CONGRESSMAN MORELLE TAKES ACTION TO LOWER COSTS FOR FAMILIES
Sponsors legislation to establish permanent expanded Child Tax Credit one year after it was first implemented
(Rochester, NY) — Today, Congressman Joe Morelle announced his sponsorship of the American Families Act, critical legislation that will cut costs for families by making the expanded Child Tax Credit (CTC) permanent. Rep. Morelle was joined by community partners who recognize the important role the Child Tax Credit has played in uplifting struggling families.
“As we continue to face challenging circumstances at home and abroad, it’s more important than ever to take actions that lower costs for families,” said Congressman Joe Morelle. “We already know that the child tax credit is transformative: now it’s time to make it permanent and put more money back in the pockets of hard-working parents.”
Congressman Morelle fought to expand the Child Tax Credit as part of the American Rescue Plan passed by Congress in March 2021. Those provisions increased the credit and established monthly payments rather than yearly—a critical tool to help families budget and pay monthly bills. Following the first round of expanded CTC payments in July, households with children who reported they did not have enough to eat dropped 24%. According to a recent survey 56% of families spent their CTC payment on food, 33% spent it on internet and other utilities, and 30% spent it on mortgage/rent.
Rochester has one of the highest rates of child poverty in the nation, with 32.6% of the city's population living in poverty. In the 25th Congressional District, 124,000 qualify for this benefit which has already provided $187.6 million in assistance from July through December.The House of Representatives passed an extension of this critical provision which has stalled in the Senate. Rep. Morelle is now cosponsoring the American Families Act, which would make the expanded Child Tax Credit permanent.
"Making the expanded Child Tax Credit permanent is essential to many of the families that Baden Street Settlement helps every day,” said Michael Marsh, Executive Director of the Baden Street Settlement. “This assistance has been vital to these families and has helped to ease child poverty in Northeast Rochester and needs to be continued. We, on behalf of our families, applaud Rep. Morelle for cosponsoring this bill."
“The Children’s Agenda’s poll of Monroe County parents last month shows a staggering 90% of parents of children under 18 support providing tax credits to families with young children,” said Larry Marx, CEO of The Children’s Agenda. “It also shows that when parents are at the kitchen table having dinner, paying bills or helping kids with homework, 7 out of 10 are experiencing crisis-level stress around pocketbook issues, like affording childcare. That’s true for city and suburban parents, white, Black or brown, fathers and mothers, Republicans and Democrats – all across the board. Meanwhile, Congress’ failure to continue last year’s expanded federal Child Tax Credit this year has plunged some 3.7 million children nationwide back into poverty, including 10,000 children in Monroe County who were helped last year by the credit. The American Families Act is critically needed right now to address families’ deeply felt sense of stress and crisis, helping meet their basic needs. We thank Congressman Morelle for listening to parents and fighting for this legislation.”
Jerome Underwood, President of Action for a Better Community:
“The time is always right to do what is right…” so said Dr. Martin Luther King, Jr. If we are sincere about improving the lives of our most vulnerable, making the Child Tax Credit permanent is the right thing to do, and must be a legislative priority. As a member of the National Community Action Partnership (NCAP), Action for a Better Community urges others in Congress and the Senate to join Congressman Morelle in support of this bill.”
Specifically, the American Family Act of 2021 will:
- Make the Child Tax Credit fully refundable.
- Increase the amount of money families receive from the Child Tax Credit.
- Allow for an additional credit for families with children under six years old.
- Require the amount families receive from the Child Tax Credit adjust annually with inflation.
- Require the Department of the Treasury to establish a program for making monthly advance payments of the Child Tax Credit.
For more information, read the full text of the bill here.