pilot program to study the effects of a monthly basic income may be the last in Iowa after House Republicans passed a bill Monday to ban guaranteed income programs by counties and cities.
House File 2319 would ban Iowa cities and counties from implementing programs that provide regular cash payments that are “unearned and that may be used for any purpose” to individuals.
The bill passed the House 55-43, largely along party lines. Seven Republicans joined all Democrats in voting no. It is now eligible for consideration in the Senate.
Republican Rep. Steve Holt of Denison, who proposed the bill, said guaranteed income programs would hurt the state’s labor force and discourage the work ethic among people receiving the payments. He said government money is better used on targeted aid programs like Medicaid and the Supplemental Nutrition Assistance Program.
“In the end, I believe these programs will increase government dependency and poverty, as opposed to independence and prosperity,” he said. “... It would appear to me that the goal of these pilot programs seems to be to lay the groundwork for a massive expansion of guaranteed income programs.”
UpLift Iowa, a project involving four Central Iowa local governments and a number of businesses and nonprofits, is the only existing guaranteed income program in the state. The pilot program provides 110 residents with monthly payments of $500 that can be spent without restrictions.
The program was set up to research the effects of regular monthly payments to low-income people. It uses a combination of public funding and donations by businesses and nonprofits. The program uses no state tax dollars, but does use federal pandemic relief dollars awarded to Des Moines and Urbandale.
Uplift Iowa is set to last two years, ending in spring 2026. Under the bill, the project would be allowed to continue but no future guaranteed income programs could be started.
There are about 30 other similar programs operating across the United States, according to the Guaranteed Income Pilots Dashboard.
The Iowa Association of Counties is registered opposed to the bill, along with a number of public health organizations. Tax relief organizations are registered in favor of the bill.
Democrats said the bill is an attack on local control and would take away an option for cities and counties to help Iowa families in need.
Rep. Beth Wessel-Kroeschell, a Democrat from Ames, said $500 is not enough money to cause someone to quit their job, and that it can be used to buy school supplies and access to stable housing, and ease a family's financial struggles or help it get out of poverty.
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“This bill is nothing but a roadblock,” she said. “It removes local control and it is one more attempt to ensure that struggling Iowans continue to struggle.”
Democrats also questioned the need for the bill.
"What is the purpose of this?" asked Rep. Monica Kurth, a Democrat from Davenport. "Why does this bill want to further take money away from those families that are working so hard to make ends meet?"
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House File 2319 would ban Iowa cities and counties from implementing programs that provide regular cash payments that are “unearned and that may be used for any purpose” to individuals.
The bill passed the House 55-43, largely along party lines. Seven Republicans joined all Democrats in voting no. It is now eligible for consideration in the Senate.
Republican Rep. Steve Holt of Denison, who proposed the bill, said guaranteed income programs would hurt the state’s labor force and discourage the work ethic among people receiving the payments. He said government money is better used on targeted aid programs like Medicaid and the Supplemental Nutrition Assistance Program.
“In the end, I believe these programs will increase government dependency and poverty, as opposed to independence and prosperity,” he said. “... It would appear to me that the goal of these pilot programs seems to be to lay the groundwork for a massive expansion of guaranteed income programs.”
Central Iowa program studying it
UpLift Iowa, a project involving four Central Iowa local governments and a number of businesses and nonprofits, is the only existing guaranteed income program in the state. The pilot program provides 110 residents with monthly payments of $500 that can be spent without restrictions.
The program was set up to research the effects of regular monthly payments to low-income people. It uses a combination of public funding and donations by businesses and nonprofits. The program uses no state tax dollars, but does use federal pandemic relief dollars awarded to Des Moines and Urbandale.
Uplift Iowa is set to last two years, ending in spring 2026. Under the bill, the project would be allowed to continue but no future guaranteed income programs could be started.
There are about 30 other similar programs operating across the United States, according to the Guaranteed Income Pilots Dashboard.
Democrats say bill hurts low-income Iowans
The Iowa Association of Counties is registered opposed to the bill, along with a number of public health organizations. Tax relief organizations are registered in favor of the bill.
Democrats said the bill is an attack on local control and would take away an option for cities and counties to help Iowa families in need.
Rep. Beth Wessel-Kroeschell, a Democrat from Ames, said $500 is not enough money to cause someone to quit their job, and that it can be used to buy school supplies and access to stable housing, and ease a family's financial struggles or help it get out of poverty.
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“This bill is nothing but a roadblock,” she said. “It removes local control and it is one more attempt to ensure that struggling Iowans continue to struggle.”
Democrats also questioned the need for the bill.
"What is the purpose of this?" asked Rep. Monica Kurth, a Democrat from Davenport. "Why does this bill want to further take money away from those families that are working so hard to make ends meet?"
House Republicans vote to ban ‘guaranteed income’ programs
UpLift Iowa, a project involving four Central Iowa local governments and a number of businesses and nonprofits, is the only existing guaranteed income program in the state. The pilot program provides 110 residents with monthly payments of $500 that can be spent without restrictions.
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