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Immigrant Policy News
The State-Local Report

Volume 3, #3
November 1996

Published by the Immigrant Policy Project
State and Local Coalition on Immigration


Introduction

The Fate of Refugees in Minnesota
by Senator Sandra Pappas, Minnesota Senate

Counties Can't Shoulder Welfare Reform Alone
by Margaret Pena, California State Association of Counties

Welfare Reform is Law-Now What?
by Ann Morse, Immigrant Policy Project

Summary of Changes in Immigrants' Access to Benefits

Things to Know About Welfare Reform

Welfare Reform's Medicaid Implications
by Jeremy Meadows, Immigrant Policy Project

Citizenship Update: Elderly Naturalization Programs in Seattle
by Joan Ebernal, Washington Department of Housing and Human Services

RESOURCES

About Immigrant Policy News...The State-Local Report


Welfare Reform and Immigrants

On August 22, 1996, sweeping changes to America's 60-year-old welfare system became law as President Clinton signed the "Personal Responsibility and Work Opportunity Reconciliation Act of 1996" (P.L. 104-193). Included in this act are many changes that will directly affect U.S. immigrant populations. This issue of The State-Local Report focuses on these changes and how states, counties, and immigrant populations will be affected. We lead this issue with an article from a Minnesota state senator on the fate of refugees in the wake of welfare reform. Devolution of the welfare system will certainly reach beyond state government to county or city service providers; we invited the California State Association of Counties to consider their changing role. To help states and localities in the implementation of this reform, the Immigrant Policy Project provides discussions of the immigrant provisions of the law, summaries of the new programs, and an overview of the Medicaid changes. And finally, we include a 'citizenship update' from the Pacific Northwest on the naturalization of elderly immigrants.

All opinions expressed are those of the authors and their respective organizations and do not necessarily represent those of the Immigrant Policy Project, the State and Local Coalition on Immigration, or the Andrew W. Mellon Foundation.

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The Fate of Refugees in Minnesota
by Senator Sandra Pappas, Minnesota Senate

"If tolerance of diversity involves
an admitted element of risk to national
unity, intolerance involves a certainty
that unity will be destroyed."
-Alan Barth, 1951

For many years, the states have been asking the federal government for fewer unfunded mandates and more flexibility in many public policy areas, but especially regarding welfare. Under the present administration, Minnesota was granted waivers to experiment with welfare and health care reform. Reform in both areas has been piloted and was scheduled to gradually expand throughout the state. And it was working. Minnesota's 1996 AFDC caseload is significantly lower than 1994's. Minnesota was given the flexibility we needed by the current administration. But Minnesota did not expect or want the federal government to absolve itself from responsibility for the poor in general and refugees in particular.

Who is the refugee population?

According to the Refugee Services Office of the Minnesota Department of Human Services, the largest refugee groups in Minnesota are:

  • Hmong 32,000
  • Vietnamese 17,000
  • Cambodian 7,600
  • Laotian 7,200
  • Soviet Jews 4,200
  • Somali Africans 2,500
  • Ethiopian Africans 1,000.

In 1996, the Immigration and Naturalization Service allowed 6,000 more southeast Asian refugees into the U.S. We expect about 1,000 of those to settle in Minnesota. Most Hmong and Soviet Jewish refugees have settled in St. Paul, which is in Ramsey County. The Vietnamese, Cambodian, and Laotian refugees are divided between Minneapolis and St. Paul. Many African refugees have settled in small cities in Minnesota: Rochester, Marshal, Willmar, and Worthington. We do not yet know how many of these refugees have become citizens, but the Council on Asian-American Minnesotans developed the following estimates regarding the non-citizen proportions of the southeast Asian populations in Minnesota:

  • Hmong 62%
  • Laotian 67%
  • Cambodian 63%
  • Vietnamese 45%.

What we don't know yet is how many of the non-citizens and refugees receive government assistance.

Impacts in Ramsey County

Since Ramsey County has the majority of refugees, they are the farthest along in predicting the impact of federal welfare reform. The immediate impacts will be in the area of SSI (Supplemental Security Income for the blind, disabled, and elderly) and food stamps. Refugees will still be eligible for food stamps and SSI for their first 5 years in the country. However, Ramsey County estimates that 3,200 legal immigrants will be denied SSI payments of approximately $500 per month when their annual reviews come up between now and next July. About 7,000 will lose food stamps. Many facing SSI cutoffs are southeast Asian refugees who have been here longer than 5 years. Many fought for the U.S. in Laos during the Vietnam War but do not have veteran status. They have war injuries, severe depression or post-traumatic stress disorders.

Unlike other immigrants, refugees have no financial sponsor and therefore no one legally obligated to provide for their basic needs once they have exhausted their five-year exception to the SSI and Food Stamp bar. Refugees are admitted to this country because they have demonstrated to the satisfaction of the INS officer that they have either suffered persecution or have a well founded fear of persecution and as a result cannot return to their native country. Sometimes, the effects of that persecution render a person unable to work, particularly when combined with advanced age.

Local Strategies

Local strategies are traditional, varied, and creative, involving governmental groups, Mutual Assistance Associations, and other non-profits. A local coalition of church and legal advocacy groups and non-profits have developed "Minnesota Principles for Responsible Welfare Strategies." They support genuine welfare reform that promotes real economic security for families and communities. They plan to use the principles to evaluate any proposed welfare reform plans and to guide their own legislative agenda (see sidebar).

The Mutual Assistance Associations are meeting to educate themselves and their communities about the welfare reform changes. They are also working with the counties and other refugee assistance programs to brainstorm strategies, including: 1) requests to the state to allow flexibility in implementation, 2) financial assistance from the state in key areas, and 3) mass citizenship promotion.

Federal welfare reform does allow the state certain flexibility. Minnesota can retain eligibility for refugees (and legal immigrants) for the state's general assistance program, which provides $203 per month per adult recipient. The state can also reject implementation of the post 5-year refugee ban on federal programs such as AFDC, Medicaid, and Title XX.

