The Weekly Food Research and Action Center News Digest highlights what's new on hunger, nutrition and poverty issues at FRAC, at the U.S. Department of Agriculture, around the network of national, state and local anti-poverty and anti-hunger organizations, and in the media. The Digest will alert you to trends, reports, news items and resources and, when available, link you directly to them. 1. Federal Poverty Numbers Released Click here for a statement by FRAC President Jim Weill (pdf). Click here for FRAC's information on the 2007 poverty numbers. The number of Americans living in poverty increased in 2007, according to the latest figures from the U.S. Census Bureau. In 2007, 37.3 million people lived in poverty, while in 2006, that number was 36.5 million. FRAC President Jim Weill, commenting on the numbers, called for the second stimulus package to include a boost in food stamps. The numbers prompted Robert Greenstein, executive director of the Center for Policy and Budget Priorities, to note "Never before on record has poverty been higher and median income for working-age households lower at the end of a multi-year economic expansion than at the beginning." Jared Bernstein, covering the numbers for the Economic Policy Institute, wrote "…household income was no higher in 2007 than in 2000, the previous peak. Given rising joblessness and declining real wages, next year's numbers will certainly be worse." USDA continues working with states and regions this hurricane season to provide food-related as well as housing, medical and financial relief to victims of Hurricane Gustav, and is putting in place similar programs for upcoming storms like Hurricane Hanna. Specific relief items include: 2008 Hurricane Gustav evacuee policy, released by USDA, providing guidance to states hosting evacuees on food stamp notification, numbers of evacuees needing food stamps, and option of serving evacuees through the expedited service provisions of the regular Food Stamp Program.
USDA funded purchase of infant formula and baby food in affected states. (KLTV, August 31, 2008) Food stamp households in Louisiana received their September benefits from the state early so they could immediately replace food lost due to the storm. (KATC, August 31, 2008) Louisiana's Department of Social Services, working with USDA, implemented the Disaster Food Stamp Program for storm victims and developed criteria for eligibility based on power outage times, wind speed, and flooding percentages in addition to financial eligibility requirements. (Emergency.louisiana.gov, September 2, 2008) Mississippi requested disaster food stamps for 16 affected counties. (Hurricane Gustav Resources, September 2, 2008) 3. Food Prices Contribute to Record High Inflation With consumer prices 5.6 percent higher in July 2007 than the year before, inflation hit a 17-year high. Skyrocketing food and fuel prices added significantly to the record numbers, with the July increase the "sharpest annual increase since January 1991." Food and beverages continued to rise, costing 0.9 percent more last month; in addition, Americans paid more for clothing, transportation, and recreational products. 4. Medicaid Changes Could Leave Many Without Health Care Access States faced with budget deficits are cutting reimbursements, attaching fees to services, cutting charity hospital funds, and proposing Medicaid changes that would decrease the number of people eligible for government-sponsored insurance. California cut payments by 10 percent to hospitals, doctors and dentists, and then proposed lowering the Medicaid eligibility percentage to 61 percent of the federal poverty level; current eligibility is at 107 percent. That change has not yet occurred, as the state's legislature has been deadlocked over the budget for the past 45 days; health care providers, however, haven't been reimbursed for services during that time. In New York, Governor David Paterson proposed freezing Medicaid's hospital reimbursements for the rest of this year as well as 2009, which means payments will not be adjusted for inflation. The governor also proposes 7.2 percent in additional reimbursement cuts and taxing hospital revenues. Maine adults are faced with a $25 Medicaid enrollment fee, which, while it seems small, would further strain household budgets already struggling with high food and fuel prices. While Arizona, New Jersey and Florida have taken steps to reduce state budget deficits by requiring more frequent Medicaid re-enrollment periods, cutting funds to charity hospitals, and freezing nursing home reimbursements, other states may be waiting until after the election to put cuts into place. Notes Iris Lav, deputy director of the Center for Budget and Policy Priorities: "Most states will pretend their budgets are in balance until November. It's hard to admit your budget is out of balance six weeks after you passed it." 5. Unprecedented Numbers Receiving Food Stamps in Maryland Food inflation has forced Maryland families to turn to food stamps in unprecedented numbers for help purchasing fruits, milk and vegetables, with the benefit going to 50,000 more recipients - for a total of 372,695 - in just the past year. The numbers will continue to rise, as inflation continues and the state follows new guidelines which, according to Maryland Hunger Solutions director Kimberley Chin, will expand the number of people eligible. Even with the assistance, many families are finding it tough to purchase food, with a shortfall at the end of each month totaling $46.20 for a family of four which started the month with $542 in food stamps - the maximum benefit for a family that size. Parent Katrina Thorpe of Frederick is one of more than 8,600 others in the county on food stamps who has found inflation - driving dairy foods up 8.1 percent and fruits and vegetables up 10.1 percent, both in the past year - hard to deal with in spite of the assistance. Frederick County saw 1,300 more food stamp recipients in July 2008 than in July 2007. 