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Showing blog entries tagged as: Equity


New report: An inclusive economy is essential for all Washingtonians, our economy, and the future progress of our state

Washington is poised for great economic progress. By many measures, a better future for all people in our state is within our grasp. And yet, economic growth is not reaching all Washingtonians. There are persistent and deep disparities based on race, ethnicity, nativity, class, and geography across every measure of economic progress. Progress is meaningful only if it’s felt by everyone and prosperity is shared by all Washingtonians. To create real progress, our state must have an inclusive economy in which everyone, especially people with low incomes and people of color, can participate in growth and benefit from it. Those are the primary findings of our “Building an Inclusive Economy” report (the first in our Progress in Washington 2018 series of reports).

Inclusive Economy carouselShared economic prosperity is one of the best measures of how our state and country are progressing, but economic growth has not been broadly shared in our state. Gains in income have been concentrated at the top while wages for low- and middle-income people have stagnated or declined. This rise in inequality is the result of many state and federal policy and budget decisions by legislators that have negatively impacted certain Washington state residents. Decades of regressive taxation, deregulation, privatization, cuts to the safety net, as well as the decline of collective bargaining have all played a role in rising inequality.

Washington state’s own upside-down tax code has contributed to the problem. Hardworking families in our state pay as much as seven times more than the wealthiest pay while corporations and the ultra-wealthy benefit from unnecessary tax breaks, making it hard for our state to have the revenue it needs to invest in the foundations that serve us all, such as great schools, quality health care, and other public priorities that make Washington a great place to live. Policymakers must fix our broken tax code. Doing so will allow our state budget to have sustainable sources of revenue to build an inclusive economy and to invest equitably in our communities in the short and long term.

Prosperity should be within reach of all Washingtonians
Making sure all Washingtonians have access to opportunity and resources is essential to ensuring prosperity is within reach of all residents. Across many indicators of economic progress, the data show that people with low incomes and people of color are starting off on unequal footing and are facing greater barriers in large part because of the impact of harmful historical housing, economic development, and financial policies. As Washington grows more racially and ethnically diverse, the future well-being of all of us hinges upon erasing the deep and pervasive racial imbalances that exist across these measures. By 2050, our state population will be majority people of color. Washington state’s young people are already at the forefront of this demographic transformation. Forty-three percent of children are kids of color.

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WA_Demog_1980to2050

In an inclusive economy, all Washingtonians – regardless of race, ethnicity, nativity, income, or community of residence – would be able to access quality jobs and have financial security and stability. Our education system would be preparing students and workers for good jobs and jobs of the future. And all Washingtonians would be able to live healthy lives in vibrant communities so they can better connect to and participate in the economy. However, data trends highlighted in our report indicate economic prosperity is out or reach for many residents in three key areas – economic security; education and job readiness; and healthy people and communities. For example:

  • Economic security: Although economic growth holds the promise of prosperity for working people across the state, rising employment has not reached all communities. While unemployment in Washington state has overall dipped to 4.5 percent, for many communities of color – such as Pacific Islanders, American Indians, and Blacks – unemployment rates remain at or near 10 percent. There are geographic differences as well: the unemployment rate has remained high in many rural counties. In Ferry County, the unemployment rate is the highest in the state at 9.1 percent, and in Pacific and Wahkiakum counties, unemployment remains at just above 6 percent.
  • Education and job readiness: While the state’s Department of Early Learning’s goal is for 90 percent of kids to start kindergarten with the skills they need to succeed, currently only 47 percent of kindergartners are meeting that threshold, and there are significant differences by income and race. Only 33 percent of kids with low incomes, 27 percent of Pacific Islander kids, 30 percent of Latino kids, and 32 percent of American Indian kids were kindergarten ready in 2016.
  • Healthy people and communities: In Washington state, many low-income communities, communities of color, and rural communities experience worse health outcomes when it comes to chronic diseases, life expectancy, obesity, and more. Thirteen percent of households in Washington struggle with food insecurity – the inability to have three meals on the table every day as a result of lack of resources. Among 10th graders, Pacific Islander, Latino, and Black students have the highest likelihood of living in families that had to reduce meal sizes or skip meals compared to overall state average.

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Food_Insecurity_10th_graders

Note about data: Disaggregated data is presented to provide a preliminary understanding of disparities by race, ethnicity, and nativity. On its own, the data throughout the report tells a limited story about the population it represents. We encourage users of this data to engage with communities of color to develop a more accurate and meaningful understanding than the data allows.

