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1992.07.27 :  Wisconsin Welfare Reform Waiver

Contact:  Larry Dye (202) 401-9215
July 27, 1992

       HHS Secretary Louis W. Sullivan, M.D., today announced the
approval of a second federal welfare reform waiver for Wisconsin. 
     The new waiver--to be implemented in six select research
counties of Milwaukee, Kenosha and Racine, and three others yet
to be selected-- permits the state to pay Aid to Families with
Dependent Children recipients who move to Wisconsin at the AFDC
rate of their former resident state for six months.  After the
sixth month, payments will automatically be adjusted to
Wisconsin's existing benefit level.
     The demonstration is designed to test and determine answers
to some of the following questions:
     **  The total numbers of AFDC applications/approvals/cases
     by new residents to Wisconsin and their effect upon AFDC
     benefit payments and Food Stamp and Medicaid benefits.
     **  How the demonstration affects the use of other programs
     such as emergency assistance and energy assistance including
     the average cost per case, and
     **  The significance of Wisconsin's AFDC benefits versus
     other states' AFDC benefits and its effect on prompting AFDC
     recipients to move to Wisconsin.   

       "We continue to encourage states like Wisconsin to develop
innovations in their welfare programs, so that the AFDC system
can become more effective in reducing welfare dependency," said
Jo Anne B. Barnhart, assistant secretary for children and
families.  
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