” Currently, the CalWORKs fixed income level is the same as it was in l985. There is a way to save money for the General Fund without hurting poor families and children\u2014 exempt families with children under the age of 6 from participation in the WtW Program. Savings = About $1 Billion a Year Today, there are 14 people looking for three (3) available jobs. Many of them have college degrees. CCWRO 2012-2013 Budget Alert CCWRO CONTACT PERSON: Kevin Aslanian (916)712-0071
[email protected] – http:\/\/ccwro.org 1901 Alhambra Blvd. Sacramento, CA 95816-7012 HOW IS CalWORKs Funded? Federal Block Grant Funds – $3.7 billion State matching dollars needed to access the $3.7 billion federal block grant funds $2.9 billion How much of the total $6.6 billion is spent on CalWORKs recipients in 2011-2012? $5.3 billion How much of the $6.6 billion designated for CalWORKs families, who live on 1985 fixed incomes levels, was in the Governor’s 2012-2013 proposed budget? $4.8 Billion Does CalWORKs need more General Fund Money? No. We need to insure that money for CalWORKs is used specifically for CalWORKs. See attached re: how much CalWORKs recipients have contributed to the General Fund for two (2) decades. The budget steals about a billion from poor families to fund the State’s $1.1 billion reserve. SOURCE: LAO – http:\/\/www.lao.ca.gov\/laoapp\/PubDetails.aspx?id=%202570 Three Sources of Funding Support the CalWORKs Program. The CalWORKs program is funded by a combination of federal, state, and local funds. Federal funding is provided through an annual $3.7 billion TANF block grant. While a majority of the TANF block grant is used to fund the CalWORKs program, TANF funds can be used for any activities that meet the broad purposes of the TANF program (see Figure 1). To receive the full TANF block grant, California must contribute at least $2.9 billion from various nonfederal sources to meet a maintenance of effort (MOE) requirement. Although the MOE requirement is primarily met through state and county spending on CalWORKs, some state expenditures in other programs (such as subsidized child care) also count toward satisfying the requirement. County costs to administer the CalWORKs program, as well as provide employment services and childcare to CalWORKs recipients, are funded through an annual block grant (known as the single allocation) provided by the state. In addition, as a result of the 2011 12 realignment, $1.1 billion in local funds were redirected to cover a portion of CalWORKs cash grant costs. CCWRO 2012-2013 Budget Alert QUESTIONS POOR FOLKS WOULD LIKE TO ASK JERRY BROWN AT MAY REVISE PRESS CONFERENCE 1. Why are you taking over 1 billion dollars from poor families to pay for your rainy day fund or to balance the budget? Our children go to sleep hungry because our food stamps run out at the end of every month. 2. CalWORKs is funded with federal dollars and matching funds to access those federal funds. You want a $1 billion surplus. Why balance the budget on the backs of poor kids with money designated for the poor? 3. Why not exempt families with kids under 6 years of age from the work program while there are currently 14 people looking for three (3) available jobs, some with college degrees? If you say that the federal law requires it, the fact is that California has failed to meet the federal work participation rates for the past four (4) years and nothing has happened. 4. These cuts will mean more kids in foster care. We pay $180 for per kid on welfare and over $2,000 per kid in foster care. Does that make sense? 