The weekly Food Research and Action Center (FRAC) 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. School Breakfast Becomes Opportunity for Entrepreneur
2. New Census Poverty Rates Call for Urgent Attack on Poverty
3. Column: President Did Not Fulfill His Promise to Fight Poverty After Hurricane Katrina
4. Food Stamp Shoppers Quickly Use Up Benefits, With Little Left at End of Month
5. Study Finds Severe Poverty Has “Disturbing” Implications for Public Health
6. Many Families Who Leave Welfare Live in Poverty Disconnected from Work and Government Assistance
7. Income Volatility Impacts Eligibility for Children in School Lunch Program
8. Hurricane Katrina Underscores Need for Disaster Assistance Reform, Study Says
9. USDA Awards Food Stamp Outreach Grants to 15 Faith and Community-Based Organizations
10. Adult Obesity Rate in Massachusetts Risen
11. New York City: Food Stamp Participation Drops While More New Yorkers Suffer from Lack of Food
12. New York City: Federal Judge Orders City to Stop Illegally Denying Food Stamps to Battered Immigrant Women and Children
13. Editorial – Texas: Child Support Cuts Could Have Broader Implications for Welfare, Child Care, Food Stamps and Employment
14. Vermont: Deficit Reduction Act Hurts Families Receiving Welfare and Medicaid
15. Florida: Miami Remains Trapped in Poverty, Untouched by Benefits of Improving Economy
16. Massachusetts Schools Greet Students With New Wellness Policies
17. Connecticut: Canterbury Schools Begin Serving Breakfast
18. South Dakota: Family Resource Network Receives USDA Award for Helping to Deliver Nutritious Meals to Children in Family Day Care

1. School Breakfast Becomes Opportunity for Entrepreneur

(“Entrepreneur Finds Millions Are Left On Breakfast Table,” wsj.com, August 31, 2006)

Twenty-nine million American children eat federally funded lunch in school, but only nine million eat school breakfast. Officials view this gap as one of the reasons for the persistence of childhood hunger in America. For entrepreneurs like Gary Davis this gap is a business opportunity. Since 2004, Davis’ company, East Side Entrees, have sold schools millions of Breakfast Breaks – ready-to-eat children’s breakfasts in colorful boxes. Davis partnered with the National Dairy Council and aligned with nonprofits Share our Strength and the Alliance to End Hunger. The coalition started a national “got breakfast?” campaign with former senators George McGovern and Bob Dole as spokespeople. The campaign works to ensure that more children receive morning fuel for better learning at school. Other businessmen and big food companies now are following Davis’ example and also trying to figure out how they can make breakfast items healthier and attractive to children. Many schools who want to provide breakfast often lack equipment or storage for making morning meals themselves, and pre-packaged options like Breakfast Breaks come as a welcome solution. But since obesity has reached epidemic proportions the issue of nutrition versus convenience also has been on their agenda. According to the Food Research and Action Center, if all students who ate school lunch also ate breakfast during the 2004-05 school year, schools would boost their federal breakfast reimbursement to $3.84 billion by getting nearly $2 billion that went unused.

http://tinyurl.com/nxbqv (subscription or purchase required)

2. New Census Poverty Rates Call for Urgent Attack on Poverty

(“2005 Poverty Data Underscore Need for Action,” frac.org, August 29, 2006)

Thirty-seven million people lived in poverty in the United States in 2005, according to the Census Bureau’s new poverty figures. This was unchanged from 2004, although poverty is more widespread than in 2001 and the number of Americans without health insurance went up in 2005. The Census data show that the benefits of four years of economic growth are not reaching the bottom half of Americans. “These numbers only highlight the need for a robust national commitment to address poverty and growing economic insecurity,” said Jim Weill, president of the Food Research and Action Center (FRAC). “While federal nutrition programs are helping families put food on the table, the nation needs to take steps to bolster families’ incomes and health coverage, and we need to do more to strengthen and ensure accessibility to programs such as food stamps, the school meals programs and WIC.” Families are finding themselves struggling more to make ends meet to cover basic necessities such as food, housing, transportation and health care. “One year ago, the President stood in the ruins of New Orleans and promised to attack poverty in America. Action on this promise is one year overdue. Meaningful action on the economic, human and moral imperative of addressing America’s extraordinary poverty rate is no less urgent today than the day Katrina hit New Orleans,” said Weill.

