New and Pending Demonstration Project Proposals Submitted Pursuant to Section 1115(a) of the Social Security Act: May 1996

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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 1996

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, 1996.

It includes both those proposals being considered under the standard

waiver process and those being considered under the 30 day process.

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 new proposals under the standard application

process 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.

On August 16, 1995, the Secretary published a notice in the Federal

Register (60 FR 42574) exercising her discretion to request proposals

testing welfare reform strategies in five areas. Since such projects

can only incorporate provisions included in that announcement, they are

not subject to the Federal notice procedures. The Secretary proposed a

30 day approval process for those provisions. As previously noted, this

notice lists all new or pending welfare reform demonstration proposals

under section 1115. Where possible, we have identified the proposals

being considered under the 30 day process. However, the Secretary

reserves the right to exercise her discretion to consider any proposal

under the 30 day process if it meets the criteria in the five specified

areas and the State requests it or concurs.

II. Listing of New and Pending Proposals for the Month of May, 1996

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, 1996.

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.

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: Bruce Wagstaff, (916) 657-2367.

Project Title: California--Assistance Payments Demonstration

Project/California Work Pays Demonstration Project (Amendment)

Description: Would amend the Assistance Payments Demonstration

Project/California Work Pays Demonstration Project by adding provisions

to California to allow two additional AFDC benefit reductions: (1)

reduce the Maximum Aid Payment (MAP) by 4.9 percent across-the-board

statewide; and (2) divide California counties into two regions based on

housing costs, and reduce both the Need Standard and the MAP in the

region with the lower costs. In addition, the State is requesting

blanket authority for future reductions in AFDC payment levels in

conjunction with welfare reform state law changes.

Date Received: 3/13/96.

Type: AFDC/Medicaid.

Current Status: Pending.

Contact Person: Bruce Wagstaff, (916) 657-2367.

Project Title: California--Assistance Payments Demonstration

Project/California Work Pays Demonstration Project (Amendment)

Description: Would amend the Assistance Payments Demonstration

Project/California Work Pays Demonstration Project by adding provisions

to allow one additional provision: income of a senior parent living in

the same household with a minor parent with a dependent child will not

be deemed to the minor parent's child.

Date Received: 3/13/96.

Type: AFDC.

Current Status: Pending.

Contact Person: Bruce Wagstaff, (916) 657-2367.

Project Title: Florida--Family Responsibility Act.

Description: Statewide, would require dependent children and

caretaker relatives under age 18 to remain in school; pay half the AFDC

benefit increment for the first child conceived by an AFDC recipient

and provide no cash benefits for a second or subsequent child; exclude

from the AFDC budget child support payments for children subject to the

family cap; require AFDC recipients not participating in JOBS or

actively seeking employment to engage

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in 20 hours per week of community employment or work experience.

Date Received: 10/4/95.

Type: Combined AFDC/Medicaid.

Current Status: Pending.

Contact Person: Sallie P. Linton, (904) 921-5572.

Project Title: Georgia--Jobs First Project.

Description: In ten pilot counties, would replace AFDC payment with

paid employment; extend transitional Medicaid to 24 months; eliminate

100 hour employment rule for eligibility determination in AFDC-UP

cases.

Date Received: 7/5/94.

Type: AFDC.

Current Status: Pending (not previously published).

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

Project Title: Hawaii--Pursuit Of New Opportunities (PONO).

Description: Would limit benefits to 60 months in a lifetime for

all households except those exempt from work requirements; for all non-

exempt households, progressively reduce the grant amount, by 20% after

2 months, then in annual stages to 50% in the fifth year of

eligibility; exclude the income of dependent, minor student recipients

from the 185% Gross Income Test; require all non-high school graduate

or non-GED certified minor parent heads of households to participate in

educational activities; use a Benefit Reduction Rate formula to allow

participants to offset progressive grant reductions by keeping a larger

portion of any earned income; eliminate all of AFDC-UP categorical

requirements; strengthen JOBS participation requirements by eliminating

certain exemptions such as, remoteness due to excessive travel time,

current work activity, the non-principal earner in a two parent

household, or full-time VISTA participants, etc.; allow families to

retain up to $5,000 in resources; disregard one motor vehicle,

regardless of equity value, needed for self-sufficiency purposes;

delete the $50 child support pass-through; disregard all student loans,

grants and scholarships as income.

