Wednesday, September 07, 2011

Makes sense to me..

LANSING, Mich. (AP) — Gov. Rick Snyder on Tuesday signed into law a stricter, four-year lifetime limit on cash welfare benefits, prompting advocates for the poor to warn that tens of thousands of residents will find themselves without cash assistance on Oct. 1.

Michigan's first-year Republican chief executive said the state will offer exemptions to the limit for those with a disability who can't work, those who care for a disabled spouse or child and those who are 65 or older and don't qualify for Social Security benefits or receive very low benefits.

Some recipients who are the victims of domestic violence also may be temporarily exempted.

Gilda Jacobs of the Michigan League for Human Services said she expects about 41,000 people to lose their cash assistance payments on Oct. 1 when the state's new budget year begins. That includes 29,700 children, according to the Michigan Department of Human Services.

"We're very, very concerned," Jacobs said. "As the days go by, new people will be meeting the 48-month limit. ... More will be falling off that cliff."

The new law will reduce the number of children and adults receiving cash assistance by nearly a fifth, from more than 221,000 to around 180,000. Enforcing a four-year limit will save the state more than $60 million annually, according to a House Fiscal Agency analysis.

Michigan ranked 38th in child poverty for 2009, defined as income below $21,756 for a family of two adults and two children. About 23 percent of Michigan's children lived in poverty in 2009, compared with 20 percent nationally. In 2000, only 14 percent of Michigan children lived in poverty. The average age of a child in a family receiving cash assistance is around 7 years old.

Snyder, a Republican, has said reducing the number of children living in poverty is a priority of his administration.

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