A break down of Gov. Newsom's relief package

California Governor Gavin Newsom put out a pandemic relief plan on Wednesday that would distribute $600 checks to people who make less than $30,000 a year.

Posted: Feb 18, 2021 7:17 PM
Updated: Feb 18, 2021 8:30 PM

CHICO, Calif. - California Governor Gavin Newsom put out a pandemic relief plan proposing an almost $10 billion COVID-19 relief aid package. 

Newsom said his plan would give one-time $600 checks to more than five and a half million people who make less than $30,000 a year. 

Some undocumented immigrants that were excluded from federal COVID-19 relief payments would also get a check. 

If you got an Earned Income Tax Credit in 2020 you would also get a $600 check.

One woman said this is helpful but thinks businesses need to open back up to really move forward. 

"I think it is great he is trying to help people but I think everyone needs help, especially small businesses," Katie Volpi said. "I think if he really wanted to help everybody he would just open the state." 

People without a Social Security Number, but who have Individual Tax Identification Numbers, make less than $75,000 a year, and did not qualify for the federal relief checks would also get $600 boosted to $1,200. That is if they qualify for the California Income Tax Credit. 

The state is still working out the timing of when you might see a check.

Governor Gavin Newsom's pitch also has grants for struggling businesses.

Under this new plan, more than 750,000 small businesses in California would be able to deduct about $150,000 in loans they received under the Paycheck Protection Plan.

This also applies to firms that received Economic Injury Disaster Loans.

One member of Chico's Downtown Business Association said he is glad businesses are getting help, but they still need to open. 

"Ultimately they are all band-aids to a wound that is not ogling to heal until all the businesses are back in business and operating fully," David Halimi said. "The government can push the wheel of the economy but in order to keep it turning all of the businesses, retail, restaurant services need to be back working full time." 

Halimi believes taxpayers will end up paying the price. 

Another part of the plan is about 59,000 restaurants and bars would not have to pay license fees for two years. 

Also, more than 600,000 barbering and cosmetology workers and businesses would also have their license fees waived. 

The plan also targets childcare for state-subsidized child care and preschool providers.

The plan would add just over $400 million to provide stipends of $525 per enrolled child.

This covers some 400,000 children in subsidized care statewide. 

The plan will extend childcare of essential workers kids through June of 2022, and funds increased access to subsidized child care for more than 8,000 children of essential workers and at-risk children – who are not currently served in the system.

To see the full press release of the plan click here

Lawmakers are planning to vote on this relief package quickly. 

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