CalWORKs’ Car Ban Keeps Families Poor

Editor’s note: this post appears as an op-ed in today’s edition of the San Francisco Chronicle. It is authored by Judy Darnell, Director of Public Policy at United Ways of California, and Aleta Sprague, Policy Analyst at New America Foundation.

After Melissa’s parents kicked her out at age 15, she survived on her own for years. She eventually married and had children, but her husband was abusive. Melissa left him after he broke her 2-year-old’s leg. She needed help to pick herself up. So what stopped her from getting it? Her 8-year-old van.

Currently, applicants to CalWORKs, California’s short-term cash assistance program for families, cannot own a car worth more than $4,650. Thirty-eight states exclude at least one car per household from eligibility testing. But in California, even a decade-old minivan could disqualify an entire family. The state forces desperate people to make impossible decisions.

Melissa chose to sell her van — and spent the next three months attempting to prove it to the CalWORKs office. She fell behind on rent and couldn’t take her children to the doctor. Finally, after providing both a statement from the dealership and a sworn affidavit, Melissa was found eligible for CalWORKs. But living without a vehicle posed immense challenges.

When Melissa missed an appointment at the welfare office 36 miles away, she was sanctioned and denied a month of assistance. Depressed, suicidal and jobless, Melissa lost her children to foster care. Barring CalWORKs recipients from owning vehicles is a serious barrier to finding and keeping a job and long-term self-sufficiency. It’s an example of bureaucratic red tape disconnected from reality.

Right now, the state Legislature has the opportunity to change that. A bill moving through the Assembly Appropriations Committee this week would allow each CalWORKs household to own one vehicle. Research and common sense support this policy. A 2012 study found that 82 percent of welfare recipients were able to leave public assistance after receiving a loan to purchase a car— saving taxpayers $18.2 million a year. Data from the Los Angeles Department of Public Social Services revealed that CalWORKs recipients with cars received assistance four months fewer than those without vehicles.

This commonsense approach also increases the efficiency of caseworkers and state agencies. The Appropriations Committee estimated that eliminating the vehicle test could save California $3 million annually. These forecasted savings are consistent with the experiences of other states. Furthermore, CalWORKs recipients remain subject to very low income limits and strict work requirements, while average benefits are only $15 a day per family. It is a program of last resort.

Our safety net shouldn’t trap families in poverty — it should help them get back on their feet during tough times and move toward self-sufficiency. Low-income Californians like Melissa deserve the opportunity to find jobs and work toward financial security for their families — this is the year to make it happen.