http://www.frac.org/Press_Release/08.29.06.html

3. Column: President Did Not Fulfill His Promise to Fight Poverty After Hurricane Katrina

(“Still Blind to Poverty,” msnbc.msn.com, September 4, 2006)

The fate of an American city and millions of impoverished countrymen are apparently beyond President Bush’s interest, writes Jonathan Alter in the Newsweek. After his promises to help Americans living in poverty after Hurricane Katrina, the president has done “much less than he promised on the financing and logistics of Gulf Coast recovery” and “has dropped the ball entirely on using the storm and its aftermath as an opportunity to fight poverty.” After the disaster, Bush proposed several measures including “worker recovery accounts” that would help evacuees find work by paying for job training, school and child care; an Urban Homesteading Act that would help low-income victims obtain empty lots and loans for a fresh start; and a Gulf Enterprise Zone that would attract investments to poor areas. Except for the new enterprise zone, these initiatives “never got off the ground.” “The mood in Washington continues to be one of not-so-benign neglect of the problems of the poor.” Congress is still considering tax cuts for the wealthy, “ballooning the deficit and drying up money for everything else,” and wants to make welfare reform more punitive, which will increase suffering, Alter contends. The only bright spots are $1 billion passed by Congress to help the poor avoid freezing in the winter and $7 billion in this year’s appropriations for health, education and other social programs added by a bipartisan coalition. The Shriver National Center on Poverty Law points out, this addition reflected widespread concern that the budget had slighted the poor.

http://www.msnbc.msn.com/id/14533214/site/newsweek/

4. Food Stamp Shoppers Quickly Use Up Benefits, With Little Left at End of Month

(“An Analysis of Food Stamp Benefit Redemption Patterns,” fns.usda.gov, June 2006)

Food stamp participants use their benefits quickly, with little left at the end of each month, according to a study by the Food and Nutrition Service of the U.S. Department of Agriculture that analyzed how food stamp participants redeemed their food stamp benefits in FY 2003. The agency used data from Electronic Benefit Transfer card transactions that provide a record of the time, place and amount of every household transaction. Sixty-three percent of participants use more than half of their benefits within the first week of issuance, and about 80 percent of all benefits were redeemed within two weeks of issuance. The typical food stamp purchase is small, averaging about $25.50. Nearly half of the purchases were $10 or less. Most food stamps (64 percent of all EBT transactions) are redeemed at supermarkets, with large and small grocery stores accounting for about 8 to 10 percent of EBT transactions. “The percentage of households with no supermarket redemptions was slightly higher in areas with persistent poverty (6 percent) than in areas without persistent poverty (5 percent),” reported the agency. “Households living in counties with persistent poverty carried a somewhat lower balance from one month to the next ($11) than households living in counties without persistent poverty ($13).”

http://tinyurl.com/pz835

5. Study Finds Severe Poverty Has “Disturbing” Implications for Public Health

(“Increase in Severe Poverty Has Serious Implications for Public Health,” newswise.com, August 29, 2006)

The recent growth of poverty in America is due largely to a sharp rise in severe poverty while “moderate” poverty has grown little, according to a study by Virginia Commonwealth University that will be published in the October issue of the American Journal of Preventive Medicine. Between 2000 and 2004, the percentage of Americans living in severe poverty – those earning less than half of the poverty threshold – grew by 20 percent, or 3.6 million people. The category of Americans whose earnings were at least $8,000 below the poverty line grew by approximately 50 percent between 2000 and 2004, while all other income tiers decreased during these years. “These trends have disturbing implications for society and public health,” said Steven H. Woolf, MD, MPH, Professor of Family Medicine, Epidemiology and Community Health and lead author of the study. Those implications include adverse effects on children, a higher prevalence of chronic illnesses, more frequent and severe disease complications, and increased demands and costs for healthcare services. Severe poverty hits children the hardest. Children under 5 are twice as likely to be living in severe poverty as the rest of the population. “This is not just a problem for the poor,” Woolf explained. Except for the wealthiest Americans, income for the entire U.S. population has fallen since 2000. Researchers call it a “sinkhole effect,” characterized by people from the middle and upper classes slipping into lower income tiers. Woolf calls for the reexamination of recent policies intended to foster economic progress.

