Federal Welfare and Housing Policy at the Crossroads

Abstract

A time-series design was used to investigate an innovative, rent incentive-based employment initiative in a predominantly African American public housing community. The purpose of the research was to assess the impact of the Welfare-to-Work (W-t-W) program on resident employment levels and on Public Housing Authority (PHA) revenues and costs. Data were collected on a purposive sample of heads of household (N = 313) representing 78.3% of those in the community. Over half of the residents were under 17 years of age, followed by 24.7% who were 18-34, and 15.5% who were 35-54 years of age. Mean annual income for most participants was less than $5,000, and 60% were welfare reliant. Fifty-six percent of the participants in the study (N = 179) received monthly rent credits (discounts) ranging from $23 to $333 (m = $87, s.d. = $38.60). Employment levels in the community increased considerably over the study period and the W-t-W initiative was cost-effective to the PHA. Implications are discussed regarding advantages and limitations of intersected federal welfare and housing policies, the need for formative, evidence-based assessments of W-t-W programs, and the achievement of economic self-sufficiency of public housing residents.