Phoenix City Council on Tuesday approved a plan to pay about 1,000 local low-income families monthly for a year. Call it Phoenix’s own universal basic income program. The plan is funded by the American Rescue Plan Act, the latest US $ 1.9 trillion draft COVID-19 aid that Congress approved last March. The city received $ 196 million from the relief bill and voted Tuesday to spend $ 12 million on the monthly payments officially known as the Phoenix Family Grant Program. “We’re essentially going to pick 1,000 families to get $ 1,000 [per month] for 12 months, “said Carlos Garcia, Phoenix city councilor.” People know their needs and I think it is better for them to decide how to use financial aid than for us to designate it in advance. “Families with low Income and children earning 80 percent of the median income of the region or less – 80 percent of the median income of the region for a family of four is currently $ 63,200 per year – are eligible for the program, according to city documents. Social housing will also be eligible Recipients of monthly payments are determined through a lottery system. Related Stories I Support Local Community Journalism Support the independent voice of Phoenix and help keep the future of New Times free. Payments are issued on a debit card that families use Anything but alcohol, tobacco, and lottery tickets can be bought.The cards are programmed to make purchases These banned items will be rejected woman, according to Jeanine L’Ecuyer, a spokeswoman for Mayor Kate Gallego. Recipients of the payments cannot use the cards to withdraw cash either. Councilors Sal DiCiccio and Jim Waring gave the two votes against the program. The city is aiming to make the payments by January 2022 at the latest, although ideally it “gives these out to the people before the holidays,” Garcia said. There seems to be some appetite in town hall to extend the program after the first 12 months of payments. City officials recommended that the council continue the program on the basis of the “first year of results”. “I think this program will be really successful,” said Garcia. “Hopefully we can come back to that and add more money.” The adoption of the program by Phoenix City Council follows similar steps taken by local governments across the country. Last May, the LA County Board of Supervisors approved a pilot program that provides monthly payments of $ 1,204 to 150 young adults for three years. Chicago officials currently weigh 5,000 low-income households at $ 500 a month after receiving federal COVID-19 aid. Phoenix has struggled in the past to distribute federal pandemic aid funds to people in need. The Phoenix New Times recently reported that the city was still sitting on $ 32 million in rental support funds as of July 19. Garcia said families who think they are eligible for the program should contact the Phoenix City Human Resources Department despite cautioning that logistics for the program must be completed. “I would encourage people, if they need to call this emergency number now, and ask for assistance now,” he said. “We will determine exactly who and how they will be selected over the next few months.”
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