[Congressional Record Volume 151, Number 18 (Thursday, February 17, 2005)]
[Senate]
[Pages S1676-S1679]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. SMITH (for himself, Mr. Jeffords, Mr. Chafee, Mr. 
        Rockefeller, and Ms. Collins):
  S. 456. A bill to amend part A of title IV of the Social Security Act 
to permit a State to receive credit towards the work requirements under 
the temporary assistance for needy families program for recipients who 
are determined by appropriate agencies working in coordination to have 
a disability and to be in need of specialized activities; to the 
Committee on Finance.
  Mr. SMITH. Mr. President, I rise today to introduce the Pathways to 
Independence Act of 2005, along with Senators Jeffords, Chafee, 
Rockefeller, and Collins. This bill includes two important provisions 
that we will work to include in TANF reauthorization. These provisions 
will help States work with TANF recipients who have disabilities to 
transition them into work.
  In July 2002, the General Accounting Office reported that as many as 
44 percent of TANF families have a parent or child with a physical or 
mental impairment. This is almost three times as high as among the non-
TANF population in the United States. In eight percent of TANF 
families, there is both a parent and a child with a disability; among 
non-TANF families, this figure is one percent. The GAO's work confirmed 
the findings of earlier studies, including work by the Urban Institute 
and the HHS Inspector General.
  These figures mean that we need to make sure that TANF 
reauthorization legislation gives States the ability and incentives to 
help families meet their current needs, while also helping them to move 
from welfare to work. This is the lesson that Oregon and many other 
States have already learned as they developed and refined their TANF 
programs.
  The first provision of my bill provides a pragmatic approach to 
helping parents with disabilities and substance abuse problems receive 
the treatment and other rehabilitative services they will need to 
succeed in a work setting. It is designed so that, over time, States 
can gradually increase the work activity requirements, while continuing 
to provide clients with rehabilitative services. Under this proposal, 
much like in other proposals under consideration, a person 
participating in rehabilitation can be counted as engaged in work 
activity for three months. After the first three months, if a person 
continues to need rehabilitative services, the State can continue to 
count participation in those activities for another three months, so 
long as that person is engaged in some number of work hours, to be 
determined by the State.
  The next step of my proposal builds on the concept of partial credit 
that is being considered in the Senate Finance Committee. If, after six 
months, a State determines that a person has a continuing need for 
rehabilitative services, the State may create a package that combines 
work activity with these services. The State will receive credit for 
the individual's efforts so long as at least one-half of the hours in 
which the individual participates are in core work activities. For 
example, if a State receives full credit for a person who works 30 
hours per week, and the State has determined that an individual needs 
rehabilitative services beyond six months, that individual would need 
to be engaged in core work activities for at least 15 hours per week to 
get full credit, with the remaining 15 hours spent in rehabilitative 
services. Similarly, if partial credit is available for a person who 
works 24 hours per week, then a State could receive that same 
partial credit if the person was engaged in core work activities for at 
least 12 hours per week, with the remaining 12 hours spent in 
rehabilitative services.

  This approach is appealing for many reasons. First, it allows states 
to design a system in which a person can move progressively over time 
from rehabilitation toward work. Second, it gives states credit for the 
time and effort they will need to invest to help people move 
successfully from welfare to work by allowing States to use a range of 
strategies to help these families. Third, it creates a more realistic 
structure for individuals with disabilities and addictions who may 
otherwise fall out of the system either through sanction or 
discouragement, despite their need for financial support. Finally, this 
approach is appealing because it is designed to work within the 
structure of the final TANF reauthorization bill.
  I look forward to working with my co-sponsors, Senators Jeffords, 
Chafee, Rockefeller, and Collins, and with the Chairman of the Finance 
Committee on these important provisions in the upcoming months, and I 
urge my colleagues to join us in support of this legislation.
  I also wish to thank all of the organizations that have expressed 
support for this bill. I have received support letters from those 
organizations, and I ask unanimous consent that those letters be 
printed in the Record
  I ask unanimous consent that the text of this bill be printed in the 
Record.

