May is Community Action Month, and Minnesota agencies that help address poverty say demand for services isn't going away. To help clients thrive, they're adding some new parts to their revenue engines.
Community Action Agencies create and help carry out programs that assist struggling households in accessing aid such as energy bill relief, tax preparation and job training.
Kendra Krolik, chief strategy officer with Community Action Partnership of Hennepin County, said state and federal grants make up a big portion of their funding.
She said it certainly helps, but offices such as hers are now expanding their outreach to corporations and foundations to meet current demand.
"With the eviction moratoriums lifting," said Krolik, "we've just seen a big increase in the number of folks who are looking for assistance with their monthly rent payments, with security deposits."
And in the past year, the office saw a 10% increase in energy assistance applications.
Krolik said private partnerships not only allow them to close gaps for those in a crisis but also enhance long-term self-sufficiency programs.
Offices around the state embracing this approach say it gives them more room for discretionary spending based on client needs within their regions.
While community action agencies are diversifying their revenue streams, they did receive an extra $5 million in the new state budget. That additional public support falls under the scope of grant guidelines to which offices have to adhere to.
But Krolik said it's another positive step in establishing financial wiggle room and that collectively, they have more tools to work with in putting a dent in poverty.
"If we have funding that is flexible, that isn't tied to one specific program," said Krolik, "then that just allows us to be more nimble in providing the kind of support that our residents in Hennepin County need."
A corporate partnership with the Hennepin County community action agency provides financial incentives for clients to attend educational workshops.
Clients can use the money for things such as transportation or child-care needs to be able to show up to these events.
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As Massachusetts lawmakers work to finalize tax-relief measures, advocates for low-income families are calling for an expansion of tax credits proven to reduce poverty.
Advocates want to increase the Earned Income Tax Credit state match rate from 30% to 50%, expand the credit to working immigrants and pass an inclusive Child and Family Tax Credit.
Charlotte Bruce, senior research and policy analyst for Children's HealthWatch, said the tax credits will ultimately benefit the entire state.
"When you're putting money back into families' pockets, you're not only supporting their ability to afford basic needs and cost of living," Bruce explained. "They're also putting that money right back into their local economies."
Bruce noted all eyes are on the Senate to see how targeted their tax package will be as both Gov. Maura Healy and House lawmakers have already proposed some credit expansions. Bruce emphasized both tax credits reach overlapping but different populations to provide some relief in one of the country's most expensive states.
Supporters of the expanded tax credits say they provide greater "tax fairness" for some of the Commonwealth's most vulnerable families.
Ancel Tejada, financial empowerment program manager for the Massachusetts Association for Community Action, a coalition of more than twenty community action agencies, called the tax credits "course changing," for one mother who rebuilt her credit score.
"By fixing the credit, she was able to get a new apartment to move her family out of a situation that she wasn't comfortable with," Tejada observed. "Because her credit was the only thing holding her back."
As some lawmakers promote greater tax cuts for Massachusetts' wealthiest households, advocates for low-income families are urging people to contact their legislators and urge them to better use the tax code to help those in need.
Disclosure: The Massachusetts Association for Community Action contributes to our fund for reporting on Housing/Homelessness, Hunger/Food/Nutrition, Poverty Issues, and Social Justice. If you would like to help support news in the public interest,
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May is Community Action Month, and in North Dakota, groups trying to help households escape poverty are gathering feedback on which obstacles are the biggest. It coincides with potential legislative efforts to study housing barriers. Census data show that in 2021, more than 11% of North Dakotans were living in poverty. That is a slight increase from the previous year.
Andrea Olson, Executive Director of Community Action Partnership of North Dakota, which leads offices around the state in linking low-income residents with supportive programs, said their periodic needs assessments allow reliable data to be included in policy discussions for all levels of government.
"We can flesh out the details at a county level, we can flesh out the details regionally, and statewide. Perhaps there are new programs that could be created - streamlined collaboration that could happen," she said.
Olson added affordable housing topped the recent survey, and so far, it is being mentioned a lot in the current assessment. Residents have until the end of June to participate in the new survey, which is found on the CAP-ND website. Meanwhile, this Thursday, a legislative body will decide which studies proposed in the recent session to adopt, including one dealing with housing-access issues.
That pending decision follows a recent announcement from the state's Rent Help program that it is scaling down applications for aid. Strong demand drew down the available funds from federal pandemic-relief bills.
Rep. Josh Boschee, D-Fargo, is proposing the housing study, which he said would take a holistic approach.
"What resources are out there for tenants' rights when it comes to evaluating their contracts? What kind of financial supports are available? And then the conversation has expanded with others, in terms of affordable homeownership," he said.
Boschee added the study would also look at what has worked with Rent Help and what has not, in hopes of carving out long-term solutions for renters. His proposal has bipartisan support, but it is unclear the state's legislative management will choose it for an interim study between sessions.
Disclosure: Community Action Partnership of North Dakota contributes to our fund for reporting on Budget Policy & Priorities, Health Issues, Housing/Homelessness, Hunger/Food/Nutrition. If you would like to help support news in the public interest,
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Community action agencies in the Commonwealth are working with state lawmakers to ensure funding of their work to alleviate poverty continues.
Previous state funding helped the Worcester Community Action Council, serving Central and South-Central Massachusetts, create a Resiliency Center, offering financial coaching and income-tax assistance to low-income families.
Marybeth Campbell, executive director of the council, said her agency is not doing things for people, but with them.
"We can help affect change that isn't just about stabilizing someone for a period of time who might be in crisis but really moving them onto that crisis to thriving continuum," Campbell explained.
Campbell observed low-income families are struggling more now than during the pandemic, and flexible state funding as well as federal aid allows her agency to innovate and evolve to best serve the needs of people.
State funds helped the nonprofit Pace Incorporated in New Bedford acquire and renovate a building, where families receive help with health care, financial and child care services.
Pam Kuechler, executive director of Pace, said funds were also used to create a food pantry, offering greater choice and dignity to families in need.
"We wanted this to be a place where people felt welcome," Kuechler emphasized. "We wanted them to feel like they had the decision on what they wanted to take, and we wanted them to walk away feeling like they got what they needed."
Kuechler stressed food insecurity remains high due to inflation and supply chain issues. She added community action agencies are there to identify needs and fill in the gaps, contribute to workforce development and ensure all families have a fair shot at success.
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