For immediate release: Contact: Kerry Birnbach

September 28, 2010 kbirnbach@nyccah.org

212-825-0028 ext. 212

New Federal Data: NYC Poverty and Inequality

Soar, Average Family Income Down
Manhattan Now Has Higher Inequality of Wealth than Haiti and Brazil

Elected Officials and Advocates Oppose Proposed Cuts to Food Stamps

After Participating in Week-Long Food Stamps Challenge, Council Member

Rodriguez calls Eating Healthy “Impossible” on SNAP
Despite the skyrocketing wealth of the city’s 57 billionaires, the median income of families in
New York City declined and the number of people in poverty soared, according to federal data
released today by the U.S. Census Bureau.

All of New York City has a higher inequality of wealth than Burkina Faso or India. In
Manhattan, which has the greatest income disparity citywide, the index is higher than Haiti or
Brazil.

The number of city residents living below the federal poverty line ($17,600 for a family of three)
increased from 1,500,484 to 1,546,046 from 2008 to 2009, with the rate increasing from 18.2
percent to 18.7 percent. Every borough except Manhattan reported an increase in people living
below poverty. The median household income dropped citywide from $51,116 in 2008 to
$50,033 in 2009. Yet the latest number of billionaires based in New York City increased from to
56 to 57 and their collective net worth increased by $19 billion (from $183.5 billion to $202.65
billion in 2009 to 2010), according to data recently released by Forbes magazine and analyzed
by the New York City Coalition Against Hunger.

Said Joel Berg, Executive Director of the Coalition, “This data is the latest proof that low-
income, hungry, and even middle-class New Yorkers are suffering mightily in this recession,
even as the ultra-rich become even wealthier. We should all be appalled that New York is now
the epicenter of the nation’s soaring inequality of wealth. The only silver lining in all this
horrible news is that that federal recovery act prevented far more New Yorkers from falling into
poverty.”

A week ago the New York City Coalition Against Hunger challenged New Yorkers to join
Council Member Rodriguez in living on the average food stamps for a week as part of the Food
Stamp Challenge. Participants spent $4.35/day on food for the first three days of the challenge,
and then spent $3.75/day on food to reflect the proposed budget cuts to the food stamp program.
Currently, 1.76 million New Yorkers rely on SNAP/food stamp benefits.
Despite the fact that so many are struggling to make ends meet, in August Congress cut $11.9
billion from the SNAP/food stamp program in order to pay for the Federal Aviation
Administration Bill, which includes aid to states and funding for teachers’ salaries and Medicaid.
In the coming weeks, Congress will decide whether to make an additional $2.2 billion in cuts to
the SNAP/food stamp program in order to pay for Child Nutrition Reauthorization (CNR), which
determines funding and access to child nutrition programs.

One participant noted, “At first I thought that the difference between the two daily allowances of
$4.33 and $3.75 wasn’t that much—but 58 cents per day can buy two oranges and now I feel like
that is huge. I’m having a difficult time planning what we can eat that is healthy and in our
budget on Thursday and Friday.”

Said Council Member Rodriguez, “I do not need to repeat what we already know – that it is
impossible to still eat a healthy balanced diet off $4.33 per day, the amount a low-income
individual might receive off food stamps. Ironically, Congress is considering paying for child
nutrition programs by cutting the already insufficient amount of funds for food stamps – a move
that will make children less healthy! At a time when poverty rates are soaring, and more and
more Americans are relying on food stamps to survive, we cannot afford to cut this program or
any of the other lifelines for families in need.”

Commented Congressmen Anthony Weiner, “We have a moral obligation to provide for the
millions of New Yorkers who go hungry every year. Unfortunately, food stamp recipients have a
tough enough time subsisting on the current allotment. The fact that further cuts are even on the
table is shameful."

Said Jeanne McGettigan, Emergency Food Services Coordinator at Catholic Charities

Community Services, Archdiocese of New York, “The food stamps challenge is a great way for
people to put themselves in someone else’s shoes. Everyday at the pantry we see people who are
struggling to make ends meet; all too often, people forget how fortunate they are to know where
their next meal is coming from. This challenge really shows how important government services,
like food stamps, can be. We need to keep these funded.”

Continued Joel Berg, Executive Director of NYCCAH explained, “Poverty in New York City
grew this year, and policymakers need to acknowledge that it’s time for more intensive
government action: we need to simplify the application process for government benefits, get
people working, and ensure that workers are earning prevailing or living wages. Pantries like this
one are seeing an increase in working families coming for assistance- we need to ensure that
workers make enough to live off of. Lastly, we can’t cut funding for food stamp benefits in order
to pay for child nutrition programs. Low-income communities rely on both of those programs
and its cruel to pay for one by cutting the other.”
 Inequality of Wealth, By Location

Place Gini- Inequality of Wealth Index (High index means higher inequality)
Manhattan .60
Haiti .59
Brazil .57
Guatemala .55
New York City - citywide .54
New York State- statewide .50
Burkina Faso .48
United States - nationwide .47
India .37
United Kingdom .34
France .33
Canada .32
Germany .27
Sweden .23
Sources: New York City numbers from 2009 U.S. Census Bureau, American Community
Survey; foreign numbers for CIA World Fact Book, most recent years for each country

Number of People Below Poverty Line, By Borough

Staten
Bronx Brooklyn Manhattan Queens Island
Year 2000 366.055 475,905 294,707 223,683 35,387
Year 2001 377,201 480,783 312,917 286,736 37,510
Year 2002 387,602 498,136 290,818 268,074 47,147
Year 2003 376,564 493,958 294,093 293,351 41,752
Year 2004 400,909 547,683 288,580 320,098 43,304
Year 2005 382,414 547,907 272,890 263,701 49,951
Year 2006 383,788 561,548 286,800 271,986 43,036
Year 2007 362,062 560,169 279,522 270,066 45,871
Year 2008 371,971 536,474 268,635 265,652 47,752
Year 2009 386,971 554,182 262,801 288,092 54,142

Sources: New York City numbers from 2009 U.S. Census Bureau, American Community Survey