A second strategy is to ask the legislature to fully fund state refugee assistance programs that currently have long waiting lists, such as Adult Basic Education (literacy) and English as a Second Language classes. If refugees are expected to work within two years, they have to be able to speak, read, and write English. Many people don't realize that the Hmong population until recently did not have a written language. Many Hmong elderly do not read and write in their native language, doubling the difficulty of learning English.

The third major strategy is "Citizenship Promotion." The Coalition for Citizenship has written a legal education pamphlet on the benefits of citizenship, how to become a citizen and resources for assistance (copies can be obtained from my office by calling 612-296-1802). They also plan to hold mass citizenship application workshops using a model developed by the United Cambodian Association, which has had a 90% success rate. Potential citizens attending the workshop learn the benefits of citizenship, walk through the process, are fingerprinted and photographed, receive a date for the test, and sign up for classes, if needed. They all take the test together and are sworn in together. The mass psychology involved in going through the process together has resulted in an 85% pass rate.

But, the really hard work is changing public attitudes toward immigrants. A coalition of churches recently sponsored a seminar called "Building Hospitable Communities" to begin a dialogue. All the strategies we can develop to deal with welfare reform and immigration laws will be ineffective if we don't confront the intolerance for diversity that is in our communities and promote tolerance and respect for a rich tapestry of cultures in our country.

The State of Minnesota's Reaction

The Minnesota legislature is only in session from mid-winter to spring. Last spring, as we were hearing about proposed changes in welfare rules and cutbacks in federal funding, the common attitude among legislators was that the State of Minnesota should not pick up the tab and make up the difference in federal budget cuts. Minnesota was not going to shield the public from the consequences of federal action. However, those of us representing the inner city are in a tough bind. It is our constituents, our schools, our cities, our counties that will bear the brunt. Will we be able to turn away hungry families and sick elderly? Only 1997 will tell.

Minnesota Principles for Responsible Welfare Strategies

  • Reduce poverty by engaging communities, government, business, and individuals in advancing economic security;
  • Hold public officials, program providers, and welfare participants accountable for making Minnesota's new system successful;
  • Make work pay enough to support families;
  • Provide for economic opportunity and advancement by investing in education and training;
  • Acknowledge the fundamental importance of the care and nurture of children including quality child care;
  • Preserve a safety net;
  • Provide the same supports for all Minnesotans;
  • Allow for consideration of particular family circumstances without "one-size-fits-all" requirements;
  • Treat families and individuals with respect and sensitivity; and
  • Provide families, decision-makers, and the public with access to accurate information.

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Counties Can't Shoulder Welfare Reform Alone
by Margaret Peña, California State Association of Counties

This is a historic and challenging time for California's 58 counties. The California State Association of Counties (CSAC) has long advocated for a wholesale restructuring of the welfare system, one that is more jobs-based and emphasizes the temporary nature of the program. Once the President signed the welfare bill, welfare as we have known it in California for the past 60 years ceased to exist. Thousands of legal immigrants in California will no longer be eligible for benefits, and welfare recipients will be facing time limits within which aid will be cut off. A significant portion of these people will turn to the counties for assistance. Never before have the counties faced serving so many with so few resources.

A quick trip around the state reveals that a number of counties are already experiencing budget shortfalls. Sacramento County reports an $11.4 million budget gap that it proposes to close by instituting furloughs, scaling back park services, reducing probation officers and instituting a three-month time limit for General Assistance. These are not good alternatives. Sacramento has had to cut services equal to about $90 million in the past five years. In addition, Sacramento expects to face an even larger deficit of $24 million next year. Alameda County has also had to face a $74 million deficit. Lace County began its 1996-1997 budget process with a $14 million gap. Los Angeles County began its budget process facing a $516 million shortfall, and Butte County faced a $2 million hurdle. These examples are reflective of the budget crises currently being experienced in each of California's 58 counties.

With that as a backdrop, we turn to welfare reform. Clearly the greatest impact on the counties will be the legal immigrants who are permanently barred from federal programs. For the current legal immigrants, there is a permanent ban on their receipt of SSI and food stamps. According to the Social Security Administration, 31.5% of the aged, blind, and disabled categories that make up the SSI recipients in California are non-citizens. Excluding the exempt categories such as refugees and veterans, approximately 323,486 persons out of 1,025,584 are vulnerable for loss of their SSI benefits once the welfare bill is in full force. For future legal immigrants, there is a permanent ban on those same programs. Legal immigrants losing their SSI eligibility status may also be barred from In-Home Supportive Services. This means the elderly and disabled will turn to counties for their financial and health care. The whole notion of IHSS is to avoid the high costs of hospitalization or nursing homes. Elimination of that cost-saving service will mean the cost of care will soar.

To put it in real world terms, Sacramento County could see up to 13,000 individuals dropped from SSI/SSP, Los Angeles 93,000, and Alameda 13,000, with 40% of Santa Clara's IHSS population eliminated from coverage. The costs to county General Assistance programs and indigent health care would spiral, leaving counties unable to meet other vital commitments such as administration of the courts and other important public health and safety programs. Under a worst-case scenario, based upon results from 35 counties, the potential annual cost to county general assistance programs could rise to $1.3 billion annually. Clearly, counties are not in a position to absorb these costs. One solution to mitigate these impacts could be passage of a law which relieves counties of the responsibility of serving this population, and CSAC would probably support that. But such a law would likely be tied up in court based upon constitutional precedent that prohibits the federal government from delegating its responsibility for immigrants to the state and local governments. Also, we would continue to serve immigrants in our county hospital emergency rooms at our expense. A better solution, we think, is to shift responsibility to the state for the general assistance program. Not only does it make sense to have one welfare system in the state instead of two, but we wouldn't continually run up against the tension between eliminating persons from one program only to see them migrating to the other program.

The state may also elect to ban current legal immigrants' eligibility for the Temporary Assistance for Needy Families (TANF) program (formerly AFDC) and non-emergency MediCal services until naturalization. While welfare reform allows for testing and treatment of immigrants, it does not allow for Medicaid money to be spent. It is imperative for counties, and the state, that this coverage remain in place and federal dollars continue to flow. Not only are the counties not equipped to financially absorb this influx of persons onto county general assistance and indigent health programs, but it also poses dire consequences to the well-being of the state. The rest of the population will remain vulnerable as communicable diseases such as tuberculosis are not diagnosed and treated early. It is interesting to note that one study reports that 71% of patients interviewed who have TB reported that it was diagnosed when they sought care for one of TB's symptoms: coughing, fatigue, fever, swollen glands, or weight loss. If the state elects to ban current legal immigrants from MediCal, there will be no opportunity to catch and treat routine infections before they become emergencies.

