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Home Economy Guaranteed income program ban passes Iowa Senate, will head to Gov. Reynolds

Guaranteed income program ban passes Iowa Senate, will head to Gov. Reynolds

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On Tuesday the Iowa Senate passed a bill to ban local governments from creating guaranteed income programs. The bill bans such programs if they provide money that is unearned.

UPLIFT, a program developed by local governments in central Iowa along with businesses, is currently providing $500 a month to a little more than 100 individuals.

Democrat State Sen. Tony Bisignano spoke out forcefully against the bill, criticizing Republicans for getting in the way of local control.

Bisignano said the legislature has failed to offer any solutions to poverty, and now it will prevent local governments from addressing the issue.

Bisignano blasted Republicans who work to ban such programs while saying nothing about farm subsidies, which he said is unearned money as well.

“The Party who lives off of subsidy, I mean that,” he said. “In this body, a great deal of members in this body live off of subsidy or depend on it annually.”

Since the 1930s, he argued, farm subsidies have provided people with money for doing nothing.

“It was there to stabilize the farm economy,” he said. “To keep the farmers able to farm. Well, let me say this about the farmers – someone will farm your farm. We as a nation have chose to stabilize the farm economy across this country. But someone making $24,000 a year who is going to get an added $500 supplement to spend any way they want to see what their priorities are – obviously is too much for this body.”

Bisignano said the Grassleys have received $1.3 million in subsidies from 1995-2021. He pointed out other last names of individuals in the Senate who have received $1.2 million in subsidies and $695,000 in subsidies before being cut off. He was not allowed to continue listing how much people received from farm subsidies.

“My point with this bill is it’s a direct attack on subsidies,” he said. “All I’m talking about is we do subsidies in a lot of areas of this government in a lot of ways.”

He reinforced the difference in the amounts — $500 a month for this basic income program and millions every year that are paid out in farm subsidies.

“Why is $500 a month socialism and a farm subsidy is not,” Bisignano asked. “I’m asking for the clarification from somebody. I don’t think people getting millions of dollars in subsidies are poor, but I know people making $24,000 with dependents are. I’m not going to say anybody in this room has a conflict of interest, but I’ll say you ought to have a conflict of conscience.”

Democrat State Sen. Sarah Trone Garriott said money is a tool used by government and, in the case of a universal basic income program, a tool that can be used to make life better for families and communities.

“Policies that punish people for being poor and reward the rich for having money are pushing more and more into poverty every year,” she said. “Why prevent cities and counties from studying basic income pilots? Why ban research not funded with state money?”

Republican State Sen. Brad Zaun noted he represents Urbandale and it is one of the communities participating in UPLIFT. Zaun said in the past, churches, neighbors and nonprofits helped those in need. But now government is stepping in more frequently.

“It’s socialism,” he said. “It’s redistribution of wealth. Where does it stop?”

Republican State Sen. Scott Webster managed the bill and said much of the farm subsidies help fund food programs. Some of them cover crop insurance and some cover conservation.

Anyone wanting to discuss getting rid of farm subsidies should go debate that in the U.S. Senate, he added.

“There’s not unlimited money in the United States of America,” Webster said. “There may be a certain amount of people that believe you can just print more and it won’t have an effect. I will tell you, those are majorly the effects that have created the exact problem we have with a lot of poverty today.”

UPLIFT will continue under the bill until Jan. 1, 2025 as it is an existing program.

Other countries have banned such programs after trying them. Canada had a three-year program it stopped after one year because it was driving people away from work.

“So, the studies have already been done,” Webster said. “Why do we need more studies? Why do we need to spend taxpayer dollars?”

Webster said in the last 50 years, $22 trillion has been spent on poverty.

“And it hasn’t changed a thing,” he said.

Ultimately, Webster said the bill shows Republicans have the ultimate concern for the taxpayer.

The bill passed with 35 votes, however Democrat State Sen. Cindy Winckler intended to vote no but accidentally voted yes.

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