Ind. panel to hear bill on welfare privatization

AP News
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Posted: Dec 14, 2009 10:28 AM

An Indiana legislative panel plans to consider a bill that would ban privatization of some social services programs.

The state fired IBM Corp. in October as the lead contractor on a $1.34 billion project to automate applications for food stamps, Medicaid and other welfare benefits handled by the Family and Social Services Administration.

But some of eligibility services are still being handled by private vendors.

On Monday, the Indiana House Ways and Means Committee is expected to hear and vote on proposals that would require that only state employees conduct those services.

Ways and Means also plans to vote on a bill aimed at amending caps on property tax bills into the state constitution.