FAQ

Frequently Asked Questions

Here are answers to some commonly asked questions about the Baltimore Baby Bonus Fund:

For any other questions or inquiries, please contact our team for assistance.

1) Who is eligible to receive the payment?

The Baltimore Baby Bonus is a universal benefit accessible to any Baltimore City resident upon the birth or adoption of a child.

2)Why not limit the Baby Bonus to low-income families?

Universal benefits remove administrative burdens that often prevent eligible families from receiving due benefits. Applying an income test would require city-wide income tax data collection, which could exclude the poorest families who often do not file income taxes. These families are already missing out on numerous federal and state programs, and we cannot risk leaving them behind further.

3) How much does the program cost?

The Baltimore Baby Bonus program proposes a minimum payment of $1,000 per baby, which would cost about $7 million annually, or 0.16 percent of the city's budget. For 2025, the projected budget for the program is $15 million, or 0.36 percent of the city budget, which would allow for payments of approximately $2,000 per eligible recipient.

4) Will this raise taxes?

No. Our amendment does not impact the tax code or raise property taxes. The funding comes from the existing city budget.

5) How is it paid for?

The funding for the Baltimore Baby Bonus will come from the city's general budget, which is $4.3 billion for 2024. Our Charter Amendment mandates that the City Council must allocate a specific amount towards the fund, equal to 0.03 percent of city property value. This funding structure is modeled exactly after the Children and Youth Fund, which passed as a Charter Amendment in 2016 and has legal standing.

6) Who is behind this initiative?

We are the Maryland Child Alliance, an advocacy organization fighting to reduce and eventually eliminate child poverty in the state of Maryland. We are a collection of teachers, public defenders, medical professionals, union organizers, parent advocates, and community members dedicated to improving the lives of Maryland children and families.

9) Does this comply with state and city law?

Yes, the Baltimore Baby Bonus Fund Charter Amendment complies with state and city law. It is modeled after the Children and Youth Fund, which was passed as a Charter Amendment in 2016 and has been in operation since then without legal challenge. In fact, Mayor Brandon Scott introduced the amendment as a city councilmember in 2015! To ensure legal precedent, we drafted key sections of the measure—Revenue Source, Continuing Nature of the Fund, and Implementation—as close to verbatim as possible, differing from the Children and Youth Fund only in programmatic uses.

For a detailed comparison of the two measures, see the table below, which highlights identical text.

11) How would this affect child poverty in Baltimore?

The Baltimore Baby Bonus is projected to lift approximately 50 babies out of poverty each year.

While more detailed estimates are not currently available for Baltimore, PolicyEngine projects that a nationwide version of the Baby Bonus would reduce infant poverty from 10.7 percent to 10.1 percent in 2024. This represents a 5.6 percent reduction in the infant poverty rate. While this may seem modest, it's important to note that this is achieved through a single, targeted intervention. The Baby Bonus is designed to provide immediate support during a critical time for families and can be combined with other anti-poverty measures for greater impact.

7) How will the money be distributed?

While the City Council will determine the specific administrative details, we envision a simple process where parents can choose between a direct bank deposit, a check, or a prepaid debit card. We are committed to ensuring that payments reach all eligible families, including those who are unbanked.

8) Is the Baby Bonus retroactive?

No, the Baby Bonus is not retroactive. However, the Maryland Child Alliance is also engaged in state-level lobbying to advocate for the expansion of the state's Child Tax Credit, which currently reaches only 1.5 percent of children.

10) How does this compare to a Guaranteed Income Pilot?

The Baltimore Baby Bonus differs from guaranteed income pilots, such as the one launched by Mayor Brandon Scott in 2022, in several ways:

Guaranteed vs. lottery: The Baby Bonus qualifies all new parents in Baltimore, while the 2022 pilot selected 200 young parents aged 18-24 by lottery.

Universal vs. means-tested: The Baby Bonus has no income test, while the 2022 pilot was restricted to those with income below 300% of the federal poverty line.

One-time vs. recurring: The Baby Bonus is a one-time payment, whereas the 2022 pilot provided monthly payments of $1,000 for 24 months.

Scale: The Baby Bonus aims to reach all new parents in Baltimore, benefiting thousands of families annually, while the 2022 pilot reached only 200 families.

Funding: The Baby Bonus is funded through a dedicated portion of the city budget, while the 2022 pilot used a combination of ARPA funds and private donations.

Duration: The Baby Bonus is a permanent program, while the 2022 pilot was set for 24 months.

Both initiatives share the goal of providing direct financial support to families and reducing poverty, but they differ in their approach and scope.

Fund Established; Provision of Payments

Baltimore Baby Bonus Fund

1. There is a continuing, nonlapsing Baltimore Baby Bonus Fund, to be used exclusively for the provision of Baby Bonus Payments to residents of Baltimore City.

Children and Youth Fund

1. There is a continuing, nonlapsing Baltimore City Children and Youth Fund, to be used exclusively for purposes of establishing new and augmenting existing programs for and services to the children and youth of this City.

Revenue Source

Baltimore Baby Bonus Fund

1. The Baltimore Baby Bonus Fund shall comprise:

a. A mandatory annual appropriation in the Ordinance of Estimates of an amount equal to at least $0.03 on every $100 of assessed or assessable value of all property in the City of Baltimore (except property exempt by law); and

b. Grants and donations made to the Fund.

Children and Youth Fund

1. The Children and Youth Fund shall comprise:

b. Grants and donations made to the Fund.

Continuing Nature of Fund

Baltimore Baby Bonus Fund

1. Notwithstanding any other provision of this Charter, unspent portions of the Baltimore Baby Bonus Fund:

a. Remain in the Fund, to be used exclusively for its specified purposes;

b. Do not revert to the general revenues of the City; and

c. Their appropriations do not lapse.

Children and Youth Fund

1. Notwithstanding any other provision of this Charter, unspent portions of the Baltimore Baby Bonus Fund:

a. Remain in the Fund, to be used exclusively for its specified purposes;

b. Do not revert to the general revenues of the City; and

c. Their appropriations do not lapse.

Implementation

Baltimore Baby Bonus Fund

1. By Ordinance, the Mayor and City Council shall provide for the oversight, governance, and administration of the Baltimore Baby Bonus Fund, including:

a. Methods and criteria for evaluating parental eligibility;

b. Methods and criteria for determining the logistical distribution of the Fund; and

c. The establishment of any other legislative or administrative rules, regulations, or standards, consistent with this section, governing the Fund, its operations, and programs and services funded by it.

Children and Youth Fund

1. By Ordinance, the Mayor and City Council shall provide for the oversight, governance, and administration of the Children and Youth Fund, including:

a. Methods and criteria for identifying specific program and services eligible for funding by the Fund;

b. Methods and criteria for allocating available funds among eligible programs and services; and

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