U.S. House passes a bill that’s a step toward ‘One Door’ social safety-net reforms

by David Bass | Apr 10, 2024

U.S. House passes a bill that’s a step toward ‘One Door’ social safety-net reforms

PEACHTREE CORNERS, GA—Yesterday, a bipartisan majority of the U.S. House passed H.R. 6655, a Stronger Workforce for America Act, which establishes a crucial demonstration waiver for a handful of states to implement safety-net reforms similar to Utah’s “One Door” policy. As a member of the coalition group the Alliance for Opportunity, the Georgia Center for Opportunity has played an important role in educating lawmakers on the perils of the current social safety net that creates barriers to work and upward mobility.

H.R. 6655 revises the Workforce Innovation and Opportunity Act for the first time since 2014. The bill would give four states leeway to explore a “One Door” safety-net reform strategy similar to Utah’s model enacted in the 1990s. Utah consolidated federal workforce development and social safety-net programs into a single state entity and fully integrated the safety-net system into workforce development programs.

“This is an important first step toward improving the social safety-net in all 50 states and breaking down barriers to work and a flourishing life,” said Randy Hicks, president and CEO of the Georgia Center for Opportunity. “The next step is to broaden the scope to allow every state to explore ways to integrate workforce and safety-net programs. These reforms are badly needed. There are 8.9 million open jobs across the U.S., and the workforce participation rate hasn’t fully recovered from the COVID-19 pandemic. We must create a safety-net system that doesn’t trap people in generational poverty but provides a pathway to a better life.”

Under H.R. 6655, the five-year innovation waiver is only available to states with populations of less than six million and a labor force participation rate below 60%. According to the Alliance for Opportunity, currently only nine states fit the bill: Louisiana, West Virginia, Missouri, South Carolina, Arkansas, Alabama, Maine, Kentucky, and New Mexico.

Under the current version of WIOA, states are barred from implementing such reforms. Utah was grandfathered in and is the only exception.

The bill contains another potential pathway toward a One Door model as well. Three years after enactment of the law, any state’s governor can consolidate workforce programs into one entity, but doing so would require the approval of half of the chairpersons of local workforce boards.

“These reforms would advance the end goal for every work-capable individual in a safety-net program to participate in effective employment and training programs,” added Hicks. “Numerous studies show that the benefits of work extend well beyond finances, encompassing overall wellbeing and a host of other benefits. One Door reforms will help ensure we have a system that encourages people to find work and improve their lives.”

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Georgia Center for Opportunity (GCO) is independent, non-partisan, and solutions-focused. Our team is dedicated to creating opportunities for a quality education, fulfilling work, and a healthy family life for all Georgians. To achieve our mission, we research ways to help remove barriers to opportunity in each of these pathways, promote our solutions to policymakers and the public, and help effective and innovative social enterprises deliver results in their communities.

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U.S. Sen. Mitt Romney’s ‘One Door’ bill would allow states to integrate social safety net with workforce development

by David Bass | Feb 29, 2024

U.S. Sen. Mitt Romney’s ‘One Door’ bill would allow states to integrate social safety net with workforce development

PEACHTREE CORNERS, GA—U.S. Sen. Mitt Romney, R-Utah, has introduced a bill that would free up the 50 states to implement a “One Door” safety-net reform strategy similar to the very successful model created in Utah. As part of the Alliance for Opportunity, a coalition of groups seeking to drive state-level change in the safety-net system, the Georgia Center for Opportunity is in full support of the bill.

U.S. Rep. Burgess Owens, R-Utah, has previously introduced a “One Door” bill in the House, a version of which passed out of the House Committee on Education and the Workforce in December.

Despite a historically low unemployment rate across the country, states are still facing a workforce crisis with millions of able-bodied Americans on the economic sidelines. Our nation’s workforce participation rate has not fully recovered from the COVID-19 pandemic. By the end of 2023, 41 million Americans relied on food stamps to make ends meet and nearly 90 million Americans were enrolled in Medicaid.

