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HHS News

FOR IMMEDIATE RELEASE:
Monday, May 22, 1995
Contact: Michael Kharfen (202) 401-9215


HHS APPROVES ARIZONA WELFARE DEMONSTRATION

HHS Secretary Donna E. Shalala today approved EMPOWER, a statewide welfare demonstration project in Arizona. Arizona is the 29th state to receive approval to implement a welfare reform demonstration under the Clinton administration.

EMPOWER (Employing and Moving People Off Welfare and Encouraging Responsibility) establishes a time limit of 24 months in any 60-month period for adult benefits for Aid to Families with Dependent Children. Additional AFDC benefits will be denied to families for children conceived while on AFDC or children conceived within 12 months after leaving AFDC, if the family reapplies for benefits.

To aid the transition from welfare to work, families can put aside $100 a month, up to a maximum of $9,000, in Individual Development Accounts, for training and education. In addition, transitional child care services and Medicaid will be extended from 12 months as currently provided by law to 24 months after leaving AFDC for work.

"Arizona's EMPOWER program will test work and responsibility requirements designed to help recipients move quickly from welfare to work," said Shalala. "With this waiver, the Clinton administration continues to deliver on its promise of state flexibility in welfare reform."

Arizona will require AFDC recipients who are minor parents and pregnant girls age 13 to 15 to attend school or participate in JOBS educational activities. They will also be required to reside in the home of a responsible adult.

An additional three-year pilot project will operate in the Casa Grande, Eloy and Coolidge areas of Pinal County. The pilot will provide valuable work experience by placing participants in subsidized jobs for nine to 12 months without that time period counting toward the time limit. These subsidies will be funded from AFDC grants and cashed-out food stamp allotments. The state will also pass all child support collections through to the family, without affecting AFDC eligibility.

"Arizona's demonstration seeks to ensure self-sufficiency through strict requirements to achieve a timely transition to work," said Mary Jo Bane, assistant secretary for children and families. "The project also reflects the Clinton administration's goal of promoting parental responsibility in welfare reform." The project will operate for seven years and include a rigorous evaluation.

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Note: All HHS press releases, fact sheets and other press materials are available at http://www.hhs.gov/news.

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