Nothing wrong with that. The government is severely bloated. Also nothing wrong with reducing or replacing horrid, administratively wasteful, degrading, stigmatized, means-tested social safety nets with UBI.
Yes. People who are on means-tested social safety nets are subject to these test which often make you feel degraded. They often make people fear they will lose their benefit. And in many cases they encourage people not to improve their lives (e.g. I better not take that part-time job, because then I will lose unemployment benefits.) It also creates an incentive to falsify information so that you can continue to receive said benefit.
UBI solves all that because it isn't means-tested, you just get it no matter what (Oh you improved your situation? You got a job, got healthy, etc. That's great! You will continue to get UBI.)