New and Pending Demonstration Project Proposals Submitted Pursuant to Section 1115(a) of the Social Security Act: May 1995

DEPARTMENT OF HEALTH AND HUMAN SERVICES

Administration for Children and Families

New and Pending Demonstration Project Proposals Submitted

Pursuant to Section 1115(a) of the Social Security Act: May 1995

AGENCY: Administration for Children and Families, HHS.

ACTION: Notice.

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SUMMARY: This notice lists new proposals for welfare reform and

combined welfare reform/Medicaid demonstration projects submitted to

the Department of Health and Human Services for the month of May, 1995.

Federal approval for the proposals has been requested pursuant to

section 1115 of the Social Security Act. This notice also lists

proposals that were previously submitted and are still pending a

decision and projects that have been approved since May 1, 1995. The

Health Care Financing Administration is publishing a separate notice

for Medicaid only demonstration projects.

COMMENTS: We will accept written comments on these proposals. We will,

if feasible, acknowledge receipt of all comments, but we will not

provide written responses to comments. We will, however, neither

approve nor disapprove any new proposal for at least 30 days after the

date of this notice to allow time to receive and consider comments.

Direct comments as indicated below.

ADDRESSES: For specific information or questions on the content of a

project contact the State contact listed for that project.

Comments on a proposal or requests for copies of a proposal should

be addressed to: Howard Rolston, Administration for Children and

Families, 370 L'Enfant Promenade, SW., Aerospace Building, 7th Floor

West, Washington, DC 20447. FAX: (202) 205-3598 PHONE: (202) 401-9220

SUPPLEMENTARY INFORMATION:

I. Background

Under Section 1115 of the Social Security Act (the Act), the

Secretary of Health and Human Services (HHS) may approve research and

demonstration project proposals with a broad range of policy

objectives.

In exercising her discretionary authority, the Secretary has

developed a number of policies and procedures for reviewing proposals.

On September 27, 1994, we published a notice in the Federal Register

(59 FR 49249) that specified (1) The principles that we ordinarily will

consider when approving or disapproving demonstration projects under

the authority in section 1115(a) of the Act; (2) the procedures we

expect States to use in involving the public in the development of

proposed demonstration projects under section 1115; and (3) the

procedures we ordinarily will follow in reviewing demonstration

proposals. We are committed to a thorough and expeditious review of

State requests to conduct such demonstrations.

II. Listing of New and Pending Proposals for the Month of May, 1995

As part of our procedures, we are publishing a monthly notice in

the Federal Register of all new and pending proposals. This notice

contains proposals for the month of May, 1995.

Project Title: California--Work Pays Demonstration Project

(Amendment).

Description: Would amend Work Pays Demonstration Project by adding

provisions to: reduce benefit levels by 10% (but retaining the need

level); reduce benefits an additional 15% after 6 months on assistance

for cases with an able-bodied adult; time-limit assistance to able-

bodied adults to 24 months, and not increase benefits for children

conceived while receiving AFDC.

Date Received: 3/14/94.

Type: AFDC.

Current Status: Pending.

Contact Person: Glen Brooks, (916) 657-3291.

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Project Title: California--Assistance Payments Demonstration

Project (Amendment).

Description: Would amend the Assistance Payments Demonstration

Project by: exempting certain categories of AFDC families from the

State's benefit cuts; paying the exempt cases based on grant levels in

effect in California on November 1, 1992; and renewing the waiver of

the Medicaid maintenance of effort provision at section 1902(c)(1) of

the Social Security Act, which was vacated by the Ninth Circuit Court

of Appeals in its decision in Beno v. Shalala.

Date Received: 8/26/94.

Type: Combined AFDC/Medicaid.

Current Status: Pending.

Contact Person: Michael C. Genest, (916) 657-3546.

Project Title: California--Work Pays Demonstration Project

(Amendment).

Description: Would amend the Work Pays Demonstration Project by

adding provisions to not increasing AFDC benefits to families for

additional children conceived while receiving AFDC.

Date Received: 11/9/94.

Type: AFDC.

Current Status: Pending.

Contact Person: Eloise Anderson, (916) 657-2598.

Project Title: California--School Attendance Demonstration Project.

