Mandatory reporting laws meant to protect children get another look

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Kristin Jones | KFF Health News (TNS)

More than 60 years ago, policymakers in Colorado embraced the idea that early intervention could prevent child abuse and save lives. The state’s requirement that certain professionals tell officials when they suspect a child has been abused or neglected was among the first mandatory reporting laws in the nation.

Since then, mandatory reporting laws have expanded nationally to include more types of maltreatment — including neglect, which now accounts for most reports — and have increased the number of professions required to report. In some states, all adults are required to report what they suspect may be abuse or neglect.

But now there are efforts in Colorado and other states to roll back these laws, saying the result has been too many unfounded reports, and that they disproportionately harm families that are poor, Black, or Indigenous, or have members with disabilities.

“There’s a long, depressing history based on the approach that our primary response to a struggling family is reporting,” said Mical Raz, a physician and historian at the University of Rochester in New York. “There’s now a wealth of evidence that demonstrates that more reporting is not associated with better outcomes for children.”

Stephanie Villafuerte, Colorado’s child protection ombudsman, oversees a task force to reexamine the state’s mandatory reporting laws. She said the group is seeking to balance a need to report legitimate cases of abuse and neglect with a desire to weed out inappropriate reports.

“This is designed to help individuals who are disproportionately impacted,” Villafuerte said. “I’m hoping it’s the combination of these efforts that could make a difference.”

Some critics worry that changes to the law could result in missed cases of abuse. Medical and child care workers on the task force have expressed concern about legal liability. While it’s rare for people to be criminally charged for failure to report, they can also face civil liability or professional repercussions, including threats to their licenses.

Being reported to child protective services is becoming increasingly common. More than 1 in 3 children in the United States will be the subject of a child abuse and neglect investigation by the time they turn 18, according to the most frequently cited estimate, a 2017 study funded by the Department of Health and Human Services’ Children’s Bureau.

Black and Native American families, poor families, and parents or children with disabilities experience even more oversight. Research has found that, among these groups, parents are more likely to lose parental rights and children are more likely to wind up in foster care.

In an overwhelming majority of investigations, no abuse or neglect is substantiated. Nonetheless, researchers who study how these investigations affect families describe them as terrifying and isolating.

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In Colorado, the number of child abuse and neglect reports has increased 42% in the past decade and reached a record 117,762 last year, according to state data. Roughly 100,000 other calls to the hotline weren’t counted as reports because they were requests for information or were about matters like child support or adult protection, said officials from the Colorado Department of Human Services.

The increase in reports can be traced to a policy of encouraging a broad array of professionals — including school and medical staff, therapists, coaches, clergy members, firefighters, veterinarians, dentists, and social workers — to call a hotline whenever they have a concern.

These calls don’t reflect a surge in mistreatment. More than two-thirds of the reports received by agencies in Colorado don’t meet the threshold for investigation. Of the children whose cases are assessed, 21% are found to have experienced abuse or neglect. The actual number of substantiated cases has not risen over the past decade.

While studies do not demonstrate that mandatory reporting laws keep children safe, the Colorado task force reported in January, there is evidence of harm. “Mandatory reporting disproportionately impacts families of color” — initiating contact between child protection services and families who routinely do not present concerns of abuse or neglect, the task force said.

The task force said it is analyzing whether better screening might mitigate “the disproportionate impact of mandatory reporting on under-resourced communities, communities of color and persons with disabilities.”

The task force pointed out that the only way to report concerns about a child is with a formal report to a hotline. Yet many of those calls are not to report abuse at all but rather attempts to connect children and families with resources like food or housing assistance.

Hotline callers may mean to help, but the families who are the subjects of mistaken reports of abuse and neglect rarely see it that way.

That includes Meighen Lovelace, a rural Colorado resident who asked KFF Health News not to disclose their hometown for fear of attracting unwanted attention from local officials. For Lovelace’s daughter, who is neurodivergent and has physical disabilities, the reports started when she entered preschool at age 4 in 2015. The teachers and medical providers making the reports frequently suggested that the county human services agency could assist Lovelace’s family. But the investigations that followed were invasive and traumatic.

