Support for District Child Tax Credit Amendment Act and the Financial Support for Families with Children Amendment Act

District of Columbia City Council

The Covid-19 pandemic laid bare and intensified the economic marginalization of Black and Latinx communities in Washington, D.C. and across the country. It’s time we took bold action to address this. On behalf of the DC Guaranteed Income Coalition and the undersigned allies we request that you urge your colleagues on the D.C. Council and the Mayor to support a budget that makes a giant step to a permanent guaranteed income for the residents of the District of Columbia.

Petition by
Dc Coalition
Washington, District of Columbia

To: District of Columbia City Council
From: [Your Name]

April 19, 2023

The Honorable Chairperson Philip Mendelson
The Honorable Committee Chair Kenyan McDuffie
Council of the District of Columbia
1350 Pennsylvania Avenue, N.W.
Washington, DC. 20004

cc:
At-Large Councilmember Anita Bonds
At-Large Councilmember Robert C. White, Jr.
At-Large Councilmember Christina Henderson
Ward 1 Councilmember Brianne K. Nadeau
Ward 2 Councilmember Brooke Pinto
Ward 3 Councilmember Matthew Frumin
Ward 4 Councilmember Janeese Lewis George
Ward 5 Councilmember Zachary Parker
Ward 6 Councilmember Charles Allen
Ward 7 Councilmember Vincent C. Gray
Ward 8 Councilmember Trayon White, Sr.

Subject: Fund and Pass Guaranteed Income in Washington, DC: The District Child Tax Credit and the Financial Support for Families with Children Act.

Dear Council Chair Mendelson and Committee Chair McDuffie:

The Covid-19 pandemic laid bare and intensified the economic marginalization of Black and Latinx communities in Washington, D.C. and across the country. It’s time we took bold action to address this. On behalf of the DC Guaranteed Income Coalition and the undersigned allies we request that you urge your colleagues on the D.C. Council and the Mayor to support a budget that makes a giant step to a permanent guaranteed income for the residents of the District of Columbia. More than 100 Guaranteed Income Demonstration Programs have grown up across the country in recent years. In 2022, Washington, D.C.’s publicly funded Strong Families Strong Futures guaranteed income program launched as one of these programs. The demand (https://d.docs.live.net/05dab815c2c34b93/Documents/A%20%20%20%20MOTHERS%20OUTREACH%20EVERYTHING/report%20with%20a%20status%20update%20on%20the%20program,%20that%20we%20submitted%20to%20DC%20Council:%20https:/lims.dccouncil.gov/Legislation/RC24-0241) for guaranteed income in Washington DC is so powerful that more than 1500 applicants sought spaces in this 132-person program.[1]

We are calling on you to move us closer to a city where everyone lives above the federal poverty level, around $30,000 for a two-parent family of four, US Census. About 23% of children in DC live below this basic standard of living. We urge you to support our path to that critical landmark by passing the District Child Tax Credit Amendment Act of 2023 (DC CTC) and the Financial Support for Families with Children Act of 2023 (FSFC).[2]

Pass and Fund the District Child Tax Credit Amendment Act

The District Child Tax Credit Amendment Act, which you co-introduced with Ward 5 Councilmember Zachary Parker, would provide for up to 3 children, up to a $500 per child tax credit to low-and-middle-income individuals making less than $120,000 (and joint filers making up to $175,000). MON (Mother s Outreach Network) is proud to have supported PolicyEngine in their recent study (https://policyengine.org/us/blog/2023-04-02-district-child-tax-credit), which analyzed the proposed District Child Tax Credit (DCTC) and its potential impacts on families in DC. The study estimated that if fully adopted, the DCTC would reach 20% of the DC population and reduce child poverty.

Additionally, the DCTC’s design, which features a gradual phase-out structure, sets it apart from other DC programs and may contribute to mitigating benefit cliffs for participants in public benefit programs. This welfare protection is crucial for Black mothers and their families, as they often face multiple barriers in accessing resources and support.

We urge the DC Council to pass the DCTC quickly and amend the legislation to begin sooner than 2026, so that the benefits reach those who need them most without further delay.

