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Iowas Limited Benefit Plan (LBP) Evaluation
General Information
View a brief abstract of this project.
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| Evaluator(s) |
Mathematica Policy Research, Inc.
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| Investigator(s) |
Thomas Fraker
(Mathematica Policy Research, Inc.)
Lucia Nixon
(Mathematica Policy Research, Inc.)
Jan Losby
(Mathematica Policy Research, Inc.)
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| Sponsor(s) |
Iowa Department of Human Services
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| Funder(s) |
Annie E. Casey Foundation
Ewing Marion Kauffman Foundation
Charles Stewart Mott Foundation
Northwest Area Foundation
US Department of Health and Human Services, Administration for Children and Families
US Department of Health and Human Services, Office of the Assistant Secretary for Planning and Evaluation
US Department of Health and Human Services
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| Subcontractor(s) |
Institute for Social and Economic Development
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| Domain |
Income Security/TANF
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| Status |
Completed (final report released)
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| Duration |
Nov 1995 - May 1997
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| Type |
Research and/or Program Evaluation
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| Goal |
To improve the understanding of the Family Investment Plan (FIP) cases assigned to LBP, thus helping policymakers in Iowa and around the nation to make well-informed decisions about modifying or adopting the plan.
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| Program/Policy Description |
The LBP is a short-term alternative assistance program for cases in which able-bodied adult members do not comply with the Family Investment Agreement (FIA) requirement., Originally, the LBP provided three months of cash benefits at the same level as under FIP, followed by three months of reduced cash benefits, and then six months of no cash benefits. In February 1996, Iowa implemented revised LBP policies. Under the revised policies, which remain in effect today, a first LBP consists of three months of reduced cash benefits followed by six months of no cash benefits; a subsequent LBP us simply a six-month period of no cash benefits.
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| Notes |
No notes reported.
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| Last Updated |
09/28/99
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| Type of Summary |
Reviewed
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| External Reviewer(s) |
Thomas Fraker
(Mathematica Policy Research, Inc.)
Lucia Nixon
(Mathematica Policy Research, Inc.)
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| Contact(s) |
Jacqueline Allen (jallen@mathematica-mpr.com)
Mathematica Policy Research, Inc.
P.O. Box 2393
(T) (609)-275-2350
(F) (609)-799-0005
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| Publications Department |
Jacqueline Allen (jallen@mathematica-mpr.com)
Mathematica Policy Research, Inc.
P.O. Box 2393
(T) (609)-275-2350
(F) (609)-799-0005
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Populations Studied
| Target Population |
Recipients/participants/clients
Former recipients ("leavers")
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| Subgroups Analyzed |
None
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| Sample Size and Unit |
For administrative data: 4,224 welfare recipients (households) assigned to the original LBP between November 1994 and April 1995.
For survey data: 137 welfare recipients (households) who entered the no benefit period of the LBP between November 1995 and January 1996.
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Sites Studied
Iowa
Program Components, Policies, and Activities Evaluated
Financial disincentives/Sanctions
- Reduced benefits for non-compliance
- Strengthened JOBS sanctions
Program requirements
- Broadened JOBS participation requirement
| Variation in program components across sites? |
No
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| Notes on program components |
Financial disincentives/sanctions: If the FIA requirement is not met, FIP families are assigned to the LBP, which consists of a three month period of reduced cash benefits followed by six months of no cash benefits.
Program Requirements: The LBP is a sanction for failure to meet strengthened JOBS participation requirements including the FIA.
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Outcomes Assessed
Benefit termination
Employment
- Job attainment
- Number of hours worked for wages
Income security
- Child support payments
- Earnings
- Food stamps receipt
- Medicaid receipt
- Welfare receipt
Family and relationship outcomes
- Family formation and stability/Living arrangements
Housing
- Residential mobility
- Homelessness
Attitudes towards work, welfare, and program
- Attitudes towards work, welfare, and program - misc.
Sanctions
Emotional well-being
- Emotional well-being - misc.
