Basic income program proposed in the Minnesota House
(ABC 6 News) – Minnesota house lawmakers are proposing a new bill that would put some money in some Minnesotan’s pockets with a ‘basic income program.
“There’s a lot of people who really need welfare like that and I don’t think there is any shame in that.,” said Kellen Kinkel of Rochester.
Lawmakers hope to combat that shame with a new bill, by creating a basic income grant program in Minnesota.
“The program would provide direct cash payments of at least $500 for 18 to 24 months. The benefits would target Minnesotans receiving public benefits to with an income at or below 300% poverty guidelines,” said bill author Rep. Athena Hollins (DFL-St. Paul).
“Need is need my only concern is that we have a sustainable way to pay for it,” said Kinkel.
Lawmakers say the program would receive $100 million from the general fund. With those dollars then allocated to local governments, tribes and non-profits.
And some Minnesotans say they believe the program’s future is bright.
“I think one of the most important parts of this bill is that is relies on the expertise of local communities to design their own their own basic income pilots. Which will allow for customization across urban rural suburban and tribal communities,” said executive director of Springboard for the Arts Laura Zabel. Zabel testified for the bill in the House Children and Families Finance and Policy Committee on Tuesday.
But others say the bill isn’t ready, including Representative Patricia Mueller (R-Austin) pointing to a lack of safeguards preventing fraud.
“You cannot ask about residency. You don’t have to recertify after a certain amount of time. You kind of just go forever,” said Mueller.
“I think that she made a fair point. I think that’s an important thing. Hopefully they can find a bipartisan solution to that,” said Kinkel.
Mueller says many Minnesotans do need the help, but in order to do that, the government needs to “stop overtaxing” and possibly consider a negative income tax.
“So, as income rises benefits are reduced. There’s kind of like that slope. It’s more of a wider off ramp, instead of a cliff there’s actually an off ramp,” said Mueller.
The bill has been referred to the House Human Services Committee and a hearing has not been set.
Previously studies into basic income programs have shown they have significantly reduced hunger rates in children, helped individuals and families find employment and has been linked to lowering poverty rates.