It is time to end homelessness. The problem can be broken down into three major categories: affordable housing, health care, and livable incomes.

Part of the livable income picture includes 42% of America’s homeless population that the federal government says is working. The problem is that the federal minimum wage is $5.15 per hour. According to the last several U.S. Conference of Mayors’ reports, $5.15 per hour or $10,300 per year, is an insufficient wage for anyone to get and keep housing throughout the United States. While some employers are paying $6.00, $7.00 or even $8.00 per hour, the wage is still not enough to get or keep most folks in housing.

Senator Ted Kennedy has a bill to raise the federal minimum wage by $1.50 over the next two years. The problem is that the day that bill gets passed, not one minimum wage worker can then work themselves off the streets in the very city where it is passed.

Others wonder about the approach of paying a flat national minimum wage of say $10.00 per hour. Again, that would not afford any minimum wage worker an efficiency apartment in cities such as Washington D.C. or Santa Cruz, California. However, at the same time, that flat wage would swamp small businesses all across America in cities like Biloxi, Mississippi or Harlingen, Texas. In fact, this is Congress’s biggest problem; one wage size no longer fits all.

It is recognized that the single most expensive item in an individuals budget is housing. Amazingly, families consisting of one wage earner, a spouse and two children, are after forced to live on the minimum wage. In response, we’ve devised a single national formula that relates to the local cost of housing across the U.S. The Universal Living Wage Formula (ULW) ensures that anyone working a 40 hour week will be able to afford basic rental housing (i.e. an efficiency apartment) wherever that work is done throughout the U.S. Using a single formula, each city and Fair Market Rent (FMR) designated area has a wage relative to the local cost of living based on housing.

The formula is based on existing government guidelines:

o spend no more than 30% of income on housing,

o use HUD Fair Market Rents (FMR),

o work a 40 hour week.

The Department of Housing and Urban Development (HUD) under its Section 8 housing rental program, annually determines what one can reasonably expect to spend on rental housing across the U.S. for an efficiency, one, two, three, and four bedroom apartment. They are referred to as Fair Market Rents(FMR).

Over the past ten years, due to the Herculean efforts of local initiatives, the concept of a “living wage” has swept across America. However, even with 90 local campaigns, less than 100,000 workers are represented. Between monied opposition and unorganized rural America, this won’t bring wage equity for all 10.1 million minimum wage workers for about 3000 years (if then). In 1938, the federal government answered this question by creating the Federal Minimum Wage. Our goal today is to fix it… to everyone’s benefit.

The Universal Living Wage Formula is based on the moral premise that anyone working 40 hours should be able to afford basic rental housing. To this end, we have launched a national campaign that has garnered wide spread support across the United States. One aspect of the campaign has captured the imagination of unions (i.e. the Communication Workers of America International boasting 650,000 members) and businesses like American Apparel and HSR Construction. It is the idea that enactment will create a true Economic Stimulus Package as the local construction industry all across America responds to the millions of minimum wage workers’ new ability to rent non-existing efficiency apartments.

Based on federal government statistics, it is conservatively estimated that, with implementation, over one million homeless people will be able to work themselves off the streets of America while offering businesses stable workers. . . thus avoiding costly turnover, repetitive retraining costs, high absenteeism, and internal theft.

Finally, the plan will prevent economic based homelessness for all 10.1 million minimum wage workers. That’s true Homeland Security.

Voice4Change has endorsed this courageous initiative. We encourage you to visit the website www.UniversalLivingWage.org and have your local organization endorse online.

Richard R. Troxell
Universal Living Wage Campaign National Chairman
National Coalition for the Homeless Board Member
rrtroxell@aol.com

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