Governor’s Proposed Budget 2021-22 -- Covid 19 Response(s)
California had early success in holding the Covid pandemic at bay. Then during November through this January, it lost control of the spread of the disease; many got sick and many died as the disease skyrocketed, particularly in Los Angeles and Southern California.
The state of California spent $8.5 billion during 2020 and expects to spend nearly $13 billion in the coming year.
· California spent $4.3 billion on buying masks and other PPE last year; it expects to spend a billion less in the coming year.
· California spent $1.3 billion on hospital and medical surge capacity last year; it expects to spend $1 billion next year.
· California spent $590 million on Covid in state hospitals and prisons last year; it expects to spend $2.5 billion next year.
· California spent $527 million on Covid testing last year and expects to spend $2.5 billion in the coming year.
· California spent $173 million on Covid tracing last year and expects to spend $646 million in the coming year.
· California spent $0 million on Covid vaccine distribution last year and expects to spend $372 million in the coming year.
· California spent $638 million on food banks, support for small businesses, shelter for the homeless, meals for seniors last year and expects to spend $1.8 billion in the coming year.
· California spent $507 million on housing health care workers in hotels and motels after their shifts to reduce the incidence of family infections last year and expects to spend $368 million in the coming year.
The state of California received $9.5 billion from the federal government for the costs of Covid last year through the CARES Act and other federal Covid legislation. It allocated $4.4 billion for public schools, $1.3 billion for counties and $500 million for cities. $2.4 billion was or will be used to reimburse some of the state expenditures listed above.
Californians received $298 billion from the four federal Covid relief bills; as a result state personal incomes grew by 3.8%.
The Covid relief bill passed by Congress in December allocates $900 billion to the national economy, of which $100 billion will be coming to Californians in the form of unemployment insurance, economic relief checks of $600, rental and utility assistance, food aid, small business paycheck protection grants, funding for primary, secondary and higher education. Some highlights:
· Unemployment insurance -- $20 billion
· Economic relief checks -- $18 billion
· Rent, utility and mortgage assistance -- $2.6 billion
· Food assistance -- $1.3 billion
· Small businesses -- $45 billion
· Primary and secondary education -- $6.8 billion
· Higher education -- $2.9 billion.
Prepared by: Lucien Wulsin
Dated: 1/27/21