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2006 Legislative Updates

December 2006

Survey Examines Public's Health Care Priorities for the New Congress

A new national survey conducted by the Kaiser Family Foundation and the Harvard School of Public Health finds widespread support across the political spectrum for a number of health initiatives likely to be taken up by the new Congress, as well as a widely-held view that government should do more to address the high cost of health care.  When asked to pick their top health care priority, most people point either to expanding coverage for the uninsured (35%) or reducing health care costs (30%).  The public is most likely to prioritize coverage for children over other groups of the uninsured, an issue likely to arise with reauthorization of the State Children’s Health Insurance Program on the horizon.  For more information, click here.

Partial Funding Approved for Children's Health Program

On December 9, Congress provided $271 million to states most imminently facing funding shortfalls in the State Children's Health Insurance Program (SCHIP).  An SCHIP shortfall of $800 million to $950 million has been predicted in 17-18 states next year, so Congress will need to move quickly in 2007 to provide additional new funding to address the remaining shortfall.  This may occur through the reauthorization of SCHIP, scheduled to be addressed by the new Congress.  For more information, click here.  (Source: Child Welfare League of America)

Report Presents Framework for SCHIP Reauthorization

A report from the Georgetown University Center for Children and Families identifies key issues in the reauthorization of the State Children's Health Insurance Program (SCHIP).  The report urges Congress to provide enough funding to cover more children, eliminate barriers to child health coverage, and address quality and accountability issues.  For more information, click here.

Toolkit Helps Elected Officials and Community Organizers Increase Food Stamp Participation

The Annie E. Casey Foundation and the House and Senate Hunger Caucuses presented a briefing on increasing participation in food stamp programs, calling on advocates to work to dispel myths about food stamp eligibility.  Currently, 50 percent of all eligible people do not receive benefits, even with the decreased stigma of using them through conversion of stamps to a credit card-type payment, allowing food stamp use in farmer’s markets, and data that demonstrates that food stamp use in lower income neighborhoods increases overall economic activity.  Presenters also highlighted information on how community organizations and states can qualify for matching funds for outreach to increase enrollment.  For more information and to download the toolkit, click here.

Wide Variation in States' Food Stamp Participation Rates

A handful of states have made big strides in getting federally funded food stamps to more poor families, while others have lagged behind, according to Stateline.org.  In the last 10 years, the federal government has encouraged states to expand their programs, but for a variety of political and historical reasons, some states make it more difficult than others for people to qualify for the program.  For more information, click here.

November 2006

Minimum Wage Increases Approved in Six States

On November 7, voters in six states approved minimum wage increases.  Twenty-nine states now have minimum wages higher than the federal rate of $5.15 per hour and three more states are preparing to raise their wages.  For more information, click here.  (Source: Stateline.org)

"Work-First" Laws Erode College Access for the Poor

Recent policy reforms effectively steer former welfare recipients away from an education and directly into low-paying jobs with little opportunity for growth, according to a new book published by the Russell Sage Foundation.  Putting Poor People to Work analyzes how two policies encouraging work—the federal welfare reform law of 1996 and the Workforce Investment Act of 1998—have made moving people off of public assistance as soon as possible, with little regard to their long-term career prospects, a government priority.   The authors argue for a shift in national priorities that would encourage the poor to embrace both work and education, rather than having to choose between the two.  For more information, click here.   A recent brief from the Family Strengthening Policy Center presents a “work-plus” strategy of employment-focused services and work supports that help low-wage parents secure and keep good jobs and gain economic independence.  For more information, click here.

Income Transfers: Factors for Policy Makers to Consider

Both welfare reform and the Earned Income Tax Credit (EITC) aimed to reward low-income working families.  A new Urban Institute report, Should We Subsidize Work? Welfare Reform, the Earned Income Tax Credit and Optimal Transfers, examines how these policies increased labor force participation and affected low-income families, including their children.  It also identifies factors to consider in the policy making process for income transfer programs that subsidize employment earning.  For more information, click here.