http://www.newswise.com/articles/view/522916/

6. Many Families Who Leave Welfare Live in Poverty Disconnected from Work and Government Assistance

(“The Changing Role of Welfare in the Lives of Low-Income Families with Children,” urban.org, August 30, 2006)

The National Survey of America’s Families, conducted by the Urban Institute as part of its “Assessing the New Federalism” project, documents changes in low-income households over the 1996 to 2002 period to learn how they coped in the post-welfare reform world. The study describes outcomes related to family structure, demographic characteristics, work and barriers to work, income and well-being. Researchers found an improved picture between 1997 to 2000 for families on welfare, no change for those who left welfare and deteriorating circumstances for those who never received welfare. Families report high levels of stress and difficulty paying for food and other bills, which reveals the struggles of many single parents trying to live without welfare. “Substantial shares of families on welfare and those that recently left welfare live in poverty, and many live in deep poverty.” For low-income families outside the welfare system, relatively few receive food stamps or child care assistance to help them supplement their wages. One in 10 of these families are disconnected from work or cash assistance. “Policymakers need to reach out and deliver work supports to low-income families outside the welfare system and ensure that new welfare policies do not discourage the neediest families from receiving temporary cash assistance,” concludes the study.

http://www.urban.org/publications/311357.html

7. Income Volatility Impacts Eligibility for Children in School Lunch Program

(“The Income Volatility See-Saw: Implications for School Lunch,” ers.usda.gov, August 2006)

This report by the U.S. Department of Agriculture analyzed the effect of income volatility on the USDA National School Lunch Program (NSLP) that provides free and reduced-price lunches to school children from low-income families. Prompted by the agency’s concerns about “overcertification” – where local schools erroneously certify that children are eligible to receive subsidized lunches – the study looked at how income volatility affected eligibility for the program in the 1996-97, 1997-98 and 1998-99 school years. It found that an estimated 27 percent of households that were eligible at the beginning of the school year were no longer eligible for the same level of subsidy by December due to monthly income changes. Changes in NSLP eligibility were determined by total household hours worked and the share of working adults. “Income volatility was higher for successively lower income groups,” said the report. The monthly income variation for households below 75 percent of the poverty line was double that of households above 300 percent of the poverty line. Two-thirds of lower income households experience one or more changes in their monthly NSLP eligibility during the year. “Month-to-month income changes could feasibly explain a large portion of estimated overcertification rates,” the study concluded. “Understanding the past role of income volatility in the NSLP is important because income volatility can affect policy changes for other food assistance programs that aim to support working families in times of need.”

http://www.ers.usda.gov/Publications/ERR23/

8. Hurricane Katrina Underscores Need for Disaster Assistance Reform, Study Says

(“Hurricane Katrina Showed Importance of Disaster Assistance Reform,” umich.edu, August 28, 2006)

Hurricane Katrina’s devastating impact on the poor would have been smaller if the United States had had a comprehensive disaster-assistance policy, according to a University of Michigan study published in the Du Bois Review, a social science journal. The disaster revealed long-standing gaps in federal anti-poverty policies. “If there were less poverty and unemployment in ‘normal’ times, the effects of natural disasters would not be as large as the effects generated by Hurricane Katrina,” said Sheldon Danziger, who co-authored the study with Sandra K. Danziger. The researchers proposed a disaster assistance safety net that would include programs for displaced workers. People who lost jobs because of the disaster would receive aid from an expanded federally funded unemployment insurance program that could pay higher benefits for a longer period of time than the current unemployment program which only lasts for six months. Another program would pay the employer’s share of a health insurance plan so workers could continue to be covered. The reform also would include cash assistance for needy non-workers provided through the current Food Stamp Program. Disaster victims would apply for both food stamps and the disaster cash supplement.

