Cook County makes guaranteed income permanent
The Cook County Board of Commissioners unanimously approved $7.5 million last week to establish a permanent guaranteed basic income program in Illinoisโ most populous county. The decision follows a 2022โ2024 pilot funded by $42 million in American Rescue Plan Act money that paid $500 per month to 3,250 households, with county-released survey results citing improved financial security and emergency resilience. Supporters called the pilot a historic success, while the Illinois Policy Institute criticized guaranteed income as reducing workforce participation.
๐ Key Facts
- Unanimous Cook County Board approval of $7.5 million for a permanent guaranteed income program
- Pilot (launched 2022) provided $500/month to 3,250 households for two years using $42 million in ARPA funds
- County survey: ~75% of participants felt more financially secure; 94% used payments to handle emergencies
๐ Relevant Data
In 2020, the poverty rate in Illinois was 25.2% for non-Hispanic Black residents, 9.1% for non-Hispanic White residents, and 14.6% for Hispanic residents.
III.B. Overview of the State - Illinois - 2023 โ Maternal and Child Health Bureau (HRSA)
In Illinois, as of June 2023, the unemployment rate was 11.0% for Black men and 9.1% for Black women, compared to 3.5% for White men and women, and 4.4% for Hispanic men and 5.2% for Hispanic women.
2023 Illinois Economic Report โ Illinois Department of Employment Security
African-American men and women in Illinois faced the slowest recovery to pre-pandemic unemployment lows, possibly because they are employed in industries that suffered most during the recession.
2023 Illinois Economic Report โ Illinois Department of Employment Security
51% of participants in the Cook County Promise Guaranteed Income Pilot are Black/African American, 29% are White, and 24% are Latine.
President Preckwinkle Announces Participant Cohort Details for Cook County Promise Guaranteed Income Pilot โ Cook County Government
In Cook County, according to 2019-2023 ACS estimates, 22.1% of the population is Black (Non-Hispanic), 40.5% is White (Non-Hispanic), and 26.5% is Hispanic or Latino.
Cook County Community Data Snapshot โ Chicago Metropolitan Agency for Planning
In a randomized controlled trial of guaranteed income in two U.S. states, the program led to a 2.0 percentage point decrease in labor market participation and a reduction of 1.3-1.4 hours per week in work hours.
The Employment Effects of a Guaranteed Income: Experimental Evidence from Two U.S. States โ National Bureau of Economic Research
A review of existing research on guaranteed income found that unconditional cash transfers reduce poverty with negligible impacts on labor supply and labor force participation.
A summary of existing research on guaranteed income โ University of Chicago Urban Labs