NEW YORK (CN) - The Second Circuit dismissed a class action challenging New York City's reformed welfare system, which focuses onemployment as asolution to long-term poverty. Ten years ago, when the program shifted from food stamps to jobs, the state delegated administrative power to the city and agreed to oversee the revamp project.
Welfare seekers filed a lawsuit in 1998, claiming the city tried to deter them from receiving benefits, while the state failed to properly oversee the city's actions.
The district court issued a permanent injunction ordering the city and state to shape up their administration and oversight of the welfare system. But the circuit reversed the ruling against the state defendants, saying they "took affirmative steps to investigate and correct the city's misconduct." See ruling in Reynolds v. DeBuono.
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