HungerNetOhio #7.4: Married (and poor) with children

“It's complicated”-even more in congress these days than Hollywood relationships: Wall Street trading practices and financial regulation, immigration and energy reform, health care implementation (or, as in some states, not), etc. Just the first five minutes of nightly news is enough to spin our heads about the meaning and relative importance of a deluge of pressing issues.

But for person teetering on the precipice of poverty, several other bills now before legislators press for attention with even more complex urgently. Child nutrition and low income family tax credits are at crucial crossroads, each calling for immediate evidence of support back home from again other than cinematic versions of “ordinary people” like you and me.

And they demand a quick response-by the end of this week: 

Child Nutrition

This Bill will strengthen programs such as school lunches, school breakfasts, summer feeding programs, and the Women, Infants and Children (WIC) program. These are critical in protecting children from hunger and in improving their nutrition. Under current funding, far too many eligible children are not being served.

Low-income Family Tax Credits

Retaining these refundable tax credits now in place will help low-income working families withstand the loss of income from the recession, prevent millions from slipping into poverty, and sustain economic growth, now and for years to come.

Advocacy is needed now to help persuade Ohio House members (*) to support these programs.

SHORT CUT:
For those who insist, "JUST TELL ME WHAT TO DO!"

LONG SUIT:
For those who plead, "GIVE ME MORE DETAILS"

Child Nutrition Bill

Today, nearly one in four children in the United States is at risk of hunger, while one in three is obese and overweight. We need adequate funding from Congress to reduce these trends.

So far, the Senate Agriculture Committee passed their version of the Child Nutrition Bill at $450 million annually.  The House Education and Labor Committee which is drafting its version of the Child Nutrition Bill needs to be convinced to find the full $1 billion requested by the President.

The Child Nutrition Bill will strengthen programs such as school lunches, school breakfasts, summer feeding programs, and the Women, Infants and Children (WIC) program. These are critical in protecting children from hunger and in improving their nutrition. Under current funding, far too many eligible children are not being served. Of the 19.4 million low-income children receiving lunch assistance each school day, only 46 percent receive breakfast assistance and just 11 percent have access to summer food programs.

Representatives James P. McGovern (D-3/MA) and Jo Ann Emerson (R-8/MO) are circulating a letter to their colleagues to show Speaker Nancy Pelosi and House Education and Labor Committee Chairman George Miller (D-7/CA) that a majority of the House supports a strong child nutrition reauthorization. As of last week, 116 signatures were gathered but at least 218 are needed.

Tell your representative: Please sign onto the Dear Colleague letter being circulated by Reps. McGovern and Emerson in support of an additional $1 billion per year for child nutrition reauthorization.

You can explain your message by adding any or all of these points:

*  The House Education and Labor Committee will write a child nutrition bill soon. I want you to make sure that at least $1 billion in new funding is provided to  strengthen child nutrition programs.

*  With nearly a quarter of America's children struggling against hunger and one-third obese or overweight, the time for strong action is now. At least $1 billion per year in new investments in child nutrition programs is needed to reverse these staggering rates.

*  Child nutrition programs could do far more to reduce hunger and improve nutrition simply by reaching more eligible children. For every 100 children receiving lunch assistance each school day, less than half receive breakfast assistance and only 11 percent access summer food programs.

We only have until noon on Friday, April 30, to get 100 more signatures.


Low-Income Family Tax Credits

Poverty and hardship are rising across the nation.  Tax credits can help families buy what they need, protecting children and boosting the economy too. Earned Income Tax Credit, The Child Tax Credit, and American Opportunity Tax Credit (for low-income college students) can make a real difference in providing income to millions of families.  But if Congress does not act, these tax credits will expire. 

Why it matters:  A family with two children with a parent working full-time at the minimum wage now receives about $1,750 from the Child Tax Credit (CTC).  If the current tax credit law expires, this low-income family will lose $1,500 - and receive only $250.  If the law expires, families with 3 or more children will lose up to $629 in their Earned Income Tax Credit.  And, if the law expires, low-income students will lose up to $1,000 to help with their college expenses.

At a time when unemployment is high, and near depression levels among people with little education, in communities of color, and in some urban and rural areas, this is no time to drastically reduce the help low-income tax credits provide. In the fight against poverty, a solid and equitable tax code can help those with low-paying jobs who may no longer keep them from putting food on the table or a roof over their heads.

