County may up poverty level limit

Adrienne Packer

Friday, May 17, 2002 | 10:53 a.m.

About 800 additional low-income residents of Clark County would be eligible for government assistance each month if commissioners agree Tuesday to revise outdated poverty rate guidelines.

The county administrators' proposal allows families to earn about 20 percent more per household and still be eligible for help with medical costs and rent.

The county currently uses guidelines established by the U.S. Department of Health and Human Services in 1991. With the new income levels in place, the county expects the number of residents seeking services each month to increase by about 6 percent.

While he was unable to explain why the county was using old guidelines, Clark County Manager Thom Reilly said updating the rates was a priority when he took office last year.

"In keeping up with inflation, like any other resident in the valley, we thought it was appropriate to look at medical and social service benefits (for low-income residents)," Reilly said.

Each month about 13,000 residents currently seek medical assistance and direct assistance, money typically used to pay rent.

The county's new formula for eligibility is far less restrictive than the plan that has been used for more than a decade.

Residents applying for rental assistance can make no more than 37.5 percent of the federal poverty rate; the new proposal adjusts the eligibility rate to 50 percent.

Those eligible for medical assistance can earn no more than 90 percent of the poverty rate; the existing formula is set at 70 percent.

For example, the poverty guideline for a family of four shows a monthly household income of $1,508 a month. So under the new plan, the family could earn $1,357 a month -- 90 percent of $1,508 -- and still be eligible for the aid.

Reilly said the effects the Sept. 11 terrorist attacks had on the economy further emphasized the need to adjust the formula and provide assistance to more residents.

"After 9/11, the state's caseloads have been climbing pretty steadily," Reilly said.

To offset the costs of the increased cases, commissioners on Monday will consider approving a tax shift by decreasing indigent care taxes and increasing countywide taxes, Clark County Finance Director George Stevens said.

Stevens said indigent taxes are confining because they must be used to serve all residents who have no health insurance, not specific groups such as the homeless or low-income residents.

"If you're homeless and indigent, we can provide services," Stevens said. "But being homeless doesn't automatically make you eligible. The two terms are not synonymous."

Reducing the indigent tax by .65 percent and increasing countywide taxes by the same amount will give the county more flexibility in where it can spend the money. The $2.5 million generated by the additional county tax will not only cover the costs of increased caseloads, but allow the county to provide more funding for homeless programs.

During their budget hearing Monday, in which the board is expected to approve an $800 million operating budget, commissioners will also consider two additional positions to assist in resolving the homeless problem.

The two Social Services Department staff members will conduct outreach work -- introducing homeless people to services in an attempt to get them back into mainstream society.

"We need to do more front-end work," Stevens said. "Many times they're eligible for services but they don't apply so we can't get them (the services)."