http://www.umich.edu/news/?Releases/2006/Aug06/r082806a

Also see http://tinyurl.com/puo66 (Du Bois Review, “Poverty, Race, and Antipoverty Policy Before and After Hurricane Katrina”)

9. USDA Awards Food Stamp Outreach Grants to 15 Faith and Community-Based Organizations

(“USDA Awards Food Stamp Outreach Grants,” fns.usda.gov, August 28, 2006)

U.S. Department of Agriculture Secretary Mike Johanns awarded $1.05 million to 15 faith and community-based organizations for food stamp outreach. “Ensuring that all eligible low-income Americans have access to nutrition assistance provided by the Food Stamp Program remains a top priority for us,” said Johanns. The grantees will test strategies to raise awareness about food stamps among the working poor, legal immigrants and the elderly. The strategies will include information dissemination, pre-screening, application assistance, community events, education programs and train-the-trainer programs. Grantee organizations are located in Wichita, Kan.; West Memphis, Ark.; Houston, Texas; Neptune, N.J; Grand Blanc, Mich.; Waterbury, Conn.; West Palm Beach, Fla.; Louisville, Ky.; Missoula, Mont.; Bedford, N.H.; Holmes, Pa; Roseville, Minn.; Los Angeles, Calif.; New York, N.Y.; and Tucson, Ariz.

10. Adult Obesity Rate in Massachusetts Risen

(“Among the Fittest,” metrowestdailynews.com, August 30, 2006)

The adult obesity rate in Massachusetts rose from 16.8 percent in 2003 to 20.7 percent in 2005, according to a Trust for America’s Health report. That the state’s residents still are the slimmest in the nation, except for Colorado and Hawaii, does not stop health officials from worrying. Research shows that obesity often is associated with poverty. America’s five most obese states rank among the top eight in poverty. Mississippi has the highest obesity rate at 29.5 percent and the highest poverty level at 21.3 percent. By comparison, poverty in Massachusetts has the 11th-lowest poverty rate in the nation. “High-calorie food is cheap,” said Janet Schwartz, a professor of food and nutrition at Framingham State College. According to the Center on Hunger and Poverty at Brandeis University, low-income people often buy inexpensive food that is high in calories to stretch their budgets. This creates a paradox of hunger and obesity.

http://www.metrowestdailynews.com/localRegional/view.bg?articleid=139116

Also see http://healthyamericans.org/reports/obesity2006/ (The Trust for America’s Health, “F as in Fat: How Obesity Policies are Failing in America, 2006”)

11. New York City: Food Stamp Participation Drops While More New Yorkers Suffer from Lack of Food

(“Number of Food Stamp Users Drops for 2nd Summer in Row,” nytimes.com, August 29, 2006)

For the second year in a row, the number of New Yorkers receiving food stamps has decreased during the summer after rising during the rest of the year. When the same phenomenon was observed last summer, the city’s Human Resources Administration described it as a statistical anomaly and predicted that it would be a one-time event. Now advocates worry that the real reason is red tape obstructing participation and making it “too cumbersome” to apply. “The question is why growth has stagnated given that so many people remain eligible who do not receive benefits,” said Stacy Dean of the Center on Budget and Policy Priorities. Carlos M. Rodriguez of the Food Bank for New York City said, “I am troubled by the decline. I don’t see the need going down in the population we serve.” In addition, the city’s unemployment rate rose to 5.7 percent in July, from 5.1 percent in June. The number of New Yorkers receiving food stamps, with the exception of a few months, has risen consistently since 2002 when Mayor Bloomberg took office. Bloomberg, who had clashed with advocates over better access to food benefits, agreed to make some improvements in the application process, but has been wary of loosening eligibility rules. He overruled a waiver requested by the Human Resources Administration last spring that would have made it easier for able-bodied adults without children to receive food stamps.

