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LEADERSHIP HALL 001 UNIVERSITY of PENNSYLVANIA Fels Center of Government Mark Alan Hughes, Ph.D. Founded in 1937 by Samuel S. Fels Distinguished Senior Scholar and 3814 Walnut Street Director, Policy Development Laboratory Philadelphia, PA 19104-6197 [email protected] 215-620-6886 / Fax: 707-371-2485 September 18, 2000 The Hon. Arlen Specter United States Senate 711 Hart Building Washington DC 20510 To MARGY WALLER 2024567431 Dear Senator Specter, I write to urge you to amend the pending Assets for Independence Act (AFIA) so that low- income families may use their Individual Development Accounts (IDAs) to purchase automobiles needed for commuting to work. That use is disallowed under the current language of the legislation. Yet, research has shown that having access to a reliable automobile is the crucial difference for many families in getting and keeping a good job. An automobile is one of the most important assets a low-income family can have. AFIA should be amended to reflect this basic reality in the lives of these families. With your past support, I have long advocated assistance for low-income families to access distant employment opportunities, first in the Bridges to Work program at HUD and later in the Access to Jobs title in NEXTEA. While those efforts are important, they focus exclusively on public transit. It is increasingly clear that automobiles are an essential first or second step in job access for many, many families. Indeed, Pennsylvania is a national leader in the use of its TANF funds to support both automobile operation and purchase by families leaving welfare for work. The Commonwealth is as well-positioned as any state in the union to make immediate and extensive use of a car-option IDA. Perhaps the best place to make this important point would be in the upcoming new markets legislation, since that whole effort is about accessing economic opportunities. But at the very least, I hope you and your colleagues can fix this basic flaw in the current