No strings attached guaranteed money program to launch in Durham County

DURHAM, N.C. (WTVD) -- Durham County is launching its guaranteed income pilot program similar to the one the Bull City has been doing since 2022. The DCo Thrives program offers no-strings-attached money to individuals or families for a full year. County leaders announced the program in 2023.

The county is now taking applications for participants in the pilot program. Here's what you need to know about the DCo Thrives guaranteed income program.

How will the selection process work?

According to the DCo Thrives website, 125 individuals will be randomly selected to receive the guaranteed income. Another 125 families will be randomly selected to participate in the control group, who will not receive the guaranteed income but will be invited to participate in surveys for research purposes.

How much money will they get?

The county says 125 families will receive $750 a month for a year. They'll randomly select the participants. When announcing the program, county leaders told ABC11 they are committed to the initiative for the next two years.

How is it funded?

In August 2023, the Durham County Board of County Commissioners unanimously approved $1.69 million in American Rescue Plan Act funding for the DCO Thrives guaranteed income pilot program. DCo Thrives has a Randomized Control Trial (RCT) design so that the impact of guaranteed income payments can be studied.

Are there spending restrictions?

No. The guaranteed income is a recurring payment provided with no strings attached. This means that participants have the freedom to choose how they spend the money. A guaranteed income is meant to supplement, rather than replace, the existing social safety net.

What's the goal?

According to DCo Thrives, the pilot program is a way to determine the effectiveness of money in improving the well-being of children and families in Durham. "We want every child and family in Durham County to thrive."

The agency says that's why there are no restrictions on how participants can use the guaranteed income. It's up to them to best determine how to use the money to support their families. Other guaranteed income programs throughout the US have shown increased positive brain activity in babies, increased likelihood of time spent doing enriching activities with children, decreased stress, and improved employment outcomes.

According to 2021 Census data, nearly 9 percent of families in Durham County live in poverty. Of those families, the greatest proportion live in single-family homes. By implementing a guaranteed income program for low-income families, Durham County intends to positively impact the well-being of children and families.

Who is eligible?

The county's eligibility criteria:

• You must live in Durham County

• You have to be 18 or older

• You parent a child under the age of 18

• You have a household income at or below 30% of the Area Median Income for Durham

Who else is doing this program?

The city of Durham has been doing a guaranteed income program since 2022. The Bull City's 2022 program included formerly incarcerated individuals.

City leaders said while the program has faced backlash, the perception was wrong.

"I've gotten all kinds of emails and texts of folks saying you're giving money away to ex-cons," said Mayor Pro Tem Mark-Anthony Middleton. "Surprise surprise folks paid bills and did things for their kids."

Nationwide, some of the largest counties in the U.S. are joining forces to provide guaranteed income to people in need, ABC News reported in 2023. County leaders from Los Angeles County, Chicago's Cook County, Houston's Harris County and more help make up Counties for Guaranteed Income, a coalition of local leaders hoping to collect research to try to expand no-strings-attached cash assistance programs nationwide.

Research suggests that guaranteed income can provide a path to financial stability and address poverty as well as racial, wealth or income inequalities.