WASHINGTON, DC – Today, the United States Senate approved the American Recovery and Reinvestment Act, the highly publicized economic recovery package. The bill now moves forward to a conference committee, which will iron out the differences between the House and Senate versions of the legislation. First Focus, a bipartisan children’s advocacy organization, has expressed serious disappointment over the final version of the legislation in the Senate, as nearly 40 percent of the $106 billion in cuts made to the original Senate legislation are reductions to programs that support American children and their families.
“We are hopeful that that programs and tax policies benefitting America’s children and families will be strengthened as the House and Senate work to reconcile the differences between their respective versions of the legislation,” said Bruce Lesley, President of First Focus, a bipartisan children’s advocacy organization. “We were disappointed to see a deal reached in the Senate largely on the backs of America’s children. Indeed, conferees must place a higher priority on our nation’s future.”
“We are most disappointed to see the Senate pass a $10.7 billion reduction to the Child Tax Credit, a critical credit that provides resources directly to low income families who will use them in the economy immediately. Infusing federal dollars into low income families who are most likely to spend them is an effective economic stimulus that also keeps our children out of poverty, saving money in the long term. It is our hope that conferees will recognize the importance of this program and will adopt improvements to the Credit as written by the House.
“However, there are provisions in the Senate legislation that are meritorious. For example, we are grateful for the inclusion of an increase in federal payments for Foster Care and Adoption Assistance, which will provide significant fiscal relief to states and is vital in helping states meet the needs of vulnerable children and families during a recession. Moreover, the Senate-passed recovery package strategically meets the needs of homeless students, through increased resources and a timely allocation of funds through the Education for Homeless Children and Youth program. The Senate also provides critical funding for the Social Services Block Grant. Each of these investments will simultaneously provide relief for the nation’s low-income families while stimulating our economy.
“But despite all of these positives, the Senate legislation has been amended to cut more than $50 billion from programs that specifically help America’s children, such as Head Start, school construction, education for disadvantaged children, and prevention programs. Right now, low-income families are struggling to make ends meet, child poverty is on the rise, and unemployment is skyrocketing. As these two bills are reconciled, we must place a greater priority on assistance for children and families in need, providing effective stimulus while keeping kids from falling into poverty.”
A recent analysis by the organization has found that in the Senate, more that 45 percent of the $83 billion in cuts proposed to the appropriations titles is from spending on children’s programs. In total, the Senate legislation provides $50 billion less for children’s programs than the package passed by the House of Representatives two weeks ago.