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Governor Newsom announces new inflation relief package

Governor Gavin Newsom announced a proposed $18.1 billion inflation relief package on Thursday, that would put money back in Californian's pockets.

There were many components to the proposal which included:

  • $11.4 billion for tax refunds to help address inflation.
  • $2.7 billion for emergency rental assistance.
  • $1.4 billion to pay past-due utility bills.
  • $157 million to waive childcare fees for low-income families.
  • $750 million for grants to offer free public transit for up to three months.
  • $304 million to extend health insurance for middle-class families.
  • $439 million to pause the diesel sales tax.

The tax refunds would include sending $400 checks to every Californian who is a registered car owner. If someone owns two registered cars, they will receive double the money.

Governor Newsom also announced that the state will be raising its minimum wage to $15.50 per hour. This will go into effect on January 1, 2023. The increase comes as part of a California law that goes into effect when inflation exceeds 7%.

On Wednesday another proposal that amounted to $933 million included bonuses for hospital and skilled nursing facility workers. This would provide $1,500 to those who have been, "delivering care to the most acute patients during the COVID-19 pandemic and saved thousands of lives."

Right now the inflation relief package and healthcare proposal aren't final. The final budget needs to be approved by the Legislature and then signed by Governor Newsom.

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Crystal Jimenez

Crystal Jimenez is a new reporter who joined the KESQ News Channel 3 team in June 2021. Learn more about Crystal here.


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