Stimulus Check Update: California Unveils Sweeping $9.6 Billion Relief Plan

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California Gov. Gavin Newsom on Wednesday announced a new coronavirus stimulus plan that will be expedited for legislative approval next week. 

The $9.6 billion Golden State stimulus package reportedly includes provisions for child-care assistance, state personal checks, aid grant for small business and other key points. The bill is was made possible by the state’s tax revenue collections. 

$600 state stimulus checks

The state of California will be sending out one-time $600 checks to households. The plan will give payments to residents who received the state’s earned income tax credit for 2020. Taxpayers with individual tax identifications numbers that did not receive the federal stimulus payments and whose income is below $75,000 would also receive the $600 checks. 

Undocumented immigrants who file tax forms and ITIN taxpayers who qualify for the California earned income tax credit are expected to receive $1,200 checks. 

$2.1 billion in relief aid for small businesses

The “Golden State stimulus” package also includes provisions for a round of grants for small businesses. The measure builds on a $500-million program that provided financial help to local business since December 2020. 

Small business owners will be exempted from the first $150,000 of expenses paid by the federal Paycheck Protection Program. The tax relief would also include approximately $116 million in fee waivers for two years for service industries heavily affected by the coronavirus pandemic. 

Other key provisions

  • Low-income students with six or more units at the state’s community colleges will receive emergency financial aid
  • The Housing for Harvest program will also receive $24 million to help provide financial aid and service to agricultural workers
  • California will allocate $35 million for food banks and diapers
  • $6 million for application assistance to students from several universities and colleges across the state. The students must be eligible for CalFresh.

Danielle Joyce Ong

Danielle is a local journalist with a passion for exploring stories related to crime and politics. When Danielle isn't busy writing or reading, she is usually exploring the great outdoors and all the hiking trails in the Bay.