Save Our Safety Net blogs

Tax the Rich, Save our Safety Net! (a review of the SOS campaign, Sept. '11)

Burke Stansbury — Thu, 22 Sep 2011 13:42:56 +0000

(cross-posted from Left Turn)

Victory: On September 20, 2011, the DC city council voted to increase taxes on residents making over $350,000 a year by approximately .5%. By finally creating a new tax bracket targeting high-income earners the council acceded to the demand of Save Our Safety Net, DC! (SOS) and other local advocates who together have been fighting for a more progressive tax system in the district. It was a strange victory for the coalition as there was no grassroots mobilization in the days leading up to the surprise vote. Nor was there any guarantee that the more than $100 million in new revenue over the next four years would go towards rebuilding the city’s safety net. Still, there’s no doubt that the groundwork for the vote was laid by the SOS campaigns over the past two and a half years. Perhaps most pleasing was the sight of the most conservative, anti-tax members of the council squirming and bitterly whining as the proposal they had fought so hard to avert was finally put into law.

For more than two years, SOS has campaigned for a progressive income tax structure to generate the revenue necessary to save Washington DC’s vital human services. Safety net services have lost 33% of their funding in the last four years while at the same time corporate entities like luxury hotels have been awarded millions in tax abatements. Using diverse partnerships and creative tactics, SOS has been changing the public conversation around budget cuts, and providing opportunities for many more DC residents to shape the budget.

In previous budget battles, SOS utilized the strength of grassroots organizing to encourage both safety net users and people with privilege to fight for raising taxes on high-income earners in order to create revenue that would protect the safety net. In so doing, they won the votes of five DC Councilmembers in favor of progressive revenue. These city leaders even donned capes and were proclaimed “safety net super heroes” by SOS. The problem was that two more Councilmembers were needed to save DC’s struggling human services budget. In the end, SOS wasn’t able to muster the votes needed to pass the increase in taxes in May 2010 or again in November during an emergency council session that arose due to a budget shortfall.

As the fight around the FY2012 budget emerged in early 2011, members of SOS were optimistic that the newly-elected Mayor Vincent Gray would introduce income taxes into his proposed budget if some well-directed grassroots pressure pushed him in the right direction. Given the short amount of time there was to impact the mayor’s budget proposal, SOS launched a “Sway Gray” campaign which focused on a few key ways to influence him. SOS utilized statements the mayor had previously made about raising taxes to expose his apparent reluctance to propose increases. At one point he said “everything is on the table,” as it relates to budget cuts, which included the city services essential to struggling families. So SOS led a weeklong series of lunches at the mayor’s office demanding that he “take the safety net off the table!”

Each day members of SOS visited the mayor with lunch and letters asking him to introduce new tax brackets of 9% for income over $100,000, 9.5% for income over $200,000 and 10% for $500,000 and up. Currently DC’s highest income bracket is at $40,000, meaning you get taxed at the same level if you make $41,000 or $4.1 million! By the end of the week more than 60 DC residents, service providers and safety net users were chanting outside the mayor’s office. Members of SOS sat down for a grand style picnic, offering 6 foot subs and 3 layer cake as an alternative to safety net service cuts.

Not Enough

In the days leading up to the delivery of the three-tiered cake, the mayor’s budget office was distancing itself further and further from the idea of income tax—but on April 1 Mayor Gray introduced an income tax as part of his budget. Unfortunately, it wasn’t enough to be cause for celebration. On the one hand, it included a new income tax bracket of 8.9% which would kick in at $200,000; on the other hand, it also included $133 million in cuts to safety net services. SOS’s campaign strategy had been to secure a progressive income tax structure IN ORDER to save the safety net. The tax increase was there but social services had been slashed continuing a legacy of disproportionate safety net cuts to address city-wide budget shortfalls.

After several council and coalition meetings we realized that strategic alliances were the key to restoring the safety net and securing the proposed income taxes. Through bi-monthly SOS strategy sessions, activists and community members were engaged, educated, and empowered about the basics of the budget.

