Vermont welfare experiment

The Clinton administration has given the OK for an experimental program in Vermont that would cut benefits for people who don't find jobs or accept public service work after 2 1/2 years on welfare.

Sanctions would include restrictions on how they could spend their welfare checks and the loss of medical benefits for adults. As an inducement to work, the reform proposals also allow welfare recipients to earn more and accumulate more assets without losing benefits. The proposal has passed the Vermont Senate; it must still be approved by the House.