California lawmakers approved Thursday a $35 million guaranteed income plan for monthly cash payments to qualifying pregnant people and young adults who recently left foster care.
The plan is the first state-funded guaranteed income plan in the nation.
Local governments and organizations can apply for funding to operate payment programs at the local level.
The state Department of Social Services will decide who gets funding. Lawmakers left it up to local officials to determine the size of the monthly payments, which generally range from $500 to $1,000 in existing programs around the country.
The plan is is a version of the Universal Basic Income (UBI) plan, championed by Assembly member Evan Low (D-Silicon Valley).
Low (D-Silicon Valley) told KNX that Universal Basic Income (UBI) would give $1,000 per month to residents 18 and older who have lived in the state for at least three years and earn wages at or below the poverty level.
Low’s bill to authorize UBI, AB 65, recently stalled in committee. The price tag of the program was an estimated $130 billion.
“More than 36% of California residents are or are at near-poverty level,” Low said. “A California Universal Basic Income would provide eligible residents with a basic level of economic security.”
Guaranteed income programs have flourished lately at the local level.
The city of Stockton was one of the first cities in the state to offer UBI. Earlier this month, Long Beach passed a pilot UBI program. Los Angeles Mayor Eric Garcetti included a Basic Income pilot program in his 2021-2022 budget.
The plan passed in the state legislature is entirely taxpayer-funded and has the possibility of encouraging other states follow California's lead.
The Associated Press contributed to this story