Congressmen Jordan, Davidson pushing welfare reform plan

Debate over work requirements continues 20 years after ’90s reform bill.

More than 20 years after Bill Clinton, John Kasich and Newt Gingrich reformed “welfare as we know it,” two Ohio lawmakers are vowing to do it again, saying the government must do more to encourage people to work rather than live off of federal largesse.

Reps. Jim Jordan, R–Urbana, and Warren Davidson, R–Troy, want to start by looking at some 92 federal means-tested programs — they include everything from cash aid to food aid to housing — and consolidating them. They say any social worker would be daunted by finding the best out of 92 programs, and many of them are duplicative.

They want to do this through a bipartisan panel comparable to the federal Base Realignment and Closure Commission: A bipartisan group would spend a year taking a hard look at all 92 programs, consolidating and eliminating where necessary and Congress would have to vote for those recommendations on and up-or-down basis.

Davidson said it’s not a matter of reducing benefits. It’s far easier for a social worker trying to help a family in need if he or she is familiar with the programs available, he said. It’s hard to be fluent in 92 different government programs.

But more broadly, Jordan, who, like Davidson is a member of the conservative House Freedom Caucus, would like to beef up work requirements in order to receive federal benefits. While the Clinton-era welfare package created work requirements through Temporary Assistance for Needy Families, or TANF, such requirements weren’t instituted for other means-tested federal programs.

While the 1996 welfare overhaul “did what it was supposed to do, it really applied to one program,” said Davidson. “It didn’t have as broad an effect as it could have.”

The federal government has made it optional for states to impose work requirements on food stamps, but it hasn’t really forced them to, say analysts.

Success stories

Davidson and Jordan argue that the states that did impose work requirements are success stories. In Maine, Gov. Paul LePage in 2014 instituted work requirements for able-bodied adults without dependents in order for them to receive food stamps. Three months after he instituted that policy, the number of able-bodied adults without dependents receiving food stamps had plummeted by 80 percent, according to the conservative Heritage Foundation.

“I think at the federal level, we ought to say, ‘these are federal dollars. Do what you want to with your own state, but for the federal dollars, you only get them if you expect able-bodied adults to work,” Davidson said.

Jordan said the 1996 overhaul worked relatively well until the financial crisis, when then-President Barack Obama lifted some of the work requirements to receive TANF. During the meltdown, Obama allowed states to seek a federal waiver from work participation rules that allowed welfare recipients to also engage in one of 12 work activities, such as job training. In order to receive the waiver, states had to come up with a plan to better promote ways to help people find work.

Ron Haskins, a senior fellow at the moderate Brookings Institution and a former senior advisor to President George H.W. Bush, said Obama may have loosened the work requirements during the Great Recession, but the move was temporary.

“I’m not aware of a permanent change in the law because of the recession,” he said. “I certainly do not think President Obama deliberately undermined the work requirements. If he did, it didn’t work very well because they’re still pretty strong.”

Haskins said the larger problem is that states, over time, have figured out how to meet the work requirements without requiring people to work.

“Work programs are very difficult to run,” he said. “They are administratively complex and states have never been especially good at it…they play all these games and it’s the games that need to stop.”

‘We’re not doing enough of that’

Robert Doar — a former commissioner of social services in New York during part of the welfare implementation who is now with the conservative American Enterprise Institute — said the federal government has not done enough to encourage and promote work in food stamps, public health insurance, housing assistance or Medicaid.

He said the policy of “giving benefits and saying, ‘see you in a year’” “is not really helpful in my opinion.”

“What a person seeking assistance really wants, really needs is a pathway to a job, and we’re not doing enough of that,” he said. “In the new administration, the focus is more on work and less on just providing assistance. I think that’s good.”

Doar said the 1996 effort worked, with the Earned Income Tax Credit, food stamps and public health insurance also helping to improve the poor’s standard of living. The poor, he said, “are much better off than they were in 1993 or 1994.”

“That doesn’t mean it solved all the problems or that we don’t have a lot more to do in helping poor Americans, but it certainly did what it set out to do.”

Counter view

Melissa Boteach, vice president of the Poverty to Prosperity program at the left leaning Center for American Progress disputes the notion that the 1995 welfare reform was a success. Twenty years after TANF was created, “it helps very few struggling families with children,” she said.

According to the Center for Budget and Policy Priorities, while the program served 4.4 million families in 1996, it served 1.6 million in 2015, even as the number of families with children rose to more than 7.1 million by 2016.

She said Temporary Assistance to Needy Families also was not effective in responding to the Great Recession. Hardship went up, the unemployed went up, and so did food stamps and other programs for the poor.

TANF, Boteach said, “remained flat” even as unemployment and poverty rose.

She disputes the philosophy that a work requirement will motivate someone to work, saying taking a person’s food away is not going to make them a more productive job applicant.

“Work requirements don’t create jobs,” she said. “Work requirements punish people while they’re looking for jobs.”

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