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Minneapolis Joins Guaranteed Income Experiment Using Federal Aid

About 200 families will get as much as $500 a month for two years in the latest city program to test unrestricted cash payments.  

Minneapolis will use some of its federal Covid-19 aid to follow other cities in experimenting with a guaranteed income program.

Minneapolis will use some of its federal Covid-19 aid to follow other cities in experimenting with a guaranteed income program.

Photographer: Emilie Richardson/Bloomberg

Minneapolis is joining a slew of cities across the country testing out guaranteed income as a way to ease the disproportionate economic effects of the Covid-19 pandemic.

The Minneapolis City Council approved a $3 million guaranteed basic income pilot program this month as part of the city’s plans to spend its share of the federal American Rescue Plan funds. About 200 families will get as much as $500 a month for two years, with no restrictions on how they can spend it. The guaranteed basic income (GBI) program seeks to address a widening wealth gap in the wake of the economic fallout from Covid-19.