Sign up for our daily briefing

Make your busy days simpler with Axios AM/PM. Catch up on what's new and why it matters in just 5 minutes.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on the day's biggest business stories

Subscribe to Axios Closer for insights into the day’s business news and trends and why they matter

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Stay on top of the latest market trends

Subscribe to Axios Markets for the latest market trends and economic insights. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sports news worthy of your time

Binge on the stats and stories that drive the sports world with Axios Sports. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tech news worthy of your time

Get our smart take on technology from the Valley and D.C. with Axios Login. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Get the inside stories

Get an insider's guide to the new White House with Axios Sneak Peek. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Denver news?

Get a daily digest of the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Des Moines news?

Get a daily digest of the most important stories affecting your hometown with Axios Des Moines

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Twin Cities news?

Get a daily digest of the most important stories affecting your hometown with Axios Twin Cities

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Tampa Bay news?

Get a daily digest of the most important stories affecting your hometown with Axios Tampa Bay

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Charlotte news?

Get a daily digest of the most important stories affecting your hometown with Axios Charlotte

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sign up for Axios NW Arkansas

Stay up-to-date on the most important and interesting stories affecting NW Arkansas, authored by local reporters

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

The California State Capitol building in Sacramento. Photo: David Paul Morris/Bloomberg via Getty Images

California lawmakers on Thursday approved a state-funded guaranteed income plan to distribute $35 million in monthly cash payments to eligible pregnant people and young adults who recently left foster care.

Why it matters: California is the first state to approve such a program. It could serve as a template for other state governments as guaranteed income gains traction across the U.S.

Driving the news: California Gov. Gavin Newsom (D) announced in mid-May he would include a carve-out in the state budget to help pay for local governments to launch their own guaranteed income pilots to help low-income families.

  • The plan, included in a bill related to the budget, was approved unanimously in both chambers of the legislature in a clear showing of bipartisan support. It now goes to Newsom's desk.

How it works: The plan will be taxpayer funded.

  • Local governments and organizations that run programs to help pregnant people and youth aging out of foster care will be able to apply for funding, and California's Department of Social Services will decide who gets the money, according to AP.

The big picture: Guaranteed income programs have been proliferating in cities across the country, including New Orleans, Denver and Los Angeles.

  • Michael Tubbs, former mayor of Stockton, California, in 2017 launched a guaranteed income program that proved to be "monumental," he told Vox. He noted that California’s investment marks “the largest commitment of recurring cash in a state budget — and the first time a state has ever supported guaranteed income pilot funding,” per Vox.
  • A March 2021 report of the Stockton program's first year found that guaranteed income helped recipients pay for necessities such as rent and child care, but also reduced depression and anxiety and helped recipients find or change jobs.
  • "We found our folks spent money on food and utilities and rent and things of that sort, and not on frivolous expenses," Tubbs told Axios in December. "We've also found that people are healthier" because they have less stress.
  • "There's a lot of dignity in having these dollars at your disposal, so that you can decide what is best for you and your family," Providence Mayor Jorge Elorza told Axios last winter.

Of note: Unlike other government assistance programs, which typically come with strict guidelines for how recipients can spend the money, guaranteed income programs don't come with any rules about how the funds may be used, per AP.

  • "It changes the philosophy from ‘big brother government knows what’s best for you,’" state Sen. Dave Cortese (D) told AP about the program's lack of strict spending rules.
  • Guaranteed income is also different from Universal Basic Income, another program that's gained popularity in recent years. With UBI, all adults receive a set amount of money per month, CNBC explains.

Go deeper

Updated Sep 15, 2021 - Politics & Policy

California Gov. Newsom survives recall election

Photo: Justin Sullivan/Getty Images

California Gov. Gavin Newsom (D) defeated a Republican-backed effort to remove him, AP projected on Tuesday night.

Why it matters, via Axios' Margaret Talev: Tuesday's results highlight the limits of Republicans trying to use Trump tactics in a deeply Democratic state.

Sep 16, 2021 - Politics & Policy

White House fights for extra IRS funding

Illustration: Sarah Grillo/Axios

The Biden administration is aggressively defending its plan to invest $80 billion in the IRS to bring in an estimated $700 billion in new revenue, a memo obtained by Axios shows.

Why it matters: President Biden and his team view tax enforcement as one of the most politically palatable ways to help pay for their new spending plans, from universal preschool to free community college — especially in light of Republican criticism.

Sep 16, 2021 - Axios Denver

Denver’s 2022 budget bounces back despite pandemic

Source: The City and County of Denver; Chart: Alayna Alvarez/Axios

The proposed $1.49 billion budget Mayor Michael Hancock unveiled Wednesday includes big bucks for public projects, recovery from cuts made this fiscal year, and investments addressing homelessness and preventing crime.

Between the lines: The suggested figures approach pre-pandemic levels, with revenue growth at $97.5 million, up 7% from 2021.