DAP Health ‘clears the air’ about troubled guaranteed income pilot program
DAP Health — a nonprofit organization that provides primary care, behavioral and dental services — says only a fraction remains of the original $700,000 provided by the city of Palm Springs for a guaranteed income program that is the subject of a criminal investigation by the Riverside County District Attorney’s Office.
The health care service provider, in an extensive statement released Thursday, described its efforts to take over the pilot from the embattled Queer Works organization, a nonprofit offering free mental health programs to transgender and gender-diverse individuals that was relatively unknown prior to its work with the city.
DAP Health’s main campus is located at North Sunrise Way in Palm Springs.
The organization provided a timeline of events, from the moment the city invited DAP to participate in October 2021, to just a few weeks ago, when DAP was asked to abruptly take control following the departure of Queer Works.
“The first three days were pretty crazy, but we got through it and now, I’ve been able to speak to almost every single person over the phone,” DAP’s Chief Transformation Officer CJ Tobe said about the transition of the program from Queer Works to DAP. “We essentially did not know the current state of the program.”
How we got here: A timeline of the UBI program
DAP assumed full control of the guaranteed income pilot program on July 12 after the city became aware of allegations Queer Works had misappropriated funds. But that wasn’t DAP’s first involvement.
When the program was first conceived in 2022, the city had allocated $700,000 to both Queer Works and DAP in the hopes that it would allow the nonprofits to secure state funding allowing 30 residents to receive $800 monthly stipends for 18 months. The pilot program would allow research to be conducted on the impacts of universal basic income, a concept by which the government would provide regular payments to individuals to replace certain social services.
According to DAP’s statement, the nonprofit’s participation ceased after state funding could not be secured. From April to October of 2022, DAP worked with Queer Works to design varying elements of the program.
In October, the city reached an agreement with Queer Works, ending DAP’s “official role” in the guaranteed income program despite DAP having offered to be the financial manager of the program, according to the statement.
“DAP had no insight into either the prior financial administration of the UBI program or Queer Works’ internal use of funds,” the organization said in the statement.
The city of Palm Springs declined to comment for this story.
What happens now?
The circumstances surrounding Queer Works handling of the program remain elusive.
The city has asserted that once officials learned of allegations that Queer Works CEO Jacob Rostovsky had allegedly misused funds, senior staff performed a full audit. The city has said Rostovsky cannot provide a full accounting of where the money went.
Program participants have described months of delayed payments and have said they received conflicting information from Queer Works about when the program would begin throughout 2023. Some of the participants took out loans due to the delayed start.
DAP says only $30,000 of the original sum has been recovered.
They hope an investigation by the county DA’s Office turns up more, but say they are committed to continuing the program for the 14 remaining participants using funds money from its own general operating fund.
“It’s just something this organization does,” Tobe said. “When there is an unmet need, when there is a crisis, this organization is going to respond with everything that it has to make sure those vulnerable people are cared for.”
He described the program as running adequately since it has been taken over by DAP. Payments have been going out on time and a system has been established to study purchasing trends throughout the duration of the pilot.
The city has yet to release a specific timeline of events, saying in a previous statement the sensitive nature of the DA’s investigation precludes further comment.
“The proper administration of city funds is of paramount importance to Palm Springs, and the city is prepared and taking all steps necessary to ensure proper management and use of taxpayer funds,” the city said previously.
For now, DAP says they are focused on the smooth administration of the program, ensuring participants have an improved experience.
“We believe DAP Health’s involvement in the Palm Springs UBI pilot program highlights its dedication to health equity, transparency, and community empowerment,” the organization said in the statement.
Sam Morgen covers the city of Palm Springs for The Desert Sun. Reach him at [email protected].
This article originally appeared on Palm Springs Desert Sun: DAP Health ‘clears the air’ about troubled guaranteed income program
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