Direct cash transfer programs are increasingly popular as an efficient, equitable way to quickly get cash into the hands of people who need it while giving recipients agency over how they spend their money. Though consensus is growing on the impacts of cash transfer, there are still no agreed-upon mechanisms for how to fund them. This issue is complicated by the fact that where program funds come from can affect a recipient's eligibility for other benefits and can trigger a “benefit cliff.” This blogpost examines funding mechanisms used in cash transfer programs in Washington D.C., Philadelphia, and Los Angeles to understand how their respective funding models affect recipients’ benefits and outcomes.

This Annie E. Casey Foundation brief shares six pivotal strategies for coordinating and funding community efforts to support families at risk of entering the child welfare system: invest in infrastructure at the state and local levels, create funding structures that maximize prevention funds, support community-led planning and design, align programs at the state level to better serve families, invest in evaluation, and leverage private and local dedicated funding streams. Strategies presented in this brief include practices from Colorado, Massachusetts, Missouri, Nebraska, Washington State, and the District of Columbia.

Supporting families and individuals means understanding that their needs are complex, interrelated, and affected by the opportunities available in their communities. Integrated service approaches to prevent homelessness or involvement in systems like child welfare may be best positioned to succeed when they recognize these holistic needs and identities and when they coordinate access to resources and services. This Mathematica brief highlights the efforts made by programs to coordinate services and supports for participants by focusing on their holistic needs, including how programs identified their participants’ strengths and needs and how the sites integrated services to be responsive to those needs. The findings are based on interviews with staff and partners from nine case studies sites across the country and with people who have been served by these programs.

Though high-quality services for families are critical, implementing community pathways is about much more than expanding services. The concept of community pathways represents an opportunity to craft a fundamentally different experience for families, especially those who may distrust public entities or consider child protection punitive and threatening. The Family First Prevention Services Act (Family First) allows states and tribes to use federal Title IV-E funds for prevention services that support children living safely with their families. Family First provides an opportunity to reorient child welfare and advance transformation in terms of the types of services offered, and how and where families access them. Through community pathways, approved entities such as community-based organizations, prevention services providers, and other public agencies may deliver support and perform required Family First administrative functions. To date, at least 14 states have articulated a community pathways approach in their Family First Prevention Plan. This Casey Family brief highlights three unique approaches to building community pathways while using Family First as a strategic lever.

This brief from the Assistant Secretary for Planning and Evaluation’s Office of Human Services Policy overviews a project that developed a calculator to help people anticipate how a change in earnings from employment would affect their net income, which in turn provided public benefit recipients with their estimated effective marginal tax rate on new earnings. The calculator was designed to support program participants and caseworkers. Demo calculators were developed for New Hampshire, Maine, Allegheny County in Pennsylvania, and Washington, D.C., and were completely customized under their local programs and rules. Local governments and local organizations can download the open-source code to start creating a customized calculator for their families.

A benefits cliff may occur when an increase in income pushes a worker above the income eligibility limit for public assistance programs, and the loss of assistance is greater than the value of the increase. This Federal Reserve Bank of Atlanta webinar explored the economic challenge of benefit cliffs from the perspective of employers and community leaders who help families navigate public assistance programs and plan for career advancement opportunities. The webinar presented tools that can identify and inform mitigation strategies as well as a discussion of innovation pilots in Florida, North Carolina, Tennessee, and Washington D.C. to develop benefits cliff solutions.

The Federal Reserve Bank of Atlanta published a case study that analyzes a workforce development program in Washington, D.C., which was created to help families navigate the loss of government benefits when their employment income increases. The paper frames the discussion around a hypothetical family receiving support from all major federal public assistance programs, including those managed by the Administration for Children and Families that help families with income assistance, child care, and utility payments.

In 2019, Code for America conducted a nationwide study of enrollment in public benefits programs (including TANF), identifying success rates, pain points, and suggested changes for improving access for citizens and lessening the load on caseworkers. Four years later, an updated Benefits Enrollment Field Guide has been published, chronicling how the last few years have seen a new approach to public benefits programs take root—an approach aimed at making significant improvements to citizens’ enrollment experiences and end-to-end benefits journey —thanks to faster and more accurate responses from agencies leading to better outcomes. This American Public Human Services Association blogpost summarizes the updated guide, featuring the surveyed public programs, the four major roadblocks, and a notable success story in Washington D.C.

A benefits cliff may occur when an increase in income (e.g., from working more hours, getting a raise, or taking a new position) pushes a worker above the income eligibility limit for one or more public assistance programs, and the loss of assistance is greater than the value of the increase. This forces people to choose between their family’s immediate financial best interest and their own longer-term wage growth and career advancement. The Federal Reserve is hosting a Connecting Communities webinar on October 12, 2023 from 3:00 p.m. to 4:00 p.m. ET to explore this economic challenge. Participants will learn about tools developed by the Federal Reserve Bank of Atlanta to identify and inform mitigation strategies, as well as innovation pilots including Florida, North Carolina, Tennessee, and Washington D.C. that can inform state and community leaders working to develop solutions to the benefits cliff.