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Home » Group pushes to fund California guaranteed income with taxpayer dollars
Group pushes to fund California guaranteed income with taxpayer dollars
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Group pushes to fund California guaranteed income with taxpayer dollars

News RoomBy News RoomJune 13, 20262 ViewsNo Comments

NEWYou can now listen to articles!

A group dedicated to instituting guaranteed income programs across the country and aiming for a permanent policy in California wants to fund it with taxpayer dollars.

Founded in 2016, the Economic Security Project (ESP) consisted of “100 entrepreneurs, activists, researchers, and philanthropists” that signed on to promote direct cash payments, their website states.

The organization helped create over 100 guaranteed income pilots across the U.S.

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A group dedicated to instituting guaranteed income programs across the country and aiming for a permanent policy in California wants to fund it with taxpayer dollars. (Getty)

A state affiliate of ESP, Economic Security California, plans to establish a permanent guaranteed income program. 

“We lead the transition from cash pilot initiatives to influential policies, focusing on expanding, modernizing, and scaling programs for direct cash,” the group stated.

“We actively shape state policies by drawing insights from California guaranteed income pilots, backing our case with compelling research and the stories of real Californians. We champion simple and automatic tax filing, ensuring individuals receive the credits they deserve, and building a fair and equitable tax system for all.”

The Golden State leads the nation in having the most guaranteed income programs, presiding over 60 pilot launches.

“As California builds towards permanent GI infrastructure, future research and policy solutions should examine how GI can continue to be a complementary support to the existing public benefit system,” the ESP noted on its website in a section titled “A Permanent Pathway for Guaranteed Income in California.”

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ESP recommended that government agencies consider taxpayer-funded policy options to sustain guaranteed income programs.

“Government agencies should also explore public funding mechanisms beyond philanthropy; options can range from dedicated local taxes to shifting affordability-focused investments into direct cash supports,” the organization said.

“For example, Breathe: LA County’s Guaranteed Income program is entirely publicly funded through the county’s Poverty Alleviation Initiative, and other cities have used American Rescue Plan Act funds to support pilots.”

Digital reached out to the Economic Security Project for comment but did not immediately hear back. 

However, as American Rescue Plan Act funds run out, some mayors are trying to find other sources of revenue for their guaranteed income programs. Under federal law, these pandemic recovery funds had to be legally obligated by the end of 2024 and must be fully spent by December this year.

Cook County in Illinois, the second-largest county in the U.S., established a subsequent phase of its guaranteed basic income program after the conclusion of its initial 2022 pilot. To sustain the initiative without federal aid, the Cook County Board of Commissioners approved $7.5 million for guaranteed income within its local county budget, signaling a shift toward long-term local funding.

California state capitol building Sacramento

The California State Capitol building in Sacramento, Calif., in July 2021. (David Paul Morris/Bloomberg via Getty Images)

DIRECTOR OF ‘CASH GIVEAWAY’ PROGRAM TAILORED TO NEW MOTHERS GRILLED ON HOW TAXPAYER FUNDING IS USED IN DEBATE

ESP regards guaranteed income as a “power response” to solving affordability issues in the U.S.

“A large and growing body of evidence demonstrates convincing impacts on economic insecurity, income, assets, physical and mental health, food insecurity, poverty, economic and gender inequalities, housing mobility, crime, early child development, and children’s school achievement, employment, and earnings in adulthood,” the organization stated.

ESP’s statements mirror the same argument made by Mayors for Guaranteed Income president Michael D. Tubbs in an interview with Digital in March.

Michael D. Tubbs

Digital spoke with Michael D. Tubbs, the president of an organization called Mayors for Guaranteed Income, about how the policy could solve affordability. ( Digital)

Tubbs, the former mayor of Stockton, California, popularized the municipal cash-handout trend after starting a pilot program in his own city. Tubbs argues that regular cash infusions are necessary to help low-income Americans stay afloat amid high costs for basic expenses like rent, groceries, and gasoline.

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Joshua Q. Nelson is a reporter for Digital.

Joshua focuses on cultural trends, education, and public policy. He extensively covered reparations developments across the U.S., the Department of Education, and immigration issues.

Joining Digital in 2019, he previously graduated from Syracuse University’s Maxwell School of Citizenship and Public Affairs and received the University of Pennsylvania’s Wharton Public Policy Certificate.

Story tips can be sent to [email protected] and Joshua can be followed on Twitter and LinkedIn. 

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