ACTION ALERT: Last Chance for Senate Appropriations Committee to Give HB1616 a Hearing
The week of April 5th is the last chance for the Senate Appropriations Committee to hear HB1616 – a bill to smooth out the childcare benefit cliff. Without a public hearing, the bill can't move forward and economic mobility for hard-working Hoosier families will continue to be hindered. This bipartisan bill sailed through two House committees, the full House and a Senate committee so far without a single vote against it.
THE ISSUE: The 'exit-level' threshold in the Childcare Development Fund (CCDF) design is responsible for the economic phenomenon known as the childcare 'cliff effect' - which occurs when a .50 increase in hourly wages leads to the complete termination of the benefit and a dramatic net loss of resources. This creates a disincentive towards economic mobility; a parent or guardian turns down the raise due to the prohibitive cost of childcare, or does accept the hard-earned increase but is now financially worse off. By reforming income thresholds in the childcare development fund, policymakers can restore the most basic incentive for hard work - a raise that results in an increase in net resources - and provide Hoosier families with a smooth landing into economic self-sufficiency. See our infographic video here.
WHAT YOU CAN DO: Call or email Senate Appropriations Committee Chair Senator Luke Kenley and committee members and ask them to give HB1616 a public hearing and to pass the bill. Remind them that this bipartisan bill sailed through two House committees and a Senate committee so far without a single vote against it.