5. These cuts will mean more families will become homeless. Is that fair? CalWORKs and TANF Funding Chart 5\/12\/12 FY 1998-99 FY 1999-00 FY 2000-01 FY 2001-02 FY 2002-03 FY 2003-04 FY 2004-05 FY 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 Estimate 2012-13 GB Total TANF Grant\/Required MOE 6,640,971,000 6,639,655,000 6,457,111,000 6,439,482,000 6,425,431,000 6,425,952,000 6,420,148,000 6,408,523,000 6,406,842,000 6,402,415,000 6,583,092,000 6,584,132,000 6,950,599,000 6,574,441,000 6,569,122,000 CalWORKs Program (Actuals) \/1 5,452,464,887 5,644,024,929 5,228,224,151 5,065,837,696 5,234,304,599 4,726,460,275 4,977,898,939 4,827,632,403 4,780,360,853 5,035,819,569 5,341,526,077 5,341,519,431 5,576,729,520 5,303,820,001 3,035,745,000 Grants 3,728,895,597 3,409,184,226 3,110,590,925 3,128,453,615 2,998,104,490 3,058,377,136 3,272,331,000 3,067,470,861 2,949,089,178 3,006,359,917 3,275,881,220 3,406,732,000 3,674,460,000 3,261,728,000 3,160,144,000 Administration 518,317,463 563,062,953 539,640,224 554,944,600 499,797,000 477,145,347 477,510,368 534,258,293 555,745,996 584,572,008 579,578,620 590,571,121 619,727,897 664,540,667 799,952,223 Services 450,275,279 569,166,870 659,554,385 725,821,297 766,605,000 593,584,707 666,412,363 692,825,442 717,380,363 804,993,424 829,198,822 798,905,700 784,790,383 841,538,887 1,013,016,865 Child Care 360,733,329 524,045,984 571,661,082 537,865,541 548,577,000 486,111,807 451,267,208 428,742,096 450,703,076 526,040,292 542,554,111 440,639,196 388,502,665 416,595,447 501,483,912 Substance Abuse\/Mental Health Svcs 21,212,219 67,946,896 96,777,535 98,752,643 118,377,109 111,241,278 110,378,000 104,335,711 107,442,240 113,853,928 114,313,304 104,671,414 109,248,575 119,417,000 128,306,000 CalWORKs Refocus \/4 (2,567,158,000) County Share of Admin\/Svcs \/2 80,807,136 82,344,889 70,220,490 63,070,804 65,344,000 53,410,000 61,429,000 57,462,000 27,550,000 36,489,082 27,214,878 8,368,000 Unallocated Reduction Tribal TANF\/3 71,001,000 69,750,000 69,073,000 78,420,000 87,703,000 Performance Incentives(budgeted) 373,031,000 510,618,000 250,000,000 20,000,000 302,844,000 Probation 201,413,000 201,413,000 201,413,000 201,413,000 201,413,000 201,413,000 67,138,000 Student Aid Commision 736,362,000 KinGAP 25,519,000 69,859,000 76,232,000 88,318,000 94,308,000 96,340,000 137,425,000 120,737,000 114,052,000 107,687,000 91,033,000 57,309,000 51,539,000 ARRA Subsidized Employment – ECF 158,508,000 200,348,000 ARRA Non-Recurrent Short Term Benefits ECF 176,233,000 18,775,000 Non MOE\/TANF in CDSS \/5 (11,269,000) (8,429,000) (7,708,000) (14,356,000) (2,330,000) (12,363,000) (10,322,000) (10,219,000) (197,460,000) (192,378,000) (196,041,000) (179,056,000) (158,118,000) (163,094,000) (275,602,000) Other MOE\/TANF in CDSS \/6 305,663,000 334,380,000 344,605,000 402,604,000 384,872,000 331,849,000 315,403,000 331,194,000 214,330,000 263,857,000 271,073,000 299,394,000 303,620,000 306,299,000 1,954,287,000 MOE In Other Department Budgets 402,839,000 410,869,000 466,450,000 474,184,000 377,043,000 461,401,000 411,967,000 500,527,000 476,424,000 1,005,748,000 714,079,000 668,044,000 641,575,000 683,180,000 489,775,000 State Support 29,016,000 26,714,000 26,592,000 29,198,000 23,979,000 27,242,000 27,462,000 26,060,000 24,909,000 25,774,000 28,131,000 27,687,000 29,180,000 31,155,000 31,155,000 Total Expenditures 6,380,126,887 6,608,971,929 6,285,095,151 6,228,739,696 6,295,513,599 5,824,320,275 5,883,854,939 5,771,534,403 5,435,988,853 6,259,557,569 6,343,821,077 6,892,156,000 6,772,215,520 6,297,089,001 6,110,964,000 Federal TANF 3,472,973,887 3,703,134,929 3,561,802,151 3,523,075,696 3,603,900,599 3,132,186,275 3,422,342,000 3,297,312,000 2,972,412,000 3,722,511,000 3,560,047,000 4,041,842,000 3,810,007,000 3,356,134,000 3,275,660,000 General Fund \/7 2,733,123,474 2,708,262,505 2,545,307,737 2,477,681,856 2,521,316,388 2,487,383,000 2,490,171,000 2,483,755,000 2,518,089,000 2,498,949,000 2,715,820,000 2,712,840,000 3,103,684,000 1,759,747,000 1,628,448,000 Other State Funds (ETF) 30,000,000 30,000,000 86,700,000 30,000,000 56,432,000 40,475,000 38,010,000 20,087,000 45,000,000 35,000,000 20,000,000 County Funds \/7 174,029,526 167,574,495 147,985,263 141,282,144 140,296,612 148,319,000 155,684,000 152,940,000 134,848,000 124,648,000 133,454,000 117,474,000 113,097,000 1,181,208,000 1,206,856,000 Total TANF transfers 284,965,000 531,654,000 606,149,000 497,376,000 636,521,000 675,546,000 475,396,000 689,917,000 798,270,000 468,773,000 442,017,000 440,818,000 440,163,000 449,192,000 458,158,000 