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Thursday, December 30, 2004

General Assistance varies from town to town


OXFORD HILLS - Not every aspect of municipal government is terribly exciting.  Not all town business brings a thrill to the heart and a surge to the pulse.  Much of the work is actually quite mundane.  One such administrative necessity currently making the rounds — what one local town manager referred to as "grunt work" — involves accepting state appendix schedules of allowable maximum pay outs in General Assistance.

While that, in itself, may not seem terribly exciting, the Advertiser-Democrat decided to take this opportunity, while the issue was still fresh in the minds of local town fathers, to investigate how general assistance — when towns help residents meet emergency needs for basic living expenses — varies from town to town.

What we found was a divergence of opinion and philosophy regarding general assistance that is as varied as the 18 municipalities in our coverage area.

General assistance (GA) has its origins in the Elizabethan Poor Laws of England and, as such, has been an obligation for every town in Maine since the state's entry into the Union in 1820.  These laws required that each municipality provide for the indigent within their borders. 

In some local towns where a board of selectmen/town meeting form of government persists, such as a Sumner, the official title for selectmen still includes the archaic addendum, "overseers of the poor."  Other towns, such as Buckfield, continue to hold property to this day that was once used for "poor farms," where those without other means of support could eek out their subsistence.

In the early part of the 20th century, the burden of caring for the poor began to shift from local to state and federal organizations.  By the 1930s, local "overseers" were no longer automatically responsible for the blind, the aged, for veterans and their families, or, in some instances, the able-bodied unemployed.  Other programs such as Social Security, Workers' Compensation, Unemployment Compensation, Veterans' Administration, and some of the Depression era work-related programs were developed to supplement or replace local general assistance.

Today, general Assistance is mainly used to meet emergency needs, such as when a family runs out of oil, is threatened with disconnection of a utility, or faces eviction, and has no immediate means to pay their bills.

When this happens, the GA administrator will go through a worksheet of income and expenses to determine what level of support the town can offer.  In many instances, the first request for aid is treated less stringently then subsequent requests.  After that, more proof of expenses are required, and certain demands can be made.  For example, the town can require that an applicant sell off certain assets, or that they cannot own a vehicle valued at over $8,000.   

Access to a GA administrator must be made available 24 hours a day, and an answer to a request for aid must be given by that administrator within 24 hours of the application.

In municipalities with a town manager form of government, that manager is usually the GA administrator.

Exceptions include Paris, where Sheila Giroux, administrative assistant for the police department also handles general assistance applications.  In Oxford, town clerk Ellen Morrison handles those duties.

In many of the smaller towns, the responsibility often falls to one of the selectmen.  However, in Minot, where Gregory E. Gill was hired as the town's first professional administrator within the last year, Selectman Eda Tripp still handles the general assistance claims.

Each town appropriates a certain sum of money at town meeting each year for general assistance requests.  That sum ranges from as little as $500 in Hartford, Stoneham, and Sumner, to as much as $40,000 in Norway.

Only three towns in our area include in that appropriation the fees required for administering the program.  Waterford pays John Anderson "around $350" per year, and that is reported to be mostly for travel expenses.  Anderson also administers general assistance for Bridgeton.  Mechanic Falls Town Manager Dana Lee stated that his town generally spends "around $400" on administrative costs.

In Norway, $7,500 is paid to Community Concepts for handling their general assistance program.  It is worth noting that this fee alone is more than, and in some cases double, the entire annual amount raised by some towns to assist the needy.  (See sidebar: annual appropriations for General Assistance, by town.)

All applications for aid are kept strictly confidential and are not subject to review.  However, some information must be released to the state, which annually audits each town's records, reimbursing the town for as much as 50 percent of its expenditures.

And while towns are required to help their residents meet emergency needs, assuming certain eligibility criteria are met, the laws have been updated in more recent years to place greater responsibility, and accountability, on the applicant.

It is in how these eligibility rules are interpreted where we found our first conflict

"It's very rigid, and wide open, all at the same time," said Buckfield Town Manager Glen Holmes.  "You have to do it.  There are certain things that you have to do, and yet the way each town interprets these regulations is wide open."