Health Coverage for Low-Income Americans: An Evidence-Based Approach to Public Policy

This report from the Kaiser Commission on Medicaid and the Uninsured reviews the evidence from a large body of relevant research and public program experience to address a set of core issues related to structuring coverage for low-income Americans. The aim of the report is to provide a foundation, grounded in evidence, for developing public policy and devising sound approaches to covering the low-income population.  For more information, click here.

October 2006

Congress Passes Federal Youth Coordination Act

Congress passed the Federal Youth Coordination Act, renamed the Tom Osborne Federal Youth Coordination Act after its congressional champion, in the early hours of September 30, 2006.  It now moves to the president for his signature. The Act establishes a Federal Youth Development Council that will enable the federal government to implement multifaceted approaches to reaching youth by leveraging and coordinating the existing resources of different federal agencies.  For more information, click here.

Older Americans Act Reauthorized

In a flurry of activity before recessing for midterm elections, the House and Senate both approved the reauthorization of the Older Americans Act (OAA) by voice vote.  The legislation provides a variety of services to seniors, including Meals on Wheels, health screenings, counseling and support for people who care for elderly relatives, and a community service jobs program run by the Department of Labor.  New to the Older Americans Act is a provision that authorizes demonstration grants to nonprofit organizations to carry out multigenerational and civic engagement activities such as those that connect older and younger people in child care, youth day care, afterschool programs, and library and education assistance programs.  For more information, click here.

Congress Protects Military Families From Predatory Lenders

A joint House-Senate conference committee on September 29 approved a bill that caps payday loans to military personnel at 36 percent.  Senators Jim Talent (R-MO) and Bill Nelson (D-FL) introduced this amendment to the Defense Authorization bill, which passed Congress on September 30, 2006.   A recent Department of Defense report found that payday loans were hurting military preparedness and endorsed a cap of 36 percent, the same cap many states impose in their usury laws in order to ban loan-sharking.  For more information, click here.  (Source: Center for Responsible Lending)

Michigan Enacts State Earned Income Tax Credit
Michigan Gov. Jennifer Granholm on September 22 signed legislation that creates a state Earned Income Tax Credit.  The refundable credit will be set at 10 percent in 2008 and will increase to 20 percent in 2009.  Michigan becomes the 21st state, including the District of Columbia, to enact a state EITC.  For more information, click here.  (Source: State EITC Online Resource Center)

August 2006

House Passes Legislation to Increase Access to FHA for Potential Homebuyers
The House of Representatives on July 25 passed "The Expanding American Homeownership Act" (H.R. 5121), which will enable the Federal Housing Administration (FHA) to reach more prospective borrowers and allow millions more low- and moderate-income families to achieve the homeownership.  Many of these borrowers currently have little choice but to pay subprime rates because FHA lacks the ability to offer an affordable financing option.  The Act eliminates the current statutory three percent minimum down payment and increases and simplifies FHA’s loan limits.  Senator Jim Talent (R-MO) is sponsoring companion legislation in the Senate, S.3535.  For more information, click here.

Healthy New Foods Added to Low-Income Nutrition Program

The U.S. Department of Agriculture (USDA) on August 4, 2006, issued proposed regulations to add fruits, vegetables and whole grains to the food packages in its Special Supplemental Nutrition Program for Women, Infants, and Children (WIC).  WIC is a federally funded preventive nutrition program that provides nutritious foods, nutrition education, and access to health care to low-income pregnant women, new mothers, and infants and children at nutritional risk.  The monthly WIC food package is a prescribed combination of targeted foods for the purpose of improving the nutritional quality of participants' diets.  For more information, click here.  (Source: Food Research and Action Center)

Congressional Testimony on Jobs-Plus Program for Public Housing Residents

MRDC recently testified before the House Subcommittee on Federalism and the Census about its study of Jobs-Plus, an employment program for public housing residents.  The study offered the first hard evidence that a work-focused intervention based in public housing can effectively promote residents’ self-sufficiency.  The program substantially boosted earnings for people in the high-poverty housing developments where it was properly implemented.  In the face of a continuing need to do more to increase work and earnings in the nation’s poorest communities, MRDC urged Congress to consider introducing Jobs-Plus in additional housing developments across the country.   For more information, click here.

