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Know the Facts

Fact Check on ABC Claim That Obama Has Shifted on Welfare Reform

July 01, 2008

OBAMA PASSED WELFARE REFORM IN ILLINOIS THAT MOVED PEOPLE FROM WELFARE TO WORK AND GAVE THEM TOOLS TO ALLOW THEM TO DO THAT WORK, LIKE CHILD CARE AND TRANSPORTATION, AND WAS PRAISED BY REPUBLICANS FOR HIS WORK

Obama Passed Law Creating The Illinois Temporary Assistance For Needy Families Program, Including A Six-Fold Increase In Daycare Spending. Obama was a chief co-sponsor of the bill to create the state of Illinois' Temporary Assistance for Needy Families program. The bill created flexibility for victims of domestic violence, set a five-year limit for receiving public assistance, banned anyone convicted of a serious drug-related Class X or Class 1 felony from ever receiving assistance, required that all recipients develop a personal plan for self-sufficiency, listing the steps they will take to move from welfare to work, exempted those over 60 and adults with children younger than 1. According to the State Journal-Register, "The bill pours more money into day-care spending...as a result, an estimated 90,000 families would be able to take advantage of the child care benefit, subject to legislative appropriation of necessary funds. That represents a six-fold increase from the current number... State Sen. Barack Obama, D-Chicago, called the bill a good start but urged members not to rule out future changes to the system. He said there is a need for a commission to oversee the changes and ensure the system is working properly. '(Welfare recipients) generally are not represented down here in Springfield. They don't have powerful lobbies. They do not contribute to our political candidates,' he said. Consequently, Obama said, if there are problems with this bill, it is not clear they will be addressed. [­90th GA, HB 204, 3R P 56-1-1, 5/31/97, PA 90-0017, 6/19/97; State Journal Register, 6/1/97]

AP: Obama Worked With Republicans To Enact An Overhaul Of Welfare In Illinois And Was Thanked By Republicans During The Debate For His Long Hours Helping Them Improve The Bill. The AP wrote, "After federal officials agreed on an overhaul of the nation's welfare system, Obama worked with Republicans to enact those changes in Illinois. During the debate, two GOP senators made a point of thanking Obama for his long hours of helping them improve the bill." [AP, 6/25/08]

Republican Syverson Thanked Obama For The Hours He Spent Working On Welfare Reform. Republican Senator Dave Syverson said, "Next, in the area of felons, we have decided, through negotiation both with Senator Obama, with the House Leadership regarding this issue, that those who are convicted of Class X and Class 1 felonies will never be able to get onto the welfare system...I would like to take a second to thank Senator Obama for the hours of time that he spent with us in trying to work out a plan that is acceptable and workable." [ILGA Senate Transcript, 5/31/97]

Republican: Parker Commended Obama For His "Bipartisan Support And Work" On Welfare Reform. Republican Senator Kathleen Parker said, "First of all, to commend the Chairman, Senator Syverson, who did a lot of work on this issue, and Senator Obama, for his bipartisan support and work, and all of the comments that were made here." [ILGA Senate Transcript, 5/31/97]

Emanuel: Obama Passed Welfare Reform Law In IL To Lead The Country To The Biggest Reduction In Welfare Caseload, Adding Child Care, Job Training, and Transportation. "With the state Senate still in Republican hands, Obama brokered a welfare reform law that combined work requirements and time limits with significant investments in child care, job training and transportation. As a result, thousands of Illinoisans have gained the dignity of a job, and our state leads the nation in the biggest reduction in the welfare caseload." [Rahm Emanuel op-ed, Chicago Sun-Times, 3/27/04]

After Clinton Welfare Reform Passed, Obama Went Into Action To Make Sure That Illinois Provided A Safety Net So That "Those Who Need It Will Have Support." The Chicago Citizen reported, "With the Republican-sponsored, President Clinton approved welfare reform bill in effect Obama stressed concern over having the appropriate safety net prepared for those who will be affected. 'We want to make sure that there is health care, child care, job training, and transportation vouchers. Everything that is needed to ensure that those who need it will have support.'" [Chicago Citizen, 1/16/97]

The Number Of Illinois Families On TANF Reduced 78% From FY 1998-FY 2006. According to the Administration For Children And Families Office of Family Assistance, the number of TANF families in Illinois reduced from 167,124 in FY 1998 to 36,331 in FY 2006. This constitutes a 78 percent reduction. [Health And Human Services Data, FY 1998-FY2006]