These and other trends highlighted in the report point to the fact that much work remains to be done for policymakers and all of us to advance shared prosperity and progress for generations to come. Our state budget and tax code are powerful tools to make this happen and to build an inclusive economy. In the upcoming 2018 legislative session and beyond, policymakers can choose to advance shared prosperity by making sure our state budget and policies increase economic security, promote racial equity, ensure all kids have access to great schools, and build thriving communities for everyone.

Stay tuned for the next publications in the Progress in Washington series, which will explore policy solutions that address the barriers to opportunities described in the “Building an Inclusive Economy” report.

“Building an Inclusive Economy” is the first report in our Progress in Washington 2018 series. The report is intended to offer a framework for understanding the challenges before us. To reach the goal of an inclusive Washington state economy with shared prosperity for everyone, we need to know where we are, where we need to be, and how we can get there.

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KIDS COUNT Report: Barriers to Opportunity Prevent Children of Color and Immigrant Children from Reaching Their Full Potential

The United States and Washington state are stronger when we harness the talents and drive of all people – including children – who will help build the nation’s future. For our country and state to reach our full economic, democratic, and moral potential, all children must have the opportunity to grow, develop, and thrive. A new Annie E. Casey Foundation report shows that too many young people of color are still facing barriers to a bright future, however. While there have been modest gains in terms of the well-being of kids of color in Washington state over the last three years, the report notes that families of diverse backgrounds, including immigrant families, struggle against barriers to success. Policymakers must enact policies to level the playing field for all kids.

2017_AECF_Race_for_Results

The Casey Foundation report, 2017 Race for Results: Building a Path to Opportunity for All Children, measures children’s progress on the national and state levels in key education, health, and economic milestones by racial and ethnic groups. It shows that, in Washington state, Latino children, Black children, and American Indian children have lower overall scores of wellness compared to White and Asian and Pacific Islander children. Specifically, the report uses a composite score of child wellness based on a range of data indicators – with 1 being the lowest score and 1,000 being the highest. Latino, Black, and American Indian children scored 401, 456, and 459 respectively, while White children and Asian Pacific Islander children scored 719 and 756.

The 2017 Race for Results report also highlights the fact that children in immigrant families face some notable barriers:

  • Two-thirds of Washington children in U.S.-born headed households live in households with a basic-needs income or greater (above 200 percent of the federal poverty level, or $40,320 for a family of three 2016), while just one in two children in immigrant families have an income sufficient to meet their basic needs. That income gap is larger in Washington than at the national level.
  • Children in immigrant families are less likely to grow up with a head of household who has at least a high school diploma.

More than 440,000 (28 percent) of Washington’s 1.6 million kids are children in immigrant families. Four out of five of immigrant children are children of color. Despite the challenges they face, children and young adults in immigrant families are also doing well on some measures:

  • Black and Asian Pacific Islander 3- and 4-year olds in immigrant families have the same or higher rates of enrollment in nursery school, preschool, or kindergarten than the Washington state average overall (60 percent).
  • Young adults aged 19 to 26 in immigrant families also tend to be working or enrolled in a degree, training, or certificate program at the same rates as their U.S.-born peers.
  • Black, White, and Asian Pacific Islander young adults in immigrant families are more likely to have an associate’s degree or other advanced degree.

The report underscores the formidable risks to healthy child development in immigrant families and for children of color that are caused by issues such as lack of access to living-wage jobs, limited educational opportunities, and family separation. These risks are further exacerbated by policies that limit resources and restrict access. Immigrant families are also facing policy proposals that threaten the residency status of 800,000 young people who have been granted a reprieve from fear of deportation through the Deferred Action for Childhood Arrivals (DACA) program. Washington state is home to 19,000 of the 800,000 DACA recipients.

All children need to reach their full potential if we are to reach ours as a nation. This means lawmakers must break down systemic barriers to opportunity placed in front of many children of color and immigrant children. With regard to immigrant children in particular, much of this country’s future success depends on how we equip immigrant families with the tools and skills that enable them to contribute to local economies – as immigrants have done since the founding of this country. The 2017 Race for Results report makes several recommendations to maximize children’s access to opportunity:

  • Keep families together. Immigration authorities and family courts can protect kids from adverse experiences by exercising discretion in choosing whether to separate parents from their children.
  • Help kids in communities of color, both immigrant and U.S.-born, to meet key developmental milestones. Policymakers can do more to link eligible families to quality early learning led by culturally competent teachers. More states, universities, and colleges can help qualified students pay for college without regard to immigration status.
  • Increase economic opportunity. Among the actions state policymakers can take is to increase access to occupational licenses and credentials to income-earning parents who entered their professions in foreign countries, boosting the prospects for higher household income.

