Tuesday, August 30, 2011

Welfare Drug-Testing Yields 2% Positive Results

This is a follow up posting to an earlier post entitled "Drug Testing Our Problems Away".

Tampa Bay Online reports about 2 percent of Florida TANF recipients have tested positive for drug use since mid-July.

Ninety-six percent proved to be drug free -- leaving the state on the hook to reimburse the cost of their tests.
The initiative may save the state a few dollars anyway, bearing out one of Gov. Rick Scott's arguments for implementing it. But the low test fail-rate undercuts another of his arguments: that people on welfare are more likely to use drugs.

At Scott's urging, the Legislature implemented the new requirement earlier this year that applicants for temporary cash assistance pass a drug test before collecting any benefits.

The law, which took effect July 1, requires applicants to pay for their own drug tests. Those who test drug-free are reimbursed by the state, and those who fail cannot receive benefits for a year.

Having begun the drug testing in mid-July, the state Department of Children and Families is still tabulating the results. But at least 1,000 welfare applicants took the drug tests through mid-August, according to the department, which expects at least 1,500 applicants to take the tests monthly.

So far, they say, about 2 percent of applicants are failing the test; another 2 percent are not completing the application process, for reasons unspecified.

Cost of the tests averages about $30. Assuming that 1,000 to 1,500 applicants take the test every month, the state will owe about $28,800-$43,200 monthly in reimbursements to those who test drug-free.

That compares with roughly $32,200-$48,200 the state may save on one month's worth of rejected applicants.

The savings assume that 20 to 30 people -- 2 percent of 1,000 to 1,500 tested -- fail the drug test every month. On average, a welfare recipient costs the state $134 in monthly benefits, which the rejected applicants won't get, saving the state $2,680-$3,350 per month.

But since one failed test disqualifies an applicant for a full year's worth of benefits, the state could save $32,200-$48,200 annually on the applicants rejected in a single month.

Net savings to the state -- $3,400 to $8,200 annually on one month's worth of rejected applicants. Over 12 months, the money saved on all rejected applicants would add up to $40,800-$98,400 for the cash assistance program that state analysts have predicted will cost $178 million this fiscal year.

The rest of the article is available here.