Date Received: 05/07/96.

Type: AFDC.

Current Status: New (replaces previous pending application).

Contact Person: Kristine Foster, (808) 586-5729.

Project Title: Illinois--Six Month Paternity Establishment

Demonstration.

Description: In 20 counties, would require the establishment of

paternity, unless good cause exists, within 6 months of application or

redetermination as a condition of AFDC and Medicaid eligibility for

both mother and child; would deny Medicaid to children age 7 and under,

exclude children from filing rules, and exempt Department from making

protective payments to eligible children, when custodial parent has not

cooperated in establishing paternity; delegate the establishment of

paternity in uncontested cases to caseworkers who perform assistance

payment or social service functions under title IV-A or XX.

Date Received: 7/18/95.

Type: AFDC/Medicaid.

Current Status: Pending.

Contact Person: Karan D. Maxson, (217) 785-3300.

Project Title: Indiana--Impacting Families Welfare Reform

Demonstration--Amendments.

Description: Statewide, proposes expansions and amendments to

current demonstration to impose a lifetime 24-month limit on cash

assistance and categorical Medicaid eligibility (12 months for resident

alien); allow 1 month AFDC credit (to a maximum of 24 at any one time)

for each 6 consecutive months full-time employment; count each month of

AFDC receipt from another state within the previous 3 years as 1 month

against the lifetime limit; restrict permissible ``specified

relatives'' for AFDC children and minor parents; extend AFDC, Medicaid,

and food stamp fraud disqualification penalties; establish 3 unexcused

absences per year as the statewide definition of unacceptable school

attendance; provide a voucher equal to 50% of assistance amount for

family cap child for goods and services related to child care; divert

AFDC grants to subsidize child care costs; establish an option for an

employed AFDC recipient to receive guaranteed child care or an AFDC

payment equal to the family's benefit before employment; require a

child's mother to establish paternity as a condition of eligibility for

the child and the caretaker; establish additional conditions of

eligibility for AFDC; impose penalties for illegal drug use; base CWEP

hours on the combined value of AFDC and Medicaid assistance; make JOBS

volunteers subject to the same sanctions as mandatory participants;

continue eligibility for AFDC recipients until countable income reaches

100% of the federal poverty guidelines; expand voluntary quit

definition and penalties; impose income limits on transitional Medicaid

and child care and limit each to 12 months in a person's lifetime; with

some exceptions, deny Medicaid under all coverage provisions to those

determined ineligible as a result of AFDC welfare reform provisions;

restrict Medicaid payments made to employees with employer's health

care benefits to the lesser of the employee's insurance premium or the

amount the state would otherwise pay; and require minor parents to live

with a legally responsible adult and count the income and resources of

non-parent adults. Additional provisions: Food Stamp recipients could

be required to participate CWEP and job search; increase AFDC and Food

Stamp penalties for non-compliance with CWEP and job search; require

cooperation with child support as condition of eligibility for Food

Stamps.

Date Received: 12/14/95; Amendment received 2/6/96.

Type: Combined AFDC/Medicaid.

Current Status: Pending.

Contact Person: James H. Hmurovich, (317) 232-4704.

Project Title: Kansas--Actively Creating Tomorrow for Families

Demonstration.

Description: Amended pending demonstration to provide that the

demonstration would: replace $30 and \1/3\ income disregard with

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

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

resources of adults, and at State option children, who receive SSI;

exempt one vehicle without regard for equity value; eliminate 100-hour

rule and work history requirements for UP cases; expand AFDC

eligibility to pregnant women in 1st and 2nd trimesters; eliminate

eight week job search limitation; allow alcohol and drug screening and

treatment as a JOBS activity; eliminate the 20-hour work requirement

limit for parents with children under 6; delay the effective date of

changes in household composition; make work requirements in the AFDC

and Food Stamp programs more uniform; and increase sanctions for not

cooperating with child support enforcement activities and violations of

employment and JOBS requirements.

Date Received: 7/26/94; amendment received 4/30/96.

Type: Combined AFDC/Medicaid.

Current Status: Pending.

Contact Person: Diane Dystra, (913) 296-3028.

Project Title: Maine--Welfare to Work Program.

