Removes a certain time period in which an adult receives cash assistance in the safety net program

Summary of specific provisions

Section 1 of this bill would provide that any month in which an individual receives cash assistance in the Safety Net Assistance (SNA) program would not count toward the federal 60-month cumulative time limit on the receipt of federally funded assistance. It would ensure, however, that any time spent in receipt of cash SNA that was funded in part or in whole by TANF block grant would count toward the 60-month federal limit.

Section 2 provides for an effective date 180 days following enactment; provided however, that effective immediately, the addition, amendment and/or repeal of any rule or regulation necessary for implementation of the bill is authorized.

Effects of present law which this bill would alter

This bill would amend §350(2)(a)(iii) of the Social Services Law.

Justification

On August 22, 1997, New York State's Welfare Reform Act of 1997 (WRA) was signed into law. It represented the State's response to federal welfare reform and a substantial reshaping of New York's public assistance programs. Under the new statute, the State's Aid to Families with Dependent Children (AFDC) program was replaced with the federally-funded Family Assistance (FA) program. Because 50% of the costs of the FA program are federally funded, with the State and localities equally sharing the remaining costs, numerous provisions of this programs are dictated by federal law. As such, nearly every FA recipient is restricted to a 60-month lifetime limit on the receipt of benefits.

Article XVII of New York State's Constitution requires the State to provide for the aid, care, and support of the needy. In order to comply with this mandate, the State must continue to provide for those individuals who are ineligible for TANF-funded assistance or who have exhausted the time limit on receipt of federal benefits. The Welfare Reform Act addressed this requirement through the authorization of the Safety Net Assistance (SNA) program, which incorporates end expands the

provisions of the former Home Relief (HR) program. The costs of the SNA program are shared equally between the State and the localities. In shaping the SNA program, the State enacted provisions that partially modeled federal law. Recipients are eligible for a lifetime limit of 24 months of cash Safety Net assistance. After that period is exhausted if otherwise eligible, individuals may receive non-cash assistance. Despite this statutory construct, almost all SNA recipients receive assistance in a similar manner, regardless of whether they are receiving cash or non-cash SNA.

In addition to the State-imposed 24-month limit on receipt of cash SNA, New York enacted another time limit not required by federal law. §350(2)(a)(iii) of the Social Services law provides that any month in which an individual receives cash assistance in the SNA program must count against the federal 60-month limit. This time limit actually prevents the State from utilizing federal funds to offset the cost of providing assistance to eligible individuals. For example, couples without children currently receive assistance through the SNA program. If a couple has a child at some point in the future, the household, if otherwise eligible, would receive TANF-funded assistance. However, current statute provides that up to 24 months in which the couple received cash SNA would count toward the federal time limit. Therefore, instead of receiving up to 60 months of federal assistance, the couple could only receive 36 months of FA. After exhausting the 36-month time period, if the couple remained eligible for assistance, they would be returned to the state and locally funded SNA program.

The state Constitution requires the State to provide care to the needy. In these difficult fiscal times, it is illogical not to maximize use of federal funding. Enacting this legislation would provide a rational step toward alleviating the fiscal burdens on the state and local governments while ensuring that we continue to meet our Constitutional mandate.

Prior legislative history

2009-10: S.2082/A.6812 - Passed both Houses, Veto Memo 6776 2007-08: A.2971

Fiscal implications for state and local governments

Undetermined savings to the state and local governments.

Effective date

180 days.