[[Page S1677]]

  There being no objection, the material was ordered to be printed in 
the Record, as follows:
                                           Consortium for Citizens


                                            With Disabilities,

                                                February 17, 2005.
     Hon. Gordon Smith,
     Senate,
     Washington, DC.
     Hon. Susan M. Collins,
     Senate,
     Washington, DC.
     Hon. John D. Rockefeller IV,
     Senate.
     Washington, DC.
     Hon. James M. Jeffords,
     Senate,
     Washington, DC.
     Hon. Lincoln D. Chafee,
     Senate,
     Washington, DC.
       Dear Senators Smith, Jeffords, Collins, Chafee, and 
     Rockefeller: We are writing to thank you for introducing 
     legislation that addresses a key problem facing TANF families 
     with a parent with a disability. We believe that this 
     provision, if included in the larger TANF reauthorization 
     bill, will significantly improve the ability of states to 
     help families successfully move from welfare toward work 
     while also ensuring that the needs of family members with 
     disabilities are met. We enthusiastically support this 
     legislation.
       Consortium for Citizens with Disabilities (CCD) is a 
     coalition of national consumer, advocacy, provider and 
     professional organizations headquartered in Washington, DC. 
     We work together to advocate for national public policy that 
     ensures the self determination, independence, empowerment, 
     integration and inclusion of children and adults with 
     disabilities in all aspects of society. The CCD TANF Task 
     Force seeks to ensure that families that include persons with 
     disabilities are afforded equal opportunities and appropriate 
     accommodations under the Temporary Assistance for Needy 
     Families (TANF) block grant.
       The research is clear that many TANF families include a 
     parent or a child with a disability, and in some families, 
     there is both a child and a parent with a disability. The 
     numbers are high--GAO has found that as many as 44 percent of 
     TANF families have a child or a parent with a disability--and 
     need to be addressed in the policy choices that Congress 
     makes in TANF reauthorization. We believe that, by designing 
     policies that take into account the needs of families with 
     a member with a disability, Congress can help the states 
     move greater numbers of these families off of welfare and 
     toward greater independence. Without reasonable supports, 
     however, and through no fault of their own, these families 
     sometimes fail at work activity and are often subject to 
     inappropriate sanctioning and the crises that flow from 
     abrupt--and often prolonged--loss of income.
       Your bill would provide low-income families with members 
     with disabilities real opportunities to achieve self-
     sufficiency. Under current law, states have the flexibility--
     either through a waiver such as Oregon has or as a result of 
     the caseload reduction credit--to ensure that a parent with a 
     disability, including a substance abuse problem, receives the 
     rehabilitative services she needs in order to move towards 
     work. In recent years, increasing numbers of states have used 
     this flexibility as they realized that some parents would 
     need more specialized help if they were going to successfully 
     leave TANF. Some of the current reauthorization proposals, 
     however, limit states to counting three or six months of 
     rehabilitative services as work activity. Such short limits 
     on rehabilitative services would be inadequate to help many 
     families with members with disabilities find and sustain 
     employment, and, in light of proposed increases in state 
     participation rates, would discourage states from designing 
     programs and requirements that work for people with the most 
     severe barriers.
       Your bill will allow states to count rehabilitative 
     services as work activity beyond six months as long as the 
     state TANF agency works collaboratively with other public or 
     private agencies in determining disability and the services 
     that will be provided and the rehabilitative services are 
     mixed with significant work activity. We believe this mix of 
     work activities and supports will help an individual with 
     severe barriers move toward greater independence. The 
     provision would allow states to count individuals 
     participating in rehabilitative services after six months as 
     long as at least one-half of the hours in which the 
     individual participates are in core work activities. This 
     will allow states to create a progression of work activity 
     hours combined with rehabilitative services over time that 
     will assist in moving the family from welfare to work at a 
     pace that is designed to lead to success for that family.
       CCD is not asking Congress to exempt individuals with 
     disabilities from participation in the TANF program. On the 
     contrary, we are looking for the essential assistance and 
     supports that will help families move off of welfare toward 
     greater independence. Your bill does not create any 
     exemptions from participation requirements, and in fact, 
     provides the necessary assistance and supports that can come 
     with participation in the TANF program. Under the bill, 
     states would have to engage the same number of recipients in 
     welfare-to-work activities as under the standard set in a new 
     reauthorization law. The provision simply allows states to 
     utilize a broader range of activities to help recipients with 
     barriers move to work. In short, this is a way to make the 
     TANF program work for parents with disabilities and substance 
     abuse problems. The provision would give states credit when 
     recipients with barriers are engaged in activities and, thus, 
     will encourage states to assist families with barriers to 
     progress toward work in a manner and at a pace that is more 
     tailored to their needs and disabilities.
       Thank you again for introducing this legislation and your 
     leadership on this very important issue. We look forward to 
     working with you and your staffs to ensure that this 
     provision becomes law.
           Sincerely,
     American Music Therapy Association
     American Network of Community Options and Resources
     APSE: The Network on Employment
     Association of University Centers on Disability
     Bazelon Center for Mental Health Law
     Brain Injury Association of America
     Center on Budget and Policy Priorities
     Council for Exceptional Children
     Council of State Administrators of Vocational Rehabilitation
     County Welfare Directors Association of California
     Easter Seals
     Epilepsy Foundation
     Goodwill Industries International
     National Association of Protection and Advocacy Systems
     National Association of Research and Training Centers
     National Association of Social Workers
     National Association of State Mental Health Program Directors
     National Association of State Head Injury Administrators
     National Law Center on Homelessness and Poverty
     National Mental Health Association
     National Rehabilitation Association
     National Respite Coalition
     NISH
     Paralyzed Veterans of America
     The Arc of the United States
     United Cerebral Palsy
                                  ____