“Our biggest looming fear is, ‘Are you going to take our children away?’” said Lovelace, who is an advocate for the Colorado Cross-Disability Coalition, an organization that lobbies for the civil rights of people with disabilities. “We’re afraid to ask for help. It’s keeping us from entering services because of the fear of child welfare.”

State and county human services officials said they could not comment on specific cases.

The Colorado task force plans to suggest clarifying the definitions of abuse and neglect under the state’s mandatory reporting statute. Mandatory reporters should not “make a report solely due to a family/child’s race, class or gender,” nor because of inadequate housing, furnishings, income or clothing. Also, there should not be a report based solely on the “disability status of the minor, parent or guardian,” according to the group’s draft recommendation.

The task force plans to recommend additional training for mandatory reporters, help for professionals who are deciding whether to make a call, and an alternative phone number, or “warmline,” for cases in which callers believe a family needs material assistance, rather than surveillance.

Critics say such changes could leave more children vulnerable to unreported abuse.

“I’m concerned about adding systems such as the warmline, that kids who are in real danger are going to slip through the cracks and not be helped,” said Hollynd Hoskins, an attorney who represents victims of child abuse. Hoskins has sued professionals who fail to report their suspicions.

The Colorado task force includes health and education officials, prosecutors, victim advocates, county child welfare representatives and attorneys, as well as five people who have experience in the child welfare system. It intends to finalize its recommendations by early next year in the hope that state legislators will consider policy changes in 2025. Implementation of any new laws could take several years.

Colorado is one of several states — including New York and California — that have recently considered changes to restrain, rather than expand, reporting of abuse. In New York City, teachers are being trained to think twice before making a report, while New York state introduced a warmline to help connect families with resources like housing and child care. In California, a state task force aimed at shifting “mandated reporting to community supporting” is planning recommendations similar to Colorado’s.

Among those advocating for change are people with experience in the child welfare system. They include Maleeka Jihad, who leads the Denver-based MJCF Coalition, which advocates for the abolition of mandatory reporting along with the rest of the child welfare system, citing its damage to Black, Native American, and Latino communities.

“Mandatory reporting is another form of keeping us policed and surveillanced by whiteness,” said Jihad, who as a child was taken from the care of a loving parent and placed temporarily into the foster system. Reform isn’t enough, she said. “We know what we need, and it’s usually funding and resources.”

Some of these resources — like affordable housing and child care — don’t exist at a level sufficient for all the Colorado families that need them, Jihad said.

Other services are out there, but it’s a matter of finding them. Lovelace said the reports ebbed after the family got the help it needed, in the form of a Medicaid waiver that paid for specialized care for their daughter’s disabilities. Their daughter is now in seventh grade and doing well.

None of the caseworkers who visited the family ever mentioned the waiver, Lovelace said. “I really think they didn’t know about it.”

(KFF Health News is a national newsroom that produces in-depth journalism about health issues and is one of the core operating programs of KFF — the independent source for health policy research, polling and journalism.)

©2024 KFF Health News. Distributed by Tribune Content Agency, LLC.

Mortgage rate forecast for May 2024: No break for homebuyers

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As homebuyers grapple with record prices this spring, mortgage rates have also crept up. On a 30-year fixed loan, the average rate was 7.39% as of May 1, according to Bankrate’s survey of large lenders, marking three straight months of 7% rates.

Blame inflation. It’s still stubbornly elevated, rising to 3.5% in March, and that’s led to dialed-back expectations about how quickly the Federal Reserve cuts rates this year, if at all. The central bank left rates unchanged at its latest meeting concluding May 1.

Meanwhile, the unemployment rate was 3.98% in March, while economic growth slowed to 1.6% in the first quarter of 2024.

All of these factors have added up to an uncertain timeline for the Fed, prompting investors to bid up 10-year Treasury yields, the informal benchmark for 30-year fixed mortgage rates.

