Time To Raise Federal Poverty Line, Dozens Of NJ Lawmakers Say

NEW JERSEY — It’s time to raise the federal poverty line and let more people access crucial public assistance programs in the United States, dozens of state lawmakers in New Jersey say.

That’s the gist of AR131, a symbolic piece of legislation that recently passed a vote in the state Assembly. The bill – which doesn’t take any actual action on its own – calls on the federal government to let more people qualify for programs like Medicaid, the Supplemental Nutrition Assistance Program and Temporary Assistance to Needy Families.

“The system is designed to keep people like me down and behind,” Assemblywoman Shanique Speight recently told her peers in the state Legislature, making a case for the bill, which passed 62-13-1 on Oct. 28.

“Raising that threshold will help individuals that look like me,” said Speight (NJ-29), who chairs the Aging and Human Services Committee.

Other primary sponsors of the Assembly resolution include Shavonda Sumter (NJ-35) and Carmen Morales (NJ-34). A companion bill, SR100, has been referred to Senate Health, Human Services and Senior Citizens Committee.

A statement attached to the resolution reads:

“The current federal poverty line was developed in the 1960s and was based on a household’s ability to afford basic foodstuffs alone; it did not account for other living expenses such as housing, transportation, child care, and health care, which have all risen exponentially in price over the past sixty years. The federal government has not changed the original calculation for the poverty line since its inception, aside from adjusting for inflation. Consequently, nearly 53 million households cannot afford basic necessities such as food, housing, and health care, but only 37.9 million are officially recorded as living in poverty, as of 2022.”

“Since 2020, the COVID-19 pandemic and the rampant rate of inflation have only worsened the cost-of-living crisis, increasing the financial burden on many poor Americans who cannot access social welfare,” the statement continues.

“In addition, recent policies to raise the minimum wage across the country have had unintended consequences for low-wage earners who have lost access to public assistance in exchange for a marginal, and often insufficient, increase in pay, resulting in a benefits cliff,” the lawmakers added.

• See Related: NJ Raises Minimum Wage To $15 – But It Still Isn’t Enough To Live On

“Federal poverty level” income numbers are used to determine if people are eligible for several important federal aid programs, including savings on Marketplace health insurance. They are issued each year in the Federal Register by the U.S. Department of Health and Human Services.

As of Jan. 17, here’s where the 2024 poverty guidelines stand (excluding Alaska and Hawaii):

• 1 person in family/household – $15,060
• 2 people in family/household – $20,440
• 3 people in family/household – $25,820
• 4 people in family/household – $31,200
• 5 people in family/household – $36,580
• 6 people in family/household – $41,960
• 7 people in family/household – $47,340
• 8 people in family/household – $52,720 (for families/households with more than 8 people, add $5,380 for each additional person)

Federal programs that use the poverty guidelines (or some multiple of them) include:

Department of Health and Human Services:

• Community Services Block Grant
• Head Start
• Low-Income Home Energy Assistance Program (LIHEAP)
• PARTS of Medicaid
• Hill-Burton Uncompensated Services Program
• AIDS Drug Assistance Program
• Children’s Health Insurance Program
• Medicare – Prescription Drug Coverage (subsidized portion only)
• Community Health Centers
• Migrant Health Centers
• Family Planning Services
• Health Professions Student Loans — Loans for Disadvantaged Students
• Health Careers Opportunity Program
• Scholarships for Health Professions Students from Disadvantaged Backgrounds
• Job Opportunities for Low-Income Individuals
• Low-Income Household Water Assistance Program

Department of Agriculture:

• Supplemental Nutrition Assistance Program (SNAP) (formerly Food Stamp Program)
• Special Supplemental Nutrition Program for Women, Infants, and Children (WIC)
• National School Lunch Program (for free and reduced-price meals only)
• School Breakfast Program (for free and reduced-price meals only)
• Child and Adult Care Food Program (for free and reduced-price meals only)
• Expanded Food and Nutrition Education Program

Department of Energy:

• Weatherization Assistance for Low-Income Persons

Department of Labor:

• Job Corps
• National Farmworker Jobs Program
• Senior Community Service Employment Program
• Workforce Investment Act Youth Activities

Department of the Treasury:

• Low-Income Taxpayer Clinics

Corporation for National and Community Service:

• Foster Grandparent Program
• Senior Companion Program

Legal Services Corporation:

• Legal Services for the Poor

Some state and local governments have chosen to use the federal poverty guidelines in some of their own programs and activities. Examples include financial guidelines for child support enforcement and determination of legal indigence for court purposes, the Assistant Secretary for Planning and Evaluation notes.

Some private companies (such as utilities, telephone companies, and pharmaceutical companies) and some charitable agencies also use the guidelines in setting eligibility for their services to low-income persons.

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