02/26/2009 - State House slows FSSA rollout of welfare system (Evansville Courier & Press)

State House slows FSSA rollout of welfare system

By Bryan Corbin
Wednesday, February 25, 2009

INDIANAPOLIS - The Indiana House Wednesday evening passed Rep. Suzanne Crouch's bill to pause the expansion of the state's problem-plagued welfare-eligibility system to 33 remaining counties.

The House voted 73-25 for House Bill 1691. The bill would not allow the Indiana Family and Social Services Administration, or FSSA, to use a private contractor to decide a clients' eligibility for benefits, until a study committee of the Legislature can review the issue.

If the bill became law, it would temporarily prevent the FSSA from expanding the rollout of its welfare-modernization program beyond the 59 counties where it already exists.

A team led by IBM Corp. signed a $1.16 billion privatization contract with the state to modernize welfare-eligibility screening, and create a system where clients could apply for Medicaid, food stamps and TANF benefits online or through a toll-free call center. Legislators such as Crouch have been inundated with complaints from constituents, however, who say that IBM's system for FSSA loses critical documents, causes inordinate delays in benefits and is difficult for the elderly and disabled to navigate.

Gov. Mitch Daniels had opposed Crouch's bill, and FSSA Secretary Anne Murphy has said that she is pausing the rollout of the modernization program administratively, so there was no need for legislation.

Crouch, R-Evansville, recounted the complaints she has fielded as she urged House members to vote for the bill. "If you as representatives have experienced these same issues in your district, please support this bill. If not, don't," she said.

The bill now moves to the Republican-controlled state Senate, where it is expected to face an uphill battle.