January 28, 2008
A Food Stamp Boost Is A Quick, Effective Way
to Stimulate The Economy
As the economy has weakened, getting lower-income families food stamps and other payments that they can spend quickly to stimulate the economy is emerging as a key feature of economic stimulus packages being discussed by congressional leaders and economists.
FRAC believes that putting more resources quickly into the hands of the people most likely to quickly turn around and spend it can both boost the economy and cushion the hardships on vulnerable people who face a constant struggle against hunger.
Food stamp increases were not included in the package announced by House leaders and the Administration on January 24th (For a reaction to the House/Administration package, see Statement by FRAC President Jim Weill, 1/24/08, posted at www.frac.org). Nonetheless, many Senators, economists and other opinion leaders have suggested including temporary food stamp benefit boosts as part of a comprehensive stimulus package.
These range from Democratic Senate Majority Leader Reid, Senate Agriculture Committee Chairman Harkin, Senate Finance Committee Chairman Baucus, Joint Economic Committee Chairman Charles Schumer and Senate Judiciary Committee Chairman Leahy and Republican Senators Collins, Snow and Smith (click here for Senate sign-on letter
), to Federal Reserve Board Chairman Bernanke, former Treasury Secretary Lawrence Summers, and Congressional Budget Office Director Orzag.
Organizations representing state legislatures, mayors, state administrators, Electronic Benefit Transfer (EBT industry, aging, religious, and anti-hunger groups also have spoken out in favor of temporary food stamp increases as part of a package to stimulate the economy quickly and help people struggling in this weak economy.
FRAC has compiled the commentary below for those interested in following the discussion.
Economists and Researchers
CBO: The Congressional Budget Office (CBO) has rated a temporary increase in food stamp benefits highly for cost-effectiveness, short lag time, and relative certainty about the policy impact. See “Options for Responding to Short-Term Economic Weakness,” CBO (January 2008).
CBO Director Orszag: At a Senate hearing on Thursday, Peter R. Orszag, director of the Congressional Budget Office, testified that increases in food stamps and unemployment benefits would have more immediate economic effects than rebates. ‘Food stamp and unemployment benefits can affect spending in two months,’ Mr. Orszag said. ‘Rebates would affect spending at the end of 2008.’” See “Bush and House in Accord for $150 Billion Stimulus,” by David M. Herszenhorn, The New York Times, 1/25/08, reprinted in Ledger at http://www.theledger.com/article/20080125/ZNYT01/801250493/1001/BUSINESS
USDA Research: Based on USDA analysis, it is estimated that each $5 of federal food stamp benefits generates nearly twice that in economic activity. See USDA research.
Feldstein: “Liberal economists say boosting food stamps is one of the most efficient ways of pumping money into the economy, an idea surprisingly embraced by GOP economist Martin Feldstein at a Brookings Institution forum on Thursday.” See “Dems Eye Tax Rebates, Fatter Benefits,” by Andrew Taylor, AP, 1/11/08. “Feldstein said he supported a flat rebate for all who pay taxes, and assistance to lower-income people should come from temporary increases in the food stamp and supplemental income programs.” See “Bush tax guru backs stimulus plan,” by Steve Hargreaves, CNNMoney, 1/24/08, posted at http://money.cnn.com/2008/01/24/news/economy/feldstein_hearing/?postversion=2008012414
Rubin: “‘I would say to [the President] that we should have a stimulus in the area that they're talking about, which is somewhere--they're talking about $140 billion, I believe--but anywhere from $100 billion to $140 billion. I believe a good part of it should be tax rebates that are focused predominantly on lower- and middle-income people. I think…the full rebate should go to the 50 million low-income workers who pay payroll taxes but, in some cases, don't pay any income taxes, in other cases, pay very small income taxes. And I think you probably also should have some measures in there that would also have very immediate effects such as extending the unemployment insurance time, additional food stamps, measures of that kind that will have effect on…the demand of the economy right away.’” See “Ex-Treasury Secretary Assesses Recession Risk,” interview with Robert Rubin, NPR’s All Things Considered, 1/23/08, posted at http://www.npr.org/templates/story/story.php?storyId=18349931
Summers: On January 16th, former Treasury Secretary Lawrence Summers told the Joint Economic Committee, “On the spending side the measures most likely to be effective are temporary increases in benefits perhaps for the long term unemployed and food stamp recipients.” See his testimony.
