United Way may match rebate savings

A United Way-funded initiative that will match savings carved out of federal income tax rebates is fully subscribed, but applications are still being accepted, program overseer Kerri Rodkey said Wednesday.

Rodkey, who heads the micro-enterprise program at Spokane Neighborhood Action Programs, said some who apply do not qualify, or do not show up for the classes or counseling sessions participants must attend.

Also, slots reserved for Fairchild Air Force Base workers and the YWCA Domestic Violence Prevention Program have not been filled, she said.

United Way in April put up $20,000 to encourage low- or moderate-income households to set aside $100 or $200 from their rebate checks in a savings account. If the money remains in a bank account for three months, and participants take part in the classes and counseling sessions, they receive a matching amount from United Way.

All those who have applied want the $200 match, Rodkey said, so only 100 will receive checks if they can stick it out through the summer.

Many advocates for the poor say help building assets, not income support, is the key to lifting individuals and families out of poverty.

But some warn the matching program could be a trap. Temporary Assistance for Needy Families and General Assistance Unemployable benefits are cut off in Washington if an individual has more than $1,000 in assets, or a couple more than $2,000. Home equity does not count.

“We’re very much concerned about these asset limits,” said Rodkey, not because they may penalize those who complete the Spokane program with $400 in the bank, but because they discourage saving by a population that should be caching every dollar it can.

“It’s the whole reason we’re doing this program,” she said.

Kim Justice, lobbyist for the Statewide Poverty Action Network, said efforts to raise or eliminate the asset limits failed in this year’s legislative session. Supporters are considering what options they might put before lawmakers next year, she said.

Justice said Ohio and Virginia no longer have caps, and Colorado recently raised the limit to $15,000.

To apply for the rebate match, call SNAP at (509) 456-7174. You must be a Spokane County resident and qualify for earned income tax credits.