STATEMENT BY AMERICA'S SECOND HARVEST -- THE NATION'S FOOD BANK NETWORK, IN RESPONSE TO ECONOMIC STIMULUS PROPOSALS
The following statement was submitted to the Senate Finance Committee:
America's Second Harvest — The Nation's Food Bank Network is the largest charitable domestic hunger-relief organization in the United States. Through its network of more than 200 member food banks, America's Second Harvest annually provides assistance to more than 25 million people in need, including more than 9 million children and nearly 3 million seniors in all 50 states, the District of Columbia and Puerto Rico. Each year, America's Second Harvest secures and distributes more than 2 billion pounds of food and grocery products to support feeding programs at approximately 50,000 local charitable agencies, including food pantries, soup kitchens, emergency shelters, after-school programs, and Kids Cafes.
As Congressional leaders have discussed in the last few weeks the need for an economic stimulus, consensus has emerged that Congress should try quickly to avert or soften a recession by enacting an economic stimulus bill. Putting more resources quickly into the hands of the people most likely to quickly turn around and spend it can both boost the economy and cushion the hardships on the most vulnerable people who face a constant struggle against hunger, rising energy and food costs, housing problems, and other hardships.
America’s food banks are challenged to meet this increased need for food assistance as working Americans have less to spend on the necessities of life. The food shortages at food banks nationwide are largely due to dramatic declines in food aid from surplus commodity purchases by the federal government. Food banks are receiving less food to stock their shelves because a healthy farm economy has required less intervention in order to support prices.
This challenge is amplified by delays in the enactment of a Farm Bill that would increase TEFAP (The Emergency Food Assistance Program) funding and by the expiration at the end of 2007 of the food donation provision allowing all business taxpayers to take an enhanced deduction for contributions of food inventory. Our food banks and agencies find themselves in the unenviable position of needing to meet increased requests for services as the amount of USDA commodities provided drop precipitously low and food donations from businesses and farmers languish.
According to Vicki Escarra, President and CEO of America’s Second Harvest, “Day after day, headlines across the country are reporting home foreclosures, increased unemployment, bankruptcies, higher gas and energy costs, rising food prices and more. Middle- and low-income Americans are really caught in the squeeze, and food banks are scrambling to keep up with the need.”
Data released in November 2007 by the United States Department of Agriculture in its annual study of hunger in America indicated that the number of people living at the margins of hunger has increased from 35.1 to more than 35.5 million, including 12.6 million children. In December, the US Conference of Mayors released its survey finding more families are seeking aid from emergency food distribution centers, particularly in urban areas.
As a stimulus package is developed to provide targeted short term relief for a slowing economy, America’s Second Harvest urges you to consider including several provisions in the stimulus package to address the urgent needs of low income Americans and provide much needed economic stimulus. Specifically, inclusion of $60 million in short term emergency funding for The Emergency Food Assistance Program (TEFAP) in advance of passage of the Farm Bill would provide a critical infusion of food to America’s food banks. Ensuring that there is enough food to meet the needs of hungry Americans will free up limited resources of low income Americans that can then be spent on other essentials that would stimulate the local economy. Furthermore, providing emergency resources for USDA to purchase additional food commodities would provide a stimulus to local farm economies across America.
America’s Second Harvest also strongly supports temporary increases in food stamp benefits that can provide short term help to low income Americans and have a stimulative effect on the economy.
America’s Second Harvest also believes that inclusion of several provisions included in the Temporary Tax Relief Act of 2007 would provide critically important aid to working Americans. The Temporary Tax Relief Act of 2007 included a one year extension of the food donation provision that allows all business taxpayers to take an enhanced tax deduction for the donation of food inventory to non profits. The expiration of this provision at the end of 2007 has severely hampered the ability of America’s Second Harvest to solicit food donations and has limited the donations of all non-C corporation food donors. Inclusion of the food donation provision as well as the IRA rollover provision included in the Temporary Tax Relief Act of 2007 in the economic stimulus package would greatly increase the ability of America’s Second Harvest and our network of food banks and member agencies to solicit food donations as the number of Americans needing assistance increases.
Contact:
Maura Daly
312-641-6421
Ross Fraser
312-641-6422
