Citing high demand and proven benefits, Paterson, N.J. looking to expand Guaranteed Income program
PATERSON, N.J. -- A program to help low-income families in one New Jersey city could be expanded.
Paterson is one of nearly 50 communities in the U.S. to offer guaranteed income to help close the wealth gap, and officials say the program is working.
Ritchie Reyes was born and raised in Paterson. His mom, Monserrate, works full-time as a caregiver to seniors and overtime as a caregiver for her family.
"Whenever she came back from work, it was always cooking for the family, making sure everybody was good before herself," Reyes said.
FLASHBACK: 200 Paterson residents selected for 2nd year of Guaranteed Income Program
His mom qualified for Paterson's Guaranteed Income program late last year.
The program gives recipients $400 per month for one year to help alleviate financial hardship in the community.
"That extra financial support that she receives definitely is a weight lifted off her shoulders," Reyes said.
"So, they're spending it on more food for their families," Paterson Mayor Andre Sayegh said.
Sayegh said that $400 per month reduced food insecurity and helped low-income families begin to save.
"It makes for a healthier environment, not just in that house or that apartment, but in Paterson as well. There is a ripple effect," Sayegh said.
In the wake of the pandemic, Paterson joined the nationwide movement to offer a guaranteed income through a lottery system. The first round was funded by private donations and benefited 110 people. Last year, the city used federal COVID money to expand to 200 people.
Sayegh wants to expand that program again. This time he's asking the state for $5.5 million to help about 1,000 Paterson residents.
"We're showing proven results, that the Guaranteed Income program is guaranteed to have positive outcomes," Sayegh said.
Outcomes that advocates say can open up pathways to a more financially secure future.
So far, the need is far out-pacing resources. Last year, some 6,000 people applied for just 200 spots in Paterson's Guaranteed Income program.
