Cover Alabama and Alabama Arise hosted a health fair and a panel on Medicaid expansion in Fort Payne in November 2022. Hear from Arise’s Cover Alabama campaign director Debbie Smith and other community members about why we held the health fair and why Medicaid expansion would save and improve lives in DeKalb County and across Alabama.
Issue: Health
See the Gap: ‘Someone’s got to do something for working folks’
When I first met Katie Franklin, she was juggling requests from three guests at the same time.
I’ve been visiting Nail World II, right outside Birmingham, for nearly 20 years, but this visit was different. Someone new was greeting me at the door.
Katie is a presence who is not easily forgotten. I learned she was the new salon manager. Honestly, it felt like she was right at home.
She made greeting 25 to 30 customers an hour look easy. Her maternal aura and gregarious nature shone bright through all the hustle and bustle.
It was Homecoming Week for many high schools in the Over the Mountain suburbs of Birmingham. Her salon’s clients were stacked back to back for several days in preparation for the big games and dances. And this was on top of the steady stream of walk-ins like me.
“I mean, I’m here all day, every day,” she said. “There’s no days off for me.”
Working full time but still uninsured
Katie is a mother of two who lives in Morris, about 20 miles north of Birmingham. She recently earned her license as a nail technician. A natural extrovert, she soon became a supervisor in one of metro Birmingham’s busiest nail salons.
“I needed a new start. I’m good at it and I get to help people, which is what I love,” Katie said with an infectious grin. “It’s my passion. If I can make someone feel better, then it’s all worth it.”
We exchanged numbers, and over the next month, she shared her story with me.
Katie is one of more than 220,000 Alabamians in the state’s health coverage gap. Like all of them, she cannot afford private health insurance but is ineligible for Medicaid coverage.
Katie is a single mom, working to take care of two teenagers as well as her parents. Both of her children are eligible for health care through ALL Kids, the Children’s Health Insurance Program (CHIP) in Alabama. But since she earns about $2,000 a month, she’s left in a lurch.
Even though Katie works full-time hours, she doesn’t receive benefits like health insurance. Caretakers like her only qualify for Alabama Medicaid if their income is less than 18% of the federal poverty line. For a family of three, that amount is just $4,145 a year.
“I don’t know who makes these numbers, but I’m not rich. Suddenly earning $1,000 every two weeks doesn’t mean I can afford hundreds of dollars a month for health insurance,” Katie said about Alabama’s stringent Medicaid income eligibility guidelines.
‘Imagine the difference this would make’
When Katie needs medical care, she puts off doctor’s visits and treats at home. But sometimes, it’s not enough. That’s when she goes where many other uninsured folks around Birmingham end up: UAB’s emergency room.
“I try not to go unless I absolutely have to,” she said.
Katie said she wishes there were more options for patients paying out of pocket.
She has been to urgent care centers before but dreads the bills that arrive weeks later in the mail.
“I actually spent my COVID stimulus check paying off medical debt,” she said. “I hate debt, and I’m not the kind of person who doesn’t pay my bills.”
Katie said Alabama’s leaders have to do more to support those in need of health care and coverage.
“Someone’s got to do something for working folks,” she said. “I feel like the middle class doesn’t get any of the help that these big companies get.”
She said Medicaid isn’t perfect, but just knowing her kids can see a doctor without her having to sacrifice money for bills or groceries is a big relief. Katie said she hopes Gov. Kay Ivey will expand Medicaid sooner rather than later.
“If all it takes is a stroke of a pen, then I’m all for it,” Katie said. “Imagine the difference this would make for small businesses like mine, struggling to make ends meet.”
About Alabama Arise and Cover Alabama
Whit Sides is the Cover Alabama storyteller for Alabama Arise, a statewide, member-led organization advancing public policies to improve the lives of Alabamians who are marginalized by poverty. Arise’s membership includes faith-based, community, nonprofit and civic groups, grassroots leaders and individuals from across Alabama. Email: whit@alarise.org.
Arise is a founding member of the Cover Alabama coalition. Cover Alabama is a nonpartisan alliance of advocacy groups, businesses, community organizations, consumer groups, health care providers and religious congregations advocating for Alabama to provide quality, affordable health coverage to its residents and implement a sustainable health care system.