http://tinyurl.com/mq236

12. New York City: Federal Judge Orders City to Stop Illegally Denying Food Stamps to Battered Immigrant Women and Children

(“U.S. Court Orders City to Ensure Aid for Battered Immigrants,” nytimes.com, August 30, 2006)

A federal judge ordered New York City to stop illegally denying food stamps and other assistance to battered immigrant women and children and to fix the computer programs and training manuals that generate errors in determining eligibility for benefits. “It is not the policy of the United States, nor of the State of New York, to leave destitute the battered immigrant wives and children of lawful U.S. residents just because their abusive husbands are no longer supporting them or providing them with a basis for obtaining aid,” said the judge, Jed S. Rakoff of United States District Court in Manhattan, in his decision. City policymakers were aware of the problems, but did not take measures until a group of battered women filed a lawsuit last year. Several women plaintiffs escaped to domestic violence shelters, but were unable to get help with food or medicine for their children. One breast-feeding mother testified to going hungry and feeling powerless as she and her young children were losing weight. If the city and state continue to fight the lawsuit, the judge said, he will be highly likely to find them liable for “deliberate indifference” to violations of the plaintiffs’ federal and state rights. The decision came at the time when New York Mayor Bloomberg is preparing to release an antipoverty plan focused on children, young adults and the working poor.

http://tinyurl.com/lzv4h

13. Editorial – Texas: Child Support Cuts Could Have Broader Implications for Welfare, Child Care, Food Stamps and Employment

(“Cutting Into Child Support,” dallasnews.com, August 30, 2006)

As states are feeling “the pinch from the deficit-reduction bill President Bush signed earlier this year,” Texas’ big cutbacks in child support operation are a particular concern, writes this editorial in The Dallas Morning News. Texas Attorney General Greg Abbott said that federal budget cuts could force him to lay off two-thirds of his child support division and close many offices across the state beginning in 2007. Of the total $258 million federal budget, $187 million pay for child support efforts. In addition to the federal cuts, Texas has requested agencies to trim their budgets by 10 percent for planning purposes. “If none of the state and federal cuts is restored, the AG’s office predicts collections will drop $2 billion over two years,” writes the newspaper. “We urge both Mr. Abbott’s office and the Legislature to take stock before they whack child support. The cascading effect of failure to enforce child support payments undoubtedly will have a tremendous impact on many other areas of concern, such as welfare payments, child care, food stamps and employment.”

http://tinyurl.com/q43qw

14. Vermont: Deficit Reduction Act Hurts Families Receiving Welfare and Medicaid

(“Fed Deficit Hurts Poor Vt. Families,” rutlandherald.com, August 28, 2006)

According to Vermont state officials, the Deficit Reduction Act of 2005 hurts low-income families in Vermont, especially those who receive assistance through Temporary Assistance for Needy Families, or TANF, and Medicaid. TANF changes will increase the number of the welfare clients who must work in order to receive their benefits. If Vermont fails to meet the new work requirements, it could cost the state penalties of up to 5 percent of approximately $47 million in annual funding, said Joseph Patrissi of the Agency of Human Services. “We have got to basically double our work participation rate,” he said. A change in Medicaid requires participants to demonstrate their American citizenship. The state may have to hire more workers to screen nearly 150,000 Vermonters on Medicaid for the new requirement. In other areas, however, the state has gotten more federal funds. The federal highway bill will bring millions to the state budget. Also, the state was awarded $500,000 in recognition of the quality of its food stamp program.

http://tinyurl.com/l8kwa

15. Florida: Miami Remains Trapped in Poverty, Untouched by Benefits of Improving Economy

(“Hungry for Progress,” miami.com, August 30, 2006)