Many of these Americans remain stuck in a safety-net system that simply doesn’t work. The One Door to Work Act, introduced by Sen. Romney on Feb. 28, would allow states the flexibility to implement Utah’s consolidation of federal workforce development and social safety-net programs into a single state entity. The end goal is to help work-capable recipients reintegrate more quickly into the workforce, empowering them to achieve the independence, stability, and purpose that are crucial to human well-being.

“Every state should have the flexibility to design an integrated workforce and safety-net model that enables people to succeed,” said Randy Hicks, president and CEO of the Georgia Center for Opportunity. “Every hour a safety-net recipient spends finding their way through the system is an hour they can’t spend working their way into opportunity. The One Door to Work Act allows states to create a system that works for people.”

The dozens of programs that make up the system have different and, at times, competing goals, inconsistent rules, and overlapping groups of recipients. Often, recipients must resubmit the same information multiple times for multiple programs with the aid of multiple caseworkers. This disconnect fosters despair and keeps recipients in a cycle of poverty—as every hour spent navigating the system is an hour not spent pursuing a path out of it.

What’s more, there is often a disconnect between safety-net programs and welfare-to-work initiatives. The end result is that people stay mired in generational poverty rather than receiving a helping hand to live a better life. The One Door to Work Act would free up state governments to explore ways to create a safety net that works for all citizens and doesn’t cause generational poverty.

“There are 8.7 million open jobs in this country, and the workforce participation rate has not fully recovered from the COVID-19 pandemic. States need the flexibility in the One Door to Work Act to use our workforce dollars to move our people off the sidelines,” said Greg Sindelar, executive director and chief operating officer of the Texas Public Policy Foundation, which is a member of the Alliance for Opportunity.

“A robust workforce is not only integral to a thriving state economy, but also to its social fabric,” added Daniel Erspamer, CEO of the Pelican Institute for Public Policy, also a member of the Alliance. “When a person is unemployed for longer than six months, it is associated with decreased well-being, even measurably affecting mortality. The One Door to Work Act gives workers, employers, and taxpayers the system that they deserve.”

Learn more about the “One Door” policy here.

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A Better Safety Net in Georgia: Mapping the One Door Policy (House Bill 738) Would Be a Big Step Forward

by David Bass | Feb 22, 2024

The One Door policy connects welfare programs and work support to help people overcome poverty faster.

A Better Safety Net in Georgia: Mapping the One Door Policy (House Bill 738) Would Be a Big Step Forward

Key Points

Legislation pending in the Georgia Legislature, House Bill 738, would create a task force to explore how Georgia could use Utah’s One Door policy to allow more people to find meaningful work and pathways out of poverty through our safety-net system.
Georgia’s economy remains strong, but many individuals who could be employed are still missing from the labor force or are discouraged from working. Barriers in the safety-net system are a big reason this is happening.
Creating a One Door policy task force would be an important first step in reimagining a safety net in Georgia that empowers upward mobility and better opportunities for millions of Georgians.

Georgia’s labor force continues to show its historic resilience, as there are tens of thousands of jobs available across the Peach State. As of December 2023, there were 313,000 job openings, according to the Georgia Department of Labor.

Even so, there are problems. Although the state boasts a robust unemployment rate of 3.4%, our state’s labor force participation rate stands at 61.5% as of December 2022, compared to 62.2% prior to the COVID-19 pandemic. These percentages mean a considerable number of Georgians who could work are not doing so.

Part of the reason is due to design flaws in our nation’s social safety-net system. The complexity and requirements of programs like food stamps, housing assistance, and medical benefits turn these programs into poverty traps instead of bridges to work and independence.

There is a policy states can use to give people an easier path out of the safety net and into work. It’s called the One Door policy, and the solution is in the name: This reform transforms how the safety net delivers support by streamlining multiple disconnected programs into a single welfare and workforce program.

