For the first time in a decade, the number of Hawai'i families receiving state- or federally funded cash benefits is up from the year before as the economic crisis hits the state's poorest in what advocates say illustrates the scope of need in the community.

Advocates also worry more increases are still to come.

This year, the average welfare caseload in the Islands increased by about 4 percent compared with 2008 — or by about 300 families.

"This is the safety net," said Debbie Shimizu, executive director of the National Association of Social Workers-Hawai'i, adding, "This group is probably going to get bigger."

Advocates say the increase, though not as large as those seen in other government programs for low-income residents, is significant because welfare is reserved for the state's poorest and because Hawai'i hasn't seen an increase in welfare in years, even following the 2001 terrorist attacks, which hit the tourism industry hard and spurred thousands of layoffs.

The last time welfare usage increased was in 1999, when the number of people on the program went up by 129 families compared with the year before.

The state Department of Human Services says the number of people on welfare could continue to increase in the new year, though DHS believes those increases will be small. DHS also said that for now, the state-funded portion of welfare is solvent, so no decreases in the amount welfare recipients get are planned.

The increase in welfare cases in the Islands follows a nationwide trend — with some states seeing spikes of 10 percent or more in their welfare rolls. It also comes as many more Hawai'i residents are turning to charities and to other government programs for help as they lose their jobs or see their wages cut and use up savings or unemployment benefits.

The state has seen big jumps in food stamp usage, Medicaid and child care subsidies, DHS said. The number of households using food stamps statewide increased by 18 percent in the 12 months that ended in October, while the child care subsidy caseload increased about 21 percent this year and the number of Medicaid recipients went up by 15 percent.

Welfare benefits, formally called Temporary Assistance for Needy Families (which is federally funded) and Temporary Assistance for Other Needy Families (which is covered by state dollars), are for very low-income families with children under 19. The program has a five-year time limit for benefits and has strict work requirements for household heads.

Those who are unemployed and on welfare must be actively searching for a job.

INCREASE NOTED

People who qualify for food stamps and other government programs for low-income families don't always qualify for welfare, which is why advocates also say the increase in welfare usage is noteworthy. The program is reserved for families with assets of less than $5,000.

Welfare payments are calculated in Hawai'i at 50 percent of the 2006 federal poverty level. Under the program, a single parent with two children gets $795 a month, DHS said.

Advocates say the increase in the number of people on welfare is not surprising, but is distressing and shows just how much Hawai'i families are hurting. Welfare rolls statewide and across the nation have been on a downward trend since 1996, when Congress passed new rules for the program, including restricting how long families can get the benefits.

Though welfare usage is up this year from 2008, the number of families getting benefits is still way down compared with 1998, when there were nearly three times as many households enrolled in the program than there are today.

'SIGN OF THE TIMES'

Alex Santiago, executive director of PHOCUSED, a consortium of nonprofits, said the increase in welfare benefits this year is a "sign of the times" and evidence many are being forced to make tough choices to make ends meet. He added that "needs are growing incredibly."

He also said it's important to note most of those who receive welfare are children in single-parent households. In June, children made up about 73 percent of all Temporary Assistance for Needy Families recipients in the Islands, according to federal statistics. Those children came from about 5,900 families.

A breakdown on Temporary Assistance for Other Needy Families recipients was not immediately available.

The welfare increases come at a time when charities are also seeing big increases in need — as they're also cutting programs because of declines in government funding and community donations.

Haaheo Mansfield, vice president of programs for Parents and Children Together, said the increase in welfare usage — along with steady increases in clients at charities and in other programs — are "like the handwriting on the wall."

"There's more (increases) to come," she said.

Other advocates, too, aren't optimistic about 2010.

They say even if the economy improves, it will take a while for companies to start rehiring workers and for families to stabilize. They're banking on better times in 2011.

"We are bracing for another tough year," said Jerry Rauckhorst, president and CEO of Catholic Charities Hawai'i.

He added that many people who never needed help before are seeking assistance in today's economy, including construction workers who not too long ago were getting good wages. For many in need, "it's a first-time experience" to be asking for help, Rauckhorst said.

Susan Doyle, executive director of Aloha United Way, said her agency is seeing many more calls to 211 from people asking about how to enroll in welfare or other programs.

She added that for many families living paycheck to paycheck, it didn't take a lot to push them over the edge, especially given Hawai'i's high cost of living. "Families can quickly fall into a range where they need help to get by," Doyle said.