Description: Statewide, would require caretaker relatives to sign a

family contract; require participation in parenting classes and health

care services; provide one-time vendor payments in lieu of AFDC for the

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purpose of obtaining/retaining employment; provide voucher payments to

both married and unmarried minor parents; limit JOBS exemptions; expand

eligibility for Transitional Medicaid and Child Care and replace

sliding-scale fees with flat-rate fees; reduce Transitional Medicaid

reporting requirements; disregard entire value of one vehicle; and

apply any federal savings to the JOBS program services. In selected

sites, implement ASPIRE-Plus, a subsidized employment program, would

cash out food stamps, divert AFDC benefits and pass through all child

support collected to families who participate in ASPIRE-Plus.

Date Received: 9/20/95.

Type: AFDC/Medicaid.

Current Status: Pending.

Contact Person: Susan Dustin, (207) 287-3104.

Project Title: Maryland.

Description: Statewide, would expand, with some modifications,

previously approved Family Investment Program (FIP) pilot county

provisions to be statewide and introduce new provisions: replace the

current $90 and $30-and-one-third exclusions with a flat 20% earned

income deduction, 50% for self-employed earned income; limit the child

care disregard to $175 in all cases; allow case managers to set AFDC

certification periods up to 1 year and require eligibility to be re-

established before the end of each certification period; modify JOBS

exemption requirements; allow $2,000 in countable resources and exclude

one vehicle per household, life insurance, and certain real property;

count stepparent income only if it is more than 50% of the poverty

level; allow non-custodial parents and stepparents to participate in

JOBS; provide welfare avoidance grants of up to 3 months benefit amount

(up to 12 months in special circumstances); allow IV-A child care funds

in lieu of AFDC for families diverted from cash assistance; impose

immediate full-family sanctions for fraud and for failure to cooperate

with JOBS or child support enforcement requirements; reduce the adverse

notification period to 5 days; eliminate the $50 child support pass-

through; allow only 1 assistance unit per family or payee; eliminate

deprivation as an eligibility factor; change treatment of lump sums;

eliminate JOBS assessment and employability plans; and modify JOBS

program requirements.

Date Received: 4/26/96.

Type: AFDC.

Current Status: Pending.

Contact Person: Kathy Cook, (410) 767-7055.

Project Title: Michigan--To Strengthen Michigan Families

Demonstration Project (Amendment).

Description: Statewide, would require minor parents to live with

their parent or other suitable adult; and require minor parents who

have not graduated from high school to attend school as a condition of

family eligibility.

Date received: 4/26/96.

Type: AFDC.

Current Status: Pending.

Contact Person: Dan Cleary, (517) 335-0015.

Project Title: Minnesota--Work First Program.

Description: In pilot counties, would provide vendor payments in

lieu of regular AFDC benefits for applicants' rent and utilities for up

to six months; sanction for at least six months job-ready applicants

who fail to comply with job search and other applicants who fail to

participate in JOBS orientation; and require part-time CWEP of

unemployed, nonexempt job-ready individuals who fail to participate in

job search for 32 hours/week or who after eight weeks of job search are

not employed for at least 32 hours/week or not self-employed with a net

income equal to the family's AFDC benefit. Individuals who refuse to

participate in CWEP or are terminated from a CWEP job would incur a

whole family sanction and become ineligible for AFDC for at least six

months. Non-job-ready participants would be assigned appropriate

education and training. Post-placement services would be provided for

up to 180 days and Transitional Child Care and Medicaid without regard

to AFDC receipt in 3 of the 6 months preceding ineligibility.

Date Received: 4/4/96.

Type: AFDC/Medicaid.

Current Status: Pending.

Contact Person: Gus Avenido, (612) 296-1884.

Project Title: Minnesota--AFDC Barrier Removal Project.

Description: Statewide, would expand AFDC-UP eligibility; treat

minor parents living with a caretaker parent on AFDC as a separate

filing unit and disregard the caretaker parents' earned income up to

200 percent of the federal poverty guideline; disregard earned income

of dependent children who are at least half-time students as well as

all their savings deposited into an individual development account;

increase the auto-equity limit to $4,500; cease recovering overpayments

(once every two years per case) due to an individual's new employment

resulting in ineligibility; and determine AFDC benefit amount for a

family in which all members have resided in the State for less than 12

months based on the payment standard of the state of immediate prior

residence if less than Minnesota's.

