How to Make $16.7 million equal $177 million
(Or, can we send our paychecks to that magic place in the state budget office and make them appear ten times larger as well)
Federal law requires Maryland to spend $177 million a year on cash assistance, work supports and related programs for low income families. And a state law requires maximum food stamp and cash benefits to equal 61 percent of the state’s "Minimum Living Level."
However, the budget proposed by Maryland Gov. Robert L. Ehrlich, Jr. and approved by the General Assembly spends only $16.7 million on cash benefits for very low income families and would fail to meet the 61 percent "minimum living level" standard.
How can $16.7 million equal $177 million?
It’s the shell game, baby. Throw in Montgomery County’s earned income credit, some school spending that helps low-income communities, a little energy assistance, and anything else you can find in the state budget to report to the feds as state welfare spending. Pretty soon it looks like we’re downright generous. Unless, of course, you’re one of those families of three trying to figure out how to live on $112 a week.
FYI: The $16.7 million on cash assistance equals .1 percent (that's .001) of state general fund spending, and amounts to about a quarter a month for each Marylander. Does this level of generosity reflect your values and priorities?
Federal law requires Maryland to spend $177 million a year on cash assistance, work supports and related programs for low income families. And a state law requires maximum food stamp and cash benefits to equal 61 percent of the state’s "Minimum Living Level."
However, the budget proposed by Maryland Gov. Robert L. Ehrlich, Jr. and approved by the General Assembly spends only $16.7 million on cash benefits for very low income families and would fail to meet the 61 percent "minimum living level" standard.
How can $16.7 million equal $177 million?
It’s the shell game, baby. Throw in Montgomery County’s earned income credit, some school spending that helps low-income communities, a little energy assistance, and anything else you can find in the state budget to report to the feds as state welfare spending. Pretty soon it looks like we’re downright generous. Unless, of course, you’re one of those families of three trying to figure out how to live on $112 a week.
FYI: The $16.7 million on cash assistance equals .1 percent (that's .001) of state general fund spending, and amounts to about a quarter a month for each Marylander. Does this level of generosity reflect your values and priorities?
1 Comments:
One more thing.
At the Senate hearing on this issue, committee members were aghast at the shell games and the creativity used to meet the federal spending requirements while spending as little money as possible.
Though one Senator offered this reminder: They had just heard testimony from home health care workers that hadn't received a raise in 19 years (back when we were watching the Cosby Show and Murder She Wrote). The state pays a whopping $50 a day for someone providing 24-hour home care to an individual with a disability. This program saves the state boatloads of money (by helping to keep people out of nursing homes where the cost of care is much more expensive).
His point: There are plenty of places where state (under)spending may not reflect our values and priorities. It would be difficult to know which holes to plug first.
On the other hand, the budget they just passed has such a large surplus that they added $240 million to the "rainy day fund." Maybe some of that money could have been used to plug some of those holes.
Steve Hill
shill@mdnonprofit.org
By MarylandPolicyBlog, at 10:36 AM
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