News Scrap

New York City has announced it will no longer issue food vouchers to migrant families, ending a pilot program that has faced criticism and scrutiny from some groups, including conservatives. The program provided prepaid debit cards to families staying in city-funded hotels, allowing them to purchase their own food and baby supplies.

“As we move towards more competitive contracting for asylum seeker programs, we have chosen not to renew the emergency contract for this pilot program once the one-year term concludes,” the office of Mayor Eric Adams said in a statement.

Launched as a cost-saving measure, the initiative replaced a boxed-meal delivery service that city officials said was both costly and unwanted by some migrants. The program, which distributed $3.2 million in prepaid debit cards to around 2,600 families since late March, reportedly cost half as much as the service it replaced. Families of four received approximately $350 per week to spend on food and baby necessities.

The program was managed by financial technology firm Mobility Capital Finance, or MoCaFi, under a no-bid, emergency contract worth $400,000. Mayor Adams did not specify the reasons for ending the voucher system, but the move coincides with City Comptroller Brad Lander’s revocation of the city’s ability to enter into emergency deals for migrant services.

The end of the program comes as New York City faces an ongoing migrant crisis, with about 700 asylum seekers arriving weekly while around 1,000 leave the city during the same period. The shift away from food vouchers is part of the city’s evolving approach to addressing the needs of thousands of migrants seeking asylum in New York.