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OCR Page 1 of 62APR. 15. 1998 4: 06PM
NO. 590
P.2/3
NEWS RELEASE
GORDON H. SMITH
UNITED STATES SENATOR FOR OREGON
NEWS RELEASE
FOR IMMEDIATE RELEASE:
CONTACT: John Easton
April 15, 1998
202/224-8316
or Mary Healy
202/224-8329
SMITH UNVEILS NEW PLAN TO
HELP STAY-AT-HOME PARENTS
The senator will introduce legislation to increase the per-child tax credit
PORTLAND-Oregon Senator Gordon H. Smith announced today that he will propose
legislation to give parents more opportunities to care for their pre-school children. Smith's plan
will increase the per-child tax credit from $500 to $1,500 for families with children under the age
of six.
Smith's child care plan is in response to a Clinton Administration policy that he says
"discriminates" against parents who choose non-institutional care for their children, such as an at-
home parent, grandparent, aunt, uncle, neighbor or nanny. Today, parents can enjoy government
benefits only if they use an accredited facility to care for their children.
"Government policy should not discriminate against the best form of child care, where a
child is taken care of by his or her parents or family," Smith said at a news conference at East
Portland Community Center. "It should give money back to families, so families-not the
government- can make the best choices for child care."
Smith's bill covers approximately 13 million children, and replaces the Dependent Care
Tax Credit for children under the age of six. The senator said that instead of enhancing or
starting new government programs, his plan will expand an existing tax credit that goes directly
to families.
According to the Commerce Department's Census Bureau, nearly half of all children
under the age of five do not have employed mothers and are still being cared for in the home.
Moreover, when both parents work, most children are not put in formal day care centers.
"This credit would replace the current Dependent Care Tax Credit with real money that
directly benefits families and restores equality and fairness in childcare," Smith said. "If parents
decide to care for a child at home, we should encourage them. If parents decide to arrange to
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