Edward Henderson | California Black Media-Posted: July 7, 2022
Around 23 million California residents will receive “inflation relief” checks of up to $1,050 soon. The aid is included in the new budget deal reached by state lawmakers and Gov. Gavin Newsom on Sunday, June 26th.
“California’s budget addresses the state’s most pressing needs, and prioritizes getting dollars back into the pockets of millions of Californians who are grappling with global inflation and rising prices of everything from gas to groceries,” said Newsom in a statement.
The checks are designed as tax refunds and will come from the state’s robust $97 billion budget surplus. The total state budget for the next fiscal year (2022-2023) is $308 billion.
The relief payments are based on income, tax-filing status and household size – similar to the stimulus checks sent to Americans by the federal government during the pandemic.
Single taxpayers who earn less than $75,000 a year and couples who file jointly and make less than $150,000 a year will receive $350 per taxpayer. Those with dependents will receive an additional $350 per child. For example, a couple that earns under $125,000 and has two children qualify for $350 per adult plus $350 for each additional child, up to a total check of $1,050.
Higher income Californians will receive smaller payments. Single taxpayers who make between $75,000 and $125,000 a year and couples who earn between $150,000 and $250,000 will receive $250, plus the same payment for each dependent, up to a maximum of $750 per family.
Single people who earn between $125,000 and $250,000 and couples who earn between $250,000 and $500,000 annually would receive $200 each, plus the same amount for their dependents. The maximum payment couples in that salary range will receive is $600 per family. Couples who earn above $500,000 and single taxpayers who earn above $250,000 aren’t eligible for the payments.
Checks will be sent via direct deposit or debit cards by late October.
“In the face of growing economic uncertainty, this budget invests in California’s values while further filling the state’s budget reserves and building in triggers for future state spending to ensure budget stability for years to come,” Newsom said. “In addition, California is doubling down in our response to the climate crisis – securing additional power-generating capacity for the summer, accelerating our clean energy future, expanding our ability to prepare for and respond to severe wildfires, extreme heat, and the continuing drought conditions that lie ahead.”
Other hot button issues addressed in the finalized budget include a $47 billion multi-year infrastructure and transportation package, $200 million in additional funding for reproductive health care services, and funding for education, universal preschool, children’s mental health and free school meals.
Not everyone was excited about the final negotiated version of the budget. Republicans complained
about the limited time they were given to review the package for input.
“Where is the information?” Sen. Jim Nielson (R-Yuba City) asked during the Senate Budget and Fiscal Review Committee’s brief hearing on Monday. “What are you afraid of?”
With over $580M in new funding, the budget confirms GO-Biz as a central player in supporting industries and businesses across the state, including $250M for COVID paid sick leave relief grants, $120M for CalCompetes grants, $75M for small business drought relief, and $30M for ports improvements.
CVV News-Posted: July 1, 2022Yesterday, Governor Gavin Newsom signed a $308 billion state budget that provides direct tax refunds for 23 million Californians to help address rising costs, tackles the state’s most pressing needs, builds our reserves, and invests in California’s future.
“In the face of new challenges and uncertainties, we’re providing over $17 billion in relief to help families make ends meet, and doubling down on our investments to keep building the California Dream on a strong fiscal foundation,” said Governor Newsom. “This budget invests in our core values at a pivotal moment, safeguarding women’s right to choose, expanding health care access to all and supporting the most vulnerable among us while shoring up our future with funds to combat the climate crisis, bolster our energy grid, transform our schools and protect communities. Building a better future for all, we’ll continue to model what progressive and responsible governance can look like, the California way.”
Amid record rates of inflation and economic uncertainty on the horizon, the budget continues to build resiliency with $37.2 billion in budgetary reserves and 93 percent of the discretionary surplus allocated for one-time projects.
The 2022 Budget Act provides GO-Biz with more than $700M in total funding to support a wide range of businesses and promote statewide economic development. This includes more than $580M in new investments: