Monday, June 11, 2012

California deficit drives shift in state's welfare philosophy

Pressured by a $16 billion budget deficit, Gov. Jerry Brown is proposing a major overhaul of the state's welfare-to-work program with the strategy of slashing people's benefits to motivate them to get jobs faster. - AP/Contra Costa Times

The move, if approved by the state Legislature as part of the 2012-13 budget package, would save $880 million, but beyond the savings, analysts say it represents a shift in the philosophy of how the Golden State helps its neediest residents.

"It's a reversal of the state's historic commitment to these families and children," said Scott Graves, senior policy analyst with the California Budget Project. "It's a very significant change."

California is the national leader in welfare recipients. About 3.8 percent of state residents were on welfare in 2010, the highest percentage in the country. In fact, California houses about a third of the nation's welfare recipients, while only housing one-eighth of the national population.