Newsom and Wiener test a newly emboldened left

PROGRESSIVE SQUEEZE — Two different San Francisco Democrats — Gavin Newsom and Scott Wiener — have found themselves in a similar bind in recent days: Running afoul of newly-potent progressive litmus tests.

For Wiener, the clash played out in volatile public fashion, with activists accusing him of not sufficiently condemning Israel’s war in Gaza.

Newsom, meanwhile, has been trying to execute a high-wire act — opposing a California ballot initiative to impose a one-time wealth tax, while promoting his own plan for a national tax on billionaires. As Melanie and Jeremy B. White reported, the staunchest pro-wealth tax progressives aren’t buying it, dismissing his counteroffer as running cover for the rich.

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Casting Newsom and Wiener as crypto-Republicans may seem bizarre to most people who see the governor and state senator regularly portrayed in conservative media as the personification of California radicalism. In truth, both men are — by San Francisco standards — moderates and have long been eyed suspiciously by those further to the left.

“I’m a guy, remember, who ran against the Green Party as mayor,” Newsom told Playbook, namechecking his frequent foes on the left flank of San Francisco politics. “Former Assemblyman Tom Ammiano, Supervisor Chris Daly — all of this is so familiar to me.”

But the reasons for these latest ruptures reveal a lot about the new battle lines being drawn in the Democratic Party. In Wiener’s case, it’s the debate over U.S. support for Israel which, in a few short years, has become a purity test for much of the party’s base — so much so that, in Weiner’s case, his stance on Gaza was enough to make the ardently pro-transgender rights legislator unwelcome at the Trans March.

Wiener, who is running against SF Supervisor Connie Chan in the race to succeed Nancy Pelosi, is used to being pummeled with incoming from both the left and the right. He has said that San Francisco’s sharp-elbowed political world requires a thick skin, whether that’s taking on a dedicated local band of public nudists or withstanding online invective from the right calling him a pedophile.

The weekend fracas hit a particular nerve; a video of activists surrounding and screaming at Wiener until the lawmaker left the event went mega-viral, with the clip getting at least 11 million views. A number of politicians — including state Senate leader Monique LimónSan Francisco Mayor Daniel Lurie and even newly-minted Republican Rep. James Gallagher — all came to Wiener’s defense and condemned the activists.

For Newsom, the issue of taxing billionaires has become a symbol of the left’s growing demands for aggressive economic populism.

“What you’re seeing across the country is a grassroots uprising by Democrats against leaders who for too long have stood with the interests of wealthy and powerful people over the needs of wealthy people,” said Jeff Weaver, a former top aide to Sen. Bernie Sanders. “On this one, Gavin Newsom is just on the wrong side.”

The intra-party battle is especially potent after progressives romped to victory in three New York House Democratic primaries last week, fueling fresh questions of whether the party’s agenda is now being set by the Democratic Socialists of America and New York City Mayor Zohran Mamdani. At times throughout Newsom’s tenure, the governor tried to shore up his centrist credentials. But now, with a likely 2028 Democratic presidential primary ahead of him, he is keen to point out the ways he was an early adopter of the progressive policies now championed by the left.

WATCH: GOP lawmaker voices opposition to gas tax increase

(The Center Square) – California drivers can expect the state’s gas tax to go up 2.2 cents on July 1, which will bring the total tax to 63.4 cents a gallon.

That will drive up gas prices in the Golden State, which consistently has the nation’s highest prices, even further.

“For our hardworking California families – at a time when Democrats and Republicans say the No. 1 issue is affordability – we’re making it harder to make ends meet,” Sen. Tony Strickland, R-Huntington Beach, told The Center Square. “Our gas prices are astronomically high because of taxes – and also because we lost 20% of our oil production and we rely almost exclusively on foreign oil.”

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Several other states, Strickland said, suspended their state gas taxes because gas prices in those states also rose. In Georgia, the Legislature temporarily suspended the Peach State’s gas tax after prices surpassed $3 a gallon, far lower than gas prices in California, according to previous reporting by The Center Square.

“Higher gas prices not only hurt those folks who use it at the pump, but also makes groceries cost a lot more,” Strickland said. “Your eggs, your milk, your vegetables, your fruit, higher gas prices get pushed on that. So you have higher grocery costs because of this.”

