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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>Gov. Gavin Newsom unveiled his eighth and final \u003ca href=\"https://www.kqed.org/news/12083617/newsom-touts-dominance-of-california-in-final-budget-proposal\">budget proposal\u003c/a> today, with a possible presidential bid on the horizon and a crowded field of candidates jockeying to succeed him. His proposal is fully balanced, seeking to offset significant federal spending cuts, but does not introduce major new spending.\u003c/p>\n\u003cp>After opening with sharp criticism of the president’s agenda and promoting California’s economic strength, Newsom laid out several targeted proposals including help for Californians facing higher Affordable Care Act premiums and Medi-Cal cuts, tax relief for new businesses and increased funding for K-12 education and universities.\u003c/p>\n\u003cp>Marisa and Guy are joined by KFF Health News senior correspondent Angela Hart to unpack the details of Newsom’s plan and what it signals about his priorities in his last stretch as governor.\u003c/p>\n\u003cp>Check out \u003ca href=\"https://www.kqed.org/newsletters/political-breakdown\">Political Breakdown’s weekly newsletter\u003c/a>, delivered straight to your inbox.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cp>After eight years of wild swings between record surpluses and perilous shortfalls, Gov. \u003ca href=\"https://www.kqed.org/news/tag/gavin-newsom\">Gavin Newsom\u003c/a> touted a state of equilibrium on Thursday with his final \u003ca href=\"https://ebudget.ca.gov/budget/m/2026-27/BudgetSummary\">budget proposal\u003c/a>: a $350 billion, fully balanced spending plan that aims to backfill deep federal spending cuts but proposes no new programs and some spending reductions.\u003c/p>\n\u003cp>Newsom’s fiscal swan song comes as he gears up for a possible presidential run, as \u003ca href=\"https://www.kqed.org/voterguide/california/governor\">a crowded field of candidates\u003c/a> jockey to succeed him and as the state weathers ongoing attacks from the Trump administration.\u003c/p>\n\u003cp>But those federal cuts are offset in part by state revenues that came in $16.5 billion higher than the governor’s office projected in January, when Newsom released his initial spending plan. Income tax revenue was higher than expected and Silicon Valley stocks showed a strong performance, driving projected surplus for the next two fiscal years.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>That includes $4.5 billion in excess funds next year, as well as nearly $10 billion more Newsom wants to set aside in a savings account for use the following year.\u003c/p>\n\u003cp>“It shows the nature of the economy in the state, the nature of that growth engine,” he said, though he cautioned that the state’s revenue streams remain volatile. “It spikes from year to year, it collapses. When the nation gets a cold, we get the flu.”\u003c/p>\n\u003cp>\u003cspan style=\"font-weight: 400;\">In an unusual move, Newsom administration officials did not provide a clear projection of the surplus or deficit that the governor’s plan was solving for. Joe Stephenshaw, director of the Department of Finance, said he could not provide an “apples to apples” comparison with the $2.9 billion shortfall Newsom projected in his January budget.\u003c/span>\u003c/p>\n\u003cfigure id=\"attachment_12070222\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12070222\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/01/260116-NEWSOMLURIEPRESSER-06-BL-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/01/260116-NEWSOMLURIEPRESSER-06-BL-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/01/260116-NEWSOMLURIEPRESSER-06-BL-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/01/260116-NEWSOMLURIEPRESSER-06-BL-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Gov. Gavin Newsom and Mayor Daniel Lurie listen to speakers during a press conference at the Friendship House Association of American Indians in San Francisco on Jan. 16, 2026. Behind them stands a sculpture of Helen Waukazoo, the founder of the Friendship House Association of American Indians. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>In his revised proposal, Newsom unveiled new plans to help Californians facing higher Affordable Care Act premiums and Medi-Cal cuts, and to ease the tax burden on new businesses. He also proposed more money for K-12 education and universities, and a new $100 million fund to help homeowners rebuild after a natural disaster, including the January 2025 Los Angeles wildfires.\u003c/p>\n\u003cp>But Newsom resisted calls from fellow Democrats to raise taxes in order to offset federal cuts and rising health care costs, though he does want to cap the amount large corporations can claim on tax credits.\u003c/p>\n\u003cp>He used his opening remarks to attack the president’s agenda and to tout California’s economic strength in key economic areas, including manufacturing, agriculture, innovation and job creation.[aside postID=news_12069177 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2026/01/HJA_2939_SOTS_001-2000x1333.jpg']“Dominance. That’s the way to describe, in one word, the state of California. We simply have no peers. We are the tentpole of the American economy,” Newsom said, before launching into a series of slides to back up his point, including one featuring a picture of Fox News host Sean Hannity with the words “California Derangement Syndrome” plastered below.\u003c/p>\n\u003cp>He went on to slam Trump’s “illegal” tariffs, the president’s deep cuts to science and medical research grants and the economic effects of his deportation push and the war in Iran. Then he showed an AI-generated image of Trump and Treasury Secretary Scott Bessent superimposed as the characters in the movie “Dumb and Dumber.”\u003c/p>\n\u003cp>“I think this captures in so many respects the remarkable, remarkable work that these two have done and the impacts had on American people and the economy since they got into office,” he said sarcastically.\u003c/p>\n\u003cp>Republican leaders in the Legislature, though, were quick to slam the governor’s spending priorities.\u003c/p>\n\u003cp>“If there is truly a budget surplus, priorities should focus on providing things like real cost-of-living relief for Californians, fully funding Proposition 36, and paying off the federal unemployment insurance debt so job creators are no longer stuck paying for Newsom’s lack of leadership,” said Sen. Tony Strickland, R-Huntington Beach.\u003c/p>\n\u003ch2>Medi-Cal and health care\u003c/h2>\n\u003cp>Spending on Medi-Cal, the state’s health care safety net, is declining by $3.7 billion compared to the previous state budget. That’s in part a result of Trump’s plan to impose work requirements on Medi-Cal recipients — a move expected to reduce enrollment — but also due to cuts Newsom is proposing.\u003c/p>\n\u003cp>Newsom is proposing to implement an asset limit for seniors and disabled adults on Medi-Cal and increase the monthly premiums for undocumented adults on Medi-Cal, from $30 to $50. The change will apply to residents between the ages of 19 and 59, effective in 2027.\u003c/p>\n\u003cp>Federal rule changes under Trump are forcing California to change how it insures undocumented immigrants.\u003c/p>\n\u003cfigure id=\"attachment_12053886\" class=\"wp-caption aligncenter\" style=\"max-width: 1999px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12053886\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/08/HealthCareICECalMatters1.jpg\" alt=\"\" width=\"1999\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/08/HealthCareICECalMatters1.jpg 1999w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/08/HealthCareICECalMatters1-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/08/HealthCareICECalMatters1-1536x1025.jpg 1536w\" sizes=\"auto, (max-width: 1999px) 100vw, 1999px\">\u003cfigcaption class=\"wp-caption-text\">Protesters gather outside Glendale Memorial Hospital, where federal immigration agents wait for Milagro Solis Portillo to recover in Glendale, on July 17, 2025. \u003ccite>(J.W. Hendricks/NurPhoto via Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“No one has done better to address their anxiety and needs,” Newsom said of the state’s undocumented population.\u003c/p>\n\u003cp>But immigrant advocates immediately lashed out. California Pan-Ethnic Health Network executive director Kiran Savage-Sangwan called the Medi-Cal changes for undocumented “devastatingly cruel,” especially when considered alongside last year’s elimination of dental care for undocumented Medi-Cal recipients, and other fees the state began imposing based on immigration status in order to close a shortfall last year.\u003c/p>\n\u003cp>“In light of the state’s surge of revenues, continuing to advance these brutal cuts, despite a nine-month delay, is further evidence that they aren’t a matter of math but a matter of values,” Savage-Sangwan said.\u003c/p>\n\u003cp>The federal health care changes, enacted in the One Big Beautiful Bill Act, created requirements for Medi-Cal recipients to prove they are working or volunteering. Newsom projects that change will result in 44,000 Californians losing coverage in the next fiscal year.\u003c/p>\n\u003cp>But the federal bill will also reduce some Medicaid payments to California and limit the state’s ability to raise health care dollars through a tax on health care providers.\u003c/p>\n\u003cp>In response, Democrats in the state Senate are advocating for a new tax on the largest 2% of corporations to close the Medi-Cal funding gap.\u003c/p>\n\u003cfigure id=\"attachment_12057897\" class=\"wp-caption aligncenter\" style=\"max-width: 1998px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12057897 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/09/image3.jpg\" alt=\"\" width=\"1998\" height=\"1332\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/09/image3.jpg 1998w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/09/image3-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/09/image3-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1998px) 100vw, 1998px\">\u003cfigcaption class=\"wp-caption-text\">Lester Johnson (left), a restaurant owner in Richmond, Virginia, stands next to a sign that reads “Affordable Care Act Premiums Will Rise More Than 75%” during a news conference to call on Republicans to pass Affordable Care Act tax breaks on Capitol Hill on Sept. 16, 2025, in Washington, D.C. Democratic Senators joined Protect Our Care and advocates to call on the GOP to protect health care for Americans and stop premium hikes. \u003ccite>(Andrew Harnik/Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Newsom is pushing instead to limit the tax credits that businesses can claim to $5 million or 50% of the company’s tax liability — a move the administration projects will raise $850 million in the upcoming fiscal year and $1.7 billion the following year.\u003c/p>\n\u003cp>“I mean, some folks are never going to pay taxes for years and years and years, and they’re just hoarding these tax credits. So we’re going to put a little cap on that,” he said, adding that the change will affect large corporations, not small businesses.\u003c/p>\n\u003cp>In a separate health care move, Newsom is proposing to spend $300 million to cover health care premiums for low-income Californians to purchase health care through the Covered California exchange.\u003c/p>\n\u003cp>In December, Affordable Care Act subsidies \u003ca href=\"https://www.kqed.org/forum/2010101912213/congress-scrambles-to-address-healthcare-funding-before-year-end\">expired\u003c/a> for millions of Americans after Congress failed to reach a deal to extend the tax credits.\u003c/p>\n\u003ch2>Taxes and fees\u003c/h2>\n\u003cp>Other Newsom proposals echo calls from candidates in the wide-open race to succeed him as governor.\u003c/p>\n\u003cp>Newsom wants to cut in half the $800 minimum franchise tax that businesses pay each year, regardless of their profit. Steve Hilton, the leading Republican in the governor’s race, has \u003ca href=\"https://www.kqed.org/news/12079441/heres-how-californias-next-governor-will-change-your-taxes\">called to eliminate the tax entirely\u003c/a>.\u003c/p>\n\u003cfigure id=\"attachment_12072282\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12072282\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/CAGovDebateAP1.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/CAGovDebateAP1.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/CAGovDebateAP1-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/CAGovDebateAP1-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">From left, Xavier Becerra, Steve Hilton, Matt Mahan, Tom Steyer, Tony Thurmond, Antonio Villaraigosa and Betty Yee stand on the stage during the California gubernatorial candidate debate on Tuesday, Feb. 3, 2026, in San Francisco. \u003ccite>(Laure Andrillon/AP Photo)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The governor is also taking aim at the fees that local governments charge housing developers for their projects’ anticipated impact on roads and parks.\u003c/p>\n\u003cp>The fees have been a target of both Republicans and two moderate Democrats in the race: San José Mayor Matt Mahan and former Los Angeles Mayor Antonio Villaraigosa.\u003c/p>\n\u003cp>Newsom’s proposal would block local governments from charging impact fees on affordable housing developments that tap state funds.[aside postID=news_12083461 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260428-VallejoChildCare-37-BL_qed.jpg']The legislature will now hold hearings on Newsom’s budget plan and negotiate a final spending agreement with the administration before June 15.