Office of Community Services

CHAPTER 3. EXPENDITURES

This chapter focuses on Social Services Block Grant (SSBG) expenditures by State, by service, and in comparison with expended funds from other sources.

SSBG Expenditures Trends

Figure 3-1 Expenditures of SSBG Allocation, by Year
Year	SSBG Allocation Expenditures
2000	$1,774
2001	$1,714
2002	$1,692
2003	$1,686
2004	$1,625

Figure 3-2 Expenditures of Funds Transferred from TANF to SSBG, by Year
Year	TANF Transfer	Number of States
2000	$1,021	41
2001	$949	42
2002	$955	48
2003	$806	45
2004	$880	45

During 2004, SSBG expenditures for all States, including the SSBG allocation (65%) and the Temporary Assistance for Needy Families (TANF) Block Grant transfer (35%), totaled $2.504 billion.

Expenditures of the SSBG allocation in 2004 were $1.625 billion. Since 2000, expenditures of the SSBG allocation have decreased by more than 8 percent. (See figure 3-1.)

Since 1997, States' reports of SSBG expenditures have included the TANF transfer. The expenditure of TANF transfer funds peaked during 2000, when 41 States reported expenditures of $1.021 billion. During 2004, 45 States spent $880 million in funds transferred from TANF. (See figure 3-2.)

SSBG Expenditures by State

The Federal Government allocates SSBG annually to States based on population.¹ As would be expected, States with large populations report larger SSBG expenditures. In addition, the amount of a State's SSBG expenditures is greatly influenced by the amount of TANF that the State transfers into the SSBG.

California reported $305 million in SSBG expenditures, followed by New York ($224 million) and Florida ($160 million). Four other States reported SSBG expenditures of more than $100 million--Texas ($146 million), Ohio ($143 million), Illinois ($114 million), and Pennsylvania ($104 million). These seven States accounted for 48 percent of all SSBG expenditures. In 10 States, SSBG expenditures were less than $10 million. (See figure 3-3.)

Figure 3-3 SSBG Expenditures by State, 2004 (in millions)
State	SSBG Allocation	TANF Transfer
California	$205.26	$100.14
New York	$57.13	$166.86
Florida	$97.82	$62.27
Texas	$112.46	$33.80
Ohio	$67.09	$75.44
Illinois	$73.92	$39.74
Pennsylvania	$73.45	$30.98
Michigan	$58.92	$26.93
Massachusetts	$36.97	$45.94
New Jersey	$50.18	$15.78
Missouri	$43.40	$21.71
Virginia	$52.54	$9.42
Arizona	$30.47	$25.26
North Carolina	$49.05	$6.44
Maryland	$32.00	$22.91
Georgia	$46.66	$0.00
Washington	$35.76	$10.66
Wisconsin	$31.90	$13.42
Connecticut	$18.51	$26.68
Colorado	$34.79	$8.79
Louisiana	$23.70	$16.48
Alabama	$26.30	$10.39
Indiana	$34.08	$2.00
Oklahoma	$20.86	$14.76
Minnesota	$27.48	$7.93
Iowa	$18.56	$11.61
South Carolina	$23.53	$5.26
Oregon	$27.85	$0.00
Kentucky	$25.81	$0.00
Mississippi	$15.92	$9.58
Kansas	$15.92	$4.33
Utah	$13.44	$5.31
West Virginia	$10.13	$7.67
Tennessee	$17.53	$0.01
Arkansas	$14.26	$0.00
Maine	$6.91	$7.16
Hawaii	$8.11	$5.69
Nevada	$12.46	$0.65
New Mexico	$10.87	$2.00
Idaho	$8.34	$3.20
Nebraska	$10.14	$0.00
Vermont	$3.61	$4.74
Delaware	$4.97	$3.27
New Hampshire	$6.76	$1.47
Alaska	$3.77	$3.27
Montana	$4.82	$2.00
District of Columbia	$3.22	$3.49
Rhode Island	$6.26	$0.40
South Dakota	$3.98	$2.29
Wyoming	$2.92	$1.85
North Dakota	$3.72	$0.00
Note: Appendix F, table F-1, contains supporting data for this figure.