SOS also worked with partners in a series of creative actions. First up was a “Housing for All” Rally that challenged the drastic proposed cuts to affordable housing and the Housing Protection Trust Fund. Then on May 18, just a week before the budget vote, members mobilized 250 people to converge on City Hall for a “Safety Net Reality Tour.” This enormously successful event came on the heals of a homeless march, and garnered media attention for some of the personal stories of budget cuts affecting DC residents and the services they rely on. The City Hall exhibit was designed to engage Councilmembers and remind them that restorations were needed to keep DC residents safe, housed, and healthy.

The Reality Tour closed with a fascinating visit to the office of Council Chairman Kwame Brown, who had made clear that he intended to strip income tax increases from the budget. As DC residents railed against the cuts and called for new taxes outside his office, the Chairman finally emerged to address the crowd. He asserted that he would find a way to restore the worst cuts in the proposed budget – especially those related to homeless services – but refused to make a commitment around raising taxes for high-income earners. As the crowd booed and repeated their call for new taxes, a woman standing next to Brown asked, “How are you going to pay for it?!” The question continued to linger in the air after Brown turned his back and disappeared into his office.

Superhero Intervention

The last few weeks of each year’s budget battle have included surprising twists and turns. Council allies start to falter, surprising new alliances emerge, and last minute changes slowly leak to the public. One of the values of SOS’s organizing is that it turns leaked details normally only heard by a few political insiders into occasions for public outcry. When SOS heard that some of its budget “superheroes” were turning on them, activists carried out a Superhero Intervention with 100 other people just days before the budget vote. The local Fox news was on-hand to cover the superheroes’ effort to save the day.

Ultimately, SOS failed to undo many of the cuts, and once again a more just income tax system was not implemented as part of the budget. However, SOS did score some major wins. The worst of the cuts – ones that would have closed shelters for over 1,500 single individuals and cut cash assistance for families and the disabled – were restored. A number of other progressive revenue measures were passed, such as requiring corporations to pay taxes on the money they make in DC and not file it in a state with a lower tax rate. The city also will now limit on the itemized deductions that families with incomes over $200,000 can claim. Both measures close tax loopholes that cost the city money and let those who are most able to pay, off the hook. In addition, the DC Council committed that any revenue increase beyond projections will to go fund important city programs like affordable housing, child mental health, and childcare vouchers.

Moreover, while states like Wisconsin and Ohio are primarily targeting union jobs and service cuts, DC has been forced to reframe the debate as one of cuts vs. progressive revenue, the latter increasingly gaining ground. A poll released in May showed that 70% of residents believe that it is more important to preserve services than to hold down taxes. The budget has become a social justice issue in DC, with groups as diverse as the Washington Peace Center and service providers like So Others Might Eat spreading the word and attending SOS’s creative actions.

By participating in four budget fights over two years, SOS has challenged the business-as-usual attitudes of both government officials and paid advocates. DC is known as a city that is weak on grassroots organizing and heavy on professional advocates, so the more radical style and tactics of SOS have not always been well received. However, the success of their campaign to introduce a new high-income tax bracket in DC will surely change those views..

At this point, the future of SOS is uncertain, but the need for continued militancy around budget issues remains. In particular, organizers in DC, as well as others committed to struggles over local budget issues, must continue to work to change the narrative around safety net services and taxes--the former as a necessity given the increased rate of poverty and joblessness in the district, the latter a means towards making our economic system more fair. Perhaps a victory like this, during a time when the national debate continues to be more focused on cutting benefits and services for the poor, will be a beacon for a reinvigorated national movement to attack our country’s appalling wealth inequality by taxing the rich.

The 2nd Vote is Over, a Look Back at the Budget

elizabeth falcon — Thu, 16 Jun 2011 13:09:39 +0000

So here we are. DC Council just passed its second vote on the FY12 Budget. Let’s look at how the city decided to bring in and spend its money. There has been a lot of focus on a few issues in this budget, so let’s look at the city’s income and expenses now that the FY12 budget has passed.

Remember back to March 1. We were heartbroken to learn that the Mayor was proposing huge cuts to affordable housing, homeless services, health care, and others. At the same time on the revenue side, we saw an unprecedented amount of progressive revenue being
proposed. The mayor’s income tax proposal on income over $200,000 is what we and everyone else got most energized about, but there were other measures that were introduced and passed.

The Mayor proposed a limit on itemized deductions that can be claimed by families making over $200,000 a year. He also offered implementing legislation for combined reporting – which allows DC to fully tax multi-state corporations like McDonalds and Target. Both of these quietly passed the second vote on Tuesday. There were some changes to the combined reporting legislation which lets corporations off the hook a little, but they would not be implemented for four years, so there is time to make it stronger again.

