FOR IMMEDIATE RELEASE:
Thursday, Sept. 28, 1995
Contact: Michael Kharfen (202) 401-9215
HHS APPROVES NORTH DAKOTA WELFARE DEMONSTRATION
HHS Secretary Donna E. Shalala today announced approval of
North Dakota's "Training, Education, Employment and Management"
(TEEM) welfare demonstration project. This is the second waiver
demonstration approved for North Dakota under the Clinton
administration.
"North Dakota is one of 34 states that have now been given the
freedom to pursue welfare reform plans that promote work and
responsibility," Secretary Shalala said. "Congress should
continue
the bipartisan progress the Senate made this month towards national
welfare reform that's pro-work, pro-responsibility, and pro-child.
However, even if Congress fails to act, the Clinton administration
will continue its commitment to ending welfare as we know it -- one
state at a time."
TEEM, which will operate in 10 North Dakota counties, combines
Aid to Families with Dependent Children (AFDC), Food Stamps, and Low
Income Home Energy Assistance Program (LIHEAP) into a single cash
benefit, and establishes simpler and more uniform eligibility rules.
It requires recipients to develop a personal responsibility contract
and establish a time limit for attaining self-sufficiency. Failure
to cooperate in developing the contract within two months will
result in denial of benefits. Failure to comply with a signed
contract will result in progressive sanctions, up to and including
loss of AFDC benefits for the entire family.
Under TEEM, families may earn more money and accumulate more
assets before losing benefits. They may also own one vehicle,
regardless of value, to get to and from work.
Health screenings and appropriate immunizations will be
required for all children. To encourage family formation, income of
a stepparent will not be counted for the first six months.
"The demonstration combines real incentives with fair sanctions
to promote work and parental responsibility," said Mary Jo Bane,
assistant secretary for children and families. "The Clinton
administration's commitment to state flexibility will give North
Dakota's welfare families opportunity to become self sufficient."
The 10 counties where the project will operate are Adams, Cass,
Ransom, Richland, Sargent, Stark, Steele, Stutsman, Traill, and
Williams.
North Dakota's demonstration will operate for seven years and
include a rigorous evaluation.
###
Note: All HHS press releases, fact sheets and other press materials
are available at http://www.hhs.gov/news.
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