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How a Michigan program that gives new mothers cash could be a model for rest of US

ABC News's profile
Original Story by ABC News
July 31, 2025
How a Michigan program that gives new mothers cash could be a model for rest of US

Context:

In Michigan, a bipartisan initiative called Rx Kids is providing pregnant women and new mothers with up to $7,500 in cash to help alleviate the high costs associated with parenting. This program does not impose income requirements or stipulations on how the money is spent, aiming to reduce stigma and barriers to access. It currently operates in several Michigan locations with plans to expand further, supported by a mix of state, local, and philanthropic funding. The program seeks to address the economic vulnerability of new parents during a critical developmental period for their babies. Advocates hope similar programs will be adopted nationwide, although statewide expansion in Michigan faces legislative challenges due to budget constraints.

Dive Deeper:

  • The Rx Kids program in Michigan provides pregnant women and new mothers with financial support, distributing up to $7,500 over the first year of their child's life without any income requirements or spending restrictions, to assist with high parenting costs.

  • Launched in 2024, the program is backed by various funding sources including state, local, and philanthropic contributions, and aims to reduce the economic vulnerability of parents during the critical early months of a child's life.

  • Eligibility for the program is simple and only requires proof of residence in a participating area and pregnancy, intentionally minimizing barriers and stigma for potential recipients.

  • The program has been well-received with nearly all eligible mothers in Flint participating, and expansion plans include additional areas in Michigan, although full statewide rollout is hindered by legislative budget limitations.

  • Supporters from across the political spectrum view the program as a potential model for addressing declining birth rates and high child care costs in the U.S., advocating for a focus on immediate relief for families rather than long-term savings or tax credits.

  • Dr. Mona Hanna, the program's founding director, highlights the importance of supporting new parents during the initial months after childbirth, as it is a time of significant economic stress and developmental importance for children.

  • Despite its success, the program's long-term sustainability relies on transitioning from philanthropic to government funding, a goal that faces current political and financial challenges in Michigan's divided legislature.

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