And then there was the bond tax. Chairman Brown really seemed to think that taxing out of state bonds was a better way to raise revenue than income tax, and replaced one with the other. We were surprised to see this switch; last year we proposed this tax, but there was so little interest on the Council we stopped bringing it up. When Chairman Brown proposed the bond tax, he also proposed rolling it back for current-bond holders if the city raised more revenue than is currently predicted. In the first vote, a majority of the Council rejected this idea, and chose to restore further safety net cuts instead.

On Tuesday, Mary Cheh tried to reintroduce that measure, but this time above all other program funds – including police, affordable housing, and mental health. Again, that attempt was narrowly defeated.

So it looks like DC took a strong stand on progressive revenue, with new taxes on bonds and closing loopholes for high-income earners and multi-state corporations.

But let’s remember what DC needed to fund with this money. On that fateful day in March, the Mayor proposed $131 million in cuts to low income programs. In the end, a few programs were spared their cuts:

$17 million was restored in Homeless Services, restoring the majority of their funding, and helping to keep shelters open all year
Changes in TANF were postponed by one year, restoring $5 million in proposed cuts
Interim Disability Assistance avoided being eliminated with a $1.5 million restoration

But not all programs were so lucky. Most safety net programs were offered the promise of funding if revenues increase beyond what is currently predicted. On this list are the Housing Production Trust Fund, Housing First, mental health services, and way at the
bottom of the list, child care vouchers.

On Tuesday, the measure to roll back taxes rather than fund programs was defeated, but another $44 million in program costs were put above all other restorations. At the last minute, Mayor Gray told the Council that he needed this money to maintain the Alliance city healthcare program and school nurse program. This means other program restorations have been pushed further down the list. For most of the programs we advocated for, more than $100 million in new revenue will be needed to make restorations.

So where does that leave us? We commend the city for implementing progressive revenue, restoring the worst of the budget cuts, and prioritizing funding for services we need. We realize that there is much work to do to fully restore the city's safety net. The prioritized list is a step in the right direction, and we're going to make sure the city continues to focus on restoring programs that meet the needs of low and moderate income residents in good times and bad.

And a big thanks to all our supporters and allies in this budget fight. These revenue proposals and program restorations would not have been possible without your hard work!

The Safety Net Still Needs You

elizabeth falcon — Tue, 07 Jun 2011 14:59:07 +0000

What’s Happening with the FY12 Budget?

On May 25th, the DC Council took the first of two votes on the Budget Support Act, which is the series of laws that needs to be approved for the budget to be enacted. Though the Council voted against Mayor Gray’s income tax proposal, the preliminary budget approved by our legislature had many elements we can be happy about. It included progressive revenue through a tax on out of state bonds, and restored about $27 million to safety net programs. In addition, if the District experiences an uptick in revenue this year the city could restore up to $33 million more.

The first $27 million includes some of our highest priority restorations including:
·         $17 million in restorations to homeless services
·         $1.2 million for cash assistance to residents with disabilities
·         $4.9 million for Temporary Assistance for Needy Families
These restorations are included as part of the Fiscal Year 2012 budget. Yet the Mayor and DC Council can restore even more money to safety net programs if the city’s revenue forecast brightens, as many expect it will.

On May 25, the DC Council outlined a plan to restore money to a number of other safety net programs if the city sees increased revenue. Some programs that have been promised funds from future revenue are ones that provide affordable housing, such as the Housing Production Trust Fund and Housing First. Other programs include mental health programs and childcare. Basically, this piece of the budget just puts programs in line should more revenue come in.

These programs need to pass a second vote on June 14th. We need your help to make sure the Council keeps these safety net programs as a priority for funding when they take the second vote.

What you can do
Email your Councilmembers. Click here to send an email to the council calling for restorations not roll backs of progressive revenue.

Join Save Our Safety Net for a “Race for Restorations” Friday June 10, at 10 AM at the Wilson building. We’ll be visiting the 7 Councilmembers who voted for additional safety net restorations to thank them for their action, and encourage them to repeat it on June 14.