These figures do not even include the new legal immigrants that will be coming into California's counties and are permanently banned from SSI and food stamps. The federal welfare reform places a five-year ban on every other federal program including TANF and non-emergency Medicaid. After the five years, the states must apply "deeming" which will count the sponsor's income in determining eligibility until the immigrant is naturalized or has worked for 10 years. But the state may extend the ban on TANF and non-emergency Medicaid until naturalization.

This extension is not something that would be in the counties' and the state's best interest. Not only would this ban continue the pressure upon the counties for financial and health assistance, there would be tremendous side-effects upon the communities and the state as a whole. Homelessness would increase and health care costs would rise as persons seek emergency care for matters that should have been handled routinely and communicable diseases would likely spread.

Cash-strapped counties are also very wary of the time-limited aid restrictions of the new bill. Persons would be eligible for TANF only for two years, after which time they must find a job. Furthermore, there is a five-year, life-time, federal limit for this program. This means for many counties with high unemployment that there will not be enough jobs to move persons into the job market. Glenn County, for example, has about 2,000 households (assuming 1.6 employable persons per household) receiving public assistance under AFDC. About 60% of these households would have to transition off welfare and into the workforce within the first two years. About another 20% would have to transition into the workforce within five years. The remaining 20% would continue to receive some sort of assistance since many of these persons are disabled or children without parents. A total of 80% would have to transition into employment within two to five years. For Glenn County, this translates into the creation of 3,200 jobs during this period. Failure to accomplish this goal will lead to widespread poverty and greater strain on local resources such as General Assistance and indigent health care.

We must involve the private sector and the Employment Development Department (EDD) in establishing a statewide plan for job creation. Our economic and tax policies must encourage businesses to provide employment opportunities and health insurance to welfare recipients. There must also be a partnership formed between the Department of Social Services and EDD so that they likewise have a stake in the welfare-to-work programs. Job creation and economic development cannot be solely left to the counties.

Sacramento County estimates that with time limits in place, 47,000 heads of households over the next five years will need to find employment in Sacramento. This population, however, will be competing with persons who have been displaced as a result of base closures and businesses downsizing. Sacramento County is fearful that given the fierce competition for positions, welfare recipients will only be qualified for low-wage positions. They caution that 47,000 new low-wage jobs which pay $800 to $900 a month will not be available. Further, even if available, they will not provide medical benefits nor a sufficient income and other essentials for a recipient to afford childcare, housing, transportation, and food costs. Alameda estimates that these time limits will result in loss of cash assistance to over 6,000 families who will turn to county programs for help.

In designing a new program, welfare must be a part of a larger social contract that a recipient agrees to when he or she walks in the door of the welfare office. Job search activities must be mandatory for able-bodied persons as soon as they apply for assistance. For others who require more in-depth services, counties must have the flexibility and resources to address the individual problems of the recipient. If the recipient needs child care or drug and alcohol treatment, funds must be available to provide those services. It is only with adequate resources and flexibility that counties can truly address the fundamental barriers that many families have to self-sufficiency.

Given the facts and figures stated above, it is clear that counties, without assistance, cannot climb out of the financial pit created by federal welfare reform. No one local government entity in the state should be expected to shoulder the costs of the entire impact of welfare reform. The solution must be one of cooperation between all levels of government including the state, cities, and counties.

Adapted from testimony before the California Assembly Human Services Committee on August 19, 1996.

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Welfare Reform is Law --Now What?
by Ann Morse, Immigrant Policy Project

Unexpectedly to many, the law ending the 60-year federal guarantee to poor families also ended immigrants' access to a broad range of means-tested programs. The new bars, restrictions, and options will create many challenges for states and localities: cost shifts from federal programs to state and local safety net programs, secondary consequences such as the potential loss of Medicaid benefits for elderly immigrants made ineligible for SSI, and new verification programs for a host of newly-affected benefit programs, not to mention the expected litigation as the new welfare law is tested in the courts.

State and local officials are beginning to understand the complex intersection between welfare programs and immigrant eligibility dictated in the new law. Much remains to be determined in federal regulations, and Congress will certainly be revisiting welfare reform to provide clarification of Congressional intent and perhaps to make policy changes. In the meantime, states and localities are grappling with implementation as best they can. This article outlines the first steps in implementation and where potential changes may come in the next year.

TANF

The entitlement to welfare (AFDC) is gone. In its place is the new Temporary Assistance for Needy Families (TANF), a capped block grant to states. As of January 1, states have the option to provide or deny TANF to immigrants: Thirty-two states have submitted state plans to HHS as of October 18. Of these, 28 states plan to continue assistance to current immigrants (defined as those residing in the U.S. on or before August 22, 1996). Alabama, Kentucky, South Carolina and Wyoming plan to discontinue TANF to current immigrants. Of the 28 that will provide TANF to immigrants, four states plan to serve new immigrants as well as current immigrants. Maryland, Nebraska, Utah, and Vermont will treat new immigrants the same as other state residents and serve them with state-only funds. Maine intends to deem new applicants (including current immigrants) as of November 1 until the immigrant becomes a citizen or works 40 quarters. Current recipients are eligible through December 31.

The state plan does not have the effect of law and can be modified at any time. In some states, the governor has consulted with the legislature before submitting a plan. Any element of the state plan that requires a change in state law will involve the legislature. State legislatures also have a role in deciding how the block grant money will be spent. Many states submitted fairly short and general plans simply to get the block grant money started. Many of them will probably make comprehensive statutory changes to their welfare systems over the next 12 to 24 months.

As of October 18, the following states had submitted welfare plans: Wisconsin, Michigan, Ohio, Florida, Vermont, Massachusetts, Maryland, Oregon, Arizona, Kentucky, Maine, Oklahoma, Tennessee, Utah, Alabama, Connecticut, Indiana, Kansas, Louisiana, Mississippi, Missouri, Nebraska, New Hampshire, South Dakota, Texas, California, New Jersey, South Carolina, Wyoming, New York, Nevada, North Carolina.