6. Heat and Eat Bringing More Food Stamps to Rhode Island A boost in food stamps could become available to 20,000 additional Rhode Islanders once the state starts its "Heat and Eat" program. Governor Carcieri's office is committed to the program, and spokeswoman Amy Kempe said the only thing left to do is iron out some "logistical issues." Through the program, low-income residents are provided with at least $1 in federal energy checks, which would raise food stamp recipient benefits between $30 and $35 a month. Advocates support the program. "Everyone's for it," said Henry Shelton, coordinator of the George Wiley Center which lobbies for low-income families; Shelton was joined by the Grey Panthers, an advocacy group for seniors, the Coalition for the Homeless, and other organizations. Checks should start being issued by December 1. The $20,000 spent through the program could bring $6 million in food stamps to the state economy, said Shelton, and noted "Other states do it." Those states, according to the Department of Health and Human Services, include Maine, Vermont, Massachusetts and Washington. 7. Thieves Gain Access to Food Stamp Accounts Identity thieves posing as Human Resource Administration (HRA) employees are calling senior food stamp recipients in New York City and asking them for their social security number and food stamp account access on the pretense of renewing benefits. The thieves then steal the money from the account, which is what happened to Daisy May, a 67 year old diabetic on dialysis and food stamp recipient in Brooklyn, New York who lost her $153 monthly allotment last January. "I pray for them because they need a lot of prayers after stealing from senior citizens," she said. The scam has grown from a dozen incidents in 2001 to 236 victims last year. HRA is combating the problem by distributing flyers in welfare offices and warning clients not to disclose personal information to callers. Officials fear improvements to the system, including allowing re-certification over the phone, have paved the way for more of these incidents. HRA spokeswoman Barbara Brancaccio commented "The more progress we make, the more thoughtful we have to be about putting protections in place. It's important for people to know they shouldn't respond to a phone call unless they've gotten written notification." 8. Washington State Will Raise Income Level for Food Stamp Eligibility Responding to residents struggling with rising food prices and the weakened economy, Washington State Governor Chris Gregoire will raise food stamp income eligibility in October, at the same time USDA will adjust food stamp payments for inflation. The current income cut-off for a family of four in the state is $26,000 (130 percent of the federal poverty level); the increased cut-off will be $42,000 (200 percent of the poverty level), and is expected to add 23,000 families to the 300,000 families currently enrolled. Families currently receiving food stamps in the state are finding it difficult to make them last through the month. Amanda Truchon and her husband Joseph are currently living in a tent in Yakima and receive $90 each month in food stamps, which lasts less than two weeks. The couple doesn't own a stove or refrigerator and must stock up on canned foods and breads that won't spoil. Tom Wisniewski and his wife Dana receive $300 a month in food stamps for the family which includes two children; the benefit lasts two to three weeks. Tom says he's lucky to be able to fall back on food banks and his church, although there have been times when he will "go without a meal to make sure the kids are fed," he said. Local food banks are feeling the pressure, with 95 families being served each day by the Salvation Army, which usually sees 50 families a day in the summer. 9. Food Stamps Now Redeemable at More Farmers' Markets More farmers' markets in New York, Massachusetts, Vermont, Michigan and New Mexico have been outfitted with hand-held electronic benefits transfer (EBT) terminals, allowing more food stamp recipients to purchase healthier foods. Nationwide, 46 states have at least one farmers' market that accepts food stamps, up from 21 states in 2007. Of the 400 farmers' markets in New York State, 87 accept EBT cards, according to Diane Eggert, executive director of the Farmers' Market Federation of New York; she also said that farmers's market food stamp sales in the state increased from $3,000 in 2002 to $90,000 in 2007. Farmers like Richard Hayberger of Hamlin, N.Y. see the benefits too - Hayberger said he makes $500 more a month because accepting food stamps has brought him more customers. In New Mexico, the number of farmers' markets accepting food stamps will double, according to the state's Human Services Department; currently, food stamp recipients can shop at markets in Clovis, Pajoaque, Santa Fe and Silver City which starting accepting EBT cards this year. Massachusetts has gone from five markets capable of wireless EBT transactions to seven; Vermont's plans include going from three wireless markets to nine; and Michigan increased from two to eleven in 2007. 