HHS News Release

HHS Secretary Donna E. Shalala today approved the State of Washington's "Success Through Employment Program" (STEP), a statewide welfare demonstration project. Washington is the 35th state to receive approval for a welfare waiver under the Clinton administration.

"While Congress continues to make progress toward bipartisan national welfare reform, the Clinton administration is enabling another state to end welfare as we know it right now," said Secretary Shalala. "Washington recognizes that incentives to move people into work quickly will successfully help families achieve self sufficiency."

STEP sets time limits on Aid to Families with Dependent Children (AFDC) by progressively reducing benefits after a family has received assistance for four years over a period of five years. After four years, the grant will be reduced by 10 percent, and by another 10 percent for each additional year thereafter.

To encourage two-parent families to obtain employment, STEP will waive the requirement that the principal wage earner in a two-parent family work fewer than 100 hours per month for the family to qualify for AFDC.

"This demonstration combines time limits with real opportunities for parents to obtain work and support their children," said Mary Jo Bane, HHS assistant secretary for children and families. "The Clinton administration's support for state flexibility will help Washington families turn a welfare check into a paycheck."

The project will operate for 10 years and include a rigorous evaluation.

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Contact: Michael Kharfen (202) 401-9215