SSI and Food Stamps

All immigrants are barred from these two programs until citizenship or 10 years of work. Refugees, asylees, and those granted withholding of deportation may receive benefits for their first five years in the U.S. Veterans, those on active-duty, their spouses and dependent children may also receive benefits.

New applicants for SSI must meet the new eligibility requirements. Unless the immigrant meets one of the exempted categories, the bar is in effect. For immigrants currently receiving SSI, the Social Security Administration (SSA) will send out letters in February and March of 1997 explaining the changes in the law and what is needed to prove eligibility under the new categories. If the recipient is no longer eligible, SSA will send a second letter with the date the SSI benefits will stop. SSA will also send additional information about Medicaid to those who lose SSI benefits. For more information, call SSA at 1-800-772-1213.

As of September 22, new applicants for food stamps must meet the new eligibility requirements. Unless an immigrant applicant meets one of the exempted categories, the bar is in effect. Current immigrant recipients may continue to receive food stamps until April 1, 1997 and must be recertified against the new eligibility rules by August 22, 1997. States are sending out notices to all current recipients about welfare reform changes. Food stamps have a set benefit period and when the period is up, recipients must be redetermined for eligibility. If determined eligible, the recipient receives a new benefit period and benefit level. If the recipient is no longer eligible, benefits are discontinued. Due process rules apply - for example, recipients may request a hearing if benefits are ended. States are subject to penalties if error rates are too high, that is, if individuals are receiving benefits when they are no longer eligible.

5-year Bar

Most immigrants arriving after 8/22/96 are barred from federal means-tested public benefits for five years. HHS must issue a definition of "means-tested public benefit"; until then, states are advised to "proceed with caution" before denying benefits. States have been directed to use their current eligibility verification processes.

[See "Summary of Changes in Immigrants'Access to Benefits" for exemptions.]

40 Qualifying Work Quarters

Immigrants achieve parity with citizens after working 40 qualifying quarters in the U.S. Minor children may be credited with qualifying quarters and spouses may be credited (unless the marriage ends in divorce). In October, Congressman Shaw sent a letter to the Commissioner of Social Security providing guidance on the intent of Congress regarding 40 qualifying quarters of coverage: "Any earnings of a noncitizen for work legally performed in the United States - not just covered earnings - should be used in the quarters of coverage calculation." Work quarters are based on the total yearly amount of earnings. To earn a qualifying work quarter in 1996, for example, an immigrant must earn a minimum of $640/quarter. Beginning in 1997, the immigrant must also not receive any federal means-tested public benefit during that quarter.

Immigrants may have difficulty proving employment, particularly migrant workers and domestic workers. SSA is developing an automated system (expected to be up and running in January) to provide overnight verification to states. Until then, if an immigrant has lived in the country for more than 10 years, his or her attestation of 40 quarters is sufficient and no further documentation at application is required. However, within 3 months after SSA's automated system is in place, the state agency must submit the required information to SSA for verification. If there is a discrepancy between SSA records and the applicant's records, SSA will work with the applicant to determine whether additional quarters can be established. Pending this determination, the individual will be allowed to participate for 6 more months. If SSA cannot establish qualifying quarters, states shall establish an inadvertent household error claim for the overissuance. Regulations on 40 quarter verification are forthcoming.

Verification

The law requires INS to issue regulations within 18 months requiring verification that an applicant for a means-tested program is a qualified alien and eligible for the benefit. States administering public benefits must comply with the verification system within 24 months of the regulations.

INS currently runs a verification system called SAVE that states can use to check immigrants' eligibility for six federal programs (AFDC, Medicaid, food stamps, housing assistance, education, and unemployment insurance). Agencies can get a waiver from participating in SAVE if they have an equally effective way of verifying immigrants' status or if the costs of SAVE would exceed the amount of savings derived from using it. The system currently provides an "authorized/not authorized" response regarding immigration status. It does not determine program eligibility. Some issues to be resolved are the potential for disparate impact as 50 states set up verification systems and the likelihood of logjams at INS to enroll agencies in SAVE and to process verification. For example, there are only 137 status verifiers at INS nationwide.

To implement the new eligibility requirements, states will need to revise application forms and train intake workers, and may need to purchase new equipment or information systems. New questions for applicants will include: citizen or noncitizen; immigration status (for exempted groups such as refugees); length of time in the U.S. (for time-limited exemptions); proof of military service (for military exemption); and proof of work history (for 40 qualifying quarters exemption). States must also take steps to avoid discrimination in determining eligibility.

Citizenship

According to Robert Bach of the INS Office of Policy and Planning, one million naturalization applications are projected in each of the next three years. This increase, double that of previous years, is due primarily to three factors: immigrants who were granted amnesty in 1986 are now becoming eligible for citizenship; eligible immigrants with green cards that must be replaced are seeking citizenship instead; and the recent increase in anti-immigrant sentiment. The main reasons people don't naturalize, he says, are due to lower education levels, lack of English proficiency, and low-income. For states and localities who want to assist with naturalization, he recommends: 1) providing a site for naturalization ceremonies; 2) providing education, such as English classes at community colleges; and, 3) supporting outreach, particularly to elderly and disabled populations. For additional information on naturalization and citizenship, call Citizenship USA at 202-305-4922.

Legal Issues

Josh Bernstein of the National Immigration Law Center notes that the legislation shifts responsibility for some portion of services from the federal to state and local levels and to nonprofits. The degree of the cost shift is an open question, to be decided by the courts, the federal government, and the decisions that states make. The following are some of the issues likely to be reviewed in court.