According to AAA, California’s gas prices went down slightly to $5.61 a gallon on Friday – down from $5.64 a gallon on Thursday. That itself is down from the average price of gas in California one month ago, when prices hit $6.15 a gallon. The national average on Friday was $3.97 a gallon.

Mono County had the most expensive gas prices in California on Friday, according to AAA, which saw the average gallon of gas cost drivers $6.88. Other counties that saw some of the highest gas prices in the state on Friday were Inyo County, on the Nevada border and Sierra County in Northern California, at $6.22 a gallon. Trinity County, also in Northern California, saw average prices around $6.14 a gallon, while the counties of Humboldt and Nevada saw gas prices hover just over $6.

The lowest gas prices in the state were in the Northern California county of Yuba, which saw gas prices around $5.38 a gallon. Other counties in the southernmost part of the state saw slightly higher gas prices. San Bernardino County drivers paid $5.46 a gallon on Friday, while Imperial County saw an average of $5.47.

Click here to read the full article in the Center Square

Newsom vows 100 percent tax on DOJ ‘Anti-Weaponization Fund’ payouts

His pledge mirrors Democratic efforts in New York and New Jersey.

SACRAMENTO, California — Gavin Newsom vowed Wednesday to tax any payouts that California residents receive from a $1.776 billion “anti-weaponization” fund that Donald Trump secured in a settlement with his own Justice Department, as Democratic lawmakers in states across the country ramp up efforts to counter the president on the measure.

“Anyone from California that receives any of those funds, we want to tax 100 percent of those proceeds,” the California governor told reporters during a press conference in his office, calling the settlement a “slush fund.”

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Newsom’s pledge mirrors legislation unveiled earlier this week in New York by Democrat Alex Bores, a state assemblymember and House candidate, that would assess a 100 percent tax against payouts from the fund. Trump announced the fund last week as part of his $10 billion settlement with the DOJ in his lawsuit against the IRS, and Democratic efforts to undercut any payouts are picking up across the country.

Democratic state lawmakers in New York are pushing for a vote by next week to fully tax payouts from the fund. Queens state Sen. Mike Gianaris in an interview said his measure was in the process of being introduced in the Democratic-dominated Legislature.

“There’s widespread, bipartisan agreement that this is baldfaced corruption at its worst and if we have the ability in New York to combat it by ensuring that none of this money benefits anyone in our state’s borders, I’d expect there’d be widespread support for that idea,” he said.

Bores in a text message Wednesday night said he was working on getting his bill put up for a vote next week as well. Time is running short in Albany, where lawmakers are scheduled to end their legislative session late next week and will have a heavy docket of bills to approve.

In New Jersey, a Democratic state lawmaker said he was already working to draft a bill to set up a 100 percent tax on recipients of the funds.

“I think it’s brilliant — because the slush fund is completely corrupt and utterly appalling,” state Sen. Andrew Zwicker, a member of his chamber’s Budget committee, told POLITICO in an interview. “I think it’s a brilliant counter move to Trump’s corruption.”

Democrats and even some Republicans have blasted the fund. Trump didn’t consult lawmakers before announcing it and refused to rule out payouts to people who were convicted of crimes in connection with the Jan. 6, 2021 riot at the Capitol. Congressional Democrats have proposed their own legislation aimed at countering the fund.

Click here to read the full article in Politico

Jack up taxes on California’s rich? Popular liberal mantra, but bad idea

SACRAMENTO —  The Democrats’ mantra this election year — especially among wannabe governors — is that the richest Californians should “pay their fair share.” But by any objective measurement, they already do.

I’m referring to state taxes, not federal. It’s a valid argument that the most prosperous Americans should kick in more to the federal government, particularly after President Trump and the Republican Congress lowered taxes for the wealthy, who already had a pretty good deal.

But it’s a different story in California, where state government lives off the well-heeled. Yet, never-satisfied liberal Democrats and public employee unions constantly cry for more.

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In fact, an unexpected surge of $16.8 billion in state tax revenue, mostly due to the stock market boom and capital gains earnings, is bailing out Gov. Gavin Newsom and allowing him to claim a balanced budget as he prepares to depart Sacramento and run for president in 2028.

The state Franchise Tax Board recently reported which income groups pony up the most taxes. The more money you earn, the steeper your income tax burden. Of course, that’s the way it should be. But California pushes its progressive tax system to the extreme.