Types of Studies
| Type |
Descriptive/Analytical Study
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| Aim |
To document the flow of cases through the LBP; document the reasons for their assignment to the LBP; describe the characteristics of those cases; document the welfare benefits they receive during and after their time on the plan; and describe their perspectives on their own entry into the LBP.
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| Type |
Descriptive/Analytical Study
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| Aim |
To describe the experiences of the LBP families, including changes in financial status, employment, coping strategies following loss of cash benefits, and perceptions of the LBP.
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| Type |
Descriptive/Analytical Study
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| Aim |
To tell the personal stories of LBP families regarding their entry into the LBP and experiences following the loss of cash benefits.
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Data Sources
| Source |
Administrative data
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| Title |
DHS administrative records
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| Sample Characteristics/Data Collection |
Records for 4,224 welfare recipients (families).
Collected for 15 months after assignment to LBP.
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| Sites |
Iowa
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| Response Rate/Attrition Notes |
N/A
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| Additional Execution Notes |
No notes reported.
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| Source |
Survey
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| Title |
Telephone survey with field follow-up
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| Sample Characteristics/Data Collection |
162 welfare client families that received cash benefits in month six of the LBP but not in month seven (entered in the no benefit period).
Collected during months 8 - 12 of the LBP.
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| Sites |
19 eastern and central Iowa counties.
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| Response Rate/Attrition Notes |
Reported response rate:
85%
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| Additional Execution Notes |
Telephone with field follow-up if necessary. $50 incentive payment.
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| Source |
Interview
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| Title |
Semi-structured case study interview
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| Sample Characteristics/Data Collection |
12 welfare clients.
Purposefully selected from among the LBP survey respondents to represent high, moderate, and low levels of coping with the loss of cash assistance.
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| Sites |
Selected counties in eastern and central Iowa
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| Response Rate/Attrition Notes |
N/A
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| Additional Execution Notes |
In-person interviews. $50 incentive payment.
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Findings Available
Interim Implementation Findings
Interim Impact Findings
Findings
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05/01/97:
Iowa's Limited Benefit Plan Evaluation: Summary Report
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"Most assignments to the LBP result from FIP cases not developing and signing FIAs rather than abandoning signed FIAs. Slightly more then half of these assignments are subsequently canceled, allowing the cases to return to FIP before the scheduled end of the LBP. The characteristics of cases whose LBP assignments have been canceled suggest that they are somewhat more disadvantaged than those whose assignments have not been canceled"(2).
"The termination of cash benefits appears to act as a catalyst for some families to move toward self-sufficiency, while removing an important financial safety net for others"(2).
"The LBP does not appear to shift the burden of dependency from the public sector to the private, non-profit sector"(2).
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06/01/98:
Iowa's Limited Benefit Plan Evaluation: A Study of Well-Being: Visits to Families on Iowa's Limited Benefit Plan
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Interim Implementation Findings:
The Well-Being Visit Program began as an effort to ensure the well-being of children in families on Iowas Limited Benefit Plan. However, the current program has several limitations that seriously compromise its ability to achieve that objective. First, the program does not reach most children in LBP families. Only 40 percent of referred families even receive a visit, and children are present at less than half of those visits. Second, the visits do not emphasize child well-being. Instead, they focus primarily on informing clients about FIP and PROMISE JOBS policies and only secondarily on well-being issues, if at all. Consequently, the public health professionals who staff the program have come to question its use of their skills and its value to DHS and to the Iowa families it serves (xvi).
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08/01/99:
Iowa's Limited Benefit Plan Evaluation: Second Assignments to Iowa's Limited Benefit Plan
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Interim Impact Findings:
Current LBP policy has three points of vulnerability that enable clients to benefit financially from cycling on and off FIP and the LBP:
First, contact with PROMISE JOBS is not a prerequisite for resumption of FIP cash assistance after the end of a first LBP. Rather, contact and compliance with PROMISE JOBS is required only after a FIP application is filed and approved.