\u003c/p>\n\u003cp>Asked if he has any regrets in \u003ca href=\"https://www.kqed.org/news/12068929/in-final-year-gov-gavin-newsom-looks-to-finish-what-he-started\">his final year in office\u003c/a>, the governor hinted that he would have liked to move sooner on changes to expand the state’s rainy day fund.\u003c/p>\n\u003cp>In 2021 and 2022, Newsom touted budget surpluses of $75 billion and $97 billion — only to see those windfalls turn into deficits in subsequent years. The governor said he is still negotiating a deal with legislative leaders to potentially expand the rainy day fund.\u003c/p>\n\u003cp>But Newsom, who has studiously avoided weighing in on the messy race for governor, did make sure everyone knows he’s thinking about the next person in his seat.\u003c/p>\n\u003cp>“I am not just trying to get out of Dodge,” he said. “This is a balanced budget structurally for the next 18 months, after I am gone. I am not just planning for next fiscal year.”\u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>After eight years of wild swings between record surpluses and perilous shortfalls, Gov. \u003ca href=\"https://www.kqed.org/news/tag/gavin-newsom\">Gavin Newsom\u003c/a> touted a state of equilibrium on Thursday with his final \u003ca href=\"https://ebudget.ca.gov/budget/m/2026-27/BudgetSummary\">budget proposal\u003c/a>: a $350 billion, fully balanced spending plan that aims to backfill deep federal spending cuts but proposes no new programs and some spending reductions.\u003c/p>\n\u003cp>Newsom’s fiscal swan song comes as he gears up for a possible presidential run, as \u003ca href=\"https://www.kqed.org/voterguide/california/governor\">a crowded field of candidates\u003c/a> jockey to succeed him and as the state weathers ongoing attacks from the Trump administration.\u003c/p>\n\u003cp>But those federal cuts are offset in part by state revenues that came in $16.5 billion higher than the governor’s office projected in January, when Newsom released his initial spending plan. Income tax revenue was higher than expected and Silicon Valley stocks showed a strong performance, driving projected surplus for the next two fiscal years.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>That includes $4.5 billion in excess funds next year, as well as nearly $10 billion more Newsom wants to set aside in a savings account for use the following year.\u003c/p>\n\u003cp>“It shows the nature of the economy in the state, the nature of that growth engine,” he said, though he cautioned that the state’s revenue streams remain volatile. “It spikes from year to year, it collapses. When the nation gets a cold, we get the flu.”\u003c/p>\n\u003cp>\u003cspan style=\"font-weight: 400;\">In an unusual move, Newsom administration officials did not provide a clear projection of the surplus or deficit that the governor’s plan was solving for. Joe Stephenshaw, director of the Department of Finance, said he could not provide an “apples to apples” comparison with the $2.9 billion shortfall Newsom projected in his January budget.\u003c/span>\u003c/p>\n\u003cfigure id=\"attachment_12070222\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12070222\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/01/260116-NEWSOMLURIEPRESSER-06-BL-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/01/260116-NEWSOMLURIEPRESSER-06-BL-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/01/260116-NEWSOMLURIEPRESSER-06-BL-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/01/260116-NEWSOMLURIEPRESSER-06-BL-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Gov. Gavin Newsom and Mayor Daniel Lurie listen to speakers during a press conference at the Friendship House Association of American Indians in San Francisco on Jan. 16, 2026. Behind them stands a sculpture of Helen Waukazoo, the founder of the Friendship House Association of American Indians. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>In his revised proposal, Newsom unveiled new plans to help Californians facing higher Affordable Care Act premiums and Medi-Cal cuts, and to ease the tax burden on new businesses. He also proposed more money for K-12 education and universities, and a new $100 million fund to help homeowners rebuild after a natural disaster, including the January 2025 Los Angeles wildfires.\u003c/p>\n\u003cp>But Newsom resisted calls from fellow Democrats to raise taxes in order to offset federal cuts and rising health care costs, though he does want to cap the amount large corporations can claim on tax credits.\u003c/p>\n\u003cp>He used his opening remarks to attack the president’s agenda and to tout California’s economic strength in key economic areas, including manufacturing, agriculture, innovation and job creation.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>“Dominance. That’s the way to describe, in one word, the state of California. We simply have no peers. We are the tentpole of the American economy,” Newsom said, before launching into a series of slides to back up his point, including one featuring a picture of Fox News host Sean Hannity with the words “California Derangement Syndrome” plastered below.\u003c/p>\n\u003cp>He went on to slam Trump’s “illegal” tariffs, the president’s deep cuts to science and medical research grants and the economic effects of his deportation push and the war in Iran. Then he showed an AI-generated image of Trump and Treasury Secretary Scott Bessent superimposed as the characters in the movie “Dumb and Dumber.”\u003c/p>\n\u003cp>“I think this captures in so many respects the remarkable, remarkable work that these two have done and the impacts had on American people and the economy since they got into office,” he said sarcastically.\u003c/p>\n\u003cp>Republican leaders in the Legislature, though, were quick to slam the governor’s spending priorities.\u003c/p>\n\u003cp>“If there is truly a budget surplus, priorities should focus on providing things like real cost-of-living relief for Californians, fully funding Proposition 36, and paying off the federal unemployment insurance debt so job creators are no longer stuck paying for Newsom’s lack of leadership,” said Sen. Tony Strickland, R-Huntington Beach.\u003c/p>\n\u003ch2>Medi-Cal and health care\u003c/h2>\n\u003cp>Spending on Medi-Cal, the state’s health care safety net, is declining by $3.7 billion compared to the previous state budget. That’s in part a result of Trump’s plan to impose work requirements on Medi-Cal recipients — a move expected to reduce enrollment — but also due to cuts Newsom is proposing.\u003c/p>\n\u003cp>Newsom is proposing to implement an asset limit for seniors and disabled adults on Medi-Cal and increase the monthly premiums for undocumented adults on Medi-Cal, from $30 to $50. The change will apply to residents between the ages of 19 and 59, effective in 2027.\u003c/p>\n\u003cp>Federal rule changes under Trump are forcing California to change how it insures undocumented immigrants.\u003c/p>\n\u003cfigure id=\"attachment_12053886\" class=\"wp-caption aligncenter\" style=\"max-width: 1999px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12053886\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/08/HealthCareICECalMatters1.jpg\" alt=\"\" width=\"1999\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/08/HealthCareICECalMatters1.jpg 1999w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/08/HealthCareICECalMatters1-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/08/HealthCareICECalMatters1-1536x1025.jpg 1536w\" sizes=\"auto, (max-width: 1999px) 100vw, 1999px\">\u003cfigcaption class=\"wp-caption-text\">Protesters gather outside Glendale Memorial Hospital, where federal immigration agents wait for Milagro Solis Portillo to recover in Glendale, on July 17, 2025. \u003ccite>(J.W. Hendricks/NurPhoto via Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“No one has done better to address their anxiety and needs,” Newsom said of the state’s undocumented population.\u003c/p>\n\u003cp>But immigrant advocates immediately lashed out. California Pan-Ethnic Health Network executive director Kiran Savage-Sangwan called the Medi-Cal changes for undocumented “devastatingly cruel,” especially when considered alongside last year’s elimination of dental care for undocumented Medi-Cal recipients, and other fees the state began imposing based on immigration status in order to close a shortfall last year.\u003c/p>\n\u003cp>“In light of the state’s surge of revenues, continuing to advance these brutal cuts, despite a nine-month delay, is further evidence that they aren’t a matter of math but a matter of values,” Savage-Sangwan said.\u003c/p>\n\u003cp>The federal health care changes, enacted in the One Big Beautiful Bill Act, created requirements for Medi-Cal recipients to prove they are working or volunteering. Newsom projects that change will result in 44,000 Californians losing coverage in the next fiscal year.\u003c/p>\n\u003cp>But the federal bill will also reduce some Medicaid payments to California and limit the state’s ability to raise health care dollars through a tax on health care providers.\u003c/p>\n\u003cp>In response, Democrats in the state Senate are advocating for a new tax on the largest 2% of corporations to close the Medi-Cal funding gap.\u003c/p>\n\u003cfigure id=\"attachment_12057897\" class=\"wp-caption aligncenter\" style=\"max-width: 1998px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12057897 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/09/image3.jpg\" alt=\"\" width=\"1998\" height=\"1332\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/09/image3.jpg 1998w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/09/image3-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/09/image3-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1998px) 100vw, 1998px\">\u003cfigcaption class=\"wp-caption-text\">Lester Johnson (left), a restaurant owner in Richmond, Virginia, stands next to a sign that reads “Affordable Care Act Premiums Will Rise More Than 75%” during a news conference to call on Republicans to pass Affordable Care Act tax breaks on Capitol Hill on Sept. 16, 2025, in Washington, D.C. Democratic Senators joined Protect Our Care and advocates to call on the GOP to protect health care for Americans and stop premium hikes. \u003ccite>(Andrew Harnik/Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Newsom is pushing instead to limit the tax credits that businesses can claim to $5 million or 50% of the company’s tax liability — a move the administration projects will raise $850 million in the upcoming fiscal year and $1.7 billion the following year.\u003c/p>\n\u003cp>“I mean, some folks are never going to pay taxes for years and years and years, and they’re just hoarding these tax credits. So we’re going to put a little cap on that,” he said, adding that the change will affect large corporations, not small businesses.\u003c/p>\n\u003cp>In a separate health care move, Newsom is proposing to spend $300 million to cover health care premiums for low-income Californians to purchase health care through the Covered California exchange.\u003c/p>\n\u003cp>In December, Affordable Care Act subsidies \u003ca href=\"https://www.kqed.org/forum/2010101912213/congress-scrambles-to-address-healthcare-funding-before-year-end\">expired\u003c/a> for millions of Americans after Congress failed to reach a deal to extend the tax credits.\u003c/p>\n\u003ch2>Taxes and fees\u003c/h2>\n\u003cp>Other Newsom proposals echo calls from candidates in the wide-open race to succeed him as governor.\u003c/p>\n\u003cp>Newsom wants to cut in half the $800 minimum franchise tax that businesses pay each year, regardless of their profit. Steve Hilton, the leading Republican in the governor’s race, has \u003ca href=\"https://www.kqed.org/news/12079441/heres-how-californias-next-governor-will-change-your-taxes\">called to eliminate the tax entirely\u003c/a>.\u003c/p>\n\u003cfigure id=\"attachment_12072282\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12072282\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/CAGovDebateAP1.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/CAGovDebateAP1.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/CAGovDebateAP1-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/CAGovDebateAP1-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">From left, Xavier Becerra, Steve Hilton, Matt Mahan, Tom Steyer, Tony Thurmond, Antonio Villaraigosa and Betty Yee stand on the stage during the California gubernatorial candidate debate on Tuesday, Feb. 3, 2026, in San Francisco. \u003ccite>(Laure Andrillon/AP Photo)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The governor is also taking aim at the fees that local governments charge housing developers for their projects’ anticipated impact on roads and parks.\u003c/p>\n\u003cp>The fees have been a target of both Republicans and two moderate Democrats in the race: San José Mayor Matt Mahan and former Los Angeles Mayor Antonio Villaraigosa.\u003c/p>\n\u003cp>Newsom’s proposal would block local governments from charging impact fees on affordable housing developments that tap state funds.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>The legislature will now hold hearings on Newsom’s budget plan and negotiate a final spending agreement with the administration before June 15.\u003c/p>\n\u003cp>Asked if he has any regrets in \u003ca href=\"https://www.kqed.org/news/12068929/in-final-year-gov-gavin-newsom-looks-to-finish-what-he-started\">his final year in office\u003c/a>, the governor hinted that he would have liked to move sooner on changes to expand the state’s rainy day fund.\u003c/p>\n\u003cp>In 2021 and 2022, Newsom touted budget surpluses of $75 billion and $97 billion — only to see those windfalls turn into deficits in subsequent years. The governor said he is still negotiating a deal with legislative leaders to potentially expand the rainy day fund.\u003c/p>\n\u003cp>But Newsom, who has studiously avoided weighing in on the messy race for governor, did make sure everyone knows he’s thinking about the next person in his seat.\u003c/p>\n\u003cp>“I am not just trying to get out of Dodge,” he said. “This is a balanced budget structurally for the next 18 months, after I am gone. I am not just planning for next fiscal year.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"title": "Former Newsom Chief of Staff Pleads Guilty to Scheme That Bled Money From Becerra’s Account",