Per Capita Expenditures

Nationally, the average SSBG appropriation for 2004 represented approximately $5.76 per person.² However, State SSBG per capita expenditures varied from this amount if a State reported a TANF transfer, carried over funds from previous years, or carried forward funds for use during the next year. During 2004, the average of State per capita SSBG expenditures was $8.51, ranging from $2.97 (Tennessee) to $13.44 (Vermont). (See figure 3-4.)

Figure 3-4 SSBG Per Capita Expenditures by State, 2004
State	SSBG Allocation	TANF Transfer
Vermont	$5.82	$7.62
Massachusetts	$5.76	$7.16
Connecticut	$5.28	$7.61
Ohio	$5.86	$6.58
District of Columbia	$5.82	$6.31
New York	$2.97	$8.68
Missouri	$7.54	$3.77
Hawaii	$6.42	$4.51
Alaska	$5.76	$4.99
Maine	$5.25	$5.44
Iowa	$6.28	$3.93
Oklahoma	$5.92	$4.19
Delaware	$5.98	$3.94
Maryland	$5.76	$4.12
West Virginia	$5.58	$4.22
Arizona	$5.31	$4.40
Colorado	$7.56	$1.91
Wyoming	$5.77	$3.65
Florida	$5.62	$3.58
Illinois	$5.81	$3.13
Louisiana	$5.25	$3.65
Mississippi	$5.49	$3.30
California	$5.72	$2.79
Michigan	$5.83	$2.66
Pennsylvania	$5.92	$2.50
Virginia	$7.04	$1.26
Idaho	$5.98	$2.29
Wisconsin	$5.79	$2.44
South Dakota	$5.16	$2.97
Alabama	$5.81	$2.29
Utah	$5.62	$2.22
Oregon	$7.75	$0.00
New Jersey	$5.77	$1.81
Washington	$5.76	$1.72
Kansas	$5.82	$1.58
Montana	$5.20	$2.15
Minnesota	$5.39	$1.55
South Carolina	$5.60	$1.25
New Mexico	$5.71	$1.05
Texas	$5.00	$1.50
North Carolina	$5.74	$0.75
New Hampshire	$5.20	$1.13
Kentucky	$6.23	$0.00
Rhode Island	$5.79	$0.37
North Dakota	$5.86	$0.00
Nebraska	$5.80	$0.00
Indiana	$5.46	$0.32
Nevada	$5.34	$0.28
Georgia	$5.28	$0.00
Arkansas	$5.18	$0.00
Tennessee	$2.97	$0.00
Note: Appendix F, table F-2, contains supporting data for this figure.

SSBG Expenditures by Service

Twenty-seven States collectively spent $336 million for special services for individuals with disabilities (13% of all SSBG expenditures); 37 States reported $332 million of SSBG expenditures for child foster care services (13%); and 41 States reported $254 million of SSBG expenditures for child day care (10%). Administrative costs, which include staff training and licensing, were $189 million and accounted for 8 percent of SSBG expenditures. (See figures 3-5 and 3-6.)

Figure 3-5 Percentage of SSBG Expenditures by Service, 2004
Service	Percent
22 Additional Services	25%
Case Management	7%
Prevention and Intervention	7%
Protective Services--Children	8%
Home-Based Services	9%
Day Care--Children	10%
Foster Care Services--Children	13%
Special Services--Disabled	13%
Administrative Costs	8%
Note: Appendix F, table F-3, contains supporting data for this figure. The 22 additional services include those that were funded at 5 percent or less with SSBG expenditures.

