California has launched a guaranteed income program: residents will be paid from $600 to $1200 per month - ForumDaily
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In California, a guaranteed income program has started: residents will be paid from $600 to $1200 per month

About 2000 Californians can receive monthly cash payments of between $600 and $1200 through the nation's first government-funded Guaranteed Basic Income program, reports SacBee.

Photo: IStock

This was announced on November 21 by the State Department of Human Services. The Department intends to allocate more than $25,5 million in grants to seven pilot programs throughout the state, including programs to be operated by the Inland Southern California United Way, the San Francisco Human Services Agency, and the McKinleyville Community Collaborative in Humboldt County. Approximately 1975 Californians who are pregnant or retired from foster families will receive unconditional payments within 12 to 18 months.

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The department has prioritized programs that will assist residents during these difficult life transitions. “I’m incredibly proud that our state was the first to do this,” said Michael Tubbs, the former mayor of Stockton who now serves as special adviser on economic mobility and opportunity to Gov. Gavin Newsom. “We have a long way to go, but we are closest to the goal.”

Lawmakers unanimously approved the state-funded program last July, showing strong bipartisan support.

“I think other states will watch California very closely and follow suit,” said Natalie Foster, co-founder of the Economic Security Project, an organization that funds and studies income security programs.

The group supported the Tubbs Guaranteed Income Pilot Program in 2019, the first of its kind in the country.

The program provided $500 per month to 125 Stockton adults who at the time were earning at or below the median income of $46033. Recipients could spend the money in any way convenient for them.

After the first year of the program, the researchers found that participants were not only working at a higher rate, but were also healthier, happier, and better able to cope with unexpected expenses. In January, Sacramento adopted a program similar to Stockton's. The city began paying 100 families with no strings attached to pay $300 a month. These payments will continue until July 2023.

In June, the city council approved a $750 expansion of the program. Eighty additional households will receive $000 a month as part of the expansion. The seven publicly funded pilot programs have yet to select their participants, although the Department of Human Services expects planning to begin in January 500. Organizations will have up to six months to develop an application and process for working with potential recipients.

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Each program will set its own eligibility criteria, including an income threshold, a department spokesperson said. Tubbs did not deny the fact that most people who qualify will not be able to take advantage of these pilot programs. Instead, he used it as an argument for increasing the guaranteed income. “We all need to really use our collective voices and insist that this is not a lottery for people. People need to get what they need to survive,” Tubbs said. “It shouldn’t just be luck—it should be a political act.”

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