Minnesota has amended this application to include a proposed

provision in which families who have resided in the State of Minnesota

for less than 30 days would not be eligible for AFDC with the following

exceptions: (1) Either the child or caretaker relative was born in

Minnesota; (2) either the child or caretaker relative has resided in

the State for 365 consecutive days in the past; (3) either the child or

the caretaker relative went to Minnesota to join a close relative who

has resided in the State for at least one year; or (4) the caretaker

relative went to Minnesota to accept a bona fide offer of employment

for which he or she was eligible. For purposes of the exemption close

relative is defined as a parent, grandparent, brother, sister, spouse,

or child. The State would allow county agencies to waive the 30 day

requirement in cases of emergency or where unusual hardship would

result from denial of benefits.

Date Received: 4/4/96; amendment received 5/28/96.

Type: AFDC.

Current Status: New (Amendment only).

Contact Person: Ann Sessoms, (612) 296-0978.

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.

Project Title: New Hampshire--New Hampshire Employment Program and

Family Assistance Program.

Description: Statewide, would replace AFDC with Employment Program

administered by both Employment Security Agency and Family Assistance

Program; require job search and other employment-related activities for

first 26 weeks of receipt followed by work-related activities for 26

weeks; eliminate JOBS target group funding requirement and change JOBS

reporting requirements; require recipients attending post-secondary or

part-time vocational training to participate in work-related

activities; eliminate JOBS services priority for volunteers; establish

limits for provision of transportation and other JOBS services

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based on activity and local conditions; eliminate remoteness as

exemption from JOBS; require non-custodial parents to participate in

JOBS; increase earned income disregard to 50%; eliminate AFDC-UP

eligibility requirements; allow transitional case management for up to

one year; raise resource limit to $2,000 and exclude one vehicle and

life insurance policies; pass through child support directly to family;

take SSI income into account in determining eligibility/payment;

eliminate conciliation and apply JOBS sanction of 50% of AFDC benefits

for three months followed by no payment for three months, allowing

option to increase initial sanction up to 100%; exempt pregnant women

from JOBS only during third trimester; for minor parents cases, include

in assistance unit any parent or sibling living in the home; eliminate

gross income test; disregard educational grants; allow emergency

assistance for families with employment-related barriers; allow States

to eliminate the certificate option for child care and development

block grant funds and use of these funds for capital improvement;

eliminate ceiling on At Risk Child Care funds; provide that FFP for

AFDC not be reduced during life of demonstration; fund computer system

modifications at 80% FFP; require pregnant recipients to cooperate with

child support; require that AFDC apply for Medicaid as a unit and not

individually; eliminate requirement of receipt of AFDC for 3 of last 6

months in order to receive transitional Medicaid; and allow States to

require that some individuals be assigned to a managed care program;

substitute outcome measures for JOBS participation rates; change

participation requirements for parents with children under 6, UP

recipients and minors; establish a medical deduction; increase the

sanction for non-cooperation with child support; exempt individuals

with significant employment barriers from JOBS; treat lump sum income

and all real property, except a home, as a resource; and use 20% of

gross earned income as a Medicaid disregard. Also contains various Food

Stamp waivers.

Date Received: 9/18/95.

Type: AFDC.

Current Status: Pending.

Contact Person: Marianne Broshek, (603) 271-4442.

Project Title: New Hampshire--New Hampshire Employment Program.

Description: In three pilot sites, would require work after 6

months of AFDC receipt; eliminate the exemption from JOBS for women in

the second trimester of pregnancy; eliminate the JOBS exemption for

caretaker of a child under 3 but not less than 1 year of age; replace

the earned income disregard of $90 and $30 and \1/3\ with a 50%

disregard which is not time-limited; raise the resource limit for

recipients to $2,000; disregard full value of one vehicle per adult for

applicants and recipients; apply a full family sanction voluntarily

quitting a job or refusing to accept a job; apply a sanction of

reducing the payment standard by 30% for one month for failure to

comply with JOBS in the first instance, by 60% in the second instance

for one month, and in the third instance apply a full-family sanction

for three months or until compliance; and require non-custodial parents

to participate in JOBS.

Date Received: 10/6/95.

Type: AFDC.

Current Status: Pending.

Contact Person: Marianne Broshek, (603) 271-4442.

Project Title: New York--Learnfare Program.

