Reform Pennsylvania's Welfare System

Sponsor Provided Content

Philadelphia - Liz Stelle, the Director of Policy Analysis at the Commonwealth Foundation, talked to Talk Radio 1210 WPHT's Dom Giordano about potential welfare reforms that could benefit the citizens of Pennsylvania when the commonwealth finally emerges from the budget impasse that has lagged on since June.

Stelle said more must be done to help people emerge from public assistance rather than just sustaining them while they are receiving benefits.

"The problem is we have a welfare system that looks first at the material things and really ignores the whole person. It's so focused on making sure that people's physical needs are met that it loses sight of the bigger picture. I like to say that it focuses on helping people survive rather than helping people thrive and move up and out of the welfare system."

She stated that income requirements need to be adjusted to make such a transition easier.

"Right now, you have parents that, as they earn more money, their subsidies for child care gradually decline. But, at some point there's a huge decline in their subsidies to the point where you may get a small raise at work and, all of a sudden, you have to pay $100 more a week in child care. We want to fix that so it's a very gradual system where you slowly are weened off your subsidies as you earn more income. If we can do that with child care, we can do that with medicaid, the health insurance program, and lots of other welfare programs where there's a huge cliff between the time that you are eligible for a subsidy and the couple dollars more that you make and you get absolutely no aid whatsoever."

Regarding the budget battle, Stelle believes the fight between Governor Wolf and the Legislature will carry on well into the new year.

"The House is working to pass immediate funding that would be 11 months worth funding to get those dollars to the schools and the human services that need them desperately. The Governor said that he's going to veto something like that, so it looks like neither side is backing down. On the other hand, that's good news for taxpayers, though I don't think anyone wanted a personal income tax hike or hike of any other kind for Christmas this year."