Welfare Transition

Welfare Transition Work Activity Definitions August 2007

PRWORA • Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) of 1996 • Changed welfare from an entitlement into a work program • 12 work activity categories were named • The work activity categories provided by the federal government under this Act did not have definitions, states determined what services and activities would be allowed under each category

Deficit Reduction Act • In 2006, the Deficit Reduction Act reauthorized the original TANF block grant • Directed Secretary of Health and Human Services (HHS) to publish regulations • States were defining the work activities differently • Some states allowed very broad definitions, which allowed a lot of different services as countable work activities • For example, caring for a sick family member or going to substance abuse treatment was considered community service in some states • The states were not being compared equally based on the work activity definition differences

Deficit Reduction Act • Regulations must ensure consistent measurement of work participation rates by • Defining work activities and what types of services were allowable to receive credit for hours under work activities • Defining who is required to participate in work activities and will be included in the work participation rates, “work eligible” • Establishing equal and stringent supervision and documentation requirements for all states

Deficit Reduction Act • Interim Final Regulations • Required each state to develop work activities consistent with definitions based on the federal definitions of the work categories • Required each state to submit a work verification plan • Required the state’s plan to be approved and implemented by September 30, 2007

Deficit Reduction Act • The State’s Work Verification Plan must • Describe all of the services included under each work activity • To receive credit for hours participating in the work activity, the services must meet federal definitions • Describe how countable hours are identified, credited and proven • Describe the supervisory process for each unpaid activity • Describe documentation requirements for each activity • Describe monitoring and internal controls

Participation Rates • States are required to engage all work eligible TANF recipients in the employment and training program • States are to engage participants in work activities that help the participants reach their goals and ultimately self-sufficiency • Success is gauged by the percentage of participants that actually attend certain activities • Engaged in specific “countable” work activities • Engaged in a specific number of hours in “core” activities • May be engaged in additional hours in “core plus” activities once the “core” requirement is met for the family

Participation Rates • The number of hours required in a core activity depend • On the family type • The participation rate being calculated

All Family Rate 20 hours in core activity(ies) 30 hours total Inclusions All two-parent families All single-parent families Exclusions Subject to sanction Single parent family with a child under 12 months (time limited) Exceptions Child under the age of six requires only 20 hours total (all in core activities) Two-Parent Family Rate If subsidized childcare is received and neither parent is disabled 50 hours in core activity(ies) 55 hours total Subsidized childcare is not received and neither parent is disabled 30 hours in core activity(ies) 35 hours total Exclusions Families with a parent that has a documented limitation/disability lasting greater than 30 days and entered in OSST as a medical deferral lasting greater than 30 days Subject to sanction Credit for Participation Rates

Participation Rates • The State must prove that half of all families with a work eligible adult receiving assistance are participating in work activities that are • Designed to engage the parent in reaching goals • Designed to engage the parent in gaining skills • Designed to move the family from welfare to work

Participation Rates • The State must demonstrate that 90 percent of two-parent families with work eligible adults receiving assistance are participating in work activities that are • Designed to engage the parents in reaching goals • Designed to engage the parents in gaining skills • Designed to move the family from welfare to work

The PRWORA (from which the Federal Regulations are derived) Requires a family receiving cash assistance to be engaged in a work program Further limited to work eligible individuals in 2006 Requires work eligible individuals in a family receiving cash assistance to engage in work activities defined under Federal Regulations Gives states credit for engaging a work eligible participant in a minimum number of hours in certain work activities defined by the Federal Regulations What is Assignment Versus Credit?

We assign participants to activities based on Goals Needs Work activity definition/requirements A participant cannot be required to do more than 40 hours per week based on Florida Statutes We do not assign hours based on what the participant may get credit for under deeming (Community Service/Work Experience) What is Assignment Versus Credit?