Mortgage rate predictions May 2024

As May ushers in peak real estate season, forecasters aren’t anticipating a break from the current spate of 7% mortgages.

“The wind continues to blow in the wrong direction for mortgage borrowers,” says Greg McBride, Bankrate’s chief financial analyst. “Rates have spiked as inflation runs hot, the Fed timetable for interest rate cuts gets pushed back and the supply of government debt rises. Expect mortgage rates to remain well above 7% in May, and maybe closer to 8% if the run of disappointing inflation data continues.”

Rates last hit 8% in October 2023. At that rate and the current median home price of $393,500, a borrower putting 3% down would pay about $250 more a month compared to a 7% loan.

While the Fed doesn’t establish 30-year mortgage prices, its moves can have immediate ripple effects, says Robert Frick, corporate economist at Navy Federal Credit Union.

“We shouldn’t expect relief from current high mortgage rates in May,” says Frick. “The root cause is inflation, which remains stubborn and is likely to hold steady for now. This in turn means the Fed won’t be cutting its rates any time soon, and cutting those rates would quickly filter through to the mortgage market.”

The Fed delay has upended 2024 forecasts that once called for rates below 6%.

“The early 2024 expectations for sharp Fed rate cuts are now highly unlikely to happen,” says Selma Hepp, chief economist at CoreLogic. “As the economy continues to grow, we expect the Fed to keep rates higher for longer. The best we can hope for at this point is rate cuts late in the year and mortgage rates to fall to the mid-6% range.”

“We’ll need a succession of improved inflation readings before we can hope for a sustained move below 7% in mortgage rates,” says McBride.

Current mortgage rate trends

The average rate on a 30-year mortgage was 7.39% as of May 1, according to Bankrate’s survey. While that’s a welcome drop from 8.01% on Oct. 25 of last year, it’s still higher than the sub-7% rates seen in January.

When will mortgage rates go down?

Overall, forecasters predict mortgage rates to continue easing, but not as much as previously thought.

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While McBride had expected mortgage rates to fall to 5.75% by late 2024, the new economic reality means they’re likely to hover in the range of 6.25% to 6.4% by the end of the year, he says.

Mortgage giant Fannie Mae likewise raised its outlook, now expecting 30-year mortgage rates to be at 6.4% by the end of 2024, compared to an earlier forecast of 5.8%.

“A lot of us forecasted we’d be down to 6% at the end of 2023,” says Lisa Sturtevant, chief economist at Bright MLS, a large listing service in the Mid-Atlantic region. “Surprise, surprise, we [weren’t].”

One variable has been the unusually large gap between mortgage rates and 10-year Treasury yields. Normally, that spread is about 1.8%age points, or 180 basis points. This year, the gap has been more like 280 basis points, pushing mortgage rates a full percentage point higher than the 10-year benchmark indicates.

“There is room for that gap to narrow,” says Sturtevant, “but I’m not sure we’ll get back to those old levels. In this post-pandemic economy, the old rules don’t seem to apply in the same ways. We’re sort of figuring out what the reset is. Investors have a different outlook on risk now than they did before the pandemic. We’re just in this weird transition economy.”

What to do if you’re getting a mortgage now

Mortgage rates are at generational highs, but the basic advice for getting a loan applies no matter the economy or market:

—Improve your credit score. A lower credit score won’t prevent you from getting a loan, but it can make all the difference between getting the lowest possible rate and more costly borrowing terms. The best mortgage rates go to borrowers with the highest credit scores, usually at least 740. In general, the more confident the lender is in your ability to repay the loan on time, the lower the interest rate it’ll offer.

—Save up for a down payment. Putting more money down upfront can help you obtain a lower mortgage rate, and if you have 20%, you’ll avoid mortgage insurance, which adds costs to your loan. If you’re a first-time homebuyer and can’t cover a 20% down payment, there are loans, grants and programs that can help. The eligibility requirements vary by program, but are often based on factors like your income.

