Denver Basic Income Project releases data showing cash transfers led to more people finding housing
DENVER — April Marie understands how one crisis can shift a stable and enjoyable life to one of fear and instability in an instant.
After experiencing violence, Marie went from a house and comfort in Castle Rock to a crowded homeless shelter in North Denver, where she received a thin pillow and a scraggly blanket. She said the situation felt “what I can only imagine prison feels like.”
“My world was shattered and permanently altered,” Marie said. “I found no equivalent aid in my efforts to progress and grow.”
Marie was randomly selected as one of 820 people receiving money from the Denver Basic Income Project, a 12-month program providing unconditional cash transfers to people experiencing homelessness in Denver. The project operated in part by the University of Denver’s Center for Housing and Homelessness Research.
The 820 participants are split into three groups. The first group received 12 payments of $1,000 each month. The second group received a one-time payment of $6,500 and followered by 11 monthly payments of $500. The third group — considered the control group — received 12 payments of $50 each month. Program administrators gave aach participant a smart phone where their spending is tracked.
“We see people spending it on basic needs and then when they have more money, they’re paying down debts and investing in their future,” said Mark Donovan, founder and executive director of the project. “The reports are exactly what we expected. People are getting housing faster and they’re getting to work faster.”
The project was funded by several foundations, nonprofits and the City of Denver. At a rally Friday in support of the project, government officials and state activists called on Denver Mayor Mike Johnston and Denver City Council to continue funding the project for a second year, both to continue funding current participants and to expand.
“We have a unique opportunity to show the country what is possible when you create and sustain basic income for people who’ve experienced homelessness,” Donovan said. “We think it’s a more effective and efficient way to fight homelessness and push back on income inequality.”
Rep. Javier Mabrey, a Democrat representing Southwest Denver in the Colorado House of Representatives, said poverty is personal for him, as he was raised by a single mother without an income. His family was evicted, and he was left homeless, which inspired him to become an eviction defense attorney.
“The very foundation of this is the idea that we should have dignity in our lives and being able to afford housing is key,” Mabrey said. “Investing in this program is investing in public safety.”
Willie Larkin, another formerly unhoused Denver Basic Income Project recipient, said the money he receives has saved his life.
“It gave me hope, it inspired me to know that I have something and someone that had faith in me, and that faith gave me all the strength I needed to look at myself, to want more, to do better,” Larkin said.
Since receiving his first installment of money, Larkin has found an apartment, bought a car and gotten a job.
“I have a futre as bright as I know it and that future is taking me to where I want to be and where I know I should be,” Larkin said.
The Center for Housing and Homelessness Research has published qualitative findings on its website and will publish quantitative reports in October.
Alison Berg is a reporter at Rocky Mountain PBS and can be reached at alisonberg@rmpbs.org.