A Democratic-run city’s bold experiment handing out free cash to residents is coming to an end — and stirring debate about guaranteed income in America.
For the past two years officials in Boulder, Colorado, have been paying 200 low-income households $500 a month, no strings attached, under a pilot program.
Funded with $3 million in federal COVID relief money, the Elevate Boulder scheme was billed as a way to help families cover basic needs.
Recipients say it changed their lives.
One woman said she could finally walk into a grocery store and buy everything she needed without agonizing over what to put back.
A mother was able to cover braces for her child, unexpected vet bills, and healthier food.
Andy Masterpiece, another resident who was a part of the program, said the extra money allowed him to finally pursue his dream to be a musician and buy a guitar.
Critics say such programs could discourage people from seeking employment or reduce incentives to work more hours.
A pilot program, Elevate Boulder, will come to an end in December. For the last two years it has given low-income residents $500 a month to help pay for basic needs
The final report of the Colorado project is set to end in December, but Elevate Boulder hopes they can bring it back in 2027 if they receive enough donations from the community to do so.
Despite the free cash - that didn't have any use restrictions or require receipts - participants still found some costs too high to cover, including health insurance and childcare.
One local, who wished to remain anonymous, told the outlet how the extra money helped her buy everything she needed at the food store - something they usually struggle with.
'The first thing that I purchased with the gift was really just going to the grocery store and picking everything that I needed without having to decide. And it's not like I was buying lobster tails, honey,' they told CBS News.
'I was just, you know, I could get, you know, the Greek yogurt and the cottage cheese.'
Several participants shared what the project has done for them to a crowd at the Dairy Arts Center on Sunday
Similar programs were launched during the pandemic to help the less fortunate get by.
More than 20 cities in the US launched the programs then, with participants being given up to $1,000 a month for about a year that they spent about a quarter of on food and six percent on leisure and travel, Bloomberg reported.
In Elevate Boulder, some people were able to pay for unexpected pet bills, braces for their child and the chance to grow healthier food.
They shared with the rest of the community how the money has helped them during an event at the Dairy Arts Center on Sunday.
'There's financial support, there's food support, there's community support, and so I just feel like very like, I'm meant to be here, and this is one of the things that helps me, makes my dreams come true,' Masterpiece explained.
Although the unique project has allowed a lot of people to be able to afford basic needs and follow their dreams, Elizabeth Crow, who helps run the program, said there's still room for improvement.
'We have some participants who've established savings for the first time in their lives. They now have a retirement account,' Crow, the Deputy Director of Housing and Human Services, stated.
Andy Masterpiece, another resident who was a part of the program, said the extra money allowed him to finally pursue his dream to be a musician and made him feel seen by his community
She added that the program has really highlighted just how much it costs to live in the state.
'There are people who shared that they have not had as dramatic savings or been able to get ahead as much as they want. That's really a statement about how much it costs to live here and have your basic needs met,' Crow added.
Participants are still very thankful for the opportunity to be a part of the program.
'[Crow] knows that maybe I was struggling just a little bit, and you can apply for the program,' one said.
'That gesture to me is saying, you know, we want you to be here. You're part of our community.'
This is not the only blue state that has decided to reward its low-income residents, as Los Angeles hosted something similar.
A number of Democratic cities, including New York, Chicago, San Francisco and others have been launching pilot programs to create guaranteed income for the low-income community.
Elizabeth Crow, who helps run the program, said there's still room for improvement. The group hopes to host another project in 2027 if they receive enough donations to do so
Many of the programs were launched during the pandemic to help the less fortunate get by.
In Los Angeles, participating locals were awarded a $150 monthly travel stipend to spend on trips, including going to Disneyland.
The first phase of the city's Mobility Wallet Pilot Program officially kicked off in May 2023 and concluded in April 2024 - offering 1,000 qualified people a prepaid debit card to pay for an array of transportation services.
But now that the first round of the project has ended, financial stress has once again burdened the community, UCLA researchers found.
'The financial burden of transportation [is] a challenging one to cut out of my budget. I can try to reduce it as much as possible, but reducing cost means I have to pay in my time. I think the financial support is probably what I miss the most,' one participant of the study said.