https://www.washingtonpost.com/dc-md-va/2024/02/01/dc-cash-payments-mothers-pilot-program/

Gift link: https://wapo.st/3SKVUNG

In 2022, the D.C. government announced a pilot program that offered 132 new and expecting low-income mothers $10,800 over the course of a year — no strings attached — intended to assess how unconditional cash payments could improve their families’ outcomes and economic mobility.

Facilitated by the nonprofit Martha’s Table, the $1.5 million Strong Families, Strong Futures pilot was limited to families in Wards 5, 7 and 8, which contain some of the District’s poorest neighborhoods. The city’s program was based on similar successful cash-transfer pilots that have now been modeled in at least 100 U.S. jurisdictions and drew 1,553 applications in just three weeks, requiring a lottery system to winnow down the final group.

All 132 mothers had to choose whether they wanted 12 monthly payments of $900 or the entire amount immediately in a lump sum, a unique feature of D.C.’s pilot. About 75 percent chose the lump sum — which was better for those also receiving government benefits, for whom monthly payments from the pilot were more likely to be flagged as additional income, potentially affecting their eligibility, said David Lloyd, the deputy chief of programs at Martha’s Table.

The Washington Post spoke to several mothers throughout the year. Some used the funds to set up their first savings account or buy baby formula. Others used it to live the lives they had always dreamed for their families, helping cushion their savings to buy a new home — or just live large for a week: a new hairdo and a trip to Miami with new outfits every day for the children.