Equal protection. In Graham v. Richardson, 1971, the Supreme Court struck down state laws denying legal immigrants' access to state welfare programs because they violated the 14th Amendment of the U.S. Constitution (the equal protection clause) and because they infringed on the federal government's plenary power over immigration policy. States may not classify persons for government benefits based on a "suspect" classification (such as alienage, race, or ethnicity) absent a compelling government interest. The Court held that a state's interest in reducing welfare spending was not sufficient to justify the classification. In Mathews v. Diaz, 1976, the Court ruled that federal power over immigration law is broad enough to permit the federal government to make distinctions between citizens and aliens and among various groups of aliens. But, the Court said that states do not have a legitimate basis for treating citizens and legal immigrants differently. It is unclear whether the present Court would extend this rationale to permit the federal government to delegate its immigration authority to the states. Even if permitted, it is questionable whether the delegated authority would allow states to violate the equal protection clause.

Furthermore, a question will be raised whether Congress can institute a permanent bar to an entitlement program (food stamps and SSI). The rationale in the Mathews case allowed Congress to limit immigrants' ability to buy-in to Medicare Part B by requiring five years of residence. The Court ruled that Congress could make distinctions between short-term permanent residents and those who had lived in the U.S. long enough to satisfy naturalization residency requirements. In the welfare law, unlike the durational bar for Medicare, legal immigrants may never qualify for the SSI and Food Stamps entitlement.

State constitutions and obligations to serve the poor. As many as 22 states may have a constitutional provision imposing some degree of obligation on the states to provide for their residents' well-being by addressing issues of poverty, education, housing, shelter and nutrition, according to the American Public Welfare Association.

Right to due process and fair hearing. Constitutional requirements for due process prohibit states from "depriving any person of life, liberty or property without due process of law" (e.g., public notices and hearings).

Regulations

Congress authorized an exemption for which both "qualified" and "not qualified" aliens will continue to be eligible: programs specified by the Attorney General that a) are in-kind, community level services; b) do not condition the provision of assistance, the amount of assistance provided, or the cost of assistance provided on the individual's income or resources; and c) are necessary for the protection of life or safety. On August 23, the Attorney General issued a provisional definition of these programs to include crisis counseling and intervention programs related to child protection, adult protective services, domestic violence, mental illness and substance abuse; short-term shelter or housing assistance for homeless, victims of domestic violence, or runaway, abused, or abandoned children; assistance related to heat, cold, or other adverse weather conditions; soup kitchens, community food banks, meals on wheels; and medical and public health services necessary to protect life or safety.

The INS has issued an interim rule defining lawfully present in the United States for purposes of Title II Social Security benefits (retirement, disability and Medicare Part B). The INS has also issued a proposed rule on exceptions to educational requirements for naturalization applicants with physical or developmental disability or mental impairment.

Regulations still to come:

  • INS will issue regulations on the new legally-enforceable affidavit of support on December 29; the new affidavits will be effective within 60-90 days thereafter.
  • HHS is working on the definition of "means-tested public benefit", and a definition of "federal public benefit".
  • States must define "state public benefit", consistent with the forthcoming federal definition.
  • INS must issue regulations on verification within 18 months (no later than February 22, 1998).

Congress

The 105th Congress convenes January 7, and in the words of Congressman Shaw, "welfare reform has just begun." A welfare reform technical corrections bill is anticipated to clarify Congressional intent, and substantive policy changes may be considered. President Clinton, before signing the bill, promised to address certain food stamp provisions and treatment of legal immigrants. He has also expressed his intention to promote training and job opportunities for welfare to work. However, any attempts to protect particularly vulnerable populations such as children and the elderly must be reconciled with continued budget deficit realities.

Contributors: Carl Tubbesing, Sheri Steisel, Joy Johnson Wilson, Jon Dunlap, and Lynda Flowers of NCSL's staff.

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Summary of Changes in Immigrants' Access to Benefits

  • SSI and Food Stamps. Most noncitizens lose SSI and Food Stamp benefits by 8/22/97 unless they become citizens, can demonstrate 10 years of work, or meet the 5-year or military exemptions below.
  • Five-Year Bar. Most new immigrants (arriving after 8/22/96) are barred from federal means-tested benefits for 5 years. (See exemptions below.)
  • Deeming. After the 5-year bar, new immigrants that have sponsors must include their sponsors' income when applying for federal means-tested benefits until the immigrant attains citizenship or 10 years of work.
  • TANF, Medicaid and SSBG. States have the option to determine current immigrants' eligibility for TANF, Medicaid and SSBG after January 1, 1997 and new immigrants' eligibility after the 5-year bar. (See exemptions below.)
  • State and Local Programs. States have the option to provide or bar state funded programs for current and new immigrants. State and local programs may deem for new immigrants with enforceable affidavits of support, effective March 1997. (See exemptions below.)
  • "Qualified" and "Not Qualified Aliens." Only "qualified" aliens are eligible for federal public benefits. Only "qualified" aliens, nonimmigrants, or those paroled into the U.S. for less than one year are eligible for state or local public benefits. (See below.)

Five-year exemption: Refugees, asylees, and those granted withholding of deportation are exempt from the food stamps and SSI bar for their first five years in the U.S., and from the five-year bar for new immigrants. They are eligible for TANF, Medicaid , SSBG, and state and local programs for their first five years.

Military exemption: Veterans, active duty military, and their spouses and unmarried dependent children are exempt from the food stamps and SSI bar and the five-year bar for new immigrants. They are eligible for TANF, Medicaid, SSBG, and state and local programs. They are subject to the new deeming.

Programs exempted from the 5-year bar: The following 11 benefits are exempt: emergency medical assistance; emergency disaster relief; national school lunch benefits; child nutrition act benefits (including WIC); public health assistance (not including Medicaid) for immunizations, testing and treatment of symptoms of communicable diseases; foster care and adoption assistance (foster/adoptive parent must be qualified alien); programs determined by the Attorney General to be necessary for the protection of life or safety (such as soup kitchens, child protection, and short-term shelter); higher education; means-tested programs under Elementary and Secondary Education Act; Head Start; and the Job Training Partnership Act. All refugee program activities for Cuban and Haitian Entrants are also exempted.

Programs exempted from state and local deeming option: The following seven benefits are exempt: emergency medical assistance; emergency disaster relief; national school lunch benefits; child nutrition act benefits; immunizations, testing and treatment of symptoms of communicable diseases; foster care and adoption assistance; and programs determined by the state Attorney General to be necessary for the protection of life or safety.