What is Assignment Versus Credit? • We assign participants to hours in work activities to ensure participants are moving in the right direction • Most RWBs require that each work eligible parent complete between 35 and 40 hours per week

What is Assignment Versus Credit? • But what do we get credit for? • Engaging families in the minimum number of hours in work activities • Based on family type • Recording that the families completed the minimum number of hours in countable work activities • Retaining documentation that the families completed the minimum number of hours in countable work activities

Assignment Versus Credit? • We record what a participant actually completed based on • The number of supervised hours a participant actually completes • The number of supervised hours recorded on signed documentation • Deeming requirements (Work Experience and Community Service only) • Sometimes a participant completes more than (s)he is assigned • Sometimes a participant is credited with more hours than they actually completed (Deeming)

Assignment Versus Credit? • Critical elements for accountability • Participants need to • Recognize the assigned activities • Recognize assigned hours • Recognize and understand expectations to complete steps to achieve goals • Hourly requirements • Must be in writing • Must be agreed on by both parties

Question • The participant has not come to an appointment. This is his first meeting/orientation. The requirement is not in writing. Can he still be held accountable for not attending?

Answer • Yes • There will be some circumstances when a requirement may not be in writing and signed in the IRP • Orientation letter • Appointment letter • Activity agreed on over the phone after a counseling contact

Answer • However, if we meet with the participant, requirements should be reviewed, put in writing, agreed on and signed by both parties • Written requirements demonstrate an agreement with the participant • Written requirements provide a reminder for the participant

Assignment Versus Credit? • Case managers should discuss with participants how to document their hours using time sheets, pay stubs, job search forms, etc. • Case managers should review with participants • How to fill out the document • How to secure signatures from the correct party • What information is required for the document to be accepted • When the documentation is due

Assignment Versus Credit? • Case managers should encourage participants to complete required hours • Case mangers should encourage participants not to exceed hours required for the program • Especially for worksite activities • The RWB may opt to create a disclosure document regarding completing hours above the number assigned by the RWB

Work Activities FAIRPAY! Need Work!

Work Activity Categories • Twelve federal work activity categories • Unsubsidized Employment • Subsidized Private Sector Employment • Subsidized Public Sector Employment • Work Experience • Job Search and Job Readiness Assistance • Community Service Programs • Vocational Educational Training • On-the-Job Training • Providing Childcare • Education Directly Related to Employment • Job Skills Training Directly Related to Employment • Satisfactory Attendance in a Secondary Education Program

Work Activity Categories • Federal core activities • Unsubsidized Employment • Subsidized Private Sector Employment • Subsidized Public Sector Employment • Work Experience • Job Search and Job Readiness Assistance • Community Service Programs • Vocational Educational Training • On-the-Job Training • Providing Childcare

Work Activity Categories • Federal core plus activities • Job Skills Training Directly Related to Employment • Education Directly Related to Employment* • Satisfactory Attendance at a Secondary School or in a Course of Study Leading to a GED*

What Counts for Teens?* • Teens without a diploma or GED and are under age 20 will be included in the numerator of the participation rate if they are a • Single parent family • And satisfactorily attend a GED or diploma program each week • And participate in 20 hours a week in Education Directly Related to Employment • Two-parent family • And both satisfactorily attend a GED or diploma program each week • And both participate in 20 hours a week in Education Directly Related to Employment

Question • Can the teen parents without a GED or diploma participate in different activities (for a two-parent family)? • One parent may be in a GED program and the other in 20 hours of Education Directly Related to Employment • The activity is based on the participant’s age, receipt of a high school diploma or an equivalency diploma, and the participant’s goals

Work Activity Definitions

Unsubsidized Employment • Is a full or part-time job in the public or private sector • Wages are paid by the employer and are not subsidized by any public program • Included in this definition are • Employers who receive tax subsidies for hiring lower income individuals • Individuals who are self-employed • Includes • Employers claiming a tax credit • Labor in exchange for services (“in-kind” work) • Self-employment

Unsubsidized Employment • Hours spent in unsubsidized employment are assumed to be supervised based on wages • Employment verification must be received prior to recording the job on the Skill Development screen • Documentation verifying employment must include wages at hire, hours at hire, start date, employer’s name, etc.

