We’re sharing the latest policy updates around several CMF member-supported federal and state legislation promoting economic prosperity and development.

Education

Michigan Congressman John Moolenaar has signed on as a co-sponsor to the Workforce Development Through Post-Graduation Scholarships Act (H.R. 3582), joining Congressman Shri Thanedar. The bi-partisan bill, Workforce Development Through Post-Graduation Scholarships Act, was reintroduced last year by Michigan Senator Gary Peters and West Virginia Senator Shelley Moore Capito and would mandate that scholarship recipients of post-graduation grant programs are not required to pay income taxes on awarded funding, similar to traditional scholarships.

The legislation would help ease the financial burden individuals face from student loan debt while incentivizing graduates to start their careers in fields that are experiencing worker shortages. 

The bill is based on the Come Home Award created by the Community Foundation of St. Clair County.

CMF recently hosted Congressman Moolenaar at a Government Relations Public Policy Committee meeting, where the Workforce Development Through Post-Graduation Scholarships Act was among the topics discussed.

CMF, in partnership with the Council on Foundations, led a strategy to reintroduce the Workforce Development Through Post-Graduation Scholarships Act last year and built a coalition of supporters among other philanthropy-serving organizations (PSOs) and foundations outside of Michigan.

Over 50 PSOs and their respective members joined the CMF-hosted Workforce Scholarship Coalition kick-off meeting to support the legislation, which serves as a tool for charitable organizations to stimulate regional economic development and address the student debt crisis.

The Coalition, supported and managed by a steering committee of PSOs, is currently focused on securing additional co-sponsors for the legislation. On January 17, there will be an opportunity to meet with the Coalition to discuss strategy and talking points for the upcoming Foundations on the Hill, as well as share updates from any conversations with lawmakers.

If you are interested in joining this conversation, please connect with Cassidy Uchman, CMF’s public policy fellow.

Charitable Giving

Michigan Congresswoman Hillary Scholten signed the bi-partisan Charitable Act (H.R. 3435) to restore the universal charitable deduction. Representative Scholten joins Senator Peters, who is an original co-sponsor of the Senate bill (S.566).

The Charitable Act would expand and extend the expired non-itemized deduction for charitable giving that would ensure Americans who donate to charities, houses of worship, religious organizations, and other nonprofits of their choice are able to deduct that donation from their federal taxes at a higher level than the previous $300 deduction.  

As we have shared, CMF, as a member of the Charitable Giving Coalition, signed a letter to federal lawmakers urging support for the House-introduced companion bill for the Charitable Act. 

During Foundations on the Hill (FOTH) 2023, CMF members attended a press conference outside of the Capitol building hosted by the Charitable Giving Coalition announcing the Charitable Act.

Next month, CMF members will again have the opportunity to build relationships and engage in conversations with Michigan members of Congress at FOTH, hosted by United Philanthropy Forum in partnership with Independent Sector and the Council on Foundations. FOTH is taking place February 26-28 in Washington, D.C. Please note Michigan’s presidential primary is taking place February 27, if you are attending FOTH, view early voting resources here.

You can expect to educate Michigan's delegation about the importance of philanthropy, inform them of the work that foundations are leading in and with community in their districts and advocate on behalf of issues impacting the sector and the communities we serve. Registration is now open.

Volunteer Income Tax Assistance Program & Earned Income Tax Credit

The Michigan Poverty Taskforce recently hosted a virtual conversation, which is now available to watch, on the free tax preparation service Volunteer Income Tax Assistance (VITA), which is positioned to increase Earned Income Tax Credit (EITC) uptake by ensuring eligible tax payers claim the credit.

The EITC supports working families earning a maximum of $57,000 a year (if they have three children). The state EITC was once 20% but was lowered to 6% in 2011. Michigan had one of the lowest match percentages based on the federal credit until recent legislation raised it to 30% starting in the 2023 tax year.  

As CMF reported, several CMF members have directly contacted lawmakers about the high impact an EITC expansion would have on working families. Six CMF community foundation members joined more than 230 organizations in sending letters of support to the Legislature and Governor Gretchen Whitmer.

The expanded Michigan EITC will go into effect for eligible people and families this February.

Engaging in Public Policy

If you are interested in hearing how your CMF peers are engaging in public policy or would like to learn more about how to begin your advocacy journey, CMF’s Government Relations Public Policy team invites you to join two upcoming virtual events.

On January 19, we are hosting our first-ever virtual Policy Staff Roundtable as a new space for staff and trustees interested in public policy to share what you’re seeing in your own work and hear from your peers in a casual, member-driven conversation.

If you are at the early stages of advocacy work or considering engaging in it, join a virtual primer conversation on January 30 to learn about the legal parameters for engagement, examples of what your peers are doing and more. Register today.

Want more?

Stay connected with your peers and the latest policy updates through CMF's Policy Online Community. CMF's Government Relations Public Policy team is sharing timely resources and ongoing conversations related to scholarships, charitable giving, the EITC and more!