Analysis of New Interim Final TANF Rules

The Center for Law and Social Policy and the Center for Budget and Policy Priorities provide an overview of the major regulatory provisions and the implications for state policies of rules issued by the U.S. Department of Health and Human Services on June 29, 2006. The interim final regulations implement the changes to the Temporary Assistance for Needy Families (TANF) program made by the Deficit Reduction Act of 2005.  The analysis explains the new federal definitions of the countable work activities and their implications for education and training and services for individuals with barriers to employment.  For more information, click here.

July 2006

Amendment Protects Military Families from Predatory Lending Abuses

Senators Jim Talent (R-MO) and Bill Nelson (D-FL) amended Senate Bill 2766, the Defense Authorization bill, to include protections for military families from predatory lending abuses.  The bill passed the full Senate in June.  One in five active-duty military personnel were payday borrowers last year and predatory lenders charged them annual interest rates of as much as 400 percent and higher.  Predatory payday lending costs these military families over $80 million in abusive lending fees every year.  The Talent-Nelson Amendment will limit annual interest rates to 36 percent for loans made to military families.  For more information, click here.  (Source: Center for Responsible Lending)

NCOA Calls for Renewed Effort to Enroll Those with Limited Means in Medicare Prescription Drug Coverage
In testimony before the House Ways and Means Committee on June 14, the National Council on Aging (NCOA) commended the successful Medicare Prescription Drug Coverage enrollment efforts to date and called for a targeted national strategy to reach out and enroll the more than 3 million beneficiaries in greatest need who are eligible for the low-income subsidy and comprise up to 75 percent of those who still do not have drug coverage.   For more information, click here.

Change in Medicaid Documentation Rule Helps Some Vulnerable People

On July 6, the U.S. Department of Health and Human Services issued a new interim rule that will exempt 8 million low-income elderly or disabled people from new citizenship documentation requirements for receiving Medicaid.  States can exempt beneficiaries who are eligible for both Medicare and Medicaid or are receiving Supplemental Security Income benefits because they are already subject to documentation requirements.  Advocates assert that the new requirements still are likely to force significant numbers of U.S. citizens who are fully eligible for Medicaid to go without health care.  The Center on Budget and Policy Priorities released a new analysis of the implications for low-income children in foster care.  For more information, click here

Congress Rejects Minimum Wage Increase; Survey Finds Overwhelming Public Support for Increase

Both the House and Senate in June rejected efforts to raise the minimum wage.  A recent survey from the Pew Research Center finds that over 80% of the American public favors raising the federal minimum wage from $5.15 to $7.15 per hour.  The federal minimum wage was last raised in 1997, but twenty states and the District of Columbia have passed legislation requiring employers to pay wages higher than the federal minimum.  The Coalition on Human Needs has a summary of the votes in Congress.  For more information, click here.  For the survey, click here

New Policy and Program Ideas to Build Financial Skills and Habits for Youth

The New America Foundation and the Congressional Savings and Ownership Caucus hosted a panel discussion on June 21 on current efforts and new ideas to increase financial literacy among youth. The discussion began with remarks by Rep. Cooper (D-TN) on the importance of financial literacy, followed by Rep. Biggert (R-IL), co-chair and co-founder of the Financial and Economic Literacy Caucus (FELC), and Rep. Shaw (R-FL) commenting on the low level of financial literacy among Americans and the potential of FELC.  A panel of nonprofit and corporate representatives agreed that credit lending institutions, legislators, and the education community need to be more involved to raise awareness and improve financial education programs.  For more information and resources from the briefing, including related legislation, click here.