—Understand your debt-to-income ratio. Your debt-to-income (DTI) ratio compares your total monthly debt payments against your gross monthly income. Not sure how to figure out your DTI ratio? Bankrate has a calculator for that.

—Check out different mortgage loan types and terms. A 30-year fixed-rate mortgage is the most common option, but there are shorter terms. Adjustable-rate mortgages have also regained popularity recently.

FAQ

—How are mortgage rates determined?

It might seem like a bank or lender are dictating mortgage terms, but in fact, mortgage rates are not directly set by any one entity. Instead, mortgage rates grow out of a complicated mix of economic factors. Lenders typically set their rates based on the return they need to make a profit after accounting for risks and costs.The Federal Reserve doesn’t directly set mortgage rates, but it does set the overall tone. The closest proxy for mortgage rates is the 10-year Treasury yield. Historically, the typical 30-year mortgage rate was about 2 percentage points higher than the 10-year Treasury yield. In 2023, that “spread” was more like 3 percentage points.

—When should I refinance my mortgage?

Mortgage rates have jumped to 23-year highs, so not many borrowers are opting to refinance their mortgages now. However, if rates come back down, homeowners could start looking to refinance. Deciding when to refinance is based on many factors. If rates have fallen since you originally took out your mortgage, refinancing might make sense. A refi can also be a good idea if you’ve improved your credit score and could lock in a lower rate or lower fees. A cash-out refinance can accomplish that as well, plus give you the funds to pay for a home renovation or other expenses.

(Visit Bankrate online at bankrate.com.)

©2024 Bankrate.com. Distributed by Tribune Content Agency, LLC.

How credit cards can help you cope with travel troubles

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Ted Rossman | Bankrate.com (TNS)

“Revenge travel” has been a big theme the past couple of years as Americans have been raring to go here, there and everywhere after hunkering down during the COVID-19 pandemic. As a result, the Transportation Security Administration screened a record-high 858.5 million passengers in 2023.

But it hasn’t been a smooth ride for travelers. In fact, if you flew in 2022 or 2023, there was a one-in-five chance your flight was delayed, according to the Bureau of Transportation Statistics.

Cancellations were an especially big problem in 2022, when the airline industry had a tough time ramping back up after the pandemic. That year, 2.7% of flights were scrapped entirely, often due to staffing and/or equipment shortages. Last year, however, the cancellation rate was a mere 1.3%. Higher prices — not cancellations or delays — were travelers’ biggest concern last summer and last holiday season, according to Bankrate research.

Still, there can be hidden costs associated with delays, cancellations and other travel snafus. For instance, my family flew from New Jersey to California last month, and both of our flights were delayed about two hours. With two young kids in tow, our nerves were strained more than our wallets, though we still ended up spending a bit extra on food (which isn’t cheap when even a basic airport sandwich seems to cost at least $15).

I’ve had a few other travel experiences in recent years which made me wish I had paid with a credit card with strong travel insurance benefits. These perks wouldn’t have kicked in for my two-hour delay, but they definitely could have helped me out the time my flight from Chicago to New York was diverted to Virginia in the middle of the night and the airline basically just left us there. Or the two times in 2022 when airlines canceled our flights the night before they were scheduled to leave (seemingly due to operational issues) and couldn’t rebook us for several days — or when I came down with COVID and had to cancel a trip last fall.

Credit cards with strong travel insurance benefits

Not all travel insurance benefits cover the same situations, but here are a few of the most common credit card travel insurance policy perks:

—Trip delay reimbursement

—Trip cancellation or interruption insurance

—Baggage delay protection

—Lost or damaged baggage protection

—Medical evaluation

—Travel accident insurance

—Auto rental collision insurance

The Chase Sapphire PreferredⓇ Card is a great example. For a fairly modest $95 annual fee, it offers a lot of travel insurance (among other perks). In my estimation, its trip cancellation/interruption benefit (up to $10,000 per person and $20,000 per trip) should have applied to both of my 2022 flight cancellations. I ended up getting those refunded by the airlines and booked new flights on different carriers (since the original carriers couldn’t accommodate us until nearly a week later), but that cost extra.

