CFFPP: Policy Briefings

NOTE: Hyperlinks provided in this policy fax briefing were correct as of the time of publication of this fax briefing.

Child Support Cooperation Requirement Proposed for Custodial Parents of Children Receiving SSI

The GAO has released a report, Supplemental Security Income: Increased Receipt and Reporting of Child Support Could Reduce Payments (GAO/HEHS-99-11, January 1999). The report recommends that Congress amend the Social Security Act to require that all single parents applying for or receiving SSI benefits on behalf of children under age 18 be required to cooperate with child support enforcement. The report also recommends legislative changes to allow the Social Security Administration (SSA) access to states' data on child support collections in order to correct what it concludes is the under-reporting of child support payments, and resulting overpayment of SSI to children.

There are currently just under 1 million children receiving SSI, which is now the nation's largest cash assistance program for the poor, providing benefits to needy aged, blind, and disabled persons, including needy children if they have severe disabilities. While this proposal does not attempt to recover SSI costs directly through child support payments, the cooperation requirement would have the effect of reducing individual SSI awards based on the increase in the family's collected and reported child support. The Social Security Administration and the Department of Health and Human Services have agreed with the report's recommendations, and have begun discussions to make data on child support collections available to SSA for its use in making eligibility determinations.

Among the concerns with the adoption of this report's recommendations are: 1) the risk of denying SSI inappropriately for failure to cooperate with child support enforcement; 2) modifying a long term assistance program which is based on a severe medical disability toward a program with an emphasis on self-sufficiency and decreased governmental assistance; 3) the inherent difficulty of ensuring appropriate "good cause" determinations for families at risk of domestic violence.

Representative Clay Shaw (R - FL) has resigned from his position as chairperson of the House Ways and Means Committee and Subcommittee on Human Resources for the 106th Congress. Representative Shaw played a large part in recent efforts to reform welfare, child support enforcement and fatherhood policy. Representative Nancy Johnson (R-CT) will replace him. Representative Johnson authored the language in PRWORA that requires states to establish uniform standards to make it easier to track and penalize parents for the nonpayment of child support.

A federal court in New York issued a decision in Reynolds v. Giuliani on January 25, 1999, which granted a preliminary injunction against the conversion of welfare offices to Job Centers. The court found that the city's Job Center staff illegally discouraged and denied applicants from applying for Food Stamps, Medicaid and cash assistance. It noted high rates of prospective applicants turned away before filing applications, as well as a decline in the number of emergency cash grants, and in the number of applicants who receive expedited food Stamps.

1999 Earned Income Credit Campaign Seeks to Ensure that Eligible Workers Claim their Tax Benefit

The Court also cited evidence that individuals were referred to food pantries instead of being provided expedited benefits; that training materials do not refer to the procedures for processing emergency or expedited benefits, and that workers orally denied applications without providing written notice of the denial and hearing rights.

Papers and the decision are available on the Welfare Law Center's website: http://welfarelaw.org/

The Earned Income Tax Credit (EITC or EIC) is a special tax benefit for working people who earn low or moderate incomes. The tax credit aims to reduce the tax burden and supplement earnings for low-wage workers. In 1998, over 19 million workers received credits worth more than $29 billion. The credit is worth more than $3,700 for some families, and some very low-income workers not raising children still can get a small credit (a Congressional proposal to cut this part of the EIC did not pass). The EIC advance payment option provides a portion of the credit in the worker's regular paycheck.

The EIC Campaign's goal is to ensure that eligible workers get the EIC. Many eligible workers are not currently getting it because they are not aware of it or don't know how to apply. Readers are encouraged to obtain a copy of the 1999 EIC Campaign Kit produced by the Center on Budget and Policy Priorities. The kit contains outreach materials, fact sheets and a sample flyer, an updated outreach strategy guide, and copies of necessary tax forms. A copy of the Campaign Kit can be obtained by calling John Wancheck, Campaign Coordinator, CBPP, (202) 408-1080, Fax: (202) 408-1056.

A new federal law requires state courts to abide by a visitation determination made by a court of another state except in certain limited circumstances. President Clinton signed the bill, H.R. 4164, into law (Public Law 105-374) on November 12, 1998.

The Department of Health and Human Services has announced the availability of $4 million in new federal funds under the Job Opportunities for Low-Income Individuals (JOLI) Program. The program's purpose is to demonstrate and evaluate ways of creating new employment and business opportunities for certain low-income individuals through the provision of technical and financial assistance to private employers in the community, self-employment/micro-enterprise programs, and/or new business development programs. Emphasis should be on individuals who are receiving TANF or its equivalent; non-custodial parents are also eligible. For the full program announcement, contact the Administration for Children and Families (202) 401-5282 or 5324, or access the full request at http://www.acf.dhhs.gov/programs/ocs/joli99.htm. Applications must be postmarked on or before April 22, 1999.

In addition, the Office of Child Support Enforcement has announced the availability of $250,000 per year for the next three years, for Child Support Assurance feasibility and/or demonstration projects. While Child Support agencies are given preference in funding, nonprofit organizations and collaborations of state and local public agencies are eligible for funding. Applications are due by April 20, 1999. The full Federal Register notice which details the application process is available on-line at http://www.acf.dhhs.gov/programs/cse/sipp, or by contacting Jean Robinson (202) 401-5330.

	Size of Family	Poverty Guideline
	1.	$ 8,240
	2.	$ 11,060
	3.	$ 13,880
	4.	$ 16,700
	5.	$ 19,520
	6.	$ 22,340
	7.	$ 25,160
	8.	$ 27,980
	For each additional person $ 2,820