver. Some states created more than one kind of time limit. For example, Illinois applied a work requirement time limit to families with young children, and a termination time limit to families with older children, and Delaware provided two years of unrestricted cash assistance, followed by two years of pay for performance. It should be noted that it is sometimes difficult to distinguish between a work requirement that includes a full-family sanction for failure to participate after a certain period of time, and a time limit that allows families to continue to receive assistance only if they participate in a work program. For this reason, different lists compiled by various organizations do not always count all the same states as having time limits.

Table II.B describes the provisions of the pre-TANF time limits adopted by each state. Although there is much variation among states, certain factors were constant across states. In general, individuals who were JOBS-exempt or otherwise determined to be not ready to work, were not subject to the time limit. Similarly, child-only cases were not subject to time limits. The termination time limits were typically not lifetime limits, but rather limited AFDC receipt to a certain number of months within a four- to seven-year period. Such limits forced families to take immediate steps towards self-sufficiency, but provided a safety net for families that successfully get off welfare but experienced crises later on. Finally, every state with a waiver that provided for a termination time limit allowed extensions for people who substantially met all program requirements, made good faith effort to find job, and yet could not find a job. These extensions were based on the principle that people who "play by the rules" should not be penalized for circumstances beyond their control.

Because time limits are such a significant change from prior practice, many people are highly interested in studying what happens when families begin to reach the time limits. Table II.C therefore summarizes when people will start to reach the time limits under the state waivers, and what will happen to people who reach the limit. It should be emphasized that the dates listed are the earliest dates at which any families in the state could reach the time limits; in practice, relatively few families will exhaust their benefits so quickly. Many recipients will have been off AFDC for short periods, so will not accumulate 24 months of receipt in a 24-month period. In addition, people already on AFDC when time limits were implemented were typically not subject to the time limits (i.e. "the clock did not start ticking") until their next redetermination. As indicated on this chart, based on their waivers Florida and Connecticut are the first states in which some families will begin to reach termination time limits. In both states, the time limits were first implemented in limited areas, so the number of families reaching the limits will be quite small at first. Oregon has the first program with time limits operating statewide in which families will reach termination time limits, in August 1997. Under the terms of its waiver, no more than 1 percent of the Oregon caseload or 400 cases may receive a "good faith" extension to the time limit in any month.

TANF Provision: The new law combines a termination time limit and a work requirement time limit. The law forbids the use of federal funds to provide assistance to a family including an adult who has received assistance for 60 months, or less at state discretion. This time limit begins with implementation of the TANF program, and includes assistance received in another state. States are permitted to exempt up to 20 percent of their caseload from this time limit. States may use their own funds to aid families that have reached the federal time limit and may count such expenditures towards the maintenance of effort requirement.

The law also provides that states must require adults to work after they have received assistance for 24 months, or earlier at state option. States are encouraged to require adults to participate in community service after two months of assistance, if they are not engaged in other work activities, but may opt out of this provision if the Governor so informs HHS by August 22, 1997.

Table II.A, States with Time Limit Waivers

Termination Time Limit	Work Requirement Time Limit	Reduction Time Limit
Connecticut Delaware Florida Hawaii Illinois Iowa Louisiana Nebraska North Carolina Ohio Oregon South Carolina Tennessee Virginia Wisconsin	California Delaware Colorado Georgia Illinois [Maryland] Massachusetts Michigan Missouri Montana New Hampshire North Dakota Oklahoma South Dakota Vermont	Arizona Indiana Texas Washington