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"content": "\u003cp>\u003cem>This story was originally published by \u003ca href=\"https://calmatters.org/\">CalMatters\u003c/a>. \u003ca href=\"https://calmatters.org/subscribe-to-calmatters/\">Sign up\u003c/a> for their newsletters.\u003c/em>\u003c/p>\n\u003cp>A former political consultant for Democratic frontrunner for governor \u003ca href=\"https://www.kqed.org/news/tag/xavier-becerra\">Xavier Becerra\u003c/a> and ex-aide to Gov. Gavin Newsom pleaded guilty Thursday to conspiracy to commit bank and wire fraud, submitting a false tax return and lying to federal investigators.\u003c/p>\n\u003cp>The consultant, Dana Williamson, \u003ca href=\"https://calmatters.org/politics/2025/11/newsom-chief-of-staff-indicted/\">was charged in a corruption scandal\u003c/a> that shocked Sacramento. Following an investigation that included FBI wiretaps and seized communications, prosecutors accused Williamson of conspiring with Becerra’s longtime chief of staff Sean McCluskie and another Sacramento lobbyist to divert $225,000 from Becerra’s dormant state campaign account into McCluskie’s hands.\u003c/p>\n\u003cp>As part of the plea deal, Williamson agreed to pay $225,000 in restitution to Becerra and $500,000 in restitution to the IRS. She faces up to 38 years in prison.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>Williamson’s plea comes just over two weeks before the primary election that will determine whether Becerra advances to the November election.\u003c/p>\n\u003cp>According to the indictment, the money was to help McCluskie follow Becerra to Washington when he was named U.S. secretary of Health and Human Services in the Biden administration. McCluskie’s job there offered a lower salary.\u003c/p>\n\u003cp>Prosecutors say the Democratic operatives charged Becerra’s dormant campaign account $10,000 a month under the guise of maintaining it for legal compliance, but instead routed it to McCluskie in violation of federal laws prohibiting federal employees from being involved in campaign activities. The investigation was launched during the Biden administration.\u003c/p>\n\u003cfigure id=\"attachment_12074138\" class=\"wp-caption aligncenter\" style=\"max-width: 1999px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12074138\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/260220-XAVIER-BECERRA-ON-PB-MD-04_qed.jpg\" alt=\"\" width=\"1999\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/260220-XAVIER-BECERRA-ON-PB-MD-04_qed.jpg 1999w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/260220-XAVIER-BECERRA-ON-PB-MD-04_qed-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/260220-XAVIER-BECERRA-ON-PB-MD-04_qed-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1999px) 100vw, 1999px\">\u003cfigcaption class=\"wp-caption-text\">Former United States Secretary of Health and Human Services Xavier Becerra speaks with Scott Shafer on Political Breakdown at KQED in San Francisco on Feb. 20, 2026. \u003ccite>(Martin do Nascimento/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>McCluskie and the other lobbyist, Greg Campbell, pleaded guilty to fraud in the case. Williamson also faced a variety of tax evasion charges and was accused of fraudulently obtaining federal COVID-19 benefits.\u003c/p>\n\u003cp>The plea deal brings to a close a case that has loomed over \u003ca href=\"https://calmatters.org/politics/2026/05/california-governor-becerra-criticism/\">Becerra’s recently revitalized campaign\u003c/a> for governor. It’s unclear whether it will have any effect on the crowded race, in which Becerra is one of \u003ca href=\"https://calmatters.org/politics/2026/03/california-governor-candidates/\">six Democrats vying for the seat\u003c/a> that Newsom is vacating; two Republicans also are in the running.\u003c/p>\n\u003cp>The timing of the agreement is unusual. Federal prosecutors typically avoid pursuing political cases within 60 days of an election under a Justice Department custom designed to prevent interference that could advantage or disadvantage candidates. Voters have already begun turning in their ballots in the gubernatorial race.\u003c/p>\n\u003cp>Federal prosecutor Michael Anderson told U.S. District Court Judge Troy Nunley the plea was the result of months of negotiations between prosecutors and Williamson. Williamson had previously rejected one plea offer and made a counter-offer, Anderson said, calling the agreement the “most favorable” outcome for both parties.\u003c/p>\n\u003cp>Campbell and McCluskie are scheduled to be sentenced June 4, two days after the primary election.\u003c/p>\n\u003cp>Becerra was lagging in polling and fundraising until former Rep. Eric Swalwell dropped out over sexual assault allegations in early April, when he suddenly shot into the lead as \u003ca href=\"https://calmatters.org/politics/2026/04/swalwell-congress-resignation/\">anxious Democratic voters searched\u003c/a> for a candidate to coalesce around.\u003c/p>\n\u003cp>Williamson’s case is one of several critiques opponents have seized upon in debates and negative ads to call into question Becerra’s judgment and fitness for executive office.\u003c/p>\n\u003ch2>Allegations were a ‘gut punch’\u003c/h2>\n\u003cp>Prosecutors have considered Becerra a victim in the case and he has not been charged with any wrongdoing. He has said he cooperated with investigators and that revelations of McCluskie’s betrayal were a “gut punch” to him akin to finding out about an unfaithful spouse.\u003c/p>\n\u003cp>But some in the California capital’s often-overlapping circles of interest groups, lobbyists and political strategists have questioned how Becerra could not have known what the payments were for.\u003c/p>\n\u003cp>On the campaign trail, Becerra has faced questions about whether he should have paid closer attention to his campaign account’s expenses. Strategists say $10,000 a month — the amount he agreed to be charged — is a high price for account maintenance.[aside label=\"From the 2026 Voter Guide\" link1='https://www.kqed.org/voterguide/governor,Learn about the California Governor Election' hero=https://cdn.kqed.org/wp-content/uploads/sites/80/2026/04/Aside-California-Governor-2026-Primary-Election-1200x1200@2x.png]It is common practice in California for official staff members of lawmakers and other officeholders also to work on their bosses’ political campaigns, allowing them to supplement taxpayer-funded state salaries with payments from campaign accounts. Williamson herself was paid by the California Democratic Party for political work on ballot measures during the two years she was employed in the governor’s office as Newsom’s top aide. She made nearly $200,000 from the party in 2024 on top of her official duties, according to campaign finance records.\u003c/p>\n\u003cp>\u003ca href=\"https://www.kcra.com/article/xavier-becerra-new-questions-after-campaign-funds-stolen/71143407\">Asked by KCRA\u003c/a> last month how voters could be assured Becerra would not let taxpayer funds be similarly “swindled,” Becerra did not answer.\u003c/p>\n\u003cp>Williamson was a hard-charging Sacramento lobbyist who previously ran Gov. Jerry Brown’s office. When Newsom appointed her chief of staff in 2023, her clients included criminal justice reform advocates, healthcare corporation Centene, Meta, Comcast and the video game giant Activision.\u003c/p>\n\u003cp>The indictment accused Williamson of lying to investigators about whether she used her position in Newsom’s office to influence a gender equality and workplace harassment lawsuit state regulators had brought against Activision. The state later settled that case for $54 million.\u003c/p>\n\u003cp>Newsom’s office put Williamson on leave when she informed them she was under investigation in November 2024. He has also said the charges caught him by surprise.\u003c/p>\n\u003cp>\u003cem>This article was \u003ca href=\"https://calmatters.org/politics/2026/05/california-newsom-chief-plea-deal/\">originally published on CalMatters\u003c/a> and was republished under the \u003ca href=\"https://creativecommons.org/licenses/by-nc-nd/4.0/\">Creative Commons Attribution-NonCommercial-NoDerivatives\u003c/a> license.\u003c/em>\u003c/p>\n\u003cp>\u003c/p>\n",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>\u003cem>This story was originally published by \u003ca href=\"https://calmatters.org/\">CalMatters\u003c/a>. \u003ca href=\"https://calmatters.org/subscribe-to-calmatters/\">Sign up\u003c/a> for their newsletters.\u003c/em>\u003c/p>\n\u003cp>A former political consultant for Democratic frontrunner for governor \u003ca href=\"https://www.kqed.org/news/tag/xavier-becerra\">Xavier Becerra\u003c/a> and ex-aide to Gov. Gavin Newsom pleaded guilty Thursday to conspiracy to commit bank and wire fraud, submitting a false tax return and lying to federal investigators.\u003c/p>\n\u003cp>The consultant, Dana Williamson, \u003ca href=\"https://calmatters.org/politics/2025/11/newsom-chief-of-staff-indicted/\">was charged in a corruption scandal\u003c/a> that shocked Sacramento. Following an investigation that included FBI wiretaps and seized communications, prosecutors accused Williamson of conspiring with Becerra’s longtime chief of staff Sean McCluskie and another Sacramento lobbyist to divert $225,000 from Becerra’s dormant state campaign account into McCluskie’s hands.\u003c/p>\n\u003cp>As part of the plea deal, Williamson agreed to pay $225,000 in restitution to Becerra and $500,000 in restitution to the IRS. She faces up to 38 years in prison.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>Williamson’s plea comes just over two weeks before the primary election that will determine whether Becerra advances to the November election.\u003c/p>\n\u003cp>According to the indictment, the money was to help McCluskie follow Becerra to Washington when he was named U.S. secretary of Health and Human Services in the Biden administration. McCluskie’s job there offered a lower salary.\u003c/p>\n\u003cp>Prosecutors say the Democratic operatives charged Becerra’s dormant campaign account $10,000 a month under the guise of maintaining it for legal compliance, but instead routed it to McCluskie in violation of federal laws prohibiting federal employees from being involved in campaign activities. The investigation was launched during the Biden administration.\u003c/p>\n\u003cfigure id=\"attachment_12074138\" class=\"wp-caption aligncenter\" style=\"max-width: 1999px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12074138\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/260220-XAVIER-BECERRA-ON-PB-MD-04_qed.jpg\" alt=\"\" width=\"1999\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/260220-XAVIER-BECERRA-ON-PB-MD-04_qed.jpg 1999w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/260220-XAVIER-BECERRA-ON-PB-MD-04_qed-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/260220-XAVIER-BECERRA-ON-PB-MD-04_qed-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1999px) 100vw, 1999px\">\u003cfigcaption class=\"wp-caption-text\">Former United States Secretary of Health and Human Services Xavier Becerra speaks with Scott Shafer on Political Breakdown at KQED in San Francisco on Feb. 20, 2026. \u003ccite>(Martin do Nascimento/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>McCluskie and the other lobbyist, Greg Campbell, pleaded guilty to fraud in the case. Williamson also faced a variety of tax evasion charges and was accused of fraudulently obtaining federal COVID-19 benefits.\u003c/p>\n\u003cp>The plea deal brings to a close a case that has loomed over \u003ca href=\"https://calmatters.org/politics/2026/05/california-governor-becerra-criticism/\">Becerra’s recently revitalized campaign\u003c/a> for governor. It’s unclear whether it will have any effect on the crowded race, in which Becerra is one of \u003ca href=\"https://calmatters.org/politics/2026/03/california-governor-candidates/\">six Democrats vying for the seat\u003c/a> that Newsom is vacating; two Republicans also are in the running.\u003c/p>\n\u003cp>The timing of the agreement is unusual. Federal prosecutors typically avoid pursuing political cases within 60 days of an election under a Justice Department custom designed to prevent interference that could advantage or disadvantage candidates. Voters have already begun turning in their ballots in the gubernatorial race.\u003c/p>\n\u003cp>Federal prosecutor Michael Anderson told U.S. District Court Judge Troy Nunley the plea was the result of months of negotiations between prosecutors and Williamson. Williamson had previously rejected one plea offer and made a counter-offer, Anderson said, calling the agreement the “most favorable” outcome for both parties.\u003c/p>\n\u003cp>Campbell and McCluskie are scheduled to be sentenced June 4, two days after the primary election.\u003c/p>\n\u003cp>Becerra was lagging in polling and fundraising until former Rep. Eric Swalwell dropped out over sexual assault allegations in early April, when he suddenly shot into the lead as \u003ca href=\"https://calmatters.org/politics/2026/04/swalwell-congress-resignation/\">anxious Democratic voters searched\u003c/a> for a candidate to coalesce around.\u003c/p>\n\u003cp>Williamson’s case is one of several critiques opponents have seized upon in debates and negative ads to call into question Becerra’s judgment and fitness for executive office.