June 2006

New Medicaid Requirement Threatens Coverage for Low-Income Beneficiaries

A new Medicaid requirement that takes effect on July 1 requires proof of U.S. citizenship from anyone applying for or renewing coverage, whether or not they are immigrants.  Without further clarification from the federal government, this provision basically requires all applicants to provide a passport or birth certificate along with a driver's license to demonstrate citizenship.   Many low-income U.S. citizens do not have passports or birth certificates readily available and may lose Medicaid coverage.  For more information, including federal and state advocacy actions, click here.   (Source: National Mental Health Association)

Implications of State Medicaid Cuts  

A policy brief from the Kaiser Commission on Medicaid and the Uninsured assesses the likely implications of Medicaid eligibility cuts that states have made or are considering.  According to the brief, less than ten percent of currently enrolled low-income adults would have access to an alternative source of insurance in the absence of public coverage, suggesting that cutting eligibility for public programs would leave most of those affected uninsured.  For more information, click here.  A recent Washington Post article outlined several states' changes to Medicaid.  For more information, click here.

Report on Improving Medicare Savings Programs for Low-Income Seniors

Federal action is needed to enroll more low-income elderly and disabled people in the Medicare Savings Programs (MSPs), according to a new report by an independent expert panel of the National Academy of Social Insurance.  Fewer than one in three eligible low-income persons is receiving benefits from the MSPs, which help pay Medicare's premiums and cost sharing for hospital and physician services.  The report identifies the major barriers to enrollment and offers several options for increasing participation.  For more information, click here.

Social Services Block Grant Annual Report Released

The Administration for Children and Families' Social Services Block Grant (SSBG) Program 2004 Annual Report shows that states supplemented the $1.7 billion block grant with over $2.5 billion from the TANF block grant.  The report highlights various state planning processes for the SSBG allotment as well as service expenditures and recipients. In particular, states used close to 30% of the block grant nationally for such child welfare services as foster care, child protection, case management, adoption and independent living services.   For a full copy of the report, including individual state reporting forms, click here.

Profile of Early Head Start Program in 2004

A policy brief from the Center for Law and Social Policy (CLASP) profiles the Early Head Start program—which serves low-income children under age 3, pregnant women, and their families with comprehensive early education and support services—using the latest data from the Program Information Reports that all Head Start grantees must submit to the U.S. Department of Health and Human Services.  Major changes in 2004 included more children with access to a continuous source of dental care and fewer families receiving TANF benefits.  For more information, click here.

May 2006

National Call-In Day for Kinship Caregiver Support Act

May 10 was a national call-in day to urge U.S. Senators to co-sponsor the Kinship Caregiver Support Act (S. 985), bipartisan legislation to help grandparents and other relatives raising children.  Nationwide, more than 6 million children are being raised in households headed by grandparents and other relatives; 2.5 million children are in these households without any parent support.  For more information, click here.  (Sources: Generations United & Child Welfare League of America)

Senate Rejects Bill to Preempt State Health Insurance Laws

On May 11, the U.S. Senate defeated the Health Insurance Marketplace Modernization Act (HIMMA, S.1955).  Proponents of the bill claimed that it would provide affordable health insurance for small employers.  Opponents, however, contended that the bill would preempt state health insurance laws that guarantee coverage for important health care benefits and that limit the ability of insurers to charge higher premiums.  For more information, click here.  (Sources: National Mental Health Association & National Partnership for Women & Families)

Fact Sheet on Massachusetts Law to Cover the Uninsured
On April 12, 2006, Massachusetts Governor Mitt Romney signed into law landmark legislation that would provide nearly universal health care coverage to state residents.  It combines an individual mandate on the purchase of health insurance with government subsidies to ensure affordability.  A new fact sheet by the Kaiser Commission on Medicaid and the Uninsured summarizes the plan and its implications.  For more information, click here.

Report Finds Medicare Drug Program Fails to Reach Low-Income Seniors

A new report from Families USA shows that only 1.7 million low-income seniors out of 7.2 million eligible for special subsidies have enrolled in the Medicare prescription drug program.  Another group of even poorer seniors who qualify for both Medicare and Medicaid are worse off under the new program, according to the report.  For more information, click here.

Federal Budget Information and Resources

The FY 2007 budget proposals in Congress affect funding for a variety of federal programs that serve the nation’s neediest citizens, including education, child care, health, job training, and housing programs.  For the latest information and resources, click here.

