Comments In Opposition to Part KKK, Part DDD and Part ZZ related

March 12, 2015
Comments In Opposition to Part KKK, Part DDD and Part ZZ related to General Assistance
and Public Benefits Programs in the FY 16/17 Biennial Budget
Alysia Melnick, Director of Public Policy, United Way of Greater Portland
Senator Hamper, Representative Rotundo, Senator Brakey, Representative Gattine, and distinguished
members of the Joint Standing Committees on Appropriations and Financial Affairs and Health and
Human Services, thank you for the opportunity to submit comments on provisions of the biennial
budget proposal that address vital safety-net benefits for many of our most vulnerable neighbors.
United Way of Greater Portland opposes Part KKK of the biennial budget along with the related
deappropriation of more than $5.4 million to the General Fund in each year of the biennium and the
elimination of crucial safety-net benefits for many legal immigrant groups in Part DDD and Part ZZ.
United Way of Greater Portland envisions a community that works together to ensure children succeed
in school, individuals live healthy lives, and everyone has the opportunity to achieve financial wellbeing. Increasing the financial stability of lower-income individuals and families is a key goal of
United Way of Greater Portland. Indeed, we are a committed partner in moving people up a financial
stability continuum, and support various agencies, programs, and strategies to do so.
We are concerned that certain provisions within the biennial budget may do more harm than good.
Specifically, changes to the General Assistance (GA) funding formula as well as changing eligibility
requirements for programs such as General Assistance, Temporary Assistance for Needy Families
(TANF), Social Security Income (SSI) and the Supplemental Nutrition Assistance Program (SNAP)
could dramatically impact some of our most vulnerable neighbors, which could, in turn, negatively
impact our community and our state.
The proposed changes to the funding formula are estimated to result in an almost 42% reduction in
state assistance to General Assistance, a vital program of last resort for many people facing crisis. GA
provides emergency food, medicine, housing, and heat assistance to those in need, as required under
Maine law. The reduction in aid could result in people not receiving the critical services they need to
help them survive crisis or (as in the case of an asylum seeker waiting for their work authorization) fill
a short term income gap until they can become self-sufficient.1
According to 2012 research from the University of New England, about 80% of Maine GA recipients
had worked in the past five years, 60% had substantial physical or mental health conditions limiting
their ability to work, and 92% said that without GA they would have had no place to live.2 For the vast
majority of recipients, GA is a temporary support that helps people on the path to independence. For
example, City of Bangor GA staff report that 81% of recipients receive benefits for 5 months or less.
1
Under federal law, asylum seekers must wait at least 6 months before they can get a work permit, and have few options
for food, housing and medical assistance during this time. Many of these individuals participate in “workfare” while they
wait for authorization, doing jobs like working in soup kitchens, preparing meals for the homeless, and cleaning up their
neighborhood. Even once authorized, asylum seekers may wait 5 or 6 years for their application to be processed.
2
University of New England School of Social Work, “2012 Survey of Longer Term General Assistance Recipients:
Preliminary Findings.” October 17, 2012.
The issue of homelessness, already a concern, could be exacerbated if the GA funding formula is
changed. In January 2015, 489 individuals resided in a homeless shelter on a given night. In this same
month, ninety of the intakes represented people homeless for the first time.3 If general assistance is cut
by almost half, the pressures on shelters, food pantries and other low/no barrier services could be
overwhelming as more people lose the assistance that allows them to remain in their homes.
We are also concerned about the proposed changes to eligibility requirements for General Assistance,
TANF, SNAP, and SSI for individuals here legally, but who are not U.S. citizens. These programs not
only provide a safeguard against illness, hunger, cold, and homelessness and provide limited income
supports for victims, the elderly and seriously disabled, they create opportunities for struggling
individuals and families to transition off of public assistance.
New Mainers arrive with hopes for a better future, often escaping war, natural disasters, and other
crises in their homelands, and bring with them the potential to contribute greatly to our communities
and our economy.4 For example, in Maine, from 2006 to 2011, there were 2,711 new immigrant
business owners who generated a total net business income of $120 million. However, despite high
hopes and potential, federal regulations, language barriers, inability to transfer educational credentials,
and other issues often create a need for public programs and supports to allow them to get on their feet
and provide the short term support they need. If GA, TANF, SNAP and SSI supports these individuals
and families (including the disabled, elderly, and children) are cut, many of these lawfully present New
Mainers will have few places left to turn to fulfill their basic needs.
As we understand the impact of the proposals, most of those impacted are elderly, victims of domestic
violence, people struggling with mental illness or drug addiction, children, individuals with disabilities,
and those waiting for work authorization or asylum determinations from the federal government.
United Way of Greater Portland helps to fund food pantries that feed the hungry and organizations that
shelter the homeless but our donations only account for a small portion of the resources required to
support these services or meet the need. While we recognize that you and your colleagues have
enormous challenges in front of you, we hope you will find a way to balance accountability, efficiency,
and support for our most vulnerable members of the community. We are a committed partner, but we
and the programs and services we help fund cannot do it alone.
Thank you for considering these comments.
Alysia Melnick, Director of Public Policy
United Way of Greater Portland; [email protected]
3
http://www.portlandmaine.gov/ArchiveCenter/ViewFile/Item/584
Immigration is a positive force in Maine’s economy, adding business, jobs, and a much needed workforce to our rapidly
aging state as we face the predicted, crippling “demographic winter.” Research shows that foreign born individuals have
high rates of entrepreneurship, job creation, and add diversity that plays out in a variety of concrete and substantial
economic rewards. Immigrants launch more than ¼ of businesses, are more than twice as likely to start a business as
native-born citizens and are founders of nearly half of America's top venture-funded companies. “The Most
Entrepreneurial Group in America Wasn't Born in America” Inc., Magazine November 2014. In Maine, from 2006 to
2011, there were 2,711 new immigrant business owners who generated a total net business income of $120 million. “The
Political and Economic Power of Immigrants, Latinos, and Asians in the Pine Tree State.” Immigration Policy Center.
January 2015.
4