Unsubsidized Employment-Self Employment • The individual is both the employee and employer • May include “in-kind” work (work for services rendered, rent, etc.) • Countable hours are determined by • Dividing the individual’s documented income (gross income less business expenses) by the higher of the Florida or federalminimum wage • Case managers cannot take a participant’s statement of hours and pay when recording self-employment

Subsidized Employment • The employer receives a subsidy from TANF or other public funds to offset wages and/or costs of employing a recipient • Private subsidized employment means the subsidy comes from a private entity or program • Public subsidized employment means the subsidy comes from a public entity or program • Types of subsidized employment include • Work supplementation • Incentive payments • Third party contractor • Supported work for individuals with disabilities • Work study (public only)

Subsidized Employment • Must be supervised daily • Supervision is assumed based on documentation of pay for all subsidized employment • If employment is subsidized by TANF funds, the participant must be supervised daily and hours must be documented by the designated supervising party • Justifies the use of TANF funds • Documents the hours completed to support the use of funds • Daily supervision must be documented and submitted no later than every two weeks

On-the-Job Training • Is training provided to a paid employee while (s)he is working full-time • The employer or an educational institution provides training to the participant to gain skills for job position • The employer (or education institution on behalf the employer) receives a subsidy • The employer is expected to retain the participant as a regular employee (without a subsidy) after training is completed

On-the-Job Training • The difference between Subsidized Public or Private Employment is the focus of the activity • OJT is paid training while working full-time

On-the-Job Training • Contracts must be developed for TANF funded OJT programs • Expectation of retaining employee upon completion • Job title of the participant • Goals of training and employment • Skills required to learn for the job position • Reasons for immediate termination • OJT begin and end dates • Parties responsible for supervising progress and documenting participation

Work Experience • Is defined as structured work in exchange for public benefits (specifically cash assistance and food stamps) • It is engagement with an employer for individuals who • Are not able to gain employment and lack work experience • Must provide an opportunity to gain • General employability skills • Work habits necessary for obtaining employment • Training • Specific job knowledge

Work Experience • Prior to placement • Work experience providers must be evaluated to match the participant • With a position that is related to his/her goals • With an employer who has related needs

Work Experience • Work Experience must be • Intensely supervised • Designated by a contract or agreement • Work Experience may be performed with • A public or private not-for-profit entity • A public or private for-profit entity

Work Experience • Displacement • Employers must notify their employees of their rights • To report and dispute displacement from employment as a result of Work Experience or Community Service • How to report acts of displacement • Cannot fire a paid employee to fill the position with a Work Experience participant • Cannot fail to fill an open position to use a Work Experience participant

Work Experience • The contract regarding the participant’s worksite must include • Party(ies) responsible for supervising the participant on a daily basis • Party(ies) responsible for signing time sheets/documentation of completed hours • The contract for the participant’s worksite participation should include • Job title • Clear job description • The connection between the worksite and the participant’s goals

Work Experience • Work experience contracts must also include • Performance benchmarks • What will the participant be required to achieve prior to completion? • What skills the participant must gain during the Work Experience? • What are the expectations of the employer? • Goals • Outcomes • Time limits

Work Experience • Hours assigned for the month • Cannot be greater than the calculation • Cash assistance amount + Food Stamp Allotment / the higher of the two minimum wage (Florida or federal) • Hours the participant is required to complete each week must be included in the IRP • Currently, the monthly total may be further divided by 4.3 to assign weekly hours and develop a schedule • Those hours must be agreed on by the participant and career specialist • Should be written in the steps-to-self-sufficiency

Work Experience • Hours assigned/calculated should be included in the case notes • Hours assigned must be entered on the activity screen (weekly) • Because the benefits may change monthly, the hours assigned to a worksite must be reviewed and updated monthly • Update the steps to self-sufficiency • Update case notes • Update the Skill Development screen

Community Service Programs • Are structured programs at not-for-profit organizations • Projects must serve a useful community purpose in one of the following fields • Health, social services, environmental protection, education, urban and rural redevelopment, welfare, recreation, public facilities, public safety and childcare • Must be designed to improve employability/help participant reach employment goals

Community Service • Displacement • Employers must notify their employees of their rights • To report and dispute displacement from employment • How to report acts of displacement • Cannot fire a paid employee to fill the position with a Work Experience participant • Cannot fail to fill an open position to use a Work Experience participant

Community Service • The contract regarding the participant’s worksite must include • Party(ies) responsible for supervising the participant on a daily basis • Party(ies) responsible for signing time sheets/documentation of completed hours • The contract for the participant’s worksite participation should include • Job title • Clear job description • How the worksite serves a useful community purpose

Community Service Programs • Hours assigned • Cannot be greater for the month than the calculation allows • Cash assistance + Food Stamp allotment / the highest of the federal or State minimum wage

Welfare Transition