HCS HB 899 -- PUBLIC ASSISTANCE

SPONSOR:  Gunn

COMMITTEE ACTION:  Voted "do pass" by the Committee on Social
Services, Medicaid and the Elderly by a vote of 10 to 5.

This substitute makes numerous changes in public assistance
laws.  In its main provisions, the substitute:

(1)  Replaces the name of the former federal public assistance
program, Aid to Families with Dependent Children, with
"Temporary Assistance" benefits, in Section 208.040, RSMo;

(2)  Requires the Department of Social Services to implement
policies designed to reduce welfare dependency; current law
allows the department to implement these policies;

(3)  Changes from July 1, 1998, to July 1, 1999, the date by
which the earned income disregard is to be increased to two--
thirds.  This expanded disregard is to apply only to recipients
who obtain employment, and is not to apply to new applicants who
are already working;

(4)  Requires assistance provided to families with earnings from
at least 20 hours of work per week to be funded through state
funds and not from federal funds;

(5)  Removes the requirement that the department is to address
cases where a regular employee claims job loss as a result of
the hiring of a wage-supplemented public assistance recipient;

(6)  Specifies that certain requirements under the unemployed
parents public assistance program do not apply to any parents;

(7)  Specifies the responsibilities of the Division of Family
Services in investigating or recertifying applications for
assistance;

(8)  Requires the department to make an individualized
assessment of the skills, work experience, and employability of
those applying for assistance who are under age 18 or who have
not completed high school or its equivalent.  The assessments
are to be consistent with the self-sufficiency plans currently
outlined in statute.  No participants may be assigned to
education or training programs, or to employment, before the
individualized assessment is completed;

(9)  Requires that individuals who are not exempt from work
requirements but who face severe barriers to work be placed in a
separate program, funded with state moneys, through which they
are to receive services consistent with their abilities and
which are aimed at removing barriers to self-sufficiency; and

(10)  Authorizes the department to promulgate rules and
regulations to implement the provisions of the substitute.

FISCAL NOTE:  Estimated Cost to General Revenue Fund of Unknown
in FY 2000, FY 2001, and FY 2002.  Unknown costs are expected to
exceed $100,000 annually.

PROPONENTS:  Supporters say that this bill implements federal
welfare reform and codifies in statute state public assistance
policy.

Testifying for the bill were Representative Gunn; St. Louis
Legal Services; Reform Organization of Welfare; Services
Employees International Union; and Catholic Diocese of Jefferson
City.

OPPONENTS:  There was no opposition voiced to the committee.

Debra Cheshier, Senior Legislative Analyst

HB 899 -- Public Assistance

Co-Sponsors:  Gunn, Troupe, Harlan, Daniel (42), Thompson (72),
Hilgemann

This bill makes numerous changes in public assistance laws.  In
its main provisions, the bill:

(1)  Replaces the name of the former federal public assistance
program, Aid to Families with Dependent Children, with
"Temporary Assistance" benefits, in Section 208.040, RSMo;

(2)  Requires the Department of Social Services to implement
policies designed to reduce welfare dependency; current law
allows the department to implement these policies;

(3)  Changes from July 1, 1998, to July 1, 1999, the date by
which the earned income disregard is to be increased to two--
thirds.  This expanded disregard is to apply only to recipients
who obtain employment, and is not to apply to new applicants who
are already working;

(4)  Requires assistance provided to families with earnings from
at least 20 hours of work per week to be funded through state
funds and not from federal funds;

(5)  Removes the requirement that the department is to address
cases where a regular employee claims job loss as a result of
the hiring of a wage-supplemented public assistance recipient;

(6)  Specifies that certain requirements under the unemployed
parents public assistance program do not apply to any parents;

(7)  Specifies the responsibilities of the Division of Family
Services in investigating or recertifying applications for
assistance;

(8)  Requires the department to make an individualized
assessment of the skills, work experience, and employability of
those applying for assistance who are under age 18 and who have
not completed high school or its equivalent.  The assessments
are to be consistent with the self-sufficiency plans currently
outlined in statute.  No participants may be assigned to
education or training programs, or to employment, before the
individualized assessment is completed;

(9)  Requires that individuals who are not exempt from work
requirements but who face severe barriers to work be placed in a
separate program, funded with state moneys, through which they
are to receive services consistent with their abilities and
which are aimed at removing barriers to self-sufficiency; and

(10)  Authorizes the department to promulgate rules and
regulations to implement the provisions of the bill.