This Week In Poverty
The Nation's new blog
http://www.thenation.com/blog/165478/week-poverty-january-6-2011
TANF Is Broken
"In 1996, the Temporary Assistance for Needy Families (TANF) block grant replaced Aid to Families with Dependent Children (AFDC) which had guaranteed cash welfare to poor families with kids since 1935. The deal severely limited available funds, freezing block grants at 1996 levels without indexing them to inflation (unlike campaign contribution limits, for example). The states were also allowed wide discretion in terms of eligibility, benefit levels and how the funds would be used.
The results of reform are now in: prior to the legislation, for every 100 poor families with children, 68 received cash assistance through AFDC. In 2009 that number plummeted to twenty-seven for every 100 poor families. And since the block grants are stuck in a 1996 time warp, those dollars dont go as far. Adjusted for inflation, benefit levels have fallen by 20 percent or more in thirty-four states, and a majority of states provide benefits at less than 30 percent of the poverty line (about $5,200 for a family of three).
The recent payroll tax extension also extended TANF as is until February 29, 2012. President Obama and Congress should look to Wisconsin Congresswoman Gwen Moores RISE Act for guidance when reauthorization rolls around. Among the reforms in the legislation: adjusting each states block grant for inflation; allowing education and job training to count towards work requirements; providing childcare for all work-eligible parents; and prohibiting time limits of less than sixty months."