This US city will give Rs. 9.5L to homeless citizens
In a unique solution to solve its rising homelessness problem, the city of Denver in the United States of America will be providing the destitute with $12,000 (roughly Rs. 9.5 lakh) per year. Under a special program, Denver, Colorado, will be providing this sum to 140 of its homeless citizens to cover their housing expenses. Here's more.
Why does this story matter?
Many states in the US have been battling the growing problem of homelessness, as over 550,000 of the US citizens live in destitution. According to Forbes, 48% of the homeless are white, and nearly 40% of them are African-Americans. About 52% of all destitute are non-white Americans. As of January 2022, 4,700 households in Denver were reportedly experiencing homelessness.
Here's a deeper dive into the project
Under the Denver Basic Income Project (DBIP), 140 homeless citizens will initially be given $1,000 (approximately Rs. 79,000) per month for a year, Fox News reported. Direct cash assistance will be given to these, who are currently using Denver's shelter system, largely including transpersons, women, gender non-conforming individuals, and families. For the homeless, regular income is as important as housing and shelter, officials said.
Project to begin in November
Denver Mayor Michael B Hancock told Fox News, "Just as important as housing and shelter is a regular source of income for those experiencing homelessness," adding that the project will also create more space in shelters. The initiative is also aimed at decreasing crime rates and combat encampments in the Mile-High City. The homeless people will begin receiving funds from November, ABC reported.
How have the funds been raised?
Reportedly, Denver has received a $2 million grant from the American Rescue Plan Act for a pilot test of the DBIP. The contract was approved by the city council earlier. As per Daily Mail, the program will cost about $9 million and fund 820 destitute in the long run. The rest of the required funds will reportedly be raised through charity.
Nonprofit organization to track expenditure
Interestingly, people will also be given a cell phone with a full year of service. The Colorado Coalition for the Homeless—a private, nonprofit organization—will track how the homeless use the money and help them get necessary items, including furniture, accommodations, and kitchen supplies. The University of Denver's Center for Housing and Homelessness Research will study the program; its results will be out in 2024.
