State Safety Net Services Now Accessible To More Mainers Print E-mail
Written by Christopher Cousins   
Monday, November 24, 2008
AUGUSTA—New regulations on how the state determines who is eligible for safety-net services could translate to more people receiving aid, swelling the budget for food stamps, housing subsidies and other programs.

The policy changes, coupled with a rise in unemployment and the ripple effect of the nation’s ailing economy, has begun to show itself at field offices of the Department of Health and Human Services, said Barbara Van Burgel, director of the Office of Integrated Access and Support. The number of people visiting DHHS bureaus has risen from 25,000 per month last fall to about 35,000 a month now. Regardless, said Van Burgel, that hasn’t resulted in a significant increase in requests for assistance.

“(The increased traffic) might just be paranoia about the economy,” said Van Burgel. “Applications have not radically increased. The trend we’re seeing is the normal trend for this time of year.”

In October, which marked the beginning of the federal government’s fiscal year, three changes were enacted that affect eligibility for many assistance programs:

  • The poverty rate increased, meaning people making more money now fall below the federal poverty guideline. In Maine, a family of four earning $21,200 a year or less is considered to be impoverished.
  • The standard housing allowance increased by about $35, meaning applicants can deduct more for housing costs when computing income.
  • The cap on income deductions for child care costs was eliminated. The cap used to be $200 a month.

The department is watching the numbers closely, though even a major jump in people applying for assistance wouldn’t affect the state budget. That’s because 100 percent of cash benefits paid out by Maine – along with 50 percent of administrative costs - are funded by the federal government. If the Legislature chose to cut its share of funding for administration costs in these programs, the feds would penalize the state with fines, said Van Burgel.

The most expensive form of public assistance other than health care is the issuance of food stamps, now referred to by the state as food supplements. In November, more than 93,000 Maine families – which equates to 186,715 individuals – are receiving food stamps. The cost for the month is almost $21 million, with the average payment per person standing at $111.64 – about $1.24 per meal.

Those numbers are up from November 2007, when 171,356 people received food supplements for a total cost of more than $15.2 million.

 

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