Guaranteed Basic Income Program
First 5 Sonoma County
Professional Service Agreement
September 13, 2022
CITY COUNCIL
Economic Development Division Director Raissa de la Rosa PLANNING AND ECONOMIC DEVELOPMENT DEPARTMENT 1
ARPA FUNDED PROGRAM
Funding Allocation Resolution
RES -2022- 029
Guaranteed Basic
Income:
• $960,000 SR GBI Payments
• $48,000 Administration Fee
$1,008,000 Total Program
Allocation
2 GUARANTEED BASIC INCOME PROGRAM
3 PURPOSE
• Use of City Funds:
To increase family financial security and mobility and
decreased child poverty by provision of unrestricted
monthly guaranteed financial support for 24 months.
(additional County funds may increase the Santa Rosa
number of families served)
• Use of County funds:
To demonstrate the impacts achievable for families
through the guaranteed income intervention in order to
drive future investments in and sustainability of the
approach, and to advance public policies that increase
family economic mobility.
Evaluation to be conducted by Social Policy Research
Associates
Program Need
Per United Way of CA 2021 study
• 52% of Sonoma County
households with children
under 6 struggled to cover
basic needs.
• Single mothers are most likely
to struggle: 67% in the county
were below the study’s self
sufficiency standard.
• Black, Latino, Asian, and
Native American households
comprise 33% of the County
population but 70% of those
struggling to meet basic
needs.
GUARANTEED BASIC INCOME COALTION
Coalition Participants
Jurisdiction Allocation # Families
• County of Sonoma $3,045,250 156
• City of Santa Rosa $1,008,000 80
• City of Petaluma $636,000 49
• City of Healdsburg $240,000 20
TOTAL $5,289,250 305
o $500 unconditional monthly payments for 24 months
between January 2023- December 2024.
o First 5 Sonoma County will leverage approx.
$200,000 in funding from the state’s Prop. 10
tobacco tax for additional administration needs.
4 Fund for Guaranteed Income
(F4GI): Payment & tracking platform
• Nonprofit financial institution
and payment platform that
partners with nonprofits and
government entities to build
guaranteed income programs
that are community -rooted and
scalable.
• Participants will use F4GI’s
technology to understand the
impacts of the cash transfers on
existing benefits, and track and
manage payments.
GUARANTEED BASIC INCOME PROGRAM
5 Program Eligibility
• Must live in Sonoma County.
o City funds used within respective city limits
• Income up to 185% of the Federal Poverty Level, dependent on family size (e.g. $51,338 or below for a family of 4).
• Pregnant and/or parenting a child under the age of 6
• Impacted by COVID- 19 (loss of employment, income, childcare and/or housing) o Families randomly selected; onboarded by mid -Dec 2022 o Per federal guidelines at least 75% of participating families will be selected from within Qualified Census Tracts (areas with a concentrated population of people who were most adversely affected by the COVID -19 pandemic). www.PathwaysSonoma.org/apply
First 5 Sonoma County
6 About First 5 Sonoma County
• Funded by the 1998 statewide ballot initiative, Proposition 10, which added $0.50 per pack of cigarettes and other tobacco products. • Resulting revenues are allocated statewide to First 5 California and to county First 5 Commissions based on birth rate.
• It is an independent public agency that has administered over $90m in grants over the last 22 years – including the City’s Childcare Resiliency Fund Grant Program.
• Prop. 10 funds will be used to offset/support First 5’s administrative costs.
Recommendation
7 It is recommended by the Planning and Economic Development Department that the Council, by resolution, approve a
Professional Services Agreement with First 5 Sonoma County for administration of the City of Santa Rosa funded Guaranteed Basic Income program in a not -to-exceed amount of $1,008, 000.