Description: In San Diego County, require AFDC recipients ages 16-

18 to attend school or participate in JOBS.

Date Received: 12/5/94.

Type: AFDC.

Current Status: Pending.

Contact Person: Michael C. Genest (916) 657-3546.

Project Title: California--Incentive to Self-Sufficiency

Demonstration.

Description: Statewide, would require 100 hours CWEP participation

per month for JOBS mandatory individuals who have received AFDC for 22

of the last 24 months and are working fewer than 15 hours per week

after two years from JOBS assessment and: have failed to comply with

JOBS without good cause, have completed CWEP or are in CWEP less than

100 hours per month, or have completed or had an opportunity to

complete post-assessment education and training; provide Transitional

Child Care and Transitional Medicaid to families who become ineligible

for AFDC due to increased assets or income resulting from marriage or

the reuniting of spouses; increase the duration of sanctions for

certain acts of fraud.

Date Received: 12/28/94.

Type: Combined AFDC/Medicaid.

Current Status: Pending.

Contact Person: Michael C. Genest (916) 657-3546.

Project Title: Georgia--Work for Welfare Project.

Description: Work for Welfare Project. In 10 pilot counties would

require every non-exempt recipient and non-supporting parent to work up

to 20 hours per month in a state, local government, federal agency or

nonprofit organization; extends job search; and increases sanctions for

JOBS noncompliance. On a statewide basis, would increase the automobile

exemption to $4,500 and disregard earned income of children who are

full-time students.

Date Received: 6/30/94.

Type: AFDC.

Current Status: Pending.

Contact Person: Nancy Meszaros, (404) 657-3608.

Project Title: Hawaii--Families Are Better Together

Description: Statewide, would eliminate 100-hour, attachment to the

work force, 30 day unemployment and principal wage earner criteria for

AFDC-UP families.

Date Received: 5/22/95.

Type: AFDC.

Current Status: New.

Contact Person: Patricia Murakami, (808) 586-5230.

Project Title: Kansas--Actively Creating Tomorrow for Families

Demonstration

Description: Would, after 30 months of participation in JOBS, make

adults ineligible for AFDC for 3 years; replace $30 and \1/3\ income

disregard with continuous 40% disregard; disregard lump sum income and

income and resources of children in school; count income and resources

of family members who receive SSI; exempt one vehicle without regard

for equity value if used to produce income; allow only half AFDC

benefit increase for births of a second child to families where the

parent is not working and eliminate increase for the birth of any child

if families already have at least two children; eliminate 100-hour rule

and work history requirements for UP cases; expand AFDC eligibility to

pregnant women in 1st and 2nd trimesters; extend Medicaid transitional

benefits to 24 months; eliminate various JOBS requirements, including

those related to target groups, participation rate of UP cases and the

20-hour work requirement limit for parents with children under 6;

require school attendance; require minors in AFDC and NPA Food Stamps

cases to live with a guardian; make work requirements and penalties in

the AFDC and Food Stamp programs more uniform; and increase sanctions

for not cooperating with child support enforcement activities.

Date Received: 7/26/94.

Type: Combined AFDC/Medicaid.

Current Status: Pending.

Contact Person: Faith Spencer, (913) 296-0775.

Project Title: Maine--Project Opportunity.

Description: Increase participation in Work Supplementation to 18

months; use Work Supplementation for any opening; use diverted grant

funds for vouchers for education, training or support services; and

extend transitional Medicaid and child care to 24 months.

Date Received: 8/5/94.

Type: Combined AFDC/Medicaid.

Current Status: Pending.

Contact Person: Susan L. Dustin, (207) 287-3106.

Project Title: Maryland--Welfare Reform Project.

