U.S. Mayors Urge Permanent Cash Handouts as Pandemic Aid Expires

Facing soaring housing, food and energy costs, city leaders across the country are turning to guaranteed income programs to shore up families. The Economic Securities Project (ESP) released a report on August 12 that cites data from over 250 pilots in 40 states, arguing that direct cash transfers are most effective during life‑transition moments such as childbirth, relocation or reentry after incarceration. The report calls for a shift from blanket handouts to “cash for transitions.” Meanwhile, federal COVID‑19 relief funds that have financed many pilots are set to run out by December 31, 2026. In Evanston, Illinois, officials announced an expansion of their guaranteed‑income program using the remaining American Rescue Plan Act (ARPA) money, while other municipalities, including Albuquerque, are exploring tax‑based funding. ESP urges local and state governments to create dedicated revenue streams to keep cash programs alive beyond the pandemic.