Stimulus Alert: Secretly Ending Welfare Reform (Heritage Foundation)

Secretly Ending Welfare Reform (by Robert Rector of The Heritage Foundation)


Hidden within the 1,500+ pages of the stimulus bill is a provision that unravels the welfare reforms of the 1990s by returning to a perverse incentive for states to increase their welfare rolls.  The hard-won welfare reform initiative of the 1990s awarded states a block grant of TANF funds that did not change based on caseload increases or decreases.  Under the stimulus bill, however, the United States returns to its old perverse incentives (only worse): 


"For the first time since 1996, the federal government will begin paying states bonuses to increase their welfare caseloads. Indeed, the new welfare system created by the stimulus bill is actually worse than the old AFDC program because it rewards the states more heavily to increase their caseloads."

-- Robert Rector, Secretly ending welfare reform as we knew it 


At a minimum, the state must strengthen existing Welfare-to-Work requirements to bolster TANF as a limited temporary assistance program instead of a permanent government handout to those who should be able to support themselves. 

Legislative Advertising. Brent Connett for
Rep. Geanie Morrison, President, Texas Conservative Coalition.
P.O. Box 2659, Austin TX, 78768 | Phone: 512-474-1798
Copyright 2008 - Texas Conservative Coalition