78-15-A4
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Welfare[edit]
Transcript[edit]The Secretary of H.E.W. admitted with apparently no great discomfort that last year seven billion dollars was lost in welfare fraud. A number of big city mayors routinely ask Washington to take over welfare as do sane governors and the administration--when it talks welfare at all--advocates federalizing it. Fran our experience in reforming welfare in California I am convinced the welfare mess is a Washington mess. It can be straightened out if Washington will close down its welfare shop and turn welfare over completely to the states and local government. This of course must include turning the necessary tax sources over to the states at the same time. Right now welfare is administered at the local level but under thousands of all-encompassing, ever-changing federal regulations. In spite of this there is evidence that locals can eliminate a lot of the mess even with the federal handicaps. Los Angeles County is a classic example-one which makes you wonder what could be accomplished if Washington would get out of the way. In comparing local management it is interesting that Washington, D.C. has a 35 percent rate of fraud and errors. New York City won't even reveal its fraud/error figures, but the overall New York State average is 12.1 percent. The national average is 8.5; all of California is 3.6; and Los Angeles County is only 2.67 percent. These figures indicate the extent of California's accomplishment in the welfare reforms which went into effect in 1971. Additional savings estimated at $100 million could be made if Washington would make the welfare forms readable for recipients. Simplifying the eligibility rules could lead to at least $150 million in savings and it's anyone's guess what could be saved by computerizing the welfare management system at the local level. California's 1971 reforms reduced the caseload by 350,000 persons in three-and-a-half years, reversing what had been a 40,000-a-month increase. Key elements were: tougher enforcement of child support laws, enforcing work requirements and cracking down on fraud and error. Now Los Angeles County is an excellent case study of what computers and good management can do. Its error/fraud rate was 12 percent. By 1976 it was down to 4.4 and now, as I said, it's down to 2.67. Keith Comrie, the Los Angeles County Department head has streamlined operations to the point of reducing welfare employees from 13,000 to 11,000 in just the last two years. A computer cross check can reveal in three seconds whether a recipient is getting welfare in any of the other 26 district offices. The system automatically cross checks the state disability files, unemployment offices and federal, state and local government employees. When that program started it turned up 2,000 county and city employees on the welfare rolls. I submit, Mr. Comrie makes the case for state and local management of welfare without federal interference. This is Ronald Reagan. Thanks for listening. |
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