Earned Income Tax Credit (EITC)

Recent changes to the EITC and CTC have expanded these benefits. Remember, essentially what the EITC and CTC do is provide tax refunds to low-income workers. The American Recovery and Reinvestment Act (ARRA) expanded these benefits. Before 2009, if two low-income workers married, they lost all or part of their EITC because their combined incomes took them above the phase-out level* for the credit, even though their respective incomes did not change. ARRA addressed this "marriage penalty" by increasing the phase-out level for married workers to allow them to earn a little more without losing their credit. ARRA also increased the EITC for larger families. Previously, families with three or more children received the same credit as those with two children. As a result of these changes, the EITC lifted 6.6 million people out of poverty in 2009, half of them children.

Child Tax Credit (CTC)

As for the Child Tax Credit, ARRA significantly expanded eligibility and benefits for low-income children and their families. In 2007, a family had to earn at least $12,050 to even claim the CTC, thus excluding the lowest-income families. In 2008, that threshold was reduced to $8,500 for one year. The ARRA law then reduced it to $3,000 for 2009 and 2010. Because of these changes, 6 million low-income children became eligible for the CTC. In addition, 20 million families got a bigger refund from their credit. For example, under current law, a family with two children working full-time at the minimum wage receives a CTC of about $1,750. If the ARRA changes expire, the same family will receive only $250 - a loss of $1,500.

The ARRA provisions for both the EITC and CTC are set to expire at the end of this year. With this loss, 600,000 children risk falling back into poverty and another 4 million Americans risk falling deeper into poverty. If this weren't bad enough, the economic spark they would have provided otherwise would fade along with their finances, hurting all Americans along the way. No one, of any income bracket, should stand by and watch our economy and thousands of families suffer when there is a practical solution available - simply make the ARRA changes permanent.

American Opportunity Tax Credit

Help Low-Income Students Afford to Go to College through the American Opportunity Tax Credit: The 2009 changes to this credit (formerly known as the Hope tax credit) could benefit 3.8 million low-income prospective college students by providing up to $1,000 in a refundable credit to help pay for college costs. In this time of high unemployment (with one in four 16-19 year-olds unemployed), it makes sense for youth and adults alike to upgrade their skills and prepare for jobs with career potential. The American Opportunity Tax Credit deserves support because it will make it possible for millions of low-income students who would otherwise be excluded to afford higher education.

We have an opportunity to help low-income working families withstand the loss of income from the recession, prevent millions from slipping into poverty, and sustain economic growth, now and for years to come. These vital goals can be achieved by continuing and building upon the refundable tax credits now in place to assist children and their working parents.

Urge the speedy renewal and improvement of the refundable Child Tax Credit, Earned Income Tax Credit, and American Opportunity Tax Credit.


PRIMARY REFERENCES AND LINKS

(*) As of this morning, only 6 of Ohio's 18 Representative have signed on.  Check the Bread for the World website for updates:
http://www.bread.org/learn/child-nutrition/child-nutrition-funding.html

(**) To identify your personal congressional representative, check www.house.gov by putting in your zip code in the box at the upper left hand corner.

2010 Child Nutrition Reauthorization http://www.schoolnutrition.org/content.aspx?id=2402

Feeding America Applauds Passage of Child Nutrition Reauthorization Legislation by Senate Agriculture Committee and Urges Full Senate Action. http://www.prnewswire.com/news-releases/feeding-america-applauds-passage-of-child-nutrition-reauthorization-legislation-by-senate-agriculture-committee-and-urges-full-senate-action-89058612.html

FRAC 101: Child Nutrition and WIC Reauthorization Act
www.frac.org/pdf/cnr_letter_jan22_2010.pdf

Bread for the World. http://bread.org/ (Check for current list of House members who have signed the Child Nutrition reauthorization letter)

Results: The Power to End Poverty. www.results.org
For more information:
National: Meredith Dodson dodson@results.org;
Ohio: Ginnie Vogt vmvogts@yahoo.com

Coalition on Human Needs. http://www.chn.org/

Earned income tax credit could pay off
http://www.bankrate.com/finance/money-guides/earned-income-tax-credit-could-pay-off-1.aspx

Earned Income Tax Credit Stimulus Increase in 2009 and 2010 with new Qualification and Income Limits http://www.savingtoinvest.com/2010/01/earned-income-tax-credit-stimulus.html

Push to expand child tax credits aims at youth crime
Read more: http://www.heraldonline.com/2010/04/08/2074350/push-to-expand-child-tax-credits.html#ixzz0mLK8QUPp

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Phone: 614-424-6203
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