To read more about how Washington’s kids are progressing on key milestones across racial and ethnic groups compared to the nation and other states, read the full 2017 Race for Results: Building a Path to Opportunity for All Children report and our KIDS COUNT in Washington press release.

New Census Numbers: To Build Thriving Communities, Invest in Removing Barriers to Economic Security

New data released by the U.S. Census Bureau shows that there is some good news when it comes to poverty rates and access to health care in our state. At the same time, the data shows that many Washingtonians – in particular, some communities of color, women, and people with disabilities – still face barriers to economic security. The numbers make it clear that to build thriving communities, our policymakers must invest in priorities that remove obstacles to prosperity for Washingtonians.

First the good news: Last year, the poverty rate in Washington state declined slightly to 11.3 percent from 12.2 percent in 2015. And between 2013 and 2016, the rate of people with health insurance increased to 94 percent from 86 percent.

The fact that fewer Washingtonians are living in poverty is likely due to economic growth and a low unemployment rate. And the insurance rate is more evidence that the Affordable Care Act has been extremely effective in ensuring more people can afford to have access to a doctor and preventive health services.

Yet the numbers also reveal that despite economic growth, far too many residents of Washington face barriers to economic security, especially people of color, women, and people with disabilities. In fact, the poverty rate for some communities of color in Washington is nearly two to three times that of whites. Systemic barriers are impacting many people’s ability to put food on the table and pay for their housing. For example:

  • Twenty-seven percent of American Indian/Alaska Natives, 23 percent of Blacks, 20 percent of Native Hawaiian/Pacific Islanders, and 19 percent of Latinos live in poverty.
  • Among full-time workers, women earned 75 percent of what men earned in 2016.
  • One in four working age Washingtonians with a disability live below the federal poverty line, compared to one in ten adults without disabilities. 


Further, when looking at the data over a longer time period, they show those facing the greatest hardship are not reaping the benefits of economic growth. In fact, more people in Washington are living in deep poverty – below 50 percent of the federal poverty line, which is less than $10,080 a year for a family of three in 2016 – than in 2006. The number of Washingtonians living in deep poverty grew by 17 percent between over the last decade (See figure below).

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Washingtonians in Deep Poverty

Our economy and our communities will be stronger when everyone is able to not only to make ends meet, but also to have a better future – and when lawmakers act to undo systemic and institutional barriers that prevent people from having equal access to opportunity.

While it is good news that there is declining poverty overall and greater rates of health insurance coverage in our state, the new Census numbers nevertheless underscore that too many people are still facing financial hardship. In order to build thriving communities, lawmakers in our state need to make investments that enable all our residents to thrive. Further, federal policymakers must protect essential health care coverage – pushing back against continued efforts to repeal the Affordable Care Act – and they must protect programs that ensure that when people hit hard times, they don’t go without the basics.

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New Research Brief: Early Learning Improves Kindergarten Readiness and Reduces Disparities for Kids of Color

Posted by Jennifer Tran at Apr 04, 2017 01:00 PM |
Filed under: Kids Count, Education, Equity

We all have a stake in making sure that from the day they’re born, kids can have the enriching experiences they need to get off to a great start in life. Quality early learning can give children the tools they need to thrive academically and emotionally throughout their entire lives. 

This new KIDS COUNT in Washington research brief demonstrates why legislators need to make greater investments in the Early Childhood Education and Assistance Program (ECEAP) – our state’s preschool program that serves children from families living in poverty. Expanding this program to ensure all eligible kids can participate could help more of Washington’s kids show up to kindergarten ready to learn. It could especially help many children of color who haven’t had equal access to opportunities that promote kindergarten readiness.

ECEAP, which serves families with incomes below 110 percent of the federal poverty line ($26,730 for a family of four in 2017), offers many of our state’s most vulnerable children quality early-childhood learning experiences. It has a proven record of improving kindergarten readiness and impacting their long-term academic success. Yet because of inadequate state investments in this program, there are currently about 23,000 unserved children eligible for ECEAP in Washington, 62 percent of whom we estimate are children of color.

KIDS COUNT in Washington, which is a partnership between the Budget & Policy Center and the Children’s Alliance, examined how expanding ECEAP to serve the 23,000 unserved eligible children could impact readiness for kindergarten across the state and help bridge disparities in access to opportunities that promote kindergarten readiness. Our analysis concluded:

  • Kindergarten readiness in Washington overall could increase by 20 percent (to 56 percent from 47 percent);
  • 7,900 more children could be ready for kindergarten on all six indicators of readiness (1) by the end of their year in ECEAP; and
  • The share of Latino, American Indian, and Black children ready for kindergarten could have the largest increases (See chart for more details).

