Gavin Newsom proposes $600 stimulus payments for two-thirds of California residents

Joanna Estrada
May 12, 2021

Newsom was initially praised for his handling of the pandemic but has come under growing criticism from some constituents - in particular small business owners - for keeping strict restrictions in place even as other parts of the United States reopened more quickly.

"California is not just back - California is roaring back", Mr. Newsom, a Democrat, said on Monday in a news conference in Oakland, where he appeared with the chairs of the state budget committees and ignored questions about the recall.

"We're staring down at what could be disastrous summer and fall, with the potential of communities running out [of] water, and fires", said Democratic U.S. Rep. Jim Costa, who was with Newsom at the announcement.

Several Republican lawmakers called Newsom's proposal the "recall refund", noting the governor announced the plan weeks after state officials confirmed the petition to recall him has enough valid signatures to go before voters.

Featured image: Drought Conditions Continue in Spring 2021, via NASA Earth Observatory.

"This time previous year, we announced a $54.3 billion projected shortfall".

The governor's proclamation directs the State Water Board to consider modifying requirements for reservoir releases and diversion limitations to conserve water upstream later in the year to maintain water supply, improve water quality and protect cold water pools for salmon and steelhead.

All households making up to $75,000 with at least one child, including immigrants who file taxes, would get an extra $500 payment.

"Today we are announcing a projected $75.7 billion budget surplus", added Newsom, governor of a state that is the world's fifth-largest economy. An estimated 80-percent of tax filers would receive the payment.

It's the second round of cash payments given by the state in response to the pandemic.

State law requires that taxpayers get a rebate when a budget surplus hits a certain size, which has only happened once in California in more than 40 years.

"I think it's awfully hard to convince people of anything these days", Mr. Sonenshein said.

Mr. Newsom's proposal was immediate grist for conservative recall candidates. Still, experts emphasized that many states - particularly those that rely heavily on tourism and sales tax revenue, like Hawaii and Nevada - have struggled financially.

Other reports by Click Lancashire

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