\u003c/p>\n\u003ch2>Allegations were a ‘gut punch’\u003c/h2>\n\u003cp>Prosecutors have considered Becerra a victim in the case and he has not been charged with any wrongdoing. He has said he cooperated with investigators and that revelations of McCluskie’s betrayal were a “gut punch” to him akin to finding out about an unfaithful spouse.\u003c/p>\n\u003cp>But some in the California capital’s often-overlapping circles of interest groups, lobbyists and political strategists have questioned how Becerra could not have known what the payments were for.\u003c/p>\n\u003cp>On the campaign trail, Becerra has faced questions about whether he should have paid closer attention to his campaign account’s expenses. Strategists say $10,000 a month — the amount he agreed to be charged — is a high price for account maintenance.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>It is common practice in California for official staff members of lawmakers and other officeholders also to work on their bosses’ political campaigns, allowing them to supplement taxpayer-funded state salaries with payments from campaign accounts. Williamson herself was paid by the California Democratic Party for political work on ballot measures during the two years she was employed in the governor’s office as Newsom’s top aide. She made nearly $200,000 from the party in 2024 on top of her official duties, according to campaign finance records.\u003c/p>\n\u003cp>\u003ca href=\"https://www.kcra.com/article/xavier-becerra-new-questions-after-campaign-funds-stolen/71143407\">Asked by KCRA\u003c/a> last month how voters could be assured Becerra would not let taxpayer funds be similarly “swindled,” Becerra did not answer.\u003c/p>\n\u003cp>Williamson was a hard-charging Sacramento lobbyist who previously ran Gov. Jerry Brown’s office. When Newsom appointed her chief of staff in 2023, her clients included criminal justice reform advocates, healthcare corporation Centene, Meta, Comcast and the video game giant Activision.\u003c/p>\n\u003cp>The indictment accused Williamson of lying to investigators about whether she used her position in Newsom’s office to influence a gender equality and workplace harassment lawsuit state regulators had brought against Activision. The state later settled that case for $54 million.\u003c/p>\n\u003cp>Newsom’s office put Williamson on leave when she informed them she was under investigation in November 2024. He has also said the charges caught him by surprise.\u003c/p>\n\u003cp>\u003cem>This article was \u003ca href=\"https://calmatters.org/politics/2026/05/california-newsom-chief-plea-deal/\">originally published on CalMatters\u003c/a> and was republished under the \u003ca href=\"https://creativecommons.org/licenses/by-nc-nd/4.0/\">Creative Commons Attribution-NonCommercial-NoDerivatives\u003c/a> license.\u003c/em>\u003c/p>\n\u003cp>\u003c/p>\n\u003c/div>\u003c/p>",
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"content": "\u003cp>A former GEO Group executive is expected to serve as the next acting chief of \u003ca href=\"https://www.kqed.org/news/tag/u-s-immigration-and-customs-enforcement\">U.S. Immigration and Customs Enforcement\u003c/a>, revitalizing concerns from California lawmakers and immigration activists over conflicts of interest between private prison companies and high-level Trump administration officials.\u003c/p>\n\u003cp>David Venturella, who previously worked for the agency under the Obama and Bush administrations, and has spent the last year overseeing lucrative contracts between ICE and detention facilities, will replace Todd Lyons at the end of the month.\u003c/p>\n\u003cp>“Donald Trump is now moving to put his out-of-control ICE agency in the hands of yet another acting director — and this time, one with concerning ties to the private detention industry,” California Sen. Alex Padilla said in a statement. “Appointing a former GEO Group executive and ally of Stephen Miller only deepens our concerns about conflicts of interest, the expansion of for-profit detention facilities, and the inexcusable deaths that continue to mount.”\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>ICE has been rapidly growing its footprint since the Trump administration took office last year, leasing properties across the country and opening new detention facilities, including two operated by GEO Group in California.\u003c/p>\n\u003cp>Activists in the state have raised alarms about possible further expansion — including at the site of a \u003ca href=\"https://www.kqed.org/news/12082440/advocates-urge-demolition-of-fci-dublin-raising-worries-it-could-become-ice-jail\">shuttered East Bay women’s prison\u003c/a> and in Santa Clara County near Gilroy, where the Department of Homeland Security leased 24 acres of land last January, the \u003ca href=\"https://sanjosespotlight.com/federal-detention-center-planned-in-south-county/\">\u003cem>San José Spotlight\u003c/em>\u003c/a> first reported.\u003c/p>\n\u003cp>In July 2025, the agency was \u003ca href=\"https://www.kqed.org/forum/2010101910650/ices-budget-just-tripled-whats-next\">granted $75 billion in new funding\u003c/a>, more than half of which is earmarked for expanding detention capacity.\u003c/p>\n\u003cfigure id=\"attachment_11869381\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-11869381 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2021/04/GettyImages-450371267-1-scaled-e1778784968650.jpg\" alt=\"\" width=\"2000\" height=\"1334\">\u003cfigcaption class=\"wp-caption-text\">The Adelanto Detention Facility is the largest U.S. Immigration and Customs Enforcement detention center in California. The private GEO Group manages the facility. \u003ccite>(John Moore/Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Venturella left GEO Group in late 2023 and has been working as an advisor aiding ICE’s rapid expansion, which has included multiple new contracts with GEO Group, one of the agency’s largest private prison contractors. Generally, government employees are barred from participating in contract deals that involve their former employers for a year, but \u003cem>The Washington Post\u003c/em> reported that Venturella was \u003ca href=\"https://www.washingtonpost.com/business/2025/08/01/ice-david-venturella-geo-immigration-detention/\">exempted\u003c/a> from the ethics rule.\u003c/p>\n\u003cp>In March, Democratic lawmakers raised corruption concerns over his and other senior officials’ ties to immigration contractors. Trump’s Border Czar, Tom Homan, was also previously an advisor for GEO Group.\u003c/p>\n\u003cp>“The secretive and uncompetitive nature of ICE’s warehouse contracting not only risks wasting billions in taxpayer dollars but also triggers corruption concerns — particularly because some senior Trump Administration officials have close ties to immigration contractors that could profit from the warehouse system,” more than 50 U.S. Representatives, including South Bay Rep. Zoe Lofgren, wrote in a letter to the CEO of private prison company CoreCivic.[aside postID=news_12083142 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00192_TV-KQED.jpg']Stacy Suh, the program director of Detention Watch Network, a national group working to abolish immigration detention, said that there is a “revolving door” between ICE and the private prison industry that raises questions of influence over contracts.\u003c/p>\n\u003cp>“Venturella has spent his entire career on expanding immigration detention,” Suh told KQED. “I think it shows this conflict of interest where GEO Group and all these other private contractors are just so excited to cash in on this detention expansion plan and have an industry insider be at the helm of ICE.”\u003c/p>\n\u003cp>GEO Group announced in February that 2025 was its “most successful year for new business,” contracting with ICE to open four new detention centers and expanding other transportation and case management services for the agency. In April, it said first-quarter \u003ca href=\"https://investors.geogroup.com/news-releases/news-release-details/geo-group-reports-first-quarter-results-and-increases-full-year\">revenue was up 17%\u003c/a>, to more than $700 million.\u003c/p>\n\u003cp>“Venturella’s intimate knowledge of ICE will likely yield another spike of ICE detention facility openings in the coming months as the agency operates with impunity and unprecedented funding,” Silky Shah, Detention Watch Network’s executive director, said in a statement.\u003c/p>\n\u003cp>Venturella is expected to take over as ICE’s chief on June 1, when Lyons retires. Since 2017, the agency has been led by officials serving as “acting” director, avoiding the Senate confirmation process.\u003c/p>\n\u003cp>\u003c/p>\n",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>ICE has been rapidly growing its footprint since the Trump administration took office last year, leasing properties across the country and opening new detention facilities, including two operated by GEO Group in California.\u003c/p>\n\u003cp>Activists in the state have raised alarms about possible further expansion — including at the site of a \u003ca href=\"https://www.kqed.org/news/12082440/advocates-urge-demolition-of-fci-dublin-raising-worries-it-could-become-ice-jail\">shuttered East Bay women’s prison\u003c/a> and in Santa Clara County near Gilroy, where the Department of Homeland Security leased 24 acres of land last January, the \u003ca href=\"https://sanjosespotlight.com/federal-detention-center-planned-in-south-county/\">\u003cem>San José Spotlight\u003c/em>\u003c/a> first reported.\u003c/p>\n\u003cp>In July 2025, the agency was \u003ca href=\"https://www.kqed.org/forum/2010101910650/ices-budget-just-tripled-whats-next\">granted $75 billion in new funding\u003c/a>, more than half of which is earmarked for expanding detention capacity.\u003c/p>\n\u003cfigure id=\"attachment_11869381\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-11869381 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2021/04/GettyImages-450371267-1-scaled-e1778784968650.jpg\" alt=\"\" width=\"2000\" height=\"1334\">\u003cfigcaption class=\"wp-caption-text\">The Adelanto Detention Facility is the largest U.S. Immigration and Customs Enforcement detention center in California. The private GEO Group manages the facility. \u003ccite>(John Moore/Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Venturella left GEO Group in late 2023 and has been working as an advisor aiding ICE’s rapid expansion, which has included multiple new contracts with GEO Group, one of the agency’s largest private prison contractors. Generally, government employees are barred from participating in contract deals that involve their former employers for a year, but \u003cem>The Washington Post\u003c/em> reported that Venturella was \u003ca href=\"https://www.washingtonpost.com/business/2025/08/01/ice-david-venturella-geo-immigration-detention/\">exempted\u003c/a> from the ethics rule.\u003c/p>\n\u003cp>In March, Democratic lawmakers raised corruption concerns over his and other senior officials’ ties to immigration contractors. Trump’s Border Czar, Tom Homan, was also previously an advisor for GEO Group.\u003c/p>\n\u003cp>“The secretive and uncompetitive nature of ICE’s warehouse contracting not only risks wasting billions in taxpayer dollars but also triggers corruption concerns — particularly because some senior Trump Administration officials have close ties to immigration contractors that could profit from the warehouse system,” more than 50 U.S. Representatives, including South Bay Rep. Zoe Lofgren, wrote in a letter to the CEO of private prison company CoreCivic.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>Stacy Suh, the program director of Detention Watch Network, a national group working to abolish immigration detention, said that there is a “revolving door” between ICE and the private prison industry that raises questions of influence over contracts.\u003c/p>\n\u003cp>“Venturella has spent his entire career on expanding immigration detention,” Suh told KQED. “I think it shows this conflict of interest where GEO Group and all these other private contractors are just so excited to cash in on this detention expansion plan and have an industry insider be at the helm of ICE.”\u003c/p>\n\u003cp>GEO Group announced in February that 2025 was its “most successful year for new business,” contracting with ICE to open four new detention centers and expanding other transportation and case management services for the agency. In April, it said first-quarter \u003ca href=\"https://investors.geogroup.com/news-releases/news-release-details/geo-group-reports-first-quarter-results-and-increases-full-year\">revenue was up 17%\u003c/a>, to more than $700 million.\u003c/p>\n\u003cp>“Venturella’s intimate knowledge of ICE will likely yield another spike of ICE detention facility openings in the coming months as the agency operates with impunity and unprecedented funding,” Silky Shah, Detention Watch Network’s executive director, said in a statement.\u003c/p>\n\u003cp>Venturella is expected to take over as ICE’s chief on June 1, when Lyons retires. Since 2017, the agency has been led by officials serving as “acting” director, avoiding the Senate confirmation process.\u003c/p>\n\u003cp>\u003c/p>\n\u003c/div>\u003c/p>",
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"content": "\u003cp>California is in the grip of a home insurance crisis. Climate change, wildfires and inflation are driving costs through the roof, major insurers have fled the state or dropped coverage and the state’s last-resort FAIR plan has drawn plenty of criticisms — all while companies push for even higher rates.\u003c/p>\n\u003cp>Voters are about to elect a new insurance commissioner to oversee it all. Scott and KQED science reporter Danielle Venton look at what’s driving the crisis and how candidates say they’d fix it.\u003c/p>\n\u003cp>For more information on the races and ballot measures in California’s June 2 primary election, check out \u003ca href=\"https://www.kqed.org/elections/results\">KQED’s Voter Guide\u003c/a>.\u003c/p>\n\u003cp>Join us for a town hall at KQED with Riverside County Sheriff Chad Bianco, a top Republican in the race for governor. Bianco will be talking with KQED’s Marisa Lagos and taking audience questions on Monday, May 18 at 7:00pm at KQED headquarters in San Francisco.\u003c/p>\n\u003cp>You can register for the event at \u003ca href=\"http://KQED.org/events\" target=\"_blank\" rel=\"noopener\">KQED.org/events.\u003c/a>\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>\u003c/p>\n\u003cp> \u003c/p>\n\n",