Second, after PROMISE JOBS requirements take effect for clients returning to FIP after a first LBP, clients report that there are delays between their act of noncompliance and PROMISE JOBS response.
Third, even after noncompliance is detected, the onset of a second LBP may be delayed due to the LBP review process (for clients with self-sufficiency plans in place) or other administrative procedures.
Former LBP clients who return to FIP may temporarily receive cash assistance while not meeting PROMISE JOBS participation requirements. MPR believes that pending policy changes should eliminate some of these vulnerabilities y requiring LBP clients to comply with PROMISE JOBS before they can return to LBP.
The incidence of recidivism is not trivial. This study shows that about one-quarter of all FIP clients assigned to a first LBP ultimately enter a second LBP. Pending LBP policy changes may reduce LBP recidivism through stricter rules that will require clients to comply with PROMISE JOBS employment and training activities prior to reapproval of a FIP application. Depending on the outcomes of these policy changes, further steps may be desired to reduce repeat assignments to the LBP. This study suggests that it would be more difficult to identify those LBP clients who are more at risk of a second LBP than other first LBP clients. Therefore, it may be more practical for future efforts to prevent repeat LBP assignments on all clients who return to FIP after a first LBP.
Nearly half of second assignments to the LBP result from clients failing to attend scheduled appointments required for the development and fulfillment of an FIA. Clients most often cite a personal or family circumstance, such as conflicting work schedules or lack of transportation, as the immediate reason for their noncompliance. However, beneath these immediate reasons often lie one or more fundamental barriers to compliance, such as inadequate communication or problem-solving skills.
While some clients experienced a decline in their standard of living after entering a second LBP, most experienced an increase or no change. The fact that some FIP clients enter a second LBP implies that they have repeatedly failed to gather the resources to develop and carry out an FIA. Nonetheless, one in a second LBP, it appears that most of these clients are able to gather the resources to make ends meet without FIP cash assistance. Many increase their employment, rely on social support networks, and utilize government assistance rather than FIP during a second LBP.
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Recommendations
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Iowa's Limited Benefit Plan Evaluation: Summary Report (05/01/97)
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"Case study interviews with these families indicate that this emotional and material support [from families, friends, and neighbors] does not always endure, implying that these families might be more reliant on private, non-profit social service providers if the LBP period of no cash benefits were longer than six months"(2).
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Iowa's Limited Benefit Plan Evaluation: A Study of Well-Being: Visits to Families on Iowa's Limited Benefit Plan (06/01/98)
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MPR has concluded that the Well-Being Visit Programs orientation should be shifted toward the health an well-being of children. This would concentrate the programs resources on its original objective- to ensure the well-being of children in LBP families. It would also draw on the expertise and interests of the public health nurses and social workers who conduct the well-being visits. To ensure the full commitment of the public health agencies and their staff to this program, DHS also needs to adjust the programs training, feedback, and financial incentive mechanisms. Training that reflects the child-centered focus should be provided to all current staff and repeated regularly to address the frequent turnover of well-being visitors. Feedback should be provided to visitors on a regular basis to support their individuals efforts, and financial incentives should be adjusted to increase the commitment of the local public health agencies to the Well-Being Visit Program. Finally, the programs systems for storing, analyzing, and reporting information on LBP families should be revised to focus on well-being (xvi).
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Iowa's Limited Benefit Plan Evaluation: Second Assignments to Iowa's Limited Benefit Plan (08/01/99)
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While the study of second assignments to the LBP is set in the context of Iowa and its TANF program, it highlights two key issues confronting welfare policymakers nationwide. First, it highlights the logistical conflicts that some employed clients face as they attempt to work and fulfill program requirements while making the transition from welfare to work. Second, it highlights the fundamental barriers to compliance with TANF work requirements faced by other, often unemployed, clients. As more TANF clients obtain employment, it will be important for states to help unemployed TANF clients obtain the necessary skills and resources to move toward self-sufficiency, particularly as time limits on cash assistance draw near.
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Existing Publications
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