                                                February 17, 2005.
     Hon. Gordon Smith,
     U.S. Senate,
     Washington, DC.
     Hon. Susan M. Collins,
     U.S. Senate,
      Washington, DC.
     Hon. John D. Rockefeller IV,
     U.S. Senate,
     Washington, DC.
     Hon. James M. Jeffords,
     U.S. Senate,
     Washington, DC.
     Hon. Lincoln D. Chafee,
     U.S. Senate Washington, DC.
       Dear Senators Smith, Jeffords, Rockefeller, Collins, and 
     Chafee: Thank you for introducing the ``Pathways to 
     Independence Act of 2005.'' The provision included in this 
     bill, if included in the TANF reauthorization legislation, 
     will improve the ability of states to help TANF recipients 
     with disabilities, including substance abuse problems, to 
     move towards work and greater independence.
       Your bill improves on provisions in the Personal 
     Responsibility and Individual Development for Everyone 
     (PRIDE) Act, which passed the Senate Finance Committee in the 
     last Congress and has now been introduced as part of S. 6. 
     The current Senate version of the PRIDE Act allows states to 
     count rehabilitative services towards the work participation 
     rate for up to six months, as long as some core work activity 
     is combined with the rehabilitative services in the second 
     three-month period. The Smith-Jeffords bill builds on this 
     and would allow states to count participation in 
     rehabilitative activities beyond six months, so long as the 
     individual participates in at least one-half the required 
     core work activity hours. The bill also would encourage 
     states to work collaboratively with other agencies that have 
     expertise in identifying disabilities and developing 
     appropriate service plans to address those disabilities.
       The encouragement of collaboration is a critical component 
     of the bill. It is our experience that many states have used 
     the flexibility of current law to begin developing such 
     collaborative approaches to working with families who face 
     multiple barriers to employment and independence. However, we 
     are concerned that the increased participation rate 
     requirement contemplated in TANF reauthorization proposals 
     will discourage states from continuing such collaborative 
     approaches to helping families progress on the pathway to 
     independence. Unless states are provided more flexibility in 
     determining what activities count towards the participation 
     rate, we fear states that are already providing critical 
     services will no longer be able to provide them.
       For example, last year, the Vermont Vocational 
     Rehabilitation Agency, working in conjunction with the 
     state's TANF agency, reported that it had recently assisted 
     109 recipients with disabilities in achieving successful 
     employment (defined as stable employment for 90 days). Only 
     14 of the 109 TANF recipients with disabilities (or 12.8 
     percent) achieved stable employment in six months or less. 
     Without flexibility to go beyond six months in providing 
     rehabilitative services to people with disabilities, as 
     provided by the Smith-Jeffords bill, Vermont would have 
     risked penalties by offering rehabilitative services beyond 
     six months and 95