While many GA administrators were careful to say that they merely follow the law, paying close attention to eligibility requirements, others, especially from the smaller towns, tended to view their primary obligation as being to the taxpayer.

"There are circumstance were someone in just down on their luck," said West Paris Town Manager Don Woodbury.  "[But some] are not doing all they can to help themselves.  It bothers me to feed behavior."

"We follow the law very strictly," said Lee.  "We do what we need to where eligibility requirements are met, but we certainly aren't just giving it [financial assistance] away."

"I think it's safe to say that we have to remember who pays the bills," said Hartford Selectman Lee Holman.  "We're all taxpayers."

However, both Lee and Holman pointed out that, in many cases, it is not a handout that is required.  Both cited situations in which they have acted as a mediator between a local resident and a utility, or oil company.  And both felt that their greatest contribution — one that cost the town no money — came in acting as an advocate for the local person in need, pointing them to various programs that they had not known to exist.

On the other side of the scale, there are those GA administrators who believe that eligibility requirements should be more liberally interpreted.

"I tend to do a lot of it [review cases] with my heart, and not the head," said Woodstock Town Manager Vern Maxfield. 

"There are times when it is better to deal with a problem up front, rather than deal with a bigger problem later," said Poland Town Manager Richard Chick.  "[It] makes sense to stretch [eligibility] and get creative in dealing with a problem."

Chick pointed out that it can cost taxpayers more to wait until electricity actually gets shut off, when there can be a huge arrears in charges plus the addition of reconnection fees.

In general, we found that how a town interprets eligibility tended to correspond to the amounts annually appropriated.  Those towns which set aside only a few thousand dollars were, on the whole, more reluctant to part with any of it.  Those appropriating more than three or four thousand tended to be more liberal.  Larger towns, those expending more than $10,000 were reluctant to betray any hint of their inclinations. 

Towns that annually raise less than $1,000 for general assistance also acknowledged being more liberal with payouts.  This was partly, they said, because they get so few requests, and most of those tended to be first, or one-time requests.

The smaller towns, on average, tended to not have what the larger towns liked to refer to as "repeat customers," or, "frequent fliers."

Another trend noticed was that need did not necessarily follow population.  Norway Town Manager David Holt theorized that the real indicator was the number of rental units in a community.  This observation was backed up by nearly every single GA administrator we spoke to.

Smaller towns, and certain medium sized ones, tended to have fewer requests, not because they had fewer people, but because they have a smaller percentage of homeowners.

Over and over, a figure of "more than 80 percent" was cited by GA administrators in regards to the number of applicants who either rented apartments, or lots in trailer parks.

Several administrators also pointed out that a town still cannot refuse requests once it uses up everything that is has appropriated for general assistance. 

“It’s one of the very few accounts that you are allowed to overdraw if necessary," said Holmes.

Here again, however, the need to overdraw — to dip into a town's general fund — tended to align with the number of rental units in a town.

Hartford, a town with very few rental units, reported only using $40 of the funds it has set aside last year for general assistance. 

Lovell Town Clerk Sherry Bais reported that her town has carried over it's $1,000 for several years, with only one applicant in the last couple of years.  And that person reportedly paid back some of the assistance they received.

Although recipients of town aid are, technically, obligated to pay back the money paid to a creditor in their name, most towns report that few ever do.

When a town does get reimbursed, it tends to come in the form of a lien on a lump sum social security settlement.  Several administrators noted that it can take several months for the federal and state governments to catch up to the newly disabled.  This forces that person to rely on town assistance until regular checks begin to arrive.

"It [social security] is a system that needs to be completely revamped," said Lee.

Town's can require that recipients of aid perform what is called workfair, requiring the applicant to perform some service for the town, such as working at a transfer station, filing in the town office, or shoveling snow. 

However, few towns in the area actually do require applicants to work in return for aid.  Although many administrators thought it was a good idea, many, especially in the smaller towns, said they simply had no work available for able-bodied applicants to perform.

But perhaps the sharpest, and clearest divide among towns was in where they thought responsibility for general assistance most properly resided.