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"content": "\u003cp>A coalition protested on Monday outside of video game company Electronic Arts’ \u003ca href=\"https://www.kqed.org/news/tag/redwood-city\">Redwood City \u003c/a>headquarters, slamming the industry titan for agreeing to a $55 billion acquisition by private financiers.\u003c/p>\n\u003cp>Members of the Players Alliance, dressed as characters from the video game \u003cem>The Sims\u003c/em>, delivered a \u003ca href=\"https://playersalliancehq.org/block-ea-deal-petition/\">petition \u003c/a>with over 70,000 signatures asking EA to reconsider the deal, in which an investor consortium with ties to the Saudi Arabian government and President Donald Trump’s son-in-law, Jared Kushner, will acquire the company.\u003c/p>\n\u003cp>The group said the deal would result in the aggressive monetization of EA games, layoffs at the company and ultimately, a lower quality product for gamers.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>“ With the economic climate, there’s so much pressure on people,” Players Alliance member Otis East said. “You need to be able to decompress somewhere, and if the gaming space is also a place of pressure, where do you go?”\u003c/p>\n\u003cp>East said EA is already in the practice of installing “loot boxes” in its games, in which players can pay money for the prospect of winning special in-game prizes — a practice East compared to gambling, and which he expected to worsen if the deal went through.\u003c/p>\n\u003cfigure id=\"attachment_12083181\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083181\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-05-BL-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-05-BL-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-05-BL-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-05-BL-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Demonstrators gather outside the headquarters of Electronic Arts in Redwood City on May 11, 2026, to protest a proposed $55 billion buyout led by Saudi Arabia’s Public Investment Fund. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“ A lot of these games are built to appeal to children, so you’re normalizing gambling to a very young demographic,” East said. And that, he added, “Could be a very slippery slope.”\u003c/p>\n\u003cp>EA declined to comment on Monday’s action.\u003c/p>\n\u003cp>The company first announced in September 2025 that it agreed to be acquired by the Public Investment Fund of Saudi Arabia, the global technology investment firm Silver Lake, and the investment firm Affinity Partners, which was founded by Kushner in 2021.\u003c/p>\n\u003cp>At the time, the company \u003ca href=\"https://investors.ea.com/press-releases/press-release-details/2025/EA-Announces-Agreement-to-be-Acquired-by-PIF-Silver-Lake-and-Affinity-Partners-for-55-Billion/default.aspx?utm_source\">said \u003c/a>the transaction represented the largest all-cash sponsor take-private investment in history, and that EA would remain headquartered in Redwood City and continue to be led by Wilson.[aside postID=news_12081721 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/Stalkerware_webimg.png']“Our creative and passionate teams at EA have delivered extraordinary experiences for hundreds of millions of fans, built some of the world’s most iconic IP, and created significant value for our business,” Andrew Wilson, chairman & CEO of Electronic Arts, said in a September 2025 press release.\u003c/p>\n\u003cp>He called the potential deal “a powerful recognition of their remarkable work,” and added that “Looking ahead, we will continue to push the boundaries of entertainment, sports and technology, unlocking new opportunities.”\u003c/p>\n\u003cp>As part of the deal, EA is taking on $20 billion of debt financed by JPMorgan Chase Bank, which the Players Alliance argued will pressure the company to cut jobs, replace developers with AI and impose price hikes through more aggressive monetization.\u003c/p>\n\u003cp>Ever since 1982, when former Apple employee Trip Hawkins founded EA in the Bay Area, Electronic Arts has created some of the most iconic video game franchises, including Madden NFL, Battlefield and The Sims.\u003c/p>\n\u003cp>For Twitch streamer MivYard, who declined to give her name for safety reasons, games like The Sims have been an important outlet for members of the LGBTQ+ community like herself.\u003c/p>\n\u003cfigure id=\"attachment_12083182\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083182\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-06-BL-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-06-BL-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-06-BL-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-06-BL-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Demonstrators gather outside the headquarters of Electronic Arts in Redwood City on May 11, 2026, to protest a proposed $55 billion buyout led by Saudi Arabia’s Public Investment Fund. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“As a bisexual, there weren’t a lot of games where you could just have anybody romance anybody else,” \u003ca href=\"https://www.twitch.tv/mivyard\">MivYard\u003c/a> said. This game has a really special place in my heart, and the thought of it being taken over by people who might want to censor that aspect is really frightening.”\u003c/p>\n\u003cp>East said that gaming helped him with depression, and that he worried this deal would set off a domino effect in the gaming industry, where more publicly traded companies will be taken over by private equity firms — and a greater emphasis will be placed on profits as opposed to the quality of the games.\u003c/p>\n\u003cp>“ I can personally say that gaming has saved my life,” East said. “Being able to play games and connect with people gave me a pathway to speak through what was bothering me, and without that, I don’t know if I would be here.”\u003c/p>\n\u003cp>EA said the transaction is expected to close this year, subject to regulatory approvals.\u003c/p>\n\u003cp>\u003c/p>\n",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>“ With the economic climate, there’s so much pressure on people,” Players Alliance member Otis East said. “You need to be able to decompress somewhere, and if the gaming space is also a place of pressure, where do you go?”\u003c/p>\n\u003cp>East said EA is already in the practice of installing “loot boxes” in its games, in which players can pay money for the prospect of winning special in-game prizes — a practice East compared to gambling, and which he expected to worsen if the deal went through.\u003c/p>\n\u003cfigure id=\"attachment_12083181\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083181\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-05-BL-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-05-BL-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-05-BL-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-05-BL-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Demonstrators gather outside the headquarters of Electronic Arts in Redwood City on May 11, 2026, to protest a proposed $55 billion buyout led by Saudi Arabia’s Public Investment Fund. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“ A lot of these games are built to appeal to children, so you’re normalizing gambling to a very young demographic,” East said. And that, he added, “Could be a very slippery slope.”\u003c/p>\n\u003cp>EA declined to comment on Monday’s action.\u003c/p>\n\u003cp>The company first announced in September 2025 that it agreed to be acquired by the Public Investment Fund of Saudi Arabia, the global technology investment firm Silver Lake, and the investment firm Affinity Partners, which was founded by Kushner in 2021.\u003c/p>\n\u003cp>At the time, the company \u003ca href=\"https://investors.ea.com/press-releases/press-release-details/2025/EA-Announces-Agreement-to-be-Acquired-by-PIF-Silver-Lake-and-Affinity-Partners-for-55-Billion/default.aspx?utm_source\">said \u003c/a>the transaction represented the largest all-cash sponsor take-private investment in history, and that EA would remain headquartered in Redwood City and continue to be led by Wilson.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>“Our creative and passionate teams at EA have delivered extraordinary experiences for hundreds of millions of fans, built some of the world’s most iconic IP, and created significant value for our business,” Andrew Wilson, chairman & CEO of Electronic Arts, said in a September 2025 press release.\u003c/p>\n\u003cp>He called the potential deal “a powerful recognition of their remarkable work,” and added that “Looking ahead, we will continue to push the boundaries of entertainment, sports and technology, unlocking new opportunities.”\u003c/p>\n\u003cp>As part of the deal, EA is taking on $20 billion of debt financed by JPMorgan Chase Bank, which the Players Alliance argued will pressure the company to cut jobs, replace developers with AI and impose price hikes through more aggressive monetization.\u003c/p>\n\u003cp>Ever since 1982, when former Apple employee Trip Hawkins founded EA in the Bay Area, Electronic Arts has created some of the most iconic video game franchises, including Madden NFL, Battlefield and The Sims.\u003c/p>\n\u003cp>For Twitch streamer MivYard, who declined to give her name for safety reasons, games like The Sims have been an important outlet for members of the LGBTQ+ community like herself.\u003c/p>\n\u003cfigure id=\"attachment_12083182\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083182\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-06-BL-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-06-BL-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-06-BL-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-GAMERSPROTEST-06-BL-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Demonstrators gather outside the headquarters of Electronic Arts in Redwood City on May 11, 2026, to protest a proposed $55 billion buyout led by Saudi Arabia’s Public Investment Fund. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“As a bisexual, there weren’t a lot of games where you could just have anybody romance anybody else,” \u003ca href=\"https://www.twitch.tv/mivyard\">MivYard\u003c/a> said. This game has a really special place in my heart, and the thought of it being taken over by people who might want to censor that aspect is really frightening.”\u003c/p>\n\u003cp>East said that gaming helped him with depression, and that he worried this deal would set off a domino effect in the gaming industry, where more publicly traded companies will be taken over by private equity firms — and a greater emphasis will be placed on profits as opposed to the quality of the games.\u003c/p>\n\u003cp>“ I can personally say that gaming has saved my life,” East said. “Being able to play games and connect with people gave me a pathway to speak through what was bothering me, and without that, I don’t know if I would be here.”\u003c/p>\n\u003cp>EA said the transaction is expected to close this year, subject to regulatory approvals.\u003c/p>\n\u003cp>\u003c/p>\n\u003c/div>\u003c/p>",
