When Gov. Patrick Morrisey’s administration began reviewing the state’s federally funded Temporary Assistance for Needy Families (TANF) program, they found “a program in crisis,” according to a statement released by his office on Monday.
“The state was spending far more each year than the federal grant provides, and the savings that had covered the difference were nearly gone,” said Communications Director Lars Dalseide in the statement.
Dalseide said Morrisey ordered a comprehensive review of the program, not to reduce support for families but because the eligibility system, which should detail what is being spent in real-time, didn’t work. The review aimed to establish what was being spent, how much is being received and what is sustainable.
“A state cannot manage what it cannot measure,” Dalseide said.
According to the statement, Morrisey will:
- Direct the Department of Human Services (DoHS) to maintain spending levels for all TANF programs through June 30, 2027, which is the end of the current fiscal year.
- Seek a supplemental appropriation of $10 to $15 million from surplus funds to ensure adequate resources last through then, “because some of the federal funds now being drawn down for these programs will be nearly exhausted.”
The goal of those actions, Dalseide said, was to maintain the school voucher program at last year’s funding levels and still provide adequate funding for other TANF programs. Last year, roughly $11.4 was spent on vouchers for approximately 57,000 children.
“Applications for this year are still being processed and verified, and we expect this year’s program to match or exceed last year’s level of support,” said Dalseide.
The TANF deficit Morrisey announced in May stems from a gap between the $98.8 million provided by a federal block grant and the nearly $137 million the state is currently spending on the program.
“There are temporary carryover balances that help avoid this being a today problem, but those funds are shrinking quickly, and we have to address it,” Morrisey said at the time.
Monday’s statement identifies a TANF savings account balance that has dropped from $141 million three years ago to just $41 million today.
“Every dollar still in it is already committed to childcare for working parents, cash assistance, family support centers, and the other programs paid for out of this same grant, so money spent on any one of them is money taken from the others,” said the statement. “When those savings are exhausted, all of these programs are in jeopardy – and the West Virginians who rely on them are the most vulnerable people in our state.”
It also said the governor has directed agencies to identify reforms that strengthen accountability, improve transparency, and preserve these programs for future generations.