We’ve got by far the highest state income tax rate in the nation at 13.3%.

In 2024, the latest year for which there’s complete data, the top 1% of California taxpayers accounted for 40% of the total state income tax revenue, the FTB reported. But they earned just 24% of the taxable income. To be in the top 1%, your annual earnings had to be at least $973,000.

Click here to read the full article in the LA Times

California election: Inside the battles for governor and L.A. mayor, plus a new map under Prop. 50

Election season is upon us, and one major issue on the ballot is the California governor’s race. After a slow start, the race is finally starting to pick up steam.

Californians will also cast ballots for the first time using the new congressional district boundaries authorized in November’s passage of Proposition 50 — the statewide measure that reconfigures California’s congressional districts to favor more Democratic candidates.

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Ballots are already in the mail to registered voters. There are multiple ways to cast your vote, including by mail, dropping off your ballot in a box or showing up at a polling place on election day — June 2 — if you forgot to register to vote.

Here’s more on the state’s major races and propositions.

Who will replace Newsom?

For the first time in half a century, there isn’t a rock-solid front-runner. The race has attracted a large and diverse field of candidates.

It has been narrowed down to eight candidates after former Rep. Eric Swalwell withdrew amid sexual assault and misconduct allegations and former state Controller Betty Yee ended her bid.

That leaves two Republicans and six Democrats, including three men of color and a woman. California has never elected a woman as governor, and only once has a person of color held the state’s highest office, making this race potentially historic for the state.

Four major candidates look to unseat Karen Bass

Incumbent Los Angeles Mayor Karen Bass faces a tough reelection challenge in a field of 13 candidates, including a reality TV personality, a tech entrepreneur and two progressive candidates.

Councilmember Nithya Raman, who endorsed Bass only to later run against her, is heavily backed by entertainment industry workers, the pro-housing YIMBY (Yes in My Backyard) movement and many in the local chapter of Democratic Socialists of America.

Community organizer Rae Huang is also running at the left end of the political spectrum, while Adam Miller, who made a fortune on education software, has been courting moderate voters.

Although the race is nonpartisan, all of the leading candidates are Democrats except for Spencer Pratt. The Republican and reality TV personality has drawn support from politicians and media figures who align themselves with Donald Trump, including gubernatorial candidate Chad Bianco, Riverside County’s sheriff.

L.A. County’s proposed healthcare tax

Also on the ballot this year, L.A. county voters will decide whether to approve a half-cent sales tax to fund hospitals and clinics facing massive federal healthcare cuts.

Health officials say they expect the One Big Beautiful Bill Act, which President Trump signed into law last July, to slash more than $2 billion from the county’s budget for health services over the next three years.

Many Californians are losing their Medi-Cal benefits because of it, which means the county will no longer be reimbursed for their care.

Officials are hoping voters will help bring new tax money into the system. The sales tax, which needs a simple majority to pass, would take effect Oct. 1 and last five years.

Click here to read the full article at the LA Times

Bernie Sanders and Gavin Newsom become adversaries over push to tax California billionaires

LOS ANGELES (AP) — As national Democrats search for a unifying theme ahead of the fall’s midterm elections, a California proposal to levy a hefty tax on billionaires is turning some of the party’s leading figures into adversaries just when Democrats can least afford division from within.

Vermont Sen. Bernie Sanders traveled to Los Angeles on Wednesday to campaign for the tax proposal, which has Silicon Valley in an uproar, with tech titans threatening to leave the state. Democratic Gov. Gavin Newsom is among its outspoken opponents, warning that it could leave government finances in crisis and put the state at a competitive disadvantage nationally.

At an evening rally near downtown, Sanders told cheering supporters that the nation has reached a crisis point in which “massive income and wealth inequality” has concentrated power over business, technology, government and the media within the “billionaire class,” while millions of working-class Americans struggle to pay household bills.

He said enactment of the proposed tax would show “we are still living in a democratic society where the people have some power.”

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“Enough is enough,” Sanders said to a pulse of applause. “The billionaire class cannot have it all. This nation belongs to all of us.”

The senator, a democratic socialist, is popular in California — he won the 2020 Democratic presidential primary in the state in a runaway. He’s been railing for decades against what he characterizes as wealthy elites and the growing gap between rich and poor.

