California Democratic Gov. Gavin Newsom said Sunday federal aid for coronavirus-stricken states is not “charity” or a handout.
In an interview on CNN’s “State of the Union,” Newsom pushed back on resistance of President Donald Trump and GOP leaders on Capitol Hill to offer financial help to Democratic states that are reeling from the expenses of lockdowns and health care to deal with the ravages of COVID-19.
“It's not charity,” Newsom said. “A year ago, we were running a $21.5 billion surplus. And here we are at $54.3 billion budget deficit that is directly COVID-induced.”
“We have been managing our budget effectively, efficiently, paying down our long term pension obligations,” he continued. “We had a bond rating that went up twice last year — the highest in decades. So we're not looking for charity. We're not looking for handouts.
“Social responsibility at a time when states, not just California, large and small, all across this country, cities and counties, large and small, all across this country, are facing unprecedented budgetary stress. It is incumbent upon the federal government to help support these states through this difficult time.”
Newsom praised his state’s fiscal responsibility pre-pandemic.
“Just a few months ago, I introduced my January budget, but with, again, a projected surplus,” he said. “We paid off 100% of our debt we had inherited over seven or eight years ago. We were using $9.13 billion of the surplus last year to pay down long term pension obligations… operating accounts of this state… were never healthier, the reserves never higher.”
The massive deficit now, he said, “is a direct result of a global pandemic, manifesting in different ways across this world, and across this country.”
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