See the Gap: How Medicaid expansion would improve life for Alabama’s hairstylists and barbers
Throughout our lives, there are many milestones.
We go to school dances. We graduate, and we get married.
But we don’t get to those moments alone.
When we look back at the photos to relive our happiest moments, we see the faces of our friends and family smiling back. But there were other folks who aren’t always pictured.
They’re the hairstylists, barbers and nail techs who listened as we unloaded our anxieties. They always took our call when we realized (at the last minute!) we needed to do something a little extra to look and feel our best. And they deserve the security of knowing they can get affordable health care in their own times of need.
More than just a haircut
It was summer 2018. I was on a new medicine that solved my medical issues but had a gnarly side effect: I started losing my hair in chunks. I spent hours crying in the shower. After a few weeks of trying to convince myself I was a hat girl, I took a radical step and shaved my head. I didn’t dare do it myself. I barely had enough energy to pick up the phone and book the appointment. But when I showed up: There was Jamie.
From the minute I sat in her chair, I felt at ease. My nerves were shot, but her calm demeanor convinced me everything would be OK. Jamie turned what was a disaster into a new identity for me.
When Jamie moved out of state shortly after, I was crushed. We’d been through so much. It was like dating: I didn’t want to put myself out there all over again for a completely new person.
A few weeks (and several Instagram searches) later, I found Madison Tidwell.
Madison was a lot like me. She loved houseplants, grew up in a small town and stayed on top of trends.
It’s been two years, and I don’t trust anyone else to touch my hair. We’ve been through growing out a pixie, evening out mullets – even going purple, green and yellow!
My experience is not uncommon. Many folks trust their hairstylists and barbers with their deepest secrets. And when you find someone you trust, you soon depend on them for more than just a haircut.
Living in the gap: How we got here and how we can fix it
Over the past few months, I’ve met with more than 30 beauty professionals in Alabama.
Some work at busy, upscale salons. Others rent booths in hometown shops. Some created their own business model by joining collectives of small, independent suites.
All have something in common: They all are uninsured or paying out of pocket for medical treatment. And along with nearly 10,000 other personal care and support workers, they would benefit from Medicaid expansion.
Because our state has failed to expand Medicaid, more than 220,000 Alabamians are caught in the coverage gap, unable to afford health insurance. Another 120,000 or more are stretching to pay for private or employer-based coverage.
Stylists usually work six or seven days a week, with little fanfare and long hours on their feet. They open early and stay late, especially on weekends when customers need them. However, most beauty professionals have no safety net in case of their own emergency. Most stylists don’t get health insurance through their employers. And even those who are self-employed often don’t earn enough to afford private premiums.
Like so many working Alabamians, these stylists and beauty professionals still don’t have health coverage or access to affordable care. I want to cover their stories in my See the Gap series. Our series will begin next week and continue over the coming months.
It’s important to share the sacrifices those in the service industry often make in their own lives to take care of everyone else. These stories will show what life is like in the coverage gap: from finding health care services and paying out of pocket for medical expenses to providing for a family when you work for yourself.
Working families in the gap are all around us. Their stories matter.
First, we’ll hear from beauty professionals about what works and what doesn’t. Some of them have graciously offered me a deep glimpse into life in one of the most physically demanding and emotionally taxing fields.
We also will discover what having health care coverage would mean for hairstylists, barbers and their families. And we will talk to workers and salon owners about how simple policy changes – like Gov. Kay Ivey expanding Medicaid – could improve these folks’ lives exponentially.
Nearly every stylist I’ve spoken with says they chose their profession so they could change lives. They center their work around people but are often left unsupported by employers and Alabama’s leaders.
Investing in the health of Alabama’s working families should be a priority for all of us. Why don’t our state’s elected officials expand Medicaid? It’s a question that deserves an answer.
Working people in Alabama are paying the price every day for our state’s failure to expand Medicaid. Imagine what investing in those who do so much for our communities could do for all of us. Imagine what would happen if we see the gap and make life better for those living in it.
Please follow @AlabamaArise and @CoverAlabama on social media to make sure you don’t miss our See the Gap series. And sign up for Arise’s action alerts so you can be ready to speak out for Medicaid expansion and other needed policy changes in Alabama.
