July 23, 2021
Weideman Group Weekly
In a campaign style tour around the state, Governor Newsom has been highlighting a series of budget investments he inked in the last few weeks. Among the expenditures are a $12 billion package for homelessness and a $6 billion broadband investment focused on bringing internet to underserved and rural communities. These measures are part of the Governor’s California Comeback Plan, a proposal to invest $100 billion in California as the state emerges from COVID-19 and the recession.
The Field is Set
Secretary of State Dr. Shirley Weber has released the list of qualified candidates for the September 14 recall election. A total of 46 candidates are vying to replace Governor Newsom. The Governor avoided a high-profile Democrat entering the race, which should increase his odds of success. That combined with an immense fundraising advantage put the Governor in a strong position going into the election. The biggest things keeping Newsom up at night are the Delta variant, reimposition of mask mandates and a slow down in the economy.
COVID on the Rise
California, and the nation, are seeing an uptick in COVID-19 cases, primarily due to the Delta variant spreading among the unvaccinated population. This increase has prompted several counties to reinstate guidelines or mandates requiring all individuals to wear masks. The state and federal governments have not updated their mask guidelines and instead are continuing to encourage all people to get vaccinated to help slow the spread of the disease.
The California Department of Finance has released their most recent finance bulletin showing state revenues have exceeded projections yet again. The state has closed out the fiscal year nearly $4.8 billion above the revenue forecast, and receipts for the month of May were $1.4 billion above the 2021-22 May Revision forecast of $18.847 billion.