Table II.B, Section 1115 Waivers with Time Limits

State	Provisions	Scope	Dates
Arizona	Under Employing and Moving People Off Welfare and Encouraging Responsibility (EMPOWER), adults may only receive AFDC for 24 months in any 60-month period. After the time-limit is reached, children's portion of the grant will continue. Exempted from the time limit are: individuals age 62 and over; disabled and incapacitated adults; and full-time caretakers of disabled dependents. Up to two four-month extensions will be available to allow for completion of an education or training program. In addition, extensions will be granted for six months at a time for individuals who have made a good faith effort to find a job but have been unable to find employment. For adults who reach the time limit, an earnings disregard is available equal to the amount that the grant was reduced due to the time limit.	Statewide	Start: 10/95 End: 9/02
California	Under the California Work Pays Demonstration Project, adults must participate in community work experience for 100 hours per month if they have received AFDC for 22 of the past 24 months. This is not explicitly described as a time limit in the terms and conditions.	Statewide	Amendment approved: 9/95 End: 9/97
Colorado	Under the Colorado Personal Responsibility and Employment Program, two years after being offered an opportunity to participate in JOBS, non-JOBS-exempt adults must be working at least 30 hours per week or actively participating in a JOBS training program. Individuals who refuse to do so can have their needs permanently removed from the AFDC grant.	Five counties: Adams, El Paso, Jefferson, Logan and Mesa.	Start: 4/94 End: 3/99
Connecticut	Under Reach for Jobs First, AFDC receipt is limited to 21 months for households including employable adults (i.e. those subject to JOBS participation). Cases headed by minor parents, and child-only cases where the caretaker relative is not legally responsible for the dependent children are not subject to the time limit. Extensions of six months at a time are available for cases where the adult has made good faith efforts to find work. No extension may be granted to a family where more than one JOBS program violation has been sanctioned.	Statewide (initially New Haven and Manchester areas)	Start: 1/96 (statewide) End: 12/03
Delaware	A Better Chance imposes two-year limit on cash benefits for cases with "employable" adults age 19 and over, as defined by policies to be developed by the state. Families may receive up to two more years of benefits by participating in a pay-for-performance work experience program, or if the adult is working but family income is still below the need standards or 75 percent of the poverty level. Non-time-limited benefits are available for unemployable cases and child-only cases where the adult is not the parent of the child. If participant is determined to have made a good faith effort to find employment, work experience program may continue. HHS is authorized to suspend the time limit if unemployment rate substantially exceeds national average or exceeds 7.5 percent.	Statewide, after a phased implementation	Start: 10/95 End: 9/02
Florida	The Family Transition Program limits AFDC receipt to 24 months in any 60-month period. Exemptions are made for families including: a disabled adult, a full-time caretaker of a disabled dependent person, a caretaker relative whose needs are not included in the grant, a person under 18 who is either in school or working at least 30 hours per week, a parent with a child who is six months old or younger, or a recipient who is 62 years of age or older. The clock will not be stopped when a child is born to a family already subject to the time limit provision. At the time limit, the state will offer transitional employment for those who have diligently completed plans, are unable to find employment and have not voluntarily quit or been discharged for misconduct. The state will assure that the participant has an opportunity to earn at least the amount of the AFDC grant, plus $90. If this can not be achieved through private-sector employment, the state will develop public-sector jobs. Up to two four-month extensions to the time-limit are allowed based on family circumstances. Families at "high-risk"of becoming welfare dependent may receive aid for 36 months in a 72-month period. These are defined as families where the adult: is under 24 years old, does not have a high school diploma or equivalent, and has little or no work history in the past year, or who has received AFDC for 36 of the 60 previous months.	Initially Escambia & Alachua counties. Later expanded to Lee, Duval, Pinellas, St. Lucie, Orange & Volusia counties.	Start: 1/94 End: 12/01
Georgia	In 10 pilot counties, Work for Welfare Project requires adult recipients (not including caretakers in child-only cases) who have received assistance for 24 of prior 36 months to work 20 hours per month in a work experience program for a state, local government, federal agency or nonprofit organization, subject to the availability of work experience slots. If no slots are available, the participant will be assigned to job search. No one may be required to work more hours per month than the number derived by dividing their AFDC grant by the hourly minimum wage. Exemptions for those 60 years old or more, verifiably disabled or incapacitated, caring for disabled household member or a child under age five, currently participating in JOBS (PEACH) or another educational or job training program, or working at least 20 hours per month.	10 counties: Bibb, Cook, Crisp, Dooly, Irwin, Jenkins, Lowndes, Walker, Wayne and White.	Start: between 11/96 and 11/97 Duration: 5 yrs
Hawaii	The Pursuit of New Opportunities Program limits AFDC receipt to 60 months. Child-only cases are exempt, as are cases where, all adult members (including minor parents) are: in a period of incapacity or disability which lasts for at least 30 days, caring for a child under age six, providing in-home care to an ill or incapacitated family member; or over age 60. Extensions are available in three-month increments if the case manager determines the recipient has been making a good faith effort to find a job and has satisfactorily completed all participation requirements. In cases that are subject to the time limit, after two months of aid the maximum grant amount will be reduced by 20 percent. This will not apply to cases headed by minor parents so long as they are attending school to obtain a diploma and are participating in all required educational activities.	Statewide	Start: between 10/96 and 10/97 Duration: 8 yrs
Illinois	Under the Work and Responsibility program, recipients whose youngest child is 13 or older are subject to a time limit of 24 months without countable earned income. Recipients who fail to find employment within the first year of AFDC receipt must accept up to 60 hours per month of work subsidized by the AFDC grant. Recipients who are incapacitated or needed in the home to care for an incapacitated individual are exempt. Once a recipient is assigned to the time-limited program, the birth of a child will not exempt the recipient from the time limit. Families that reach the time limit will be ineligible to apply for further assistance for two years. Extensions will be available to recipients who are unable to find or maintain work that pays at least equal to the maximum AFDC benefit for a family of that size, plus the appropriate work deductions, if they have significantly complied with all program requirements and have not voluntarily quit a job. Child-only cases are not subject to the time limit. Under "Get a Job," applicants whose youngest child is over four but under 13 and who have a high school diploma or recent work experience will be assigned to job search for up to six months. After six months, they may be required to participate in community work experience or assigned to a short-term training slot.	Statewide	Start: 10/95 End: 9/00
Indiana	Under the Indiana Manpower, Placement and Comprehensive Training (IMPACT) program, AFDC receipt is limited to 24 months for adults who are not JOBS-exempt. IMPACT eliminates the JOBS exemptions for recipients living in rural or hard-to-access areas and those employed 30 or more hours per week and reduces the age up to which a parent may receive an exemption for child care from age three to under 12 weeks. This change will be phased in over an 18-month period starting with the implementation date of the amendments. An assistance unit may earn one month of additional AFDC benefits for each period of six consecutive months during which a recipient was employed full-time. A month during which a recipient is ineligible due to a program sanction will be counted as a month of AFDC receipt, and may not be counted as a month of employment. Extensions will be available for up to one year at a time if the adult has substantially complied with the requirements of her self-sufficiency plan but: a) the state has substantially failed to provide the specified services; or b) she has not been able to find a job in spite of all appropriate efforts.	Statewide (initially limited to 12,000 adult recipients)	Start: 4/95 End: 6/02
Iowa	Under the Family Investment Plan, parents and other adults included in the assistance unit must develop a self-sufficiency plan which includes individually based time frame for achieving self-sufficiency. Exemptions are available for persons with a child under 3 months, those working at least 30 hours per week, and those who are disabled and unable to participate. Participants unable to achieve self-sufficiency, but demonstrating effort and satisfactory performance, will have their time frames extended; those failing to do so, or choosing not to develop a plan, will have their family's AFDC benefits reduced for three months and then eliminated. They cannot reapply for another six months. (Under original terms and conditions, benefits were phased out over a period of six months.)	Statewide	Start: 10/93 End: 9/98
Louisiana	The Louisiana Individual Responsibility Project limits AFDC benefits to 24 months out of a 60-month period. The time limit does not apply where: the parent is incapacitated or disabled, the parent has been actively seeking employment, job availability is unfavorable, the parent loses a job for factors unrelated to job performance, or the parent requires up to one year to complete employment related education or training. The time-limit does not apply to child-only cases.	Statewide	Start: 1/97 End: 12/02
Maryland	After three months, the Family Investment Plan requires able-bodied recipients to meet a work requirement which may consist of full-time unsubsidized employment, 30 hours of subsidized employment, or a total of at least 20 hours of community service and employment. (This provision was not included when FIP was amended.)	Prince George's and Anne Arundel counties.	This provision was not included when FIP was amended.
Massachusetts	Welfare Reform '95 requires non-exempt adults whose youngest child (who was conceived before start of AFDC receipt) is of mandatory full-time school age to work at least 20 hours per week. Sixty days will be allowed for independent job search prior to imposition of the work requirement, once in a 60-month period. Recipients who can not find work will be placed in a community service position. Initial failure to comply will be sanctioned by a reduction in the grant by the portion attributed to the individual who is required to work. Continued non-compliance can result in full-family sanction. Exempts assistance units in which: the parent is disabled; the parent is essential to the care of a disabled child or spouse; the recipient is in the third trimester of pregnancy; the youngest child in the unit is under the age of two; a child of the recipient under the age of three months is in the household, regardless of whether the child is included in the assistance unit; the parent is under the age of 20 and is attending school (not past high school) full-time; or the adult in the unit is an ineligible grantee, without a legal obligation to support the dependent child(ren). In two-parent households, both parents must qualify for one of the exemptions in order to for the unit to be exempt.	Statewide	Start: 10/95 End: 9/05
Michigan	Under To Strengthen Michigan Families, the penalty for non-compliance with the mandatory Work First program is initially 25 percent of the combined AFDC and food stamp grant, and after one year increases to loss of all AFDC benefits. All AFDC recipients, except VISTA volunteers and minor parents under 16, are subject to the participation requirements. This can be read as equivalent to a one-year work requirement time limit.	Statewide	Start: 10/92 End: 9/99
Missouri	The Missouri Families Mutual Responsibility Plan requires JOBS mandatory applicants and recipients to enter into a self-sufficiency agreement establishing a 24-month time limit on AFDC receipt, to be extended an additional 24 months when necessary to complete a training program. Recipients who reach the time limit will be assigned to job search and work experience under the JOBS program. The state will deny AFDC to an individual who received benefits for at least 36 months and who reapplies after completing a self-sufficiency agreement entered into after July 1, 1997, if the individual was responsible for becoming unemployed. Other eligible members of the family will receive benefits.	Statewide	Start: 4/95 End: 5/00
Montana	Under Families Achieving Independence for Montanans, benefits for adults are limited to 24 months for single-parent and 18 months for two-parent families. Months on assistance are not counted when adult is under age 20 and attending high school or obtaining GED, or caring for a child under age one, or when state-paid child care is not available. Individuals who reach time limit but have not achieved self-sufficiency will be required to participate in Community Services Program for 20 hours per week in order to continue to receive benefits. Communities may define community service to include post-secondary activities. A month during which a recipient is ineligible due to a program sanction will be counted as a month of AFDC receipt.	Statewide	Start: 1/96 End: 12/04
Nebraska	Under Nebraska's Welfare Reform Waiver Demonstration, except for recipients for whom self-sufficiency is not possible because of mental, emotional or physical conditions or who do not have parental responsibility for the children, AFDC receipt will be limited to 24 months in a 48-month period. The time limit will not start for a minor parent who is attending school or pursuing a GED, or for a caretaker relative under age 19. If a child is born during the first ten months of AFDC receipt, the time limit will not begin until the child is six months old. The time limit will be extended for three months upon the birth of a child who was conceived after the family applied for assistance. Extensions will be available if the case manager determines that there are no jobs available to the recipient that would pay as much as the AFDC grant less unearned income, if termination of the grant would result in the family not having sufficient funds for food, shelter and utilities, if the adult members are no longer able to meet the terms of their self-sufficiency agreement, or if the state has not provided the required services.	Two counties in 1995; expanded statewide in 1996	Start: 10/95 End: 9/02
New Hampshire	The New Hampshire Employment Program requires all adults not exempt from JOBS to participate in job search for up to 26 weeks followed by work-related activities for 26 weeks. These cycles will repeat until the recipient is off AFDC.	Statewide	Start: between 7/96 and 7/97 Duration: 5 yrs
North Carolina	Work First limits AFDC receipt to 24 cumulative months. After reaching the time limit, families become ineligible for 36 months. Months when a recipient is exempt from employment and training requirements do not count against the time limit. Exemptions are for: disabled and incapacitated individuals; those needed as caretakers for disabled individuals in the home; parents of a child under five years old (unless the parent is working more than 30 hours per week); individuals under 16 or over 65, 16 and 17-year-olds who are attending school; and individuals who can not participate because the state can not provide child care and reasonable transportation. Extensions will be available to participants who have substantially complied with the personal responsibility contract and have been unable, through no fault of their own, to find employment that pays as much as the AFDC grant. The state will set up local review boards which will make recommendations regarding applications for extensions.	Statewide	Start: between 3/96 and 3/97 Duration: 5 yrs
North Dakota	Under the Training, Education, Employment and Management (TEEM) program, families must develop a social contract specifying a time-limit for becoming self-sufficient and outlining responsibilities and requirements of household members and the agency. If such a contract is not signed within two months, the case will be closed. Agency staff will be given guidelines to help establish reasonable time periods, under which recipients will be classified into three tiers. The first tier will be eligible to receive benefits for up to 24 months, the second will be eligible for up to 42 months, and the third will be eligible for 43 months or more. If a recipient is not employed full-time by the end of the time period specified, she will be placed in a work experience program or granted an extension, based on an evaluation of her circumstances.	10 counties: Adams, Cass, Random, Richland, Sargent, Stark, Steele, Stutsman, Traill, and Williams.	Start: 10/96 End: 9/03
Ohio	Ohio First will limit AFDC eligibility for assistance units headed by adults to 36 months out of an 60 month period. The local county department of human services may exempt up to 15 percent of the county's AFDC recipient population on the grounds that the time limit "would impose a hardship." The time limit will not apply to assistance groups headed by an individual who is exempt from JOBS, or where the head is unable to actively participate in JOBS because she is on a waiting list, or where "other good cause exists." Good cause will include the inability, through no fault of the individual, to find a job that pays as much as the family would receive under AFDC.	Statewide	Start: between 6/96 and 12/96 Duration: 5 yrs
Oklahoma	Mutual Agreement: A Plan for Success (MAAPS) time-limits AFDC receipt by cases with non-JOBS-exempt participants to 36 cumulative months in a 60-month period, followed by mandatory workfare participation of at least 24 hours a week. Extension is allowed for recipients making satisfactory progress in JOBS plan that will be completed within one semester or four months, including post-secondary education if combined with part-time employment. The sanction for refusal to accept a workfare placement is the JOBS sanction: the parent's needs will be removed from the grant, but the children will continue to receive AFDC.	Six counties: Creek, Grady, Jackson, McCurtain, Okmulgee, and Seminole.	Start: 4/96 End: 3/01
Oregon	Oregon Option limits receipt of AFDC to no more than 24 out of 84 months for families with employable parents. Any month in which one parent receives gross earnings in an amount equal to 173 times the hourly minimum wage shall be counted as two-fifths of a month. Time limit does not apply to caretakers other than parents, or to households where the parent is disabled or needed to care for a disabled person. The time-limit may be suspended for up to three months in a two-year period for the care of family members who suffer serious health conditions. The time limit does not apply to a person who is required to participate in JOBS but has not been offered the opportunity to participate in an education, employment or job training program, or to a person who is currently participating in a JOBS activity. No more than 1 percent of the families receiving aid in a month may receive an extension for making good faith efforts to find a job	Statewide	Start: 7/95 End: 6/02
South Carolina	The Family Independence Act time-limits AFDC receipt by families with able bodied adults to 24 cumulative months. Exemptions are available when: the head of the household is mentally or physically disabled; the head of the household is providing medically required full-time care for a disabled individual; the case head is under 18 and has not completed high school; child-only cases where the head of household is not the parent of the child; when the adult is providing a home for an abandoned child and the alternative is foster care; and when child care or transportation is not reasonably available. Extensions will be allowed of up to six months for a training program and up to 12 months for individuals who have made good faith efforts but can not find a job that pays equal to their AFDC benefits. When a family reaches the time limit, if the parent requests an extension, the state may require the family to relocate in order to accept a job offer in another part of the state. The state will provide relocation assistance, including funds for moving expenses, housing search, child care and rent for the first month. This provision would only apply to families living in counties where the unemployment rate is 50 percent higher than the rest of the state. The state will consider good cause exceptions.	Statewide	Start: between 6/96 and 6/97 Duration: 7 yrs
South Dakota	Under the Strengthening South Dakota's Families Initiative, all JOBS exemptions are eliminated except those for recipients with a disability or those needed at home to care for disabled family members. All other adults will be assigned either to a 24 month employment-readiness track or to a 60 month training track. At end of this period, adults who are not employed at least 30 hours per week, must perform 30 hours of approved volunteer service each week (fewer if good cause shown). Failure to comply results in JOBS sanction.	Statewide	Start: 4/94 End: 3/99
Tennessee	Families First imposes time limits on AFDC receipt of 18 consecutive months and 60 cumulative months. After receiving AFDC for 18 months, a household must wait at least three months before re-applying, unless the caretaker was employed at the end of the 18 month period, and lost her job through no fault of her own. An assistance unit which loses eligibility for any reason prior to the 18-month time limit may reapply without any waiting period, except that a unit that loses eligibility due to a work requirement or child support sanction will not be eligible to re-apply until after the sanction period ends. Extensions may be granted for one month at a time, up to a maximum of six months, to all families residing in economic hardship counties and in substantial compliance with their plans. Extensions will also be granted to assistance units who are in compliance with their plans, have been in substantial compliance for the entire current period of eligibility, have income less than the payment standard plus $90, and are not currently refusing employment without good cause. The following are reasons for exemption from the time limits: case does not include an eligible adult (unless the adult is excluded as a result of a sanction); the caretaker is age 60 or older; the caretaker is disabled; the caretaker must provide at-home care for a related household member who is disabled and requires full-time care; the adult has a functional literacy level of 8.9 or less, so long as the adult is enrolled at least 20 hours per week in an approved GED/ABE program and is making satisfactory progress or it has been determined that such a program is inappropriate due to a learning limitation.	Statewide	Start: between 9/96 and 9/97 Duration: 11 yrs
Texas	Under Achieving Change for Texans (ACT), AFDC receipt will be time-limited to 12, 24, or 36 cumulative months for all caretakers and second parents in AFDC-UP cases who are required to participate in JOBS, depending on the education and job experience of recipient. Time on AFDC will not be counted towards the limit while individual has good cause for nonparticipation in JOBS. Individuals who reach the time limits may not receive cash benefits for a five-year period. Extensions of up to six months at a time are available for severe personal hardship, or in cases where the state failed to provide supportive services, or in high-unemployment areas. The children will continue to be eligible for benefits.	Statewide	Start: 4/96 End: 6/02
Vermont	The Family Independence Project requires participation in subsidized employment after 30 cumulative months for single parent and AFDC-I families, and 15 cumulative months for two-parent (AFDC-UP) families. Community service will be on grant diversion, pay-for-performance model. Hours of service will be determined by dividing the grant amount by the minimum wage, but single parents and AFDC-I parents with a child under age 13 may not be required to work more than 20 hours a week. Parents in two-parent households and single parents and AFDC-I parents with no children under age 13 may be required to work up to 40 hours per week. Cumulative time on AFDC is reduced by six months for each continuous period of intervening non-receipt lasting at least 12 months.	Statewide   As of mid-1995, approximately 60 percent of the statewide eligible caseload was subject to the time-limits.	Start: 7/94 End: 6/01
Virginia	Under the Virginia Independence Program (VIP), AFDC receipt will be time-limited to 24 cumulative months for cases headed by non-exempt caretakers. The following case heads are exempt: individuals under age 16; individuals between 16 and 19 who are enrolled full-time in elementary or secondary schools, including vocational or technical programs (once an individual loses this exemption, she cannot requalify even if she returns to school, unless the case is closed and reopened); individuals incapacitated by a temporary medical condition, as documented by a physician; individuals incapacitated and receiving SSI or S.D. benefits; individuals over the age of 60; the sole caregiver of an incapacitated household member; a parent or caretaker of a child under 18 months (birth of a child excluded under the family cap only exempts the caregiver for six weeks); children receiving AFDC-Foster Care; families where the primary caretakers are not the adoptive or biological parents of the child; and females in their fourth through ninth month of pregnancy. Hardship extensions will be available for up to a year if the unemployment rate in the locality is greater than 10 percent or if the extension will allow the participant to complete a program of employment-related education or training, and for up to 90 days if the individual has been actively seeking employment and is unable to find work that will equal the AFDC cash benefit, or if the individual was fired without good cause. Extensions will not be available if the case head has been sanctioned more than once, or has voluntarily quit a job or rejected an offer of employment, without good cause.	Statewide; will be phased in over 4 years.	Start: 7/95 End: 6/03
Washington	The Success Through Employment Program (STEP) imposes a 10 percent grant reduction for cases with adult AFDC recipients who have received assistance for 48 out of 60 months, and imposes an additional 10 percent grant reduction for every 12 months thereafter. Exemptions are available for recipients who are participating in an unpaid work experience program, incapacitated, caring for an incapacitated household member, are needed in the home to care for a child under three, or are participating satisfactorily in JOBS and no employment opportunities or work experience are available. Once the grant reduction has been imposed, the unit is no longer subject to JOBS sanctions.	Statewide	Start: 1/96 End: 12/05
Wisconsin	Under Work Not Welfare, benefits are limited to 24 monthly payments and 12 months of transition benefits within a 48 month period. Time limits apply to all parents in the budget group and to parents not themselves eligible, with the following exceptions: case is headed by a teen parent subject to learnfare; the case head is a minor; the sole custodial parent or both parents are incapacitated; the parent is caring for an incapacitated person; the sole custodial parent or both parents are on SSI; the case head is a non-legally responsible relative not included in the grant; or the parent is caring for a child under one year of age who was conceived before the group first received WNW benefits. If a child is born more than ten months after beginning of program, there is no exemption from the time limit. After 24 months of payments, no additional cash payments are available for 36 months unless an extension is granted. Extensions may be granted taking into account voluntary quits, cooperation with program requirements, whether state met its obligation to provide services, and whether job opportunities exist. When cash assistance is terminated, rent payments may be provided for an amount no more than the AFDC grant for children, if children would otherwise be at risk for homelessness, and supportive services will continue to be provided through the Children's Services Network.	2 counties: Fond du Lac and Pierce.   These counties contain about 1 percent of the state's total AFDC caseload.	Start: 1/95 End: 12/06