April 2006

Reports Examine Medicaid Changes in Deficit Reduction Act of 2005

The Deficit Reduction Act (DRA) of 2005, the omnibus budget bill that became law in February, includes significant changes to Medicaid for children, families, and the elderly.  A Center for Children and Families' issue brief reviews the Medicaid provisions that could shift more costs to low-income children and their families and make it more difficult for them to access needed care.  For more information, click here. The Kaiser Commission on Medicaid and the Uninsured released five new reports on long-term care issues that were addressed by the DRA changes.  For more information, click here.

Federal Family Literacy Program Faces Elimination

A recent Connect for Kids article looks at the Even Start program, a federally funded effort to improve literacy in very low income families.  The program funds 1,200 projects nationwide that focus on early childhood education, adult literacy, parenting education, and interactive literacy activities between parents and children.   The Bush Administration has proposed to eliminate all funding for the program and claims that it doesn't work, but advocates challenge this assessment.  For more information, click here.

New Version of Youth Policy Action Center

On April 18, more than 80 of the country's leading national, state, and local advocacy organizations joined together to launch the redesigned Youth Policy Action Center, a website that helps youth and adults contact their elected officials about child and youth issues. The new version of the site features state pages, policy tools, and an information portal so visitors can learn about the issues and the policy making process before taking action.  For more information, visit www.youthpolicyactioncenter.org.

Steps toward a Working Families' Agenda

About a quarter of American families with children work regularly but remain low-income, according to the Urban Institute.  State and federal stakeholders met in May 2005 to examine this group of working families that barely make ends meet despite playing by the rules.  The roundtable report provides salient points from the discussion and the thrust of a future agenda for working families.  For more information, click here,

States' Approaches to Pre-K Finance

A report from Pre-K Now examines the range of financial approaches states employ to fund pre-kindergarten programs, how sustainable those funding sources are, and how they can be increased to improve the quality of and expand access to pre-k.  The analysis is meant to encourage policymakers to think creatively about ways to supplement and sustain their current streams of revenue in funding pre-k programs in their own states.   For more information, click here.   The Center for Law and Social Policy (CLASP) prepared descriptions of state policies used to integrate pre-kindergarten into community-based child care settings.  For more information, click here.

March 2006

Overview of Health Programs in President's FY 2007 Budget Proposal
A new report from the Kaiser Family Foundation reviews the President’s FY 2007 budget request to Congress and highlights overall budget assumptions and funding for major health programs.  The budget includes net reductions for Medicare, Medicaid, and other health programs administered by the Department of Health and Human Services, as well as proposals to promote health savings accounts.  For more information, click here.

Second Chance Act Reported Out of House Subcommittee

On February 15, 2006, the House Judiciary Subcommittee on Crime, Terrorism, and Homeland Security forwarded the Second Chance Act (H.R. 1704) to the full House Judiciary Committee by a voice vote.  The Second Chance Act allocates $110 million for a variety of re-entry programs.   One of the main components of the bill is the funding of demonstration projects that would provide ex-offenders with a coordinated continuum of housing, education, health, employment, and mentoring services.  For more information, click here.

Researchers Urge Congress to Save Key Census Survey

More than 400 economists and social science researchers signed a letter to Congress on March 2 opposing the elimination of the Survey of Income and Program Participation (SIPP).  President Bush’s FY07 budget would eliminate the Census Bureau survey, which provides researchers with unique information on the extent to which programs like Medicaid, Social Security, Temporary Assistance for Needy Families (TANF) and unemployment insurance are successful in meeting families' basic needs and promoting upward mobility.  For more information, click here.   (Source: Center for Economic and Policy Research)

Congressional Scorecard on Children's Issues

The Children's Defense Fund Action Council recently released its 2005 Congressional Scorecard.  It provides charts showing how all Members of Congress voted on key legislation affecting the lives of children during the 2005 congressional session.  For more information, click here.