Figure 3-6 SSBG Expenditures by Service, 2004
Service	SSBG Allocation	TANF Transfer
Special Services--Disabled	$304	$32
Foster Care Services--Children	$157	$175
Day Care--Children	$113	$141
Home-Based Services	$160	$61
Protective Services--Children	$114	$81
Prevention and Intervention	$56	$120
Case Management	$128	$48
Protective Services--Adults	$113	$21
Other Services	$59	$38
Residential Treatment	$51	$33
Employment Services	$29	$11
Family Planning Services	$11	$29
Adoption Services	$18	$11
Counseling Services	$21	$5
Home-Delivered Meals	$21	$0
Information and Referral	$15	$4
Legal Services	$16	$1
Transportation	$12	$3
Foster Care Services--Adults	$13	$1
Health-Related Services	$12	$2
Special Services--Youth at Risk	$12	$2
Day Care--Adults	$12	$0
Housing Services	$6	$5
Education and Training Services	$7	$1
Independent/Transitional Living	$7	$1
Substance Abuse Services	$5	$2
Congregate Meals	$7	$0
Pregnancy and Parenting	$4	$3
Recreation Services	$1	$0
Note: Appendix F, table F-3, contains supporting data for this figure. N = Number of States.

Table 3-1 shows the SSBG expenditures--comprising the SSBG allocation and the TANF transfer--for each of the 29 service categories and administrative costs.

SSBG Service Categories	SSBG Allocation	TANF Transfer	SSBG Expenditures	Number of States
Table 3-1 SSBG Expenditures by Service, 2004
Adoption Services	$ 18,050,414	$ 11,148,979	$ 29,199,393	29
Case Management	$ 127,990,040	$ 48,206,309	$ 176,196,349	27
Congregate Meals	$ 6,876,454	$ 148,566	$ 7,025,020	10
Counseling Services	$ 21,354,353	$ 4,544,562	$ 25,898,915	23
Day Care—Adults	$ 11,955,224	$ 431,199	$ 12,386,423	22
Day Care—Children	$ 112,634,814	$ 141,447,261	$ 254,082,075	41
Education and Training Services	$ 7,186,332	$ 1,218,566	$ 8,404,898	17
Employment Services	$ 29,240,239	$ 10,809,904	$ 40,050,143	14
Family Planning Services	$ 11,217,357	$ 28,797,101	$ 40,014,458	14
Foster Care Services—Adults	$ 12,758,604	$ 976,031	$ 13,734,635	13
Foster Care Services—Children	$ 157,311,312	$ 174,830,579	$ 332,141,891	37
Health-Related Services	$ 11,875,106	$ 1,843,640	$ 13,718,746	15
Home-Based Services	$ 159,959,221	$ 60,956,662	$ 220,915,883	38
Home-Delivered Meals	$ 20,978,449	$ 464,296	$ 21,442,745	18
Housing Services	$ 5,895,219	$ 5,157,217	$ 11,052,436	10
Independent/Transitional Living	$ 7,100,257	$ 929,586	$ 8,029,843	17
Information and Referral	$ 15,178,688	$ 3,874,011	$ 19,052,699	19
Legal Services	$ 16,335,346	$ 512,012	$ 16,847,358	15
Pregnancy and Parenting	$ 4,094,711	$ 2,908,559	$ 7,003,270	10
Prevention and Intervention	$ 56,249,811	$ 120,284,972	$ 176,534,783	34
Protective Services—Adults	$ 113,062,393	$ 21,122,107	$ 134,184,500	34
Protective Services—Children	$ 113,664,509	$ 80,639,864	$ 194,304,373	38
Recreation Services	$ 969,997	$ 89,206	$ 1,059,203	9
Residential Treatment	$ 50,936,271	$ 32,578,220	$ 83,514,491	23
Special Services—Disabled	$ 303,996,105	$ 32,150,839	$ 336,146,944	27
Special Services—Youth at Risk	$ 11,800,716	$ 1,506,674	$ 13,307,390	15
Substance Abuse Services	$ 5,225,760	$ 2,351,354	$ 7,577,114	14
Transportation	$ 11,923,751	$ 3,165,844	$ 15,089,595	22
Other Services	$ 58,727,142	$ 38,142,174	$ 96,869,316	25
Administrative Costs	$ 139,957,780	$ 48,720,877	$ 188,678,657	42
TOTAL	$ 1,624,506,376	$ 879,957,171	$ 2,504,463,547	51

TANF Transfer Expenditures

States reported by service categories how they used the TANF transfer. Forty-five States spent $880 million of TANF transfer funds. Across these States, the highest proportion of TANF transfer expenditures was for children's services. Twenty-three States collectively spent $175 million of TANF transfer funds for child foster care services (20% of all TANF transfer expenditures) and 20 States reported $141 million for child day care (16%). TANF transfer expenditures for prevention and intervention services were also more than $100 million (14%). (See figure 3-7.)