Tell Council: Safety Net Needs Future Funds

Aiyinah D. Ford — Tue, 07 Jun 2011 14:37:09 +0000

As we approach the final budget vote on June 14, 2011 the fight isn't quite over!

With your hard work, we won progressive revenue through a tax on out of state bonds. More importantly, we received $27 million dollars in restorations to safety net services that keep residents safe, healthy, and housed. We also won a promise of $33 million more in restorations if the city brings in additional money. This promised future revenue must pass a second vote on June 14th.

We commend our City Councilmembers for prioritizing the needs of low and moderate income residents in next year's budget. We know there are members of the Council who would prefer to roll back the bond tax - jeopardizing the promised $33 million in restorations to safety net programs. Programs in line for this future funding include Interim Disability Assistance, Children’s Mental Health services, Homeless Services, and the Housing Production Trust Fund.

Tell the Council the budget is okay let the restorations stay!

Click here to send an email to your Councilmember.

Thank you for all that you do,

Aiyi'nah Ford

PS. Please join us on Friday for the Race to Restore the safety net! Here is a link to our facebook page.

DC Council Budget Vote Run Down

Aiyinah D. Ford — Thu, 26 May 2011 17:08:26 +0000

If you haven't already heard, we didn't win the income tax brackets. But we did win one progressive revenue source which is helping to pay for our other collective win: Millions in restorations to safety net services! And it is directly due to OUR PRESSURE! Check out this news report from the day before the vote:

But Jack Evans is already trying to undo $13 million in possible restorations in order to repeal the progressive revenue that did make it in the budget--a progressive revenue, incidentally, that HE VOTED FOR. He even wrote an email to other Councilmembers telling them "You need to help us". They don't seem to give up, but neither do we. Click HERE to take action to make sure all new revenue will go towards services and not a tax repeal.

WHAT DID WE GET IN THIS BUDGET?

Let's start with SAFETY NET FUNDING RESTORATIONS

Restorations were either funded in the budget, or promised future funding in a list of priorities if the June revenue forecast reveals the city will be getting more money than Council thought. (It is widely estimated that there will be additional funding that can be used to start funding the priorities in the order the Council has laid out.) Here's a table to show you how restorations stand (there may be adjustments here and there as the final budget is analyzed, but this should be fairly accurate):

Services	Cuts	Restorations in Budget	Restorations IF more $$ in June
Homeless Services	$20.5M	$17M	$2.2M
Housing Prod. Trust Fund	$18M	0	$18M
Interim Disability Asstnce	$4.8M	$1.2M	$3.3M
TANF	$5M	$4.9M	0
Childcare	$2.2M	0	$2M
Children’s Mental Health	$7M	0	$6.4M
Victim’s Services	$3M	$4.1M**	0
Healthcare Alliance	$11M	0	0
Housing 1st rent subsidies	$4M	0	$1.6M
TOTAL:	$75.4M	$27.2M	$33.5M

**To help cover Victim's Services cuts, the Council used $2.8M from the Domestic Violence Shelter Fund.
For more information about the potential restorations and the list of priorities check out this post on the District Dime.

This is an incredible accomplishment. We did not get everything this city needs, we need to keep fighting to protect what we did get, and only time will tell how much of the $33.5M in future promises will actually be delivered. But as the Exec. Director of the Washington Legal Clinic for the Homeless, Patty Mullahy Fugere, told us: "In my 20 years here at the Legal Clinic, I don’t think I’ve ever heard so many council members express concern about maintaining a safety net for our low-income and homeless neighbors. It was a very welcome change."

And this is because of your calls, emails, and participation in the numerous rallies, council visits, and actions in the past 3 months. (Seriously folks: early last week we heard that Homeless Services would only be getting $4M. By Friday (a few hundred calls, emails and a Safety Net Reality Tour later) that number had jumped to $17 million.)

And now on to PROGRESSIVE REVENUE:

We lost the income tax by two votes from two Councilmembers we had considered staunch allies until something happened in the back rooms of the Council. Tommy Wells and Marion Barry voted against the income tax, joining Cheh, Catania, Bowser, Kwame and Orange. For their votes in our favor, we profusely thank Michael Brown, Graham, Thomas, and our two newest safety net superheroes, Mendelson and Alexander.