Brookings Economists: “Increase in food stamps: Advocates of the proposal, including Brookings Institution economists, say giving food stamp recipients 20 percent more aid for six months could be administered easily and quickly, and would be targeted at families most vulnerable to a recession.” See “Options for Jumpstarting the Economy,” by Heidi Glenn, column accompanying “Economists Examine Stimulus Options,” by Jim Zarroli, NPR, 1/10/08.
Bernanke: In response to strong statements and questioning from Representative Jim McGovern (D-MA),“Federal Reserve Chairman Ben Bernanke said on Thursday that helping those with low and moderate income could stimulate the economy. ‘There is good evidence that cash that goes to low and moderate income people is more likely to be spent in the near term,’ Bernanke told the House of Representatives Budget Committee, in response to questions about whether increasing food subsidies for consumers should be part of a stimulus package. ‘Food stamps and some of these other things are relatively small to the overall size of a package,’ he said.” See “Cash to low income people could help economy-Bernanke,” Reuters, 1/17/08.
Regular Food Stamp Allotments Leave Families Short of Amount to Purchase Adequate Diet: The Thrifty Food Plan (TFP) market basket on which regular Food Stamp Program allotments are based is not sufficient for recipients to meet the actual food prices charged in their neighborhoods. Boston researchers report that the actual cost of the TFP exceeded the maximum food stamp allotment for a family of four in the small and large stores. Averaging across all stores, the maximum food stamp allotment fell short by almost $27 per month. When the researchers investigated the cost of a modified TFP with substitutions of healthier food products, such as whole grains, the maximum food stamp allotment fell short by about $148 per month. See John Cook, Vivien Morris, Nicole Neault, and Deborah Frank, “The Real Cost of a Healthy Diet in Boston, Massachusetts,” Boston Medical Center (August 2005).
A Food Stamp Boost Would Help Families Now Turning to Pantries and Soup Kitchens: Of food stamp families who turn to the emergency feeding network for help report, over half report that their food stamp allotments run out after the second week of the month and four out of five report their allotments run out after the third week. See “Hunger in America 2006,” America’s Second Harvest—The Nation’s Food Bank Network.
The Food Stamp Program EBT System Has A Proven Record in Responding Quickly and Effectively in Times of Distress: For example, in response to Hurricane Katina, newly hard hit victims and existing clients were provided with food stamp benefits on their Electronic Benefit Transfer (EBT) cards that they used at grocery stores to help meet their food needs. USDA’s response to Hurricane Katrina--including implementation of the Disaster Food Stamp Program--is described in the “What Went Right” section of the White House’s official report, “Federal Response to Hurricane Katrina: Lessons Learned” (February 23, 2006).