The One Door policy solves the overwhelming barriers of the safety-net system

The truth of the matter is that our nation’s welfare system is a fragmented hodgepodge of programs. The dozens of programs that make up the system have different and, at times, competing goals, inconsistent rules, and overlapping groups of recipients. Often, recipients must resubmit the same information multiple times for multiple programs with the aid of multiple caseworkers. This disconnect fosters despair and keeps recipients in a cycle of poverty—as every hour spent navigating the system is an hour not spent pursuing a path out of it.

At the same time, there is often a disconnect between safety-net programs and welfare-to-work initiatives. The end result is that people stay mired in generational poverty rather than receiving a helping hand to live a better life.

How many people are affected in Georgia? For the 2022 calendar year, more than 1.6 million Georgians were enrolled in the food stamps program, while more than 2.4 million were on the Medicaid/CHIP program—two of the largest safety-net programs. That compares to a statewide population of 10.9 million people.

These groups of millions are made up of real individual people who have their own futures and potential. When a safety-net system discourages work and family stability—two of the most important building blocks of a better future—people lose hope. As individual states and as a country, we can better address the suffering of poverty, unemployment, and fragmented families and relationships by creating a simpler, more humane system that rewards work and supports family and community stability.

For individuals on welfare, every hour spent navigating the system is an hour they can’t pursue a path out. The One Door policy would change that.

For individuals on welfare, every hour spent navigating the system is an hour they can’t pursue a path out. The One Door policy would change that.

Proposed legislation (House Bill 738) takes the first step to bring the One Door policy to Georgia

In this environment, the Georgia Center for Opportunity team is on the vanguard of educating about safety-net reform. A key way we are doing so in Georgia is by pushing forward this legislation to create a One Door task force in the state, House Bill 738—Task Force on Workforce and Safety Net Integration.

The task force would create a plan to integrate the safety net with workforce development, in line with the successful One Door approach in Utah. Other states, including West Virginia and Louisiana, are weighing similar proposals. So why not here in Georgia?

People across the political spectrum agree that work is key to lifting people out of poverty. Toward this end, the goal of the task force authorized by the bill is to “study the intersection of workforce development programs and safety net programs.” The Task Force on Workforce and Safety Net Integration, housed within the Technical College System of Georgia, would be composed of nine members appointed from various corners of the government.

Georgia has already taken important steps forward to improve our safety-net and workforce development systems. The Georgia Gateway is a unified enrollment system for food stamps, Temporary Assistance for Needy Families, the Childcare and Parent Services program, and the Supplemental Nutrition Program for Women, Infants, and Children, but is limited to only those programs. Georgia has also taken steps to consolidate workforce programs under the Technical College System of Georgia.

But to remain a great place to live, work, and raise a family, Georgia must make sure all its citizens are participating in the economic growth we are experiencing. That’s why we need HB 738.

How would Georgia’s One Door policy task force work?

The duties of the task force would include:

Developing best practices for the state agencies and departments involved with administering workforce and safety-net programs.
Exploring ways to merge state agencies or departments to better serve Georgia citizens.
Exploring how to best integrate the delivery of Georgia’s various workforce development programs and safety-net programs.
Creating implementation strategy for an integrated delivery system, including a customer-driven platform, simplified program governance and operations, and safeguards to ensure program integrity.

A final report is due to the governor and the General Assembly no later than December 31, 2025.

What problems does the task force solve?

By forming a task force, Georgia can explore further consolidating service delivery via Georgia Gateway and the Technical College System of Georgia—and how those entities and others can better coordinate service delivery.

The task force will also prepare Georgia in the event that Congress reauthorizes the Workforce Innovation and Opportunity Act, which could include the process allowing individual states to pursue a Utah-style One Door consolidation of welfare and work support services.

The great news is that Georgia doesn’t have to wait on Congress to act. Through the task force and other means, the state can explore additional means of consolidation, up to and including consolidating entire departments. Georgia can also provide job training to more of its citizens, fueling additional economic growth.