Though we didn't get the income tax, we did close the exemption on the out-of-state bonds tax which is projected to bring in a comparable amount of revenue. This was pretty amazing as it was a centerpiece of last year's SOS campaign but it was not widely supported then. It became clear this bonds tax was just a gimmick intended to be repealed when the June revenue forecast is likely to reveal the city has a bit more to spend for this year. Kwame had written in language stating that he would use some of the extra revenue from the June forecast to "buy back" the tax. But Wells impressed us when he managed to pass an amendment to take out the repeal and redirect the funds to safety net services. He gets major props for that move.

ACTION POINT: Now Evans, Cheh, Kwame and Catania are plotting to take away the $13 million earned by Wells' amendment, money that is currently promised to Homeless Services, Interim Disability Assistance, the Housing Production Trust Fund and Children's Mental Health. CLICK HERE to call the Council today to make sure this doesn't happen!

Thanks for all your hard work during this campaign. This budget vote revealed a real shift in priorities, a shift made because of the pressure mounted by all of you!

We need to keep up the fight before the final budget vote on June 15th, but I'm sure we can do it! Let's start today by calling our Council members!

Post-Budget Vote Action Alert!

Aiyinah D. Ford — Thu, 26 May 2011 17:02:33 +0000

If you haven't already heard, we didn't win the income tax brackets. But we did win one progressive revenue source (a municipal bonds tax) which is helping to pay for our other collective win: Millions more $$ in restorations than we ever thought we could get! And it is directly due to OUR PRESSURE!

But Jack Evans is leading the effort to try to undo $13 million in possible restorations in order to repeal the only progressive revenue that did make it in the budget--a progressive revenue, incidentally, that HE VOTED FOR. He wrote an email today to other Councilmembers telling them "You need to help us". He is gearing up for a fight, and we say “Bring it on!”

The background: Kwame had written language into the budget promising to repeal the bonds tax if there was enough revenue to do so in DC’s next revenue forecast. But Wells impressed us when he managed to pass an amendment to take out the repeal and redirect the funds to safety net services. The budget passed with that extra $13 million promised to Interim Disability Assistance, Children’s Mental Health services, Homeless Services and the Housing Production Trust Fund.

Help us protect that badly needed money for safety net services! Call your Councilmember today!

Important points to mention for supporters of making the bond tax permanent:

--My name is_______ and I live in Ward ____. THANK YOU for voting to make the municipal bond tax permanent! I appreciate your leadership and agree that the bond tax is long overdue and will help fund our city’s most critical services.

LAST CHANCE: Tell Council to Save Our Safety Net! (w/video "Kwame can do better")

Aiyinah D. Ford — Tue, 24 May 2011 02:58:31 +0000

For two years, Save Our Safety Net has campaigned for progressive income tax revenue in order to prevent drastic cuts to essential services. This year has been an especially grueling budget battle. We have advocated, organized, collaborated, and carried the reality of these cuts inside the John A. Wilson Building. BUT IT STILL IS NOT ENOUGH! Kwame Brown has proposed $25 million in restorations, but there are $32 million still on the chopping block. Check out this video "Kwame Can Do Better":

The vote is in two days and we need you to do two things. First, email the Council. Second, join us for the last opportunity to remind the Council that we want them to fight for safety net services:

Emergency Action!
Tuesday, May 24th at 12:00p.m.
John A. Wilson Building
1350 Pennsylvania Ave, NW

RSVP to Janelle Treibitz at sos.janelle@gmail.com or 646-734-6705.

Please also take a moment to email the City Council now.

And Facebook or tweet the video of Kwame as well as the videos in the following post to your friends and to Councilmembers!

Down to the wire on the budget vote! New SOS videos tell it like it is

Burke Stansbury — Mon, 23 May 2011 20:11:31 +0000

SOS released two videos today in an effort to ramp up the pressure on our councilmembers:

1) Tougher than Ward 3 (aka, Mary, Mary, why you buggin'?)

2) Safety Net Reality Tour: An open letter to Chairman Brown and the DC Council:

Save Our Safety Net at City Hall This Tuesday

Janelle Treibitz — Sat, 21 May 2011 23:06:19 +0000

We hope you've heard by now that our Safety Net Reality Tour was a huge success, with over 225 residents packing the halls of the Wilson Building. It was an unprecedented show of support for safety net services.

Unfortunately, we are facing a major road block that only serious constituent pressure will move.