Table II.C, When Will Recipients Begin to Reach Time Limits?

State/Scope	Dates	Time Limit	First Cases Reach Limit	What Happens
Arizona Statewide	Start: 10/95 End: 9/02	24 months in 60 month period	11/97	Adult portion of grant is terminated
California Statewide	Amendment approved: 9/95 End: 9/97	22 months in 24 month period	8/97	Adults must participate in CWEP for 100 hours per month.
Colorado Five counties:	Start: 4/94 End: 3/99	Two years after being offered a JOBS slot.	5/96	Non-exempt adults must be working at least 30 hours per week or actively participating in a JOBS training program.
Connecticut Initially in New Haven and Manchester; later expanded statewide	Start: 9/94 (pilot) 1/96 (statewide) End: 12/03	21 months	6/96 (pilot)   9/97 (statewide)	End of cash assistance
Delaware Statewide	Start: 10/95 End: 9/02	Two years   Two more years	11/97   11/99	Adult must enter pay-after-performance work experience program. End of cash assistance.
Florida Initially Escambia & Alachua counties. Later expanded to 6 more counties	Start: 1/94 End: 12/01	24 months in 60 month period (36 months for "high-risk" cases)	2/96	End of cash assistance. Transitional employment will be offered to for those who have diligently completed plans, are unable to find employment and have not voluntarily quit or been discharged for misconduct.
Georgia Ten counties	Start: between 11/96 and 11/97 Duration: 5 yrs	24 months in 36 month period	between 12/98 and 12/99	Recipients must work 20 hours per month in a work experience program for a state, local government, federal agency or nonprofit organization, subject to availability of work slots.
Hawaii Statewide	Start: between 10/96 and 10/97 Duration: 8 yrs	60 months	between 11/01 and 11/02	End of cash assistance.
Illinois Statewide	Start: 10/95 End: 9/00	12 months   24 months without earnings	11/96   11/97	Recipients whose youngest child is 13 or older must accept up to 60 hours per month of work subsidized by AFDC grant. End of cash assistance; family ineligible to reapply for aid for two years.
Indiana Statewide (initially limited to 12,000 adult recipients)	Start: 4/95 End: 6/02	24 months (additional time may be earned for full-time work)	5/97	Adult portion of grant is terminated.
Iowa Statewide	Start: 10/93 End: 9/98	Individually-based time frame	Unknown	Benefits will be phased out for failure to make satisfactory progress towards self-sufficiency.
Louisiana Statewide	Start: 1/97 End: 12/02	24 months out of 60 month period.	2/99	End of cash assistance.
Massachusetts Statewide	Start: 10/95 End: 9/05	Two months in 60 month period.	1/96	Recipients who can not find work will be placed in a community service position for 20 hours per week.
Michigan Statewide	Start: 10/94 End: 9/99	One year	11/95	After one year of non-compliance with work requirements, penalty increases to loss of all AFDC benefits.
Missouri Statewide	Start: 4/95 End: 5/00	24 months   36 months	6/97   5/98	At the time limit, recipients will be assigned to job search and work experience.   The state will deny AFDC to an individual who received benefits for at least 36 months and who reapplies after completing a self-sufficiency agreement entered into after July 1, 1997, if the individual was responsible for becoming unemployed. Other eligible members of the family will receive benefits.
Montana Statewide	Start: 1/96 End: 12/04	24 months for single parents 18 months for two-parent families	2/98 for single parents 8/97 for two-parent families	Individuals who reach time limit but have not achieved self-sufficiency will be required to participate in Community Services Program for 20 hours per week in order to receive benefits.
Nebraska Two counties in 1995; expanded statewide in 1996	Start: 10/95 End: 9/02	24 months in a 48-month period.	11/97	End of cash assistance.
New Hampshire Statewide	Start: between 7/96 and 7/97 Duration: 5 yrs	26 weeks.	between 2/97 and 2/98	Requires job search for up to 26 weeks followed by work-related activities for 26 weeks. These cycles will repeat until the recipient is off AFDC.
North Carolina Statewide	Start: between 3/96 and 3/97 Duration: 5 yrs	24 months	between 3/98 and 3/99	End of cash assistance. Family becomes ineligible for 36 months.
North Dakota Ten counties	Start: 10/96 End: 9/03	Individually-based time-limit	Unknown	Placement in a work experience program or extension of benefits, based on an evaluation of the recipient's circumstances.
Ohio Statewide	Start: between 6/96 and 12/96 Duration: 5 yrs	36 months out of 60 month period.	between 7/99 and 1/00.	End of cash assistance.
Oklahoma Six counties	Start: 4/96 End: 3/01	36 months in a 60 month period.	5/99	Mandatory workfare participation of at least 24 hours a week.
Oregon Statewide	Start: 7/95 End: 6/02	24 out of 84 months	8/97	End of cash assistance.
South Carolina Statewide	Start: between 6/96 and 6/97 Duration: 7 yrs	24 months	between 7/98 and 7/99	End of cash assistance
South Dakota Statewide	Start: 4/94 End: 3/99	24 or 60 months, depending on recipient's background.	5/96 or 5/99	If adult is not employed at least 30 hours per weeks, must perform 30 hours of approved volunteer service each week (fewer if good cause shown).
Tennessee Statewide	Start: between 9/96 and 9/97 Duration: 11 yrs	18 consecutive months and 60 cumulative months	between 4/98 and 4/99 for continuous recipients	End of cash assistance. After receiving AFDC for 18 months, a household must wait at least three months before re-applying.
Texas Statewide	Start: 4/96 End: 6/02	12, 24, or 36 cumulative months, depending on recipient's background	5/97	Adults who reach the time limits may not receive cash assistance for a five-year period. The children will continue to be eligible for benefits.
Vermont Statewide	Start: 7/94 End: 6/01	15 months for AFDC-UP cases. 30 months for single parents and AFDC-I cases.	11/95 for 15 month group; 3/97 for 30 month group.	Requires participation in subsidized employment. Hours of service will be determined by dividing grant by minimum wage, but single parents (and parents in AFDC-I cases) with a child under 13 may not be required to work more than 20 hours a week, and the principal earner in AFDC-UP cases and single parents (and parents in AFDC-I cases) without a child under age 13 may not be required to work more than 40 hours a week.
Virginia Statewide; will be phased in over four years.	Start: 7/95 End: 6/03	24 months	8/97	End of cash assistance.
Washington Statewide	Start: 1/96 End: 12/05	48 out of 60 months	2/00	Imposes a 10 percent grant reduction for families who have received assistance for 48 out of 60 months, and imposes an additional 10 percent grant reduction for every 12 months thereafter.
Wisconsin Two counties: Fond du Lac and Pierce	Start: 1/95 End: 12/06	24 months	2/97	End of cash assistance. Recipients may not reapply for 36 months unless an exemption is granted. Rent payments may be provided for an amount no more than the AFDC grant for children, if children would otherwise be at risk for homelessness.

 

W: work-requirement time-limit

R: reduction time-limit

T: termination time-limit

 

1996 or earlier	1997	1998	1999	2000 or later
Colorado (W) Florida (W/T) Massachusetts (W) Michigan (W) South Dakota (W)	Arizona (R) California (W) Connecticut (T) Delaware (W) Illinois (W/T) Indiana (T) Maryland (W) Missouri (W) Nebraska (T) New Hampshire (W) Oregon (T) Texas (R) Vermont (W) Virginia (T) Wisconsin (T)	Montana (W) North Carolina (T) South Carolina (T) Tennessee (T)	Georgia (W) Oklahoma (W)	District of Columbia (T) Hawaii (T) Washington (R)

Section 3: Penalties for Subsequent Births

AFDC Requirement: Under the AFDC rules, a family's grant amount was based on the payment standard for a family of a certain size. This means that if a family had a baby, thereby increasing the number of people in the family, the grant amount rose.

 Waivers: Some states have argued that this policy creates a perverse incentive for welfare recipients to have children, making self-sufficiency harder. Moreover, they note, other people who are working do not automatically receive raises when they have children. In response to this argument, 19 states applied for, and received, "family cap" waivers. These waivers allowed states to eliminate, or reduce, the increase in benefits upon the birth of an additional child after the family first began receiving AFDC. A related provision, adopted by some states with family caps and some states without, was eliminating or reducing the exemption from JOBS participation for caring for a young child, when the child was conceived while the family was on AFDC. According to some state proposals, this policy was adopted out of concern that some people might choose to have another child in order not to be subject to work requirements.

Under the terms and conditions of the waivers, family cap provisions did not apply to the first birth by a minor parent who was a dependent child on someone else's AFDC grant. Except in the first state to receive a family cap waiver, all such waivers indicated that the state would make an exception for children of rape or incest. The provisions otherwise varied in a number of details, as shown on Table III. One significant point of variation was that some states applied the family cap to any child conceived after the family began receiving AFDC, even if the family was not receiving any benefits during the month the child is conceived. Seven states specified that the families could keep all child support received in behalf of a child excluded from the assistance unit based on the family cap, and four allowed families to keep a larger portion of earned income in order to provide for the excluded child. The variations among plans are explained in more detail in the footnotes to Table III.

TANF Provision: TANF does not require states to base levels of assistance on the number of people in the family. States therefore have the flexibility to establish any form of family cap they desire, or none at all. States do not have to include the exceptions required as a matter of federal policy in the waivers. At least one state (Wisconsin) has proposed providing a fixed amount per participating adult, regardless of the number of children in the family.