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"content": "\u003cp>\u003cem>This story is part of \u003c/em>\u003ca href=\"https://www.kqed.org/affordability\">\u003cem>How We Get By\u003c/em>\u003c/a>\u003cem>, a KQED series exploring how people are coping with rising costs in the Bay Area and California. Find the \u003c/em>\u003ca href=\"https://www.kqed.org/affordability\">\u003cem>full series here\u003c/em>\u003c/a>\u003cem>.\u003c/em>\u003c/p>\n\u003cp>California’s next governor will inherit an affordability crisis that defies easy fixes: housing costs that have outpaced incomes for years, electricity rates among the highest in the nation, and gas prices nearly $2 above the national average — all in a state whose economy remains the envy of the country.\u003c/p>\n\u003cp>\u003ca href=\"https://www.kqed.org/news/12074132/xavier-becerra-on-why-his-upbringing-and-career-give-him-an-edge-over-other-gubernatorial-candidates\">Xavier Becerra\u003c/a>, the former U.S. Health and Human Services Secretary and a Democratic candidate for governor, rattled off some of the biggest cost pressures as he spoke to more than 300 people in a high school gym in Concord last month.\u003c/p>\n\u003cp>“The cost of affording a home, your health care, groceries, gasoline,” he said. “That cost of living crisis that we face here — it becomes existential.”\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>The price of housing and energy has been unaffordable for Californians long before a post-pandemic surge in inflation made the cost of living the top concern for voters across America — and a potent political cudgel for politicians from President Donald Trump to New York City Mayor Zohran Mamdani.\u003c/p>\n\u003cp>So it’s no surprise that, in the \u003ca href=\"https://www.kqed.org/news/12082125/inside-californias-billionaire-tax-fight-and-the-wide-open-governors-race\">most competitive primary\u003c/a> for California governor in a generation, candidates from both parties are making affordability central to their campaigns, vowing to ease a cost crunch fueled in part by the state’s top-heavy economy, strict land-use policies and complicated transition from fossil fuels to clean energy.\u003c/p>\n\u003cp>“California is often leading the nation — most of the time, that’s for good,” said Neale Mahoney, director of the Stanford Institute for Economic Policy Research. “But on some of these issues, we’ve been the canary in the coal mine for some of the problems.”\u003c/p>\n\u003cfigure id=\"attachment_12082334\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12082334 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260423_-XAVIERBECERRA_EG_004-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260423_-XAVIERBECERRA_EG_004-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260423_-XAVIERBECERRA_EG_004-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260423_-XAVIERBECERRA_EG_004-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Mark Murphy, center-left, and friend Kimberley J. Rodler, hold handmade signs in support of Xavier Becerra’s gubernatorial bid during a campaign event at Mount Diablo High School in Concord on Thursday, April 23, 2026. \u003ccite>(Estefany Gonzalez for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The challenge: affordability has come to encompass such a wide range of cost pressures that the next governor could struggle to even define success.\u003c/p>\n\u003cp>While leading candidates in both parties agree that housing costs are the greatest strain on residents’ budgets, other affordability proposals run the gamut.\u003c/p>\n\u003cp>Among the Democrats, Becerra is vowing to freeze utility rates and home insurance premiums; investor \u003ca href=\"https://www.kqed.org/news/12075769/tom-steyer-lays-out-vision-for-a-more-affordable-california-in-run-for-governor\">Tom Steyer\u003c/a> wants to return windfall oil profits to residents; San José Mayor \u003ca href=\"https://www.kqed.org/news/12075490/san-jose-mayor-matt-mahan-positions-himself-as-a-change-candidate-in-governors-race\">Matt Mahan\u003c/a> would pause the gas tax, and former congressmember \u003ca href=\"https://www.kqed.org/news/12078450/katie-porters-run-for-governor-centers-tax-cuts-corporate-accountability\">Katie Porter\u003c/a> is promising free child care.\u003c/p>\n\u003cp>On the Republican side, former Fox News commentator \u003ca href=\"https://www.kqed.org/news/12071133/former-fox-news-host-steve-hilton-lays-out-vision-for-california-governorship\">Steve Hilton\u003c/a> wants to cut taxes and car registration fees, while Riverside County Sheriff \u003ca href=\"https://www.kqed.org/news/12081096/riverside-county-sheriff-chad-bianco-on-his-faith-cutting-taxes-and-ballot-seizure\">Chad Bianco\u003c/a> vows to bring down gas prices by encouraging oil production in the state.[aside label=\"From the 2026 Voter Guide\" link1='https://www.kqed.org/voterguide/governor,Learn about the California Governor Election' hero=https://cdn.kqed.org/wp-content/uploads/sites/80/2026/04/Aside-California-Governor-2026-Primary-Election-1200x1200@2x.png]The specifics may differ, but the political upside of running a campaign focused on affordability is undeniable. Trump hammered former Vice President Kamala Harris over inflation on his way to victory in 2024. The following year, Mamdani made the cost of rent and transit a centerpiece of his successful campaign for mayor — while fellow Democrats won governor’s races in New Jersey and Virginia on affordability platforms.\u003c/p>\n\u003cp>In the California governor’s race, candidates have leaned into their own personal histories as they attempt to connect with voters struggling with rising costs. Becerra has shared stories of his immigrant parents saving up to buy a house.\u003c/p>\n\u003cp>Mahan has recounted his working-class upbringing in the farming town of Watsonville. Hilton has pointed to his humble beginnings as the son of Hungarian refugees in London, and Porter has openly discussed the struggle of raising a family in the state.\u003c/p>\n\u003cp>“I’m the single mom of three teenagers who believe they will not be able to buy houses here in California,” Porter said at a debate hosted by CBS in April.\u003c/p>\n\u003cp>Voters like Luis Hernandez, who attended Becerra’s event in Concord, are looking for more than just campaign rhetoric. Hernandez is self-employed and buys health insurance through the Covered California exchange. He bemoaned rising premiums that are eating into his earnings and wants to know how the former attorney general plans to lower costs.\u003c/p>\n\u003cp>“Home insurance, car insurance and the worst is health insurance,” Hernandez said. “Everything is going up, so it’s tough.”\u003c/p>\n\u003cp>Traditional metrics for measuring affordability don’t neatly capture voter angst about cost pressures.\u003c/p>\n\u003cfigure id=\"attachment_12082354\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082354\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260504_KATIEPORTERTOWNHALL_GC-11-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1307\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260504_KATIEPORTERTOWNHALL_GC-11-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260504_KATIEPORTERTOWNHALL_GC-11-KQED-160x105.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260504_KATIEPORTERTOWNHALL_GC-11-KQED-1536x1004.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Gubernatorial candidate Katie Porter (D) speaks during a town hall at KQED on May 4, 2026. \u003ccite>(Gina Castro for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>A longstanding gauge of purchasing power is real income, which measures pay after taking into account price increases. Real personal income \u003ca href=\"https://www.bea.gov/data/income-saving/real-personal-income-states\">increased by\u003c/a> 5.5% in California between 2023 and 2024 — the largest jump in the nation, according to the Bureau of Economic Analysis. And real income for the median household in the state has \u003ca href=\"https://fred.stlouisfed.org/series/MEHOINUSCAA672N\">risen to new highs\u003c/a> after a post-pandemic decline.\u003c/p>\n\u003cp>Yet a UC Berkeley Institute of Governmental Studies \u003ca href=\"https://escholarship.org/uc/item/8dj134w8\">survey\u003c/a> last month found a whopping 40% of likely voters picked “reducing the cost of living” as a top priority of California’s next governor. No other issue came close — and voters also prioritized specific cost-related solutions, such as building affordable housing (12%), lowering gas prices (10%), reducing health care costs (7%) and cutting utility rates (4%).\u003c/p>\n\u003cp>What the macroeconomic statistics miss is that the most acute price pressures are on essential goods and services that are hardest for Californians to substitute, Mahoney said.\u003c/p>\n\u003cp>“Maybe the price of a flat screen TV has decreased, and that’s great,” Mahoney said. “But the price for health care, the price for housing … these are really essentials and price increases there hit in a really inescapable way.”\u003c/p>\n\u003cfigure id=\"attachment_12081062\" class=\"wp-caption aligncenter\" style=\"max-width: 1999px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12081062\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/FTP_9P3A3852_1_qed.jpg\" alt=\"\" width=\"1999\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/FTP_9P3A3852_1_qed.jpg 1999w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/FTP_9P3A3852_1_qed-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/FTP_9P3A3852_1_qed-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1999px) 100vw, 1999px\">\u003cfigcaption class=\"wp-caption-text\">Chad Bianco, Republican gubernatorial candidate for California, speaks during a gubernatorial debate at KRON Studios in San Francisco, California, US, on Wednesday, April 22, 2026. California will hold its primary election on June 2, where the top two finishers advance to the general election in November regardless of party affiliation. \u003ccite>(Jason Henry/Nexstar/Bloomberg)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Nowhere is that more evident than the cost of housing. The median home value in California is more than twice the national average, putting homeownership, long a key pathway to middle-class financial security, increasingly out of reach.\u003c/p>\n\u003cp>A \u003ca href=\"https://lao.ca.gov/LAOEconTax/Article/Detail/793\">new report\u003c/a> from the state’s Legislative Analyst’s Office found that a mid-tier home in California (a house with a value in the 35th to 65th percentile) costs about $775,000. Since 2020, the income needed to qualify for a mortgage on a mid-tier home has increased far more quickly than median household income.\u003c/p>\n\u003cp>“While home prices have stabilized, housing has become less affordable for most Californians in recent years,” the report found.\u003c/p>\n\u003cp>The leading contenders for governor share a focus on the supply side of the housing equation: finding ways to increase development and construction by streamlining or removing regulations and easing local zoning restrictions.[aside label=\"2026 California Voter Guide\" link1='https://www.kqed.org/voterguide,Learn everything you need to cast an informed ballot for the 2026 primary election' hero=https://cdn.kqed.org/wp-content/uploads/sites/80/2026/04/Aside-California-Voter-Guide-2026-Primary-Election-1200x1200@2x.png]While Democrats Becerra, Porter and Steyer said they will focus their efforts on promoting denser housing near transit, Republicans Bianco and Hilton have argued for extending the growth of single-family neighborhoods.\u003c/p>\n\u003cp>“We do not have a land problem in California,” Bianco said in an April debate hosted by Nexstar. “We have a management problem, we have a government problem that we absolutely must take away.”\u003c/p>\n\u003cp>But affordability concerns in the state extend beyond the price of renting or buying a home, said Evan White, executive director of the California Policy Lab at the University of California.\u003c/p>\n\u003cp>“On average, Californians pay about twice as much for housing as the average American, they pay 60% more for utilities than the average American, they pay 40% more for gas than the average American, they pay 11% more for groceries than the average American,” he said. “We’re the most expensive state by far.”\u003c/p>\n\u003cp>Many of those cost pressures reflect California’s perilous position in the midst of a complicated transition from fossil fuels to clean energy. Californians are being hit with the costs of damaging wildfires fueled by years of climate pollution, while the state’s carbon-intensive oil and gas industry faces an uncertain future.\u003c/p>\n\u003cp>Gas prices in the state currently average $6.16 a gallon, per AAA — the highest in the nation. The gap between California and the national average is due in part to the cost of state fuel blend requirements, environmental regulations and what UC Berkeley professor Severin Borenstein has \u003ca href=\"https://energyathaas.wordpress.com/2023/01/09/whats-the-matter-with-californias-gasoline-prices/\">dubbed\u003c/a> the “mystery gasoline surcharge.”\u003c/p>\n\u003cp>Bianco has proposed eliminating the state’s 61-cent-per-gallon gas tax, which funds road repair and transit. Hilton wants to reduce the gas tax and suspend the state’s Low Carbon Fuel Standard, which adds about eight to 10 cents per gallon. Steyer, by contrast, said he would seek to impose a cap on refinery profits and return any profits above the cap to residents.\u003c/p>\n\u003cp>Then there are electricity prices, which have increased dramatically in recent years — in large part due to investments made by investor-owned utilities to prevent future wildfires. The costs of those mitigation measures, such as undergrounding wires and trimming trees, were passed along to customers of PG&E, SoCal Edison and SDG&E.\u003c/p>\n\u003cfigure id=\"attachment_12082331\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12082331 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/043006TOMSTEYER_GH_007-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/043006TOMSTEYER_GH_007-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/043006TOMSTEYER_GH_007-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/043006TOMSTEYER_GH_007-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Democratic gubernatorial candidate Tom Steyer speaks during a town hall event on April 30, 2026, in San José. \u003ccite>(Gustavo Hernandez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Steyer has proposed cutting the utilities’ guaranteed rate of return for capital projects and making it easier for cities and counties to form publicly owned power providers.\u003c/p>\n\u003cp>“We’re going to have a different rule at the Public Utilities Commission about how they get paid,” Steyer told KQED’s \u003ca href=\"https://www.youtube.com/watch?v=QjXvKfldFlI&t=346s\">Political Breakdown\u003c/a>. “And we’re going to introduce local competition.”\u003c/p>\n\u003cp>Hilton is also a supporter of locally-owned utilities. He is proposing to reclassify hydropower from large dams as “renewable energy,” which he argues will reduce what utilities need to spend on wind and solar power to meet the state’s climate goals.\u003c/p>\n\u003cp>While the next governor has the ability to make progress on reducing these cost burdens, White cautioned that the challenges won’t be fixed overnight — or alone.\u003c/p>\n\u003cfigure id=\"attachment_12078808\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12078808\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/SteveHiltonAP.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/SteveHiltonAP.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/SteveHiltonAP-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/SteveHiltonAP-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Steve Hilton speaks during the California gubernatorial candidate debate on Feb. 3, 2026, in San Francisco. \u003ccite>(Laure Andrillon/AP Photo)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“The governor could do a lot to improve not only housing costs, but utility costs and other high costs in the state,” he said. “But they do need to be able to work with the Legislature effectively to do that.”\u003c/p>\n\u003cp>And even before polls close in the June 2 primary, many Californians struggling to afford life in the state have already voted with their feet.\u003c/p>\n\u003cp>White \u003ca href=\"https://capolicylab.org/priced-out-relocation-amidst-californias-affordability-crisis/\">studied the migration trends\u003c/a> of California households over the past decade. Forty-two states send fewer people to California than they did 10 years ago. And families who decided to leave California are improving their financial conditions and becoming more likely to own a home in the years after their relocation.\u003c/p>\n\u003cp>“It’s clear that when they move,” White said. “They’re moving to much, much, much more affordable places.”\u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n",