Members of Congress
Bipartisan Coalition of Senators: “A ‘bipartisan coalition of Northeastern and Midwestern senators’ says it will push for more spending on unemployment benefits, heating assistance, food stamps, and funds for low-income senior citizens.” See “Gone to Carolina,” by Barron Young Smith, Slate, 1/26/08, posted at http://www.slate.com/id/2182890/
Republican Senators Collins, Snowe and Smith: “[Maine Senator Susan] Collins said a bipartisan coalition of Northeastern and Midwestern senators will push to secure as much as $800 million in heating assistance for the poor, a provision that House Democratic leaders dropped in favor of securing payments for about 35 million families who earn too little to pay income tax. Collins said she will push to restore about $12.5 billion in unemployment benefits and $5 billion in food-stamp extensions that House negotiators also eliminated, a call echoed by her fellow Maine Republican, Sen. Olympia J. Snowe, who vowed to add funds next week in the Finance Committee. Snowe will be joined by another Republican on the committee, Sen. Gordon Smith ( Ore.). See “ Senators Push to Expand Stimulus,” by Jonathan Weisman and Peter Baker, Washington Post, 1/26/08, posted at http://www.washingtonpost.com/wp-dyn/content/article/2008/01/25/AR2008012502037_2.html
Senate Majority Leader Reid: “I expect that the [Finance] Committee and other Senators will work to improve the House package by adding funds for other initiatives that can boost the economy immediately, such as unemployment benefits, nutrition assistance, state relief and infrastructure investment.” See “Reid Statement on Economic Stimulus Deal Struck by House, President,” 1/24/08, posted at on Web site of Senate Majority Leader Harry Reid (D-NV) at http://reid.senate.gov/newsroom/record.cfm?id=291050&
Senate Finance Committee Chairman Baucus: “I believe, and I think many Senators agree, that we can do even more to stimulate America’s economy. Extending unemployment insurance can get money out fast to people who need it and will spend it. Increasing food stamps could do the same. Additional business incentives may more directly help hurting businesses that need quick cash to spend.” See Press Release from Senate Finance Committee Chairman Max Baucus (D-MT), 1/24/08, posted athttp://finance.senate.gov/press/Bpress/2008press/prb012408b.pdf
Senate Agriculture Committee Chairman Harkin: “Now, from what I hear, the House proposal has zero in it--zero—for food stamps. Well, that has to be taken care of. And when that bill
comes, if it doesn't have it in here when it comes here, I, along with others--and I see my colleague from Ohio, who I know is going to be stalwart on that too--we are going to demand that any stimulus package have food stamps. Food stamps. And why shouldn't it? That is the biggest
bang for the buck right there.” See Floor Statement by Senate Agriculture Committee Chairman TomHarkin (D-IA), Congressional Record, page S272, 1/24/08, available at thomas.loc.gov
Senator Schumer: “Spending additional money on unemployment benefits and food stamps will generate ‘more bang for the buck,’' said Schumer, a New Yorker who is the Senate's No. 3 Democrat. The package of provisions designed to boost economic growth was announced Jan. 24 by House Speaker Nancy Pelosi of California, Minority Leader John Boehner of Ohio and Treasury Secretary Henry Paulson.” See “Schumer Says Senate Will Increase Jobless Aid in Stimulus Plan,” by Alison Fitzgerald, Bloomberg News, 1/26/08, posted at http://www.bloomberg.com/apps/news?pid=20601087&sid=abI8p5yktciQ&refer=home
Senator Leahy: “ In a letter to the Senate’s leadership Thursday, Senator Patrick Leahy (D-Vt.) urged inclusion of a temporary expansion of Food Stamp benefits in the economic stimulus package now under development in Congress. ‘A stimulus package provides an opportunity to give a boost to the economy and at the same time deliver meaningful assistance to those that will be most impacted by a possible economic downturn,’ Leahy wrote.” See Press Release from Senator Patrick Leahy (D-VT), 1/24/08, posted at http://www.prnewswire.com/cgi-bin/stories.pl?ACCT=104&STORY=/www/story/01-24-2008/0004742690&EDATE=
Senator Kennedy: “Helping families also means increasing benefits under the food stamp program. This program not only helps families get back on their feet – it helps stimulate the economy as well. Even President Reagan’s economic advisor, Martin Feldstein, has recommended food stamp supplements as an effective way to boost economic growth.” See “Senator Ted Kennedy on Economic Stimulus,” 1/22/08, posted at http://www.allamericanpatriots.com/48741087_senator-ted-kennedy-economic-stimulus