About Alabama Arise and Cover Alabama
Whit Sides is the Cover Alabama storyteller for Alabama Arise, a statewide, member-led organization advancing public policies to improve the lives of Alabamians who are marginalized by poverty. Arise’s membership includes faith-based, community, nonprofit and civic groups, grassroots leaders and individuals from across Alabama. Email: whit@alarise.org.
Arise is a founding member of the Cover Alabama coalition. Cover Alabama is a nonpartisan alliance of advocacy groups, businesses, community organizations, consumer groups, health care providers and religious congregations advocating for Alabama to provide quality, affordable health coverage to its residents and implement a sustainable health care system.
Learn about Hunger Free Alabama
Alabama Arise is proud to have joined with groups across the state as partners in the Hunger Free Alabama coalition. Our goal is bold and essential: to prevent and eliminate hunger and malnutrition in Alabama through advocacy for better public policies.
In our new video, coalition members Drew Glover and Celsa Allende Stallworth discuss Hunger Free Alabama’s work and the vision that drives it. Visit hungerfreealabama.org to learn how you can join in advocating for change!
Alabama Arise unveils 2023 roadmap for change in Alabama
Expanding Medicaid and ending the state sales tax on groceries will remain top goals on Alabama Arise’s 2023 legislative agenda. More than 400 members voted on Arise’s issue priorities in recent days after the organization’s annual meeting Saturday. The seven issues chosen were:
- Adequate budgets for human services like education, health care and child care, including Medicaid expansion to make health coverage affordable for all Alabamians.
- Tax reform, including untaxing groceries and capping the state’s upside-down deduction for federal income taxes, which overwhelmingly benefits rich households.
- Voting rights, including automatic universal voter registration, removal of barriers to voting rights restoration for disenfranchised Alabamians, and other policies to expand and protect multiracial democracy in the state.
- Criminal justice reform, including retroactive application of state sentencing guidelines and repeal of the Habitual Felony Offender Act.
- Death penalty reform, including a law to require juries to be unanimous in any decision to impose a death sentence.
- Public transportation to empower Alabamians with low incomes to stay connected to work, school, health care and their communities.
- Payday and title lending reform to protect consumers from getting trapped in debt.
“Arise believes in dignity, equity and justice for everyone,” Alabama Arise executive director Robyn Hyden said. “Our 2023 issue priorities reflect the need to work together to break down policy barriers that keep people in poverty, and that disproportionately harm Black and Hispanic Alabamians. We must build a healthier, more just and more inclusive future for our state.”
The time is right to expand Medicaid in Alabama
One essential step toward a healthier future for Alabama is to ensure everyone can afford the health care they need. Arise members believe Medicaid expansion is a policy path to that destination, and research provides strong support for that position.
Expanding Medicaid would reduce racial health disparities and remove financial barriers to health care for more than 340,000 Alabamians. It would support thousands of new jobs across the state. And most importantly, it would save hundreds of lives every year.
Medicaid expansion would ensure health coverage for more than 220,000 Alabamians caught in the coverage gap. These residents earn too much to qualify for the state’s bare-bones Medicaid program but too little to afford private plans. Expansion also would benefit another 120,000 Alabamians who are stretching to pay for coverage they cannot readily afford.
Alabama is one of only 12 states that have not yet expanded Medicaid to cover adults with low incomes. But an Alabama Arise poll earlier this year found that more than seven in 10 Alabamians (71.5%) support Medicaid expansion. That figure included 65.8% of Republican voters.
“Medicaid expansion would boost our economy and improve the lives of hundreds of thousands of Alabamians,” Hyden said. “It’s time for Gov. Kay Ivey and lawmakers to say yes to the generous federal incentives for Medicaid expansion. Making this crucial investment in Alabamians’ well-being now will make our state better for decades to come.”
Why and how Alabama should untax groceries
Alabama’s state grocery tax makes it harder for people with low incomes to make ends meet. The tax adds hundreds of dollars a year to the cost of a basic necessity for families. And most states have abandoned it: Alabama is one of only three states with no sales tax break on groceries.
The state sales tax on groceries brings in roughly 6% of the Education Trust Fund’s annual revenue. But lawmakers have a path available to end the state grocery tax while protecting funding for public schools. Arise will continue to support legislation to untax groceries and replace the revenue by capping the state income tax deduction for federal income taxes (FIT).
