Questions and Answers about CalWORKs education (STEP)

The California Department of Social Services has issued Questions and Answers about the CalWORKs Student Training and Education (STEP) Program.  STEP provides advance standard payments for necessary books and supplies for postsecondary education.

CalWORKs recipients in private not-for-profit educational institutions are eligible for STEP.  Students in adult education and adult schools administered by a community college and/or funded by the Adult Education Block Grant are eligible for STEP because they are publicly funded postsecondary institutions.  STEP-eligible educational institutions include institutions located outside of California.

Massive open online courses qualify for STEP if the student is considered enrolled at a qualifying institution as part of the course.

For students in open enrollment classes that are varied hours, the hours of participation first by determining if the school considers the student to be enrolled full-time or part-time.  If there is no way to confirm full-time or part-time enrollment, the estimated weekly participation hours are used to determine whether the student is attending full-time or part-time.  The estimated weekly participation hours are entered on the WTW plan.  If the county does not get a signed WTW plan at least 10 days prior to the start of the course, the county will issue the part-time advance standard payment unless and until it receives the signed WTW plan.

Education activities are effective when the county receives proof of enrollment in a STEP-eligible institution. New STEP participants can voluntarily participate in Welfare-to-Work until the academic term begins.

A student is considered enrolled when they provide proof of enrollment in the qualifying education institution.  STEP participants must not be required to participate in additional Welfare-to-Work activities during school breaks immediately following the most recent term of enrollment.  Part-time STEP participants who were assigned non-STEP activities to fulfill their hourly participation requirement must continue in the non-STEP activities during school breaks.

When hourly participation requirements change during an academic term, the county must engage the individual and adjust their Welfare-to-Work plan accordingly.

For students who are transferring, the school break falls between adjacent academic terms.

A sanction is considered cured when the county receives proof of enrollment in a STEP-eligible institution.

The county defers to the education institution in determining whether a summer session is considered condensed, and whether the participant is enrolled full-time or part-time.

STEP participants are entitled to the full advance standard payment even if they will reach their 60-month time on aid limit during the term because eligibility for the payment is determined at the beginning of the term.

Counties can require verification of attendance for processing transportation requests if that is consistent with the county’s written policy for transportation reimbursement.

There are no special child care rules for STEP participants.  They remain eligible for child care during school breaks.

Students can be required to complete an updated orientation and/or appraisal if they have had a one-year break in either receipt of aid or supportive services.  For intercounty transfers, the county can only require orientation and/or appraisal if more than one year has passed since receipt of aid or supportive services.

School attendance can be verified by a CalWORKs coordinator at the institution, or by county staff.  Attendance verification cannot be used to justify initiating noncompliance or sanction.  (ACL 25-76, October 20, 2025.)

 

CalFresh and CalWORKs impacts because of federal government shutdown

The California Department of Social Services has issued guidance regarding impacts on the CalFresh and CalWORKs programs because of the federal government shutdown that started on October 1.

Because of the federal government shutdown, CalFresh benefits for November, 2025 will not be issued until further notice. Households who apply for CalFresh benefits in October, 2025, and are found to be newly eligible for October, 2025 will receive their October, 2025 benefits.

Counties must continue to process new CalFresh application, including expedited service and recertifications.  For applications received beginning November 1, 2025, counties must authorize benefits, but those benefits will be held until further notice.

Federally funded replacement benefits for household misfortune for November, 2025 and beyond will be held until further notice.

State funded replacement benefits for electronic theft will be processed as normal.

CFAP benefits for November, 2025 will be delayed because, although CFAP is state funded, the accounting mechanism is interconnected with CalFresh.

Supplemental Nutrition Benefits and Transitional Nutrition Benefits will be processed as normal.

CalFresh Water Pilot issuance will be processed as normal.

Funding should be available for CalWORKs benefits to be issued for November, 2025.  (ACL 25-75, October 20, 2025.)

FY 2025-26 Disaster CalFresh amounts

Disaster CalFresh allows people to get CalFresh who would not normally be eligible in the event of a declared disaster.  Effective October 1, 2025, the Disaster CalFresh gross income limit for a household of one is $2,258, and the maximum monthly allotment for a one-person household is $298. For a two-person household, the Disaster CalFresh gross income limit is $2,716, and the maximum monthly allotment is $546.  For a three-person household, the Disaster CalFresh gross income limit is $3,174, and the maximum monthly allotment is $785. For a four-person household the Disaster CalFresh gross income limit is $3,647, and the maximum monthly allotment is $994.

For a five-person household, the Disaster CalFresh gross income limit is $4,143, and the maximum monthly allotment is $1,183.  For a six-person household, the Disaster CalFresh gross income limit is $4,639, and the maximum monthly allotment is $1,421. For a seven-person household the Disaster CalFresh gross income limit is $5.098, and the maximum monthly allotment is $1,571.  For an eight-person household the Disaster CalFresh gross income limit is $5,556, and the maximum monthly allotment is $1,789.  For each additional household member, add $459 to the disaster gross income limit and $218 to the maximum allotment. (ACIN I-48-25, September 17, 2025.)

Changes to CalFresh Standard Utility Allowance and SUAS payment

Recent changes in federal law have brought important updates to how CalFresh determines eligibility for the State Utility Assistance Subsidy (SUAS) and the Standard Utility Allowance (SUA). These changes, part of HR 1 signed on July 4, 2025, directly affect which households may qualify for energy-related deductions and payments.

