St. Paul Mayor Melvin Carter announced on Wednesday the expansion of the city’s guaranteed income and college savings programs.
With the launch of the CollegeBound Boost program, Carter announced that 333 low-income families enrolled in the CollegeBound program will receive $500 a month in guaranteed income payments for two years and deposits of $1,000 each for their child’s CollegeBound savings account starting this summer.
“Direct cash payments are a simple, effective way to help St. Paul residents achieve economic security,” said Mayor Carter in a released statement. “CollegeBound Boost is our bold approach to combine these payments with asset-building opportunities, supporting families in building for their future.”
“Residents use direct payments for groceries, medications, birthday gifts, and more everyday necessities that collectively make all the difference,” said Muneer Karcher-Ramos, director of the Office of Financial Empowerment. “Now, we want to expand on this incredible lifeline with CollegeBound Boost.”
The People’s Prosperity Guaranteed Income Pilot was implemented in November 2020. The project provided 150 St. Paul families with $500 per month in guaranteed income for a period of 18 months. The pilot program was offered to families participating in CollegeBound program, the City’s college savings initiative that provides every child born to a St. Paul resident on or after January 1, 2020, with a college savings account and a $50 seed deposit.
St. Paul’s Office of Financial Empowerment is partnering with researchers at the University of Michigan under Professor William Elliott, an expert on children’s college savings and asset building, to study the impacts of combining guaranteed income and asset building through CollegeBound Boost for St. Paul families.
Source: City of St. Paul