In many cases, the smaller towns preferred to keep aid on the local level.  Many felt that applicants were more likely to try and get off of aid when they knew it was coming from their friends and neighbors.  Others simply felt that giving such aid on the local lever helped to preserve the human touch, so that the needy did not become, "just a number."

"I know locally, you tend to know people and have more concern for their situations." said Greenwood Town manager Kim Sparks.

"It's building community," said Holman.  "The state is the state.  The more things that can be handled at home, the better."

"You have to meet with the person.  You have to relate to that person.  You have to take on a advocacy for that person who is having a crisis in their lives." said Marianne Iggy-Morin, an administrative assistant in Otisfield, indicating that this level of personal intervention would soon be forgotten if general assistance was handled solely by the state.

Others simply did not think that the state would do a very good job.

"A lot of times, when I call headquarters [in Augusta], their attitude had been, in my opinion, just horrible.  Really out of line," said Giroux, the GA administrator for Oxford.

She cited one occasion, when she called Augusta for advice on a person who was being asked to leave his residence, being told that "the police can pick him up, then he'll have a place to stay."

"Looking at everything the state does, it's always five times more costly than when we do things locally," said Lee.

However, many of the medium and large sized towns voiced a strong opinion that aid programs would be more efficient if handled on a statewide level.  Some believed that regionalizing general assistance among several towns, or on the county level, would lead to requirements being more uniformly applied, with fewer variances in interpretations.

"There would be a more consistent application of the rules of handled on a wider geographic area," said Woodbury.

"I would love to see it regionalized," said Chick.  "In the course of processing general assistance, I have to go to the state anyway.  If they were held to the same standard [to respond in 24 hours to requests for aid,] if they had to be as nimble as they require us to be [it would work.]"

"I'd love to see it handled by the county, or at least in an area of four or five towns together" said Maxfield.  "If somebody was doing it full time, they would be right up to date on all the rules and regulations."

"I think any time you can consolidate, that would be beneficial," said Girioux, although she questioned how towns would get reimbursed by the state under a regionalized plan.

"It's not efficient to do it little town by little town by little town," said Lee. "However, that being said, the cost of general assistance [if regionalized] would skyrocket."

And finally, it was noted that general assistance applicants  tend to be younger people, even though under the GA ordinances, parents are required to be financially responsible for their children up to the age of 24.  The older generation, it was thought, simply shied away from asking for help.  That was an attitude that also seemed to predominate as potential applicants got out of the urban areas.

"This is not Boston," said Stoneham Town Clerk Midge Sylvio, "People don't run around with their hand out looking for money.

"I have learned to have a major respect for rural people and how they live their lives, and what they expect from government."





SIDEBAR 
Annual appropriations for General Assistance, by town

TOWN                   2004 GA       2000           Median       Unemployment        2003     
                         appropriation   population*    income*             rate*               mil rate**

Norway                   $40,000        4,611          $28,497            5.5%                $19.00
Oxford                      14,000        3,960            36,670             4.1                    19.40
Paris                          10,000        4,793            33,625             4.2                    22.73
Poland                       10,000        4,866            47,824             4.6                   18.75
Harrison                      8,000        2,315            35,478             3.4                   13.35
Mechanic Falls            7,400        3,138            34,864             5.2                   28.00
West Paris                   5,000        1,722            30,000             5.5                   15.70
Hebron                        3,500       1,053             45,417             3.0                   17.55
Waterford                    3,000       1,443             31,458             3.7                  14.25
Woodstock                  3,000       1,307             35,642             7.7                  15.30
Otisfield                       2,500      1,560             43,304             6.2                   17.7
Buckfield                     2,000      1,723              36,821             2.6                  20.10
Minot                          1,000       2,248              47,557             3.7                  16.50
Lovell                         1,000          994              33,365             5.8                  12.85
Greenwood                   750          819              38,750             4.0                  16.75
Hartford                        500          963              36,488             4.9                  17.20
Stoneham                     500          271               38,611             8.0                  11.30
Sumner                        500          851                39,196            5.4                  13.45

*Figures from US Census Bureau, based on 2000 census
** Figures from Maine State Planning Office

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