Pass and Fund the Financial Support for Families with Children Amendment Act
The Financial Support for Families with Children (FSFC) Amendment Act of 2023, also introduced by DC Councilmember Zachary Parker, is a proposed tax credit that could provide substantial financial relief to families in the District of Columbia. MON is proud to have supported the new study that evaluates the impact of this proposal, specifically its potential to reduce Black poverty rates in DC.

According to the findings of PolicyEngine's recent MON-supported study (https://policyengine.org/us/blog/dc-financial-support-for-families-with-children), the FSFC would reach 10% of the DC population and would reduce child poverty in DC by 5%. Along with the District Child Tax Credit, these two tax credits would make a meaningful impact on Black and other households of color in the District.

Its design pursues a more targeted approach and a faster phase-out rate, setting it apart from other DC programs and may contribute to providing targeted support to low-income families. Further, this program stands in the gap for residents with no income and do not qualify for federal income tax. It is imperative we give people that don’t work a path for economic inclusion. This is crucial for Black mothers and their families, as they often face multiple barriers in accessing resources and support.

In conjunction with the DCTC, the FSFC has the potential to create a comprehensive support system for Black mothers and their families in the District, addressing economic challenges and diverse community needs. We urge the DC Council to immediately pass this legislation and ensure the benefits reach those who need them most, complementing the District Child Tax Credit (DCTC) and addressing the pressing issue of Black child poverty in DC.

Support The “Solution to Poverty”: Guaranteed Income.

In 1968, Reverend Dr. Martin Luther King called guaranteed income “the solution to poverty”: It puts impactful, unconditional, monthly payments in the hands of those of us who need it most. It is time for the DC Council and the DC Mayor to support guaranteed income for all DC residents.

Joining Mayors for a Guaranteed Income (MGI) is one compelling step toward tackling the staggering poverty and economic inequality that has plagued the District and prevented universal economic growth in our city. We have gathered nearly 1,500 signatures on our petition seeking the support of Mayor Bowser, most of them through citywide street canvasses. We also ask that the DC Council sign a petition to urge the Mayor to join with the coalition of over 100 US mayors. Join us and sign our petition here: https://mothersoutreachnetwork.org/sign-our-petition/

Beginning in 2021, the following Organizations signed on to the 2021 Guaranteed Income Coalition Petition for the Mayor to Join the 100+ Mayors in the Mayors for A Guaranteed Income Coalition.
● Bread for the City
● Brookland Manor Coalition
● DC Action
● DC Statehood Green Party
● EmpowerDC
● LIFT-DC
● One DC
● ROC-DC
● Save Us Now
● Serve Your City/Ward 6 Mutual Aid
● Southeast Ministry
● SW DC Action
● THRIVE East of the River
● DC Fiscal Policy Institute

In 2023, we ask you to join this new effort to pass guaranteed income legislation in the District of Columbia.

Sincerely,

SIGNATORIES TO THE LEGISLATION

Organizational Signatories:
DC Action
Max Ghenis, President, UBI Center

SIGNATORIES TO THE FULL LETTER

Organizational Signatories:
DC Guaranteed Income Coalition
Bread for the City
The Council @ Park Morton
DC Fiscal Policy Institute
DC Statehood Green Party
Empower DC
Every Mother is a Working Mother Network
Give Us Back Our Children Network
Global Women’s Strike
Harriet's Wildest Dreams
Khadijah Williams, National Director, Policy and Advocacy, LIFT Inc
LaDon Love, Executive Director, SPACEs in Action
Legal Aid DC
Mamatoto Village
Maurice Cook, Executive Director/Lead Organizer, Serve Your City/Ward 6 Mutual Aid
Minnie Elliott, Brookland Manor Brentwood Village Residents’ Association
Mother’s Outreach Network
Myron Long, The Social Justice School
ONE DC
Party for Socialism & Liberation - DC
Rachel West, US PROStitutes Collective
RebuildingTheCommun7ty
ROC DC
SW DC Action
Women of Color in the Global Women’s Strike