City Begins Processing Payments for Guaranteed Income Pilot

Crest of the City of Baltimore

Brandon M. Scott
Mayor,
Baltimore City
250 City Hall - Baltimore Maryland 21202
(410) 396-3835 - Fax: (410) 576-9425

FOR IMMEDIATE RELEASE

CONTACT
Monica Lewis
(410) 387-8378

monica.lewis@baltimorecity.gov

Baltimore Young Families Success Fund Finalizes Onboarding Process

BALTIMORE, MD. (Monday, August 15, 2022) -Today, Mayor Brandon M. Scott announced that the Baltimore Young Families Success Fund (BYFSF), Baltimore’s Guaranteed Income pilot program, has completed its onboarding process and identified recipients. The City will begin processing payments today, Monday, August 15, 2022, and recipients should expect to see the funds hit their accounts or pay cards soon.

The BYFSF provides 200 young parents, between 18 and 24 years old, with an unconditional cash payment of $1,000 per month over 24 months to provide financial relief for their families and stabilize their households.

"The Baltimore Young Families Success Fund puts money directly in the hands of our residents because they know what their families need to ascend the ladder of opportunity," said Mayor Brandon M. Scott. "Guaranteed income programs are proven time and time again to enhance recipients’ wellbeing, and I am excited to see the impact that these dollars will have in the lives of young families in need throughout Baltimore over the next 24 months."

To be eligible to participate in Baltimore’s Guaranteed Income pilot, applicants had to meet the following qualifications:

  • be residents of Baltimore City,
  • between the ages of 18 -24 years old at the time of the application deadline,
  • be either the biological or adoptive parents, or guardians, must have full or partial care-taking responsibilities and
  • have income at or below 300% of the federal poverty level based on their household size.
  • Eligible applicants were placed into a randomized lottery to select 200 participants to receive guaranteed income payments. Applicants were chosen and placed into one of four groups. During this process, 32 applicants selected to be part of the BYFSF were replaced for multiple reasons, such as they didn't meet the qualifications or were unreachable after numerous attempts to contact them.

    • Group A - 70 individuals will be selected for a storytelling cohort to share their experiences with guaranteed income. This group will receive a monthly payment of $1,000 for 24 months.
  • Group B - 130 individuals will be selected for a research study, including both quantitative surveys and qualitative interviews. This group will receive a monthly payment of $1,000 for 24 months.
  • Group C - 156 individuals will be selected as a control group for the research study. This group will not receive monthly payments but will be eligible for incentives for participation in the research activities.
  • Group D - The remainder of the applicants will not be selected for any program portion, including the payments and research.
  • The pilot is a collaboration between the City of Baltimore, the CASH Campaign of Maryland, Mayors for a Guaranteed Income (MGI), and Steady. Guaranteed income is designed as an unconditional monthly cash payment given directly to individuals and is meant to supplement, rather than replace, the existing social safety net. The BYFSF will also provide benefits counseling throughout the program.

    During the onboarding process, which included orientation and initial benefits counseling, recipients expressed intentions to use payments to pay for career training classes, improve living situations, and achieve financial stability.

    The Mayor’s Office of Children and Family Success (MOCFS) has partnered with the non-profit CASH Campaign of Maryland to administer the program, including the onboarding process. The CASH Campaign brings a wealth of experience in benefits counseling and wrap-around services to support project implementation.

    "It has been an honor to be the nonprofit administrator for the City’s guaranteed income pilot, the Baltimore Young Families Success Fund. As an organization that seeks to promote economic advancement for low-moderate income families in Baltimore and across the state, the CASH (Creating Assets, Savings, and Hope) Campaign of Maryland is excited to see the impact this pilot will have on lifting young Baltimore families out of poverty," said Robin McKinney, Co-Founder and CEO of the CASH Campaign of Maryland. "CASH is excited to continue to work with the Mayor’s Office to uplift the stories of the participants and join the national movement around guaranteed income, truly creating assets, savings, and hope."

    Additional partners include:

    • Mayors for a Guaranteed Income (MGI) to provide technical assistance through the pilot's planning, preparation, and implementation.
  • The financial technology company Steady to distribute funds to participants.
  • Abt Associates, Johns Hopkins, and the Center for Guaranteed Income Research to partner with the city to evaluate the project’s impact.
  • Mayor Scott has allocated $4.8 million in American Rescue Plan Act funds that will be directly distributed to recipients. Costs for program administration will be funded through the Mayor’s Office of Children and Family Success (MOCFS) as well as private and philanthropic donors, including The Annie E. Casey Foundation, the Abell Foundation, the France-Merrick Foundation, and The Zanvyl and Isabelle Krieger Fund.

    ###

    About the Mayor’s Office of Recovery Programs

    The American Rescue Plan Act (ARPA) provided $641 million to the City of Baltimore in response to the COVID-19 public health emergency and its negative economic impacts. Mayor Brandon M. Scott has established the Mayor’s Office of Recovery Programs to transparently and effectively administer this funding on behalf of the City.

    For the most up-to-date information regarding proposals, funded projects, and project progress visit our ARPA Reporting Center at arp.baltimorecity.gov/dashboard.

    About Mayors for a Guaranteed Income

    Founded in June of 2020 by former Stockton Mayor Michael Tubbs, Mayors for a Guaranteed Income is a coalition of more than 60 mayors committed to advancing a federal guaranteed income – direct, recurring cash payments to the poor and middle class. In addition to pilots, MGI also advocates for cash-based policies at the federal level.

    About The CASH (Creating Assets, Savings and Hope) Campaign of Maryland

    The nonprofit CASH Campaign of Maryland works with its partners across the state to promote programs, products, and policies that increase the financial security of low-to- moderate-income individuals and families in Maryland. Most services are available at no cost to participants including free tax preparation, financial education classes and financial coaching. www.cashmd.org

    About Steady

    Steady is the leading income intelligence platform for America's hourly and 1099 workers. We remove the barriers to earn by harnessing AI and income insights from nearly 5 million workers. Our income intelligence supports government leaders who design programs that are informed by earning trends and empower workers. Steady's mobile app, launched in 2017, helps American non-standard workers increase their incomes by an average of $5,500 per year. For more information, please visit https://steadyapp.com.

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