House Bill 859: Local Govts/Guaranteed Income Programs
Blocks local governments from running popular and effective guaranteed income programs
HB 859 Summary: This bill prohibits local governments from initiating or running guaranteed income programs that provide people with payments with no strings attached.
Further limits the ability of local lawmakers to make choices about the use of their own revenue.
The bill preempts local governments from running guaranteed income programs that provide an unconditional cash transfer. This bill would require a program to condition a payment on seeking reemployment, performing work, or attending training. Guaranteed income programs like the Excel program piloted in the City of Durham or the current Durham Thrives program could be in violation of state law if this bill succeeds.[1]
- The bill provides no clear and thorough definition of the requirements on which it conditions a cash transfer and no information on how the legislation would be enforced.
- Given that such programs generally benefit populations that face heightened barriers to economic security, such as formerly incarcerated community members and parents raising children with low incomes, this bill would only exacerbate existing inequities in North Carolina.[2]
This bill is an expansion of NCGA attempts to stifle local decision-making.
HB 859 would block local governments from using their own revenue to run guaranteed income programs that are popular, efficient, and effective at making life better for their residents. This bill is only the latest example of state lawmakers blocking local elected leaders from making life better for their residents. NC already preempts local decision-makers in the areas of minimum wage, paid leave, municipal broadband, and more.[3] It comes at a time when the federal government is planning deep cuts to health care, housing and food assistance, further retreating from the important role of policy in addressing poverty.
Creates barriers to helping vulnerable North Carolinians achieve economic security and avoid reoffending.
North Carolina’s guaranteed income programs are effective. An evaluation of the City of Durham’s Excel program by UPenn researchers found that recipients were significantly more likely to maintain full-time employment and had higher food security and housing stability, compared to the control group. Recipients also reported less difficulty in staying alcohol- and drug-free, staying away from criminal activity, and avoiding a probation or parole violation.[4]
[1] ; https://www.stepupdurham.org/excel; https://dci-nc.org/dco-thrives/
[2] https://guaranteedincome.us/durham; https://dci-nc.org/dco-thrives/
[3] https://www.onlabor.org/wp-content/uploads/2017/04/NLC20Preemption20Report202017-1.pdf