[[Page S1678]]

     of the 109 TANF recipients with disabilities would have been 
     unlikely to receive the services they needed to become 
     successfully employed.
       Similarly, drug and alcohol treatment programs that serve 
     women with children, including women receiving TANF 
     assistance, generally require more than six months of 
     services. Indeed, 54 percent of these family-based treatment 
     programs extend beyond six months and demonstrate successful 
     outcomes of upwards of 60 percent of parents achieving 
     lasting sobriety and family stabilization. Family-based 
     treatment programs combine job training, parenting classes, 
     education, and life skills training in their substance abuse 
     treatment plans. These programs also include employment as an 
     essential aspect of the treatment plan, when a particular 
     individual is ready to engage in work. Allowing individuals 
     time to complete treatment is critical. An Oregon study 
     showed that those who completed drug treatment received wages 
     65 percent higher than those who did not. Nationally, SAMHSA 
     research demonstrates that the longer parents stay in 
     substance abuse treatment programs the more likely they are 
     to succeed: of parents who stayed in treatment for more than 
     six months, 71 percent achieved sustained recovery after 
     completing treatment as well as six months post-discharge.
       The goal should be to help parents with disabilities, 
     including substance abuse problems, obtain whatever help they 
     need--for however long they need, as determined by the state 
     and local agencies working together--to help them 
     successfully move from welfare to work. Allowing states to 
     receive credit for only a limited number of months of 
     rehabilitative services will mean that some parents do not 
     get the intensive help they need to succeed.
       We are also quite concerned that many of the families who 
     are unable to obtain the services they need will end up in 
     the child welfare system. It is the most disadvantaged 
     families, those with barriers such as mental or physical 
     disabilities or problems with substance abuse, who are at 
     greatest risk of making the transition into the child welfare 
     system.
       Thus, neither families nor states can afford an inflexible 
     and ineffective approach to addressing barriers in the TANF 
     program. States must be permitted to count participation in 
     activities that help parents with disabilities successfully 
     participate in the workplace and care for their children, for 
     as long as those activities are needed to help the family 
     progress towards greater independence. We believe that your 
     bill provides this needed flexibility and will encourage 
     state agencies to work collaboratively in assisting these 
     families. Thank you again for introducing this legislation.
           Sincerely,
     Alliance for Children and Families
     American Academy of Child and Adolescent Psychiatry
     American Association of People with Disabilities
     American Association on Health and Disability
     American Counseling Association
     American Dance Therapy Association
     American Federation of Teachers
     American Humane Association
     American Music Therapy Association
     American Network of Community Options and Resources
     APSE: The Network on Employment
     American Professional Society on the Abuse of Children
     American Psychological Association
     Association of University Centers on Disability
     Bazelon Center for Mental Health Law
     Black Administrators in Child Welfare Inc.
     Brain Injury Association of America
     Center for Law and Social Policy
     Center on Budget and Policy Priorities
     Child Welfare League of America
     Children Awaiting Parents
     Children's Defense Fund
     Children's Healthcare Is a Legal Duty
     Coalition on Human Needs
     Community Anti-Drug Coalitions of America
     Council for Exceptional Children
     Council of Learning Disabilities
     Council of State Administrators of Vocational Rehabilitation
     Easter Seals
     Epilepsy Foundation
     Episcopal Community Services
     Goodwill Industries International
     Helen Keller National Center
     Legal Action Center
     Legal Momentum
     Lutheran Services in America
     National Alliance of Children's Trust and Prevention Funds
     National Alliance to End Home1essness
     National Association of Protection and Advocacy Systems
     National Association of Research and Training Centers
     National Association of School Psychologists
     National Association of Social Workers
     National Association of State Mental Health Program Directors
     National Association of State Head Injury Administrators
     National Association for Children of Alcoholics
     National Association for Children's Behavioral Health
     National Child Abuse Coalition
     National Coalition on Deaf-Blindness
     National Council of La Raza
     National Council on Alcoholism & Drug Dependence
     National Education Association
     National Indian Child Welfare Association
     National Law center on Homelessness and Poverty
     National Mental Health Association
     National Rehabilitation Association
     National Respite Coalition
     NISH
     Paralyzed Veterans of America
     Protestants for the Common Good
     Research Institute for Independent Living
     School Social Work Association of America
     The Arc of the United States
     Therapeutic Communities of America
     United Cerebral Palsy
     Union for Reform Judaism
     Voices for America's Children
     Women of Reform Judaism
     YWCA USA
                                  ____


                                 S. 456

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Pathways to Independence Act 
     of 2005''.