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ECEAP K-Readiness

The Washington State Department of Early Learning has set a goal of ensuring that, by 2020, 90 percent of Washington children enter kindergarten prepared to learn, with race and family income no longer a predictor of kindergarten readiness. A key to delivering on that promise is to make sure all eligible children have access to ECEAP. 

See our full research brief for more information on how expanding ECEAP could improve kindergarten readiness for all kids in Washington state and help bridge disparities for kids of color.


For more detailed technical information on our analysis, please contact jennifert@budgetandpolicy.org for a copy of our Data and Methods document.

1. The six indicators of readiness refer to an assessment by educators and teachers to measure kindergarten readiness on six developmental domains: social-emotional, physical, language, cognitive, literacy, and mathematics. See the full brief for more information on how the indicators are measured.

New Fact Sheet: Advancing Racial Equity through the Working Families Tax Rebate

Posted by Melinda Young-Flynn at Apr 03, 2017 02:50 PM |
By Asha Bellduboset, Narver fellow
 
It’s time for Washington state to have an equitable tax code. Currently, it disproportionately relies on people with low incomes while giving the wealthiest people tax breaks. That’s just upside down. What’s more, those most heavily burdened by our upside-down tax code are people with low incomes, many of whom are people of color. The Working Families Tax Rebate (WFTR) is an important tool to help turn our tax code right-side up and to help undo the systemic inequities that have created an uneven playing field for people of color.

The Washington state legislature enacted the WFTR in 2008, but it was never funded. It is one of the most effective ways Washington can work to correct our state’s reliance on regressive sales taxes that overburden lower-income families. The rebate uses the federal Earned Income Tax Credit (EITC) program, a powerful anti-poverty tool, as a basis for eligibility. The WFTR would provide qualifying low-wage workers with an annual boost to their income in the form of a tax credit.

Funding the WFTR would advance racial equity by supporting the economic security of Washingtonians of color who are working in low-wage jobs. Our new WFTR fact sheet shows how the WFTR would benefit families in all of Washington’s 39 counties from all racial backgrounds. For example, our analysis shows that, if the WFTR were funded:

Recipients would invest $98.5 million back into local economies throughout Washington state, nearly half (49 percent) of which would go to communities of color

The rebate would improve the lives of many children of color, given that 51 percent of qualifying children in EITC-eligible households are children of color

Approximately 498,000 Washingtonians in all 39 counties of the state would be eligible for the WFTR, which means residents in all counties would see some economic gain. 

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WFTR Advances Equity One-Pager

Take a look at our fact sheet for more information on how the Working Families Tax Rebate would advance equity for our state and its people. 

Senate Republicans' Plan Doesn't Amply Fund Schools, Puts Other Programs at Risk

The Senate Republicans' new plan to fund K-12 public schools continues to work within a framework that doesn’t raise additional revenue – a strategy that has proven ineffective at serving Washington's kids and that could force cuts to other important investments. To pay for the basics, including keeping excellent teachers and staff in our public schools, the legislature must inject more resources into schools than they have in recent years. Any plan to improve our schools must include additional new revenue, as well as a strong focus on equity, sustainability, and adequacy.

The Senate’s plan, called the Education Equality Act, features as its major funding source a new Local Effort Levy – basically, an increase to the statewide property tax of $1.80 per $1,000 of assessed value. As details about the plan emerge, however, it appears that the plan does not actually raise additional dollars for schools. That’s because the proposed statewide property tax increase is coupled with cuts to local property tax levies that currently fund a significant portion of basic education costs. As we’ve said in the past, levy swaps like this are schemes that change the source of the money flowing to schools but don’t actually make new investments in Washington’s kids.

As it is structured, the plan could deepen the shortfall in school funding because the plan does not pay for itself. It leaves a $1.4 billion hole in the 2019-2021 budget, for which its authors have yet to identify a source of funding. Promising to pay for education without identifying a funding source is a prescription for damaging cuts throughout the rest of the budget. And while the plan would dedicate future revenue growth to funding basic education, it would use any revenue growth in addition to the dedicated funds to decrease the new Local Effort Levy to a rate of $1.25. In short, the proposal is not only short on revenue now, but it is also designed to restrict revenue growth for schools and other public investments in the future.  

There is certainly promise in raising additional school revenue through property tax reforms, as we have proposed. The Senate's plan would effectively nearly double the current state property tax rate. And it exempts the Local Effort Levy from the damaging 1 percent property tax levy growth limit, which is a positive step toward making the tax code more sustainable. But this plan should go further and get rid of the 1 percent levy growth limit altogether to allow property tax revenue to better keep up with the needs of our schools.