Description: Would phase in statewide a provision that would

require AFDC children in grades 1 through 6 to attend school regularly

by mandating a sanction of removal of the child's needs from the budget

group for three months in those cases, where after counseling, the

child has 5 or more unexcused absences in a quarter. Benefits for

parents will be terminated, for failure without good cause, to sign the

release form for educational records.

Date Received: 5/31/96.

Type: AFDC.

Current Status: New.

Contact Person: Jeff Gaskell, (518) 486-3415.

Project Title: New York--Intentional Program Violation

Demonstration.

Description: Statewide would change the sanction for Intentional

Program Violations making the period of ineligibility of the person

committing the violation dependant on both the number of offenses and

the amount of the overpayment incurred as a result of the violation.

Date Received: 5/31/96.

Type: AFDC.

Current Status: New.

Contact Person: Jeff Gaskell, (518) 486-3415.

Project Title: Oklahoma--Welfare Self-Sufficiency Initiative.

Description: In four pilots conducted in five counties each, would

(1) extend transitional child care to up to 24 months; (2) require that

all children through age 18 be immunized and require that responsible

adults with preschool age children participate in parent education or

enroll the children in Head Start or other preschool program; (3) not

increase AFDC benefits after birth of additional children, but provide

voucher payment for the increment of cash benefits that would have been

received until the child is two years old; and (4) pay lesser of AFDC

benefit or previous state of residence or Oklahoma's for 12 months for

new residents.

Date Received: 10/27/95.

Type: AFDC.

Current Status: Pending.

Contact Person: Raymond Haddock, (405) 521-3076.

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 Recevied: 12/29/94.

Type: AFDC.

Current Status: Pending.

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

Project Title: Tennessee--Families First.

Description: Description: Statewide, would impose 18 month time

limit with 60 month lifetime limit on cash assistance for non-exempt

families (extensions available under certain circumstances); require

full-time (40 hours) work or combination of work and other activities

such as education, training, or job search, unless exempt; eliminate

many JOBS exemptions including lowering youngest-child exemption to

those with a child less than 16 weeks of age; remove limits on periods

of job search; impose a family cap with no increase in benefits for

additional children; require unmarried teen parents without high school

diploma or GED to participate in education or other approved activity;

deny AFDC for three months if recipients voluntarily quit job or if

applicant voluntarily quits employment within two months of AFDC

application; impose whole family sanction for noncompliance with

employment, training or work preparation activities; impose sanctions

without a prior conciliation period; provide transitional child care

and

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transitional Medicaid for 18 months and without regard to months of

AFDC receipt; change earned income disregards; eliminate the 100-hour

rule, work history and quarters of work requirements when AFDC

recipient marries and disregard new stepparent's income up to set

limit; hold harmless child support arrearages owed by the new husband/

wife to his/her child in the new family unit as long as the parent

continues to reside in the home; require that applicants and recipients

sign Personal Responsibility Plan as condition of eligibility and

assure that children attend school, receive regular immunizations and

health checks, and the caretaker cooperates with child support

enforcement; impose significant sanction for failure of children to

attend school or obtain immunizations; impose whole family sanction for

failure to cooperate with child support enforcement; deny AFDC for 10

years for those convicted of fraudulently receiving benefits from two

states simultaneously; allow low-income entrepreneurs to establish

special accounts up to $5,000; conform AFDC and Food Stamp rules by

increasing resource limit to $2,000 and counting lump sum income as a

resource in the month received and after, if retained; and increase

auto limit to $4,600. In 12 counties allow individual development

accounts up to $5,000 and in 1 county operate a Responsible Fatherhood

Demonstration Pilot using IV-D funds.

Date Received: 5/1/96.

Type: Combined AFDC/Medicaid.

Current Status: Pending.

Contact Person: Glenda Shearon, (615) 313-5652.

Project Title: Utah--Single-Parent Employment Demonstration

(Amendments).

Description: Would amend the current Single Parent Employment

Demonstration (SPED), requiring preschool children to be immunized and

other children to attend school; considering as a single filing unit

each family with a child in common, including all children in the

household related to either parent; permitting parents removed from the

grant due to non-cooperation or fraud to remain eligible for JOBS

services, including support services; and allowing a ``best estimate''

of earnings in lieu of actual earnings so long as estimate is within

$100 of actual earnings. These amendments would initially be limited to

the Kearns office and later expanded to other SPED sites.

Date Received: 2/7/96.

Type: AFDC.

Current Status: Pending.

