Benefits Cliffs Pilot Programs

An Incomplete List of Proposed & Active Benefits Cliffs Pilots.

• Active: Florida (S 1190, 2023): Step into Success Workforce Education and Internship Pilot Program: Ensures that the stipend provided to participants of the three-year workforce education and internship pilot program for eligible foster youth and former foster youth does not count toward income in the determination of federal and state benefit eligibility. Also allows a specified increase in the stipend payment amount if the youth does have a loss or reduction of any benefits.  

• Active: Massachusetts Working Cities Benefits Cliff Pilot Program (now called Cliff Effect Pilot): The three-year pilot program combines financial aid with job training and mentoring to help workers identify career paths. The program calculates a participating family’s yearly financial resources, including earnings and public benefits. Then, a cash payment system is used to make up the difference as the family’s income slowly increases and benefits decrease.

• Active: Massachusetts Runway to Careers Pilot: The Massachusetts Rehabilitation Commission developed a pilot proposal to create runways to livable wage jobs that will support beneficiaries in jumping, navigating, or avoiding the benefits cliff. A new work incentive allows beneficiaries to retain full benefits and earnings while gaining skills.

• Active: Ohio Benefit Bridge Employer Pilot Program: This program provides grants to eligible employers to incentivize employees who receive public assistance to complete additional training to receive higher pay to replace the public assistance.

• Active: Tennessee TANF Opportunity Act, TDHS Pilot: Beyond the Cliff Demonstration: Focuses on providing timely cash assistance and wraparound services to help families navigate the sudden loss of benefits as they earn more and become self-sufficient.

  Active: Our ChanceTN Pilot Program: The aim of the three-year pilot is to help 900 central Tennessee families navigate through benefits cliffs and on to their individually set employment goals. The pilot provides customized benefits cliff coaching and assistance through the fall of 2025. It is a transitional benefit which will be paid directly to food, childcare, housing, and health providers to increase families’ access to fresh food, childcare, housing, and health care when a family’s net resources decrease due to the benefits cliff. 

• Active: Washington DC Career Mobility Action Plan (Career MAP) Benefits Cliff Pilot Program: Aimed at helping families who have experienced homelessness and are at risk of losing benefits as they gain employment. It provides up to five years of resources, including rental assistance, cash funds, and escrow accounts, to mitigate the “benefits cliff” and support career advancement. The program emphasizes a two-generational approach, focusing on family well-being and tailored services to meet individual needs.

• Proposed: Connecticut Benefits Cliff Pilot Program: HB 5369 proposed to establish a pilot program to prevent immediate loss of benefits in certain public assistance programs for persons who exceed income thresholds due to employment. The program aims to support the economic self-sufficiency of beneficiaries of certain assistance programs by gradually reducing benefits as their employment income increases, rather than cutting off benefits abruptly when they exceed income eligibility thresholds.

• Proposed: Maryland Department of Human Services Benefits Cliff Pilot Program: Designed to mitigate the “cliff effect.” It aims to support participants in entering, reentering, and remaining in the workforce. The program provides case management, coaching, and financial wellness education to help participants transition smoothly as their income increases.

• Proposed: Ohio (Lucas County) pilot benefits bridge program: building on the Ohio Department of Job and Family Services “Benefit Bridge Employer Pilot Program” for six counties. Lucas County was not among the communities selected for participation, but commissioners wanted to address the benefits cliff locally to help residents in need. Intends to run an 18-month benefit bridge pilot program, launching by July 2024.

• Past Pilot: Colorado Cliff Effect Pilot Program: The program helps families whose incomes have increased above the eligibility limit, sometimes by very small amounts, by slowly increasing their child care payments instead of abruptly stopping all subsidized payments at once. The program was authorized in 2012 and updated in 2014 and 2016 to remedy this problem and turn the “cliff” into more of a “slope.”

• Past Pilot: Ohio Allen County Department of Job and Family Services Benefit Bridge Pilot Program, continuing 2022-2023: The program is a two-phased initiative aimed at promoting long-term economic independence for vulnerable Ohioans. It makes the transition from public assistance easier for low-income households by providing savings accounts, emergency assistance and jobs training so those who qualify for public assistance can afford to take higher-paying jobs. It includes specialized case management, a tool to assess the impact of life changes on benefits, and episodic support to encourage self-sufficiency.

Other Pilots connected to benefits cliffs 

• New York State Direct Cash Transfer Research Pilot: The programs are part of a broader initiative to study the impact of direct cash transfers on child welfare system engagement and family well-being. The program obtained a waiver from the Office of Temporary and Disability Assistance (OTDA) for Temporary Assistance (TA) and Supplemental Nutrition Assistance Program (SNAP) benefits to exempt certain income and resources provided to persons enrolled in the pilot programs in determining eligibility for public assistance benefits.

• Onondaga County Department of Social Services: 2Gen Onondaga: 2Gen Onondaga is a poverty reduction pilot program that uses a multigenerational approach. 2Gen Onondaga provides intensive case management services and works directly with parents under the age of 25 that are on temporary assistance. The 2Gen team work to integrate services, remove barriers for families, provide coaching, partner with community agencies, commit to racial equity and measure outcomes.

• TANF Pilot Program and Work Outcomes Measures: Under the program, the HHS may select up to five states to test alternative performance metrics in the TANF program. For the duration of the pilot projects, the work participation requirements will not apply to the pilot states and instead, participating states will comply with agreed upon performance measures and benchmarks.

Legislation/Pilot

• Iowa Cliff Effect CCA Exit Program: The program helps working parents raise their income and work towards financial independence. This program increases the cost families pay towards child care, but maintains subsidies to lessen the cost as their income rises, with the average family paying for 43% of the cost of child care.

• Kentucky Community Jobs Initiative Pilot Program: The Community Jobs Initiative, or referred to as HB 708, would provide aid and employment opportunities to assist individuals receiving public benefits in transitioning to long-term employment. The bill directs the Cabinet to update their website to include a benefits cliff calculator that would allow individuals to determine the best job opportunities to help them transition off benefits. 

• Missouri Transitional State Benefits Program for SNAP and TANF: Passed legislation requires the establishment of transitional TANF and  SNAP benefits program for recipients who become ineligible for benefits due to an increase in income. For SNAP and TANF, transitional benefits gradually step down the monthly benefit proportionate to the increase in income so that recipients will experience a drop of 20% of the monthly benefit per specified income tier, up to 225% of the federal poverty level.