Ontario mayors ask feds to take over basic income pilot program

Four Ontario mayors whose communities were test sites for Ontario's basic income pilot program have asked the federal government to take over the program,after Doug Ford's government abruptly announced its cancellation.

The decision to end the pilot program earlyhas lead to"financial crisis" for the4,000 low-income residents who agreed to participate, saidthe mayors of Hamilton,Brantford,KawarthaLakes and Thunder Bay.

The mayors askOttawato "assume oversight" and pay forthe remainder of theprogram. They argue finishing the pilotwouldgenerate important research about the impact of basic income, ensure money isn't wastedand protectthe participants, many of whom are among the most vulnerable members of their communities and were reporting that the pilot was benefiting their health andlives.

• Ontario's basic income pilot to end March 2019
• 'Shocked and devastated' photo series to reveal faces of cancelled basic income project

The four mayors published a joint letter toJean-YvesDuclos, minister of Families, Children and Social Development, earlier this week.

"We fear that as a result of this ill-conceived provincial decision, many of the pilot participants will inevitably fall into situations of homelessness and significant financial distress through no fault of their own," said the letter, signed by Hamilton mayor Fred Eisenberger, Brantford MayorChris Friel, KawarthaLakes MayorAndy Letham, and Thunder Bay MayorKeith Hobbs.

Ontario's former Liberal government launched the basic income pilot project, which started in 2017. Itwasintended to last three years, andexplore the impactofproviding no-strings-attached payments to people with low incomes.Participants were fromcommunities including Hamilton,Brantford, Brant County, Thunder Bay and Lindsay.

The new Progressive Conservatives government announced this summer it would cancel the project,with participants receiving their last payment on March 31, 2019.

'A major setback'

Mayor Eisenberger, who sayshe approached theother mayors with the idea, saidparticipantsare feeling betrayed, hurtand confused.The program was set to run forthree yearsand many people planned ahead to improve their lives, he said.

• Hamilton's basic income participants plead for city to fight for them
• Hamilton woman can't afford rent, stuck in lease after province scraps basic income

Peoplemoved into safer or more accessible housing and are now locked into tenancy agreementsthey can't afford, the letter says;otherspre-paid fees to go back to school orupgrade their skills, and now have no way to cover the extra costs.

"Almost all of them areworking poor," Eisenberger said."Whatever challenges they have they weretrying to overcome, and using these resources to do it. So it's a major setback for them."

One year of research not enough: mayor

The program would have provided "crucial" information, the letter says,and helpdetermine theeffectiveness of basic income on a larger scale.

"To truncate a research program based on ideology as opposed to evidence, is most unfortunate," said Eisenberger, who says this program maypotentially help save costs and deliver services better in the future.

• Ford government ditched basic income pilot project before any data landed, researcher says

The mayors say it's practical and beneficial forthe federal government to assume oversight of the project: staff, timelinesand participants are already in place, and some up-front costs are already paid. The federal government would benefit from the information the pilot project generates, they said.

Plus, if itdoes not continue,at least one third of the province's slated $150 million for the projectwill be lost, the letter says.

'Up to the provincial government,' Ottawa says

Eisenberger said they have not yet received a response from Minister Dulcos.

In an emailed statement to CBC,thefederal government says provincial social programs are in the hands of the province.

"While we have always been clear about our government's openness to sharing relevant data with provinces that are launching guaranteed annual income initiatives and to monitoring the implementation and progress of such initiatives, ultimately the design of provincial social programs is up to the provincial governments," saidValrie Glazer, press secretary for the Minister of Families, Children and Social Development.

Eisenbergersaid"I think it's in everyone's interest to understand what basic income can do." He saidhe's hopeful the federal government will see the value in the research.

"Guaranteed basic income is something thatthe federal government has also talked about, but has nothad any concrete evidence around. So this is an opportunity for them to get that."

Single participants receive up to $16,989 a year through the program, while couples receive up to $24,027, less 50 per cent of any earned income.People with disabilities could have received an additional$6,000. There were 4,000 people receivingthe basic income every month, and2,000 peoplein the comparison group.

Doug Ford's Progressive Conservative governmentannounced it would cancel the project in late July.Ontario's Social Services Minister LisaMacLeodhas said the province has a "broken social service system."