Table III, Family Cap Policies by State

State	No extra benefits(1)	Reduced benefits(2)	Vouchers for some of loss(3)	Reduced JOBS exemption(4)	Increased earnings disregard(5)	Child support passed through(6)	Extends after family is off AFDC(7)	Exempt for rape & incest(8)	Exempt first-time minor parents(9)	Exempt for disabled child(10)	Exempt for child not living with parents(11)	Exempt for contraceptive failure(12)	Exclusion lifted after off AFDC for time(13)
Arizona	X	-	-	-	X	-	X	X	X	-	-	-	-
Arkansas	X	-	-	-	-	-	-	X	X	-	-	-	-
California	X	-	-	X	-	X	-	X	X	-	X	X	-
Connecticut	-	X	-	X	-	-	-	X	X	-	X	-	-
Delaware	X	-	-	-	-	X	-	X	X	-	X	-	-
Florida	X	X	-	-	-	-	-	X	X	-	X	-	-
Georgia	X	-	-	-	X	-	-	X	X	-	-	-	-
Illinois	X	-	-	-	X	-	X	X	X	-	X	-	-
Indiana	X	-	X	X	-	-	-	X	X	X	X	-	-
Maryland	X	-	X	-	-	X	-	X	X	-	X	-	-
Massachusetts	X	-	-	X	-	X	X	X	X	-	X	-	-
Mississippi	X	-	-	-	-	X	X	X	X	-	X	-	-
Nebraska	X	-	-	X	-	X	-	X	X	-	X	-	-
New Jersey	X	-	-	-	X	-	X	-	X	-	-	-	X?
North Carolina	X	-	-	-	-	-	-	X	X	-	X	-	-
South Carolina	X	-	X	-	-	-	-	X	X	-	X	-	-
Tennessee	X	-	-	-	-	-	-	X	X	-	X	-	X
Virginia	X	-	-	X	-	X	X	X	X	-	X	-	-
Wisconsin(14)	X	-	-	X	-	-	X	X	X	-	X	-	-

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The states in the table below do increase AFDC benefits when a child is born to a recipient family, but require the parents to participate in JOBS activities sooner than they would for a child not conceived while the family is receiving AFDC.

State	No extra benefits	Reduced benefits	Vouchers for some of loss	Reduced JOBS exemption	Increased earnings disregard	Child support passed through	Extends after family is off AFDC	Exempt for rape & incest	Exempt for first-time minor parents	Exempt for disabled child	Exempt for child not living with parents	Exempt for contraceptive failure	Exclusion lifted after off AFDC for time
New Hampshire	-	-	-	X	-	-	-	X	-	-	-	-	-
Texas	-	-	-	X	-	-	-	-	-	-	-	-	-
Wyoming	-	-	-	X	-	-	-	-	-	-	-	-	-

1. Most states' family cap provisions deny families an increase in AFDC benefits when a child is born more than 10 months after the family applied for AFDC. For cases that had begun AFDC receipt before this provision was enacted, family cap applies 10 months after family is notified of the new provision. Georgia applies its family cap only after a family has received AFDC for 24 months or more.

2. Connecticut limits the benefit increase for a child conceived while family is receiving AFDC to one-half of the average benefit increase for an additional child. Florida provides a benefit increase of one-half of the maximum allowable increase, for the first child born to AFDC family (including all such children in a multiple birth). For a second or subsequent child, there is no increase in the AFDC cash benefits.

3. Maryland and South Carolina provide vouchers for goods and services worth up to the amount of the benefit increase that would otherwise be available. Indiana provides a voucher worth up to half of the benefit increase.

4. Under the JOBS program, parents with children under a certain age (between 1 and 3, at state option) are exempt from participation requirements. States with a "reduced JOBS exemption" do not give as long an exemption to parents who have an additional child while on AFDC. In California, the exemption is lowered to 4 months from 3 years. Connecticut does not provide a JOBS exemption when a child conceived on AFDC is born. Indiana lowers the exemption to 12 weeks. (The regular JOBS exemption is also being lowered from 3 years to 12 weeks, but in stages.) In Massachusetts, the age is lowered to 3 months from 2 years. In Nebraska, the age is lowered to 3 months from 6 months. In New Hampshire and Wyoming, the age is lowered to 13 weeks from 1 year. Texas provides a one-time only JOBS exemption for taking care of child under age 5. In Virginia, the age is lowered to 6 weeks from 18 months. In Wisconsin, there is no exemption from the time limit for the birth of a child conceived while on AFDC, and only a 6 month exemption from the work requirement.

5. These states allow families with earned income to keep more of their earnings in order to compensate for the benefits they are denied as a result of the family cap. Arizona and Georgia use fill-the-gap budgeting for the amount of the family cap, while New Jersey gives the family an additional 50 percent earned income disregard.

6. These states allow families to keep all child support collected on behalf of the child who is excluded from benefits as a result of the family cap.

7. In these states, children born after a family is off of AFDC can be denied benefits if the family later returns to AFDC. In Arizona, a child conceived within 12 months of leaving AFDC will be excluded unless the family remains off for 60 months. In Illinois, the family cap applies to a child conceived while the family was off of AFDC for less than 3 months. In Massachusetts and Mississippi, the family cap applies to children conceived within 12 months of the family leaving AFDC. In New Jersey, the family cap is not lifted unless the family is off of AFDC for at least 90 days for earnings or at least 12 months for any reason. In Virginia and Wisconsin, the family cap applies to children born within 6 months of the family's leaving AFDC.

8. In every state that has received authority for a family cap except New Jersey, the terms and conditions of the waiver state that children who are conceived as a result of rape or incest are not subject to the family cap.

9. In every state that has a family cap, an exception is made for the first birth to a minor parent who is receiving AFDC as a dependent child.

10. One state, Indiana, makes a humanitarian exception for a child who is mentally or physically disabled.

11. 11. Most states with family caps make an exception for a child not living with his or her parents. In many cases, legal custody of the child must have been transferred, or the child must be unable to live with his or her parents due to their death, disability, incarceration or institutionalization. Wisconsin's waiver allows the state to restrict the exemption if, after two years, a study finds that a significantly higher fraction of children subject to the benefit cap are living outside their parents' household than children in the control group.

12. This exemption only applies when the conception is due to the failure of a contraceptive that does not require action on the part of the patient -- intrauterine devices, Norplant, or sterilization of either partner.

13. Tennessee and possibly New Jersey allow a child previously denied cash assistance to receive benefits if the family stays off of AFDC for a sufficient period before returning.

14. Wisconsin information is based on statewide AFDC Benefit Cap waiver; similar family cap provisions are also contained in Parental and Family Responsibility and Welfare Not Work waivers.

Section 4: Earnings

AFDC Requirement: Under the AFDC rules, all recipients who worked were entitled to a $90 work expense disregard. In addition, for the first four months of AFDC receipt, the next $30 of earned income, plus one-third of the remainder, was disregarded in calculating eligibility and benefits. After four months and until one year, only the $30 disregard continued. After one year, there was no earned income disregard. This meant that after one year of AFDC receipt, if a recipient got a job, her grant amount was reduced by one dollar for every dollar that she earned above the amount set aside to cover her work expenses.

 

Waivers: Many states came to the conclusion that the termination of the earned income disregard after a short period removed the economic incentive for AFDC recipients to work. Therefore, as part of a general move to "make work pay," 32 states adopted changes to the earned income disregard. These changes, summarized in Table IV ranged from removing the time limit on the $30 and one-third disregard, to disregarding all income up to the poverty line. Although these disregards were costly in the short-term, the hope was that by promoting work, they would enable recipients to leave AFDC, saving money in the long run.

TANF Provision: TANF does not require states to adopt any particular earned income disregards. States may provide more or less generous disregards than under the AFDC program. The only requirement is that states have objective criteria for determining who is eligible.

Table IV, Section 1115 Waiver Modifications to Earned Income Disregards

(as of August 22, 1996, the date of enactment of P.L. 104-193, the Personal Responsibility and Work Opportunity Reconciliation Act of 1996)

State	Flat Earnings Disregard	Percentage Earnings Disregard	Comments	Scope	Dates
California	$120	33.33%	None	Statewide	Start: 10/92 End: 9/97
Colorado	$120	58%	For recipients only, not new applicants. Increases gross income limit to 130% of federal poverty guideline.	Five counties	Start: 4/94 End: 3/99
Connecticut	$90	100%	For applicants and recipients who have not received aid in the past four months For applicants and recipients who have received aid in the past four months and are subject to the time limit. Fill-the-gap budgeting for non-time-limited applicants and recipients who have received assistance in the past four months only. Eliminates gross income limit.	Statewide	Start: 1/96 End: 12/03
Delaware	N/A	None	Fill-the-gap budgeting for recipients only.	Statewide, after phase-in.	Start: 10/95 End: 9/02
Florida	$200	50%	None	Eight counties	Start: 1/94 End: 12/01
Hawaii	$200	20% before fixed 36% after fixed	Increased disregards do not take effect until family has received assistance for two full months.	Statewide	Start: between 10/96 and 10/97 Duration: 8 yrs
Illinois	N/A	66.67%	For families that are otherwise eligible. Eliminates gross income limit.	Statewide	Start: 10/93 End: 9/97
Indiana	N/A	None	For recipients, but not applicants, raises the gross income limit to the federal poverty guideline. Under initial pilot project, froze AFDC benefits for 24 months for working recipients at the benefit level in effect upon entry into employment.	Statewide	Start: 4/95 End: 6/02
Iowa	N/A	20% first 50% after all other deductions	For first four months of employment, disregards all earnings of individual who had less than $1200 in earnings for the 12 months before employment began.	Statewide	Start: 10/93 End: 9/98
Kansas	$90	40%	None	Statewide	Start: between 9/96 and 8/97 Duration: 7 yrs
Maryland	N/A	20%	Eliminates gross income limit	Statewide	Start: 10/96 End: 9/01
Massachusetts	$120 $120	50% 33.33%	For non-exempt recipients. For exempt recipients who have received aid within the previous four months.	Statewide	Start: 10/95 End: 9/05
Michigan	$200	20%	Replaces fill-the-gap policies.	Statewide	Start: 10/92 End: 9/99
Minnesota	N/A	38%	Benefit level is set equal to the maximum grant (AFDC plus food stamps) increased by 20 percent, less net income, but may not exceed the maximum grant. Eliminates gross income limit.	Eight counties	Start: 4/94 End: 3/99
Mississippi	$120	33.33%	Fill-the-gap budgeting without ratable reduction. (Outside of the pilot project, the AFDC grant is 60 percent of the difference between the need standard and countable income.)	Leflore and Oktibbeha Cos.	Start: 10/95 End: 9/00
Missouri	$30	33.33%	For up to 48 months.	Jackson county (certain zip codes)	Start: 1/93 End: 1/05
Montana	$200 $100	25%	For recipients in unsubsidized jobs. For recipients in Community Service Program.	Statewide	Start: 1/96 End: 12/04
Nebraska	N/A	60%	For participants who elect the "high-disregards" options.	Two counties, then statewide	Start: 10/95 End: 9/02
New Hampshire	N/A	50%	Eliminates gross income limit.	Statewide	Start: between 7/96 and 7/97 Duration: 5 yrs
North Carolina	$120	33.33%	None	Cabarrus County	Start: between 5/96 and 5/97 Duration: 2 yrs
North Dakota	N/A	varies	27 percent is disregarded for work expenses. An increasing percentage of the remainder is disregarded such that benefits reach zero when earnings reach 133 percent of federal poverty guideline.	Ten counties.	Start: 10/96 End: 9/03
Ohio	$250	50%	For 12 months.	Statewide	Start: between 6/96 and 12/96 Duration: 5 yrs
Oklahoma	N/A	N/A	Fill the gap budgeting for earned income only.	Six counties	Start: 4/96 End: 3/01
Oregon	N/A	N/A	Increases gross income limit to 130 percent of federal poverty guideline for JOBS Plus participants.	Statewide	Start: 7/95 End: 6/02
Pennsylvania	$200	30%	For recipients with earnings for two consecutive months. Eliminates the gross income limit.	Lancaster county	On hold by state
Tennessee	$134	N/A	None	Statewide	Start: between 9/96 and 9/97 Duration: 11 yrs
Texas	N/A	N/A	Fill the gap budgeting for families with earned income.	Four counties	Start: 4/96 End: 6/02
Utah	$100	50%	None	Seven counties	Start: 1/93 End: 12/00
Vermont	$150	25%	None	Statewide	Start: 7/94 End: 6/01
Virginia	N/A	100%	Applies to current recipients only, and only until AFDC plus earned income reaches the federal poverty guideline.	To be phased in statewide over four years	Start: 7/95 End: 6/03
Washington	N/A	N/A	Cases whose grants are reduced due to length of stay provisions may earn back the amount they were penalized.	Statewide	Start: 1/96 End: 12/05
Wisconsin	$120 $200	16.67% 50%	Under Work Not Welfare For new applicants under age 20	Two counties Statewide	Start: 1/95 End: 12/06 Start: 7/94 End: 6/99

Section 5: Assets

AFDC Requirement: Under the AFDC rules, AFDC families could have no more than $1,000 in countable assets. Certain assets were not counted towards this limit, including ownership interest in a vehicle of up to $1,500, burial plots, etc.

