Governor Newsom Proposes New California COVID Relief

Housing and utility relief

Newsom has proposed expanding the state’s rent relief program to pay 100% of back rent accrued during much of the pandemic as well as some months of future rent for low-income tenants as long as money is available. The state has begun paying a portion of back rent if landlords agree to waive some of the money owed.

The governor’s budget also calls for providing $2 billion to pay past-due water, electricity and gas utility bills for low-income residents.

Business assistance

Lawmakers are also considering a plan to make available state grants of up to $25,000 for thousands of additional small businesses, expanding a previously approved competitive program providing such assistance. The plan would add an additional $1.5 billion for a total of $4 billion in direct grants to California’s small businesses.

Stimulus and other direct payments

Under the new proposal, the state would provide $600 stimulus checks in the form of tax rebates for Californians who make up to $75,000 annually. Qualified families with dependents, including families living in the U.S. without legal immigration status, will be eligible for an additional $500. The plan would boost the tax rebates program by $8.1 billion to nearly $12 billion, helping two-thirds of Californians.

In addition, new grants totaling $1 billion would be made to workers who lost their jobs during the pandemic so they can go back to school or start their own businesses.