Individuals exempt from deeming: An immigrant may be exempted from deeming for up to 12 months if he or she would go hungry or homeless without the assistance. Battered spouses and children may be exempt from deeming for 12 months if there is a "substantial" connection between the abuse and the need for benefits and the immigrant no longer resides with the batterer. After 12 months, assistance may be continued if the battery is recognized by a court order or the INS.

"Qualified alien": "Qualified" aliens are defined as lawful permanent residents, refugees, asylees, those granted parole for more than one year, those whose deportation has been withheld, conditional entrants before 1980, and certain victims of domestic violence.

"Not qualified alien": This term includes illegal immigrants, family unity, temporary agricultural workers, asylum applicants, and PRUCOL aliens. PRUCOL includes those granted indefinite departure, residing in the U.S. under orders of supervision, who have lived in the U.S. continuously since January 1, 1972, granted stays or suspension of deportation; and other aliens whose departure the INS does not contemplate enforcing. These aliens may receive emergency medical assistance, emergency disaster relief, public health assistance for immunizations and for testing and treatment of communicable diseases, and programs specified by the Attorney General. School lunch and school breakfast are available to all immigrants regardless of status. To provide benefits to "not qualified aliens," Congress requires states to pass a law affirmatively providing such eligibility.

Sources: Personal Responsibility and Work Opportunity and the Illegal Immigration and Immigrant Responsibility Acts of 1996.

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Things to Know About Welfare Reform

TANF. A capped block grant to states, replaces AFDC (the individual entitlement to cash assistance), emergency assistance, JOBS and administration costs. TANF funds must be spent on families with minor children. $82.8 billion in block grants is available over the next five years.

Time limits. Everyone, citizen or noncitizen, is limited to a maximum of 60 months of TANF. No federal funds may be used for parents or children after the 60 months is used up. (After a parent's five years is complete, minor children may receive five years of assistance as child-only cases.) States may implement shorter time limits, or may extend assistance with state-only funds. States may exempt up to 20% of their caseload from the five-year limit for hardships. Federal penalties of 5% of the TANF grant apply if the states fail to enforce a time limit.

Work. Adults in families receiving assistance under the TANF block grant must find work after 24 months. States define what counts as employment. Families who do not meet work requirements will have their assistance reduced or terminated.

Work participation requirements. In the current fiscal year, 25% of all families on assistance must have a parent working in a federally-defined work activity. By FY 2002, 50% of families on assistance must have a parent at work. 75% of all two-parent families must be working this year; by the year 2002, 90% must be working. States that fail to meet the work requirements will be penalized 5% of their TANF block grant in FY97, up to 21% in later years .

Child care. The law ends the guarantee for subsidized child care for families on or leaving welfare. AFDC/JOBS, at-risk and transitional child care are consolidated into a capped block grant to states of $20 billion over six years. Legislators must target most of the money for child care for welfare recipients, people in work programs who are attempting to leave welfare, and people at-risk of going on welfare.

SSBG. To meet deficit reduction targets, the law reduces by 15% the social services block grant, another source of child care funds.

Food stamps. The food stamp program remains an uncapped, individual entitlement. A new work requirement has been added. Able-bodied recipients age 18 to 50 may get food stamps for more than three months in a 36-month period only if they are engaged in work or a work program. States may establish a simplified food stamp program, combining food stamps with TANF.

State Maintenance of Effort. States must continue to spend at least 80% of what they spent for AFDC in 1994 on assistance for welfare families with minor children.

Administrative Costs. States are allowed 15% of their TANF money and 5% of their child care block grant money for administrative costs. Information systems do not qualify as administrative costs; legislatures may fund them from the rest of the block grants. The act does not provide money for interstate tracking of welfare recipients.

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Welfare Reform's Medicaid Implications
by Jeremy D. Meadows, Immigrant Policy Project

While Congress failed to enact Medicaid reform legislation, it did complete action on welfare reform legislation that will impact the Medicaid program. Briefly, the Personal Responsibility and Work Opportunity Act of 1996 (P.L. 104-193):

  • repeals AFDC, JOBS, and Emergency Assistance and removes the
  • automatic link between AFDC and Medicaid;
  • narrows the definition of disability for purposes of determining
  • children's eligibility for Supplemental Security Income (SSI);
  • and restricts the benefits for which legal immigrants qualify.

The restrictions in Medicaid benefits to immigrants is estimated to save $5.3 billion in federal expenditures from FY1997 to FY2002.

Under the provisions of the Act, eligibility under TANF does not entitle beneficiaries to receive Medicaid. The Act also provides that any individual who would have been eligible for Medicaid under the AFDC plan in effect in the state on July 16, 1996 would be eligible for Medicaid. As a result, the Congressional Budget Office (CBO) estimates that there will be no substantial impact on Medicaid benefits as a result of the TANF block grant. It is believed that most former AFDC beneficiaries will retain Medicaid eligibility due to protections included in the Act.

The Supplemental Security Income provisions related to disabled children are expected to save $230 million in federal Medicaid spending between FY1997 and FY2002. Many children who lose SSI eligibility will qualify for Medicaid on some other basis; however, there is a significant number of children who will no longer qualify for Medicaid.

The act establishes a new category of immigrants, "not qualified aliens," who are legally residing in the United States but are ineligible for most federal public benefits. "Not qualified aliens," [who are principally undocumented immigrants and some PRUCOL aliens,] are barred from assistance under federal public benefits programs, with the following exceptions:

  • Emergency Medicaid services;
  • Short term, in-kind disaster relief;
  • Public health immunizations and public health testing and treatment for symptoms of communicable diseases (no Medicaid funds may be used);
  • Housing benefits received by the immigrant on the date of enactment;
  • Social Security benefits under certain limited situations; and
  • Programs authorized by the Attorney General that deliver in-kind services at the community level, are not conditioned on individual income or resources, and are necessary for the protection of life and safety (see "Welfare Reform is Law--Now What?").

Qualified aliens are ineligible to receive benefits under SSI and, as a result, may lose Medicaid benefits. The act extends authority to states to determine Medicaid eligibility for qualified aliens as of January 1, 1997. Immigrants who lose SSI eligibility may be able to qualify for Medicaid under the state's own medically needy program.