Waivers: These resource limits were widely considered to be barriers to self-sufficiency since they made it impossible for a family to save for education or home-ownership, or even to pay the deposit on an apartment in a better neighborhood. The limit on the value of a car often forced families to depend upon highly unreliable vehicles, making it difficult to get to training programs or work. Because of these concerns, a large number of states loosened the asset restrictions. As shown on Table V, 25 states received waivers allowing them to increase the asset limit and 32 states received waivers allowing them to increase the value of a car that could be excluded from the asset limit. Some states established higher limits for recipients who are employed or otherwise participating in self-sufficiency activities. In order not to expand the eligible population, some states restricted the increase to recipients, while applying lower limits to new applicants for assistance.

Also shown on Table V, a total of 18 states received waivers authorizing them to disregard assets held in a restricted account, often called an "Individual Development Account." Each state had different rules regarding the uses to which these accounts may be spent, but they were typically restricted to such purposes as education or training, starting a business, or purchasing a home. Some states allowed funds to be withdrawn for emergencies. A few states required that employers of recipients participating in subsidized work programs pay their workers an additional amount that was deposited in a restricted account.

TANF Provision: Under the TANF program, there are no federal provisions regarding asset limits, including vehicle exclusions. States have full authority to set these limits higher or lower than they had been under the AFDC program. The only requirement is that states have objective criteria for determining who is eligible.

The TANF law explicitly addresses Individual Development Accounts (IDAs). States may use TANF funds to support the establishment of IDAs. Funds deposited into an IDA must be derived from earned income, and can only be withdrawn for postsecondary educational expenses, first-time homeownership, or business capitalization.

Table V, Section 1115 Waivers Affecting Resource Restrictions

State	Asset Limit	Vehicle Exclusion	Restricted Accounts	Scope	Dates
Alabama	$2,000	N/A	N/A	Clarke, Limestone, and Madison cos.	Start: 5/90 ongoing
Arizona	N/A	N/A	Recipients may deposit up to $200/month (with 50% of earned income and all unearned income disregarded) into Individual Development Accounts to be used for education and training. Up to $9,000 in IDA will not be counted towards the resource limits. Overall, no more than $12,000 may be deposited in an IDA over the life of the program.	Statewide	Start: 10/95 End: 9/02
California	$2,000	$4,500	Recipients may place up to $5,000 in restricted accounts, which may only be used for a child's education or training, for starting a business, or for purchasing a home, and which do not count against the resource limit. Interest earned on such accounts will not count as income.	Statewide	Start: 4/94 End: 9/97
Colorado	$2,000 for non-employed; $5,000 if working within six months	One car	N/A	Adams, El Paso, Jefferson, Logan and Mesa cos.	Start: 6/94 End: 5/99
Connecticut	$3,000	One car	Assets held in the name of a dependent child which are set aside for the future educational expenses of the child are not considered as an available resource, and interest earned on such accounts will not be considered as income.	Statewide	Start: 10/94 End: 12/03
Delaware	N/A	$4,500	Up to $5,000 may be deposited into Educational and Business Investment Accounts, which do not count against the resource limit. Withdrawals must be for approved purposes, as specified in state policies.	Statewide, after a phased implementation	Start: 10/95 End: 9/02
Florida	$5,000	$8,150	N/A	Eight counties	Start: 5/94 End: 4/02
Georgia	N/A	Up to the Food Stamp limit (now at $4,600)	N/A	Statewide	Start: between 11/95 and 10/96 Duration: 5 yrs
Hawaii	$5,000	One car	N/A	Statewide	Start: between 10/96 and 10/97 Duration: 8 yrs
Illinois	$3,000	N/A	N/A	Pilot project for homeless families only.	Start: 11/93 End: 10/97
Indiana	$1,500	N/A	N/A	Initially 12,000 families; now statewide.	Start: 5/95 End: 4/02
Iowa	$2,000 (for applicants) $5,000 (for recipients)	$3,000 (to be adjusted by CPI)	Income deposited in Individual Development Accounts (IDAs) will not be counted as income and funds in IDA are not counted toward the asset limit. These funds may only be withdrawn for education, training, home ownership, business start-up or family emergencies.	Statewide	Start: 10/93 End: 9/98
Kansas	N/A	One car	N/A	Statewide	Start: between 9/96 and 8/97 Duration: 7 yrs
Maine	N/A	One car	N/A	Statewide	Start: between 6/96 and 6/97 Duration: 5 yrs
Maryland	$2,000	One car	An additional $2,000 resource limit is allowed for each child with earnings, if each child's assets are kept in a separate account.	Statewide	Start: 10/96 End: 9/01
Massachusetts	$2,500	$5,000	Individual Asset Accounts (IAAs) funded by employers as part of the "Full Employment Program" will not be counted for AFDC, food stamp or Medicaid program eligibility while they are unavailable to participant. Participants can not withdraw funds from IAA until they leave the Full Employment Program or have participated for 12 months. However, if the IAA becomes available to the grantee before case closes, it will be treated like any other countable asset.	Statewide	Start: 10/95 End: 9/05
Michigan	N/A	One car	N/A	Statewide	Start: 10/94 End: 9/99.
Minnesota	$2,000 (in MFIP counties only)	Set at the Food Stamp limit (now at $4,600)	Disregards savings of dependent children and minor parents that is deposited into an identified separate savings account. Allowable purposes are defined by state policy (AFDC Barrier Removal)	MFIP: Eight counties; ABR: rest of state.	MFIP Start: 4/94 MFIP End: 3/99   ABR Start: btwn 10/96 and 10/97 duration: 5 yrs
Mississippi	N/A	N/A	Under Work First, funds in an "Individual Development Account" do not count towards the resource limit. Employers must contribute $1 per hour worked, after the first 30 days, to recipients' IDAs, up to a maximum of $1,000. These accounts are only available to recipients after case is closed because of earnings.	Adams, Harrison, Jones, Lee, Hinds, and Washington counties	Start: 10/95 End: 9/00
Missouri	$5,000	One car plus $1,500 of a second car	N/A	Statewide	Start: 6/95 End: 5/00
Montana	$3,000	One car (and other income-making vehicles)	N/A	Statewide	Start: 1/96 End: 12/03
Nebraska	$5,000	One car	N/A	Two counties in 1995; statewide in 1996	Start: 10/95 End: 9/02
New Hampshire	$2,000 for recipients and applicants who have received AFDC within 6 months	One vehicle for each parent or caretaker.	N/A	Statewide	Start: between 7/96 and 7/97 Duration: 5 yrs
North Carolina	$3,000	$5,000	N/A	Statewide	Start: between 3/96 and 3/97 Duration: 5 yrs
North Dakota	$5,000 for single recipient; $8,000 for households with 2 or more recipients.	One car	N/A	N/A	N/A
Ohio	N/A	Up to the Food Stamp limit (now at $4,600)	N/A	Statewide	Start: between 6/96 and 12/96 Duration: 5 yrs
Oklahoma	N/A	$5,000	N/A	Six counties	Start: 6/96 End: 5/01
Oregon	$2,500 for JOBS non-participants and $10,000 for participants	$9,000	After a JOBS Plus participant has worked in a subsidized employment position for 30 days, the employer will contribute $1 for each hour of work to an Individual Education Account. These funds will be available to the participant and his/her immediate family for education and training once he or she begins working in a non-subsidized position.	Statewide; JOBS Plus is limited to six counties.	Start: 7/95 End: 6/00
Pennsylvania	$2,000 initially; $5,000 after three consecutive months with earnings	$7,500	Recipients may deposit funds into restricted savings accounts to be used exclusively for educational purposes. Funds in these accounts, and the interest earned in them, will not be counted as an available resource.	Lancaster County	On hold by state
South Carolina	$2,500	$10,000	Disregards from income up to $10,000 in lump sum payments deposited in an Individual Development Account (IDA) within 30 days of receipt. Does not count as resources the balance in an IDA up to $10,000.	Statewide	Start: between 6/96 and 6/97 duration: 7 yrs
South Dakota	N/A	Regular exemption, plus second car worth up to $2,500 owned by dependent child	Disregards up to $1,000 in a dependent child's savings account and if the child is at least a part-time student and some of funds came from student's earnings. Similar restrictions apply to the second car.	Statewide	Start: 6/94 End: 5/99
Tennessee	$2,000	$4,600	Allows recipients to deposit up to $5,000, and to receive up to $5,000 in matching funds for deposit, in an Individual Development Accounts for education, small business development, home ownership or transportation need. IDAs are not counted as a resource for AFDC, food stamps or Medicaid. To be eligible, recipients must be part of a group that meets at least twice monthly for support, training and technical assistance.	Twelve counties: six urban, six rural	Start: between 9/96 and 9/97 duration: 11 yrs
Texas	$2,000 ($3,000 if elderly or disabled)	To conform with Food Stamp rules $4,600 (to be adjusted yearly)	Allows recipients to establish Individual Development Accounts of up to $10,000 for education, business start-up costs, home ownership or medical expenses. IDAs will not affect AFDC or food stamp benefits.	Statewide; IDAs are limited to Lubbuck, Gregg, Harrison and Upshur counties	Start: 4/96 End: 6/02
Utah	$2,000	One car	N/A	Seven counties	Start: 1/93 End: 12/00
Vermont	N/A	One car	Value of assets saved from earnings previously counted as income will be disregarded.	Statewide	Start: 7/94 End: 6/00
Virginia	N/A	One car (for participants in WRP positions) $7,500 (VIEW)	Recipients may save up to $5,000 in special accounts to be used for education or downpayment on a residence. These funds will not be counted towards the resource limit and interest earned will not count as income. (WRP; VIEW amendments incorporate this provision and add starting a business and buying a vehicle as allowable uses)	Statewide	WRP Start: 7/94 WRP End: 6/01 VIEW Start: 7/95 End: 6/03
Wisconsin	N/A	$2,500	Once eligible for AFDC, recipients will be allowed to open a special resource account of up to $10,000, which will not count towards the asset limits. Interest earned on this account will not count as income. Withdrawals from the account will not be counted as income or resources if they are used for the education of the recipient or her children, or for "improving the employability" of a family member, but will be counted as income if they are made for other purposes. Up to $200 per 12-month period may be withdrawn for emergency expenses and not counted as income or resources.	Statewide	Start: 1/95 End: 12/99
Wyoming	$2,500 if employed, and for three months after losing job	N/A	N/A	Campbell, Carbon, and Natrona cos.	Start: 9/93 End: 8/98

Section 6: Child Care and Medical Coverage

AFDC Requirement: Under the AFDC program, recipients were entitled to one year of transitional Medicaid and one year of transitional child care (TCC) when they lost AFDC eligibility due to increased earnings from work. Families who lost eligibility due to collection of child or spousal support were entitled to four months of transitional Medicaid. In order to prevent families from going on welfare for a short period of time in order to become eligible for these transitional benefits, only families who had been on AFDC for at least three of the preceding six months were eligible for transitional assistance. During the first six months of transitional Medicaid coverage, states were required to provide the same coverage the family had received while on AFDC, and could not charge premiums. During the second six months, states were allowed to limit the scope of coverage or to impose premiums (limited to 3 percent of gross income) on families.

Waivers: A total of 22 states received waivers expanding eligibility for the transitional child care program, and 23 states received waivers expanding eligibility for transitional Medicaid. As shown on Table VI, the most common provision was to increase the length of time during which a former recipient could receive transitional assistance. States applied for these waivers because the loss of health and child care benefits were seen as major problems which often forced poor families back on to welfare. One year was simply not long enough for many former recipients to get established in jobs that offer medical benefits and pay enough that workers can afford unsubsidized child care. Other waivers removed the three of six months requirement, in order to encourage families to begin seeking employment immediately, rather than choosing to remain on welfare for long enough to qualify for transitional benefits. With the adoption of time limits on assistance, a few states also received waivers to provide transitional assistance to families who lost eligibility for reasons other than earnings, but who needed child care or medical benefits in order to work.

TANF Provision: There are no changes in the transitional Medicaid program. States that wish to provide extended transitional Medicaid benefits for beyond 12 months must receive (or continue) a federal waiver in order to do so.

