Misplaced Priorities and the House Budget Committee's 2013 BudgetOn March 20, 2012, the House Budget Committee released its
2013 budget, which includes large tax breaks for high-income earners, and changes to the Medicare benefit guarantee. Budget Committee Chairman, Congressman Paul Ryan (R-WI), appears in a
video on the Budget Committee's website, stating that the House budget proposes a reduction in the top marginal tax rate to 25 percent. Such tax cuts
would reduce government revenue by $4 trillion over the next decade, and are paired with domestic discretionary spending cuts that are likely to endanger the economic security of low-income communities across the country. The House budget proposes other tradeoffs that would increase economic insecurity, such as replacing the Medicare benefit guarantee with a subsidy to purchase care, and an increase in discretionary military spending in a time of record unemployment. The Obama Administration's 2013 budget increases tax equity while investing in jobs and education; a model likely to increase economic security and work supports for women of color, their families, and communities. Read the Network analysis of the Obama Administration's 2013 budget
here.
CAP Study Highlights the Economic Benefits of Food Security In March of 2012, the Center for American Program released a report entitled,
"The Economic Consequences of Cutting the Supplemental Nutrition Assistance Program," (SNAP) which provides an explanation of the stimulative impact that SNAP benefits provide to the U.S. economy. The report notes that in addition to protecting the food security of millions of families and children, the program steadies demand for groceries, producing direct and indirect employment for thousands of Americans. The report found that cuts to SNAP included in Congressman Paul Ryan's (R-WI) 2011 budget proposal would not only have increased food insecurity across the country, but would also have resulted in the loss of 174,200 jobs over ten years. SNAP benefits free up financial resources for low-income families, allowing these participants to support spending in other sectors of the economy. The report highlights that a reduction in the availability of SNAP would result in a reduction in demand for other goods in the economy. Thus, SNAP benefits not only provide nutritional support and added economic security to participants, but also provide an economic stimulus to the economy - a key factor for creating jobs.
Trouble in Texas: Voter ID Laws and Barriers to Reproductive Health Face Federal OppositionOn March 15, 2012, the Department of Health and Human Services announced that it would be
cutting off Medicaid funding for Texas' Women's Health Program, after the state adopted a law barring funding for clinics that provide abortion procedures. Federal law, relating to the administration of Medicaid funding, requires that patients choose their health care providers and doctors. The Texas law in question cuts off state funding to any health clinics that are affiliated with abortion providers - thus conflicting with the rules governing Medicaid. Cindy Mann, Director of the Centers for Medicaid and CHIP Services, has
stated that the funding will be cut off slowly to prevent recipients from suddenly losing coverage.
Earlier in the week, on March 12, the U.S. Department of Justice (DOJ)
blocked a piece of Texas law requiring voters to present a photo ID at polling places in order to cast a ballot. The U.S. DOJ stated that the law would disproportionately impact Latino voters, since Latino voters are less likely to have either a personal identification card or a driver's license. The U.S. DOJ has the power to block voting laws in 16 states, including Texas, that have a "history of discrimination." These 16 states must submit changes in voter laws to the US DOJ for approval, as required by the 1965 Voting Rights Acts.
The Nation Magazine's Week in Poverty Discusses Social Costs of PRWORAOn March 9, 2012,
the Nation Magazine's Greg Kaufman
focused on the negative impacts of the Personal Responsibility and Work Opportunity Reconciliation Act (PROWORA) of 1996, otherwise known at the Welfare Reform Act. In Kaufman's column, the Week in Poverty, it is noted that since welfare reform was enacted the number of families living on less than $2 per person per day has increased by 130 percent. Furthermore, Kaufman cites commentary - from the Center for Budget and Policy Priorities - noting that extreme poverty doubled during the same period, and tripled for female-headed households. The column also references
research from the National Poverty Center, at the University of Michigan, which tracked extreme poverty since 1996. The National Poverty Center report states that, while food stamps and housing subsidies have helped to ease the destructive impact of PRWORA, "it would be wrong to conclude that the U.S. safety net is strong, or even adequate, when one in five poor households with children is living without meaningful cash income." The Network has focused on the troubling outcomes of welfare reform in our
policy brief on TANF reauthorization.
Urban Institute Report Focuses on Barriers to Child Care EquityIn late February, the Urban Institute released the report,
"How Contextual Constraints Affect Low-Income Working Parents' Child Care Choices," focusing on the child care needs of low-income communities. The report found, through the collection and analysis of qualitative data, that many low-income working parents face significant barriers towards securing child care access. The report outlines several impediments towards access, including: a lack of awareness of child care and inadequate outreach to provide this information; a low supply of child care in low income communities; and a dearth of affordable child care programs for low-income communities. The report also found that the accessibility of information about child care availability is limited amongst immigrants, especially those with limited English proficiency. Access to quality and affordable child care provides both support for working parents, and critical services that meet the development needs of children. The Urban Institute report also emphasizes the importance of designing child care programs to be flexible, so that they are able to meet the needs of the often irregular and shifting hours that can accompany low-wage jobs.