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Welfare Reform Project

NEW MEXICO

New Mexico TANF Longitudinal Study: Results of the Second-Year Follow-Up Surveys

Date of Report:

March 2001 (web address not available)

Methodology:

Telephone interviews with 1,745 families (71% Response Rate)

Study Timeframe:

Sample was selected from families who had received at least one month of assistance between July 1998 and June 1999. "Leavers" were off welfare at the time of interview - between November and March 2001.

Investigator (Contact):

Maximus, Inc. (Phil Richardson)

Study Objective:

Builds information from an earlier survey to analyze the barriers to exit and the experiences and well-being of families who left welfare.

Comparable State Findings:

Former Recipients

Percent employed at time of interview

62%

Median hourly wage of those employed

N/A

Percent receiving Food Stamps/Medicaid (or Mexikids) at time of interview

37% / 64%

Percent who say life is "better" after welfare

66%

Percent receiving cash assistance in the past year

16%

Employment & Income

  • 81% of leavers were either working or living with an employed adult.
  • Employed leavers' median monthly earnings were $1,091, an increase from one year earlier ($1,022).
  • 52% of leavers that were unemployed at time of interview but employed at time of exit quit their jobs, 18% were laid off, and 17% lost their job because it was temporary. The most common reasons for quitting were illness/disability (21%), moving (15%) and child care problems (12%).
  • 70% of unemployed leavers had been out of work for 6 months or less. The most common reasons for not working were illness/disability (27%), prefer to stay home with children (25%), not enough training/education (22%) and difficulty finding a job that pays enough (18%).

Other Supports

  • 38% of non-married leavers had court ordered child support although only 11% received it regularly.
  • Use of other supports increased between the 1st and 2nd interviews. 16% lived rent-free with friends or relatives compared to 13% before, 14% lived in Section 8 housing compared to 8% before, 12% lived in public housing compared to 8% before and 64% were on Medicaid compared to 58% before.
  • 62% of employed leavers reported claiming the Earned Income Tax Credit.
  • 52% of leavers who paid for child care received subsidies, an increase from one year prior (35%).
  • 20% of leavers rely on a friend/relative for a ride or to loan them a car to get to work.

Family Well-Being

  • 39% of leavers reported falling behind in rent payments compared to 29% at the time of the first survey and 26% while on welfare. Similarly, 16% went without heat, electricity or water compared to 11% at the time of the first survey and 13% while on welfare.
  • 27% skipped or cut down on the size of meals in the last year due to a lack of money.
  • 33% of leavers reported having a problem accessing medical care. 16% had at least one child without health care coverage - 2/3 of these children had been without health care for at least 6 months.
  • 66% of leavers felt they were better off since leaving welfare while 15% said they were worse.
  • 18% of leavers thought it was very/somewhat likely that they would return to welfare in the next 6 months - an increase from the previous year. Those who exited because they moved out of New Mexico or because they were cut off/sanctioned were the most likely to return to welfare (23% and 21% respectively).


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