Description: Statewide, require minor parents to reside with a

guardian; eliminate increased AFDC benefit for additional children

conceived while receiving AFDC, with provision for third party payment

or voucher/vendor payment for amount of the difference make rent vendor

payments to local housing authority when delinquency exceeds 30 days;

and issue AFDC benefits 14 days after date of application. In pilot

sites, eliminate JOBS exemptions for having a child under age 3 and for

having a medical disability of more than 12 months, unless the

recipient applies for SSI; require able-bodied recipients who have

received AFDC for 3 months to meet a work requirement (unless there is

good cause) which will consist of full-time unsubsidized employment, 30

hours of subsidized employment, or a total of at least 20 hours of

community service and employment; impose full-family sanction when JOBS

non-exempt parent fails to comply with JOBS for 6 months and require

parent to comply with JOBS for 30 days before reopening case; provide

three more months of aid through a third party payment after full-

family sanction is imposed; eliminate work supplementation program

restriction from filling unfilled positions; eliminate work history and

100-hour rule requirements for AFDC-UP; require minimum of 20 hours of

CWEP after three months of benefit receipt; disregard stepparent income

if below 100% of poverty, reduce grant by 50 percent of need standard

if income is between 100 and 150% of poverty, and make case ineligible

if income is

[[Page 31314]]

above 150% of poverty; base grant for families with earnings at 85

percent of difference between need standard and earnings; increase both

auto and resource limits to $5000; disregard income of dependent

children; provide one-time payment in lieu of AFDC benefits; require

teen parents to attend family health and parenting classes; extend JOBS

services to unemployed non-custodial parents; and cash-out food stamps

for work supplementation cases.

Date Received: 3/1/94 and 5/16/95 (Amendments).

Type: AFDC.

Current Status: New (Amendments).

Contact Person: Katherine L. Cook, (410) 767-7338.

Project Title: Massachusetts--Welfare Reform '95.

Description: Statewide, would limit AFDC assistance to 24 months in

a 60-month period, with provisions for extensions, for all non-exempt

recipients; reduce benefits for non-exempt recipients by 2.75 percent,

while increasing earned income disregard to $30 and one-half

indefinitely; establish the Work Program designed to end cash

assistance to non-exempt families, requiring recipients who cannot find

at least 20 hours per week of paid employment after 60 days of AFDC

receipt to do community service and job search to earn a cash

``subsidy'' that would make family income equal to applicable payment

standard; fund subsidized jobs from value of AFDC grant plus cash value

of Food Stamps for limited number of volunteer recipients; sanction

individuals who fail to comply with the Work Program by a reduction in

assistance equal to the parent's portion of the grant; establish an

Employment Development Plan (EDP) for non-exempt participants not

required to participate in the Work Program, requiring community

service for second failure to comply with EDP and full-family sanction

for second failure to comply with community service; require teen

parents to live with guardian or in supportive living arrangements and

attend school; require children under age 14 to attend school;

eliminate grandparent-deeming; strengthen paternity establishment

requirements and allow the IV-D agency to determine if participants are

cooperating; allow courts to order parents unable to pay child support

to community service programs; exclude from the grant calculation

children born to mothers while on AFDC; require child immunization; pay

rent directly to landlords where caretaker has fallen behind six weeks

in payments; increase asset level to $2,500; increase equity value of a

vehicle to $5,000; establish wage assignment in cases of fraud or other

overpayments; increased penalties for individuals who commit fraud,

release AFDC fraud conviction information to Department of Revenue and

the Social Security Administration for cross-check, and deny benefits

to individuals with an outstanding default warrant issued by a State

court; allow State to issue a clothing allowance voucher for each

child; disregard the first $600 of lump sum income; require direct

deposit of benefits for recipients with bank accounts; and disregard

the 100-hour rule for eligibility for two-parent families.

Date Received: 4/4/95.

Type: AFDC.

Current Status: Pending.

Contact Person: Valerie Foretra, (617) 348-5508.

Project Title: Mississippi--A New Direction Demonstration Program--

Amendment.

Description: Statewide, would amend previously approved New

Direction Demonstration Program by adding provision that a family's

benefits would not increase as a result of additional children

conceived while receiving AFDC.

Date Received: 2/17/95.

Type: AFDC.

Current Status: Pending.

Contact Person: Larry Temple, (601) 359-4476.

Project Title: New Hampshire--Earned Income Disregard Demonstration

Project.

Description: AFDC applicants and recipients would have the first

$200 plus \1/2\ the remaining earned income disregarded.

Date Received: 9/20/93.

Type: AFDC.

Current Status: Pending.

Contact Person: Avis L. Crane, (603) 271-4255.

Waiver Title: New Mexico--Untitled Project.

