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Truth or ConsequencesGilda Z. Jacobs
Western Michigan UniversityMarch 21, 2013
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The League’s Mission
To foster economic opportunity, independence and security of Michigan’s economically vulnerable population by shaping public policy through objective data-driven research, education and advocacy
1223 Turner St. Suite G-1, Lansing, MI 48906-4369 (517) 487-5436Fax: (517) 371-4546 Web site: www.MiLHS.org
A United Way Agency
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Setting the Table
Michigan League for Public Policy
State EITC refunds drop
from $349 million to $105 millionUnemployment:
8.9% in December; 413,000
unemployed
1/837 homes foreclosure filing
in January
48% of kids receiving free and reduced price lunches
Cuts:2001 - $26 M 2012 - $2 M 2013 - $6 M
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Setting the Table cont’d.
Michigan League for Public Policy
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One third of working families in Michigan are low-
incomeMore Michigan residents lost
more employer-sponsored insurance than anywhere in country in past decade (4.2 million to 3 million
covered)
Income disparity nationwide is at
highest levels since Great Depression, and Michigan has a big gap
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Family of
4
$24,000
Family of
3
$18,000
What is Poverty?
Michigan League for Public Policy
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Poverty in Michigan Continuesto Rise
2007 2010 20110%
10%
20%
30%ChildrenFamilies with ChildrenAll People
Michigan League for Public Policy
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2011 Poverty
Total
17.5%Children
24.4%Families with Children
20.9%
Michigan League for Public Policy
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1 in 6 peoplelive in poverty
Total number of people living in poverty
1,693,294Michigan League for Public Policy
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1 in 5 families with children live
in poverty
Number of families withchildren living in poverty
1,138,970Michigan League for Public Policy
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1 in 4 childrenlive in poverty
Number of children livingin poverty
548,145
Michigan League for Public Policy
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How Much Do KIDS COUNT in Michigan?
Michigankids in poverty would fill the UM Big House
5 times
Michigan League for Public Policy
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Young Children, Ages 0-5,
Eligible for Food
Assistance Program*
2011 (MI – 37.4%)
Michigan League for Public Policy
47.7%
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-60 -50 -40 -30 -20 -10 0 10 20 30 40
5
1
3
18
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14
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11
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33
55
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Health
Family/Commu-nity
MichiganTrends in
Child Well-Being
2005-2010
Poverty, ages 0-17
Children 0-5 receiving food assistance
Children eligible for FRL
Low-birthweight babies
Infant mortality
Child/Teen deaths, ages 1-19
Births to teens, ages 15-19
Children in investigated families
Confirmed victims
Children in out-of-home care
MEAP Fourth grade reading
MEAP Eighth Grade Math
MME High School reading
Students not graduating on time
Worse Better
60 40 20 0 20 40
Economic Security
Education
Michigan League for Public Policy
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Change in Family Poverty, 2007 - 2011
Michigan League for Public Policy
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Change in Poverty by Race/Ethnicity, 2007 - 2011
Michigan League for Public Policy
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Poverty by Race/Ethnicity, 2011
13.3% white, not Latino
Michigan League for Public Policy
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17Michigan League for Public Policy
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18Michigan League for Public Policy
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Kalamazoo County: Child Well-Being
Overall ranking
49out of 82 counties
Michigan League for Public Policy
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Kalamazoo County: Child Well-Being
Child poverty increased 49%
1 of every 4
from 2005-2011.
Michigan League for Public Policy
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Kalamazoo County: Child Well-Being
Rate of students eligible for free/reduced lunch
increased
29%
Michigan League for Public Policy
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What Causes/Contributesto Poverty?
Michigan League for Public Policy
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Jobs
400,000 Workers Unemployed Every Month in 2012.
Michigan League for Public Policy
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Income
Michigan’s Median Income of $45,981 has dropped more than $6,000 since the beginning of the recession.
Michigan League for Public Policy
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• Cuts to business taxes
• Shift the burden to individuals
Michigan League for Public Policy
Tax Changes
FOOD
MORTGAGE
CREDIT CARDS
UTILITIESSAVINGS
GAS
CAR PAYMENT
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Michigan Earned Income Tax Credit Cut, 2011 vs. 2012
Michigan League for Public Policy
70% drop
$439$132
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Fewer Children Kept Outof Poverty
Michigan League for Public Policy
20% = 14,0006% = 5,000
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Policy Changes
• UI benefits
• Asset test for food assistance
• Restrictions on FIP
Michigan League for Public Policy
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More Policy Changes
• Lifetime cap on cash assistance
• Heating and energy assistance cut
• Cuts to need-based financial aid grants
• Higher ed/community colleges cuts Michigan League for Public Policy
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Philanthropy can’t make up for loss of public services
• State spending $174 million less a year in Wayne County alone on non-Medicaid assistance
• Community Foundation for Southeast Michigan spends $54 million a year in seven-county area
Michigan League for Public Policy
For example:
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What Can We Do to ReduceEconomic Insecurity?
• Restore unemployment insurance benefits and index them for inflation.• Restore the state Earned Income Tax Credit for
low-income working families.• Raise the minimum wage to a level that lifts a
family of four above the poverty level ($23,000).• Raise the eligibility and adjust the sliding scale
for the child care subsidy.Michigan League for Public Policy
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Advocacy 101: YOU CAN MAKE A DIFFERENCE
• Contact your legislators/members of Congress
• Write letters to the editor/Op-Eds
• Provide stories of impact of policy decisions
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Advocacy tools
• Put it in writing
• Make a call
• Put in face time
• Building a relationship
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• If there were no advocates, there wouldn’t have been:— Women’s Suffrage Movement— Civil Rights Act of 1964— Voting Rights Act of 1965— Americans with Disabilities Act of 1990
What if?
Michigan League for Public Policy
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Additional Information• Website: www.mlpp.org
• Join the Nokomis Challenge
• Sign up for “Email Alerts”
• Check our blog• Become a member
• Join the Prosperity Coalition: www.prosperitycoalition.org