The FIT deduction is a skewed tax break that overwhelmingly benefits the richest households. It is also exceedingly rare: Alabama is one of only two states to allow this deduction in full. The FIT deduction and grocery tax are two policies that contribute heavily to Alabama’s upside-down tax system. On average, Alabamians with low and moderate incomes must pay twice as much of what they make in state and local taxes as the richest households do.
“By untaxing groceries and capping the FIT deduction, lawmakers can make Alabama’s tax system more just and equitable,” Hyden said. “This plan would empower more families to keep food on the table while also protecting funding for our public schools. The Legislature should seize this opportunity to make life better for every Alabamian.”
Here’s what Alabama Arise heard from you in summer 2022!
We deeply value the input we get from Alabama Arise members, our allies and most importantly, those directly affected by the work we do together. We depend on what we hear to help guide our issue work and our strategies.
Despite the ongoing challenges of connecting in person, we kept working at finding ways to listen. We did another series of three statewide online Town Hall Tuesdays. And we held seven additional listening sessions around the state, engaging about 200 people.
The town halls happened every two weeks, starting July 12 and ending Aug. 9. Other meetings took place throughout the summer. Below are summaries of what we heard in those meetings.
Town Hall Tuesdays
Food and health
Most participants deeply cared about Medicaid expansion. They discussed how it would help many people, including rural communities struggling with access to care. Many were frustrated that Gov. Kay Ivey has not yet expanded Medicaid in Alabama. Others discussed the connection between health and access to healthy food and nutrition. Some participants noted that other barriers like transportation also directly impact health, nutrition and employment.
Related issues raised were the needs to address the racial wealth gap and increase wages for front-line workers. Many people expressed appreciation for food banks and pantries but acknowledged that they cannot meet all food security needs. Participants encouraged Arise to remain vigilant about the threat to impose stringent work requirements for Medicaid and SNAP food assistance. Many participants also mentioned untaxing groceries as a way to improve food security.
Democracy and justice
Many participants expressed concerns about legislative attempts to suppress voting rights and said Election Day should be a state holiday. Others also expressed concerns about ballot access for people with disabilities, limited numbers of voting precincts and gerrymandering. Bottom line: We should make it easier to vote, as ballot access is key to a strong democracy.
Several participants expressed concerns about the need for more services for people leaving incarceration. We need to expand community corrections programs, enact real prison reform and get rid of unjust fines and fees.
Some participants identified language accessibility as a potential barrier to receiving many services and participating fully in our democracy. Others were concerned about allocation of American Rescue Plan Act funds and wanted more funding for the Housing Trust Fund.
The path forward
This town hall was an opportunity to talk about any issues of concern people wanted to highlight. Participants raised the following needs and concerns:
- Expand Medicaid in Alabama now and address health disparities, including women’s health issues.
- Untax groceries and improve our regressive tax system.
- Improve voting access, including restoration of voting rights for people who were formerly incarcerated.
- Address environmental issues, including working to improve air quality in schools.
- Improve affordable housing access and language access, fully fund the child home visitation program and address gun violence.
Group and regional listening sessions
Session participants around the state strongly affirmed Arise’s work on the current 2022 issue priorities. They also emphasized the ongoing work to be done in those areas. Current issues highlighted were Medicaid expansion, criminal justice reform (particularly in the area of unjust fines and fees), more funding for child care and first class pre-K, public transportation and death penalty reform.
Session participants also discussed issues that aren’t on the Arise agenda but are of concern to them and their communities. Some of those issues include:
- Affordable housing, with a focus on increased funding and availability. One example was discussion of whether to limit the number of vacation rental properties one person could own in an area, as this can contribute to the shortage of affordable housing. Many renters also discussed the soaring prices of rent.
- Automatic organ donor registration linked to getting and renewing driver’s licenses.
- Broadband internet extension to reach more rural households and Alabamians with low incomes.
- Constitutional reform.
- Government intrusion on private medical decisions. One example shared was concern over lawmakers interfering with rights of transgender teens to seek medical care. Another concern raised was doctors being able to provide medical care during pregnancy and decide the right time to intervene on a pregnancy that threatens the life of the mother.
