Witness
Wade F. Horn, Ph.D.
Assistant Secretary
Administration for Children and Families
Accompanied by
William Beldon
Acting Deputy Assistant Secretary for Budget
U.S. Department of Health and Human Services
and
Kerry N. Weems
Acting Assistant Secretary for Budget
Statement
Of
Wade F. Horn, Ph.D.
Administration for Children and Families
Department of Health and Human Services
Before the
Subcommittee on the Department of Labor, Health and Human
Services,
Education and Related Agencies
Committee on Appropriations
U.S. House of Representatives
March 25, 2003
Mr. Chairman and members of the subcommittee, I am honored to appear before
you today to discuss the President’s budget request for the Administration for
Children and Families (ACF) for FY 2004. William Beldon, the Acting Deputy Assistant
Secretary Budget, joins me at the table.
The FY 2004 budget for ACF is $47.0 billion, a net decrease of $539 million,
or 1.1 percent, from the FY 2003 enacted level. Our request includes $33.5 billion
in entitlement funds ($887 million below the FY 2003 budget) and $13.5 billion
in discretionary spending, a net increase of $345 million, or 2.6 percent, over
the FY 2003 budget. In addition to seeking continued funding for a wide range
of programs serving some of the nation’s most vulnerable populations, the ACF
budget targets more resources to empower America’s families, provides States
with increased flexibility in a number of programs so that they can better serve
vulnerable children and families, and supports key Presidential priority initiatives.
Our budget for FY 2004 also reinforces our commitment to the participation of
faith and community-based organizations in ACF’s programs, and it continues to
focus on the President’s management agenda. I would like to turn to some of the
key programmatic initiatives in our request to demonstrate how these goals will
be met.
Empowering Families
The Temporary Assistance for Needy Families (TANF) program continues to
be a cornerstone of ACF’s budget. Our FY 2004 budget request reflects the President’s
FY 2003 plan to maintain funding for this critical program through reauthorization.
Welfare reform has been a tremendous success. Since TANF was created in 1996
the number of dependent families has been cut by more than half. Child poverty
rates are at or near historic lows. The success of the first phase of welfare
reform efforts provides an impetus to move to the next phase. We appreciate the
quick action by members of the House to pass H.R. 4 in so early in this session
of Congress.
Families are empowered when children receive the financial support they are
due. Our FY 2004 budget, therefore, proposes additional child support legislation
to enhance and expand the existing automated enforcement infrastructure at the
Federal and State level and increase support collected on behalf of children
and families. When combined with the opportunities to increase child support
outlined in the President’s FY 2003 budget (expanded passport denial, offset
of certain Social Security benefits, optional pass through of child support to
families on TANF, among others), these proposals offer an impressive $7.5 billion
in increased child support payments to families over 10 years. Once again, we
appreciate the House action to include these key FY 2003 child support proposals
in H.R. 4.
Child care funding provides a crucial service for helping families achieve
self-sufficiency through work. Consistent with the Administration’s FY 2003 welfare
reform proposal, the budget maintains the historically high level of funding
dedicated to this purpose in both the Child Care and Development Block Grant,
at $2.1 billion, and the Child Care Entitlement, at $2.7 billion. States also
would continue to have flexibility to provide child care services using TANF
funds and Social Services Block Grant funds. In addition, under our welfare reform
proposal States would have the ability to use unobligated TANF balances (approximately
$2.7 billion at the end of FY 2002) on services such as child care.
Head Start has been serving preschoolers and their families for nearly 40
years. The Head Start budget request for FY 2004 is $6.8 billion, a $148 million
increase over the enacted FY 2003 appropriation. This funding, coupled with greater
discretionary authority to allocate resources contained in our Head Start reauthorization
proposal, will be used to maintain current service levels, provide a 2.2% cost
of living adjustment to Head Start staff, and increase Head Start enrollment
by approximately 10,500 children. Furthermore, under the President’s proposal,
States will be offered the opportunity to coordinate state-administered preschool
programs with Head Start programs in exchange for meeting certain accountability
requirements.
States wishing to participate must submit a State plan for approval to the
Secretary of Health and Human Services and the Secretary of Education. In these
plans, States choosing this option must address how they will work with the public
school systems to develop goals for all preschool programs in the State; identify
guidelines that programs can use to achieve these goals; devise an accountability
system to determine whether children are achieving the goals; provide professional
development for preschool teachers and administrators; and help parents provide
support for children to succeed in kindergarten. In addition, States must describe
how they will maintain at least the same number of Head Start eligible children
being served under the State plan as are currently being served, and continue
to provide the comprehensive range of services for children supported by Head
Start funds.