Senator Casey: “‘ I’d be very concerned about any agreement that doesn’t include unemployment insurance, for example, as a way to stimulate the economy,’ said [Pennsylvania Senator Bob] Casey. ‘I would also like to see help on food stamps.’…‘Get it into the hands of people who will spend it quickly,’ added Casey. ‘Obviously, to spend money on food is very important, and obviously unemployment insurance will help, as well as rebates.’ See “Casey: ‘Concerns’ About Plan to Boost Economy,” KDKA Channel 2, 1/24/08, posted at http://kdka.com/politics/economy.Senator.Casey.2.637190.html “ We have to make sure, in my judgment, that if we put together a bipartisan stimulus package--and we still have to work on this in the Senate--that we invest in strategies that will work, not what we would like to do or hope to do or not what one side or the other believes is a good idea. We have to invest in strategies that work: Food stamps, not just because it helps individual Americans and their families, but we know by investing in that strategy, they will spend the money quickly. We need people to spend money very rapidly to dig us out of the hole we are in. Food stamps, unemployment benefits, and aid to he States--we have to provide investments in strategies that will work.” See Floor Statement by Senator Bob Casey (D-PA), Congressional Record, page s325, 1/25/08, available at thomas.loc.gov
Senators Conrad and Dorgan: “North Dakota’s senators predict the Senate will add increases in food stamp aid and unemployment benefit extensions to the economic stimulus package announced Thursday.…[North Dakota Senator Byron] Dorgan and [his colleague Senator Kent] Conrad said extending jobless pay and increasing food stamps helps the neediest and is much more rapidly distributed and spent than millions of tax refund checks.” See “N.D. senators want more in economy package,” by Janell Cole, Jamestown Sun, 1/26/08, posted at http://www.jamestownsun.com/articles/index.cfm?id=60343§ion=news
Senator Lieberman: “ Today's agreement between House leaders and the White House is a step in the right direction. Under the agreement, nearly all working Americans will receive a tax rebate, and businesses will benefit from new investment incentives. Still, the package is missing the two most effective means of providing an immediate economic boost: a temporary extension of unemployment benefits and a temporary increase in food stamp benefits. I will work with my colleagues in the Senate to improve the House package by adding such measures. We must do all--not just part--of what we reasonably can to give the economy the boost it needs and those worst hit the help they need.” See Statement by Senator Joe Lieberman, 1/24/08 posted at http://lieberman.senate.gov/newsroom/release.cfm?id=291070
Senator Feinstein: “Sen. Dianne Feinstein (D-Calif.) said that one of her concerns about the compromise reached between the House and the White House was that ‘rebates don’t get to the people until May or June. So the Senate should consider extending unemployment insurance and increasing food stamps to get help quickly to those who need it most.’” See “ Senators Have Own Ideas On Stimulus; Plans Calling For Food Stamps And Help For The Unemployed May Upset The House-Crafted Compromise,” by Richard Simon, Los Angeles Times, 1/26/08, posted at http://www.accountability-central.com/single-view-default/single-view-lexis-nexis/article/senators-have-own-ideas-on-stimulus-plans-calling-for-food-stamps-and-help-for-the-unemployed-may-u/?tx_ttnews%5BbackPid%5D=1&cHash=63da450dae
Senator Boxer: “And while [California Senator Barbara] Boxer lauded the House’s decision to provide rebate checks to lower income earners, she advocated including other elements to reach people impacted by the downturn and more directly boost the economy, like extending unemployment insurance and increasing funding for Food Stamps and Medicaid.” See “Senator Boxer Praises Efforts to Move Stimulus Package,” 1/27/08, posted at http://www.allamericanpatriots.com/48741384_senator-boxer-praises-efforts-move-economic-stimul
Senator Levin: “ Safety net programs, including unemployment insurance, home heating assistance and food stamps, play a critical role even in good economic times. When the economy is struggling, hard working citizens who lose their jobs and can’t afford basic necessities like food and heat require additional protections. Investing in the safety net will also channel money to people who will spend it immediately because they have no cash to spare, benefiting local economies very quickly through increased consumer spending.” See “Stimulating the Economy,” by Senator Carl Levin (D-MI), 1/27/08, posted at http://www.allamericanpatriots.com/48741393_carl-levin-stimulating-michigan%E2%80%99s-economy
Senator Stabenow: “‘We've heard from the Congressional Budget Office that the top two items to stimulate the economy are food stamps, where people will immediately go to the grocery store and buy food, and unemployment insurance,’ said Sen. Debbie Stabenow, D-Mich. ‘But you know, this has got to be something that we can get bipartisan support on, and frankly, something the president will support.’” See “Senators Plan To Add To House Stimulus; Boehner Wary ...,” National Journal’s Congress Daily, 1/25/08.