- Gun violence prevention.
- Marijuana sentencing reform.
New Census data reveals how good policy choices can cut poverty, keep Alabamians healthier
People-friendly federal policies reduced poverty and made it easier for people to get health care in 2021, U.S. Census figures released this week show. Perhaps the most eye-opening improvement was a dramatic reduction in child poverty nationwide.
The recent Child Tax Credit (CTC) expansion alone kept 5.3 million Americans above the poverty line. The one-year expansion under the American Rescue Plan Act (ARPA) made the full CTC available to children living in families with low or no earnings. It increased the maximum credit to $3,000 per child and $3,600 per child under age 6. And it extended the credit to 17-year-olds. The expansion expired in 2022 after Congress failed to renew it, but lawmakers could revisit that decision later this year.
Child Tax Credit improvements fuel record drop in U.S. child poverty
CTC expansion helped reduce disparities for Black and Hispanic children. It also drove the U.S. child poverty rate to a record low of 5.2% under the Supplemental Poverty Measure (SPM). Unlike the traditional poverty measure, the SPM reflects the poverty-reducing effects of tax credits and non-cash benefits like food assistance.
Alabama’s official child poverty rate was 22% last year under the American Community Survey (ACS), a more traditional measure that accounts for fewer factors than the SPM. That was an apparent increase from the pre-pandemic level of 21.1% in 2019, though within the margin of error. (ACS data for 2020 is unavailable due to pandemic-related data collection disruptions.)
SPM data paints a fuller picture of the poverty-reducing power of supports like the expanded CTC. Alabama’s three-year average overall poverty rate under the SPM was 10.3% in 2019-21. By contrast, the state’s overall ACS poverty rate moved from 15.5% in 2019 to 16.1% in 2021. That change was not statistically significant.
“The success of the Child Tax Credit expansion was undeniable,” Alabama Arise executive director Robyn Hyden said. “This policy slashed child poverty and helped families make ends meet across our state and our country. Congress needs to renew the Child Tax Credit expansion and make it permanent. And our state lawmakers should do their part to help Alabama families keep food on the table by ending the state grocery tax and replacing the revenue in a responsible way.”
Uninsured rates fall nationally despite tumult of COVID-19 pandemic
Federal policy choices also fueled a slight reduction in the number of uninsured Americans last year. The U.S. uninsured rate dropped to 8.6% last year, down from 9.2% in 2019. Alabama’s uninsured rate stayed relatively flat, moving from 9.7% in 2019 to 9.9% in 2021. That change was within the margin of error.
Alabama continued a years-long pattern of outperforming the national average in insuring children in 2021. The state’s rate of uninsured children (4%) remained the best in the Deep South last year. Much of that sustained success is attributable to ALL Kids, the state’s Children’s Health Insurance Program (CHIP) created in 1998. ALL Kids has played a crucial role in reducing Alabama’s rate of uninsured children from 20% in the late 1990s.
A key factor in the overall health coverage improvements was the federal requirement for state Medicaid programs to keep participants covered throughout the ongoing COVID-19 public health emergency declaration. That declaration may end later this year, underscoring the importance of helping many enrollees transition to new coverage.
Enhanced subsidies under ARPA also helped make health coverage more affordable for millions of Americans with private plans. This includes many of the 219,000 Alabamians with marketplace plans through the Affordable Care Act. Congress renewed subsidy enhancements through 2025 in the Inflation Reduction Act, which President Joe Biden signed into law last month.
“Medicaid, ALL Kids and ACA marketplace coverage have saved and improved the lives of millions of Alabamians,” Hyden said. “Alabama should build on these successes by expanding Medicaid to help more than 340,000 people who are uninsured or struggling to afford health insurance.
“It’s time for Gov. Kay Ivey to say yes to the generous federal incentives for Medicaid expansion. It’s time for her to say yes to a healthier future for Alabama.”
Alabama Arise helps empower advocates to fight cervical cancer
Six Black women from Alabama’s Black Belt region assembled In a meeting room at downtown Birmingham’s Westin Hotel on Aug. 26-28 for a weekend of intense and insightful advocacy training. The weekend served as this cohort’s introduction to both each other and the material they’ll be learning. And Alabama Arise had the privilege of being part of the event.