     SEC. 2. STATE OPTION TO RECEIVE CREDIT FOR RECIPIENTS WHO ARE 
                   DETERMINED BY APPROPRIATE AGENCIES WORKING IN 
                   COORDINATION TO HAVE A DISABILITY AND TO BE IN 
                   NEED OF SPECIALIZED ACTIVITIES.

       (a) In General.--Section 407(c)(2) of the Social Security 
     Act (42 U.S.C. 607(c)(2)) is amended by adding at the end the 
     following:
       ``(E) State option to receive credit for recipients who are 
     determined by appropriate agencies working in coordination to 
     have a disability and to be in need of specialized 
     activities.--
       ``(i) Initial 3-month period.--At the option of the State, 
     if the State agency responsible for administering the State 
     program funded under this part determines that an individual 
     described in clause (iv) is not able to meet the State's full 
     work requirements, but is engaged in activities prescribed by 
     the State, the State may deem the individual as being engaged 
     in work for purposes of determining monthly participation 
     rates under paragraphs (1)(B)(i) and (2)(B) of subsection (b) 
     for not more than 3 months in any 24-month period.
       ``(ii) Additional 3-month period.--A State may extend the 
     3-month period under clause (i) for an additional 3 months 
     only if, during such additional 3-month period, the 
     individual engages in rehabilitative services prescribed by 
     the State and a work activity described in subsection (d) for 
     such number of hours per month as the State determines 
     appropriate.
       ``(iii) Rules for credit in succeeding months.--

       ``(I) In general.-- If the State agency responsible for 
     administering the State program funded under this part works 
     in collaboration or has a referral relationship with other 
     governmental or private agencies with expertise in disability 
     determinations or appropriate services plans for adults with 
     disabilities (including agencies that receive funds under 
     this part) and one of these entities determines that an 
     individual treated as being engaged in work under clauses (i) 
     and (ii) continues to be unable to meet the State's full work 
     requirements because of the individual's disability and 
     continuing need for rehabilitative services after the 
     conclusion of the periods applicable under such clauses, then 
     for purposes of determining monthly participation rates under 
     paragraphs (1)(B)(i) and (2)(B) of subsection (b), the State 
     may receive credit in accordance with subclause (II) for 
     certain activities undertaken with respect to the individual.
       ``(II) Credit for activities undertaken through 
     collaborative agency process.--Subject to subclause (III), if 
     the State undertakes to provide services for an individual to 
     which subclause (I) applies through a collaborative process 
     that includes governmental or private agencies with expertise 
     in disability determinations or appropriate services for 
     adults with disabilities, the State shall be credited for 
     purposes of the monthly participation rates determined under 
     paragraphs (1)(B)(i) and (2)(B) of subsection (b) with the 
     lesser of--

       ``(aa) the sum of the number of hours the individual 
     participates in an activity described in paragraph (1), (2), 
     (3), (4), (5), (6), (7), (8), or (12) of subsection (d) for 
     the month and the number of hours that the individual 
     participates in rehabilitation services under this clause for 
     the month; or
       ``(bb) twice the number of hours the individual 
     participates in an activity described in paragraph (1), (2), 
     (3), (4), (5), (6), (7), (8), or (12) of subsection (d) for 
     the month.

       ``(III) Limitation.--A State shall not receive credit under 
     this clause towards the monthly participation rates under 
     paragraphs (1)(B)(i) and (2)(B) of subsection (b) unless the 
     State reviews the disability determination of an individual 
     to which subclause (I) applies and the activities in which 
     the individual is participating not less than every 6 months.