The five-year ban on benefits does not apply to the following: 1) refugees, asylees, or those granted withholding of deportation; 2) lawful permanent residents with 40 qualifying quarters of work; and 3) veterans, active duty military, spouses and dependents. The Commissioner of the Social Security Administration will send out notices to affected individuals in February or March. There is a 90-day appeal process, but all current recipients must be redetermined by August 22.

"Qualified aliens" entering the U.S. on or after the date of enactment are barred from receiving assistance under Medicaid and other federal means-tested public benefit programs for a five-year period, but retain eligibility for emergency Medicaid services and public health services authorized under the Act. After a five-year period, eligibility for Medicaid is to be determined based on the income of the immigrant's sponsor (deeming) or, if they become citizens, on their own income.

Under previous law, the income and resources of an individual who sponsors an immigrant's entry into the U.S. have been counted, or deemed, available to the immigrant in the process of determining eligibility for AFDC, food stamps, and SSI. The act expands deeming to include all federally-funded, needs-based programs, including Medicaid, and applies deeming requirements until the immigrant: 1) becomes a U.S. citizen or 2) earns forty qualifying quarters of work. The act requires that all income and resources of the sponsor and the sponsor's family be considered available to the sponsored individual, with no allowance for the needs of the family, as in the current law. Deeming requirements do not apply to emergency medical services under Medicaid or the public health services authorized under the Act. States are authorized to deem in determining eligibility for state public assistance programs.

For new immigrants, affidavits of support signed by sponsors become legally enforceable. Federal, state, and local officials must request reimbursement from sponsors to recover the costs of benefits paid to sponsored immigrants. In addition, sponsored immigrants, localities, states, and the federal government may sue sponsors in state or federal court to enforce affidavits of support.

To help clarify the Medicaid provisions in the welfare reform act and their impact on immigrants, the Immigrant Policy Project has prepared a four-page Q&A. This document has been posted to NCSL's web page (www.ncsl.org).

Adapted from NCSL's Health Committee Bill Summary of H.R.3734 dated September 16, 1996.

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Citizenship Update: Elderly Naturalization Programs in Seattle
by Joan Ebernal, Washington Department of Housing and Human Services

It became very apparent early this year that the welfare reform legislation would pose a threat to legal immigrants who were receiving publicly funded benefits. Since many of the clients served by the Seattle-King County Division on Aging fall into this category, we made the decision to fund a Naturalization Project through the Northwest Immigrant Rights Project. We also knew that in addition to preserving access to public assistance for many of these clients, naturalization would secure other important rights, such as the right to vote, freedom from the threat of deportation, and the ability to help other family members immigrate more quickly.

The purpose of the Naturalization Project is to provide education about naturalization as well as coordinate and expand existing citizenship services among the many agencies serving the area's vulnerable immigrant population. Many elderly and disabled clients are unable to negotiate the sometimes complex naturalization process. They need assistance to overcome the challenges they face while pursuing citizenship. The Naturalization Project helps by training case managers and information and assistance (I&A) staff to identify clients who are legal immigrants and to determine who is eligible for naturalization. The training also includes a discussion of the advantages and disadvantages of citizenship, barriers to citizenship some clients may face, exemptions for which clients may qualify, and information about appropriate resources in the community for supportive services, such as English classes or citizenship classes and materials. In addition to this general staff training, technical assistance on immigration and naturalization law is available to case management and I&A agencies on an ongoing basis.

The Naturalization Project also offers a range of support services. In addition to maintaining a directory of citizenship-related resources, it hosts a clearinghouse for citizenship-related materials, INS regulations, translated educational materials and curricula. It facilitates collaboration among agencies serving similar populations, to maximize the resources dedicated to citizenship. It produces translated materials on changes in eligibility for public assistance so that I&A and case management staff can provide their clients with much needed information. Several agencies serving immigrant seniors are hoping to expand their direct client services and provide assistance in completing the naturalization application. The Naturalization Project can support these agencies by offering application workshops or by having trained volunteers assist with and review applications. Legal services and assistance for vulnerable clients are also offered as a support service of the project. Further, the project includes broader advocacy, as in outreach to and education among the medical and mental health communities regarding their potential role in naturalization.

In addition to this project, two agencies funded by the Seattle-King County Division on Aging that serve the Asian/Pacific Islander populations in this area have instituted citizenship projects of their own. The Chinese Information and Service Center (CISC) and the Asian Counseling and Referral Service (ACRS) have each implemented a series of naturalization classes and support services for their clients.

CISC's project is designed to provide step-by-step support to their elderly clients as they prepare for the naturalization examination. They do this by sponsoring naturalization classes which are tailored to older, limited- and non-English speaking individuals. The classes include group tutorials and mock examinations and are available at three different levels of English proficiency. The pre-naturalization class includes basic English and key words and terms commonly used in the citizenship exam. As the individual moves through the three classes, the level and difficulty of the English language and naturalization questions are increased. CISC plans to conduct two sessions for each class level. In addition, cassette players and naturalization tapes and materials will be loaned free of charge to elderly persons preparing for the examination.

ACRS implemented the Citizen Window '97 Project to assist their clients through the citizenship process. The project recruits volunteers to teach bilingual citizenship classes and to prepare for the INS interview. The project teachers also incorporate ESL skills in the class curriculum. A total of fifteen classes have been held in the following languages: Vietnamese, Tagalog, Korean, Chinese, Lao & Mien, and English (low to intermediate level). ACRS has also solicited cash and in-kind donations for the development and production of instructional videos in several Asian/Pacific Islander languages. Five hundred copies of these videos will be available for use by older persons who are preparing for their citizenship exam and interview. Since beginning these classes early this year, 100 people who have taken the classes have gone on to become citizens.

We hope that through these efforts, the immigrant clients we serve will be able to successfully apply for citizenship and retain the publicly-funded services that they need. For more information on these programs in the Seattle-King County area, please contact the Seattle-King County Division on Aging at 206-684-0660.

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RESOURCES

Watching America's Door: The Immigration Backlash and the New Policy Debate
by Roberto Suro

Policymakers in Washington should stop proposing sweeping immigration reform that either turns into bad law or no law at all --and instead adopt a flexible, incremental approach better suited to the complexities of the issue, according to a Twentieth Century Fund report.

