Thursday, Dec. 18, 2003 | 9:06 a.m.
The state Welfare Division administers a program that uses state and federal funds to provide child-care subsidies to parents making the transition from welfare to work. People entering the workforce after having been on welfare almost always start out in low-paying jobs. There would be little incentive for them to remain on the job if day care for their children cost half or more of their incomes.
We support this program but are dismayed by its current austere budget partly caused by a state miscalculation. In presenting his budget to the 2003 Legislature, Gov. Kenny Guinn overestimated -- by $18.2 million over two years -- the amount of the federal share of the program. When the error was discovered, the Welfare Division was forced to severely limit the program's eligibility requirements and slash subsidies to bare minimums. Subsidies for about 6,800 children are being granted. An almost equal number of children of parents eager to start a welfare-to-work program, however, are on a waiting list.
When the state thought it could afford it, subsidies were also going to "at risk" families -- those who would be on welfare without the child-care help. The at-risk subsidies were eliminated and the waiting list for this aspect of the program now numbers 2,900 children. Fortunately, because of savings generated by the cutbacks, about 500 at-risk families a month are now regaining their subsidies.
The cutbacks have caused many Nevada families to remain on welfare. Many others are experiencing extreme financial strain. Now that the actual federal share -- $12 million a year -- is known, it's time for the Legislature to look at its own contribution, which is $4.5 million a year. If the goal of substantially decreasing the welfare roll is to be achieved, the state should consider increasing its budget for the one program that makes the goal realistic.
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