Obama: Conservatives and Bill Clinton Were Right That Welfare As it Was Structured Was Wrong to Detach Income from Work. "We should also acknowledge that conservatives--and Bill Clinton--were right about welfare as it was previously structured: By detaching income from work, and by making no demands on welfare recipients other than a tolerance for intrusive bureaucracy and an assurance that no man lived in the same house as the mother of his children, the old AFDC program sapped people of their initiative and eroded their self-respect. Any strategy to reduce intergenerational poverty has to be centered on work, not welfare--not only because work provides independence and income but also because work provides order, structure, dignity, and opportunities for growth in people's lives. But we also need to admit that work alone does not ensure that people can rise out of poverty. Across America, welfare reform has sharply reduced the number of people on the public dole; it has also swelled the ranks of the working poor, with women churning in and out of the labor market, locked into jobs that don't pay a living wage, forced every day to scramble for adequate child care, affordable housing, and accessible health care, only to find themselves at the end of each month wondering how they can stretch the last few dollars that they have left to cover the food bill, the gas bill, and the baby's new coat. Strategies like an expanded Earned Income Tax Credit that help all low-wage workers can make an enormous difference in the lives of these women and their children. But if we're serious about breaking the cycle of intergenerational poverty, then many of these women will need some extra help with the basics that those living outside the inner city often take for granted. They need more police and more effective policing in their neighborhoods, to provide them and their children some semblance of personal security. They need access to community-based health centers that emphasize prevention--including reproductive health care, nutritional counseling, and in some cases treatment for substance abuse. They need a radical transformation of the schools their children attend, and access to affordable child care that will allow them to hold a full-time job or pursue their education." [Audacity of Hope, p 256]

Obama Passed Law To Collect And Report Welfare Data; Obama Bill Would Help Plan For The Future. Obama was the chief sponsor of bill requiring IDHS to collect and report on information, in addition to that required under the federal welfare reform law, for those who receive TANF and those who are eligible for other cash benefit programs and the reports shall be made available to the public. Obama, calling on Gov. Edgar to sign the welfare data bill he sponsored that required the state to collect data in the current federal welfare reform law and report that information to the public: "There must be an extensive review and evaluation of Illinois' implementation of welfare reform in order to plan future state public assistance programs. This bill, which was supported by all major anti-poverty groups, is the first step in a concerted effort to make sure that the new welfare reform law is compassionate and does not leave our most disadvantaged persons behind." [90th GA; SB 0755; Signed into law 7/8/97, PA 90-0074; Defender 5/29/97]


CHILD CARE



Obama Passed A Bill To Administer Child Care Test Program For Low Income Families Who Do Not Qualify for TANF. Obama was the chief co-sponsor of House bill providing that IDHS shall allocate $7.5 million annually for a child care test program for families who are income-eligible for child care assistance, who are not recipients of TANF under Article IV of the Public Aid Code and who need child care assistance to participate in education and training activities. [91st GA; HB 2217; 1999; Signed into law 8/13/99, PA 91-0509]

Obama Sponsored Bill To Improve Child Care Access. Co-sponsor of bill amending the Illinois Public Aid Code by increasing from $7.5 million to $15 million the allocation required by IDHS to a test program for certain families who are eligible for child care assistance. [91st GA; SB 1722; 2000; Session Sine Die 1/9/01]

Obama Sponsored Bill To Adjust Child Care Rates. Obama was the chief sponsor of bill requiring IDHS to conduct market rate surveys every 2 years, and requiring IDHS to adjust rates paid for child care at least annually so that the rates are established at the 75th percentile or higher of the market rate for each of the various types of care. [90th GA; SB 1514; 1998; Session Sine Die 1/12/99]

Obama Sponsored Bill To Reimburse Childcare At High Rate. Obama was the chief co-sponsor of bill providing that reimbursement rates for child care services set by IDHS shall not be less than 75% pf the prevailing market rate in a given region. [90th GA; SB 0676; 1997; Session Sine Die 1/12/99]

Obama Sponsored Bill To Extend Childcare To Former AFDC Recipients. Obama was the chief co-sponsor of bill authorizing IDHS to provide child care services to former AFDC recipients for a period of time in addition to the required initial 12 months after aid is cancelled because the recipient obtained employment. [90th GA; SB 0217; 1997; Session Sine Die 1/12/99]


JOB TRAINING



Obama Passed A Law To Improve Job Training Programs Through Improvement And Review. Obama was the chief co-sponsor of House bill making numerous changes in the operation of the education, training and employment program, and provides that IDHS shall annually review procedures and written materials used for compliance with provisions requiring the Department to provide full and timely information to TANF applicants about their opportunities, rights and responsibilities. [91st GA; HB 2216; 1999; Signed into law 7/29/99, PA 91-0331]

