Governor David A. Paterson today announced that New York State has implemented changes to the Home Energy Assistance Program (HEAP) that will result in an increase of $150 million in Federal Food Stamp benefits for low-and moderate-income families. Additionally, the passage of this year’s federal Farm Bill provided an extra $20 million to New York’s Food Stamp program for next year. In total, changes to New York’s Food Stamp program have resulted in more than $170 million in federal funds next year for our State’s neediest families, with increases in future years. Governor Paterson also announced $1 million in funding for food banks across the State to provide further assistance for low-income New Yorkers.

“During these difficult economic times we must do what we can to ensure that New York’s families have the resources they need to feed their families,” said Governor Paterson. “The changes the State has implemented will not only benefit New York’s most vulnerable populations, but will infuse hundreds of millions of new federal dollars into our State’s economy at a time when we need it most.”

At the Stanley M. Isaacs Neighborhood Center in Manhattan, Governor Paterson was joined by U.S. Congressman Charlie Rangel, New York City Human Resources Administration (HRA) Commissioner Robert Doar, Manhattan Borough President Scott Stringer, State Senator Liz Krueger, Assemblyman Keith Wright, State Senator José Serrano, Assemblyman Jonathan Bing and Dr. Lucy Cabrera, President and CEO of the Food Bank of New York City, in announcing the changes that will provide an average increase of $118 in monthly food stamp benefits to nearly 115,000 low-income households statewide who qualify for a new HEAP grant that triggers an increase in their monthly food stamp allocation. Nearly 90,000 households in New York City will see an average monthly increase of $131, while 25,000 households throughout the rest of the State will see an average monthly increase of $72.

Additional changes authorized by the Federal Farm Bill that OTDA will implement at the earliest possible time include:

– An increase in the minimum monthly benefit from $10 to $14;

– Elimination of a cap on the amount of out-of-pocket dependent care (principally child care) costs that can be allowed as an income deduction in the calculation of benefits, a move expected to increase benefits to nearly 11,000 households;

– The permanent exclusion of combat pay in the calculation of benefits;

– The exclusion of tax preferred retirement accounts such as Keogh Plans, Individual Retirement Accounts (IRAs), Simplified Employer Plans, Profit Sharing Plans and Cash Balance Plans from countable resources for any households still subject to resource limits (New York State eliminated resource limits for virtually all Food Stamp households as of January 1, 2008); and

– The exclusion of tax preferred educational accounts, such as 529s and Coverdell education savings accounts, from countable resources for any households subject to resource limits.

In addition to the thousands of New York families that will benefit from the Farm Bill changes, the primary beneficiaries of the HEAP program change are low-income families living in public and Section 8 housing, including housing operated by the New York City Housing Authority (NYCHA).

(Dov Gordon – YWN)