Mayor Eric Adams is ending his administration’s controversial program Providing prepaid debit cards to migrants in urban shelters To pay for groceries.
The pilot program distributed pre-loaded MasterCards to asylum seekers at shelters set up in hotels, with a family of four receiving about $350 per week to cover the cost of groceries and baby supplies.
The city hired Mobility Capital Finance, a New Jersey-based tech startup, on a one-year “emergency” contract worth $53 million, drawing a sharp reaction from the city. Failed to conduct a specific bidding process Before choosing a company.
But with one year soon to be completed, the Adams administration decided not to renew the contract, ABC7 reported.
“As we move toward more competitive contracting for asylum seeker programs, we have decided not to renew the emergency contract for this pilot program after the one-year term expires,” Adams’ office said in a statement to the station. Have decided to do.”
The city launched the program in late March after signing the contract two months earlier. According to ABC7, the city has since given out $3.2 million in prepaid debit cards for food to about 2,600 migrant families.
The purpose of the program was to cut costs and reduce food waste associated with the city’s canned food delivery service program. City officials said much of the canned food was thrown out, while migrants were allowed to choose what they wanted to eat, cutting down on wastage.
The Adams administration stated that the no-bid emergency contract was awarded to avoid delays in starting the cost-saving program.
City Comptroller Brad Lander has revoked the city’s ability to grant such deals for immigrant services.
The Adams administration did not give any reason Thursday for cutting the program.
A spokesman for the mayor did not immediately respond to a request for comment.
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