Share Your Story: The Flip Side of the Coin

I wrote the following, which I used and handed out when I testified at the Rhode Island State House for the Rhode Island Poverty Institute. Unfortunately, the bill did not pass, and I still find myself  "trapped." It is very frustrating, and I am not sure how to get this issue examined on a larger level. I find myself getting ready to refuse a raise again this fall, and would appreciate any assistance in getting this issue on the table. It effects SO many women and children, and I rarely hear it being talked about.Thank you for your time and consideration, and thank you for all you do.~Rachel                                    ************************************************************House Finance CommitteeHearing on H5206Testimony of Rachel ******April 12, 2011 Chairman Melo and Members of the Committee: My name is Rachel **********, and I am testifying here today in support of Representative Diaz’s Bill, H5206 . Please let me begin by introducing myself. I am a resident of ********, Rhode Island. I have a Bachelors Degree, and taught High School for several years after College. Currently I am the Executive Administrator for a large, international non-profit, called ************, as well as a licensed Tattoo Artist. More importantly, I am a single mother of two children. My daughter is six and my son is three. Until two years ago, I had no experience with any of the state’s public benefit programs. I lived the “American Dream:” was married with two children, owned and operated a contracting business with my husband, was a homeowner, and was generally doing very well and living a comfortable life. Unfortunately, life has its own ideas and often doesn’t go as planned. Within a matter of one day, my life as I knew it fell apart. I left my husband and suddenly found myself a single mother of two very young children. Having been a stay-at-home-mom for four years, I had no employment outside the home. Additionally, due to the unfortunate circumstances of my situation, I was also left with literally NO money to my name. Finding myself in a desperate situation, I quickly and humbly became acquainted with several state benefit programs that are set up to help people in my position. Programs that were described as “stepping-stones.” Despite the difficult economic timing (my divorce coincided with the beginning of the economic fallout,) I was able to find a job. I worked at Pick Pockets selling falafel and working the cash register, and fortunately the job allowed me the flexibility to be available as the custodial parent.  I continued to diligently hunt for a job that would utilize my college education and skills. Soon, I found the position that I currently hold at ****** as the Executive Administrator. Although I was grateful to have the Rhode Island Works cash assistance program as a last resort at first, the payment is so tiny that we could not live on it. Thus I was very happy to get a job that allowed me to no longer need Cash Assistance.  However, even with this job, I still needed Child Care Assistance and Rite Care Health Insurance. I soon found that even with these supports, I was unable to make ends meet on the wages of these two jobs alone. I picked up a third job at night as a cocktail waitress. Although I STILL couldn’t exactly make ends meet, the third job brought me closer and allowed me to stay off of any further state assistance.However, soon after I began working the third job, I was informed by the state that I no longer qualified for the Child Care Assistance Program. I was making roughly $100 over the eligibility limit each month. That is $25/week too much. I was told that I would no longer receive Child Care Assistance. With the Child Care Assistance, I paid $50/week for childcare for my two children in day care; when I was no longer eligible for the program, my child care costs would have gone up to $330/week.  That is $1320 a month! I did not earn nearly enough money to be able to pay for childcare on my own. I was faced with a difficult decision - to either quit the third job, not be able to make ends meet, but still receive the Child Care Assistance - or keep the three jobs and be cut off from the Child Care Assistance, leaving me unable to even pay for daycare (let alone rent, food, car loan and other necessary expenses.) Finding myself stuck between a rock and a hard place, I opted to quit the cocktail waitress job and remain on the Child Care Assistance Program. This left me charging groceries on my credit card and borrowing money to pay rent each month. I find myself going deeper and deeper into debt. My instincts drive me to want to be successful, independent, and financially responsible. I want to be working my hardest to get out of the position I am in, however I have been forced into a place where I can only work jobs that keep me close to the poverty level. I resigned myself to the notion that I would have to wait until both of my children are in school full time before I could reach the level of success that I strive for. Only then would the burden of affording full time daycare be lifted off of me. To further compound my problem, my employer offers annual raise reviews. Sadly, I cannot even accept a minimal raise, as it would put me above the Child Care eligibility limit. I cannot make a DOLLAR over the limit or I get cut off of Child Care Assistance. This literally traps people such as myself in near-poverty. This system is fatally flawed…it does not serve its purpose as a stepping-stone. Moreover, it feels like it is set up to keep people in their respective places.  Representative Diaz’s bill would allow me to earn up to $8,000 extra a year without losing my child care subsidy.  This would make a huge difference for me and my family.I was raised to believe that if one works hard, one can accomplish anything. I have felt very isolated and extremely frustrated with this issue for several years now, however it affects SO MANY people like my children and I. If this program were to be set up in the manner described in this bill, it would transform it from a system of entrapment to the stepping-stone it is supposed to be. Not only would the quality of life improve for so many families like mine, it would allow people to work hard to get to the point where they eventually don’t need child care assistance anymore. Everybody wins.  I just want to work hard. Hard work should be rewarded, not penalized. Please consider what this bill means for so many people. I do not want to remain a statistic. Thank you very much for your time.