Obama Sponsored Bill To Exempt TANF Recipients Who Voluntarily Participate In Job Training From Sanctions. Obama was the chief Senate sponsor of bill providing that a TANF recipient who is exempt from participating in education, training or employment programs but who volunteers to participate may not be sanctioned for not meeting program requirements. [93rd GA, HB 3022, Session Sine Die, 1/11/05]

Obama Sponsored Bill To Require TANF Recipient To Report Projected Earnings. Obama was the chief sponsor of House bill providing that when a TANF recipient reports that he or she has obtained employment, IDHS may project the recipient's likely earnings and eligibility for assistance and grant level under the TANF program, and may terminate or cancel the case based on projected income (but may restore assistance if the recipient presents evidence that his or her actual or projected earnings do not warrant termination). [91st GA; HB 1846; 1999; Session Sine Die 1/9/01]

Obama Sponsored Bill To Encourage Private Involvement In TANF. Obama was the chief sponsor of House bill providing that IDHS shall encourage entities in the private sector or otherwise to assist with the provision of support services, such as transportation, child care and others to attract additional employees and to aid in the transition of recipients under the TANF program into full-time employment. [91st GA; HB 2319; 1999; Session Sine Die 1/9/01]

Obama Sponsored Bill To Challenge IDHS To Move Public Aid Recipients To Work. Obama was the chief sponsor of House bill providing that IDHS shall adopt goals that implement strategies to move public aid recipients under Article IV into long-term employment in jobs paying wages that place them above the federal poverty line. [91st GA; HB 2589; 1999; Session Sine Die 1/9/01]

Obama Sponsored Bill To Require IDHS To Cover Low Income Family Activities. Obama was the chief sponsor of bill requiring IDHS to cover low income families participating in educational and training activities, if the Department has approved the activity and has determined that the individual is satisfactorily participating in the activity. [90th GA; SB 1644; 1998; Session Sine Die 1/12/99]

Obama Sponsored Bill To Expand Earnfare Eligibility. Obama was the chief co-sponsor of House bill authorizing IDHS to extend eligibility for Earnfare participation for successfully-employed participants for 3 months beyond the basic eligibility period of 6 months out of any 12-consecutive month period. [90th GA; HB 0611; 1997; Session Sine Die 1/12/99]

Obama Sponsored Welfare To Work Bill. Obama was the chief co-sponsor of House bill creating the Welfare to Work Act which places qualified welfare recipients in State jobs or jobs contracted out by the State. [90th GA; HB 1785; 1997; Session Sine Die 1/12/99]

Obama Sponsored Bill To Encourage Private Industry To Participate In Welfare To Work. Obama was the chief sponsor of House bill providing that IDPA or IDHS may cooperate with any Illinois private industry council, political subdivision or private entity awarded a competitive grant under provisions of the federal Balanced Budget Act and for Welfare to Work activities aimed at moving individuals into and keeping individuals into lasting unsubsidized employment. [90th GA; HB 3142; 1998; Session Sine Die 1/12/99]

Obama Sponsored Bill To Create Job Training Program. Obama was the chief sponsor of bill making appropriations to the City Colleges of Chicago for a workforce preparation and job training program. [90th GA; SB 1183; 1997; Session Sine Die 1/12/99]

Obama Sponsored Bill To Create Accountability For State Agency Job Training Programs. Co-sponsor of bill requiring certain State agencies to develop accountability measures for each of their job services programs, minimal outcomes for their programs and pilot programs for performance based payments for job training services. [90th GA; SB 1750; 1998; Session Sine Die 1/12/99]


HEALTH CARE



Obama Passed A Bill To Provide Better Health Care Access To Welfare Recipients. Obama was the chief Senate sponsor of bill requiring IDHS and IDPA to jointly establish an interagency committee to incorporate health care advocates into education, training and placement programs for TANF recipients, developing more outreach and educational materials to help TANF families make informed choices concerning health, and to simplify the process of applying for Medicaid. When commenting on House bill 3608 Senator Obama stated, "this bill simply forms a interagency committee concerning health care issues between DHS and DPA. This was to help coordinate TANF and related programs. I know of no opposition." [93rd GA; HB 3608; 2003; Signed into law 7/10/03, PA 93-0150; 93rd GA, HB3608. Floor Transcript, 6/15/03, p.29]

Obama Passed Law for Health Care Advocates to Help Families Receiving TANF in Making Informed Choices. Obama helped amend the Illinois Public Aid Code, requiring the Department of Human Services and the Department of Public Aid to jointly establish an interagency committee to (1) assist the departments in making recommendations on incorporating health care advocates into education, training, and placement programs for TANF recipients, (2) develop more outreach and educational materials to help TANF families make informed choices concerning health insurance and health care, and (3) develop methods to simplify the process of applying for Medicaid. [93rd, HB3608, 3R: 58-0-0, 5/15/03; PA 93-0150, 7/10/03]


