The City of El Monte is looking to find funding to continue its pilot guaranteed income program after initial results have shown participants have been lifted “out of survival mode.”
The program, ran in partnership with the RAND Corporation and the USC Sol Price School of Public Policy, began providing 125 low-income, single mother heads of households $500 each month for a year, starting July 2023.
According to RAND’s Dr. Maria Aguilar, in a pre-survey before the program began, the more than 2,000 applicants reported a plethora of economic, social and mental health hardships that have since been widely alleviated in participants.
More than 40% of those surveyed said they felt stressed most of the time, nearly 50% reported very high depressive symptoms, almost 25% reported not having enough to eat some of the time, and 60% reported having a loss of income and housing insecurity due to the pandemic.
However in focus groups conducted in November and December last year, participants were already reporting that the stipends had improved their housing stability, reduced economic strain, and improved their mental health — including depressive symptoms, anxiety and their sleep.
“They reported that even their children’s mental health has improved and they perceive that their children have less anxiety knowing that the rent is going to be paid, that there’s food on the table, that they’re going to be able to buy school uniforms,” Aguilar said. “They also reported that they have an improved home environment because they’re less stressed, they’re less irritable in some cases.”
The programs tracked participants spending on debit cards and found most spent it on basic needs like food, rent, and gas.
“Today’s report is just a total affirmation that we made the right call, that we impacted lives, and I want to continue it,” Councilmember Martin Herrera said. “It’s something that should not go away, because the need hasn’t gone away.”
City Manager Alma Martinez said the city plans to propose more funding from the county, but with different cohorts receiving the stipend. Continuing the program is expected to cost more than $375,000 a year.
“The applicants have been able to see a different life for themselves, but they’re not quite there. They’re just starting to get organized,” Aguilar said. “They’re just starting to come out of survival mode. They’re just starting to not be anxious every single day about how they’re going to put food on the table, or whether they’re going to be able to make rent.”
The city plans to conduct financial literacy workshops for participants in April and more follow up surveys in May. The final payment to participants will be made in May.
Editor’s note: This article was updated to correct the name of Councilmember Martin Herrera.
