{"id":524,"date":"2026-05-11T15:30:14","date_gmt":"2026-05-11T15:30:14","guid":{"rendered":"https:\/\/california-relocation-journal.com\/?p=524"},"modified":"2026-05-11T15:30:14","modified_gmt":"2026-05-11T15:30:14","slug":"lots-of-pie-in-the-sky-promises-by-governor-wannabes-with-no-way-to-pay-for-them-3","status":"publish","type":"post","link":"https:\/\/california-relocation-journal.com\/?p=524","title":{"rendered":"Lots of \u2018pie in the sky\u2019 promises by governor wannabes with no way to pay for them"},"content":{"rendered":"
\n

SACRAMENTO\u00a0\u2014\u00a0<\/span> Here\u2019s what the Democratic candidates for governor aren\u2019t telling us: While promising the moon, they\u2019ve avoided saying how they would keep paying for all of Sacramento\u2019s current costly programs.<\/p>\n

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Termed-out Gov. Gavin Newsom and the Democratic-controlled Legislature have dug the state into a deep financial hole, and it faces severe deficit spending through the next governor\u2019s first term.<\/p>\n

The only honest solution is an unpopular mix of program cuts and tax increases, plus a focused, earnest and unlikely effort at making government more cost-effective and efficient.<\/p>\n

The worst option would be the easy one that got Sacramento into its current mess: gimmicky budgeting that includes excessive borrowing, program delays rather than outright eliminations and fudged numbers.<\/p>\n

Nonpartisan Legislative Analyst Gabriel Petek recently estimated \u201cthe state faces structural deficits running from $20 billion to $35 billion annually.\u201d<\/p>\n

He warned the state\u2019s financial commitments funded by its revenue \u201c[are] not sustainable\u201d and added that mopping up the red ink \u201cwill likely require at least some \u2014 if not significant \u2014 spending reductions.\u201d<\/p>\n

The analyst pointed out that since 2019, under Newsom, state general fund spending has risen by $100 billion to $248 billion in the governor\u2019s latest budget proposal in January. About 70% of the growth went to maintaining existing services and 30% was for expanding or creating new programs.<\/p>\n

\u201cIn retrospect,\u201d Petek continued, \u201cthe state could not afford to sustain its existing services while funding \u2026 expansions and new programs.\u201d<\/p>\n

Last week, the analyst reported some good news coupled with bad. He estimated a $25-billion boost in unanticipated revenue, driven by artificial intelligence enthusiasm and \u201cthe related stock market boom.\u201d But, he added, \u201cthese surging revenues likely are not sustainable.\u201d<\/p>\n

The analyst said the stock market appears to be \u201cin a speculative bubble, rivaled only by the dot-com boom\u201d (that led to the Great Recession) \u201cand the Roaring \u201820s\u201d (that ushered in the Great Depression).<\/p>\n

\u201cThe state should be prepared for revenues to be tens of billions lower within one or two years.\u201d<\/p>\n

Newsom will get another crack at legitimately balancing a budget on Thursday when he revises his spending proposal for the next fiscal year.<\/p>\n

You can\u2019t really blame the governor\u2019s wannabe Democratic successors for dodging this fiscal thicket. Program cuts and higher taxes don\u2019t attract voters. Moreover, the subject is weedy and boring. For that reason, I suspect, moderators didn\u2019t even delve into it during three recent televised gubernatorial debates.<\/p>\n

Regardless, budget-crafting is a governor\u2019s most sacred duty and the source of much of their power. It would help voters to know where the candidates stand. Right now, they\u2019re in hiding.<\/p>\n

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Former state Senate leader Don Perata, a Democrat, posted this last week about the chronic deficits:<\/p>\n

\u201cApparently, candidates find this untroubling or maybe someone else\u2019s worry. None \u2026 even mentioned it during those juvenile television \u2018debates\u2019 and the hundreds of millions spent on campaign commercials.\u201d<\/p>\n

Instead, various contenders have been promising voters a Santa\u2019s sleigh of goodies: state-run single-payer healthcare, free childcare, partial no-tuition college, suspension of the gas tax, no state income tax for people earning under $100,000 and generous subsidies for Hollywood filmmaking.<\/p>\n

Billionaire hedge fund founder Tom Steyer and former Orange County congresswoman Katie Porter have been touting single-payer healthcare, an idea pushed by politically potent nurses unions and Democratic progressives. Private insurance would be eliminated and, under most proposals, so would the popular Medicare. The state would manage all medical insurance \u2014 more efficiently and at less consumer expense, advocates insist.<\/p>\n

But this concept seems far beyond the state\u2019s financial reach and operational capability. Its cost could exceed twice the current state budget. And I shudder to think of our state bureaucracy trying to handle healthcare for 39 million people. First, get the DMV working right and the botched bullet train rolling.<\/p>\n

For many years, underdog gubernatorial candidate Antonio Villaraigosa \u2014 a former Los Angeles mayor \u2014 has called the single-payer notion \u201csnake oil.\u201d In a CNN debate last week, he termed it \u201cpie in the sky.\u201d <\/p>\n

Centrist San Jos\u00e9 Mayor Matt Mahan chimed in, asserting: \u201cThe candidates who are fighting for single-payer don\u2019t know how to pay for it, and they\u2019re not being honest about it.\u201d<\/p>\n

Practically everyone jumped on new Democratic frontrunner Xavier Becerra \u2014 former state attorney general and U.S. health secretary \u2014 for seemingly being unable to specify whether he\u2019s for or against single-payer.<\/p>\n

\u201cI\u2019ve been consistent for over 30 years,\u201d he said, trying to explain that he favors Medicare-for-all as \u201cthe most efficient way that we can do healthcare.\u201d<\/p>\n

It was a silly waste of debate time. They were arguing over oranges and lemons \u2014 both citrus, but different. Becerra should have just made clear that he\u2019s opposed to single-payer and supports a separate version of universal healthcare: Medicare-type coverage with a supplemental private insurance option for all Californians. If that\u2019s indeed what he favors.<\/p>\n

Mahan bragged that he\u2019s \u201cthe only candidate in this race who is calling for a suspension of the gas tax.\u201d It\u2019s a highlighted Republican talking point. But no other Democratic candidate advocates suspending the tax because it\u2019s a screwy idea.<\/p>\n

The roughly 60-cent-per-gallon state gas tax pays for filling potholes and more serious road repairs and improvements. Moreover, the next governor won\u2019t take office until January. Suspending the tax then \u2014 even if the Legislature approved \u2014 wouldn\u2019t reduce today\u2019s soaring pump prices.<\/p>\n

My take on the debates:<\/p>\n

Becerra survived. He\u2019s refreshingly calm but needs to be more crisp.<\/p>\n

Steyer was articulate and may have attracted Bernie Sanders fans.<\/p>\n

Porter is a talented debater, but seemed overly defensive about her past hot temper.<\/p>\n

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Mahan was fine, but he just got off the bench and it\u2019s late in the game.<\/p>\n

Villaraigosa was straightforward as usual, and finally had a broad audience.<\/p>\n

All should bone up on budget-balancing and tell us their thinking.<\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"

Democratic candidates for governor have made lots of “pie in the sky” promises to Californians. 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