In Watching America's Door: The Immigration Backlash and the New Policy Debate, Roberto Suro says Congress and the Executive Branch have conducted immigration policy in a manner that only ensures that a real solution is far off. "The 1996 election is unlikely to change this dynamic, " says Suro, assistant national editor at the Washington Post and author of the Fund's 1995 study of Hispanic immigration, Remembering the American Dream.

Suro points out that crafting immigration policy requires more than trying to turn a spigot on or off. It involves choices that affect the nation's future, including: the composition of the low-wage work force; how government should police work places; how, or whether, to control access to public services; and to what extent Americans are willing to give up some of their privacy in return for tougher enforcement or immigration laws.

As an example of the sort of regular, small-scale adjustments that would work better than once-in-a-generation overhauls of the entire system, Suro says visa numbers and selection criteria should be reassessed on an ongoing basis. This should be done with an acute awareness of current trends in the flow and how those trends can be steered to accomplish other aims in areas touched by immigration policy--like labor needs. Preserving the family as a central vehicle for legal immigration and limiting the extent of new "family trees" opening up could also be assisted by the kind of approach Suro calls for.

While no approach offers simple solutions, Suro says that a recognition of the nature of the problem and the ways it interrelates to so many other aspects of American life would at least set policymakers off in the right direction.

To order call 797-6258 (in Washington, D.C.) or 800-552-5450 (elsewhere); The Twentieth Century Fund Press (ISBN 0-87078-383-1), $9.95 + S/H.

Family Album

Family Album is a 15-minute video produced in four Southeast Asian languages (Cambodian, Lao, Hmong, and Mien) that encourages the immunization of children before the age of 2. Developed by the UCLA School of Public Health, this video takes an innovative approach to immunization education by attempting to integrate immunization messages with true life stories about the refugee experience. The video will be available in January 1997 through the School of Public Health's Technical Assistance Group. Interested parties may call 310-206-4896 or 310-206-8690 or fax 310-206-3739 to receive a free copy of Family Album.

Research Perspectives on Migration

A joint project of the International Migration Policy Program of the Carnegie Endowment for International Peace and the Urban Institute, Research Perspectives on Migration is a new newsletter intended to provide "a careful appraisal of the evidence [that] can inform public dialog and guide in the formulation of policies that effectively promote the national interest" with regard to immigration policy. The inaugural issue was published in October 1996 and includes articles summarizing the immigrant provisions of the welfare reform act, examining the social science research about immigrant use of public assistance, discussing the bases for the different conclusions that have been reached on the subject, considering some general propositions that may be of use to policymakers, and suggesting resources and conferences of interest.

For more information on this publication, please contact David Aronson, Editor; Research Perspectives on Migration; 2400 N Street, N.W.; Suite 682; Washington, D.C. 20037.

U.S. Citizenship: A Dream Come True

"U.S. Citizenship: A Dream Come True" is an Emmy-award winning instructional program that shows legal permanent residents how to become U.S. citizens. It is co-produced by the Asian Pacific American Legal Center (APALC), an affiliate of the National Asian Pacific American Legal Consortium, and the International Channel, a cable carrier. It is produced in six languages (Cantonese, English, Mandarin, Korean, Spanish, and Vietnamese) and includes segments on how to qualify for citizenship, how to fill out the N-400 application, and how to prepare for the exams and the interview.

The program was produced in 1995 and aired nationally on the International Channel in celebration of U.S. Citizenship Day, September 17, in 1995 and 1996. It is available for purchase on video through APALC (213-748-2022, ext.47). For information on how your local cable system can obtain this program, contact Mary Good of the International Channel at 310-268-2267.

State Health Notes

With a 17-year track record, State Health Notes is the longest-running national newsletter devoted solely to state-level health policy developments and trends. Every other Monday morning, Notes delivers a powerful, fact-filled eight-page briefing on the latest health issues, legislation, policy changes and programs, with specialized coverage of primary care and behavioral health care. Notes is nonpartisan and objective and serves to educate and inform public policymakers and others in the health field.

A one-year subscription to State Health Notes is priced at $277.00, with a special rate of $197.00 for government, university, and nonprofit subscribers. State Health Notes is published by the Intergovernmental Health Policy Project (IHPP) of the National Conference of State Legislatures. Notes is supported by subscription revenues and supplemented by grants from the Robert Wood Johnson Foundation and the Pew Charitable Trusts. To subscribe, contact NCSL's Marketing Department at 303-830-2200. For more information, see IHPP's web page.

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About Immigrant Policy News...The State-Local Report

In every issue of The State-Local Report, we offer reviews and information on new publications and materials of interest to the immigration and immigrant policy community. If you would like to contribute either a suggestion or a review to our "Resources" section, please contact Jeremy Meadows at 202-624-8664.

The State-Local Report is a companion newsletter to our federal newsletter, Immigrant Policy News . . . Inside the Beltway. The purpose of this newsletter is to highlight state and local activities related to immigrants, including innovative policies and programs that assist with the integration of immigrants and refugees.

The State-Local Report welcomes your comments and suggestions for articles. Please contact Ann Morse, Jeremy Meadows, or Kirsten Rasmussen at (202) 624-5400 with any ideas or recommendations.

Immigrant Policy News is published by the Immigrant Policy Project of the State and Local Coalition on Immigration. Coalition members are: the National Governors' Association, the National Conference of State Legislatures, the United States Conference of Mayors, the National League of Cities, the National Association of Counties, and the American Public Welfare Association. The Project is funded by the Andrew W. Mellon Foundation. We are located in the Washington, D.C. office of the National Conference of State Legislatures.

Contacts:

NGA: Nolan Jones (202) 624-5300
NCSL: Sheri Steisel (202) 624-5400
USCM: Laura Waxman (202) 293-7330
NLC: Janet Quist (202) 626-3000
NACo: Marilina Sanz (202) 393-6226
APWA: Elaine Ryan (202) 682-0100

Editor: Ann Morse

Staff Writers: Jeremy Meadows, Kirsten Rasmussen

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