Click here to read the full article at WWWLP.com

Tax the rich or swing the ax? California low-wage earners hang in balance

When California Gov. Gavin Newsom rolled out his January budget proposal for the fiscal year 2026-27, advocates for the poor voiced an immediate, if uneasy, sense of relief. The plan didn’t arrive packed with fresh, headline grabbing cuts. But relief is not a strategy. As federal policy sharply curtails safety net supports — costing California an estimated $30 billion a year in Medicaid funding and up to $3.7 billion annually in food assistance — states are being forced to decide how much harm they are willing to absorb and how much they are prepared to prevent.

In California, where millions rely on safety net programs to survive, health clinics, anti-hunger coalitions and other advocates for low-wage earners say state leaders must “leverage the tremendous wealth in this state” to prevent large-scale losses of health coverage and food assistance, as federal cuts take effect.

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These advocates are calling for targeted taxes on the state’s ultra-wealthy and on highly profitable corporations, along with ending costly tax breaks, to backfill federal cuts to Medi-Cal, CalFresh and other public assistance programs.

The stakes extend beyond fiscal math to people’s lives, advocates said, and state leaders have yet to propose concrete plans to bridge the gap for the state’s most vulnerable families. “The deepest cuts to Medi-Cal in a generation threaten to strip life-saving access from our immigrant community, seniors, children, working families and those in the fight of their lives against cancer — unless California acts now to leverage the tremendous wealth in the state to provide sustainable, long-term funding to protect access to care,” said Kiran Savage-Sangwan, executive director of the California Pan-Ethnic Health Network.

Laura Sheckler, director of budget advocacy and strategic policy at the California Primary Care Association, described the state’s posture as an accounting choice with human consequences. “This budget is really just absorbing and incorporating all of the losses we anticipate from H.R. 1,” Sheckler said, arguing that it is “accepting that millions of Californians will fall out of coverage.” Across multiple states, labor and community coalitions are urging governors to pursue “tax the rich” policies to recoup public dollars lost in the federal H.R. 1 spending plan. At a news conference last week, members of one network pointed to states like Massachusetts as proof of this concept.

Click here to read the full article in the Modesto Bee

New Tax Calculator Shows Democrat Policies Add $35,000 a Year to Your Cost of Living

Hidden taxes, fees, bureaucracy and ideologically-driven regulation cost the average Californian $35K

Gubernatorial Candidate Steve Hilton just launched the California “Democrat Tax” Calculator to show Californians the truth about how much 16 years of Democrat one-party rule is actually costing them.

“For years, the corrupt democrat machine has ranted about a ‘strong economy’ in California despite families falling further and further behind,” the announcement reports. “The California ‘Democrat Tax’ Calculator cuts through the Democrat politicians’ B.S. and lets Californians enter their individual expenses, including housing, utilities, transportation, gas, groceries and their state and local tax burden, and directly compare what they pay here in California to the national average.”

California is not expensive by accident. It is expensive by design.

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HERE is a Summary of “Democrat Tax” costs for the average family:

As the chart shows, “Californians, on average, pay $35,000 more per year than those living in the rest of the United States purely because of Democrat policies. After 16 years of Democrat one party rule, all the costs of hidden taxes, fees, bureaucracy and ideologically-driven regulation add up to $35,000 a year for the average Californian.”

Click here to read the full article in the California Globe

A California billionaires tax hasn’t yet qualified for the ballot. But it’s already unleashing chaos

A proposed one-time tax on California billionaires is thousands of signatures and half a year away from the possibility of a vote.

But that hasn’t stopped the mere prospect from unleashing chaos at the highest levels of government. 

Within the last several weeks, billionaires have flooded social media with complaints and misinformation, sometimes blaming the proposal — which is actually being spearheaded by a health care workers union — on state Democrats. Some billionaires have even announced they’ve preemptively moved their businesses or homes out of the state. 

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That includes Google co-founder Larry Page, who moved several business entities out of state at the end of the year; Oracle founder Larry Ellison, who sold his San Francisco home in December; PayPal co-founder Peter Thiel, who opened an office for his investment firm in Florida; and venture capitalist David Sacks, who moved to Texas and opened an office there as well. The site BetOnline.ag is calculating odds on which California billionaire will be the next to leave.

