my letter to Sen Hagan re helping self-employed in Stimulus package; k&r if you agree

[zazen]

Her Raleigh office asked me to lay it all out in detail and send it up to their Washington office, and so I did, hoping someone might read it.

And if you agree with either of my concerns, please consider writing your own Senator(s) about them. Thanks!

RE:
1. Lack of any safety net for Schedule C self-employed contractors, a large portion of your RTP constituency
2. Any lack of COBRA relief for recently separated/divorced spouses.

Dear Senator Hagan:

I just got off the phone around 11:30 AM with Muthoni in your Raleigh office, who kindly suggested I write your legislative office in Washington, D.C., directly with the following questions.

First, as is certainly anecdotally evident throughout the Research Triangle region (and probably statistically verifiable, though I do not have that information), there are many self-employed professionals, often with advanced degrees, who are suffering financially during what Paul Krugman actually calls an impending economic depression. In fact, I believe that the Research Triangle region absorbed many of the layoffs after the 2000 dot.com crash through the determined efforts of many self-reliant individuals who worked hard to recast themselves as contractors and consultants so as to continue working in their professions and provide for their families, though with less job security (ie benefits) than they had had previously.

Personally, I have been a largely self-employed grants writer working for primarily NC universities, raising roughly $50 million in federal and foundation funds since I began my career in 1994, and have been so successful at times that as a one-person Schedule C sole proprietor I turned away over $100,000 in business in the year 2000 alone. However, due to re-entering my business after breast cancer treatment into a climate of massive university budget cuts at public and private institutions, I have not found substantial work in several months, resulting in a net income in 2008 of just $4,300. I am now running out of earnings from the 2007 sale of my home that were tiding me over and am investigating food stamps.

I do not think I am alone. Whether computing or business consulting professionals, grant writers or meeting planners, or roofers and house painters, there are many, many un- or underemployed Schedule C proprietors who, through no more fault of their own than persons laid off from larger companies (who conversely _do_ qualify for extended unemployment payments), are finding themselves in severe financial straits. I am now actively seeking full-time employment at universities and non-profits here in NC (as a single mother of two-school-aged daughters), but to no avail (I am 42 and "overqualified"), and am no doubt competing with the increasing number of laid-off employees and other contractors who can no longer find business for the dwindling number of jobs in North Carolina.

As you know, the current Stimulus Bill does not provide any relief to such persons like myself except in the form of expanded food stamp funds to the states.

As I've often noted in my grant proposals on behalf of NC's educational needs, North Carolina as a state uniquely encapsulates economic challenges spanning three centuries: displaced farm workers whose businesses dated to the 19th century, displaced textile, tobacco, and manufacturing workers whose businesses suffered in the 20th century, and now highly qualified "knowledge workers" like myself, who were heralded as the critical next workforce of the 21st century and are now unable to even obtain retail jobs at subsistence wages.

Are you or any of the NC delegation taking, or could you take, steps to investigate these issues further and perhaps raise them in Committee?



Second, I have been on COBRA since my divorce in June 2007 (my daughters remain on their father's State Health Plan.) Is any consideration being given to providing anything like the 65% COBRA relief to unemployed workers, to those separated and divorced spouses who _also_ have to go on COBRA? Perhaps this relief should only apply to displaced homemakers (of which I was not one, given that I was earning money in 2007), but it does seem that those persons, primarily women, ought to be able to apply for some discount to their COBRA benefits. My earnings in 2008 were enough to cover my COBRA insurance, and only my COBRA insurance, on which I must stay as a breast cancer survivor so as not to completely bankrupt my family in the event of further illness. But what of other newly divorced homemakers? Do they relinquish COBRA because they can't afford it and add to the Medicaid/Medicare rolls?

I ask that you consider displaced homemakers in your consideration of COBRA relief as well.


Thank you in advance for your consideration of these issues. I congratulate you on your recent victory and hope you are able to represent North Carolina's interests in Washington, D.C., for many, many years to come.

Sincerely,

[terisan]

1. Good for you!. I will write. nt

[zazen]

3. thx! n/t

[zazen]

2. I note that this also raises issue of COBRA relief for displaced homemakers n/t

[ThoughtCriminal]

4. Also self-employed

What we really need is universal health care with no exclusions. It is absurdly difficult for the self employed to get group health insurance that does not exclude pre-existing conditions. And the insurance companies will pretty much claim anything and everything is "pre-existing" if they don't want to pay the bill.

[ContinentalOp]

6. Yes, the self employed definitely need UHC.

I wonder if there are any statistics on how many people are essentially forced into being self employed? I originally became "self employed" while I was actually a fulltime work-at-home employee for a company that didn't have to pay me any benefits or social security taxes. What a great way for companies to shift those costs onto their employees. Now I am more legitimately self employed and freelance for several clients, but healthcare is still a major hit on our budget.

[marions ghost]

5. kick

:kick:

[Muttocracy]

7. good for you. COBRA costs are insane. I went without health ins.

when I was unemployed.