ST. LOUIS — A restraining order has paused the St. Louis Guaranteed Basic Income Project. A lawsuit said that the program violates both the Missouri State Constitution and the St. Louis City Charter.
“The City of St. Louis will follow the judge’s order,” states St. Louis Mayor Tishaura O. Jones. “We are exploring our legal options, and my administration continues to find every avenue possible to support the families of St. Louis City.”
The City of St. Louis launched the GBI program late last year in efforts to help hundreds of poverty-stricken families through a series of monthly $500 payments. The program is federally funded through the American Rescue Plan Act.
The Missouri Circuit Court for the City of St. Louis reviewed the motions seeking a Temporary Restraining Order against the City of St. Louis. The court determined that the plaintiffs met the burden for a TRO, finding that without it, immediate and irreparable injury, such as the loss of $220,000 in payments to GBI Project participants, would occur.
The court noted that these funds, once disbursed, would be nearly impossible to recover. The court also recognized that halting the distribution of funds would serve the public interest until the legality of the ordinance could be thoroughly examined.
The City of St. Louis is being ordered to stop any deposits into financial institutions for the GBI Project. The institutions will also cease adding funds to debit cards issued to project participants. A bond of $10,000 was set for the plaintiffs, with the order to expire in fifteen days.
