Interim Disability Assistance: A Good Investment for the District

 

In Friday’s blog, we highlighted Interim Disability Assistance (IDA) as one of the programs that the D.C. Council should consider funding if additional revenues are forecasted prior to the final approval of the budget on June 18. IDA provides short-term assistance to residents who have disabilities that prevent them from working. During the Great Recession, funding for IDA was cut and the number of individuals served has dropped by 65 percent, though the need remains unchanged. An investment of $4.4 million will provide benefits for 1,050 additional residents and provide application assistance to all recipients. 

The IDA program provides $270 a month ‘ or about $9 a day ‘ to residents who are in limbo ‘ unable to work and waiting to learn if they are approved for federal Supplemental Security Income (SSI) benefits. IDA provides critical financial assistance during this period, helping residents meet basic needs, such as rent (often shared with others), medical copays, and necessities like toothpaste. Without IDA, many people with disabilities are forced to rely on more costly crisis services, such as shelters and emergency rooms, thus costing the District more.

The SSI application process is difficult and time-intensive. It can take up to a year or two to receive a decision. Applicants must complete a long written application, submit medical and vocational documentation, and often undergo special medical and psychological evaluations. Nationally, just one-out-of-three SSI applicants are approved based on their initial application. Many only receive benefits after completing a lengthy appeal process.

Currently, DC offers no application help to SSI applicants, despite the difficulty of the process. Providing application assistance to SSI applicants can lead to quicker determinations and higher acceptance rates. This would reduce the number of months a recipient receives IDA, and higher acceptance rates would increase the amount of federal reimbursement the District receives.

Recognizing these benefits, the mayor included $1 million to provide this assistance in his proposed budget, but placed it on the revenue contingency list, the list of items that would be funded if revenues were higher than anticipated. The council decided to remove this list and instead include a provision that if additional revenues were forecasted before the final vote of the budget June 18, the council could spend up to $50 million of these funds. If additional revenues are forecasted, the council should fund IDA application assistance and add $3.4 million to the budget to serve an additional 1,050 residents in need. The Council already has identified $500,000 to help serve 150 more residents, but this additional investment will ensure that more residents receive needed financial assistance as well as assistance in making strong applications.