The exciting part is the end result of these changes—more Georgians who will have the opportunity to escape systemic poverty, achieve self-sufficiency, and climb the economic ladder to create a better, more prosperous future for themselves and their children.

The Marriage Penalty: A Barrier to Relational Support and Better Opportunities for the Poor

by David Bass | Feb 12, 2024

The marriage penalty is a government tax policy that increases the tax burden on low-income households trying to pursue better lives and economic mobility through marriage.

The Marriage Penalty: A Barrier to Relational Support and Better Opportunities for the Poor

Key Points

A lack of connection and supportive relationships, especially at home, is a driving factor of long-term poverty. Marriage is one type of relationship that research has shown to be a building block of stable lives and communities.
Communities in Georgia and beyond are struggling with a barrier called the marriage penalty—a government tax policy that forces couples to pay more in taxes as a result of increasing household income through marriage.
The marriage penalty tax discourages those in poverty from improving their financial situation and forming strong support systems at home.

Strong relationships are a cornerstone of vibrant communities. Of the many types of relationships in day-to-day life, research shows that marriage is one of the most important for empowering individuals, regardless of race or circumstance, to avoid long-term poverty and find stability and opportunity.

But communities in Georgia and beyond are struggling to reap the benefits of marriage—and a big reason is a government tax policy called the marriage penalty.

Why does marriage matter for those in poverty?

We celebrate marriage because it provides people with relational connection and support. When we think about helping someone escape or avoid long-term poverty, we might assume that a person’s economic needs are most important to address. But that would be missing a critical piece of the puzzle.

A lack of connection and supportive relationships, especially at home, is a driving factor of long-term poverty.

Those in poverty often need this relationship and support system to a greater level, which is why we at GCO emphasize the benefits marriage offers for individuals, children, and communities. Higher marriage rates tend to go hand-in-hand less crime, better education outcomes, less child poverty, and more upward mobility.

Of course, not every person will get married, but the impact that close, healthy relationships have on the stability of lives and communities cannot be understated.

The impact that close, healthy relationships have on the stability of lives and communities cannot be understated. In fact, it’s one of the biggest factors in helping people overcome long-term poverty.

Understanding the marriage penalty tax

A marriage penalty occurs when a couple faces higher taxes as a result of marrying and filing jointly. Higher taxes are linked to higher income, so it might seem like the marriage penalty is simply an inconvenience for households with high enough earnings to afford it.

But the marriage penalty poses a significant problem for low-income households, as well. It creates a financial risk if one or both spouses are receiving government benefits and getting married would increase household income. That increase can trigger a sudden loss in benefits—even if households aren’t fully earning enough to offset the loss. This scenario holds particularly true for couples who earn a modest income—those in the working class or lower middle class earning around $28,000 to $55,000 a year.

Marriage penalties apply at the federal tax level, but there are 15 states that also have marriage penalties built into their state income tax brackets. Georgia is one of them.

Georgia is one of 15 states that have a marriage penalty built into the state income tax structure.

Marriage penalties stifle financial independence

The gap between the “haves” and the “have nots” has increased when it comes to marriage. While the wealthy and upper middle class continue to marry at high rates, marriage is far less common among the poor, working class, and lower middle class.

According to data from the 2015 American Community Survey, 56% of adults between the ages of 18 and 55 are married who fall into the upper middle class. That contrasts with 39% of those in the working class and just 26% of those who are poor.

There are many reasons why marriage rates have declined for these groups, but in the realm of government policy, the marriage penalty is one of the most discouraging factors.

For example, a single mom with a few kids would need to find a spouse who earns a significantly higher salary than her in order to overcome the loss of benefits if they chose to get married. In some cases, the penalty is so extreme that she would need to marry someone earning more than $40 per hour—or more than $80,000 annually if full time—to recover from the loss in safety-net benefits like food stamps, refundable tax credits, and medical assistance.