February 2006

FY06 Budget Resolution Passes

On February 1, the House of Representatives voted to approve the Fiscal Year 2006 Budget Reconciliation conference report (S. 1932). The bill passed by only two votes (216-214) and was signed by the President on February 8.  This bill makes deep cuts in Medicaid, student loans, child support enforcement, child care, foster care, and disability assistance in order to offset lost revenue from tax cuts.  The Coalition on Human Needs has prepared state fact sheets on the effect of the budget cuts.  For more information, click here.

New Medicaid Premiums Will Lead to Loss of Coverage

A Congressional Budget Office report estimates that about 45,000 Medicaid beneficiaries would lose coverage in 2010 because of premiums included in the FY2006 budget reconciliation bill, and 65,000 would lose coverage in 2015.  Children would account for 60% of those who would lose coverage.  For more information, click here.

Report on Budget Bill's TANF Changes
A report from the Center on Budget and Policy Priorities (CBPP) focuses on the provisions of the FY2006 budget reconciliation bill related to the Temporary Assistance for Needy Families (TANF) block grant.  The bill requires states to enroll 90 percent of the two-parent families that they assist in work programs for at least 35 hours each week of every month. States that do not meet the bill’s work participation requirements would be subject to financial penalties.  According to CBPP, both researchers and state officials have long recognized that such a requirement would be virtually impossible for even the best-run, highest-performing state programs to meet.   For more information, click here.

Analyses of President's FY07 Budget Proposal

The Bush administration on February 6 released its budget request for fiscal year 2007.   United Way of America prepared a budget overview and program-by-program numbers for selected major human needs programs.  For more information, click here.  Child Welfare League of America examines the impact on children's programs.  For more information, click here.  The National Priorities Project offers an analysis with state-level breakdowns.  For more information, click here.

Governors Try to Help Working Uninsured
Stateline.org recently reported that a dozen governors this year, both Democrats and Republicans, are trying to use state governments to deliver health insurance to people who have jobs but still can't afford health care.  For more information, click here.

January 2006

Briefing Emphasizes Need for Federal Youth Coordination Act to Pass U.S. Senate

The National Collaboration for Youth presented a briefing on improving the coordination of federal youth policy on January 11, 2006.  The event, co-sponsored by Senators Coleman (R-MN), Stabenow (D-MI) and DeWine (R-OH), featured four panelists discussing the tangled web of services facing disadvantaged youth and their families seeking assistance, and how the Federal Youth Coordination Act (H.R. 856/S. 409) will work to improve the system. The U.S. House of Representatives passed the Act by a vote of 353-62 on November 15, 2005.  The Act establishes a Federal Youth Development Council that will improve communication among federal agencies serving youth, assess youths' needs, set goals for helping them, and expand effective programs.  For more information, click here.

President Signs Violence Against Women Act with New Youth Programs 

President Bush signed the reauthorized Violence Against Women Act on January 5.  The Act was passed unanimously by the Senate in December and approved by a 415-4 vote in the House in September.  The Act includes a new grant program for schools to address dating and domestic violence and sexual assault and funding for intervention services for young people who witness and experience violence in their lives.  Language was also included to increase attention to the needs of girls in the juvenile justice system, who are overwhelmingly victims of violence.  For more information, click here.  (Source: Girls Incorporated)

House and Senate Pass Budget Cuts, but Measure Faces Final Vote in House

During the week of December 18, the House and Senate narrowly approved a budget reconciliation bill (S. 1932, H.Rept. 109-362) that will cut nearly $40 billion in spending, including $6.9 billion from Medicaid, $1.5 billion from child support enforcement, and $600 million from foster care programs.  The reconciliation bill does not include any of the food stamp cuts included in the earlier House version.  The Senate struck three provisions from the bill, which will result in a final House vote on February 1.  For more information, click here.  (Source: Child Welfare League of America)

Budget Bill's Impact on Family Support Programs

The Center for Law and Social Policy (CLASP) has compiled a list of resources that analyze the budget reconciliation bill's impact on TANF and child care; child support; child welfare; Medicaid; and student loans.  For more information, click here.

 


The Family Strengthening Policy Center was developed
with support from the Annie E. Casey Foundation.
   

 

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