The new law removes the entitlement to child care assistance, both for current TANF recipients and for people transitioning from TANF to work. The funds previously restricted to these populations are combined with the Child Care and Development Block Grant to create a pool of funding that may be used to provide child care to welfare recipients, people transitioning off welfare, and the working poor. Since in most states the demand for subsidized child care exceeds the funding available, states will have to develop priorities for determining which populations receive assistance. At least 70 percent of the funds from the source that used to fund child care for current and former AFDC recipients must be spent on current or former TANF recipients or on low-income working families at risk of become TANF recipients. States may spend TANF funds on child care directly and may also transfer a portion of their TANF into the child care funding pool; when funds are transferred, they are no longer subject to TANF restrictions (e.g. on the duration of assistance), but become subject to child care requirements (e.g. on standards for the quality of child care provided).

Table VI, Section 1115 Waivers Affecting Transitional Child Care and Medicaid

State	Transitional Child Care	Transitional Medicaid	Scope	Waiver Dates
Arizona	Extended to 24 months.		Statewide	Start: 10/95 End: 9/02
California	Available to families who become ineligible due to increased assets or income resulting from marriage or reuniting of spouses.		Statewide	Start: 4/94 End: 9/97
Colorado	N/A	Waives quarterly reporting and requirement that recipients have received AFDC for three of six months.	Adams, El Paso, Jefferson, Logan and Mesa counties	Start: 4/94 End: 3/99
Connecticut	Provided on a sliding-scale fee basis for as long as income remains below 75 percent of state median income. Provided to those who become employed within six months of losing AFDC eligibility for any reason.	Extended to 24 months. Provided to those who become employed within 6 months of losing AFDC eligibility for any reason.	Statewide	Start: 1/96 End: 12/03
Delaware	Provided for an additional 12 months beyond the base 12 months for families with incomes below 155 percent of federal poverty level.	Extended to 24 months for families with incomes under level established by state (not to exceed the federal poverty level).	Statewide, after a phased implementation by county.	Start: 10/95 End: 9/02
Florida	Provided for 24 months. Available to recipients who voluntarily leave AFDC due to increased earnings.	A six- to 12-month transition benefit is available to those whose cases are closed due to time limit, and to recipients who voluntarily leave AFDC due to increased earnings.	Initially in Escambia and Alachua cos. Expanded to Lee, Duval, Pinellas, St. Lucie, Orange and Volusia cos.	Start: 1/94 End: 12/01
Illinois	Extended to 24 months. Waives requirement that recipients have received AFDC for three of six months.		Homeless families in pilot program.	Start: 11/93 End: 10/97
Indiana	Limited to a cumulative total of 12 months. Restricted to families whose income is less than 133 percent of the federal poverty line.	N/A	Statewide	Start: between 9/96 and 9/97 End: 4/02
Iowa	Extended to 24 months.	N/A	Statewide	Start: 10/93 End: 9/98
Maine	Expands eligibility for transitional child care and Medicaid to individuals who have received AFDC in one of the last three months prior to the first month of ineligibility due to employment from up-front job search activities.		Statewide	Start: Between 6/96 and 6/97 Duration: 5 yrs
Maryland	N/A	Medicaid will be provided for 12 months without monthly reporting or income testing requirements.	Statewide	Start: 10/96 End: 12/99
Massachusetts	N/A	Transitional Medicaid will automatically be extended from six months to 12 months, without income reporting, when benefits are canceled due to earnings.	Statewide	Start: 11/95 End: 10/05
Minnesota	Under Work First waiver, waives requirement that recipients have received AFDC for three of six months.		Clay and Carver counties	Start: between 10/96 and 10/97 Duration: 5 yrs
Mississippi	Under Work First component, waives requirement that recipients have received AFDC for three of six months.		Adams, Harrison, Jones, Lee, Hinds, and Washington cos.	Start: 10/95 End: 9/00
Montana	Waives requirement that recipients have received AFDC for three of six months. Recipients are eligible for TCC if income from any source results in AFDC ineligibility and they received aid for at least one month. To the extent that funding is available, child care will be provided for more than 12 months.	Waives requirement that recipients have received AFDC for three of six months. Recipients are eligible if ineligibility is due to income from any source. A reduced Medicaid assistance package is provided to adult recipients after six months unless they are pregnant.	Statewide	Start: 1/96 End: 12/03
Nebraska	Under the time limited programs, extended to 24 months.	Under the time limited programs, extended to 24 months. After six months, recipients may be required to pay for a portion of Medicaid premiums or to co-pay for care.	Two counties in 1995; statewide in 1996	Start: 10/95 End: 9/02
New Hampshire	N/A	Waives requirement that recipients have received AFDC for three of six months.	Statewide	Start: Between 7/96 and 7/97 Duration: 5 yrs
New Jersey	N/A	Transitional Medicaid is provided for 24 months. Quarterly reporting after six months is not required.	Statewide	Start: 10/92 End: 9/97
Ohio	Provides additional six months of transitional child care.	N/A	Ten counties.	Implementation status unknown.
Oregon	Waives requirement that recipients have received AFDC for three of six months. Up to 12 months of TCC may be provided to anyone who becomes employed after applying for or receiving AFDC and whose income is below a state-set ceiling.	N/A	Statewide	Start: 7/95 End: 6/00
Pennsylvania	Child care providers will receive direct payments up to the local rate ceiling.	Medicaid will be provided to families whose cases close because of earned income up to 235 percent of poverty. Transitional Medicaid for families whose cases close due to receipt of child support will be extended to 12 months. Waives requirement that recipients have received AFDC for three of six months.	Lancaster County	On hold by state.
South Carolina	Provided for up to 24 months and without regard to requirement that recipients have received AFDC for three of six months for families with income up to the federal poverty line. Benefits are only available to families who lose AFDC eligibility due to the time limit when they earn enough that they would have lost eligibility regardless.	Provided for up to 24 months and without regard to requirement that recipients have received AFDC for three of six months for families with income up to the federal poverty line. Benefits are only available to families who lose AFDC eligibility due to the time limit when they earn enough that they would have lost eligibility regardless. Continues Medicaid eligibility for up to 90 days after termination of AFDC benefits due to removal of child from home because of abuse or neglect, if recipient is participating in substance abuse treatment.	Statewide	Start: 10/96 End: 9/03
Tennessee	Provided for 18 months when caretaker is employed and income is below state-established level (60 percent of median income or higher). TCC is provided regardless of reason for case closure, except for non-cooperation with child support. Waives requirement that recipients have received AFDC for three of six months.	Provided for 18 months. Waives requirement that recipients have received AFDC for three of six months.	Statewide	Start: 9/96 End: 8/07
Texas	30 days of TCC will be available for job search purposes for individuals reaching the time limit. Up to eight weeks of TCC will be available to individuals who need to complete JOBS educational or training activities. Up to 12 months of TCC will be available to individuals who find jobs after exhausting time-limited benefits.	N/A	Statewide	Start: 6/96 End: 5/02
Utah	Waives requirement that recipients have received AFDC for three of six months. Former recipients are eligible for TCC and Medicaid if income from any source (not just earnings) results in AFDC ineligibility.		Beaver, Cedar City, Kane, Kearns, Panguitch, St. George and Roosevelt offices.	Start: 1/93 End: 12/00
Vermont	N/A	Transitional Medicaid extended to 36 months as long as family income does not exceed 185 percent of the poverty line.	Statewide	Start: 7/94 End: 6/02
Virginia	TCC will be provided to families who reach the time limit for up to one year, if such assistance enables the participant to work. (Under pilot program, provides up to 36 months of benefits so long as income is below 150 percent of the federal poverty level, recipients are working at least 30 hours per week, and no other resources for these support services are available.)	Up to a 12 month transitional Medicaid benefit will be provided to families who lose AFDC eligibility for reasons other than earnings, so long as the quarterly income is less than 185 percent of the federal poverty line. Medicaid benefits will be provided without regard to the requirement that recipients have received AFDC for three of six months. (Under pilot program, provides up to 36 months of benefits so long as income is below 150 percent of the poverty level and recipients are working at least 30 hours per week.)	Statewide; time-limits will be phased in geographically over four years.   Pilot program is limited to selected sites.	Start: 7/95 End: 6/03   Pilot program began 7/94 and will last four years.
Wisconsin	Limits transitional benefits to a cumulative total of 12 months during a 48-month period that begins with entry into the time-limited program. Waives requirement that recipients have received AFDC for three of six months if benefits are terminated because of time limit or employment.		Fond du Lac and Pierce Counties.	Start: 1/95 End: 12/05

Section 7: Variations in the Unemployed Parent Program

AFDC Requirement: In order to be eligible for AFDC, a child had to be "deprived" of parental support, generally either by the death or prolonged absence of a parent, or in two-parent families by unemployment of the "principal earner." Unemployment was defined as being employed less than 100 hours in a month (or more if the work was intermittent and the excess was of a temporary nature). Moreover, the principal earner had to show labor force attachment: by having 6 or more quarters of work (participation in education and training could count for up to four quarters, at state option) in any 13-calendar-quarter period ending within one year before application for assistance; or by being eligible for unemployment compensation within one year of application. The principal earner must also have been unemployed for at least 30 days prior to receipt of aid. These restrictions were designed to avoid diverting able-bodied workers from the labor market.

Waivers: States believed that the restrictions on provision of AFDC to families with two parents in the household sometimes had the perverse effect of encouraging families to break up or not to form, because some ineligible impoverished two-parent households would be eligible for the basic (single parent) AFDC program if the father left the household. In addition, once a family qualified for the AFDC-UP (Unemployed Parent) program, the primary earner would be discouraged from taking a low-wage job, since if he worked 100 hours per month, the family would lose eligibility for assistance, even if he was not making very much money.

For these reasons, many states requested and received waivers of some of the restrictions on the AFDC-UP program. As shown on Table VII, 37 states received waivers of the 100-hour rule, 24 states received waivers of the labor force attachment requirement, and 17 states received waivers of the 30-day waiting period. A few states received waivers of the definition of the principal earner. Together, these were the most common AFDC waivers granted.

Until October 1, 1990, the provision of AFDC to families with an unemployed parent was optional. States which did not have AFDC-UP programs in effect at the time the law mandating the unemployed program was enacted were given the option of limiting assistance to as little as six months in a 12-month period. Table VII also shows which states opted to time-limit assistance under the AFDC-UP program 

TANF Provision: TANF does not require that children be deprived of parental support in order to be eligible for assistance. States may choose whether to provide assistance to two-parent families under the same eligibility criteria as single-parent families, or to apply additional restrictions.

Table VII, State Plan Options and Waiver Provisions Affecting the AFDC-UP Program