But in many instances, the billionaires criticizing the tax have fundamentally mischaracterized who’s behind it and what it would do.

Sacks, a close ally of President Donald Trump, has elevated multiple posts that conflate the state’s Democratic lawmakers with the union pushing the measure.

Sacks also reposted video of his appearance on the podcast “All in,” in which fellow billionaire Chamath Palihapitiya says, “If it’s to plug a deficit, they’re gonna run deficits every year.” But the tax proposal explicitly forbids the money raised by the tax from being sent to the state’s general fund, where it could help cancel out any deficit.

Meanwhile, Nvidia CEO Jensen Huang told Bloomberg TV he and his company are staying put: “We chose to live in Silicon Valley, and whatever taxes they would like to apply, so be it.”

What would it do?

For people whose wealth totals over $1 billion, the measure would impose a one-time, 5% tax on the total value of their net worth. It would apply retroactively to people living in California on Jan. 1, 2026. The tax would be paid in 2027, or billionaires could opt to spread the payments out over five years, but would have to pay more for that option.

The plan reflects an attempt to tax billionaires’ total wealth, since many get their money from sources that go far beyond a salary — including stocks and other investments and the value of their business holdings. But real estate and retirement accounts would not count toward a person’s taxable wealth.

The money raised by the tax wouldn’t go into the general fund, the main pot of money that makes up the state budget, which lawmakers and the governor have discretion over. Instead, the money would be directed into special funds administered by the state controller and the Franchise Tax Board with strings attached to how it could be used — namely to pay for health care.

Click here to read the full article in the SF Chronicle

Coupal: The California Way: High taxes and government waste

California’s tax burden is always a hot topic, especially now. With a state budget that is allegedly short of money (fact check: spending discipline is the only thing lacking) and multiple tax hike proposals being discussed for the 2026 ballot, voters are starting to pay attention to how much government is extracting from their pockets.

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The state’s tax troubles have resulted in the well-documented exodus out of California. The sole silver lining has been the high-tech industry which continues to produce prodigious amounts of tax revenue from stock options and capital gains by the very wealthy. But even this source of revenue is now threatened if the “billionaire’s tax” proposal starts to gain traction.

With all this focus on taxes it’s easy to forget about another problem infuriating citizens – the sheer amount of government waste. A couple of years ago, a PPIC poll found that nearly half of respondents, 48 percent, believe the state wastes “a lot” of their tax dollars, 43 percent said the state wastes “some,” and only 8 percent said the people in charge of the state government “don’t waste very much.” (Apparently, 8 percent of Californians have no access to media outlets).

What caught our attention last week was yet another story about our political leaders demonstrating gross incompetence in handling our tax dollars.

In a comprehensive investigative piece in the Sacramento Bee, reporter William Melhaydo uncovers yet another embarrassing face-plant by state government leadership. After the Camp Fire, Governor Newsom pledged to upgrade California’s antiquated 911 emergency response communications system. Toward that end, “Between 2019 and 2025, California paid four technology companies over $450 million to build out its Next Generation 911 (NG911) system, a more advanced emergency communication tool that would provide dispatchers with enhanced location services and other ways for the public to communicate with first responder operators.”

But the system didn’t work, and Cal OES decided to abandon the project and start over from scratch. Veteran political journalist Dan Walters correctly noted that the “governmental landscape is littered with information technology projects that have failed to deliver the promised benefits, have experienced huge cost overruns, or have been abandoned.”

It’s not just tech projects that have a history of waste and ineffectiveness. California’s failed “green” projects are not only wasteful, but they also frequently end up hurting the environment. One would hope that politicians would be more circumspect with expensive “green” projects after the Solyndra debacle from 2015, but apparently, that lesson never sunk in.

The Ivanpah Solar Electric Generating System is a “solar thermal plant” in the Mojave Desert that uses mirrors to heat water and generate electricity. Initially a large-scale renewable project, it is now scheduled to be decommissioned next year because it failed to meet its energy production targets, it isn’t competitive, and it kills birds by the thousands. (It also, ironically, requires natural gas in order to remain operational).

Jason Isaac, CEO of the American Energy Institute summed it up by stating that “Ivanpah stands as a testament to the waste and inefficiency of government-subsidized energy schemes.”

Click here to read the full article in the OC Register