Georgia Welfare Demonstration
HHS Secretary Donna E. Shalala today approved a welfare demonstration for the state of Georgia which will operate statewide for a five-year period.
Under the demonstration, called the "Personal Accountability and Responsibility Project" (PAR), Georgia will have the option of reducing welfare payments when an able-bodied adult willfully refuses an offer of full-time employment. In addition, the plan contains a provision denying additional incremental cash benefits for additional children born after a family is on welfare.
Benefits under such programs as Medicaid and Food Stamps will still be available to all family members, however. Additionally, Georgia will offer family planning services and instruction in parental skills to all Aid to Families with Dependent Children families as part of this component.
"Georgia's demonstration will test a number of strategies for reducing long-term welfare dependency. The Clinton administration remains committed to allowing states to experiment with welfare demonstrations," Shalala said.
The employment component of the PAR project will allow Georgia's welfare agency to exclude from an AFDC grant any able- bodied recipient between the ages of 18 and 60 who has no children under 14 and who willfully refuses to accept work, or who terminates employment without cause. In such cases, the family's welfare grant can be reduced for up to three months for the first refusal.
The family expansion portion of the PAR project will enable the state to deny incremental cash payments to AFDC families who have received benefits for at least two years and have additional children. Given the unique formula used by Georgia in calculating benefits recipients would be able to "earn back" the amount of benefits denied through receipt of either child support or earnings.
Mary Jo Bane, HHS' assistant secretary for children and families, said, "We will work closely with the state to see that the demonstration is implemented in an effective manner. The PAR project will include a rigorous evaluation, and I look forward to reviewing the results of the Georgia demonstration."
The demonstration will begin on Jan. 1, 1994.
Note: All HHS press releases, fact sheets and other press materials are available at http://www.hhs.gov/news.
Contact: David Siegel (202) 401-9215
