National Academies Press: OpenBook

Measuring Poverty: A New Approach (1995)

Chapter: Special Milk Program

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Suggested Citation:"Special Milk Program." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
Page 440

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APPENDIX D 440 monthly incomes below 130 percent of the poverty guidelines (gross income excludes a few kinds of payments, such as the EITC) or net monthly incomes below 100 percent of the poverty guidelines. Households with an elderly or disabled member need only meet the net income test. Elderly people are defined as those aged 60 or older; disabled people are generally those receiving such government disability benefits as Social Security or SSI disability payments. Countable liquid assets (including a portion of the value of vehicles) cannot exceed $2,000 for households without elderly or disabled members and $3,000 for households with an elderly or disabled member. Net monthly income for households without elderly or disabled members is gross monthly income minus: a standard deduction that does not vary by household size ($131 a month in fiscal 1994); 20 percent of any earned income (to allow for taxes and work expenses); out-of-pocket dependent care expenses, when necessary for work or training, up to $200 per month for each dependent under age 2 and up to $175 for other dependents; and shelter expenses that exceed 50 percent of counted income after all other deductions up to a legislatively set ceiling ($231 a month as of July 1994). Net monthly income for households with an elderly or disabled member is gross monthly income minus: the standard, earned income, and dependent care deductions noted above; shelter expenses that exceed 50 percent of counted income after all other deductions, with no ceiling; and out-of-pocket medical care expenditures for the elderly or disabled member that exceed $35 a month. School Lunch and School Breakfast Programs For the School Lunch Program, all school children are eligible to receive at least a partly subsidized meal in participating schools and institutions. Children whose gross family incomes are at or below 130 percent of the federal poverty guidelines are eligible for a free lunch and children in households receiving AFDC or food stamps are automatically eligible for a free lunch. Children whose gross family incomes are more than 130 percent but not more than 185 percent of the guidelines are eligible for a reduced-price lunch (not more than 40 cents per meal). Other children pay whatever the full school price is for a lunch, which, however, is less than cost because of the federal subsidy. The School Breakfast Program operates similarly, except that the subsidy for breakfasts for non-needy children is smaller. The income eligibility guidelines for school breakfasts are the same as for school lunches. Almost all participants in the School Breakfast Program—98 percent—are children who receive free or reduced-price breakfasts; in contrast, 48 percent of participants in the School Lunch Program receive free or reduced-price lunches. Special Milk Program Children in participating schools and residential child care institutions whose gross family incomes are at or below 130 percent of the federal poverty guidelines are eligible for free or partially subsidized

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Measuring Poverty: A New Approach Get This Book
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Each year's poverty figures are anxiously awaited by policymakers, analysts, and the media. Yet questions are increasing about the 30-year-old measure as social and economic conditions change.

In Measuring Poverty a distinguished panel provides policymakers with an up-to-date evaluation of:

  • Concepts and procedures for deriving the poverty threshold, including adjustments for different family circumstances.
  • Definitions of family resources.
  • Procedures for annual updates of poverty measures.

The volume explores specific issues underlying the poverty measure, analyzes the likely effects of any changes on poverty rates, and discusses the impact on eligibility for public benefits. In supporting its recommendations the panel provides insightful recognition of the political and social dimensions of this key economic indicator.

Measuring Poverty will be important to government officials, policy analysts, statisticians, economists, researchers, and others involved in virtually all poverty and social welfare issues.

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