Arise health policy advocate Jennifer Harris will spend the next few months guiding these incredible women through various training sessions through a partnership with the Southern Rural Black Women’s Initiative for Economic and Social Justice (SRBWI) and Human Rights Watch (HRW). These women have been tasked with reducing rates of cervical cancer in their communities, and they are up to the challenge.
The scope of the challenge
Why the focus on cervical cancer? Consider these sobering statistics:
- Black women die of cervical cancer at 1.5 times the rate of white women in the United States.
- In Alabama, Black women die of cervical cancer at nearly twice the rate of white women.
- With the HPV vaccine, cervical cancer is nearly entirely preventable.
- The Black Belt region is especially hard hit due to lack of access to health care.
“Research is clear on the best possible outcomes in ideal situations. But the reality is far from ideal for many women in rural Alabama,” Jennifer said. “Less access to health care, the need for more preventive education, and barriers such as a lack of transportation increase these health disparities for too many families.
“Working with the advocates, I see women who are passionate about their communities. They are ready to use the best tools available to change this bleak narrative. I was fortunate to facilitate this training and help them identify their personal and collective voices, share their knowledge of resources, and envision better health outcomes in their community through their personal advocate lens.”
Crash courses and lessons from history
I was lucky to meet these women, learn a little about Alabama’s history and work with my colleagues in creating a helpful curriculum for the weekend. Arise executive director Robyn Hyden charged right into advocacy training on that Friday morning. Her sessions described the role of advocates, how to talk to legislators and how to get bills passed into law. Jennifer took over in the afternoon, giving a crash course on Medicaid, Medicare and the U.S. health care system.
The cohort joined the rest of SRBWI’s conference attendees for dinner that evening. Over a warm meal, I was able to chat with current coworkers, former board members and longtime Alabama activists.
Then the audience was honored to hear from Rev. Carolyn McKinstry. McKinstry, an original SRBWI member, was working as a secretary at Birmingham’s 16th Street Baptist Church when it was bombed on Sept. 15, 1963, killing four young Black girls. She’s spent much of her life as an advocate and historian to ensure the world doesn’t forget the abominations that Alabama faced during that time.
McKinstry kindly shared her story with us. She told us about that fateful day, but also the days beyond it. She described a Birmingham terrorized by racial violence and how that trauma continues to affect her and other survivors to this day. But she also described the resilience, intelligence and power that arose from communities into a movement for justice and equity.
McKinstry is only a few years older than my mother. That’s a harsh reminder of just how recent these atrocities are. And it’s a reminder of how much work remains to reform institutions and policies that continue to fuel racial disparities.
Shifting power and lifting barriers
The cohort reconvened on Saturday morning, when Arise organizing director Presdelane Harris (no relation to Jennifer) started off the morning with a session on communication styles and building relationships. I followed up with a session on coalition building. During lunch, researchers from both SRBWI and HRW gave a presentation on the heart of this cohort’s formation: cervical cancer in Black women in the South.
This group of women will act as community researchers and liaisons. They will promote the HPV vaccine, advocate for patients trying to access health care and dispel myths around cervical cancer. It’s a daunting task for sure, but throughout the training, it became clear they were up to it.
After lunch, I led a session on engaging with the media for advocacy work. Then Arise story collection coordinator Whit Sides gave a heartfelt presentation on sharing your own story and collecting stories from others.
The SRBWI conference and the Black Belt cohort training were an incredible opportunity to see some of the often invisible organizing and community-building work that is happening across Alabama. People long neglected by institutions and lawmakers are finding creative ways to take care of themselves and their communities. And Arise is committed to working alongside them to amplify their voices and lift policy barriers standing in their way.
Inflation Reduction Act will make Alabama a healthier state
Alabama Arise executive director Robyn Hyden released the following statement Monday in response to the U.S. Senate’s passage of the Inflation Reduction Act on Sunday:
“The Inflation Reduction Act will help build a healthier future for people across Alabama. This plan will make health coverage more affordable for hundreds of thousands of Alabamians and millions of Americans. It will improve air quality by investing in clean energy and reducing emissions that fuel climate change. And it will pay for these investments by closing tax loopholes that subsidize profitable corporations and wealthy households.