VICTIMS OF DOMESTIC VIOLENCE



Obama Passed Law To Screen TANF Recipients For Victims Of Violence And Provide Services. Obama was the chief sponsor of bill requiring IDHS to screen and identify TANF applicants and recipients who are past or present victims of domestic violence, refer them for counseling and supportive services, and waive any program requirements that would make it more difficult for those persons to escape the domestic violence situation. [91st GA; HB 0650; 1999; Session Sine Die 1/9/01; 91st GA; SB 0680; 1999; P.A. 91-0624]

Obama Passed Law To Train IDHS Employees To ID And Serve Violence Victims. Obama was the chief sponsor of bill requiring IDHS to implement a domestic violence training curriculum for Department employees who serve TANF applicants and recipients to better equip those employees to identify and serve domestic violence victims. [91st GA; SB 1712; 2000; Signed into law 6/2/00, PA 91-0759]


ADMINISTRATION



Obama Passed Law To Extend Trial Of Project To Prevent Double Dipping. Obama was the chief co-sponsor of House bill changing the length of the demonstration project to determine the cost-effectiveness of preventing multiple enrollments of aid recipients through use of an electronic automated 2-digit fingerprint matching identification system in local offices from 12 months to 36 months. [90th GA; HB 0204; 1997; Signed into law 6/19/97, PA 90-0017]


BANK FEES



Obama Passed Law To Prohibit Fees For Electronic-Benefit Card Users. Obama sponsored a bill and voted for prohibiting the imposition of fees for customers using a Link card (electronic benefit card for clients receiving TANF or food stamps). When commenting on House Bill 467 Senator Obama explained the Link Card Program System, which allowed banks to charge a fee for a clearinghouse, or to recover costs when a Link Card is used. Obama said, "The notion is that, generally, persons on Public Aid probably should not have to incur these costs...if I don't want to pay the buck or buck and a half, I don't do it, and if I want to enjoy the convenience, then I do it. But I can afford to make those expenditures...I think that the Public Aid recipient, whose benefits, by the way, we have not increased in a decade, probably can't afford to make those. And because the costs to the bank are actually covered, this is really a profit making enterprise on the part of banks." When countering an opposed commentary by Senator Roskam who stated that Senator Obama's proposal puts an undue burden on State banks and for making State banks pay through federal banks, Senator Obama stated that the effect on Federal banks is "a constraint that we have due to national banking laws." Senator Obama also countered that the additional charge which banks collect when the ATM is used already covers any lost costs [93rd GA; HB 0467; 2003; Signed into law 8/22/03, PA 93-0583; 93rd GA, HB0467, Floor Transcript, 5/16/03, p.42, 43]


TRANSPORTATION



Obama Sponsored Bill To Promote Transportation Assistance. Obama was the chief co-sponsor of bill prohibiting the trading in of State vehicles, requiring that used State vehicles be offered for sale to recipients of TANF before being offered for sale to others. [91st GA; SB 0221; 1999; Session Sine Die 1/9/01]

Obama Sponsored Bill To Extend Transportation Assistance To Former TANF Recipients. Obama was the chief co-sponsor of bill requiring IDHS to provide up to 12 months of transitional transportation assistance to former recipients of TANF if the former recipients are no longer eligible for assistance due to an increase in earned income in the household. [91st GA; SB 0683; 1999; Session Sine Die 1/9/01]

Obama Sponsored Bill To Create Public-Private Partnership For TANF Transportation. Obama was the chief co-sponsor of bill requiring IDHS to enter into agreements with local school districts, religious institutions and community organizations to provide recipients under the TANF program with transportation to work during non-traditional hours. [91st GA; SB 0682; 1999; Session Sine Die 1/9/01]

Obama Sponsored Bill To Pilot Welfare Transportation Program. Obama was the chief sponsor of bill requiring IDHS to operate a program (one in a city of over 500,000 and one in a rural area with limited public transportation) that will facilitate transportation to employment for welfare recipients and former welfare recipients. [90th GA; SB 0756; 1997; Session Sine Die 1/12/99]

Obama Sponsored Bill To Add Transportation Problems As Excuse For Nonparticipation In A Required Program. Obama was the chief co-sponsor of bill providing that good cause for failure to participate in a required program or to accept or retain suitable employment includes a breakdown in transportation arrangements or lack of reasonable available transportation. [90th GA; SB 1668; 1998; Session Sine Die 1/12/99]


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