	Plan Option	Provisions Waived
State	Time limits	100-hour rule	Labor force attachment rule	30-day waiting period	Principal earner rule	Scope	Waiver Dates
Alabama	-	X	X	-	-	Three counties	Start: 5/90 ongoing
Arizona	6 / 12 months	X	-	-	-	Statewide	Start: 10/95 End: 9/02
Arkansas	6 / 12 months	-	-	-	-	-	-
California	-	X recipients	-	-	-	Statewide	Start: 10/92 End: 9/97
Colorado	9 / 12 months	-	-	-	-	-	-
Connecticut	-	X	X	X	X	Statewide	Start: 10/94 (pilot) 1/96 (expansion) End: 12/03
Delaware	-	X	X	X	-	Statewide, after phased implementation	Start: 10/95 End: 9/02
Florida	6 / 12 months(1)	X	X	X	-	Eight counties	Start: 1/94 End: 12/01
Georgia	6 / 12 months	-	-	-	-	-	-
Hawaii	-	X	X	X	X	Statewide	Start: between 10/96 and 10/97 Duration: 8 years
Idaho	6 / 12 months	-	-	-	-	-	-
Illinois	-	X	X	X	-	Pilot sites	Start: 10/93 End: 9/97
Indiana	-	X	-	-	-	Statewide	Start: 4/95 End: 6/02
Iowa	-	X	X	-	-	Statewide	Start: 10/93 End: 9/98
Kansas	-	X	X	X	X	Statewide	Start; between 9/96 and 8/97 Duration: 7 years
Louisiana	6 / 12 months	-	-	-	-	-	-
Maryland	-	X	X	X	-	Statewide	Start: 10/96 End: 9/01
Massachusetts	-	X	-	-	-	Statewide	Start: 10/95 End: 9/05
Michigan	-	X	X	-	-	Statewide	Start: 10/92 End: 9/99
Minnesota	-	X	X	X	-	Statewide (under two separate waivers)	Start: (1) 4/94 (2) between 10/96 and 10/97 Duration: 5 yrs
Mississippi	-	X	X	X	-	Statewide	Start: 10/95 End: 9./00
Missouri	-	X	X	-	-	Statewide, only for families where parents are under age 21.	Start: 4/95 End: 5/00
Montana	-	X	X	X	-	Statewide	Start: 1/96 End: 12/04
Nebraska	-	X	X	X	-	Statewide, after phased implementation.	Start: 10/95 End: 9/02
Nevada	6 / 12 months	-	-	-	-	-	-
North Carolina	-	X	X	-	-	Statewide	Start: between 3/96 and 3/97 Duration: 5 years
North Dakota	-	X	-	-	-	Ten counties	Start; 10/96 End: 9/03
Ohio	-	X	X	X	-	Statewide; later two only waived if parents are married.	Start: between 6/96 and 12/96 Duration: 5 years
Oklahoma	-	X	-	-	-	Six counties	Start: 4/96 End: 3/01
Oregon	-	X	X	-	-	Statewide	Start: 7/95 End: 6/02
Pennsylvania	-	X	X	X	-	Lancaster county	On hold by state.
South Carolina	-	X	X	X	X	Statewide	Start; between 6/96 and 6/97 Duration: 7 years
South Dakota	6 / 12 months	-	-	-	-	-	-
Tennessee	-	X	X	X	-	Only applies to new marriages by AFDC recipients	Start; between 9/96 and 9/97 Duration: 11 years
Texas	6 / 12 months	X	X	-	-	Statewide	Start: 4/96 End: 6/02
Utah	6 / 12 months	X	X	X	-	Seven counties	Start: 1/93 Amended: 7/96 End: 12/00
Vermont	-	X	X	X	-	Statewide	Start; 7/94 End: 6/01
Virginia	6 / 12 months	-	-	-	-	-	-
Washington	-	X recipients	-	-	-	Statewide	Start: 7/96 End: 6/06
Wisconsin	-	X recipients	-	-	-	Statewide; only affects continued eligibility.	Start; 1/96 End: 12/00
Wyoming	6 / 12 months	-	-	-	-	-	-

1. ¹ Waiver allows the 6-month time limit to be removed on a case-by-case basis.

Section 8: Child Support Requirements

AFDC Requirement: AFDC recipients were required to assign all child support collections, up to the amount of benefits they receive, to the welfare agency. States were required to pass-through the first $50 of current month child support payments to the family for which they were collected. The amount of this pass-through was disregarded, so families received this amount as additional income. It did not count against the recipients' income in determining their family's AFDC eligibility or the assistance grant amount. The remainder of the child support collected was shared between the state and the federal government to reimburse the cost of providing AFDC assistance.

AFDC recipients were required to cooperate with establishment and enforcement of child support orders, unless they had good cause not to. The sanction for failure to cooperate, or for refusal to assign payments to the state, was denial of the custodial parent's share of the AFDC grant.

Waivers: States requested and received waivers of a number of provisions related to child support enforcement. The child support enforcement waivers received by each state are summarized in Table VIII.A and a state-by-state description of the waivers is provided in Table VIII.B.

As indicated on this chart, the most common type of waiver with child support implications was allowing JOBS services to be provided to non-custodial parents, in order to enable them to find employment that would allow them to pay child support. Such waivers were received by 23 states. Some of these programs were voluntary; in other cases, courts could require parents who were delinquent in child support payments to participate.

The next most common type of waiver, received by 20 states, changed the pass-through and disregard. A total of 14 states received waivers that allowed them to increase the pass-through and/or the disregard, while three states received waivers that allowed them to eliminate the pass-through. These waivers enabled states to test the effectiveness of the pass-through in increasing child support collections. Five states received waivers from the Department of Agriculture so that they could disregard the amount of the pass-through in calculating food stamps as well as AFDC benefits. A smaller number of states increased the pass-through or disregard only for those children who were affected by a family cap provision. Since families did not receive benefits on behalf of such children, several states decided that it was appropriate for families to keep the child support collected on their behalf.

Another common group of waivers increased the requirements for cooperation with child support enforcement, and/or increased the sanction for failure to cooperate. A total of 19 states received such waivers. The majority of these increased the sanction for noncooperation to denial of benefits to the entire assistance unit, not just the non-cooperating parents. A few moved responsibility for determination of cooperation to the IV-D (Child Support) office rather than the IV-A (AFDC) office. In order to make it easier to track down non-custodial parents, some states received waivers allowing them to require parents to provide such detailed information as the social security number and the last known address of non-custodial parents.

Finally, some states received waivers that do not fall into any of these categories. These ranged from one-time bonus payments for establishing paternity, to pilot projects testing child support assurance, to projects providing counseling and other assistance to non-custodial parents.

TANF Provision: TANF recipients are still required to assign child support collections to the welfare agency. However, the $50 pass-through has been eliminated. States may still opt to pass-through some of the funds collected to the custodial family; however, they must then reimburse the federal government for its share of the collections out of state funds. States which pass through child support collections may establish their own policy as to whether to disregard this income. The distribution rules are changed so that families no longer on assistance have first priority in receipt of child support arrears.

The child support enforcement provisions have been strengthened under the new law. Individuals who fail to cooperate with paternity establishment or with establishment and enforcement of a support order will have their monthly cash assistance reduced by at least 25 percent. (States have the option to end assistance altogether.) Federal funds may not be spent to provide assistance to a family with a member who has not assigned support rights to the state. States must establish central registries of child support orders and must collect information on new hires in order to facilitate automatic withholding. States are also given a number of other new tools to enforce the payment of child support.

Table VIII.A, States with Waivers with Child Support Implications

JOBS Services for Non-Custodial Parents	Changes to the Pass-Through and Disregard (including food stamps)	Changes Related to a Family Cap Provision	Determination and Sanctions for Non-Cooperation	Miscellaneous Provisions
Alabama California Connecticut Delaware Florida Georgia Illinois Maryland Massachusetts Michigan Minnesota Mississippi Missouri New Hampshire New Jersey New York Ohio Oregon South Carolina Tennesee Utah Wisconsin Wyoming	Arizona Colorado Connecticut Delaware Hawaii Indiana Maine Maryland Mississippi Missouri Montana New Hampshire North Dakota Ohio Oregon South Carolina Utah Vermont Virginia Wisconsin	California Delaware Florida Georgia Maryland Massachusetts Mississippi Nebraska Virginia	Colorado Connecticut Delaware Illinois Indiana Kansas Maine Maryland Massachusetts Montana New Hampshire North Carolina North Dakota Ohio South Carolina Tennessee Texas Utah Virginia	Connecticut Michigan Missouri New York Ohio Oregon Tennesee Texas Utah Virginia