Senator Smith: Senator Gordon “said the rebate was only one of several actions needed to bolster the economy and provide services for the needy. Smith also called for a multiyear extension of the Secure Rural Schools law, which helps rural counties in Oregon and other states hurt by federal cutbacks in logging; tax and regulatory relief for small businesses; increased state aid for programs such as food stamps, low-income heating assistance and unemployment insurance; and help for first-time home buyers to refinance mortgages and avoid foreclosures.” See “Northwest lawmakers say stimulus plan just the beginning,” by Matthew Daly, AP, Seattle Post Intelligencer,1/24/08, posted at http://seattlepi.nwsource.com/local/6420ap_economy_stimulus_northwest.html Smith(R-OR) “said Finance Committee members have the same attitude about food stamps and unemployment. ‘I think there's openness to it, again with the idea that we not jeopardize this bipartisan opportunity.’” See “Senators Plan To Add To House Stimulus; Boehner Wary ...,” National Journal’s Congress Daily, 1/25/08.
Senator Rockefeller: “‘While I can't support more tax cuts for the wealthy, I will fight for targeted tax cuts and other relief to jump-start the economy,’ [West Virginia Senator Jay] Rockefeller said. ‘This includes tax rebates, small business tax cuts and extensions for unemployment insurance and the food stamp program.’” See “Delegation urges swift action on tax rebates,” by Jake Stump, Charleston Daily Mail, 1/23/08, posted at http://www.dailymail.com/News/statenews/200801230199
Senator Akaka: “U.S. Sen. Dan Akaka, D-Hawai'i, said he was concerned rebate checks are still months away while the economy needs stimulus now. ‘We could provide immediate help to those hit hardest in our community by extending unemployment benefits, providing nutrition assistance and food stamps, and offering fiscal relief to states and local communities,’ he said.” See “ Hawaii delegation backs stimulus plan but wants more,” by Dennis Camire, Honolulu Advertiser, 1/25/08, posted at http://the.honoluluadvertiser.com/article/2008/Jan/25/br/br2976451803.html
House Majority Leader Hoyer: “This bipartisan economic stimulus package will provide an important shot in the arm to our struggling economy by putting money in the hands of hard-working Americans who will spend it quickly and help stimulate the economy….Democrats are particularly pleased that, under this package, 35 million working families who would not otherwise have been helped will receive tax relief this spring, and that 117 million families in all will receive a stimulus check. We are disappointed, however, that our Republican colleagues ruled out including an extension of unemployment insurance benefits and increasing food stamps in this package – provisions that would provide an immediate bang for the buck and help stimulate our economy, according to economists on both sides of the aisle. We will continue to look at these and other provisions in the days ahead.” See “Hoyer Praises Bipartisan Stimulus Package,” Press Release from Office of House Majority Leader Steny Hoyer (D-MD), 1/24/08, posted at http://www.majorityleader.gov/in_the_news/press_releases/index.cfm?pressReleaseID=2182
Rep. McGovern: “A long-time advocate for anti-hunger programs, McGovern said during a congressional hearing Thursday that food stamps also boost the economy…. ‘The money goes to people who have trouble with their food and other bills,’ he said at the hearing. ‘More importantly, these people will spend this money and these funds go directly into the economy. Based on USDA research, we know that every federal Food Stamp dollar generates nearly twice that in economic activity.’ He said increased spending on food stamps is efficient and there would be little delay in getting the money into the economy.” See “Food Stamp Stimulus," by Jim Hand, Sun Chronicle, 1/19/08
Rep. Blumenauer: “Rep. Earl Blumenauer, D-Ore., a member of the House Ways and Means Committee, said the proposed rebates would help struggling families pay for health care and heating bills. Blumenauer said he was disappointed the package does not include expansions for food stamps or unemployment benefits--provisions he said would have quickly and effectively spurred the economy. ‘Removing these provisions underlines the misplaced priorities of President Bush and his allies in Congress. By allowing the process to work and encouraging the public to weigh in, I would hope that we could make this package better,’ Blumenauer said.” See Northwest lawmakers say stimulus plan just the beginning,” by Mattew Daly, AP, Seattle Post Intelligencer, 1/24/08, posted at http://seattlepi.nwsource.com/local/6420ap_economy_stimulus_northwest.html
