The centerpiece of the operating budget crafted by Democrats is $17 billion in new spending aimed at providing relief for the soaring inflation that has made most things more expensive.
Members of the California state Assembly meet at the Capitol in Sacramento, Calif., Monday, June 20, 2022.
About 23 million people will get cash payments of between $200 and $1,050 to help pay for gas, which averaged more than $6.30 per gallon in California on Tuesday. How much people get will depend on how much they make. Only couples who make below $500,000 per year and single people who make below $250,000 per year will be eligible.
Meanwhile, the state sales tax on gasoline, the second-highest in the nation at 51.1 cents per gallon, will go up nearly another 3 cents on Friday, part of an annual recalculation to keep up with inflation. Republicans have tried in vain to convince Democrats to suspend the sales tax for one year, arguing it would benefit taxpayers faster than a rebate check.
The budget also commits to making California the first state to provide free health care for all low-income adults regardless of their immigration status. California's Medicaid program already covers people 50 and older and 26 and younger who are living in the country illegally. The new spending plan will include everyone else, at a cost of about $2.6 billion per year once fully implemented.
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