U.S. Rep. Ilhan Omar: Minnesota child tax credit proposal should be a national model

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In 2021, Congress passed the landmark American Rescue Plan signed into law by President Joe Biden. Among other policies, the bill dramatically expanded the Child Tax Credit to up to $3,600 for children under 6 and $3,000 for children between the ages of 6 and 17. These payments represented the biggest anti-poverty initiatives in a generation. As a result of the expanded Child Tax Credit, survival checks during the pandemic and expanded unemployment assistance, child poverty hit a historic low in 2021.

In Minnesota's Fifth District, the federal tax credit benefited nearly 70,000 families — including more than 80% of children in our district. This is the type of direct, aspirational assistance families across our district felt.

And then it expired.

Facing opposition from Sens. Joe Manchin and Kyrsten Sinema to the Build Back Better Act, Congress was unable to make these reforms permanent, and propelled 3.7 million children across the country back into poverty.

Thankfully, now Minnesota is taking action.

Gov. Tim Walz and Lt. Gov. Peggy Flanagan just laid out a bold vision that includes direct survival checks, expands affordable child care options and boosts K-12 funding. The governor's budget is paving the way to make Minnesota the best state in America to raise children. They have taken tremendous steps to lift up families, improve communities and broaden prosperity. Our office will continue to support the governor's vision to make transformative investments for our kids.

But particularly exciting is a dramatically expanded Child Tax Credit for families in our state. Under the proposal, families earning less than $50,000 would be given $1,000 per child through the state Child Tax Credit, regardless of their tax liability. The checks are estimated to benefit 2.5 million Minnesota families, totaling $3.9 billion. Families could start receiving checks in the early fall. The plan also expands the Child and Dependent Care Credit to help families afford child care. Families would receive up to $4,000 per child under age 5, with a maximum of $10,500, for child care expenses. Parents with older children would qualify for a smaller credit.

These are the types of investments at the state and federal level I wish I'd had. When I was a struggling young mom, going to school full-time and working to support my kids, the rebate checks would have made a monumental difference for my family and thousands across our state.

During town halls, calls to my office, run-ins on the street and in social media posts, we heard from countless parents who told our office how significant these payments, especially the Child Tax Credit, were for their families. Because of the extra money in their bank accounts, parents could breathe easier. From putting food on the table, covering rent payments and buying necessities — these payments provided a crucial lifeline.

But the task of ending child poverty should not fall on states alone. In the face of the overwhelming evidence of the success of the Child Tax Credit and the American Rescue Plan's antipoverty measures, we need to build on the progress our state is making to the halls of Congress. That is why we are pushing to reinstate the expanded Child Tax Credit and make it permanent, so millions of families have the lifeline they need. But in the face of record inequality, we need a plan to provide an income floor for everyone. That is why we will keep pushing for measures like guaranteed income through legislative proposals like the SUPPORT Act, to send $1,200 per month for every adult and $600 per month for every child through local governments in cash payments over a five-year period. This bill builds on successful guaranteed income pilot programs we have seen in localities nationwide, including in Minneapolis and St. Paul.

We need to continue to lead with love and compassion, to not shy away from the ideals that make the unfinished project of our republic great. As the late Minnesotan Vice President Hubert Humphrey said, "It was once said that the moral test of government is how that government treats those who are in the dawn of life, the children; those who are in the twilight of life, the elderly; and those who are in the shadows of life, the sick, the needy and the handicapped."

This is our chance to expand the realm of what we believe is politically possible. Together let's get this done for our kids and show the country what Minnesota Nice values are all about.

U.S. Rep. Ilhan Omar, a Democrat, represents Minnesota's Fifth Congressional District.