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"excerpt": "With the cost of living ranking high on the list of concerns for Californians heading into the June 2 primary, gubernatorial candidates from both parties are centering their campaigns on affordability.",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>\u003cem>This story is part of \u003c/em>\u003ca href=\"https://www.kqed.org/affordability\">\u003cem>How We Get By\u003c/em>\u003c/a>\u003cem>, a KQED series exploring how people are coping with rising costs in the Bay Area and California. Find the \u003c/em>\u003ca href=\"https://www.kqed.org/affordability\">\u003cem>full series here\u003c/em>\u003c/a>\u003cem>.\u003c/em>\u003c/p>\n\u003cp>California’s next governor will inherit an affordability crisis that defies easy fixes: housing costs that have outpaced incomes for years, electricity rates among the highest in the nation, and gas prices nearly $2 above the national average — all in a state whose economy remains the envy of the country.\u003c/p>\n\u003cp>\u003ca href=\"https://www.kqed.org/news/12074132/xavier-becerra-on-why-his-upbringing-and-career-give-him-an-edge-over-other-gubernatorial-candidates\">Xavier Becerra\u003c/a>, the former U.S. Health and Human Services Secretary and a Democratic candidate for governor, rattled off some of the biggest cost pressures as he spoke to more than 300 people in a high school gym in Concord last month.\u003c/p>\n\u003cp>“The cost of affording a home, your health care, groceries, gasoline,” he said. “That cost of living crisis that we face here — it becomes existential.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>The price of housing and energy has been unaffordable for Californians long before a post-pandemic surge in inflation made the cost of living the top concern for voters across America — and a potent political cudgel for politicians from President Donald Trump to New York City Mayor Zohran Mamdani.\u003c/p>\n\u003cp>So it’s no surprise that, in the \u003ca href=\"https://www.kqed.org/news/12082125/inside-californias-billionaire-tax-fight-and-the-wide-open-governors-race\">most competitive primary\u003c/a> for California governor in a generation, candidates from both parties are making affordability central to their campaigns, vowing to ease a cost crunch fueled in part by the state’s top-heavy economy, strict land-use policies and complicated transition from fossil fuels to clean energy.\u003c/p>\n\u003cp>“California is often leading the nation — most of the time, that’s for good,” said Neale Mahoney, director of the Stanford Institute for Economic Policy Research. “But on some of these issues, we’ve been the canary in the coal mine for some of the problems.”\u003c/p>\n\u003cfigure id=\"attachment_12082334\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12082334 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260423_-XAVIERBECERRA_EG_004-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260423_-XAVIERBECERRA_EG_004-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260423_-XAVIERBECERRA_EG_004-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260423_-XAVIERBECERRA_EG_004-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Mark Murphy, center-left, and friend Kimberley J. Rodler, hold handmade signs in support of Xavier Becerra’s gubernatorial bid during a campaign event at Mount Diablo High School in Concord on Thursday, April 23, 2026. \u003ccite>(Estefany Gonzalez for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The challenge: affordability has come to encompass such a wide range of cost pressures that the next governor could struggle to even define success.\u003c/p>\n\u003cp>While leading candidates in both parties agree that housing costs are the greatest strain on residents’ budgets, other affordability proposals run the gamut.\u003c/p>\n\u003cp>Among the Democrats, Becerra is vowing to freeze utility rates and home insurance premiums; investor \u003ca href=\"https://www.kqed.org/news/12075769/tom-steyer-lays-out-vision-for-a-more-affordable-california-in-run-for-governor\">Tom Steyer\u003c/a> wants to return windfall oil profits to residents; San José Mayor \u003ca href=\"https://www.kqed.org/news/12075490/san-jose-mayor-matt-mahan-positions-himself-as-a-change-candidate-in-governors-race\">Matt Mahan\u003c/a> would pause the gas tax, and former congressmember \u003ca href=\"https://www.kqed.org/news/12078450/katie-porters-run-for-governor-centers-tax-cuts-corporate-accountability\">Katie Porter\u003c/a> is promising free child care.\u003c/p>\n\u003cp>On the Republican side, former Fox News commentator \u003ca href=\"https://www.kqed.org/news/12071133/former-fox-news-host-steve-hilton-lays-out-vision-for-california-governorship\">Steve Hilton\u003c/a> wants to cut taxes and car registration fees, while Riverside County Sheriff \u003ca href=\"https://www.kqed.org/news/12081096/riverside-county-sheriff-chad-bianco-on-his-faith-cutting-taxes-and-ballot-seizure\">Chad Bianco\u003c/a> vows to bring down gas prices by encouraging oil production in the state.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>The specifics may differ, but the political upside of running a campaign focused on affordability is undeniable. Trump hammered former Vice President Kamala Harris over inflation on his way to victory in 2024. The following year, Mamdani made the cost of rent and transit a centerpiece of his successful campaign for mayor — while fellow Democrats won governor’s races in New Jersey and Virginia on affordability platforms.\u003c/p>\n\u003cp>In the California governor’s race, candidates have leaned into their own personal histories as they attempt to connect with voters struggling with rising costs. Becerra has shared stories of his immigrant parents saving up to buy a house.\u003c/p>\n\u003cp>Mahan has recounted his working-class upbringing in the farming town of Watsonville. Hilton has pointed to his humble beginnings as the son of Hungarian refugees in London, and Porter has openly discussed the struggle of raising a family in the state.\u003c/p>\n\u003cp>“I’m the single mom of three teenagers who believe they will not be able to buy houses here in California,” Porter said at a debate hosted by CBS in April.\u003c/p>\n\u003cp>Voters like Luis Hernandez, who attended Becerra’s event in Concord, are looking for more than just campaign rhetoric. Hernandez is self-employed and buys health insurance through the Covered California exchange. He bemoaned rising premiums that are eating into his earnings and wants to know how the former attorney general plans to lower costs.\u003c/p>\n\u003cp>“Home insurance, car insurance and the worst is health insurance,” Hernandez said. “Everything is going up, so it’s tough.”\u003c/p>\n\u003cp>Traditional metrics for measuring affordability don’t neatly capture voter angst about cost pressures.\u003c/p>\n\u003cfigure id=\"attachment_12082354\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082354\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260504_KATIEPORTERTOWNHALL_GC-11-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1307\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260504_KATIEPORTERTOWNHALL_GC-11-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260504_KATIEPORTERTOWNHALL_GC-11-KQED-160x105.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/20260504_KATIEPORTERTOWNHALL_GC-11-KQED-1536x1004.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Gubernatorial candidate Katie Porter (D) speaks during a town hall at KQED on May 4, 2026. \u003ccite>(Gina Castro for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>A longstanding gauge of purchasing power is real income, which measures pay after taking into account price increases. Real personal income \u003ca href=\"https://www.bea.gov/data/income-saving/real-personal-income-states\">increased by\u003c/a> 5.5% in California between 2023 and 2024 — the largest jump in the nation, according to the Bureau of Economic Analysis. And real income for the median household in the state has \u003ca href=\"https://fred.stlouisfed.org/series/MEHOINUSCAA672N\">risen to new highs\u003c/a> after a post-pandemic decline.\u003c/p>\n\u003cp>Yet a UC Berkeley Institute of Governmental Studies \u003ca href=\"https://escholarship.org/uc/item/8dj134w8\">survey\u003c/a> last month found a whopping 40% of likely voters picked “reducing the cost of living” as a top priority of California’s next governor. No other issue came close — and voters also prioritized specific cost-related solutions, such as building affordable housing (12%), lowering gas prices (10%), reducing health care costs (7%) and cutting utility rates (4%).\u003c/p>\n\u003cp>What the macroeconomic statistics miss is that the most acute price pressures are on essential goods and services that are hardest for Californians to substitute, Mahoney said.\u003c/p>\n\u003cp>“Maybe the price of a flat screen TV has decreased, and that’s great,” Mahoney said. “But the price for health care, the price for housing … these are really essentials and price increases there hit in a really inescapable way.”\u003c/p>\n\u003cfigure id=\"attachment_12081062\" class=\"wp-caption aligncenter\" style=\"max-width: 1999px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12081062\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/FTP_9P3A3852_1_qed.jpg\" alt=\"\" width=\"1999\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/FTP_9P3A3852_1_qed.jpg 1999w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/FTP_9P3A3852_1_qed-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/FTP_9P3A3852_1_qed-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1999px) 100vw, 1999px\">\u003cfigcaption class=\"wp-caption-text\">Chad Bianco, Republican gubernatorial candidate for California, speaks during a gubernatorial debate at KRON Studios in San Francisco, California, US, on Wednesday, April 22, 2026. California will hold its primary election on June 2, where the top two finishers advance to the general election in November regardless of party affiliation. \u003ccite>(Jason Henry/Nexstar/Bloomberg)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Nowhere is that more evident than the cost of housing. The median home value in California is more than twice the national average, putting homeownership, long a key pathway to middle-class financial security, increasingly out of reach.\u003c/p>\n\u003cp>A \u003ca href=\"https://lao.ca.gov/LAOEconTax/Article/Detail/793\">new report\u003c/a> from the state’s Legislative Analyst’s Office found that a mid-tier home in California (a house with a value in the 35th to 65th percentile) costs about $775,000. Since 2020, the income needed to qualify for a mortgage on a mid-tier home has increased far more quickly than median household income.\u003c/p>\n\u003cp>“While home prices have stabilized, housing has become less affordable for most Californians in recent years,” the report found.\u003c/p>\n\u003cp>The leading contenders for governor share a focus on the supply side of the housing equation: finding ways to increase development and construction by streamlining or removing regulations and easing local zoning restrictions.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>While Democrats Becerra, Porter and Steyer said they will focus their efforts on promoting denser housing near transit, Republicans Bianco and Hilton have argued for extending the growth of single-family neighborhoods.\u003c/p>\n\u003cp>“We do not have a land problem in California,” Bianco said in an April debate hosted by Nexstar. “We have a management problem, we have a government problem that we absolutely must take away.”\u003c/p>\n\u003cp>But affordability concerns in the state extend beyond the price of renting or buying a home, said Evan White, executive director of the California Policy Lab at the University of California.\u003c/p>\n\u003cp>“On average, Californians pay about twice as much for housing as the average American, they pay 60% more for utilities than the average American, they pay 40% more for gas than the average American, they pay 11% more for groceries than the average American,” he said. “We’re the most expensive state by far.”\u003c/p>\n\u003cp>Many of those cost pressures reflect California’s perilous position in the midst of a complicated transition from fossil fuels to clean energy. Californians are being hit with the costs of damaging wildfires fueled by years of climate pollution, while the state’s carbon-intensive oil and gas industry faces an uncertain future.