Opening Statement of the Hon. Dave Camp, a Representative in Congress from the State of Michigan

Hearing on Welfare Reform Success

April 2, 2002

Good morning.  First, I would like to say how pleased I am that this hearing is taking place here in Michigan because it is important for Congress to get the state perspective on welfare reform as well as a local perspective.  Second, I would like to thank Chairman Wally Herger for this tremendous opportunity as well as acknowledge the invaluable assistance that Matt Weidinger, Subcommittee Staff Director, Katie Kitchin, and Ryan Work of the Subcommittee have all provided to make this hearing happen.

Today’s hearing will provide my Michigan colleagues and me an important background for this year’s reauthorization as we consider welfare reform outcomes in Michigan.  It will focus on the perspective of former recipients and caseworkers and employers who have been instrumental in the success of the State’s program in terms of reducing poverty, ending dependence, and promoting work.

With Governor Engler taking the lead, Michigan was at the forefront of the national welfare reform effort when it began experimenting with welfare reform in the early 1990s.  Michigan’s innovative thinking resulted in a dramatic change in spending priorities.  For example, through the 2000 fiscal year, the decline in welfare caseloads had resulted in reduction of state spending on poverty relief of almost $775 million. However, spending on child day care, employment programs, health care and other social services had climbed by almost $3 billion. 

On the national level, welfare reform has been a tremendous success in reducing welfare caseloads and moving millions of families out of poverty through increased work.  We know that nearly 3 million children have been lifted from poverty since 1996, employment by mothers most likely to go on welfare rose by 40% between 1995 and 2000; and welfare caseloads have fallen by 9 million -- from 14 million recipients in 1994 to just 5 million today.

Welfare reform increased work, boosted incomes, improved child poverty while reducing dependency.   I am proud of the achievements of the 1996 law, and even prouder of the millions of parents who are now working and making better lives for themselves and their children.  We are honored to have several such parents with us today, and look forward to learning more about how they took advantage of the improved work supports Michigan and now so many other states provide. 

In the coming months, we have the opportunity to build on these successes and enhance this vital program.  Congress should continue to help more people successfully transition to work, because work is the only real and permanent path out of poverty. 

Joining us today will be Governor John Engler as well as several former welfare recipients: Carol Koon, Darnell Carter, Crystal McClain, and Lisa Hudson.  We also are joined by Lori Scorsone, a welfare caseworker, and Fred Keller, an employer who has hired welfare recipients.  We look forward to hearing from all of our witnesses.