Rep. Becerra: “‘Fiscal policy that, pursuant to your statement, gets the money into the hands of those who will spend it wisely, consume it wisely, quickly....And so that could include food stamps for those who are trying to figure out a way how to buy the next meal for the family or how to make sure that you can buy the clothes your child needs to go back to school’--Rep. Xavier Becerra, D-Calif.” See “Economic Stimulus Quotes,” AP, 1/17/08
State and Local Officials
National Conference of State Legislatures: “Food Stamps Assistance: Provide a temporary increase of Food Stamp benefits for households already eligible for and receiving such benefits.” See “States Outline Options for Congressional Economic Stimulus Package,” NCSL News, 1/22/08, posted at http://www.ncsl.org/programs/press/2008/pr012208StimulusPackage.htm
APHSA: “ We support an increase in Food Stamp Program benefit levels, which would provide quick relief to participants in this critical nutrition support program. ” See Letter from American Public Human Services Association Executive Director Jerry Friedman to Senate and House Leaders, 1/24/08, posted at http://www.aphsa.org/home/doc/stimulus_packageaft_080123.pdf
Atlanta Mayor : “ Appearing with Senate Democratic leaders Wednesday in the Capitol, Mayor Shirley Franklin said Atlanta needs a federal economic stimulus package that focuses tax rebates on people at the bottom of the economic ladder’ and makes more people eligible for food stamps…. In Washington for the annual winter meeting of the U.S. Conference of Mayors, Franklin and other mayors spoke at a news conference with Senate Majority Leader Harry Reid (D-Nev.); Democratic conference Vice Chairman Sen. Charles Schumer (D-N.Y.); and Steering and Outreach Committee Chairwoman Sen. Debbie Stabenow (D-Mich.)….Specifically, the mayor said, Atlanta needs an economic stimulus package that changes qualifications for food stamps to make it easier for people to qualify. Not only does that provide food for poor people, she said, but it boosts the economy because the products purchased come from American farmers and manufacturers.” See “Franklin endorses rebates to boost city and the poor,” by Bob Dart, Cox News Service, Atlanta Journal Constitution, 1/24/08, posted at http://www.ajc.com/metro/content/metro/atlanta/stories/2008/01/23/franklin_0124.html
Louisville Mayor: “While at the U.S. Conference of Mayors winter meeting last week in Washington, [Louisville Mayor Jerry] Abramson and other mayors urged Democratic senators to consider using the Community Development Block Grant program to funnel money to cities to help them address the mortgage foreclosure crisis. The mayors also talked about extending unemployment benefits and expanding food stamps.” See “Mayors seek Senate tweaks,” by James R. Carroll, Louisville Courier-Journal, 1/27/08, posted at http://www.courier-journal.com/apps/pbcs.dll/article?AID=/20080127/COLUMNISTS20/801270482
Editorial Writers
The New York Times : “Unfortunately, bolstered spending for unemployment benefits and food stamps was also omitted from the plan, in favor of granting businesses outsized tax writeoffs for new investments. That is a blunder because direct relief spending is a more powerful stimulus than business tax breaks, and is better aimed at the neediest. Worse, short-shrifting the jobless and the poor now virtually guarantees that if the economy continues to deteriorate, policy makers will be forced to provide more relief later, driving up the total cost of the stimulus.” See “Beyond the Stimulus Package,” Editorial, The New York Times, 1/27/08
Corpus Christi Caller-Times: “By design, none of the stimulus will go to extend unemployment benefits or to increase food stamps. I would think that folks out of a job would spend every nickel they get and that every person who gets extra food stamps has no choice but to use them at the grocery store. Maybe we don't really believe that there will be economic hard times ahead. It may be that the real point of the stimulus political agreement is to project the image of a concerned leadership and thus to inject confidence in the American consumer. It’s a big pep talk. I feel better already.” See “Who should get the stimulus checks?,” by Nick Jimenez, Editorial Page Editor, Corpus Christi Caller-Times, 1/27/08, posted at http://www.caller.com/news/2008/jan/27/who-should-get-the-stimulus-checks/
