$569 Billion in Reparations: Newsom’s Stunt Move Ended Badly

After conducting months of research, the Task Force of California Reparations reported the state owes a total of $569 billion in housing reparations for black residents whose relatives settled in America from 1933 to 1977.

Newsom Created Reparations Task Force Back in 2020

The task force, which was created by legislation signed by Democratic Governor Gavin Newsom back in 2020, included nine members.

Each of these members has been traveling the state for months, collecting data and conducting interviews in order to evaluate the long-term consequences of slavery.

The panel, comprised of nine members, plans to publish the full report to lawmakers in Sacramento next year.

It will report in detail state-level recommended reparations. The group is hoping that their efforts minimize the gap in wealth between white and black residents in California.

The preliminary report of the task force in 2022 also analyzed potential areas for compensation, including mass incarceration, housing discrimination, devaluation of black businesses, unjust property seizures, and health care.

Back in March, the task force assessed that those who were qualified to receive the compensation include residents in California who are the offspring of enslaved African-Americans.

According to the most recent survey made by the Federal Reserve Board, in the United States, the median wealth of black households is $24,100, compared to the $188,200 median wealth of white households.

The task force accused the wealth gap of being caused by racist housing covenants and redlining, both of which segregated African-American residents of California from the 1950s up to the 1960s.

The panel likewise concluded that African-American residents of California are owed $569 billion or at least $223,200 each just from housing discrimination.

$569 Billion Reparation is the Most Expensive Reparation Effort in Recent History

Accordingly, the task force is still assessing how the reparations will be allocated to individuals who are eligible. Nevertheless, members were already considering whether these reparations should be distributed in the form of housing grants, tuition, or direct cash payments.

Although the $569 billion reparation might be the most extensive reparation effort in the United States’ recent history, the task force panel could only provide recommendations to lawmakers of the state.

It will still be up to the California legislators to assess whether they should act on these recommendations and assess the options that they have to fund them.

Jovan Scott Lewis, a member of the Reparations Task Force and a professor from the University of California, stated they are looking at it as the largest reparation since the Reconstruction Era.

He likewise acknowledged the fact that it is up to lawmakers to decide whether or not they should grant this reparation or how it will be distributed. Lewis added that is why they should present a robust plan with a variety of options.