INDIANAPOLIS (July 15, 2008) - Rising numbers of Indiana working
families are taking advantage of federal programs designed to help them
in times of economic hardship. Food stamp participation nearly doubled
since 2000 according to a study released by the Indiana Institute for
Working Families, Is Indiana Getting Its Fair Share? Federal Programs
Available to Help Working Hoosier Families. Yet thousands of families
are missing out on millions of dollars and valuable benefits to help
them through economic difficulties.
"The economy has hit low-wage working families especially hard with
higher food and gas prices," stated Director and co-author of the study,
Rochelle Finzel. "While participation has increased, more eligible
families could be accessing federal programs that could help stretch
their limited resources. These federal programs are not hand-outs; they
support work, increase wages, and improve the nutrition and health of
low-income families and have positive effects on the state economy."
The federal programs examined in the report included the Earned Income
Tax Credit (EITC) program, the Food Stamp Program, the National School
Lunch and Breakfast Program, the Supplemental Nutrition Program for
Women, Infants and Children (WIC), the State Children's Health Insurance
Program, known as Hoosier Healthwise, and the Child Care Development
Fund. All are designed to support working families by providing
assistance to cover basic needs such as food, health care and day care
costs.
In examining federal tax expenditures in Indiana, the Institute's study
revealed:
Indiana eligible families failed to collect $126 million in the Earned
Income Tax Credit in 2005, a refundable federal tax credit for working
families and individuals who earn less than 200 percent of the Federal
Poverty Guidelines;
Over 215,000 Hoosiers who earned poverty-level wages and were eligible
to receive Food Stamps in 2006 failed to take advantage of this
nutrition assistance safety net, amounting in a loss of $247 million in
federal funds to the state of Indiana;
Indiana's schools lagged the national average in providing school
breakfast to low-income children during school year 2006-2007. If
Indiana schools were to increase the participation rate to match top
performing states, Indiana would receive an additional $14.1 million in
federal funding and 65,900 additional Hoosier children would be served.
The federal programs also have a positive impact on Indiana's economy,
creating new jobs and wages in the state. The Earned Income Tax Credit
alone added nearly $800 million to the economy. Recipients of the credit
spend these funds locally for everything from utility bills to new
appliances and opening savings accounts.
The report includes specific recommendations and strategies that state
public officials and policy makers can pursue to increase program
participation, thereby increasing the amount of federal domestic funds
coming into the state so that more Hoosiers become economically
self-sufficient. "It is our hope that this study will lead to increased
outreach efforts across the state, increased public knowledge and more
families accessing benefits to help them meet their daily needs," stated
Finzel.
Click here to
read the full report.
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ICHHI
The Indiana Coalition on Housing and Homeless Issues (ICHHI) was formed
in 1988 by service providers and advocates who recognized a need for a
unified and concerted effort to streamline programs and services for
Indiana residents working towards self-sufficiency.
The Indiana Institute for Working Families is a program of the Indiana
Coalition on Housing and Homeless Issues (ICHHI). ICHHI is a statewide,
non-partisan, non-profit organization that believes everyone in Indiana
deserves a safe place to call home, a safety net of social services and
a path to self-sufficiency. The Institute conducts research and analysis
of public policy issues important to working families, engages in
advocacy and education campaigns on policy issues, and works through
national, statewide, and community partnerships in Indiana to promote
progressive policies in Indiana. For twenty years, ICHHI has been
working to build stronger individuals, families and communities through
planning, research, education and advocacy.