Through a focus group organized by GCO and the Institute for Family Studies, we met Tiana, who experienced this situation firsthand. “I chose not to marry,” she told us. “For one, I get a lot of assistance. I have a disabled child. So being if I did marry or put any other type of income in, I would not qualify for anything.”

More than one-in-10 unmarried Americans whose income falls below the median reported they were not married for fear of losing “access to government benefits,” according to a recent IFS/Wheatley Institution survey. The research indicates that penalties can amount to between 10% and 30% of household income for many families in the poor and working-class income brackets.

Marriage penalties discourage strong support systems at home

The bottom line is that the marriage penalty harms many of the poor who are working and attempting to make a better life for themselves and their families. It does so by discouraging the very thing we know impacts poverty the most—family and relationship formation.

Fewer marriages is bad news for children: Social science research shows, time and again, that children do best in a stable, married two-parent household.

Married households have the lowest poverty rate of any household configuration at just 6.3% in 2020. Meanwhile, one-in-three children live in a single-parent household today, 80% of those households being headed by a single mom. And the unfortunate reality is that single-mom households are the most likely to be in poverty of any family structure in the U.S.—a staggering 34% in 2020, accounting for over 5.1 million children in poverty.

Solutions to eliminate the marriage penalty tax

The ultimate solution to eliminate marriage penalties is federal action to reform how government benefits are structured. However, states can take the lead as they streamline eligibility standards and form individual action plans.

That’s why GCO is hard at work at in Georgia and across the country to educate lawmakers on the perils of benefits cliffs and possible fixes.

At the end of the day, however, government reforms are only part of the solution. The institutions of marriage and family are suffering not only from government obstacles, but also societal challenges. Civil society organizations—such as churches, nonprofits, and schools—are critical avenues for local support and examples of how to cultivate healthy family relationships. While this is not something that government programs can accomplish, classes and curriculum may be incorporated into case management.

Americans deserve a strong safety net that serves as a bridge out of poverty. But no government program or policy should be a barrier to the relationships needed in the places where lives are formed and transformed— in homes and communities.

Georgia’s 2024 Legislative Session: An Agenda to Lift Up Vulnerable Communities

by David Bass | Jan 26, 2024

Georgia’s 2024 Legislative Session: An Agenda to Lift Up Vulnerable Communities

Key Points

As Georgia lawmakers convene for the 2024 legislative session, multiple bills are on the table that could break down barriers in poor and disadvantaged communities.
A key issue to track: education opportunity. Lawmakers have a chance to enact several options, including Georgia Promise Scholarships (SB 233), expansion of the Tax Credit Scholarship Program, and public school transfers.
Other bills to know include job licensing reforms to expand work opportunities for people with criminal records (SB 157) and a reform to better connect welfare and work support in Georgia (HB 738)

Georgia lawmakers are back in Atlanta for what could prove to be the most impactful legislative session in years. Georgia’s legislature is considering multiple bills that could break down barriers facing poor and disadvantaged communities.

The timetable is short. The session will end by March 28, so time is of the essence if our elected officials are going to improve the quality of life for the people they serve. Below is a list of a few bills our team is watching and working on to lift up vulnerable and low-income communities across Georgia.

Our hope for the 2024 session: Give more Georgians better pathways out of poverty and into opportunity

“During the 2024 session, we hope to see tremendous progress on expanding school choice through passage of Senate Bill 233, the Promise Scholarship bill,” said GCO’s vice president of public policy, Buzz Brockway. “In addition, we hope to see an increase in the cap on Georgia’s Tax Credit Scholarship program, which would also expand private school options parents have.”

“We also will be working on seeing SB 157 passed into law,” Brockway added. “This bill will create a pathway for people with a criminal record many years in the past to obtain an occupational license, opening up opportunities for many people to earn a living and support their family. Finally, we hope to make progress on reforming how Georgia delivers workforce and safety-net programs, placing people on a pathway toward self-sufficiency.”