San Jose Mercury News: Congressional Democrats must press Bush administration officials to make the package as broad and strong as possible. Much of the rebate money, expected to be $800 for individuals and $1,600 for married couples, should flow to low- and middle-income people. They are the most likely to need and spend the money quickly. The package also should boost or extend unemployment benefits, food stamps, and other assistance for the needy. And it should not leave out the poorest Americans who don't make enough money to pay income taxes at all. See “Economy needs more than rebate and rate cut,” Editorial, San Jose Mercury News, 1/24/08, posted at ttp://www.mercurynews.com/opinion/ci_8063058
Broad Range of Stakeholders
AARP: “ AARP spokesman Jim Dau said the organization believes that non-taxed seniors should be part of any stimulus package--even if that means spending more on food stamps or home heating assistance.” See “Senators poised to extend stimulus,” by Richard Simon, Baltimore Sun, 1/26/08, posted at http://www.baltimoresun.com/news/nation/bal-te.stimulus26jan26,0,1236183.story
EBT Industry: “On behalf of the Electronic Benefit Transfer (EBT) Council of the Electronic Funds Transfer Association, we offer our support for the proposals to quickly stimulate the economy and help buffer the hardships so many families face by providing a temporary increase in the allotments received by food stamp households. Because of the infrastructure currently in place through EBT, this aid can be implemented expeditiously and cost effectively.” See Letter from Electronic Funds Transfer Association President & CEO H. Kurt Helwig to Senate and House Leaders, 1/24/08.
Bishop Murphy: “As Chairman of the Committee on Domestic Justice and Human Development of the United States Conference of Catholic Bishops, I write to express our hope that the Administration and Congress will work together quickly and cooperatively to shape and pass effective measures to help our nation and our people respond to growing economic stress…The bishops’ conference continues to support strengthening existing programs such as unemployment compensation, food stamp benefits, and the Low Income Home Energy Assistance Program (LIHEAP) as effective means to assist families and help the economy.” See Letter to Treasury Secretary Henry J. Paulson, Jr., from Most Rev. William Murphy, S.T.D., Bishop of Rockville Center, 1/23/08.
AFL-CIO: “ This is no time for Congress to throw in the towel. In addition to extending unemployment benefits and increasing food stamps, we call on the Senate to include fiscal relief to help the states avoid the recessionary effect of budget cuts and tax increases. And we call on the Senate to include an acceleration of ready-to-go construction projects that will put Americans to work making desperately needed repairs to U.S. schools, bridges that have been declared unsafe and sewage treatment infrastructure.” See “Statement by AFL-CIO President John Sweeney on Tentative Economic Stimulus Deal,” 1/2/4/08, posted at http://www.aflcio.org/mediacenter/prsptm/pr01242008.cfm
FRAC: “The stimulus package announced today has the advantage of tax rebates that reach many--albeit far from all--of the lowest income families. But in other essential respects it falls short of what the nation needs both as a stimulus and as a support for those among us struggling with rapidly rising costs for food, energy, and housing. In particular, we note the absence of a temporary boost in food stamp benefits and a temporary unemployment insurance extension, even though economists from a range of political perspectives agree that those are the two measures with the quickest and most cost-effective impact. Enacting a temporary raise in food stamp allotments would strengthen the package, get money out quickly to be spent in local grocery stores across the country, and generate in local communities nearly twice as much economic activity as the investment would cost. We and others who care about both the economy and low-income people in this country will be working in the days ahead to remedy those flaws in the package.” See Statement by Food Research and Action Center (FRAC) President Jim Weill, 1/24/08, posted at www.frac.org.
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