"I just watched it about 6 times, he appears to say "...I don't want to make lives, people's lives better by giving them others peoples money". Inserting the word 'black' before 'peoples lives better' would make little sense in the context of what he was saying, nor in an Iowa primary."
Yep. There's nothing that even remotely sounds like "black" in what he said- whatever word he was saying had an "i" in it ("life", "lives"?), and not an "a".
What it sounds like it “balite” or “palite.” Very clearly it was a stumble over the words “people’s lives.”