Google.org has announced that it is allocating $10 million over the next three years and providing pro bono support to select Bay Area nonprofits to test the impact of cash transfers on housing stability for community members experiencing homelessness.

Part of the organization’s 2019 commitment of $50 million to address homelessness in the Bay Area, the funding will go toward direct cash support, infrastructure for nonprofits, and randomized impact evaluation to study how best to assist in providing stable housing.

With cash transfers, money is directly provided to people to spend on things such as rent, medical expenses, food, or other day-to-day expenses. Google.org has been a longtime supporter of cash transfers, having distributed more than $31 million globally to help over 235,000 households improve their financial resilience and weather economic uncertainty. Moreover, research has shown enabling recipients to decide how to spend their money leads to increases in economic and psychological well-being, physical health, and household purchasing power.

There is little to no research, however, of the effect of cash transfers on a demographic like Bay Area homeless communities. To better understand the impact, Google.org is supporting the Abdul Latif Jameel Poverty Action Lab (J-PAL) in partnering with several leading homeless service providers in the Bay Area. Through the Bay Area Evaluation Incubator, providers are building their capacity to design and implement randomized evaluations of cash transfer programs. In addition, Google.org will support cash transfer pilots conducted by Bay Area Community Services and the University of California San Francisco; Chapin Hall, in partnership with Point Source Youth and Larkin Street Youth Services; and Miracle Messages, in partnership with the University of Southern California.

“As we provide funding, we’re evaluating impact to determine the most effective cash transfer delivery models and programs for reducing homelessness,” Google.org Bay Area giving manager Adrian Schurr wrote in a blog post. “It’s our hope these grants will not only help individuals and families experiencing housing insecurity, but also expand the evidence base around the effectiveness of cash transfer programs, particularly in high-income communities like the Bay Area.”

(Photo credit: Getty Images)