On the other hand, the new legislation would greatly increase the existing programs. Support for child care would come through the Community Development Grant to states, cities and counties. Universal pre-K would be secured through block grants and increased funding from Head Start. Two years of graduate school are expected to become accessible through more generous Pell Grants and other existing financial aid programs.
But if passed, Mr Strain said the legislation could fundamentally change the relationship between the state and its citizens: “Its ambition lies in its size.
Most Americans have traditionally seen the federal government take care of their finances once a year, at tax time, when they apply for a child credit, get a write-off for the truck they may have bought for. their business or receive a check for earned income. income credit, to name a few.
This would change dramatically if the Social Policy Bill were passed. The expanded child tax credit began providing monthly checks of up to $ 300 per child to millions of families, but is set to expire in 2022. Its decade-long extension could make it a much-needed part of life. difficult for future Congresses to take away. The same goes for the child care and dependents credit, which now offers up to $ 8,000 in child care expenses, but also expires in a year.
And the federal government, not private employers, would pay most of the wages of those eligible for family and medical leave.
“If this is passed, in a decade people will see many more government touchpoints supporting them and their families,” Ms. Boushey said.
A major difference between the social economy Mr. Biden and the Congressional Democrats hope to create and the welfare state in Europe is how it would be paid. Most European countries require their citizens to finance their social protection programs, largely through a value added tax, a sales tax levied at each stage of the production of a consumer good.