After our Wednesday action, we had 7 confirmed Council votes in support of the Mayor's income tax proposal, enough to pass it. But yesterday we got word that Marion Barry (Ward 8) and Tommy Wells (Ward 6) have decided they no longer support the Mayor's proposed income tax! We have also heard that Kwame Brown is proposing $25 million in restorations. That is certainly a step in the right direction, but it is not nearly enough. Safety net services are still underfunded by $32 million. By getting rid of the income tax proposal, Chairman Brown, Barry, Wells and other Councilmembers would take away $19 million in resources that could be used to restore funding to critical services.

We need you to join us Tuesday at noon at the Wilson Building again, as we make a Safety Net Superhero intervention.

Even with Kwame Brown's proposed restorations, here are the cuts still on the table:

-- $2m from childcare subsidies
-- $2m from Local Rent Supplement Program, eliminating the vouchers
-- $18m from the Housing Production Trust Fund
-- $900k from Children's Mental Health Services
-- $1.3m from Domestic Violence Services
-- $600k from the Low-income Heating and Energy Assistance Program
-- $3.3m from Interim Disability Assistance, leaving 1000 on the waiting list and 600 removed from the program
-- $3.5m million from homeless services, for transportation to shelters, feeding, and supportive services

So what can we do about it?

We are planning an emergency action on Tuesday, May 24th at noon! Please come down to the Wilson Building so we can push hard against the efforts to throw $19 million into tax repeals. Help us tell Council: WE NEED THAT MONEY FOR SERVICES.

EMERGENCY ACTION!
Tuesday, May 24th at 12:00pm
At Wilson Building: 1350 Pennsylvania Ave

Details are still being worked out so PLEASE RSVP to Janelle Treibitz at sos.janelle@gmail.com or 646-734-6705 so we can update you with our plans.

Thank you,

Janelle
SOS Organizer

P.S. To see a short video highlighting our exchange with Kwame Brown during the Safety Net Reality Tour on Wed, click here. It's great! We'll release a more detailed video of the rour on Monday.

SAFETY NET REALITY TOUR HITS THE HALLS OF THE WILSON BUILDING

Kristin Mikolaitis — Thu, 19 May 2011 14:36:13 +0000

On Wednesday, May 18, a crowd of several hundred DC residents gathered for a "Safety Net Reality Tour" inside the Wilson Building.

At around 11 am a crowd started gathering at the Wilson Building, including many people who arrived from the March to Save Homeless Services. Soon there were hundreds packed into a room on the first floor of the buidling. Among others, the crowd heard from longtime safety net champions Tommy Wells (Ward 6) and Jim Graham (Ward 1) who emphasized the need to restore cuts to vital human services like shelter for the homeless, affordable housing, TANF, and interim disability assistance (IDA). The councilmembers also emphasized the widespread support for funding these services by asking DC's highest-earning residents to pay a (slightly) higher income tax.

Following the rally, tour guide (and Save Our Safety Net organizer) Aiyinah Ford led the excited crowd to the offices of councilmembers who have so far been unwilling to stand up as champions of a strong safety net: Councilmembers Muriel Bowser (Ward 4), Mary Cheh (Ward 3), and Yvette Alexander (Ward 7), and Council Chair Kwame Brown. Along the way they also got a visit from Michael Brown, at-large councilmember and another SOS ally.

Speakers at each stop offered powerful accounts of some of the potentially devastating effects of the proposed budget cuts: 7,000 families, including approximately that many children, will have TANF payments cut, despite repeated efforts to find jobs through participation in local (broken) job training programs; 300 homeless families and 1,500 homeless single men and women will be unable to find shelter within our city's boundaries, except during hypothermia season; and thousands of residents will lose access to temporary cash payments while awaiting eligibility determinations for federal Supplemental Security Income benefits.

Chairman Brown surprised the crowd by coming out of his office during the tour to hear some of our concerns. Although he promised to work to restore some of the proposed cuts, he refused to raise income taxes to do it, and he failed to offer any sensible alternatives.

Wednesday's crowd showed that DC can't afford a budget that further destroys the safety net and that an increased income tax on our highest-earning residents is the only real solution. Join us Thursday for a strategy session to figure out the final stage of our campaign!

Video of the confrontation with Chairman Brown: