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1994.09.19 : Oregon Welfare Waiver

Contact:  David Siegel      (202) 401-9215
Monday, Sept. 19, 1994                      


                 HHS APPROVES OREGON WELFARE WAIVER


     HHS Secretary Donna E. Shalala today approved a welfare
demonstration project for Oregon that provides individuals with
short-term subsidized public or private employment.

     "The Oregon demonstration is a good example of a state-
initiated project to promote self-sufficiency," said Secretary
Shalala.  "Oregon is offering incentives to employers to help bring
welfare recipients into the world of work.  We will continue to
provide states with the flexibility to demonstrate new approaches."

     Under Oregon's JOBS Plus demonstration, individuals will be
provided short-term (up to nine months) employment at state minimum
wage or better.  The state will provide supplemental payments if an
individual's income is less than the combined Aid to Families with
Dependent Children and Food Stamp benefits.  

     Participants will continue to be eligible for Medicaid and will
receive workplace mentoring and support services.  The state also
will pass on to the family all the child support payments it
collects on its behalf.

     "I look forward to assessing the results of the Oregon JOBS
Plus demonstration," said Mary Jo Bane, HHS assistant secretary for
children and families.  "Oregon's program has unique features, such
as workplace mentoring, designed to help participants achieve
independence."

     Each JOBS Plus participant will also have an Individual
Education Account (IEA), to which employers will contribute one
dollar per hour of work.  After a participant begins working in a
non-subsidized position, the state will transfer the IEA to the
State Scholarship Commission.  The commission will then make funds
available to the participant or the immediate family for continuing
education and training at any state community college or institution
of higher education.

     The Oregon demonstration will operate in six counties (Baker,
Clackamas, Gilliam, Lincoln, Malheur and Washington).  The
demonstration will be implemented no earlier than Jan. 1, 1995, and
no later than Jan. 1, 1996.  The demonstration will include a
rigorous evaluation.

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