Miami remains among the nation’s poorest large cities, behind only Cleveland and Detroit, according to the new Census Bureau data on poverty. The city’s inability to cut down on poverty in the midst of a Florida building boom worries some analysts. “This is a good environment for families to improve their lives and incomes. If we’re not making any progress now, relative to the nation, that's alarming,” explained Bruce Nissen of the Institute on Social and Economic Policy at Florida International University. Jules Littman, director of Stop Hunger that serves Miami-Dade, Broward and Palm Beach counties, said housing costs are forcing more and more residents to get food from his warehouse. In Broward, the number of food insecure residents rose from 10 percent to 11 percent, which is a significant shift for the county with a population of 1.8 million people. The increase translates into 26,000 more people in need of food. “People are poor and getting poorer. And the cost of housing and what people are paying for it is killing the people on fixed incomes,” said Marti Forman of the Cooperative Feeding Program. Events like tropical storm Ernesto can completely jeopardize their well-being, especially when it comes to food. When people are out of work, they do not get paid, and when schools are closed, children do not receive free school meals. “It’s gotten to the point where you’re seeing semiprofessional people in line [for food],” Forman said. “They just can’t afford to live here anymore. It’s hard in an area of such wealth to be facing such need.”

http://www.miami.com/mld/miamiherald/news/15395080.htm

16. Massachusetts Schools Greet Students With New Wellness Policies

(“Nutrition Policies Could Curb Classroom Parties, Bake Sales,” boston.com, August 27, 2006)

At the beginning of the new school year, Massachusetts students are discovering new rules aimed at promoting healthier nutrition and exercising more, which were adopted to comply with a federal mandate to develop and implement school wellness policies. The policies set nutrition guidelines for all foods available at school, including items in vending machines and bake sales. The mandate, however, allows schools flexibility in determining everything from portion size to calorie and fat content. As a result, wellness policies have varied widely across local school districts and have drawn mixed reactions. In Beverly, there has been some panic among parents who fear the ban on home-baked goods will severely hamper their ability to raise money for cash-strapped school clubs and athletic programs, said Marie Galinski, assistant superintendent. “This is working well in a lot of places, but not everywhere,” explained James Weill, president of the Food Research and Action Center. The mandate “is forcing a public debate, and that will create good policies.”

http://tinyurl.com/lq7s9

17. Connecticut: Canterbury Schools Begin Serving Breakfast

(“Canterbury Morning Meal to Boost Brains,” norwichbulletin.com, August 28, 2006)

Starting this academic year, Canterbury (Conn.) public schools are offering a breakfast program for students and employees. It is the first time in years the two town schools will serve breakfast. It will consist of breads, cereals, fruits and vegetables and comply with the federal nutritional guidelines. “Its a good idea because … kids are in a rush in the morning and they skip breakfast and its a chance for them to make up for it,” said Canterbury parent Bob Deluca. Superintendent Sandra Suplicki said two challenges of serving breakfast will be the short time students will have to pick up food and students who do not like to eat early in the morning. Breakfast will be served from 8 to 8:30 a.m. and it is up to the school principals whether the students will be allowed to bring food into the classroom. Nutrition experts say it is important for children not to skip breakfast even if they do not feel hungry when they wake up.

http://tinyurl.com/mgmxv

18. South Dakota: Family Resource Network Receives USDA Award for Helping to Deliver Nutritious Meals to Children in Family Day Care

(“SDSU’s Family Resource Network Wins Regional Award,” sdstate.edu, August 25, 2006)

The Family Resource Network, a part of South Dakota State University’s College of Family and Consumer Sciences, received the regional 2006 “Building for the Future” award from the U.S. Department of Agriculture during the South Dakota Family Day Care Home Sponsors Annual Training. The network sponsors the USDA Child and Adult Care Food Program (CACFP), which provides reimbursements to day care home providers so they serve healthy meals and snacks to children in their program. It also offers child care home providers training and resources to help them run their businesses. The organization partnered with Sioux Valley Electric to purchase and distribute cookbooks to child care providers to help them with preparing nutritious meals. The Family Resource Network also received a national “Victory Against Hunger” award for this project. USDA officials praised the efforts to recruit and retain providers to participate in CACFP.

http://www3.sdstate.edu/SDSU/NewsDetail45702.cfm?ID=46,5284