Evaluation of Welfare Reform -Iowa

Tracking Recipients after They Leave Welfare

Evaluation of Welfare Reform -Iowa

Iowa's Limited Benefit Plan

Date: May 1997

Investigator: Mathematica Policy Research, Inc. and the Institute for Social and Economic Development

Contact Person: Thomas Fraker, Senior Fellow, Mathematica Policy Research, Inc., (202) 484-4698; or John Else, President, Institute for Social and Economic Development, (319) 338-2331

Method:

Data Sources-Administrative records, client surveys, case study interviews

Selection of Cases-records from 4,224 cases assigned to the Limited Benefit Plan or LBP* between November 1994 and April 1995; surveys of clients who had their benefits terminated under the LBP from November 1995 and January 1996

Completed Interviews-Client surveys were completed for 85% of households, or 137 out of 162 families. Case studies were conducted for 12 families

*Note: A limited benefit plan is a reduction in cash benefits, followed by a termination of cash benefits for recipients who do not develop or follow through with a Family Investment Agreement as required.

Findings in Brief

Administrative records and client interviews

Employment status of recipients who lose cash benefits following LBP

	Employed after termination of cash benefits	53%
	Working more than 30 hours/week	30%
	Weekly earnings	$170
	Receiving health insurance	10%

Change after losing cash benefits

	Decrease in income	49% (median of $384 per month for this group)
	Increase in income	40% (median of $496 per month for this group)
	Receiving Food Stamps	64%
	Receiving Medicaid	66%

Characteristics of clients who selected LBP

	Did not make or keep appointment to enter into a Family Investment Agreement	89%
	Did not understand program requirements	70%
	Signed Family Investment Agreement at some point during LBP	80%
	Transportation problems prevented client from making or keeping appointment	48%
	Child care problems prevented client from making or keeping appointment	35%
	Clients whose LBP are canceled (This population is eligible to re-apply)	53%
	Clients who left LBP before cash benefits ended	30%

For more information please contact Jack Tweedie at NCSL, 303-830-2200.

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