Public Programs Cut Child Poverty by More than Half, According to New Report on Poverty in Massachusetts

Report Commissioned by MASSCAP and Written by MassBudget Looks at
“Obstacles on the Road to Opportunity: Finding a Way Forward Together”

Effective programs that help families to make ends meet, like the Earned Income Tax Credit, SNAP, fuel assistance, school lunches, Head Start, and Social Security cut the number of people in Massachusetts living in poverty by almost half and reduce the number of children living in poverty by more than half, according to a new report on poverty called Obstacles on the Road to Opportunity: Finding a Way Forward Together.” The report was commissioned by the Massachusetts Association for Community Action (MASSCAP) and written by Nancy Wagman, Kids Count Director of the Massachusetts Budget and Policy Center (MassBudget).

“There are myths out there about whether or not public programs reduce the number of people living in poverty – this report shows that the programs that community action agencies administer help vulnerable residents of Massachusetts stay out of poverty,” said Joe Diamond, MASSCAP’s executive director.  “But it also provides valuable data on the obstacles we see towards helping move others out of poverty.”

The study notes that while the incomes of the highest income households have grown considerably over the past several decades, the same cannot be said for low-wage workers.  According to the study, “national economic policies stopped emphasizing wage growth, Congress allowed the real value of the minimum wage to decline, and labor law enforcement agencies weakened protections for workers.”  The positive news is that well-resourced communities in Massachusetts can help to counteract these national trends by lowering the barriers to opportunity.  Still, communities with fewer resources and higher concentrations of poverty are challenged to help residents living in poverty.

“Community Action Agencies are on the ground working alongside residents to promote economic stability and opportunity for children, families, seniors, people living with disabilities, and others who face the challenges of poverty. We hope to elevate the conversation so that others can be part of this struggle,” said Sharon Scott-Chandler, Executive Vice President and Chief Operating Officer at Action for Boston Community Development (ABCD) and MASSCAP’s First Vice President. “This study will continue to guide us as we innovate and collaborate on efforts that support economic mobility.”

The report was released at event in Boston co-sponsored by ABCD and the United Way of Massachusetts Bay and Merrimack Valley along with MASSCAP, who commissioned the study as an update of findings that the agency released in 2014. MASSCAP is the statewide association of 23 Community Actions Agencies (CAAs) operating in Massachusetts.

“Policies that help make work pay—such as the minimum wage and the earned income tax credit—and those that help people balance the demands of work and family—such as paid family and medical leave, earned paid sick days, and affordable child care—help working families find a way forward,” writes MassBudget’s Wagman in the report. “Policies that help families make ends meet—such as those that help put food on the table or provide other income supports—can help families through hard times. Policies that help communities thrive—such as those that support safe, healthy, and affordable housing, and that support high quality local education from the earliest days and into young adulthood—help give every child the best chance at a bright future.”

The Boston Globe’s Adrian Walker moderated panel discussions at the event, which took place at ABCD’s Thelma D. Burns Building in Dorchester. In addition to highlighting the findings in the report, participants focused on the advocacy strategies that those working to end poverty should pursue; effective solutions for ending poverty in Massachusetts and beyond; and ways that organizations can work together to help their clients.  Subsequent forums will take place in Lawrence and Quincy in June, and Worcester and Western Massachusetts in Fall 2018.

“United Way believes in creating positive, lasting change for people in need,” said Michael K. Durkin, President and Chief Executive Officer of the United Way of Massachusetts Bay and Merrimack Valley.  “The report and today’s event allow us to better understand the barriers that create income inequality so that we can focus awareness and resources on the most effective strategies and solutions.  Together, we can fight to ensure individuals and families have access to safe, affordable housing, earn a wage that allows them to support themselves, help them manage their finances and build a future.”

This landmark report is underwritten by United Way of Massachusetts Bay and Merrimack Valley along with The Boston Foundation, Cambridge Community Foundation, Greater Worcester Community Foundation, Community Foundation of Western Massachusetts, Eastern Bank, Essex County Community Foundation, Lowell Community Foundation, United Way of Pioneer Valley, and Worcester Community Action Council.

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