10. Army Commissaries Now Accepting Food Stamps A new checkout system called "CARTS," short for "Commissary Advanced Resale Transaction System," is making it easier to food stamp recipients in the military to redeem their food stamps through their EBT cards at army commissaries. CART provides for EBT cards to be accepted at all commissary checkout lines; previously, only one or two lines accepted the cards. Under the old system, food stamp recipients in the wrong line had to be directed to the line that accepted the benefit. "Now, we take food stamps at every register, and customers waiting in line never know the customer in front of them used food stamps," said Gary Hensley, director of the commissary at Fort Benning, Ga., which had more than $1.1 million in food stamp purchases in 2007. WIC recipients, using coupons or "drafts" at checkout, will still need to redeem their benefit manually when they purchase foods at the commissary that are on the WIC list. 11. Food Stamps Included in Tropical Storm Relief Florida's Brevard County opened two disaster recovery centers to help neighborhood victims of Tropical Storm Fay, and many of the residents visiting the centers have been replacing food stamps lost in the floods. The centers are central locations where needy residents can also get food and cleaning supplies; organizers say that residents will soon be able to apply for federal assistance at the centers. 12. Schools Seeing More Students Receiving Free Meals, Victims of Home Foreclosures At the start of this 2008-2009 school year, schools are seeing "record numbers" of students who are homeless or from low-income families and are eligible for free school meals. In Kentucky, Louisville's Jefferson County school district of 98,000 has been particularly hard hit; "We're seeing a lot more children in poverty," said school district spokeswoman Lauren Roberts. In addition, the school system has raised their lunch prices in response to $43 million in budget cuts statewide. Across the country, similar financial straights are forcing schools to cut back on transportation services and some in Louisiana and Minnesota (among others) are shortening the school week, all while student poverty levels rise. School employee layoffs have reached 700 teachers in Detroit, 500 administrators in Los Angeles, and hundreds of specialists and maintenance workers in Miami-Dade County. And "hundreds of districts" have responded by raising meal prices. The number of homeless students in Mobile, Ala. rose from 850 during the 2006-2007 year to 2,500 at the end of the 2007-2008 year. This increase is mirrored by the increase in the number of families eligible for free and reduced-price meals. Jefferson County alone had 58,000 students eligible for subsidized meals, according to program coordinator Mary R. Owens, who told of anxious parents, some in tears, "pleading for the free meals for their children because they do not have 70 cents a day to pay for the reduced-price meals." 13. Vermont School Meal Programs Battle Inflation Schools in the South Burlington School District are increasing meal prices this fall in response to high food prices (fresh produce up 22 percent, grocery prices up 26 percent) as well as increased costs of health benefits and salaries for food service employees. Student meal prices will increase from 35 to 70 cents, depending on the meal and school. In Chittenden Central Supervisory Union, which includes Union 46 and Essex Junction school districts, all students who qualify for reduced-price lunch won't be affected by price increases and will receive lunch for free; across the state, children who qualify for free- and reduced-price lunch will receive breakfast for free. South Burlington will also reduce food worker hours, promote school meals to increase participation, and create an online payment system for parents, all in order to balance the school meal budget. 14. Students Plan Competition to Increase Breakfast Participation As part of a statewide push to increase the numbers of students eating a healthy breakfast, California's McClatchy and Hiram Johnson high schools are racing each other to see which school has the most students eating breakfast over a three-week period beginning September 8. The California Milk Processor Board is sponsoring similar contests across the state, and will award a $2,000 prize to the winning school. 15. Iowa's WIC Participation Rose in July 2008 The Iowa Department of Public Health reported that 72,515 residents were enrolled in WIC in July, a 3.4 percent rise over the past year. While the four cities that sustained recent flood damage saw increased enrollment, the current economy is the main driving force behind the numbers, according to Tom Newton, director of the Public Health Department. In 2006, 43 percent of Iowa-born children were in WIC, and Judy Solberg, chief of the Public Health Department's Bureau of Nutrition and Health Promotion, expects the number to also be high for 2007. 16. List Ranks Rochester, N.Y. Among Top Ten Cities with Highest Rates of Concentrated Poverty A Brookings Institute report, using data from 2005, has ranked Rochester, N.Y. in the top 10 cities experiencing the highest rates of "concentrated working poverty" in the U.S. The city also has the fourth greatest increase, among 58 cities, in the level of concentrated working poverty. The poverty rates are not from poor people moving to poor neighborhoods, but from the economic decline that started early in this decade and reversed gains made by low-income families during the 1990s, when poverty concentrations decreased slightly across the U.S. Three metropolitan areas had higher poverty concentrations than Rochester: Allentown-Bethlehem-Easton, Pa.; Detroit-Warren-Livonia, Mich.; and Augusta-Richmond County, Ga. Alan Berube, co-author of the study titled "Reversal of Fortune: A New Look at Concentrated Poverty in the 2000s, commented "After this most recent economic downturn, it is quite likely the picture will look worse in 2010 (when there is complete data for the decade.)"
Subscribe to FRAC's News Digest
| News Digest Archives |
www.frac.org
|