“This plan will save money for patients and the federal government by allowing Medicare to negotiate certain prescription drug prices. It will cap the cost of insulin and other out-of-pocket drug expenses for Medicare enrollees. And it will extend enhanced subsidies that make health coverage more affordable for many of the 219,000 Alabamians with marketplace plans through the Affordable Care Act.
“We’re happy that the U.S. Senate passed this important legislation. And we look forward to the House approving it and sending it to President Joe Biden to sign into law.
“We also will continue advocating for state lawmakers to make other needed investments in families and communities. We’ll keep working for additional funding to make child care, housing and public transportation more affordable and available across Alabama. And we’ll continue pushing for Medicaid expansion to help more than 340,000 Alabamians who are uninsured or struggling to afford health insurance.
“These policy choices are essential to improve Alabamians’ quality of life and to boost our state’s economic prosperity. We’re determined to see each and every one of them across the finish line.”
ARPA 101: How the American Rescue Plan Act can build a more equitable Alabama
The COVID-19 pandemic has stretched families, hospitals, schools, businesses and food banks across Alabama to their limits. Like tens of millions of other Americans, local and state officials have had to adapt to new challenges and respond to existing health and economic challenges exacerbated by the pandemic over the last two years.
Congress reacted to these challenges by passing several major recovery packages to provide relief to individuals, states and local governments. The most recent package was the American Rescue Plan Act (ARPA), a $1.9 trillion measure enacted in March 2021. One key provision of ARPA is known as State and Local Fiscal Recovery Funds (SLFRF). Congress allocated this money to help states and localities address the impact of the pandemic and promote equitable recovery.
How Alabama has used ARPA funding so far – and the opportunities that remain
Of the $195 billion of SLFRF money appropriated to states, Alabama will receive more than $2.1 billion. State and local governments can spend these dollars in four ways, according to the U.S. Department of Treasury’s Final Rule released in January 2022:
- Replace lost public sector revenue.
- Support the COVID-19 public health and economic response.
- Provide premium pay for eligible workers performing essential work.
- Invest in water, sewer and broadband infrastructure.
To date, Alabama has allocated more than $1.1 billion to various programs and projects through three special sessions. Lawmakers allocated $480 million for prison construction and health care during the first two sessions in September and November 2021. The Legislature appropriated another $772 million during the third special session in January 2022. Legislators devoted that money to a range of projects, including broadband, water and wastewater infrastructure and rural hospitals.
The Legislature has yet to appropriate the remaining $1 billion in state ARPA recovery funds. But legislators may return this summer or fall for a special session focused on the use of those funds. Alabama Arise is encouraging lawmakers to invest some of that money in affordable housing, public transportation and food security infrastructure. Each of those investments would provide long-term improvements in economic opportunity and quality of life for people across Alabama.
Top priorities: Affordable housing, public transportation and food security
The COVID-19 recession caused a wave of evictions and foreclosures across Alabama. The state could help address its housing shortage and resulting homelessness by providing $25 million for the state Housing Trust Fund. This investment would create and support jobs across the state. It also would reduce Alabama’s shortfall of more than 76,000 affordable homes for people with low incomes.
Essential work supports can help more Alabamians reenter and stay in the job market during and after the pandemic. One critical support is reliable transportation to and from work, school, child care or medical care. Legislators can help strengthen communities and expand economic opportunity by investing $20 million in the state Public Transportation Trust Fund. Arise partnered with 81 other organizations in June 2022 to urge lawmakers to take that important step forward.
Hunger was already a large and perpetual problem across Alabama even before the pandemic. Sudden income loss, rising prices and occasional shortages have made it much more difficult for many people to feed their children and families. Alabama’s food banks remain essential to feeding those in need, even as many have faced staff and volunteer shortages. Lawmakers can help ease this strain by distributing $5 million to the state’s food banks. This funding would empower food banks to maintain services by replacing and improving critical infrastructure like equipment, fleets and warehouses.
ARPA funding for affordable housing, public transportation and food security infrastructure will make life better for the Alabamians hit hardest by COVID-19 and the economic downturn it caused. And these investments will go a long way toward helping create a more equitable and prosperous future for every Alabamian.
For more on the American Rescue Plan Act, please visit our ARPA toolkit.