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If I had paid for my original airline tickets with this card, I believe that Chase would have reimbursed me for the difference between my canceled flights and my new bookings (although I would have had to request that refund through a claims administrator). But there’s a chance my request would not have been approved, perhaps if the company argued I should have taken the airline up on its offer to fly a few days later, rather than rebooking myself more immediately at a higher cost on a different airline.

These programs aren’t always easy to navigate; a coworker needed to be very persistent and had to submit several rounds of documentation to win a reimbursement claim involving the Chase Sapphire ReserveⓇ and a trip disrupted by a hurricane. I wish it were easier to utilize, but this coverage can still be very valuable.

For a heftier annual fee ($550), the Sapphire Reserve offers better trip delay insurance, triggering after six hours or an overnight delay, while the Sapphire Preferred triggers after 12 hours or an overnight delay. Both the Sapphire Preferred and the Sapphire Reserve offer the same primary rental car insurance, trip delay insurance (up to $500 per ticket), delayed baggage insurance, emergency medical coverage and more.

Both cards would have been useful the time I got stranded in Virginia (I ended up renting a car and driving about five hours to get home; my company paid for that since it was a business trip, but if it had been a personal trip, I likely could have gotten a reimbursement from a travel card with good trip cancellation/interruption protections).

The Platinum CardⓇ from American Express and the Capital One Venture X Rewards Credit Card also made our list of the best credit cards for travel insurance.

It’s also worth asking what the airline, hotel or rental car agency can do for you if you need to cancel. I lost out on a prepaid rental reservation in 2020 when I was afraid to travel in the early days of the pandemic. But in 2023, when I had COVID and needed to cancel a hotel stay, the hotel generously refunded my supposedly non-refundable reservation. Perhaps it made a difference that I was actually sick that time instead of worried about potentially getting sick, but it never hurts to ask.

The bottom line

Many airlines and hotel chains have relaxed their change and cancellation policies in recent years. So if you do encounter an unexpected issue, it’s a good rule of thumb to start with the travel supplier, and then pull in your credit card company as a backup.

For this reason, I think it only makes sense to pay for travel insurance if you have a particularly complicated or expensive itinerary (especially an international trip). Often, that coverage is comparable to what you may already qualify for between your credit cards and the travel suppliers’ policies.

Paying with a credit card that has strong travel insurance benefits can provide additional assistance without adding to the cost.

(For Capital One products listed on this page, some of the above benefits are provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply.)

(Visit Bankrate online at bankrate.com.)

©2024 Bankrate.com. Distributed by Tribune Content Agency, LLC.

New Hampshire jury finds state liable for abuse at youth detention center and awards victim $38M

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BRENTWOOD, N.H. — A New Hampshire jury awarded $38 million to the man who blew the lid off abuse allegations at the state’s youth detention center Friday, in a landmark case finding the state’s negligence allowed him to be beaten, raped and held in solitary confinement as a teen.

David Meehan went to police in 2017 and sued the state three years later. Since then, 11 former state workers have been arrested and more than 1,100 other former residents of the Youth Development Center in Manchester have filed lawsuits alleging physical, sexual and emotional abuse spanning six decades.

Meehan’s case was the first to go to trial, and the outcome could affect the criminal cases, the remaining lawsuits, and a separate settlement fund the state created as an alternative to litigation.

Over the course of the four-week trial, the state argued it was not liable for the conduct of “rogue” employees and that Meehan waited too long to sue. The defense also tried to undermine his credibility and said his case relied on “conjecture and speculation with a lot of inuendo mixed in.”

“Conspiracy theories are not a substitute for actual evidence,” attorney Martha Gaythwaite said in her closing statement Thursday.

Meehan’s attorneys accused the state of encouraging a culture of abuse marked by pervasive brutality, corruption and a code of silence.

“They still don’t get it,” David Vicinanzo said in his closing statement. “They don’t understand the power they had, they don’t understand how they abused their power and they don’t care.”

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