Education: Expanding schooling options to help families find the best fit for their kids

SB 233, Promise Scholarships: Would make $6,500 per student available for parents to direct toward the best educational opportunities for their children. The funds would be available for use for private school tuition and public school alternatives, such as homeschooling. The scholarships would only be available to students enrolled in the lower 25% of schools in Georgia, amounting to around 400,000 students. Status: The Georgia Senate passed the bill in 2023 but it fell short in the House by a 85-89 margin. However, it is eligible for reconsideration this session. In his recent State of the State address, Gov. Brian Kemp gave full-throated support to getting Promise Scholarships passed this year. To learn more, view our primer on Promise Scholarships.
SB 147, public school district transfers: Would allow students to transfer to a different public school within their district or a different district. This would provide much needed support for the majority of families who chose to continue sending their students to public schools in Georgia. Status: The Senate tabled this bill in 2023 but it is eligible for consideration this year.
HB 54 and HB 101, Tax Credit Scholarship cap increase: Would raise the cap on the Tax Credit Scholarship from $120 million to $130 million. Through this program, businesses and individuals can donate toward private school scholarships for K-12 students enrolled in public schools. In return, they receive a dollar-for-dollar state income tax credit. In 2022, lawmakers raised the cap from $100 million to $120 million, but demand continues to increase, making another jump necessary. Status: The measures weren’t considered in 2023 but they are eligible for reconsideration this year.
HB 318, improve charter school laws: This measure would reestablish the Office of Charter School Compliance under the State Charter Schools Commission. Currently, two entities oversee charter schools in Georgia: The State Charter School Commission oversees state authorized charter schools, while the Georgia Department of Education oversees charters authorized by local boards of education. This creates confusion and differences in application of laws and rules governing charter school laws. HB 318 would bring oversight of all charters under one roof, providing more resources and uniformed application of laws and rules regarding charters. Status: Both chambers passed this bill in 2023 but the Senate amended it and the House did not reconsider the changes. The bill is eligible to be considered this year.

Safety-net reform: Connecting our welfare system to work support

One Door task force bill in Georgia, HB 738: Our nation’s welfare system is a fragmented hodgepodge of programs. The dozens of programs that make up the system have different and, at times, competing goals, inconsistent rules, and overlapping groups of recipients. At the same time, there is often a disconnect between safety-net programs and welfare-to-work initiatives. The end result is that people stay mired in generational poverty rather than receiving a helping hand to live a better life. In this environment, the GCO team is on the vanguard of educating about safety-net reform. A key way we are doing so in Georgia is by pushing forward this legislation to create a One Door task force in the state. The task force would study how to integrate the safety net with workforce development, in line with the successful One Door approach in Utah. Other states, including West Virginia and Louisiana, are weighing similar proposals. So why not here in Georgia? Status: The bill was introduced in the House in 2023 and is now moving through committee this year.

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Occupational licensing and public safety: Increasing personal safety and job opportunities in local communities

Senate Bill 157, appeals process for justice involved individuals: Would create a preclearance process in licensing of individuals with criminal records who make an application to or are investigated by certain licensing boards and commissions. Often, returning citizens from the criminal justice system face huge barriers in finding work, and we know that attachment to work is a significant determinant of an individual not ending up back behind prison walls. Status: This measure was added to the House Rules calendar last year but didn’t receive any attention.
House Bill 212, Niche-Beauty Services Opportunity Act: Would offer barbers and cosmetologists the opportunity to provide services like blow-dry styling, braiding, threading, and the application of cosmetics without requiring licensure by the State Board of Cosmetology and Barbers. Occupational licensing is needed in some industries and job categories due to public health and safety concerns, but the laws on the books today in many cases are an unnecessary roadblock to employment for workers. Status: The House tabled the bill last session but it is eligible for consideration this year.
House Bill 334: Expungement: Would revise Georgia’s requirement that criminal history records be disclosed in certain situations. Known as expungement, this is an important step for individuals who have served their time and need to reintegrate into the workforce. Status: The bill was amended onto Senate Bill 157 but never came to a vote.

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