For child welfare, ACF proposes to strengthen services to vulnerable children
and help States develop a seamless system of services through an innovative child
welfare financing option. Under this alternative to the current title IV-E foster
care entitlement program, States could choose to administer their foster care
program (foster care maintenance payments program and the associated administrative
costs) within a fixed allocation of funds over a five-year period. This option
would give States far greater flexibility in determining how best to use these
funds with regard to services provided and populations served. The flexible funding
will allow States to develop innovative ways to ensure the safety, permanency
and well-being of children, tailored to meet the needs of their child welfare
programs. If States that elect to use the option experience emergencies affecting
their foster care system they may apply, under certain conditions, for access
to additional funding from the TANF Contingency Fund.
ACF’s total FY 2004 request for the Foster Care, Adoption Assistance and Independent
Living programs is $6.8 billion. This request includes nearly $5 billion to support
the Foster Care Program and includes the child welfare financing option I have
described. The budget also includes $1.7 billion for the Adoption Assistance
program, as well as $140 million for the Independent Living Program. Additionally,
we request $505 million in funding for the Safe and Stable Families Program,
a $100.6 million increase over the FY 2003 enacted level.
Finally, community services can provide an important empowerment tool for
families; however, we must work to ensure that Federal funds are being spent
as effectively as possible. Our request for FY 2004 includes $495 million for
the Community Services Block Grant (CSBG), a $151 million reduction from FY 2003,
$32.4 million for Community Services Discretionary Activities, or $31 million
less than in FY 2003, and $25 million for Individual Development Accounts, the
same as in FY 2003. The reduction in CSBG funds indicates a lack of strong performance
data for the program. Our reauthorization proposal includes provisions that would
strengthen program accountability in CSBG. We also propose to streamline services
by eliminating the Community Food and Nutrition Program, the Rural Community
Facilities Program, and National Youth Sports - all of which duplicate programs
funded by other departments or CSBG.
Presidential Priority Initiatives
The President is committed to providing sufficient discretionary funds to
adequately support his key priority initiatives. This budget request reflects
this commitment in the following areas.
The President has been a leader in recognizing the important role that faith-based
and community-based organizations play in delivering services to the public.
Our FY 2004 budget seeks $100 million for the Compassion Capital Fund, $65 million
more than enacted for FY 2003. The fund will continue to be used for grants to
intermediary organizations to build the capacity of faith-based and community-based
organizations to expand their services to the poor and vulnerable.
The arrest and incarceration of a parent often has negative consequences for
children. For FY 2004, we are proposing to increase the funding of the recently
authorized Mentoring Children of Prisoners program from the $9.9 million enacted
in FY 2003 to $50 million in FY 2004. These funds would be used to establish
or expand competitive grants to governmental and non-governmental entities for
projects to mentor children of incarcerated parents and parents recently released
from prison.
The importance of an involved, committed and responsible father in a child’s
life cannot be overestimated, so as proposed in FY 2003, our request for FY 2004
includes $20 million for the promotion of responsible fatherhood and healthy
marriages. This initiative complements the family formation activities proposed
for TANF by providing for the promotion and support of involved, committed, and
responsible fatherhood and encouraging the formation and stability of healthy
marriages.
To provide youth with an additional resource to prepare for independent
living, increasing the prospect that they will be able to secure work and become
contributing members of society, our budget includes $60 million for Independent
Living Training Vouchers - $18 million over the FY 2003 enacted level.
For FY 2004, we again are requesting $10 million for Maternity Group Homes.
These new funds would provide young pregnant and parenting women with access
to faith-based and community-based maternity group homes through the use of targeted
grants to organizations, where a range of services such as child care, education,
job training, counseling, access to transitional living opportunities, and parenting
education can be provided.
Serving Special Populations
Our FY 2004 budget supports helping those who are in especially vulnerable
circumstances. First, we are seeking $2 billion for the Low Income Home Energy
Assistance Program (LIHEAP), a $200 million increase over the FY 2003 enacted
level. This request includes $1.7 billion for formula block grants to States
and $300 million for contingency funding, in recognition of the increasing demands
for LIHEAP assistance in order to help low-income households with their heating
or cooling needs.
In addition to requesting $428 million in FY 2004 for programs serving refugees,
asylees, Cubans/Haitians, and victims of torture and trafficking, our budget
provides additional funding for the care and safety of unaccompanied alien children.
The Homeland Security Act transferred responsibility for these children from
the Immigration and Naturalization Service to ACF’s Office of Refugee Resettlement
(ORR) in 2003. With a budget request of $34 million, ORR is expected to serve
more than 5,000 unaccompanied alien children.
The President’s Management Reform Agenda
The FY 2004 request for Federal Administration is $181 million—an increase
of $7.7 million over the FY 2003 enacted level; this funding level will support
a workforce of 1,476 FTEs—40 FTEs below the FY 2003 enacted level. Additional
funds are included in this request to support child welfare monitoring efforts
through the use of contract support, a stronger focus on identifying and reducing
erroneous payments, and development of the Department's Unified Financial Management
System and HHS Information Technology Enterprise Infrastructure.