Description: Would increase vehicle asset limit to $4,500;

disregard earned income of students; develop an AFDC Intentional

Program Violation procedure identical to Food Stamps; and allow one

individual to sign declaration of citizenship for entire case.

Date Received: 7/7/94.

Type: AFDC.

Current Status: Pending.

Contact Person: Scott Chamberlin, (505) 827-7254.

Project Title: North Dakota--Training, Education, Employment and

Management Project.

Description: Would require families to develop a social contract

specifying time-limit for becoming self-sufficient; combine AFDC, Food

Stamps and LIHEAP into single cash payment with simplified uniform

income, expense and resource exclusions; increase income disregards and

exempt stepparent's income for six months; increase resource limit to

$5,000 for one recipient and $8,000 for families with two or more

recipients; exempt value of one vehicle; eliminate 100-hour rule for

AFDC-UP; impose a progressive sanction for non-cooperation in JOBS or

with child support; require a minimum of 32 hours of paid employment

and non-paid work; require participation in EPSDT; and eliminate child

support pass-through.

Date Received: 9/9/94.

Type: AFDC.

Current Status: Pending.

Contact Person: Kevin Iverson, (701) 224-2729.

Project Title: Oregon--Expansion of the Transitional Child Care

Program.

Description: Provide transitional child care benefits without

regard to months of prior receipt of AFDC and provide benefits for 24

months.

Date Received: 8/8/94.

Type: AFDC.

Current Status: Pending.

Contact Person: Jim Neely, (503) 945-5607.

Waiver Title: Oregon--Increased AFDC Motor Vehicle Limit.

Description: Would increase automobile asset limit to $9,000.

Date Received: 11/12/93.

Type: AFDC.

Current Status: Pending.

Contact Person: Jim Neely, (503) 945-5607.

Project Title: Pennsylvania--School Attendance Improvement Program.

Description: In 7 sites, would require school attendance as

condition of eligibility.

Date Received: 9/12/94.

Type: AFDC.

Current Status: Pending.

Contact Person: Patricia H. O'Neal, (717) 787-4081.

Project Title: Pennsylvania--Savings for Education Program.

Description: Statewide, would exempt as resources college savings

bonds and funds in savings accounts earmarked for vocational or

secondary education and disregard interest income earned from such

accounts.

Date Received: 12/29/94.

Type: AFDC.

Current Status: Pending.

Contact Person: Patricia H. O'Neal, (717) 787-4081.

[[Page 31315]]

Project Title: Texas--Promoting Child Health in Texas.

Description: Statewide, would require that children age 5 and under

be immunized.

Date Received: 4/11/95.

Type: AFDC.

Current Status: Pending.

Contact Person: Kent Gummerman (512) 450-3743.

Project Title: Utah--Single Parent Employment Demonstration Program

(Amendments).

Description: In designated pilot sites, would amend previously

approved Single Parent Employment Demonstration Project by applying

full-family sanction for repeated non-participation in JOBS; and, for

two years after leaving AFDC, provide transitional JOBS support

services, expanded income disregards and auto equity limits for Food

Stamps, and optional Food Stamp cash-out.

Date Received: 5/17/95.

Type: AFDC.

Current Status: New.

Contact Person: Bill Biggs, (801) 538-4337.

Project Title: Virginia--Virginia Independence Program.

Description: Statewide, would provide one-time diversion payments

to qualified applicants instead of AFDC; change first time JOBS non-

compliance sanction to at least one month continuing until compliance

and remove conciliation requirement; make paternity establishment

within 6 months a condition of eligibility; suspend grant if mother is

not cooperating in paternity establishment; require minor parents to

live with adult guardian; eliminate benefit increase for children born

while a family receives AFDC; require AFDC caretakers without a high

school diploma, aged 24 and under, and children, aged 18 and under, to

attend school; require child immunization; allow $5,000 resource

exemption for savings for starting business; increase Transitional

Child Care and Transitional Medicaid eligibility; and eliminate deeming

requirement for aliens when their sponsor receives food stamps. Also,

VIP would phase in statewide over 4 years a work component (VIEW) that

will require participants to sign an Agreement of Personal

Responsibility as a condition of eligibility; assign participants to a

work activity within 90 days of benefit receipt; time-limit AFDC

benefits to 24 consecutive months; increase earned income disregards

for continued eligibility up to the federal poverty level; disregard

value of one vehicle up to $7,500; provide 12 months transitional

transportation assistance; modify current JOBS participation exemption

criteria; eliminate limitation on job search; assign participants

involuntarily to subsidized work placements; apply full-family sanction

for refusal to cooperate with work programs; subject unemployed parents

to same work requirements as single recipients; and provide employer

subsidies from AFDC plus the value of Food Stamps.

