Bennet-Championed Child Tax Credit Included in the Bill Will Cut Child Poverty in Half Nationwide and Benefit 89 Percent of Kids in Colorado
Washington, D.C. – Today, Colorado U.S. Senator Michael Bennet and Colorado leaders applauded Senate passage of President Biden’s American Rescue Plan, which includes an expanded and fully refundable Child Tax Credit (CTC).
“I’ve met with parents across Colorado who tell me the paychecks they bring home aren’t enough to support their families, especially as the costs of child care, health care, housing, and higher education continue to rise,” said Bennet. “The American Rescue Plan addresses a problem we don’t discuss enough—child poverty—by cutting it in half. I can think of nothing more at war with who we are as Americans than allowing kids to grow up in poverty. This tax credit will transform the lives of millions of Coloradans during this crisis and afterward.”
An integral part of the American Rescue Plan, the expanded CTC, would cut child poverty in America by nearly half. It would lift 57,000 kids in Colorado out of poverty and benefit over 1 million kids statewide, including nearly 350,000 kids who have been left out of the full, existing CTC. The expansion of the CTC in the American Rescue Plan is modeled after the American Family Act, which Bennet introduced in 2017 with Senator Sherrod Brown (D-Ohio).
Following Senate passage of the American Rescue Plan, Colorado leaders working to address child poverty and support Colorado families praised the expansion of the Child Tax Credit:
“Our research shows the costs associated with raising children are now one of the biggest barriers for upward economic mobility,” said Scott Wasserman, President, Bell Policy Center. “There is a lot more to be done, but Senator Bennet’s successful push for an expanded Child Tax Credit in the Biden American Rescue Plan is a great step forward as we work toward a larger, less exclusive middle class in Colorado and across the country.”
“The Colorado Children’s Campaign believes the Child Tax Credit has been and continues to be one of the most vital tools we have to ensure Colorado families are financially secure. The pandemic has continued to force many families into poverty. Expanding the Child Tax Credit is a proven solution to a problem that impacts all Coloradans,” said Kelly Causey, CEO and President of the Colorado Children’s Campaign. “Ensuring the Child Tax Credit is fully refundable guarantees that the lowest income families get critical support, which could mark a historic achievement of cutting child poverty in half. We thank Senator Bennet for his efforts to support those who are the furthest from opportunity.”
“Poverty is the greatest risk to a young child’s health and well-being, causing chronic stress that has negative and lasting effects on physical, social, and emotional development. As an early childhood professional, I see the impact of financial strain on the most vulnerable families and children of my community,” said Heather Hawk, Executive Director, Early Childhood Council of La Plata County. “The advance refundable Child Tax Credit will increase self-sufficiency for thousands of Colorado families, especially those with children 5 years old and younger. I support Senator Bennet’s efforts to increase family stability for the nearly 12 million children living in poverty in the United States.”
“For over 30 years, Gary Community Investments has worked to help more Colorado families take advantage of both the Earned Income Tax Credit and the Child Tax Credit," said Mike Johnston, CEO of Gary Community Investments. "Expanding the Child Tax Credit would be life-changing for families who have been left behind by the COVID crisis, and providing the option for periodic payments gives families the flexibility to manage financial emergencies as they arise. We’re grateful for Senator Bennet’s leadership on this and we are confident that he will work hard to make these tax credits permanent.”
“Delivering quality early childhood education to children from at-risk single-parent families is at the heart of the Warren Village mission,” said Maggie Rittenhouse, Director, Warren Village Early Learning Center. “Senator Bennet’s successful efforts to expand the Child Tax Credit will give more children and low-income families access to a quality education. This is critical to breaking the cycle of generational poverty and ensuring that the youngest residents at Warren Village can enter primary school on equal footing with their peers. This tremendous investment in our children and their families is essential for the recovery and growth of our nation.”