Dems' Trillion-Dollar Spending Bill Undermines 1996 Welfare Reforms
Majority Seeks to "Stimulate Economy" by Discouraging Americans from Working, Encouraging Dependence on Government

Washington, Feb 9, 2009 - By now millions of Americans are aware that the trillion-dollar “stimulus” spending bill moving through Congress borrows billions from future generations to finance slow-moving and wasteful Washington programs that won’t create jobs.  But it also includes billions in old-style welfare spending that would undermine the historic and highly successful welfare reforms enacted in 1996.  Congressional Democrats are proposing to “stimulate” the economy by discouraging Americans from working, loosening welfare reform’s work requirements, and encouraging more Americans to become dependent on government programs

Is this the kind of “change” America expected?  House Republican Leader John Boehner (R-OH) says no:

 

“In tough economic times, action is needed to help struggling Americans.  But we won’t help struggling Americans or stimulate our economy by removing work requirements for welfare recipients or encouraging Americans to be dependent on government programs.  America has been down this road before.  Republicans are ready to work with President Obama to enact legislation that helps our economy create jobs and helps Americans get back to work.”

 

The trillion-dollar “stimulus” spending bill passed by the House – opposed by all House Republicans, and 11 House Democrats – undermines the 1996 welfare reforms by promoting bigger welfare rolls and expecting less work and less training on the part of government welfare recipients.  As explained in an analysis by the House Ways & Means Committee Republican staff:

 

“The House Democrats' ‘stimulus’ plan. . .undermines welfare reform's key ‘work requirement.’  Under current law, States must ensure at least half of adults on welfare are in work, education, training, job search, or other productive activities.  The Democrats' bill directly undermines this work requirement, which will further increase welfare rolls. . .The mechanics of this change in the Democrat bill are complicated, involving ‘caseload reduction credits,’ but the outcome is clear – to reduce or eliminate the current work requirement for welfare recipients.”

 

Charles Hurt of the New York Post sounded the alarm about the provision in a recent column:

 

“Buried deep inside the massive spending orgy that Democrats jammed through the House. . .lie five words that could drastically undo two decades of welfare reforms.  The very heart of the widely applauded Welfare Reform Act of 1996 is a cap on the amount of federal cash that can be sent to states each year for welfare payments.  But. . .the new ‘stimulus’ bill abolishes the limits on the amount of federal money for the so-called Emergency Fund, which ships welfare cash to states. . .’  This re-establishes the welfare state and creates dependency all over the place,’ said one startled budget analyst after reading the line. . .[The ‘stimulus’ bill] is a return to big-government welfare that we will choke on.”

 

In a blog post, journalist Mickey Kaus concurs:

 

“Nothing wrong with helping states avoid anti-stimulating cuts in a recession.  Nothing wrong with targeting money to the poorest, who are most likely to spend it quickly.  But why use the aid specifically to encourage expansion of welfare?  This isn't ‘welfare’ as only conservative Republicans would define it – i.e. any means-tested assistance.  This is welfare as everyone would define it – cash assistance to able-bodied single mothers (or fathers) who may or may not be working, as in the old, despised AFDC program.”

 

Republicans are ready to work with President Obama to enact a responsible economic recovery plan that will help our economy protect and create jobs.  House Republicans have put forth an alternative plan that would create twice as many jobs as the plan moving through the Democratic Congress, at half the cost – without gutting the historic 1996 welfare reform law that has successfully moved millions of Americans from welfare to work.

Print version of this document