Welfare rolls for state hit two-year low

Monday, Oct. 27, 2003 | 11:02 a.m.

The number of families receiving cash assistance from Nevada has fallen to its lowest point in nearly two years.

"If the trend continues, this is good news for Nevada taxpayers," Gov. Kenny Guinn said.

But the numbers of people getting Medicaid and food stamps have not dropped this fiscal year, officials said, prompting Guinn to point out that budget shortfalls may be on the horizon if those programs continue to grow.

"We must keep in mind that continued increases in other human service programs indicate an overall shift in caseloads rather than a decline," Guinn said.

The state Welfare Division reported Friday that the number of people enrolled in Temporary Assistance for Needy Families dropped to 25,904 in September. That made for the fourth straight month of declining numbers and the lowest number since October 2001, when 23,844 received welfare.

But Medicaid and food stamps numbers remained about the same during the same period and have been increasing steadily over the last year.

Keith Schwer, director for the Center for Business and Economic Research at the University of Nevada, Las Vegas, said the contrasting bits of news from the state pointed to "an economy in an expansion period, but in a weak expansion.

"The economy is growing, but it is still not strong," he said.

For the first three months of this fiscal year -- which ends June 30 -- the average monthly caseload for families receiving cash assistance was 26,757, according to the state report. The Legislature allocated enough money for a monthly average of 31,021.

Guinn, in his original budget, projected an average enrollment of 39,821 for this fiscal year. He later reduced the number and the Legislature cut it further.

State Welfare Deputy Administrator Gary Stagliano, said part of the reason for the lower numbers of families receiving cash assistance from the state was that staff members are aggressively stressing getting jobs and other requirements linked to receiving benefits earlier in the application process.

"Not everybody's willing to fulfill these obligations ... and that's why some people aren't applying while others are having their benefits temporarily cut off because they're failing to fulfill their work responsibilities," Stagliano said.

As for Medicaid, the department said those on Medicaid in September numbered 168,872, a 0.74 drop from August. For the first three months of this fiscal year, the average caseload has been 169,311 and Medicaid numbers have increased in 8 of the last 12 months. The Legislature approved a budget at a projected average monthly caseload of 178,126.

Tami Dufresne, coordinator for research and statistics in the division, said many people may be going off welfare but retaining coverage under Medicaid.

Meanwhile, the number of people receiving food stamps fell 0.86 percent to 117,852 in September. Ford said that is still above projections and that the figure has increased in 10 of the last 12 months. That is a direct result of the growing population combined with a relatively stagnant economy, she said.

Schwer said that while the labor market in Clark County grew 2.5 percent in September compared with the same month last year, that increase is not enough to offset the number of people who may need help in paying for healthcare or feeding their families.

"The labor market isn't really growing at a fast enough rate to put a dent in the numbers of people applying for Medicaid and food stamps," he said.

The federal government pays the benefits on food stamps but the state and federal government share the cost of administration of the program.