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University of Wisconsin–Madison
Poverty-related issues in the news, from the Institute for Research on Poverty

Economic Stimulus and State TANF Programs

$3.8B in stimulus funds for welfare jobs untouched, By Dionne Walker (AP), February 19, 2010, Washington Post: “Desperate though they are to fill gaps in their budgets, more than half the states in the country haven’t touched a $5 billion pot of federal stimulus funds meant to find work for welfare recipients. Leaders in most states have hesitated to pony up the matching funds the program requires to create jobs that might not last after the federal subsidy’s Sept. 30 sunset date. The Department of Health and Human Services has handed out $1.2 billion of the emergency cash for general welfare programs. That includes $124 million that went to 21 states and the District of Colombia to help them ease caseloads by paying employers to hire low-skilled, low-income workers. States such as California, Tennessee and Georgia – where officials have seen unemployment rates spike among recipients of Temporary Assistance for Needy Families – are eagerly tapping the fund to subsidize the creation of thousands of jobs they say keep these workers from sinking further into poverty…”