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Monday, December 25, 2023

"Bracing for Challenges: Expanding Social Safety Net Faces Intensified Pressure in 2024"

 

"Bracing for Challenges: Expanding Social Safety Net Faces Intensified Pressure in 2024"

 

As low unemployment and rising wages fail to alleviate financial burdens for many Americans, safety net programs are experiencing increased demand and funding uncertainty. With the expiration of Covid-era assistance, such as food benefits, housing support, and childcare funding, people are left with fewer resources to cope with persistent inflation

 

As Congress returns from winter break, the budget for 2024 is up for debate. House Republicans are advocating for cuts to social programs, while Senate Democrats may not have the votes to restore pandemic-era benefits like the child tax credit or rental assistance. The looming spending fight could put several programs at risk

 

Meanwhile, demand for government aid is rising. Over the past year, nearly a million more individuals have enrolled in SNAP (Supplemental Nutrition Assistance Program), commonly known as food stamps. Since the pandemic's onset in early 2020, SNAP's recipient base has increased by 2.3 million to over 42 million. However, benefits have decreased by an average of at least $95 per person per month since a Covid-era funding boost expired in March. Stricter eligibility requirements have also been implemented, including a work requirement extension for people aged 50 and above starting in October

 

Food banks are witnessing a surge in demand due to rising food prices (up 25% from pre-pandemic levels) and changes to SNAP's eligibility criteria. The Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) is also under pressure due to insufficient funding compared to enrollment growth. Without a budget increase in 2024 above its $6 billion funding level, state programs may have to introduce waitlists or cut benefits for existing recipients

 

Rising housing costs are another challenge facing low-income households, particularly those relying on programs designed to help renters. The number of people experiencing homelessness has risen by 12% compared to the previous year due to expired pandemic-era assistance and increasing rents. Federal programs designed to help lower-income households afford rent have struggled to keep up with rising housing costs, particularly Section 8's voucher program. If Congress fails to provide sufficient funding, fewer households overall will receive assistance due to cost increases

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