12 GROUNDCOVER NEWS RESEARCH GROUNDCOVER NEWS Groundcover News asked the principal investigators of the project, Kristin Seefeldt, Rebeccah Sokol and William Lopez for a situation report. people with a stable, reliable income that doesn't have the stigma of "welfare" associated with it. Several foundations became interested in funding guaranteed income pilots, and all of a sudden pilots were cropping up around the country, in part driven by a coalition of mayors who wanted to bring guaranteed income pilots to their communities. Ann Arbor, like many cities and counties, received significant funding as part of the COVID-19 recovery, and the City decided to use some of those funds for a guaranteed income pilot. GCN: Why is it important to popularize these findings through Groundcover News and community events and what is the potential impact? KS: Groundcover News vendors are Kristin Seefeldt, lead researcher, is an Associate Professor at the U-M Schools of Social Work and Public Policy. GCN: What are you observing from the data thus far? What do you find surprising? Kristen Seefeldt: One notable finding is that the participants in the pilot have fairly high levels of education when compared to participants in guaranteed income pilots elsewhere in the country. This isn't surprising to me, since we are a college town with highly educated residents, but often researchers will talk about higher education as a pathway to achieving upward mobility. While that might be the case on average, people aren't “averages.” And in a place like Ann Arbor with a very high cost of living, having an Associate’s or Bachelor's degree may not help everyone be economically stable. GCN: Why are you studying this particular topic out of all the other potential programs focused on improving quality of life outcomes? KS: One thing that is really unique about guaranteed income programs is that recipients decide for themselves how they want to use the money. No one is saying that the money only can be used for rent, or for food, or any other specific purpose and nothing else. The flexibility, I think, acknowledges that people know best what they need and are fully able to make decisions about their lives. Additionally, there isn't any paperwork or requirements that people need to do in order to continue receiving the money during the pilot. This can improve people's quality of life through providing autonomy and eliminating the need to report to a public assistance system. GCN: Why do you think Ann Arbor is piloting this now? KS: There's been growing interest in guaranteed income as a way to provide entrepreneurs, just like the people who are in the GIG A2 pilot. It seemed logical to partner with Groundcover News to get the word out about how the program is going and raise awareness both with readers and vendors themselves! In terms of community events, in some cases, people may have concerns about guaranteed income. They might worry that people "waste" the money or make unwise spending choices. That's why in the U.S. we have so many programs that are "in-kind," meaning we won't provide cash directly but instead will give rental assistance or a debit card that can only be used for food. By having events, the community can hear directly from participants and see the data on how the money is being used. This might lead some people to re-think their assumptions. GCN: What stigma do you observe surrounding cash assistance? KS: The first thing I'll say is that there is so much stigma and resistance to providing cash assistance in the U.S. that we've all but eliminated the one federal program, Temporary Assistance to Needy Families (TANF), that provides cash. Even with federal programs like food stamps, we see scrutiny of purchases, as evidenced by the discussions that are happening right now about not allowing food stamps to be used for soda or other items deemed "unhealthy." What this means is that we're using policy to micro-manage the decisions and limit the choices of people who have lower incomes, in a way that we do not do to those with higher incomes. This can just feed into harmful and untrue stereotypes of people with low incomes as not being trustworthy. GCN: How would you introduce yourself to our readers? Rebeccah Sokol: I work at the University of Michigan School of Social Work, where I teach and research how access to resources — including income, housing and social support MAY 2, 2025 A research perspective: Poverty Solutions on GIGA2 circumstances through things like education or improved housing. GCN: Are there key issues or takeaways you want Groundcover News readers to know? RS: Understanding if and how GIG Rebeccah Sokol is an Assistant Professor at the U-M School of Social Work. — influences the health and safety of families and communities. GCN: What brought you to social work and what is your background as an activist? RS: My training is in public health, and I now work in the School of Social Work. Blending these two disciplines has shaped my professional focus. A public health approach guides me to consider some of the largest threats to family and community safety, and how insufficient economic or social resources can cause these problems. But it is the social work perspective that encourages me to listen to and work alongside communities to identify and evaluate solutions that make our communities healthier and safer. GCN: What made this project stand out to you? RS: Guaranteed income programs offer an opportunity to address some of the fundamental causes of poor health. We have decades worth of research that shows us that poor Americans have worse health than wealthy Americans. Providing cash assistance to individuals with insufficient living wages is one strategy to provide people with the resources they need to attain their optimal health and well-being. An exciting thing about GIG A2, in particular, is how it celebrates the strengths of recipients. As entrepreneurs and gig workers, GIG A2 recipients are assets to Ann Arbor and the surrounding area. Investing in them means investing in our community. GCN: How do you see the pilot helping in the long run? RS: Guaranteed income and direct cash assistance programs are helping change the narrative around public assistance programs towards one that honors the dignity of all individuals and communities. GIG A2 is one of many pilot programs across the United States and the world. Across these programs, recipients are gaining the autonomy to use funds as they see fit, which they largely spend to meet basic needs, pay bills and better their William Lopez is a Clinical Assistant Professor at the U-M School of Public Health. A2 improves earnings, quality of life and safety is key to helping our elected officials make decisions about how and where to allocate finite resources. Our team is using a randomized controlled trial to help gain these answers, meaning that we are gathering data from both individuals who are receiving a monthly guaranteed income payment and individuals in a research group who are not receiving the payments. I want to extend my wholehearted appreciation to everyone who has completed these questionnaires. Through sharing their thoughts and experiences, we can learn so much from them to hopefully improve the health and well-being for our community and beyond. GCN: What are you observing from the data thus far? RS: Many of our baseline findings align with what other guaranteed income programs have found across the United States. We are now collecting data to learn how recipients have spent these funds during the first year of the program. GCN: Why do you think Ann Arbor is piloting this now? RS: In Ann Arbor, funding for the guaranteed income payments comes from the City of Ann Arbor’s American Rescue Plan Act funds and from the Ann Arbor Area Community Foundation. The City had polled residents in 2022 to identify how to use ARPA funds to best serve the community, and one of the projects endorsed by community members included a guaranteed income program. GCN: What are you observing from the data thus far? What do you find surprising? William Lopez: The data show people are using money to get see RESEARCH page 14
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