Non-CalWORKs Transfers 5,339,000 70,793,000 100,135,000 85,579,000 191,489,000 176,409,000 175,403,000 169,793,000 186,921,000 197,931,808 192,243,500 180,684,149 Transfers to Stage 2, Title XX for Child Care, Tribal TANF and Reserves 284,965,000 531,654,000 600,810,000 497,376,000 565,548,000 575,411,000 389,817,000 498,428,000 621,861,000 293,370,000 272,224,000 253,897,000 242,231,192 256,948,500 277,473,851 TANF Grant\/Required MOE 6,640,971,000 6,639,655,000 6,457,111,000 6,439,482,000 6,425,431,000 6,425,952,000 6,420,148,000 6,408,523,000 6,406,842,000 6,402,415,000 6,583,092,000 6,584,132,000 6,950,599,000 6,648,392,000 6,569,122,000 General Fund Above Base MOE 97,889,000 Prior Year TANF Carryforward 617,020,000 854,309,000 520,661,000 503,004,000 283,783,000 509,190,000 545,245,000 638,369,000 424,356,000 457,466,000 119,532,000 117,100,000 233,398,000 71,508,000 ARRA – Emergency Contingency Funds 259,212,000 370,195,000 125,626,000 ARRA – Subsidized Employment 159,386,000 215,348,000 ARRA – Non-Recurring ECF 176,233,000 27,225,000 Net TANF Block Grant Unspent Performance Incentives 600,000,000 High Performance Bonus 14,219,000 7,044,000 12,922,000 Total Available Funding 7,257,991,000 7,493,964,000 6,977,772,000 6,942,486,000 7,309,214,000 6,949,361,000 6,972,437,000 7,059,814,000 6,831,198,000 6,859,881,000 6,961,836,000 7,407,046,000 7,552,196,000 6,817,789,000 6,569,122,000 Total TANF\/MOE Expends 6,665,091,887 7,142,163,682 6,880,657,505 6,708,379,364 6,916,571,463 6,472,469,139 6,584,068,000 6,661,934,000 6,234,258,853 6,728,330,569 6,785,838,077 7,332,974,000 7,212,378,520 6,746,281,001 6,569,122,000 NET TANF Carry-over Funds \/8 592,899,113 351,800,318 97,114,495 234,106,636 392,642,537 476,891,861 388,369,000 397,880,000 387,492,000 75,498,000 74,072,000 91,187,000 71,508,000 CalWORKs contribution to the General Fund 708,502,000$ 745,249,000$ 1,021,913,000$ 1,126,647,000$ 1,088,940,000$ 1,163,238,000$ 1,087,321,000$ 1,299,448,000$ 1,184,134,000$ 1,745,291,000$ 1,268,997,000$ 1,262,046,000$ 1,234,159,808$ 1,239,031,500$ 2,676,285,000$ *For 2010-11 Estimate: TANF Grant\/Required MOE amount increased by $365,900,000 to reflect the Budget Action request of an advance of TANF Funds in FY 2010-11. Revised 2\/6\/12 \/1 FY 2010-11 CalWORKS Program Expenditures (excluding pass through funding) for Administration, Services (including Mental Health\/Substance Abuse) and Child Care reflect actual expenditures (including overmatch for counties that exceed their allocation). Prior years’ expenditures remain the same (as previously published in this document). The Administration, Services, and Child Care figures for FY 2011-12 and FY 2012-13 reflect an adjustment to display the budgeted dollars based on FY 2010-11 actual expenditure levels. Other figures represent the last updated budget amounts. \/2 This is a non-add line because the estimated county share is included in the CalWORKs actual budgeted expenditures. \/3 The Tribal TANF funds reflected in FY 2008-09 were formally included in the Grants, Admin and Services sections but are now shown separately. \/4 FY 2012-13 CalWORKs Refocusing reflects savings from CalWORKs refocusing proposal and savings of moving Child Maintenance cases out of the CalWORKs Budget. \/5 FY 2012-13 Non-CalWORKs MOE\/TANF in CDSS includes $101,940,000 related to the Child Maintenance program. \/6 FY 2012-13 Other MOE\/TANF in CDSS includes $1,625,270,000 related to the Child Maintenance program. \/7 FY 2011-12 and FY 2012-13 reflects a shift of $1,086,897 and $1,128,001, respectively, for CalWORKs MOE Subaccount Funds (AB x1 16) due to realignment. \/8 Reflects the estimated amount of carry-over funds appropriated to the next year. Note: CalWORKs Contribution to the General Funds Includes KinGAP, Other MOE in CDSS, Other Department MOE, Student Aid Commission, Non CalWORKs TANF Transfers, WPR adjustment for meeting the rate, and, beginning in FY 2012-13, the Child Maintenance Program. How Much Have CalWORKs Recipients Contributed to the General Fund to Date? $20,641,063,308 ”