\u003c/p>\n\u003cp>Gas prices in the state currently average $6.16 a gallon, per AAA — the highest in the nation. The gap between California and the national average is due in part to the cost of state fuel blend requirements, environmental regulations and what UC Berkeley professor Severin Borenstein has \u003ca href=\"https://energyathaas.wordpress.com/2023/01/09/whats-the-matter-with-californias-gasoline-prices/\">dubbed\u003c/a> the “mystery gasoline surcharge.”\u003c/p>\n\u003cp>Bianco has proposed eliminating the state’s 61-cent-per-gallon gas tax, which funds road repair and transit. Hilton wants to reduce the gas tax and suspend the state’s Low Carbon Fuel Standard, which adds about eight to 10 cents per gallon. Steyer, by contrast, said he would seek to impose a cap on refinery profits and return any profits above the cap to residents.\u003c/p>\n\u003cp>Then there are electricity prices, which have increased dramatically in recent years — in large part due to investments made by investor-owned utilities to prevent future wildfires. The costs of those mitigation measures, such as undergrounding wires and trimming trees, were passed along to customers of PG&E, SoCal Edison and SDG&E.\u003c/p>\n\u003cfigure id=\"attachment_12082331\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12082331 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/043006TOMSTEYER_GH_007-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/043006TOMSTEYER_GH_007-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/043006TOMSTEYER_GH_007-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/043006TOMSTEYER_GH_007-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Democratic gubernatorial candidate Tom Steyer speaks during a town hall event on April 30, 2026, in San José. \u003ccite>(Gustavo Hernandez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Steyer has proposed cutting the utilities’ guaranteed rate of return for capital projects and making it easier for cities and counties to form publicly owned power providers.\u003c/p>\n\u003cp>“We’re going to have a different rule at the Public Utilities Commission about how they get paid,” Steyer told KQED’s \u003ca href=\"https://www.youtube.com/watch?v=QjXvKfldFlI&t=346s\">Political Breakdown\u003c/a>. “And we’re going to introduce local competition.”\u003c/p>\n\u003cp>Hilton is also a supporter of locally-owned utilities. He is proposing to reclassify hydropower from large dams as “renewable energy,” which he argues will reduce what utilities need to spend on wind and solar power to meet the state’s climate goals.\u003c/p>\n\u003cp>While the next governor has the ability to make progress on reducing these cost burdens, White cautioned that the challenges won’t be fixed overnight — or alone.\u003c/p>\n\u003cfigure id=\"attachment_12078808\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12078808\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/SteveHiltonAP.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/SteveHiltonAP.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/SteveHiltonAP-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/SteveHiltonAP-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Steve Hilton speaks during the California gubernatorial candidate debate on Feb. 3, 2026, in San Francisco. \u003ccite>(Laure Andrillon/AP Photo)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“The governor could do a lot to improve not only housing costs, but utility costs and other high costs in the state,” he said. “But they do need to be able to work with the Legislature effectively to do that.”\u003c/p>\n\u003cp>And even before polls close in the June 2 primary, many Californians struggling to afford life in the state have already voted with their feet.\u003c/p>\n\u003cp>White \u003ca href=\"https://capolicylab.org/priced-out-relocation-amidst-californias-affordability-crisis/\">studied the migration trends\u003c/a> of California households over the past decade. Forty-two states send fewer people to California than they did 10 years ago. And families who decided to leave California are improving their financial conditions and becoming more likely to own a home in the years after their relocation.\u003c/p>\n\u003cp>“It’s clear that when they move,” White said. “They’re moving to much, much, much more affordable places.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"title": "Gubernatorial Candidate Katie Porter Fields Questions on Schools, Housing, Gas Prices at KQED Town Hall",
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"content": "\u003cp class=\"e-10223-text\">\u003cspan class=\"sc-hhobiw\">Former Orange County Rep. Katie Porter is aiming to make history as the first woman elected governor of California. She’s known for flipping a House seat blue in 2018 and for grilling CEOs with her signature whiteboard. \u003c/span>\u003c/p>\n\u003cp class=\"e-10223-text\" style=\"padding-block-end: 8px\" data-encore-id=\"text\" data-slate-node=\"element\">\u003cspan data-slate-node=\"text\">\u003cspan class=\"sc-hhobiw\">After leaving Congress to run for the U.S. Senate in 2024 and losing, Porter is back on the campaign trail, leaning into her identity as a single mom in a minivan who’s focused on the affordability of things like housing, childcare, groceries and healthcare. \u003c/span>\u003c/span>\u003c/p>\n\u003cp class=\"e-10223-text\" style=\"padding-block-end: 8px\" data-encore-id=\"text\" data-slate-node=\"element\" data-slate-fragment=\"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\">\u003cspan data-slate-node=\"text\">\u003cspan class=\"sc-hhobiw\">She took questions from a \u003c/span>\u003c/span>\u003cspan data-slate-node=\"text\">\u003cspan class=\"sc-hhobiw\">live audience\u003c/span>\u003c/span>\u003cspan data-slate-node=\"text\">\u003cspan class=\"sc-hhobiw\"> at KQED’s town hall gathering earlier this week. \u003c/span>\u003c/span>\u003c/p>\n\u003cp>https://www.youtube.com/watch?v=igIMT5ZSfKc\u003c/p>\n\u003cp>For more information on the races and ballot measures in California’s June 2 primary election, check out \u003ca href=\"https://www.kqed.org/elections/results\">KQED’s Voter Guide\u003c/a>.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\u003cp>\u003c/p>\n",
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"info": "What kind of no sabo word is Hyphenación? For us, it’s about living within a hyphenation. Like being a third-gen Mexican-American from the Texas border now living that Bay Area Chicano life. Like Xorje! Each week we bring together a couple of hyphenated Latinos to talk all about personal life choices: family, careers, relationships, belonging … everything is on the table. ",
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"info": "The Political Mind of Jerry Brown brings listeners the wisdom of the former Governor, Mayor, and presidential candidate. Scott Shafer interviewed Brown for more than 40 hours, covering the former governor's life and half-century in the political game – and Brown has some lessons he'd like to share. ",
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"marketplace": {
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"info": "Our flagship program, helmed by Kai Ryssdal, examines what the day in money delivered, through stories, conversations, newsworthy numbers and more. Updated Monday through Friday at about 3:30 p.m. PT.",
"airtime": "MON-FRI 4pm-4:30pm, MON-WED 6:30pm-7pm",
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"masters-of-scale": {
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},
"mindshift": {
"id": "mindshift",
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"info": "The MindShift podcast explores the innovations in education that are shaping how kids learn. Hosts Ki Sung and Katrina Schwartz introduce listeners to educators, researchers, parents and students who are developing effective ways to improve how kids learn. We cover topics like how fed-up administrators are developing surprising tactics to deal with classroom disruptions; how listening to podcasts are helping kids develop reading skills; the consequences of overparenting; and why interdisciplinary learning can engage students on all ends of the traditional achievement spectrum. This podcast is part of the MindShift education site, a division of KQED News. KQED is an NPR/PBS member station based in San Francisco. You can also visit the MindShift website for episodes and supplemental blog posts or tweet us \u003ca href=\"https://twitter.com/MindShiftKQED\">@MindShiftKQED\u003c/a> or visit us at \u003ca href=\"/mindshift\">MindShift.KQED.org\u003c/a>",
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"order": 12
},
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"google": "https://podcasts.google.com/feed/aHR0cHM6Ly9mZWVkcy5tZWdhcGhvbmUuZm0vS1FJTkM1NzY0NjAwNDI5",
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"morning-edition": {
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"info": "\u003cem>Morning Edition\u003c/em> takes listeners around the country and the world with multi-faceted stories and commentaries every weekday. Hosts Steve Inskeep, David Greene and Rachel Martin bring you the latest breaking news and features to prepare you for the day.",
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"onourwatch": {
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"title": "On Our Watch",
"tagline": "Deeply-reported investigative journalism",
"info": "For decades, the process for how police police themselves has been inconsistent – if not opaque. In some states, like California, these proceedings were completely hidden. After a new police transparency law unsealed scores of internal affairs files, our reporters set out to examine these cases and the shadow world of police discipline. On Our Watch brings listeners into the rooms where officers are questioned and witnesses are interrogated to find out who this system is really protecting. Is it the officers, or the public they've sworn to serve?",
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"order": 11
},
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"on-the-media": {
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"title": "On The Media",
"info": "Our weekly podcast explores how the media 'sausage' is made, casts an incisive eye on fluctuations in the marketplace of ideas, and examines threats to the freedom of information and expression in America and abroad. For one hour a week, the show tries to lift the veil from the process of \"making media,\" especially news media, because it's through that lens that we see the world and the world sees us",
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},
"link": "/radio/program/on-the-media",
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},
"pbs-newshour": {
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"tuneIn": "https://tunein.com/radio/PBS-NewsHour---Full-Show-p425698/",
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},
"perspectives": {
"id": "perspectives",
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"order": 14
},
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"planet-money": {
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"info": "The economy explained. Imagine you could call up a friend and say, Meet me at the bar and tell me what's going on with the economy. Now imagine that's actually a fun evening.",
"airtime": "SUN 3pm-4pm",
"imageSrc": "https://ww2.kqed.org/radio/wp-content/uploads/sites/50/2018/04/planetmoney.jpg",
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},
"link": "/radio/program/planet-money",
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"apple": "https://itunes.apple.com/us/podcast/planet-money/id290783428?mt=2",
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},
"politicalbreakdown": {
"id": "politicalbreakdown",
"title": "Political Breakdown",
"tagline": "Politics from a personal perspective",
"info": "Political Breakdown is a new series that explores the political intersection of California and the nation. Each week hosts Scott Shafer and Marisa Lagos are joined with a new special guest to unpack politics -- with personality — and offer an insider’s glimpse at how politics happens.",
"airtime": "THU 6:30pm-7pm",
"imageSrc": "https://cdn.kqed.org/wp-content/uploads/2024/04/Political-Breakdown-2024-Podcast-Tile-703x703-1.jpg",
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"order": 5
},
"link": "/podcasts/politicalbreakdown",
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"amazon": "https://music.amazon.com/podcasts/e0c2d153-ad36-4c8d-901d-f1da6a724824/political-breakdown",
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"possible": {
"id": "possible",
"title": "Possible",
"info": "Possible is hosted by entrepreneur Reid Hoffman and writer Aria Finger. Together in Possible, Hoffman and Finger lead enlightening discussions about building a brighter collective future. The show features interviews with visionary guests like Trevor Noah, Sam Altman and Janette Sadik-Khan. Possible paints an optimistic portrait of the world we can create through science, policy, business, art and our shared humanity. It asks: What if everything goes right for once? How can we get there? Each episode also includes a short fiction story generated by advanced AI GPT-4, serving as a thought-provoking springboard to speculate how humanity could leverage technology for good.",
"airtime": "SUN 2pm",
"imageSrc": "https://cdn.kqed.org/wp-content/uploads/2024/04/Possible-Podcast-Tile-360x360-1.jpg",
"officialWebsiteLink": "https://www.possible.fm/",
"meta": {
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"source": "Possible"
},
"link": "/radio/program/possible",
"subscribe": {
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"spotify": "https://open.spotify.com/show/730YpdUSNlMyPQwNnyjp4k"
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},
"pri-the-world": {
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