Service	TANF Transfer	Number of States
Figure 3-7 TANF Transfer Expenditures by Service, 2004
Foster Care Services--Children	$174.83	23
Day Care--Children	$141.45	20
Prevention and Intervention	$120.28	18
Protective Services--Children	$80.64	19
Home-Based Services	$60.96	15
Case Management	$48.21	12
Other Services	$38.14	14
Residential Treatment	$32.58	12
Special Services--Disabled	$32.15	4
Family Planning Services	$28.80	5
Protective Services--Adults	$21.12	8
Adoption Services	$11.15	17
Employment Services	$10.81	4
Housing Services	$5.16	4
Counseling Services	$4.54	12
Information and Referral	$3.87	6
Transportation	$3.17	8
Pregnancy and Parenting	$2.91	2
Substance Abuse Services	$2.35	4
Health-Related Services	$1.84	6
Special Services--Youth at Risk	$1.51	5
Education and Training Services	$1.22	4
Foster Care Services--Adults	$0.98	5
Independent/Transitional Living	$0.93	7
Legal Services	$0.51	5
Home-Delivered Meals	$0.46	4
Day Care--Adults	$0.43	3
Congregate Meals	$0.15	3
Recreation Services	$0.09	4
Note: Appendix F, table F-3, contains supporting data for this figure. N = Number of States.

For four services, the TANF transfer portion of SSBG expenditures was greater than the SSBG allocation portion. Funds from the TANF transfer accounted for 72 percent of SSBG expenditures for family planning services, 68 percent for prevention and intervention services, 56 percent for child day care, and 53 percent for child foster care.

SSBG and Other Sources of Funds

States reported on total expenditures, which included expenditures of funds from other sources. Regulations also require States to report all other Federal, State, and local funds for each service funded by SSBG. State SSBG contacts were consulted about the extent to which they were able to provide these data. With some variation, States met this requirement in one of two ways listed below.

A State reported on all Federal, State, and local funds spent in conjunction with SSBG expenditures for specific programs or providers. For example, a State that supported a day care center with the SSBG reported other sources of funds supporting the center as well. This State did not report the other sources of funds for all day care centers located throughout the State.
A State reported on all Federal, State, and local funds for the service category for the entire State. For example, if SSBG supported any child day care services, the State included all funding for child day care throughout the State on the SSBG postexpenditure report.

These differing methods for reporting total expenditures result in different interpretations of the SSBG's support of a service relative to other sources. Therefore, the following analysis is based only on data from the 39 States that indicated that total expenditures included all other sources of funds used for the service category.³

The proportion of total expenditures for specific service categories provided by the SSBG ranged from 2 percent to 59 percent. SSBG expenditures accounted for 59 percent of the total expenditures for adult foster care services and 41 percent of total expenditures for both family planning services and pregnancy and parenting services.

At least 20 percent of funding for five other services was through SSBG expenditures. These services were adult day care, home-delivered meals, legal services, prevention and intervention, and adult protective services. States supported the remaining 21 services less than 20 percent with SSBG expenditures. (See figure 3-8.)

Service	SSBG Expenditures	Other Sources of Funds
Figure 3-8 SSBG Percentage of Total Expenditures by Service, 2004
Foster Care Services--Adults	59.15%	40.85%
Family Planning Services	40.95%	59.05%
Pregnancy and Parenting	40.59%	59.41%
Day Care--Adults	37.28%	62.72%
Protective Services--Adults	36.13%	63.87%
Prevention and Intervention	23.84%	76.16%
Legal Services	22.73%	77.27%
Home-Delivered Meals	21.21%	78.79%
Information and Referral	17.78%	82.22%
Housing Services	16.01%	83.99%
Case Management	15.97%	84.03%
Transportation	14.01%	85.99%
Special Services--Youth at Risk	13.61%	86.39%
Congregate Meals	13.12%	86.88%
Recreation Services	12.54%	87.46%
Foster Care Services--Children	11.99%	88.01%
Education and Training Services	10.48%	89.52%
Counseling Services	10.01%	89.99%
Health-Related Services	9.11%	90.89%
Special Services--Disabled	8.45%	91.55%
Residential Treatment	8.02%	91.98%
Employment Services	6.12%	93.88%
Protective Services--Children	5.94%	94.06%
Home-Based Services	4.47%	95.53%
Adoption Services	4.34%	95.66%
Day Care--Children	4.11%	95.89%
Other Services	3.67%	96.33%
Independent/Transitional Living	2.94%	97.06%
Substance Abuse Services	1.79%	98.21%
Note: Appendix F, table F-4, contains supporting data for this figure. N = 39 States.

