How to build wealth at "the bottom" Part 3

To build wealth among low-income people we've got to get honest about a few critical elements of the U. S. economy today that call for reform.

We could increase the wealth/earning power of millions of low-income families by enacting comprehensive immigration reform.  Such reform would re-frame the entire security (i.e. "build a wall on the southern border) conversation.  Building on the work that has been done on border security; reform should create an efficient, user friendly, guest worker program; complete with green cards/swipe cards that would allow passage back and forth along the southern border as it is to the north. 

As millions of productive workers stepped into the light of the U. S. economy, wages would rise, taxes paid would increase, innovation would emerge and the economies on both sides of the border would expand.  Clearly, continuing refusal to strike a deal on comprehensive reform keeps wages artificially low and explains in large part why we've not been able to achieve a sane policy. 

To be sure, the benefit of a sub-culture that labors for extremely low wages can't be ignored.  The real worry today regarding reform has more to do with the security of our wallets than that of our neighbors who hide in the shadowy places of our economy. This must change.

Further, pathways to citizenship have never hurt our nation.  In fact, openness to immigrants all the way to the full national inclusion of citizenship is a hallmark of American national life and expectation. 

Wealth building at the bottom demands that we embrace policies that intentionally, methodically, and legally work against every expression of segregation in our national and community life.  Nationally, we need to be all shook up!  Inclusionary zoning laws (illegal in Texas) need to be applied across the nation, particularly in our metropolitan areas. 

Housing developers, education systems, health care providers, county and city governments that discriminate on the basis of race or class should be penalized severely.  Discrimination must not be tolerated by individuals, families, communities, states or the broader nation.  If we're honest, we will freely admit that discrimination continues to plague us. 

Faith communities need to step up and help us achieve a new, never before realized sensitivity to the negative forces accompanying discrimination directed toward others who don't seem life us, but in fact, are our brothers and sisters.  We must face the harsh truth that much of the poverty in our nation results from the poisonous dynamics of discrimination and prejudice in personal actions, as well as in public policy. 

Building wealth at "the bottom" Part 1

Poverty is not complicated in terms of seeing its impact and affect on people. 

However, the forces causing it can be beyond complicated. 

The American economy has experienced seismic shifts since the end of World War II.  Companies experienced great growth,  A generation went to college. A great middle class emerged. Industry exploded with technological and product innovations. Wealth grew, and much of that wealth landed in the stock market as more and more companies "went public." 


More recently, companies find it in their best interests to move out of the United States when it is time to build new facilities, manage labor costs and for other off-shore advantages. 

Technological advancements displaced workers and continue to do so.  Labor unions experienced a rather sharp decline in influence and power.  The expectation of the coming economy involves additional job losses, especially for low or under-skilled workers. 

Socially, continuing income and racial segregation result in dire consequences to the economy, to
public health, to public and higher education, to quality of available housing stock, to public engagement and to overall community well being.  The division of rich and poor geographically hurts us all.  The unfulfilled dreams of the American civil rights movement play a big part here.

Caught up in these and many other negative forces, a growing underclass struggles with intensive  toxic stress, resulting in a spiral downward for tens of millions of Americans. 

Poverty is growing. 

Poverty is tragic.

Poverty presents possibly the most serious threat to our nation's long-term security. 

What is necessary to overcome these negative forces?  How, in fact, do we build wealth at "the bottom?"

Check back with me over the next few posts as I attempt to deal with these vexing questions.

"Poor folk" don't mind paying

A standard operating procedure and possibly a little known fact:  CitySquare asks "customers," those who come to us seeking relief and assistance, to make a financial investment in the services and processes that contribute to their own life-improvement. 

For example, our health services division requires a modest co-pay/application fee to receive medical and pharmacy services.  Our public interest law firm asks for an application fee and a modest client fee when cases are accepted.  In our resource center, social work services asks for a very small application fee as well, in this case just $5.  The same policy is now extending across the organization. 

Our neighbors have been making significant contributions to our overall work for years.  And, it is important to note just here, our low-income friends are almost universally eager to do their part to support our work because of its proven benefit in the community.

For us, it is a matter of principle. 

We believe that charity limits people. 

Community involvement and investment is the beginning of liberation and an important aspect in the realization of personal empowerment.  Expectations that lead us to shared resources can transform communities. 

Here's an interesting statistic:  for several years now low-income neighbors have contributed twice as much to our work as have churches from their operating budgets!  Don't look down on "the poor," as if they are doing nothing to change their circumstances!  Poor folks don't mind paying for value added to life. 

People who bad mouth the poor, claiming they live life with a sense of selfish entitlement, don't have an accurate understanding of just how much those at the bottom of our national economy actually do in an effort to improve their own lives. 

So, why do we charge these fees? 

We do it because we need help from those closest to us to continue our mission.

We ask for an investment because the "buy in" from the poor makes all of our efforts and services more effective.  It is a fact:  "skin in the game" produces much better outcomes.  Investors feel free to comment, critique and lend a helping hand to us to see our performance improve. 
We engage our neighbors by asking them to contribute something to support our work because we know that such investments transforms them from "charity cases" into customers with all the rights and duties inherent in such a reciprocal relationship.  I often tell our staff that if folks don't feel as if they can complain about our services and performance, then something is wrong. 

We are in the city for good.  And we are asking our neighbors to invest in their own future and that of the entire community.  Change costs us all.  We make no apologies for believing that the poorest among us have something to offer and invest, including their money.