RELEASE: June 25, 2002

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Children who receive child-only welfare grants generally live in households with greater incomes than traditional welfare families, according to a research study released today by the Department of Human Services. Yet many of those families are struggling, and some -- particularly immigrants -- live in extreme poverty.

The study of child-only cases is based on surveys conducted last year by Mathematica Policy Research Inc. of Princeton. This is the latest in a series of studies that comprises Mathematica's ongoing evaluation of the Work First NJ welfare reform program.

At the time of the survey, New Jersey had 14,000 cases in which children received child-only grants through the Temporary Assistance to Needy Families (TANF) program. The number of child-only cases has since dropped to about 13,000.

These children normally are being raised by relatives or by parents who do not qualify for welfare because they are immigrants or they receive benefits under the Supplemental Security Income program.

Child-only cases represent a growing proportion of the TANF caseload because the number of traditional welfare cases dropped nearly 60 percent in the past five years.

"This research gives policy makers precise, relevant data on the needs of these children and families," said DHS Commissioner Gwendolyn L. Harris. "We will use this study to evaluate the services we provide and identify needs that must be addressed."

About two-thirds of the children receiving child-only grants are living with relatives, mostly grandparents.

These kinship caregivers are eligible for various support services, including the Kinship Navigator referral and advocacy service, subsidized child care, and funding for one-time costs such as furniture, moving expenses and legal fees.

This year, DHS began offering some kinship caregivers monthly subsidies of $250 per child, a significant increase from the child-only grant. A grandparent raising three grandchildren receives a monthly TANF grant of $424. The same grandparent who qualified for the new subsidy would receive $750 per month.

"Kinship caregivers keep children with their families and out of the foster care system, and we recognize their value to the children and the community as a whole," Commissioner Harris said. "We have added supports every year, and this research shows that we must continue to evaluate the need for services."

Children whose parents collect Supplemental Security Income represent the second-largest group of child-only cases. The DHS has been working with Legal Services of New Jersey to move qualified clients from welfare to SSI.

SSI is a federally funded program for disabled adults that provides a greater income than TANF. Still, many of these families are struggling. For example, 81 percent have incomes below the Federal Poverty Level.

The children of immigrants make up the third-largest group of child-only cases. These parents are not eligible for welfare due to federal rules restricting benefits to illegal immigrants or legal immigrants who have lived in the country for less than five years.

Immigrant parents are often eligible for Food Stamps, through a state-funded program. These families live on an average $785 per month, half of which comes from the Food Stamp benefits combined with the child-only TANF grant.

For a copy of the child-only study, call the DHS at (609) 292-3703 or visit Mathematica's Internet site at www.mathematica-mpr.com.