Table VIII.B, Section 1115 Waivers with Child Support Implications

State	Provisions	Scope	Waiver Dates
Alabama	Extends $50 child support pass-through and requirement that custodial parents cooperate with child support enforcement to food stamp program.   Allows JOBS services to be provided to non-custodial parents.	Clarke, Limestone, and Madison counties	Start: 5/90 ongoing
Arizona	For individuals participating in Full Employment Demonstration Project, all child support collections will be passed through to participant. The full amount will be disregarded in calculating both AFDC and food stamp benefits.	Casa Grande, Eloy and Coolidge areas of Pinal County	Start: 10/95 End: 9/02
California	Parents Fair Share: Use JOBS funds to provide training, employment and support services for non-custodial parents of AFDC children.   Child support payments for children excluded under the family cap provision will not be counted as income when calculating benefits.	Los Angeles county	Start: 1994   Approved: 8/96 Duration: 3 years
Colorado	$50 pass-through is disregarded with respect to calculating food stamp benefits.   IV-D office determines cooperation and imposes sanctions for noncooperation.	Adams, El Paso, Jefferson, Logan and Mesa counties   Denver, Mesa and Archulete counties	Start: 4/94 End: 3/99   Start: 12/95 End: 9/98
Connecticut	All support payments are redirected to AFDC family. $100 of child support is disregarded; the remainder is considered unearned income.   There are progressive sanctions for failure to comply with child support requirements: first failure: 20 percent benefit reduction for three months; second failure, 35 percent reduction for six months; additional failures, full-family sanction for three months.   Non-custodial parents may be served under the JOBS program.   Transitional Medicaid is available for 24 months to those who lose eligibility for AFDC benefits due to child support, as well as to those who become ineligible because of work.   In pilot sites, Connecticut established a child support assurance program, which guarantees payments while on AFDC and for a period of three years after family leaves AFDC. Recipients must have support orders, or have been determined as having "good cause" not to pursue support. This provision was not extended when A Fair Chance was amended as Reach for Jobs First in 1995.	Base program is statewide. Pilot sites are New Haven and Manchester area	Start: 1/96 End: 12/03   Start: 11/94
Delaware	Up to ½ of the child support collected can be passed through to the family, as part of fill-the-gap budgeting (to augment the AFDC payment up to a portion of the need standard).   Full-family sanction for noncooperation with child support, unless parent can demonstrate that pursuing child support would endanger the custodial parent or child.   Non-custodial parents may be served under JOBS program. This program will be phased in, beginning with young parents of the children of teen mothers.   Income received on behalf of a child excluded under the family cap provisions, including child support, will not be counted in determining AFDC benefit levels.   Noncooperation to be determined by IV-D office but IV-A imposes sanction.	Statewide, after a phased implementation by county   Kent County	Start: 10/95 End: 9/02   Start: 10/95 End: 3/97
Florida	Non-custodial parents may participate in JOBS if required by support order, plus Parents Fair Share in Duvall County.   Child support payments for children subject to family cap are not counted towards AFDC budget.	Selected counties   Statewide	Start: 1/94 End: 12/0   Approved: 6/96 Duration: 5 years   PFS: Ends: 1998
Georgia	Under Work for Welfare Project, non-supporting, non-custodial parents must participate in work experience for 20 hours per week, subject to court order. The penalty for non-participation, without good cause, is liability for a contempt citation.   Denied benefits from family cap can be earned back through child support or earnings.	Statewide   Statewide	Approved: 10/95 Duration: 5 years Imp. Pending Start: 1/94 End: 12/98
Hawaii	Eliminates $50 pass-through.	Statewide	Approved: 8/96 Duration: 8 years
Illinois	Requires more extensive information for cooperation with paternity establishment. Failure to cooperate during the first six months after notification will result in elimination of the parent's portion of the AFDC grant and Medicaid. After six months, the child's portion of the grant can also be terminated   Allows JOBS services to non-custodial parents who are ages 18 to 35, eligible to receive Food Stamps, have children receiving AFDC, agree to participate in the demonstration for at least two years, secure the custodial parent's consent to participate and have paternity established.	Statewide   Pilot sites	Approved: 6/96 Duration: 5 years   Start: 10/93 End: 9/97
Indiana	For the purpose of determining food stamp eligibility and benefits, disregards child support payments for six month period following the initiation of employment.   Failure, without good cause, for either an applicant or a recipient to cooperate with child support enforcement will result in denial of AFDC benefits for the adult. After six months of noncooperation, the penalty will be denial of AFDC assistance to both the caretaker and the relevant child until compliance.	Statewide	Start: 4/95 End: 6/02   Amendments approved: 8/96
Kansas	Applies progressive fiscal sanction to families whose head fails to cooperate with child support. For two months, the needs of the caretaker will be excluded from the AFDC grant. If after two months the individual is still not cooperating, the family's AFDC cash benefits will be eliminated until cooperation begins.	Statewide	Approved: 8/96 Duration: 7 years
Maine	Work supplementation program being tested in nine counties passes through all child support collected to participating families. Except for the first $50, it is counted as unearned income for eligibility and benefit level determinations.   Requires cooperation with child support enforcement as part of family contract. Non-cooperation is subject to sanctions similar to JOBS sanctions.	Pilot counties   Statewide	Approved: 6/96 Duration: 5 years
Maryland	Extends JOBS services to unemployed non-custodial parents.   All child support received for child excluded from AFDC benefits due to family cap will be passed through. If this amount is less than the family would otherwise have received from AFDC, the state will issue a third party payment or voucher/vendor payment on behalf of the child. Caretaker must cooperate with child support, rather than depending on the voucher, and will be sanctioned for failure to do so.   Eliminates $50 pass-through. Failure to cooperate with child support enforcement can result in the entire family being ineligible for cash assistance and the adult being ineligible for Medicaid. Sanctions can not be imposed until 30 days after the conciliation process is begun.	Statewide	Start: 10/96 End: 9/01   Amendments approved: 8/96
Massachusetts	Custodial parent must provide specific verifiable information about the father, specifically, the father's full name and either his Social Security number or two other pieces of identifying information. The penalty for noncooperation without good cause is the reduction of the cash benefit by the amount attributable to the caretaker's needs. This policy is currently suspended, as a result of a court injunction.   In determining the AFDC payment amount for a family, the first $90 of all income attributable to the additional child, including all child support, will be disregarded.   Parents Fair Share - Use JOBS funds to provide training, employment and support services for non-custodial parents of AFDC children.	Statewide   Hampden county	Start: 10/95 End: 9/05   Start: 1992 End: 1998
Michigan	Unemployed non-custodial parents may be required to participate in JOBS activities, plus Parents Fair Share in Kent County.   Allows federal funding for custody and visitation mediation services provided by the IV-D agency.	Statewide	Start: 10/92 End: 9/99 added: 10/94   PFS: Start: 1992 End: 1988
Minnesota	Use JOBS funds to provide training, employment and support services for non-custodial parents of AFDC children (Parents Fair Share model).	Anoka, Dakota and Ramsey counties	Start: 1992 End: 1997
Mississippi	Under Work First program, child support collections are passed-through to the custodial parent. The full amount is disregarded with respect to establishing eligibility, but only $50 is disregarded in determining benefit levels.   Unemployed non-custodial parents may be required to participate in JOBS activities.   Child support received on behalf of a child excluded under the family cap provisions goes directly to the family and will not be counted in determining AFDC eligibility or benefit levels.	Adams, Harrison, Jones, Lee Hinds and Washington counties   Above, plus Leflore and Oktibbeha counties.   Statewide	Start: 10/95 End: 9/00
Missouri	For families participating in subsidized employment, child support collected in excess of the amount used to subsidize wages will be passed directly to the family. This extra money does not affect the unit's eligibility for assistance.   Unemployed non-custodial parents may be required to participate in JOBS activities; Non-custodial parents of AFDC children may receive credit against state child support debt for satisfactorily participating in JOBS, plus Parents Fair Share in Jackson county	Targeted communities   18 counties	Approved: 1/13/93 Duration: 5 years Start: 4/95 End: 5/00   PFS: Start: 1992 End: 1998
Montana	Families who have received Job Supplement payments in lieu of AFDC will receive all current-month child support collected on their behalf, and the federal portion of arrearage collected.   For families participating in the Pathways and Community Services Program, the $50 child support pass-through is disregarded for the purpose of food stamps. Court ordered child support paid by household members to children outside of the household will be excluded from household income.   Cooperation with child support enforcement is one aspect of the Family Investment Agreement which participants must sign. Individuals who fail to comply with agreement provisions are sanctioned by loss of the adult portion of benefits for increasing periods of time with each instance of non-compliance.	Statewide	Start: 1/96 End: 12/04
Nebraska	Child support received on behalf of a child excluded as the result of a family cap will not be counted in determining AFDC eligibility or benefit payments.	Statewide, after phased implementation.	Start: 10/95 End: 9/02
New Hampshire	All current child support collected is passed through to family; however none of it is disregarded in determining the family's grant amount.   Pregnant women without children and custodial parents must cooperate with paternity and child support. In turn, they receive priority child support enforcement services.   The state may use JOBS funds to serve non-custodial parents of AFDC children and of low-income children at risk of needing AFDC in the future. Such parents may be required under court-order to participate in JOBS activities for up to 40 hours a week.	Statewide	Approved: 6/18/96 Duration: 5 years
New Jersey	Use JOBS funds to provide training, employment and support services for noncustodial parents of AFDC children (Parents Fair Share)	Mercer county	Start: 1992 End: 1998
New York	Child Assistance Program (CAP) - Guaranteed cash payment with substantially increased earnings disregard, food stamp cashout and elimination of the $50 pass-through. Families must have a child support award to participate and must have earnings for the CAP benefit level to exceed the AFDC payment.   Allows unemployed non-custodial parents of AFDC children eligible for JOBS services. (Project on hold by state)	Albany, Allegheny, Broome, Chautauqua, Erie, Monroe, NYC-Brooklyn, Niagra, Oneida, Onondaga, Rockland, St. Lawrence, Suffolk, Ulster counties   6 pilot sites	Start: 1988-1989 Expanded: 1993-1994 End: 1999   Approved: 10/94
North Carolina	Participant must sign contract agreeing to cooperate with child support. Failure to sign the contract will result in denial of AFDC benefits. The sanction for noncompliance with the terms of the contract will be a $50 reduction for three months for the first instance, a $75 reduction for three months for the second instance, a $75 reduction for four months for the third instance, and a $75 reduction for 12 months for the fourth.	Statewide	Approved: 2/96 Duration: 5 years
North Dakota	Eliminates child support pass-through.   Progressive sanctions for failure to cooperate with child support enforcement: --- First failure, caretaker's needs removed for at least one month. --- Second failure, caretaker's needs removed for at least two months, and the entire family becomes ineligible if the non-cooperation persists for three months. --- Third failure, the caretaker's needs are removed for three months, and the entire family becomes ineligible at the end of three months.	Ten pilot counties: Adams, Cass, Ransom, Richland, Sargent, Stark, Steele, Stutsman, Traill and Williams.	Approved: 9/95 Duration: 5 years.
Ohio	The state has received waiver authority to pay a one-time paternity bonus of $150 to families that establish paternity after coming on to AFDC. However, there are no funds appropriated at this time to implement a bonus policy. The pass through is increased to $75.   AFDC caretaker relatives must provide "sufficient information available to the caretaker," through "reasonable diligent efforts." If the caretaker fails to provide information or fails to appear for two or more appointments, the caretaker's eligibility will be terminated. The caretaker must reapply and cooperate within two years, or the entire family will be made ineligible. After two years, the family can reapply if the caretaker cooperates.   Use JOBS funds to provide training, employment and support services for noncustodial parents of AFDC children (Parents Fair Share)	Ten counties   Statewide   Dayton and Butler counties	Approved: 3/97 Duration: 5 years   Approved: 3/96 Duration: 5 years   Start: 1992 End: 1998
Oregon	For families participating in JOBS First work supplementation program, distributes child support collections directly to the custodial family. The full amount of the child support passed through is disregarded as income for eligibility determination, but not in determining the level of benefits. For that purpose, the basic $50 disregard still applies.   A one-time payment may be made by the state to recipients who help to establish paternity or facilitate child support collection for a child on AFDC. The value of this payment is disregarded for the purposes of calculating eligibility or benefits.   Although it is not explicitly stated in the waiver terms and conditions, the waiver allows unemployed non-custodial parents to participate in JOBS/ JOBS Plus activities	Statewide. (Initially piloted in six counties, beginning in January 1995)	Approved: 3/96 Duration: 5 years.
Pennsylvania	On hold by state.	N/A	N/A
South Carolina	Increases amount of child support passed through to AFDC recipients incrementally, rising from $75 initially to 100 percent. All child support payments received are disregarded in determining eligibility and benefit levels.   AFDC and Medicaid applicants and recipients must provide the full name of the non-custodial parent, any known licenses which might be subject to revocation, and at least three more items of information. Both the custodial parent and child may lose AFDC for failure to provide the information without good cause, but only the parent can lose Medicaid benefits. Good cause is defined as documentation of incest, rape, or the existence or threat of physical abuse to parent or child. The state will establish criteria for determining cooperation in cases where the custodial parent can not reasonably be expected to know identifying information about the child's father.   Requires court-ordered, unemployed non-custodial parents of AFDC children to participate in JOBS.	Statewide	Approved: 5/3/96 Duration: 7 years
Tennessee	Failure, without good cause, by an applicant or recipient of AFDC to cooperate with child support enforcement will result in ineligibility for the entire assistance unit until compliance. Cooperation is required by all caretakers, regardless of whether they are included in the assistance unit.   A new spouse who marries an AFDC recipient will receive credit for child support arrearages owed to a child or children in the new family unit, so long as the new spouse resides in the home. If such spouse leaves the home where the children reside prior to the termination of child support obligations under state law, the spouse becomes liable for the full arrearage.   When a non-recipient married an AFDC recipient, the income of the new spouse will be disregarded if the income, minus child support payments made to a child outside the AFDC assistance unit, is less than 185 percent of the standard of need for the assistance group size. The spouse may elect whether or not to be included in the assistance unit. For families subject to the time limits, this provision will only apply for one eligibility period of 18 months.   Under the Responsible Fatherhood Demonstration Project, federal funds may be used to support home-based counseling, group support, education, training, and employment assistance to approximately 100 fathers of AFDC children.   Use JOBS funds to provide training, employment and support services for noncustodial parents of AFDC children (Parents Fair Share).	Statewide   Davidson county   Shelby county	Approved: 7/96 Duration: 11 yrs   Duration: 2 years   Start: 1992 End: 1998
Texas	Applicants and recipients must sign a personal responsibility statement that requires as a condition of eligibility cooperation with child support requirements and paternity establishment. Parents will be removed from AFDC grant for failure to comply with the terms of the agreement.   Allows private support orders to be included in the IV-D system without application.	Statewide   Six counties	Approved: 3/96 Duration: 8 years   Start: 1996 End: 2001
Utah	Penalty for failure to cooperate in child support cases, without good cause, is $100 reduction in the monthly benefit payment.   Allows non-custodial parents of AFDC children to participate in the JOBS program.   The amount of child support paid by the non-custodial parent will be disregarded when determining Medicaid eligibility. For the purposes of determining the amount of the food stamp allotment, up to $50 monthly of IV-D child support received by the household will be disregarded as income. This income exclusion will continue for two years after the household leaves the AFDC program.   Families with a child in common will be treated as a single filing unit including both parents and all children in the household related to either parent.   Families receiving diversion payments are not required to assign their rights to child support to the state. The estimated amount of child support they will receive in the next three months shall be taken into account in determining the amount of the diversion payment.	Demonstration sites	Start: 1/93 End: 12/00   Added in amendments approved 7/95   Added in amendments approved 7/96
Vermont	All child support payments will be disbursed to the AFDC family. Such payments in excess of the $50 pass-through will be counted as income in calculating AFDC and food stamp benefits.	Statewide	Start: 7/94 End: 6/01
Virginia	Individuals who volunteer for employment opportunities and are enrolled in training programs will receive all current child support payments collected on their children's behalf during the period in which they are receiving a training stipend. Receipt of this child support will not affect the amount of the training stipend, and will be disregarded in calculating food stamp benefits. Such payments may continue to be made directly to the family for up to three months during periods of interruption in training for which there is good cause.   In pilot site, a child support insurance payment will be available to former AFDC recipients whose cases were closed due to earned income, who are working at least 30 hours per week and receiving at least minimum wage, have a support order for a parent living in Virginia, and have been on AFDC for two or more years. The payment will be equal to the average support order for AFDC cases in the state with the same number of children covered by the order. Participants will receive the insurance payment or the actual current child support paid, whichever is greater.   Custodial parents must cooperate in establishing paternity and obtaining support by providing the father's first and last name, and at least three more items sufficient to verify the father's identity. After six months of AFDC receipt, if the local agency determines that paternity has not been established because the recipient is not cooperating, the full-family will lose AFDC benefits for a minimum of one month, and until the caretaker relative begins to cooperate with the IV-D agency.   Child support received on behalf a child excluded under the family cap will not be considered in determining the AFDC payment amount for the family.	Statewide, for long-term AFDC recipients   Richmond area   Statewide	Start: 7/94 End: 9/98   Start: 7/95 End: 6/03
Wisconsin	Under Work Not Welfare, all current child support payments will go directly to the client. Support above $50 will be counted as income in determining the grant amount.   Non-custodial parents who are not meeting their children's child support needs may be ordered by the court to participate in employment-related activities under JOBS.	Two counties   Six counties (limited to teen parents)	Start: 1/95 End: 12/06   Start: 7/94 End: 6/99
Wyoming	Provides JOBS services to non-custodial parents court-ordered to participate.	Statewide	Start: 7/93 End: 6/95