In addition, any reforms to the property tax should also include steps to fix our inequitable, upside-down tax code – in which Washingtonians with the lowest incomes pay seven times what the richest 1 percent pay in taxes as a share of income. The Senate's plan aims to more evenly distribute the tax code so that homeowners in every school district pay the same property tax rate, regardless of property values. But that doesn’t do enough to protect the thousands of lower- and middle-income homeowners and renters who would see higher property tax bills under the Senate proposal. The proposal should include a property tax safeguard rebate to ensure that property tax increases do not fall disproportionately on the shoulders of families who can’t afford it, no matter what part of the state they call home.

To learn more about the Senate Republicans' school funding plan, join our fiscal policy team for a Budget Beat webinar this Friday, February 3, at noon. And stay tuned for further analysis when more details about the fiscal impact of the plan become available. 

 

The Future We Want: The Washington State Budget & Policy Center Announces Our 2017-2019 Legislative Agenda

Great schools, strong communities, healthy families: these are the things Washingtonians care about. Everyone wants this to be a state where kids can meet their full potential, where everyone can breathe clean air and drink clean water, and where everyone can succeed.

In the face of big changes on the national landscape, now more than ever it is important that state policymakers work to ensure the future of Washington as a place where all people can lead safe, happy, and healthy lives. The decisions they make now will influence the well-being of people in Washington for years to come.

How do we create a better future for our state? The Washington State Budget & Policy Center’s 2017-2019 Legislative Agenda offers a framework for how policymakers can ensure that every child, every family, every individual, and every community in our state can thrive.

Starting in January, state policymakers must take action to deliver a world-class basic education to every child. This will require cleaning up the tax code and avoiding distractions that take attention away from efforts to make sure every kid in Washington state has access to great schools. It is imperative that policymakers accomplish this task while also dedicating resources to priorities that make Washington a great place to live, from early learning to long-term care, from school breakfast for kids to night classes for their parents.

We know that basic education will dominate the conversation this legislative session. We also know that kids can’t succeed if their parents are struggling to meet their basic needs, if their neighborhoods aren’t safe, and if their communities aren’t healthy. That is why our Legislative Agenda is focused on building a better Washington through the six key areas laid out in our Progress Index: world-class education; economic security, healthy people and environment; community development and trust; good jobs; and revenue. The recommendations within our agenda also aim to promote policies that advance racial equity. The Budget & Policy Center Legislative Agenda offers specific recommendations for how lawmakers can:

  • Build economic security by addressing intergenerational poverty, strengthening support for families, and making sure everyone can afford a roof over their head and food on the table.
  • Create a world-class education system that provides kids with high-quality teachers, gives them a great start through early learning, and offers equitable access to higher education.
  • Ensure everyone has access to affordable health care, as well as mental health and public health services; make sure that everyone lives in an environment with clean air, water, and land.
  • Develop strong communities and racial equity while addressing barriers to re-entry and ensuring access to civil legal assistance; ensure that there’s greater transparency about our state’s tax breaks.
  • Promote great jobs that stimulate economic growth and development, and advance opportunities for all workers to have paid time off to be with their families.
  • Clean up the state’s tax code so that our state has the resources it needs to support a high quality of life for everyone.

Throughout the legislative session, which begins January 9, and beyond, the Budget & Policy Center will work with partner organizations, community leaders, and grassroots advocates to advance the priorities laid out in this agenda. Our research and analysis will continue to show policymakers why it is critical to invest in the progress of our state and its people – especially in the face of proposed federal policies that threaten to move us backward rather than forward. 


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HIGHLIGHTS

Our Seattle Policy Summit

You can watch our Budget Matters 2017 Seattle Policy Summit, which took place on December 6, online. The first part of the day (watch here) featured Washington State Lt. Governor Cyrus Habib and Race Forward President Glenn Harris. The second part of the day (watch here) featured Budget & Policy Center Senior Policy Analyst Jennifer Tran, and a panel of local leaders moderated by Michael Brown of the Seattle Foundation. 

Our Policy Priorities

Washington state should be a place where all our residents have strong communities, great schools, and the chance for a bright future. Our 2017-2019 Legislative Agenda outlines the priorities we are working to advance to build a better Washington.

Testimonies in Olympia

To advance our legislative priorities, the Budget & Policy Center team was in the state capitol throughout session testifying on a wide range of bills. Watch our testimonies on TVW:
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