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Evaluation of the Ticket to Work Program Initial Evaluation Report

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C HAPTER VI<br />

A DEQUACY OF I NCENTIVES S TUDY<br />

I<br />

n passing <strong>the</strong> <strong>Ticket</strong> Act, Congress acknowledged that <strong>the</strong> TTW program might not be<br />

equally accessible <strong>to</strong> all disability beneficiaries. Of particular concern was <strong>the</strong> possibility<br />

that <strong>the</strong> performance-based payment system might lead providers <strong>to</strong> serve mainly<br />

beneficiaries who are most ready <strong>to</strong> return <strong>to</strong> work while largely ignoring beneficiaries<br />

requiring more intensive or long-term support if <strong>the</strong>y are <strong>to</strong> become successfully employed.<br />

Such client selection practices could create an efficient program in <strong>the</strong> sense that payments<br />

made <strong>to</strong> ENs could be <strong>of</strong>fset by savings from selected beneficiaries exiting from <strong>the</strong><br />

disability rolls. But <strong>the</strong> practices could also create an inequitable program in <strong>the</strong> sense that<br />

some beneficiaries who want <strong>to</strong> work may be unable <strong>to</strong> obtain TTW-financed services that<br />

would enable <strong>the</strong>m <strong>to</strong> succeed.<br />

To address <strong>the</strong> equity issue, Congress mandated an Adequacy <strong>of</strong> Incentives (AOI) study<br />

<strong>to</strong> evaluate how <strong>the</strong> TTW program can be used <strong>to</strong> increase employment among beneficiaries<br />

with significant support needs. The <strong>Ticket</strong> Act specifies four groups <strong>of</strong> beneficiaries that<br />

could find it difficult <strong>to</strong> obtain services in <strong>the</strong> performance-based TTW environment:<br />

1. Individuals with a need for ongoing support and services<br />

2. Individuals with a need for high-cost accommodations<br />

3. Individuals who earn a subminimum wage<br />

4. Individuals who work and receive partial cash benefits<br />

The statute requires SSA <strong>to</strong> identify and implement a payment system that would allow<br />

<strong>the</strong> four groups <strong>of</strong> beneficiaries <strong>to</strong> participate in <strong>the</strong> TTW program. The Commissioner is<br />

mandated <strong>to</strong> report <strong>to</strong> Congress on recommendations for a method or methods <strong>of</strong> adjusting<br />

payment rates <strong>to</strong> ENs <strong>to</strong> ensure equitable participation among <strong>the</strong> above groups.

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