Service Delivery Methods

States reported for each service category whether the service was provided by a public agency, by private contractors, or by both. Figure 3-9 illustrates for each service category the percentage of States that reported each of these delivery methods.

Service	% of States Public Only	% of States Private Only	% of States Both Public and Private
Figure 3-9 Service Delivery Methods by Service, 2004
Transportation	5.00%	25.00%	70.00%
Day Care--Children	7.89%	26.32%	65.79%
Special Services--Disabled	8.00%	48.00%	44.00%
Other Services	8.70%	26.09%	65.22%
Day Care--Adults	9.52%	52.38%	38.10%
Congregate Meals	11.11%	33.33%	55.56%
Home-Delivered Meals	11.76%	35.29%	52.94%
Education and Training Services	11.76%	35.29%	52.94%
Home-Based Services	12.12%	21.21%	66.67%
Counseling Services	12.50%	29.17%	58.33%
Special Services--Youth at Risk	13.33%	46.67%	40.00%
Health-Related Services	17.65%	29.41%	52.94%
Employment Services	20.00%	26.67%	53.33%
Pregnancy and Parenting	20.00%	40.00%	40.00%
Prevention and Intervention	21.21%	24.24%	54.55%
Family Planning Services	23.08%	38.46%	38.46%
Substance Abuse Services	23.08%	38.46%	38.46%
Information and Referral	25.00%	12.50%	62.50%
Adoption Services	25.93%	18.52%	55.56%
Legal Services	26.67%	20.00%	53.33%
Foster Care Services--Children	29.41%	29.41%	41.18%
Independent/Transitional Living	29.41%	47.06%	23.53%
Case Management	30.77%	15.38%	53.85%
Recreation Services	33.33%	33.33%	33.33%
Residential Treatment	36.84%	26.32%	36.84%
Protective Services--Children	37.14%	14.29%	48.57%
Protective Services--Adults	41.94%	3.23%	54.84%
Housing Services	44.44%	33.33%	22.22%
Foster Care Services--Adults	46.15%	30.77%	23.08%

Almost one-half of States (46%) reported that adult foster care services were provided only by public agencies. For special services for individuals with disabilities, private agencies alone were cited by the largest group of States (48%) as providing the services. Most States reported that transportation services were provided by a combination of public and private agencies (70%).

Continue to Chapter 4

¹ Section 2003 of the Social Security Act states that the allotment to each State and the District of Columbia is based on the following formula: [(State population/national population) x (SSBG appropriation - sum(allotments to jurisdictions of Puerto Rico, Guam, the Virgin Islands, the Northern Mariana Islands, and America Samoa))]. State census estimates are updated annually.

² Per capita expenditures for each State were calculated by dividing the expenditures by the population. Population data for 2004 for the 50 States and the District of Columbia were obtained from the U.S. Census Bureau at: http://factfinder.census.gov/servlet/DatasetMainPageServlet?_program=PEP&_lang=en&_ts=144690575649 (accessed 9/13/05). The average for all States was an unweighted average.

³ These States were: Alabama, Alaska, Arizona, Arkansas, California, Colorado, District of Columbia, Florida, Georgia, Hawaii, Idaho, Illinois, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Nebraska, New Hampshire, New Jersey, New York, North Dakota, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Dakota, Tennessee, Texas, Utah, Vermont, Washington, West Virginia, and Wyoming.