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Leahy Presses to Add Food Stamp Component to Stimulus Package

    WASHINGTON, Jan. 24 /PRNewswire-USNewswire/ -- In a letter to the
Senate's leadership Thursday, Senator Patrick Leahy (D-Vt.) urged inclusion
of a temporary expansion of Food Stamp benefits in the economic stimulus
package now under development in Congress.

    "A stimulus package provides an opportunity to give a boost to the
economy and at the same time deliver meaningful assistance to those that
will be most impacted by a possible economic downturn," Leahy wrote.

    Food Stamps are a key element of the safety net for low-income
Americans, providing monthly benefits to help individuals and families
afford to buy food for the dinner table. More than 25 million Americans
receive some level of Food Stamp help, and more than 10 percent of the U.S.
population is classified as lacking food security. In Vermont, 53,000
people are enrolled in the program.

    Leahy, long a leader on Food Stamp and anti-hunger policy, is the most
senior member of either party on the Agriculture Committee and a former
chairman of the panel.

    The text of Leahy's letter follows:

    January 24, 2008

    Dear Majority Leader Reid and Minority Leader McConnell:

    As you continue work on comprehensive legislation to stimulate the
economy, I urge you to place a high priority on providing relief through
the Food Stamp program to the millions of Americans who are hungry or at
severe risk of going hungry. A stimulus package provides an opportunity to
give a boost to the economy and at the same time deliver meaningful
assistance to those that will be most impacted by a possible economic
downturn.

    A recent USDA study has shown that Food Stamp benefits have a
measurable impact on the economy. From this study we know that recipients
are more likely to spend any additional income on food and have a tendency
to increase their spending on food when they utilize their Food Stamp
benefits. These factors mean that an investment of $1 in Food Stamps has a
multiplier effect of generating $1.84 in economic activity. We also know
that Food Stamp recipients will utilize the benefits they are provided;
each month over ninety percent of Food Stamp recipients spend the majority
of their benefits, ensuring that any additional benefits they receive will
be put right back into the economy.

    Time and time again the Food Stamp Program has proven itself as a
reliable mechanism for delivering quick and effective assistance to those
that need it most. From the aftermath of Hurricane Katrina to smaller
regional disasters, Food Stamps have served as the strongest piece of the
federal safety net for vulnerable Americans. The federal government also
has a track record of providing temporary increases in benefits to assist
vulnerable populations. In one instance, after residents in the Buffalo
area lost days worth of food due to a snow storm knocking out power, USDA
granted New York a waiver to restore a month's worth of benefits to Food
Stamp recipients who had lost their food. With an electronic transfer of
benefits, additional funds can be quickly delivered to participants at
little cost.

    It is essential that any package considered by Congress deliver a
temporary increase in Food Stamp benefits to all recipients. This could
best be achieved with an across the board twenty percent increase of
benefits for a six month period. Further, we should provide a temporary
increase to the minimum benefit, an action that will have a pronounced
positive impact for low income older Americans who will be ineligible for
most other portions on this economic package. In order for states to
effectively deliver these benefits we must also provide a modest amount of
funds so that they can process any new benefits as quickly as possible and
to properly educate recipients about changes to the program.

    While many of us believe that it would be beneficial to make these
program changes permanent, the goal of this economic stimulus package is to
provide timely and targeted relief. The ideas offered here fit these
criteria and would provide an impressive return in economic activity per
dollar spent.

    Thank you for your interest and I look forward to working with you on
this issue.

    Sincerely,

    PATRICK LEAHY

    United States Senator









SOURCE Office of U.S. Senator Patrick Leahy




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CONTACT:
David Carle of the Office of Sen. Patrick
Leahy, +1-202-224-3693