New $600 stimulus checks and a potential bonus $500 to be sent out as part of California Comeback Plan

CALIFORNIA residents are getting another $600 in the mail after state leaders approved a $100 billion plan to send out new stimulus checks.

Governor Gavin Newsom signed the legislation on July 12 that would offer stimulus checks, rent relief, and grants for struggling businesses.

Dubbed the "California Comeback Plan," the $100 billion will come out of the state's 2021-2022 budget agreement, which is aimed at boosting the state's economic recovery during the pandemic.

It is estimated two out of every three Californians will receive the "Golden State Stimulus check" for $600, which will become the biggest state tax rebate in American history.

Qualified families with children will also receive an additional $500.

The plan will create "the biggest state tax rebate in American history and the largest small business relief package in the nation," Newsom's office said.

The governor claimed the legislation will bee partially funded by a "surge in state revenue" in addition to federal recovery funds and a growing economy.

California has the highest progressive income tax in the country, meaning the higher the income, the higher the tax.

The economic recovery from the pandemic meant more higher earners got to work much faster than their lower-earning counterparts.

This means the state earned high taxes than what was expected.

Newsom said this has brought together a $75.7 billion surplus amount, which he said the state intends on using to stimulate the economy with even more stimuli.

He added that "the budget is built on a strong fiscal foundation that includes over $25 billion in reserves, pays off educational deferrals and continues to pay down long-term retirement debts."