That statement is misleading. She's making the assumption they wouldn't be on welfare anymore and hence the "savings".
Here's a link to the application, NOWHERE on there does it mention welfare benefits will be cut. It does however say what it will pay for and that is essentially everything to own and operate the car except for gas (hell, it may even have free gas). Things paid for - insurance, taxes, title, registration, inspection ALL REPAIRS and a AAA membership! It truly is a totally free car and all expenses.
http://www.bostonherald.com/projects/welfare_cars.bg