Conclusion
In conclusion, I would like to emphasize that the proposed ACF budget
for FY 2004 provides a balanced response to our efforts to empower families,
support key Presidential priorities, and protect our nation’s most vulnerable
populations. We look forward to working with the Congress on achieving these
goals. Thank you, Mr. Chairman. I will be happy to answer any questions.
Dr. Wade F. Horn
Assistant Secretary for Children and Families
Wade F. Horn, Ph.D. was named the Assistant Secretary for Children and Families
in the Administration for Children and Families, U.S. Department of Health and
Human Services, on July 30, 2001. The Administration for Children and Families
is responsible for programs that promote the social and economic well-being of
families. ACF's programs include Temporary Assistance to Needy Families, foster
care, adoption assistance, family preservation and support, Head Start, child
care, child support enforcement, runaway and homeless youth, low income home
energy assistance, community services, refugee resettlement, mental retardation
and developmental disabilities.
Prior to this appointment, Dr. Horn was President of the National Fatherhood
Initiative, whose mission is to improve the well-being of children by increasing
the number of children growing up with involved, committed and responsible fathers
in their lives.
From 1989-1993, Dr. Horn was the Commissioner for Children, Youth and Families
and Chief of the Children's Bureau in the Administration on Children, Youth and
Families. He also served as a Presidential appointee to the National Commission
on Children from 1990-1993, was a member of the National Commission on Childhood
Disability from 1994-1995, and the U.S. Advisory Board on Welfare Indicators
from 1996-1997. Prior to these appointments, Dr. Horn was the Director of Outpatient
Psychological Services at the Children's Hospital National Medical Center in
Washington, D.C., and an Associate Professor of Psychiatry and Behavioral Sciences
at George Washington University. From 1993 to 2001, Dr. Horn was also an adjunct
faculty member at Georgetown University's Public Policy Institute, and an affiliate
scholar with the Hudson Institute.
Dr. Horn is the author of numerous articles on children and family issues,
including a weekly newspaper column entitled Fatherly Advice, and is the co-author
of several books including The Better Homes and Gardens New Father Book (Meredith
Books, 1998) and The Better Homes and Gardens New Teen Book (Meredith Books,
1999.) He is also the lead editor of The Fatherhood Movement: A Call to Action
(Lexington Books, 1998.) Dr. Horn is frequently featured on television and radio
as a child development expert and commentator. He has appeared on NBC's Today
Show, Good Morning America, CBS This Morning, McNeil-Lehrer News Hour, 20/20,
48 Hours, ABC World News Tonight, CNN, NBC Nightly News, CNBC, Fox News Channel,
CNN and MS-NBC.
Dr. Horn received his Ph.D. in clinical child psychology from Southern Illinois
University in 1981. He lives in Gaithersburg, Maryland, with his wife and two
daughters.
Department of Health and Human Services
Office of Budget
William R. Beldon
Mr. Beldon is currently serving as Acting Deputy Assistant Secretary for Budget,
HHS. He has been a Division Director in the Budget Office for 16 years, most
recently as Director of the Division of Discretionary Programs. Mr. Beldon started
in Federal service as an auditor in the Health, Education and Welfare Financial
Management Intern program. Over the course of 30 years in the Budget Office,
Mr. Beldon has held Program Analyst, Branch Chief and Division Director positions.
Mr. Beldon received a Bachelor’s Degree in History and Political Science from
Marshall University and attended the University of Pittsburgh where he studied
Public Administration. He resides in Fort Washington, Maryland.
Department of Health and Human Services
Office of Management and Budget
Biographical Sketch
Name: Kerry N. Weems
Position: Deputy Assistant Secretary
for Budget
Birthplace: Portales, New Mexico
Education: B.A., Philosophy, New Mexico State University,
1978
BBA, Management, New Mexico State University, 1978
MBA, University
of New Mexico, 1981
Experience:
January 24 - Present Acting Assistant Secretary for Budget,
Technology and Finance
June 2002 - Present Deputy Assistant Secretary for Budget,
HHS
2001 - 2002 Acting Deputy Assistant Secretary for Budget,
HHS
1996 - 2002 Director, Division of Budget Policy, Execution and Management,
HHS
1991 - 1996 Chief, Budget Planning Branch, HHS
1988 - 1991 Program
Analyst, Office of Budget, HHS
1983 - 1988 Program
and Budget Analyst, HHS (Social Security Administration)
1981
- 1983 Staff Member, United States Senate
Honors And Awards:
2001 Presidential Rank Award
1995 Secretary's Distinguished Service Award
1993 HHS Senior Management Citation
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