       ``(iv) Individual described.--For purposes of this 
     subparagraph, an individual described in this clause is an 
     individual who the State has determined has a disability, 
     including a substance abuse problem, and would benefit from 
     participating in rehabilitative services while combining such 
     participation with other work activities.
       ``(v) Definition of disability.--In this subparagraph, the 
     term `disability' means a

[[Page S1679]]

     physical or mental impairment, including substance abuse, 
     that--

       ``(I) constitutes or results in a substantial impediment to 
     employment; or
       ``(II) substantially limits 1 or more major life 
     activities.''.

       (b) Effective Date.--The amendment made by subsection (a) 
     takes effect on October 1, 2005.
  Mr. JEFFORDS. Mr. President, it is a pleasure for me to introduce 
today, along with my colleagues Senators Smith, Collins, Chafee, and 
Rockefeller, the ``Pathways to Independence Act of 2005.'' This 
legislation is the product of a bipartisan effort to ensure that those 
individuals in our welfare system who face the toughest barriers to 
work, such as individuals with disabilities or substance abuse 
problems, are provided the best opportunity for future success and 
productivity. This legislation gives states the tools and incentives 
necessary to assist them in moving individuals from welfare to work.
  The current welfare system has been widely regarded as a success in 
moving individuals off the welfare rolls, and states have been given 
incentives to do so. While this approach has been regarded as 
successful, it has one major flaw. Although the states are provided 
incentives for removing people from the welfare rolls, no incentives 
exist for placing individuals into sustainable employment. States 
receive the same credit for moving a welfare recipient into a high 
paying job as they do for sanctioning that person outright. This 
perverse incentive has been particularly difficult for the many welfare 
recipients who have disabilities or struggle with substance abuse 
problems. In many states it is easier to write these people off than to 
give them the support necessary to become truly independent.
  In Vermont, approximately 15 percent of the welfare caseload has been 
diagnosed with a disability and receive services through the Vermont 
Department of Vocational Rehabilitation. Vermont's effort to provide 
these services enables welfare recipients to, move from welfare to 
work. However, these services are not included in the core work 
activities allowed under the current welfare law. Vermont receives no 
credit or incentive for moving these individuals to independence. This 
policy is wrong. If we truly want welfare to be an initiative that 
helps people to become independent and self-sufficient, then our 
policies must reflect our intentions. That is where ``The Pathways to 
Independence Act of 2005'' comes into play.
  The ``Pathways to Independence Act of 2005'' would allow states to 
count certain rehabilitation services for individuals with disabilities 
and treatment for substance abuse toward work activities. Here's how it 
works: the legislation would give states the ability to count a welfare 
recipient who is engaged in work, or work preparation activities, to 
participate in a drug treatment program for three months. At the end of 
this 3-month period, the state would be given the opportunity to re-
evaluate the status of the individual and decide whether to continue 
treatment for an additional 3 months. This is the same process that is 
envisioned in the ``Personal Responsibility and Individual Development 
for Everyone (PRIDE) Act'' that the Finance Committee is planning to 
consider this spring. The PRIDE approach would then require an 
individual with a severe barrier to meet the same standard as a non-
disabled individual. However, the ``Pathways to Independence Act'' 
would allow the state to continue treatment for the individual, 
provided that the individual is meeting at least half of the regular 
work requirements and following their treatment program for the 
remaining hours.
  This is a common sense proposal. It is consistent with the research 
on providing effective support programs for people with disabilities 
and effective treatment programs for people struggling with substance 
abuse leading to sustainable employment. By allowing states to count 
these individuals in the ``working'' category, we provide the states 
with the necessary incentives to engage those most difficult to serve 
in meaningful ways that will help them to work. It will allow the 
states to place people with disabilities and substance abuse problems 
on a pathway to independence.
  The ``Pathways to Independence Act of 2005'' would supply the states 
with the tools and incentives necessary to provide welfare recipients 
with the greatest chance for independence and self-sufficiency. If we 
truly want to take the necessary steps towards achieving this goal and 
improving upon our current welfare system, this legislation must be 
part of any welfare reform reauthorization that is enacted.
  I would like to thank the members of the Consortium for Citizens with 
Disabilities for their help in developing this legislation and their 
strong letter in support of this initiative. I especially want to thank 
my colleague from Oregon, Senator Smith, for his commitment to this 
legislation and all of our cosponsors in this endeavor.

                          ____________________