Governor Gavin Newsom announced his 2021-2022 budget proposal on Friday, which includes funding for immediate COVID-19 relief and response. The $227.2 billion fiscal blueprint prioritizes economic relief for small businesses, vaccine distribution, homelessness relief and protections and the reignition of Cal-AIM.
According to the budget proposal, California’s revenue only slowed moderately, compared to other states, due to the progressive tax structure of the state. The state also expects capital gains to continue to accrue due to the rebounding stock market. “In these darkest moments of the COVID-19 pandemic, this budget will help Californians with urgent action to address our immediate challenges and build towards our recovery,” Newson said. “As always, our budget is built on our core California values of inclusion, economic growth and a brighter future for all. The budget makes progress towards the goal I set when taking office to harness California’s spirit of innovation and resilience and put the California Dream within reach of more Californians. I look forward to working with the Legislature to enact these critical immediate and longer-term priorities for our state for the 40 million who call the Golden State home.”