California mayor insists cash handout program will solve affordability challenges, but critics question cost

Alameda Mayor Marilyn Ezzy Ashcraft says monthly cash payments can help residents manage California’s affordability pressures, citing positive experiences reported by participants in the city’s Rise Up Alameda pilot. The programme has ended, however, and the city has no plan or budget to continue it, highlighting the challenge of finding lasting public funding for guaranteed income schemes.

The two-year pilot gave 150 low-income households $1,000 a month, using $4.6 million in one-off federal pandemic relief funds. Participants used the money for costs including rent, medical bills, transport, debt and savings; the average age was 49, and 26% were at least 62. Ashcraft said cash support is not a stand-alone answer and pointed to longer-term costs such as housing, healthcare and transport.