Gary will take part in universal income pilot program: 125 residents to receive $500 a month for a year

Prince said Wednesday there has been a lot of talk over the years about a universal basic income or a guaranteed income.

“It’s a simple but profound idea. A lot of our neighbors, our family members, continue to struggle with economic insecurity every day,” Prince said. A universal basic income could mean the difference for a person choosing between paying rent and buying food. The pandemic has made the situation even worse.

Prince said statistics show nearly 40% of Americans cannot afford a single $400 emergency. Pay for minorities continues to lag behind. Pay for a median Black worker is 20% less than that of his white counterpart. A Latino worker makes 35% less, Prince said. Women of color are most likely to live in poverty had have a lack of access to health care and paid benefits that come along with employment out of the house.

“Clearly we need to do something to uplift these people,” Prince said, adding the goal is to help bring more residents on the road to economic well-being.

Prince joins mayors of 40 other municipalities in calling for a federal universal basic income through Mayors for a Guaranteed Income. The effort is led by former Stockton, California, Mayor Michael Tubbs, who instituted a guaranteed income program in his community in 2019. Tubbs, through the group, is providing $500,000 in seed money for the Gary pilot program.

Prince announced that Burgess Peoples, President and Chief Strategist at City of Gary Faith Leaders and Community Partnerships Inc., will be the executive director of the local effort.

Tubbs said the issue is not people are not working, or people are lazy.

“The issue is the economy does not work for working people,” Tubbs said. During the pandemic people were told to stay home without paid time off. He said it is time the economy works for all people.

“This is truly our New Deal moment,” Tubbs said. “Residents deserve an income floor to have the resources to by the boots, to buy the bootstraps, to pull themselves up by the bootstraps.”

Peoples said participants will receive the financial gift of $500 a month for 12 months and will have access to other programs and services that could help them out.

“I am so proud and just elated to be part of what they are doing in city of Gary,” Peoples said. “We want to have not just a great start, but a solid start. We want to make sure rollout is smooth.”

She said it became evident in conversations with people prior to the formation of GIVE, many people could use extra financial assistance. Peoples said she heard stories of how $200 more a month for food, or $500 extra for a couple who did not have enough money for car repairs needed in order to drive to work would make a substantial difference in someone’s life.

“Let’s take heart. All of us can play a part in making poverty escapable,” Peoples said.