Childhood, the most crucial developmental years of our lives. Our childhood experiences foreshadow who we are as adults. We are fortunate enough to have a roof over our head, food on our table, clean clothes to wear daily, and our life essentials are fulfilled by our hardworking parents. Little do we know about the bleak reality of child hunger and poverty in this “great” nation.

Here is a reality check: over 10 million children in the United States faced food insecurity in 2019. With the pandemic, that number went up to 12 million children in 2020. This number would’ve been significantly higher if it weren’t for the monthly Child Tax Credit payments that helped low-income families pay for necessities.

In a press briefing held by Ethnic Media Services on Jan 7th, 2021, experts discuss the impact and the importance of extending the expansions of the Child Tax Credit.

(L-r) Claire Zippel, Senior Research Analyst in the Income and Poverty Trends team at the Center for Budget and Policy Priorities; Michelle Dallafior, Senior Vice President for Budget and Tax at First Focus on Children; Loree D. Jones, Chief Executive Officer, Philabundance
(L-r) Claire Zippel, Senior Research Analyst in the Income and Poverty Trends team at the Center for Budget and Policy Priorities; Michelle Dallafior, Senior Vice President for Budget and Tax at First Focus on Children; Loree D. Jones, Chief Executive Officer, Philabundance

Speakers:

  • Claire Zippel, Senior Research Analyst in the Income and Poverty Trends team at the Center for Budget and Policy Priorities.
  • Michelle Dallafior, Senior Vice President for Budget, and Tax at First Focus on Children
  • Loree D. Jones, Chief Executive Officer, Philabundance 

The Legislative Side

The picture isn’t too rosy on the legislative side. According to Michelle Dallafior, support for children is something that can be waived during legislative negotiations. A prime example is the Build Back Better legislation. Everyone is concerned about the overarching number of $1.8 trillion in the next 10 years, however, no one is focusing on the social and infrastructural impact this bill hails. Dellafior cautions that negotiations can impact the Child Tax Credit payments that so many low-income families depended on for survival. As of right now, the situation behind the CTC payments is uncertain and there is a stronger focus on the Voting Rights Act.

All experts in the briefing agree that the programs are crucial for the continuation of support for low-income families. Dallafior illustrates the impact of the continued expansion of the Child Tax Credit under the Build Back Better bill. Over 60 million children and over 36 million households, nationwide, benefit or even rely on regular support. The CTC payments are being spent on necessities – food, shelter, clothing, utilities, etc. In fact, 91% of low-income families spent tax credit payments on basic needs. Under the current expansions proposed by the Build Back Better bill, child poverty is projected to be cut by 40-45%.

What do we deny children if we don’t pass the BBB bill? Nearly 4 million children who were out of poverty due to the expansions could potentially go back to poverty if the bill is not passed. Eligibility requirements would limit access to the CTC payments for families who need them. This would lead to increased financial insecurity and hunger. To add on, having the CTC expansion as standalone legislation might not pass, according to Dallafior.

The Child Tax Credit Impact

Claire Zippel gives a brief overview of the Child Tax Credit and the expansions brought forth by the American Rescue Plan. The Child Tax Credit has been a part of our system since 1997 and is given to families within a certain income bracket as a deduction/refund when caregivers file their taxes. Last year, the Biden administration expanded the credit with the American Rescue Plan. Instead of receiving the full payment when the taxes are filed, half of the payments were provided monthly to help caregivers provide for their children. To qualify for the full credit, couples have to make less than $150,000 and a single parent, less than $112,500. Families with higher income could qualify for a smaller credit. For lower income households, the payments were mostly used for necessities such as housing, food, utilities, etc.

Zippel points out that the impact of this expansion is innumerable. In a positive light, it is projected that child poverty can be reduced by over 40% if the temporary expansions are implemented permanently. This can be made possible if Build Back Better is approved. The flip side: 27 million children can lose access to the payments if the temporary expansions are not extended and/or permanently integrated. The expansions allowed for more children in lower-income households to benefit from the much-needed support.

More Long-Term Solution

Using Philadelphia as a model, Loree D. Jones shares her experiences with low-income families and innovative solutions enacted by the organization, Philabundance. Philadelphia, Pennsylvania, known as the ‘poorest big city’ of the nation, deals with significant child poverty and most low-income families struggle to bring food to the table. With rising food and housing costs – the tough decision between food and rent is becoming a more common occurrence. Jones shares that 84% of Feeding America households report buying the cheapest food rather than the healthiest food to eat.

The pandemic has further exacerbated food insecurity within working families. Often, we associate a certain characterization to the type of people who get food from food banks. According to Jones, the people waiting in lines were working families who lost their jobs or small business owners who lost income. The most sobering comment: it could be someone you know.

Jones shares some solutions and steps Philabundance took to help ease food insecurity. Traditionally, food banks delivered food through large institutions like soup kitchens and schools. However, during the pandemic food banks delivered food to people at their doorsteps and set up drive-throughs around the area. Meal kits were also provided to many. The overarching goal is to increase access to healthy meals for those in need, without the hassle.

Using urban farming as a social service is a new trend that has started in areas like Detroit. There is a renewed focus on living off our land. People grow their own crops and then donate the excess. Community gardens have a strong case as they allow for ethnically diverse foods to be grown.

Although these programs made a difference towards food insecurity, Jones also strongly advocated for SNAP, formerly known as ‘food stamps’, unemployment benefits, and the Child Tax Credit expansions. She noted that supplemental income assistance helped lower lines at the food kitchens.

The Bottom Line

All experts agree that the framework under the American Rescue Plan made significant progress in limiting child poverty. All the experts are optimistic that we are slowly, but surely, headed in the right direction. When asked by Sandy Close, why are children expendable and there isn’t enough moral outrage in the mainstream, the experts share an optimistic note with us.

With the youth raising their voices and taking initiative, there are more innovative solutions popping up to ending child poverty in the US. Although it may not look like it, the devoted members of this cause are making an impact and there are people out there who are focusing on the overall cause over their personal benefits.

Lastly, experts note that holding on to progress is always gratifying so there is a strong probability that we will continue to hold on to the progress in the nation.