To provide information for congressional oversight, we undertook a review of states’ efforts to meet the information needs for welfare reform, with a focus on the TANF program. For this study, we (1) assessed the extent to which current automated systems in selected states meet key information needs of programs that help low-income individuals with children obtain employment and become economically independent, (2) identified the approaches states are using to develop or modify their automated systems to better meet these information needs, and (3) identified the major obstacles states have encountered in working to improve their automated systems and the potential role of the federal government in helping overcome these obstacles. We developed a questionnaire to obtain information on four topics: (1) the extent to which automated systems for different programs share data; (2) the accessibility of data from different automated systems using the desktop computers of TANF case managers; (3) the overall extent to which information needs for case management, service planning, and monitoring program performance are met by current automated systems; and (4) the most helpful actions that the federal government could take to help resolve the major obstacles encountered by states and localities in developing or modifying automated systems. This shortcoming constrains the ability of case managers to arrange needed services; ensure that these services are provided; and respond quickly when problems arise, such as when a recipient does not attend a scheduled work activity. Difficulties in Querying Automated Systems to Obtain Needed Information Limit Capabilities for Service Planning

In addition to supporting the activities of TANF case managers, automated systems can provide aggregate information on the characteristics and service needs of TANF recipients to help program managers determine the appropriate services to provide for their TANF caseloads. In contrast, local officials in the six states reported having more limited capabilities to monitor the employment progress of TANF clients. Other projects, geared more to improving the capabilities of program managers to obtain and analyze data from different programs, involve developing new databases and query tools. These projects are intended to enhance the capabilities of frontline workers in such ways as the following. Table 9 provides an overview of projects in the states we reviewed. Federal Action Could Help Overcome Obstacles States Face in Improving Automated Systems

States face a number of obstacles to improving their automated systems, such as the magnitude of changes due to welfare reform, the inherent difficulties involved in successfully managing information technology projects, competition with the private sector to recruit and retain information technology staff, and the complexity of obtaining federal approval and funding for systems projects that involve multiple agencies. Disseminate information on best practices for managing information technology, particularly in the area of welfare reform. Addressing the need for states to have access to cross-state information on individuals’ TANF receipt to enforce the 5-year TANF time limit.
Why GAO Did This Study

GAO reviewed states' efforts to meet the information needs associated with welfare reform, with a focus on Temporary Assistance for Needy Families (TANF), focusing on the: (1) extent to which automated systems in selected states meet key information needs of programs that help low-income individuals with children obtain employment and become economically independent; (2) approaches states are using to develop or modify their automated systems to better meet these information needs; and (3) major obstacles states have encountered in working to improve their automated systems as well as the potential role of the federal government in helping overcome these obstacles.

What GAO Found

GAO noted that: (1) although automated systems in the states GAO examined support welfare reform in many ways, a number of these systems have major limitations in one or more of three key areas; (2) with respect to information needs for case management, the major shortcoming is an inability to obtain data on individual TANF recipients from some of the agencies serving them, including job assistance agencies; (3) this situation makes it difficult for TANF case managers to arrange needed services, ensure that the services are provided, and respond quickly when problems arise; (4) officials in the states, especially those at the local level, said that it is sometimes difficult or impossible to query automated systems to obtain information for planning service strategies for their overall TANF caseloads, such as information on the number of adults with no prior work experience; (5) automated systems have shortcomings for program oversight purposes, specifically, they do not provide enough information to support enforcement of the 5-year TANF time limit and to monitor the employment progress of TANF recipients overall in some instances; (6) states' automated systems projects embody a range of approaches to expanding the ability of system users to obtain and analyze data from multiple sources; (7) some projects are designed primarily to support TANF case managers and other frontline workers in providing more coordinated delivery of services; (8) other projects, geared more to improving the ability of program managers to collect and analyze data from different programs, involve developing new query tools and databases that are expected to help program managers with key tasks, such as determining program results and assessing the performance of service providers; (9) states face a number of obstacles to improving their automated systems, such as the magnitude of changes in the mission and operations of welfare agencies due to welfare reform, the inherent difficulties associated with successfully managing information technology projects, competition with the private sector to recruit and retain information technology staff, and the complexity of obtaining federal funding for systems projects that involve multiple agencies; (10) the federal government could take various actions to help overcome such obstacles, such as providing more information on best practices for managing information technology; and (11) in this way, the federal government could serve a facilitative role, in addition to its regulatory role, in helping states improve automated systems for social programs.