The state’s Benefits Cliff Task Force released recommendations Wednesday to help Kentucky better bridge the gap between when someone is no longer eligible for benefits and when their income is high enough to be able to afford to live independently.

The task force was formed during the 2022 Interim session, when legislators meet to discuss pressing state issues but don’t vote or introduce legislation.

The goal was to allow the task force to review and understand the impact of public assistance on the benefits cliff — or when public benefit programs end when household earnings increase, which causes issues for families because their income hasn’t yet increased enough to live self-sustainably.

Tasked with understanding the impact of the benefits cliff, the task force set out to understand its effect on labor force participation, employment, wages, and benefit duration and usage and to develop public policy recommendations to transition them from public benefits to employment.

When the group first met in July, task force member Rep. Josh Bray (R-Mount Vernon) said his goal was to understand and explore what’s holding some people back.

“I know this past weekend; I talked with a gentleman who wasn’t from my district,” Bray said. “He’s got a $2,000 pharmacy benefit. He’s had the opportunity to work more hours or to get a higher paying job, get married, that kind of thing — couldn’t do it because if his income goes up, he loses that benefit. So the government is effectively holding him back.”

The group released eight findings detailing why some Kentuckians say they are forced to stay on government benefits instead of working more hours or accepting raises. They also released recommendations that call on the legislature and the Cabinet for Health and Family Services to enact legislation to better help families transition from government benefits.

The legislature took steps in the 2022 session to cut unemployment benefits — something the Republican Legislative super majority said affected the state’s workforce participation rate, even though the state’s unemployment rate sits at 3.8%.

House Bill 4 passed the General Assembly in 2022 and will cut unemployment benefits in January from 26 weeks to between 12 and 29 based on a claimant’s personal situation. The claimant would also have to seek job training, which could add to their benefit period.

“House Bill 4 significantly strengthens Kentucky’s work search standards, which will help guide unemployed workers to find reemployment more quickly by equipping them with appropriate standards and practices for finding a new job,” said Sen. Will Schroder (R-Wilder) earlier this year.

The Kentucky Center for Economic Policy said in a report that with the economy set to move toward recession in 2023, policy that affects laid-off Kentuckians could significantly impact workers.

“Unemployment benefits help workers and their families in a time of crisis and also help blunt the broader harms of an economic downturn,” the report says. “By providing some degree of income replacement, households can continue to meet basic needs, purchasing goods and services in their local economies. This keeps money flowing through communities, protecting businesses and slowing layoffs.”