Basic internet costs can no longer be counted as part of a household’s utility expenses. Including internet costs as utility costs had not yet been implemented in California.

The rules for the annual SUAS payment of $20.01 (also known as Heat and Eat) have also changed. This payment is deposited once per year into the EBT cash account and allows the household to qualify for the Standard Utility Allowance deduction, even if there are not separate utility bills. Under the new rules, only households with at least one elderly (age 60 or older) or disabled member are eligible to receive the SUAS payment. Households without an elderly or disabled member will no longer receive this payment going forward.

In addition, not all households with elderly or disabled members will automatically qualify. To be eligible for SUAS, the household must meet specific conditions: the household cannot already be receiving the maximum CalFresh benefit for the household’s size, the household cannot already be receiving a higher benefit through the Homeless Shelter Deduction, and there must not be separate utility bills that are already counted toward the household’s CalFresh benefits. If the household does meet the new criteria, the SUAS payment will continue. If the household no longer qualifies, the household may still be eligible for other deductions such as the SUA, Limited Utility Allowance (LUA), or Telephone Utility Allowance (TUA) based on the actual expenses.

Another change is how weatherization payments are treated. If the household includes an elderly or disabled member and receives energy efficiency improvements through a weatherization program, this ensures eligibilty for the SUA. Even when a landlord receives the weatherization payment for a multi-unit building, the payment may still qualify the household, as long as the share of the payment for the unit is greater than $20 and it was received within the past year. SUAS payment will only go to households that are not otherwise eligible for the Standard Utility Allowance (SUA) through its own utility expenses, are not already receiving the maximum CalFresh allotment for its size, and contain an elderly (60 or older) or disabled member. Households meeting these criteria may still receive the Homeless Shelter Deduction instead of the SUAS if it gives them a higher benefit, but they cannot receive both.

Once the State finishes its system updates, energy assistance paid under state law will be treated differently depending on whether a household includes an elderly (age 60+) or disabled member. If a household does not include an elderly or disabled member, a state energy assistance payment will be treated as money payable directly to the household, which means it counts as income for CalFresh budgeting in the month it is received. If a household does include an elderly or disabled member, the SUAS payment will be treated as an out-of-pocket utility expense rather than income, so it will not be counted as income when determining CalFresh benefits. Only households with an elderly or disabled member can receive the SUAS payment under the new eligibility rules. When an elderly or disabled household receives SUAS, it does not count as income.

The new SUAS rules start once the state’s computer system changes are in place. From that date forward, counties must apply the new guidance to all new applications at initial certification. For households that are already on CalFresh, the new guidance will not applied mid-period. Instead, the case will be reviewed and the changes applied at the household’s next recertification. Until then, counties should not remove a household’s existing SUA just because the household no longer has an elderly or disabled member. The only mid-period utility change counties should make is if the household begins incurring heating or cooling costs. A verbal statement is sufficient to verify utilities unless it is questionable. Counties must not send a mid-period CW 2200 verification request only to verify utilities for this purpose.

Households will be evaluated for these changes at their next recertification. Ongoing households will not lose their SUAS or SUA benefits in the middle of a certification period, even if their situation changes. For example, if an elderly or disabled member leaves the household, the SUA deduction will remain in place until recertification. When recertifying, it may be asked about utility costs, but a verbal statement is generally enough to confirm expenses unless there is reason to question the information.  (ACL 25-68, September 18, 2025.)

Increase in CalWORKs resource limit

Effective January 1, 2026, the CalWORKs resource limit for applicants and recipients will increase to $12,552, and to $18,829 for an assistance unit with at least one member who is over 60 or disabled.  This increase also applies to Refugee Cash Assistance, Entrant Cash Assistance, and Trafficking and Crime Victims Assistance Program.

For purposes of the CalWORKs resource limit, is when any family member receives disability based income, or is exempt from participating in Welfare-to-Work.

CalWORKs applicants or recipients must report real and personal property.  Counties must request documentation of these resources to show that the family meets the maximum resource limit.  Money held in a checking, savings, or digital account such as CashApp or PayPal are considered property and count toward the resource limit.

Rules about CalWORKs restricted accounts are unchanged.  (ACL 25-65, September 22, 2025.)

Changes to ABAWD forms

The California Department of Social Services (CDSS) has provided information about major changes to the CalFresh Able-Bodied Adults Without Dependents (ABAWD). The ABAWD rule limits anyone age 18 to 54 with no children and/or no disabilities to receiving CalFresh for three months every three years unless they are participating in work activities or are exempt.

  • The ABAWD exemption for residing in a household with a member under the age of 18 has changed to an exemption that only applies to parents of or responsible for a child under the age of 14 who is part of the household.
  • Exemptions from the ABAWD rule for individuals experiencing homelessness, veterans, and former foster youth have been removed.
  • A new exception has been added for indigenous people members or descendants of federally recognized tribes and/ or persons of Indian descent in urban centers designated by the U.S. Department of Health and Human Services and/or an Indian eligible for services provided by the Indian Health Service in California.

CDSS has amended several forms to reflect these changes.  (ACL 25-64, September 18, 2025.)