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HHS Approver Oregon Welfare Waiver

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HHS News Release

HHS Secretary Donna E. Shalala today approved a welfare demonstration project for Oregon that provides individuals with short-term subsidized public or private employment.

"The Oregon demonstration is a good example of a state- initiated project to promote self-sufficiency," said Secretary Shalala. "Oregon is offering incentives to employers to help bring welfare recipients into the world of work. We will continue to provide states with the flexibility to demonstrate new approaches."

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Under Oregon's JOBS Plus demonstration, individuals will be provided short-term (up to nine months) employment at state minimum wage or better. The state will provide supplemental payments if an individual's income is less than the combined Aid to Families with Dependent Children and Food Stamp benefits.

Participants will continue to be eligible for Medicaid and will receive workplace mentoring and support services. The state also will pass on to the family all the child support payments it collects on its behalf.

"I look forward to assessing the results of the Oregon JOBS Plus demonstration," said Mary Jo Bane, HHS assistant secretary for children and families. "Oregon's program has unique features, such as workplace mentoring, designed to help participants achieve independence."

Each JOBS Plus participant will also have an Individual Education Account (IEA), to which employers will contribute one dollar per hour of work. <>After a participant begins working in a non-subsidized position, the state will transfer the IEA to the State Scholarship Commission. The commission will then make funds available to the participant or the immediate family for continuing education and training at any state community college or institution of higher education.

The Oregon demonstration will operate in six counties (Baker, Clackamas, Gilliam, Lincoln, Malheur and Washington). The demonstration will be implemented no earlier than Jan. 1, 1995, and no later than Jan. 1, 1996. The demonstration will include a rigorous evaluation.

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

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