Introducing the Poverty Solution

My name is Scott Miller, founder of Circles USA and The Poverty Solution. Our organization has developed a transformative approach to poverty alleviation that goes beyond traditional poverty management systems. By focusing on comprehensive, community-driven solutions, we aim to help households achieve lasting economic stability while reducing poverty rates at the community level. 

One of our most significant projects is taking place in the Upper Cumberland region of Tennessee. Partnering with the Upper Cumberland Development District, we secured a three-year, $25 million innovation pilot to support 700 households in their journey out of poverty. This initiative not only provided direct support to families but also catalyzed policy changes to address systemic barriers that perpetuate poverty. 

Building on the insights gained from this pilot, we are now expanding our reach. The Poverty Solution is inviting communities and states to join a dynamic network of leaders dedicated to replacing outdated poverty management systems with innovative poverty alleviation strategies. Together, we can create a future where every household has the opportunity to achieve financial independence and thrive. 

After more than four decades of work in this field, I know that we, as a nation, have everything we need to end poverty. We know what programs work, what systemic barriers need to be eliminated, and what service gaps need filling. We know what people need so they can safely leave public assistance programs and secure and retain good jobs. We know how to scale programs that work, and we know how to defund programs that don’t. 

Furthermore, more than enough money is already being funneled into the current system to dramatically reduce poverty rates. In 2021, federal expenditures on public assistance programs exceeded $1.1 trillion. Yet, despite this investment, approximately 37 million Americans live in poverty today. So why don’t we put all this knowledge into motion, dramatically reduce poverty rates, and begin the end of poverty in the world’s wealthiest nation? 

We can and we should immediately set our goal to reduce poverty rates in the U.S. Crime goes down, healthcare costs go down, and loss of productivity in the workplace declines. Just these three cost centers were determined to cost the U.S. $500 billion a year back in 2007. Adjusted for inflation and considering the growing poverty rates, that figure is now estimated to be more than $1 trillion a year. 

If we have the knowledge and the money to reduce rates, what is stopping us? Leadership. More specifically, essential leadership. I define this as leadership focused on high-impact strategies by those who know how to delegate their management assignments so they can put their precious time, social capital, and talents on their leadership agenda. This means leaders who know how to say no to all the good ideas and yes to the great idea.  

The great idea is to help people out of poverty, all the way, and scale what works so poverty rates can go down. 

The primary challenge to such a leadership assignment is that leaders run organizations funded by a poverty management system. The poverty management system is accountable to delivering units of service rather than moving people out of poverty. It manages a poverty rate of 12%-15% that has gone largely unchanged for the past 50 years. We need a new system that is accountable to alleviating poverty. 

Our company, The Poverty Solution, provides communities with a framework to build a new system that is accountable for supporting people all the way out of poverty and reducing poverty rates. We are building both an evolving poverty solution toolbox as well as a community of practice to help leaders learn from one another. I and other team members personally consult local leaders committed to building these new systems. 

If you want to move families out of poverty and reduce poverty rates, you must build capacity within your organization and throughout your community. This new leadership must engage with state and federal officials. It must reach into the leadership circles of employers, economic developers, philanthropists, educators, workforce development specialists, healthcare, and human service workers. 

Leaders must retool their organizations to build a stronger capacity for innovation, research, and strategy development. 

Organizations committed to reducing poverty rates must learn how to facilitate effective communitywide partnerships and collaborations that can attract innovation funds for research from both private and public sources. 

In general, leaders who can influence a reduction in poverty will become able to do the following: 

• Articulate a clear vision to stakeholders across sectors 

• Build a shared vision and establish mutual partnerships that increase the collective impact of all stakeholders 

• Hold themselves accountable to outcome measures while aligning their work with state and federal partners 

• Advocate for policy changes that remove disincentives and create better pathways for families to leave poverty behind 

• Ensure investments are data-driven and result-oriented, focusing on long-term economic stability rather than mere management of the poverty issue 

 If you want to be part of the solution, engage your local organizations, schools, businesses, and faith communities to address poverty systematically in your community. We can do this together. 

Leaders have the power to change the paradigm. The urgency of poverty demands our attention. As we confront the systemic issues surrounding poverty in our communities, we must embrace a new vision—one that prioritizes alleviating poverty rather than merely managing it. It’s time to transform our approaches and take meaningful action to eradicate poverty in the United States. 

See upcoming blogs for more information on The Poverty Solution and its application for your community or state.  

-Scott C. Miller 

Founder, The Poverty Solution