Golden State Stimulus Proposal Designed to Help Low-Wage Essential Workers

CA Capitol building

Governor Gavin Newsom today announced a major effort to increase assistance to low-wage Californians suffering economically from the impact of the pandemic.

The Golden State Stimulus proposal, which will be included in the Governor’s budget proposal to be released on Friday (1/8/21), uses the California Earned Income Tax Credit (CAL-EITC) program to send $600 to workers earning less than $30,000 per year.  The stimulus is in addition to the federal $600 sent to taxpayers.

“We are grateful to the Governor and his staff for recognizing the importance of CalEITC for our children and families,” said Ned Dolejsi, interim executive director of the California Catholic Conference.  “Both the federal and the California Earned Income Tax Credit has lifted hundreds of thousands of working families out of poverty.”

The EITC dates back to the administration of President Ronald Reagan and has been a continuous bi-partisan tool for helping workers whose wages still keep them near the poverty line.  California expanded the program last year to include undocumented workers who pay income taxes.  The California Catholic Conference has consistently advocated for needed expansion of the tax credit.

“We look forward to working with the Governor and his staff to help make the Golden State a more inclusive, prosperous and thriving California for all,” said Dolejsi.

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