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

Project Title: Virginia--Virginia Independence Program (Amendment).

Description: Would amend the Virginia Independence Program to

require AFDC applicants and recipients (including specified relatives

other than a parent) to provide information sufficient to identify the

non-custodial parent. Failure to provide the required information would

result in sanctions. In any case where an applicant/recipient does not

claim good cause or good cause does not exist, an affidavit from the

custodial parent attesting to the lack of information about the non-

custodial parent/putative father, in and of itself, would not meet the

definition of cooperation. If the first two genetic tests exclude the

named putative fathers, the State will impose a sanction until

paternity is established. If a relative other than the parent maintains

that he does not know the identity of the child's parent and has no way

to help identify the parent, the sanction would not be imposed.

Date Received: 5/24/96.

Type: AFDC.

Current Status: Pending (amended provisions not previously

published).

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

Project Title: Wisconsin--Work Not Welfare and Pay for Performance

Projects (Amendments).

Description: Statewide, would lower the JOBS exemption from a

parent whose youngest child is one year old or younger to a parent

whose youngest child is 12 weeks old or younger; require up to 40 hours

a week in CWEP regardless of the amount of the family's AFDC grant and

require participation in substance abuse and mental health treatment,

as appropriate; include intentional failure or voluntary quit in a work

component as a failure to cooperate with JOBS and apply JOBS program

sanctions to the entire family; and limit AFDC receipt to 60 months in

a lifetime, with exemptions and case-by-case extensions. The state

would extend child care to families earning up to 165 percent of

poverty with graduated co-payments based on the cost of care, and

change IV-A cases headed by a non-needy non-legally responsible

relative to IV-E cases and provide cases headed by an adult SSI

recipient a special child-only grant supplement in lieu of the regular

AFDC payment for the child. Both types of cases would be exempt from

the time limit and work requirements. Further, the state would require

minor parents to live with a parent or in an adult-supervised setting.

Also the state would establish a competitive process for selection of

contractors to administer county programs.

Date Received: 5/8/96; Amendments received 5/17/96.

Type: AFDC.

Current Status: New.

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

Project Title: Wisconsin--Wisconsin Works (W2).

Description: Statewide, would establish performance standards for

the administration of Wisconsin Works (W2) along with a competitive

process for selection of contractors to administer county programs. The

State would provide--but not guarantee--work positions, child care and

health care coverage to families (as defined by the State), whose gross

income does not exceed 115 percent of the federal poverty level (FPL),

whose resources do not exceed $2,500 (excluding a homestead), and whose

total auto equity assets do not exceed $10,000, with a 60-day State

residency requirement for eligibility. The State would count all earned

and unearned income, including child support (which will be paid

directly to the custodial parent), except for EITC when determining W2

eligibility. The State would require participation in substance abuse

and mental health treatment, as appropriate; exempt from a work

requirement parents with a child less than 12 weeks old; and provide

for an appeal process for W2 eligibility and benefit decisions. The

State would review an individual W2 agency's financial eligibility

decision only if the applicant petitions the State within 15 days of

the decision and would not pay benefits pending a decision. Applicants

would be required to search for unsubsidized employment during

eligibility determination, and would be denied eligibility if they

refused a bona fide offer of employment in the 180 days prior to

application. The State would automatically refer all W2 participants to

child support for services. The State would require minor parents to

live with a parent or in an adult-supervised setting to receive W2 non-

employment/non-cash benefits, e.g., financial planning assistance, case

management; but minor parents would not be eligible for W2 employment/

cash benefits. Teen children must attend school regularly. The state

would provide children whose parents are SSI recipients a payment of

$77.

The W2 payment amount would be determined according to job

placement: unsubsidized job, trial job (including up to $300 per month

wage subsidy to employer), community service job (benefit of $555 per

month), and

[[Page 29404]]

transitional placement (benefit of $518 per month). Community service

Jobs would require 30 hours per week of work plus 10 hours per week of

education and training; transitional placement jobs would require 28

hours per week of work plus 12 hours of education and training. In

addition CWEP participation would be increased up to 40 hours per week.

The State would sanction individuals $4.25 per each hour of non-

participation in work requirements. In addition sanctions would be

imposed upon the entire family for refusal to participate, without good

cause, in a W2 employment position. Three refusals to participate in

any W2 employment category would result in permanent ineligibility for

that category. To assist families with one-time expenses, the State

would provide Job Access Loans for employment support needs, e.g., car

repair, uniforms, etc; and would extend child care to families earning

up to 165 percent of poverty with graduated co-payments based on family

income and the category of care used. Child care would only be provided

to children under 13.

