Following a wave of Sacramento proposals in March to send money back to Californians, a rebate check could still be made in nearly five months, according to plans encouraged by lawmakers, Governor Gavin Newsom warned, claiming his controversial plan linking Financial relief with car ownership is the fastest alternative to returning money to wallets.
In a recent interview with the editorial board of the Bay Area News Group, Newsom criticized the Democratic leadership of California for outlining plan that would transfer $ 8 billion through the franchise tax council, which he said could add months to the recovery schedule. According to this proposal, taxpayers do up to $ 125,000 you will see $ 200 checks with an additional $ 200 for each child or other dependent.
“The FTB can’t get the money fast because it’s in the middle of a tax refund season,” Newsham said, adding that the refund would begin in late September and could continue until next spring. “My feeling was that people might get a little cranky about it. They may want a little faster relief. “
The debate between Democrats – who have a super-majority in the legislature – over how to relieve Californians at the gas station has dragged on for weeks as gas prices have remained well above $ 5 a gallon for the past two months. The Democratic leadership and the governor continue to argue over whether the money should go to all residents at all income levels, as Newsham suggested, or go to people in greater need.
News is there suggested $ 400 for every vehicle the Californians own, closed at $ 800 for two vehicles, a total of $ 11 billion in discounts. According to the Newsom plan, the Ministry of Motor Vehicles, not the Franchise Tax Council, will be responsible for distributing debit cards that could start entering mailboxes “earlier in the summer,” the governor said.
Newsom said the two-vehicle discount ceiling would prevent “23 Teslas people” from taking advantage of the state’s generosity. But Newsham said the rebate should include higher-income earners who were excluded from the previous incentive check, which was limited to people earning $ 75,000 or less.
“We want to admit that the middle class felt a little abandoned by the latter,” Newsham said.
The governor also called for a public transport grant as part of his proposal to allow transit agencies to provide free travel for three months.
Negotiations between key lawmakers and the governor are taking place ahead of the long-awaited budget revision in May next week. The revision will provide an updated picture of how much money the state has and how Newsom wants to spend it before all countries have to finalize their budgets in June.
According to the latest data, Golden State is now expected to have a boom $ 68 billion surplus. And in 1979 cost ceiling requires Sacramento to send some of this money back to taxpayers or spend it on selected categories, including education and infrastructure.
In a brief statement to Bay Area News Group, Senate President Pro Tem Tony Atkins and Speaker Anthony Randon said they were working to provide taxpayers with quick financial relief, although they did not address News’s criticism directly.
“From the first talks on this issue, it was clear that the legislature wants to help as many people as possible as quickly as possible,” Democrat leaders said.
Scott Graves, research director at the California Budget and Policy Center, an organization that advocates for low-income residents, said Newsum shouldn’t look at DMV’s cumbersome bureaucracy when the state already relies on the Franchise Tax Council to direct billions. dollars in family relief payments.
“Let’s not rediscover the wheel,” Graves said. “Let’s use a proven path that we used last year to effectively bring out the money the Californians really need.
The average price per gallon regularly in California exceeded $ 5.76 on Thursday and was even higher in the Gulf region. Despite gas relief checks, drivers should expect to pay about 3 cents more per gallon on July 1 due to the inflationary increase in the gas tax, which is currently fixed at 51 cents per gallon. Newsom tried to pause the increase, but last week the legislature failed to meet the deadline.
Republicans, who are a small minority in the legislature, have called for immediate relief by suspending the entire 51-cent state gas tax. Democrat leaders rejected the proposal, saying it would cut funding for road improvements and benefit oil companies, but last week a small group of two-party lawmakers also called on the state to suspend the gas tax for 12 months.
Among them is MP Koti Petri-Norris, a Democrat who struggled to win her Orange County in 2020. Petri-Norris also proposed a $ 400 aid plan in March.
“Everyone is in pain at the pump. “I think it’s appropriate for us to give a comprehensive gas discount to Californians,” Petri-Norris said, adding that “a key source of division at the moment” is whether to direct funds to lower-income groups in the state.
Dan Schnur, a professor of politics at USC and UC Berkeley, said the talks address difficult issues on how to prioritize relieving drivers who feel the sting of gas increases while not changing lawmakers’ climate goals.
“Gasoline is not the only thing that is getting more expensive. But we don’t pass big signs that remind us how expensive bread, milk or rent have become, “Schnur said. “Voters are more inclined to petrol prices than to other impacts, so it’s no surprise that Newsom wants to address their biggest concerns.