Date Received: 12/2/94 and 3/28/95 (Amendments).

Type: Combined AFDC/Medicaid.

Current Status: Pending.

Contact Person: Barbara Cotter, (804) 692-1811.

Project Title: Washington--Success Through Employment Program.

Description: Statewide, would eliminate the 100-hour rule for AFDC-

UP families; impose a 10 percent grant reduction for AFDC recipients

who have received assistance for 48 out of 60 months, and impose an

additional 10 percent grant reduction for every additional 12 months

thereafter, and budget earnings against the original payment standard;

and hold the food stamp benefit level constant for cases whose AFDC

benefits are reduced due to length of stay on assistance.

Date Received: 2/1/95.

Type: AFDC.

Current Status: Pending.

Contact Person: Liz Begert Dunbar, (206) 438-8350.

Project Title: West Virginia--Joint opportunities for independence

(JOIN).

Description: Statewide, would require one parent in an unemployed

AFDC-UP applicant or recipient case, with exceptions, to participate 38

hours per week in work and job search activities; sanction the entire

family when an individual does not comply; deny Food Stamps to

sanctioned families and deny Medicaid to sanctioned adults, except for

pregnant women; and freeze the level of Food Stamps benefits for

sanctioned families at the pre-sanction level.

Date Received: 4/11/95.

Type: Combined AFDC/Medicaid.

Current Status: Pending.

Contact Person: Sharon Paterno (304) 558-3186.

Project Title: Wisconsin--Self Sufficiency First (SSF).

Description: Statewide, would require applicant adults, as a

condition of eligibility, to meet with a financial planning resource

specialist prior to completing an application to examine alternatives

to welfare; with some exceptions. If the applicant still wants to apply

for assistance, as a condition of eligibility, individual must engage

in at least 60 hours of JOB search activities during the 30 day

application period. Would also limit JOBS exemptions.

Date Received: 4/18/95.

Type: AFDC.

Current Status: Pending.

Contact Person: Jean Sheil (608) 266-0613.

Project Title: Wisconsin--Pay for Performance (PFP).

Description: Statewide, adult recipients will be required to

participate in JOBS up to 40 hours per week; for each hour of non-

participation the AFDC grant will be reduced by the federal minimum

wage rate; if the AFDC grant is fully exhausted then the remaining

sanction will be taken against the Food Stamp (FS) allotment; FS

allotments will not be adjusted to account for AFDC reductions

resulting from not participating in JOBS activities; if hours of

participation fall below 25% of assigned hours without good cause then

no AFDC grant will be awarded and the FS amount will be $10. Would also

limit JOBS exemptions.

Date Received: 4/18/95.

Type: AFDC.

Current Status: Pending.

Contact Person: Jean Sheil (608) 266-0613.

III. Listing of Approved Proposals Since May 1, 1995

Project Title: Arizona--Employing and Moving People Off Welfare and

Encouraging Responsibility Program.

Contact Person: Elliot Hibbs, (602) 542-4702.

Project Title: Delaware: A Better Chance.

Contact Person: Elaine Archangelo, (302) 577-4400.

IV. Requests for Copies of a Proposal

Requests for copies of an AFDC or combined AFDC/Medicaid proposal

should be directed to the Administration for Children and Families

(ACF) at the address listed above. Questions concerning the content of

a proposal should be directed to the State contact listed for the

proposal.

(Catalog of Federal Domestic Assistance Program, No. 93562;

Assistance Payments--Research.)

Dated: June 7, 1995.

Howard Rolston,

Director, Office of Policy and Evaluation.

[FR Doc. 95-14571 Filed 6-13-95; 8:45 am]

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