The State would limit participation to 24 months in any one W2

employment position and would limit lifetime eligibility for benefits

to 60 months, with extensions on a case-by-case basis; the 60-month

limit would apply to certain JOBS participants beginning July 1, 1996.

The State would change AFDC cases headed by a non-legally responsible

relative to a IV-E case; provide job search assistance and case

management to non-custodial parents with a child support order; impose

stricter sanctions for non-cooperation with child support; and

permanently deny W2 employment after three Intentional Program

Violations. Benefit overpayments will be recouped for intentional

violations at a rate set by the State. Corrective payments would not be

made for underpayments. Eligibility for Emergency Assistance for

certain homeless persons would be limited to once in a 36-month period

unless the homelessness was caused by domestic abuse, and the State

would allow displacement of regular employees by W2 participants in

certain cases: i.e., partial displacement (reduction in hours);

impairment of existing contracts; infringement upon promotional

opportunities; and filling of any established unfilled position.

The State would eliminate transitional Medicaid and expand Medicaid

(i.e., the W2 Health Plan) to families with gross income up to 165 of

FPL, who would then remain eligible until their income increases to 200

percent of FPL; and would incorporate a mandatory HMO enrollment or

primary provider program for W2 participants. Participants would be

required to pay a share of W2 Health Plan premiums according to a

sliding scale, and the State would impose stricter Medicaid sanctions

for non-cooperation with child support. The State would merge the Food

Stamps E&T program with the W2 Work Program; modify the Food Stamps

work program exemptions; eliminate the Food Stamps gross income test;

require nutrition education for Food Stamps recipients; and cash out

food stamps.

Date Received: 5/29/96.

Type: Combined AFDC/Medicaid.

Current Status: New.

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

Project Title: Wyoming--New Opportunities and New

Responsibilities--Phase II (Amendments).

Description: Proposes expansion of original demonstration statewide

and amendments to the current demonstration to establish a 5-year

lifetime limit on cash assistance for adults, beginning with time on

AFDC from July 1, 1987 (with limited exemptions and extensions);

require school attendance for teen parents who do not have a high

school education or its equivalent; pursue child support from the

absent minor parent's parents; freeze benefits based on household size

10 months after initial qualification; replace existing earnings

disregards for recipients (except no disregard will apply for

recipients disqualified due to fraud, education time limits, illegal

alien) with a maximum earned income disregard of $200 for recipients;

expand pay-for-performance from AFDC-UP to the regular AFDC population,

with limited exemptions, where failure to perform any item in the self-

sufficiency plan would cause disqualification of the parent for AFDC,

Food Stamps, and Medicaid; reduce the grant by $40 when a nonexempt

child fails to meet the performance requirements; require able-bodied

applicants and recipients to do job search for up to 16 weeks unless

otherwise exempted; terminate the case when there is loss of contact

with the client for 1 month after nonpayment for failure to meet the

performance requirements; exclude the earned income and resources of a

dependent child who is a full-time high school student; allow payment

of the supplied shelter grant for households with a SSI recipient,

unmarried minor parents, or recipients disqualified for other reasons

(fraud, education time limits, illegal aliens); exclude one licensed

vehicle with a fair market value of less than $12,000; increase the

resource limit to $2,500 for those in compliance with, or exempted

from, the performance requirements; and exclude veteran's service

connected disability compensation if the annual income is less than the

poverty level.

Date Received: 5/13/96.

Type: Combined AFDC/Medicaid.

Current Status: Pending (provisions not previously published).

Contact Person: Marianne Lee, (307) 777-6849.

III. Listing of Approved Proposals Since May 1, 1995

Project Title: Minnesota Family Investment Program (MFIP)

(Amendment).

Contact Person: Chuck Johnson (612) 297-4727.

Project Title: South Carolina--Family Independence Program.

Contact Person: Linda Martin (804) 737-6010.

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 4, 1996.

Karl Koerper,

Director, Division of Economic Independence, Office of Planning,

Research and Evaluation.

[FR Doc. 96-14557 Filed 6-7-96; 8:45 am]

BILLING CODE 4184-01-P