‘Big, beautiful bill’ vs. California budget: Newsom warns of GOP Medicaid cuts
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NEWSOM CONTINUES TO HAMMER THE “BIG, BEAUTIFUL BILL”
Gov. Gavin Newsom continued to take shots at Republicans who want to make deep cuts to Medicaid, or Medi-Cal in California, as members of the far-right House Freedom Caucus and President Donald Trump spar over the “big, beautiful bill.”
In a Wednesday email to supporters, Newsom listed how many people in nine Republican-controlled districts would lose coverage if their representatives vote for the megabill currently making its way through Congress.
“If passed, the bill will strip up to 3.4 million Californians of their health coverage and cost the state an estimated $30 billion in lost federal funding,” Newsom wrote. “That is not fearmongering; it is the truth. And it is what Republicans are voting for — including these California Republicans.”
He attributed the numbers to estimates from the California Department of Health Services.
He then went on to list how many people would lose coverage in districts led by Reps.:
- Doug LaMalfa, R-Oroville — 38,000
- Kevin Kiley, R-Roseville — 23,000
- Tom McClintock, R-Elk Grove — 30,000
- Vince Fong, R-Bakersfield — 29,000
- David Valadao, R-Hanford — 43,000
- Jay Obernolte, R-Big Bear Lake — 38,000
- Young Kim, R-La Habra — 18,000
- Ken Calvert, R-Corona — 28,000
- Darrell Issa, R-San Marcos — 21,000
“Some of them are voting for it because they want the cuts. The others, out of fear of Trump. But the end result will be more than 250,000 of their own constituents who may lose their health care all to give tax cuts to some of the wealthiest people in the country,” the governor wrote. “Those are the facts. I wanted you to know them before the House votes on this bill.”
Newsom had praised Calvert as recently as this month for leading the negotiations to secure Trump’s approval to reimburse California for $39 billion it spent on disaster recovery during the Los Angeles wildfires earlier this year.
BIG CITY MAYORS TO NEWSOM: BRING BACK HHAP
A coalition of California’s 13 largest city leaders are urging the governor to fund local grants to fight homelessness in the next fiscal year budget after the state Department of Housing and Community took over the Homeless Housing, Assistance and Prevention program (HHAP) funding them last year.
Newsom has claimed cities and counties must do more to root out homelessness at the local level. Last week, he asked them to adopt policies breaking up encampments, saying that the state had given local communities enough funding and loosened policies to do so.
In a press conference and release, the Big City Mayors coalition — which represents the state’s 13 largest cities with populations over 300,000 — asked him to restore HHAP funding.
“We cannot find effective solutions to the homelessness and behavioral health crisis if the state eliminates vital resources,” said San Francisco Mayor Daniel Lurie, whose wife is Newsom’s chief of protocol. “HHAP dollars fund 1,000 of our shelter beds in San Francisco and are a part of the reason that San Francisco has the lowest rate of street homelessness in the last 10 years. We cannot go backwards.”
In response, a Newsom spokesperson doubled down on the governor’s previous assertion that the state had done enough.
“We’ve removed barriers and cut red tape, passing more than 42 CEQA reform bills to make building easier than ever. In addition to funding through Prop 1, we have created CARE courts and modernized conservatorship laws to help address mental health,” said spokesperson Tara Gallegos.
“It’s time for local governments to step up and do their jobs. Use the funding the state has provided, supplement it with local funding, and provide services, build the housing, and create more shelter. We have set the example, now build on it. The state — and voters — are done with excuses.”
NO BRAKES ON FUEL COMPLAINTS
Via Nicole Nixon
Republican state lawmakers — and one Democrat — are bombarding Newsom with concerns over two impending refinery closures and his administration’s combative approach to the oil industry.
A recent analysis by a USC professor predicts gas prices could reach more than $8 per gallon between the loss in refining capacity and stricter proposed fuel standards.
A group of lawmakers argued increased costs and job losses will disproportionately impact the state’s Hispanic communities.
“Gasoline is not a luxury. It is a basic need for millions of working-class Californians – particularly those in industries like construction, agriculture, and service work – who often drive long distances and work shifts that public transit doesn’t accommodate,” state Sens. Suzette Valladares, R-Santa Clarita, Melissa Hurtado, D-Bakersfield, and six other Republican lawmakers wrote in a letter to the governor.
Separately, Senate Minority Leader Brian Jones, R-San Diego, submitted sweeping Public Records Act requests seeking information and communications regarding a planned update to the state’s Low Carbon Fuel Standard. The California Air Resources Board previously estimated the change could increase gas prices by 47 cents the first year it takes effect, a figure it has since downplayed. It’s asking to implement the change on July 1.
“CARB and the Governor pushed an expensive gas price hike behind closed doors, ignored public input, and misled Californians about the real cost,” Jones said in a statement. “We believe their real goal is to drive gas prices so high that working families have no choice but to buy electric vehicles, whether they can afford them or not.”
In response, Newsom’s office pointed to a letter sent last month to Siva Gunda, vice chair of the California Energy Commission. The governor directed the CEC to “redouble” efforts to work with refiners and ensure “a safe, affordable, and reliable supply of transportation fuels.”
The letter instructs Gunda to “reinforce the State’s openness to a collaborative relationship” with refiners and recommend by July 1 “any changes in the State’s approach that are needed to ensure adequate supply during this transition.”
Newsom spokesman Daniel Villaseñor said a 2023 law aimed at price gouging — a charge the state has so far been unable to prove — has prevented large price spikes and added new transparency to the industry.
“Governor Newsom will keep fighting to protect Californians from price spikes at the pump,” he said.
Lindsay Buckley, CARB’s director of communications, said the agency received Jones’ PRA and was “proceeding with our normal process” to disclose information. She also pointed to analysis from other experts that the LCFS changes would raise prices by between five and eight cents per gallon.
ALL QUIET ON ‘ORIGINAL SIN’ FRONT
Newsom has been mum as the political press buzzes about Jake Tapper and Alex Thompson’s new book, “Original Sin,” which posits that the White House “covered up” former president Joe Biden’s cognitive and physical decline while he was in office. The book officially dropped Tuesday, though outlets have published excerpts of it for weeks.
Nationally, Democrats have struggled to respond as Republicans spread conspiracies about Biden’s health after he revealed his cancer diagnosis last week. Political observers have predicted the issue will dominate the 2026 primaries and in 2028, where Democrats hope to make a comeback.
The governor wished Biden well after the diagnosis, but has not said anything more about his role in defending him as calls for the then-president to step down increased after his June 2024 debate performance.
Nathan Click, Newsom’s political spokesperson, did not respond to a request for comment.
According to Tapper and Thompson’s book, Newsom was in the room on a handful of occasions when Biden faltered or questions about his mental acuity arose. During a June 2023 fundraiser in Kentfield, Biden casually called Chinese president Xi Jinping a dictator after Secretary of State Antony Blinken had just made a diplomatic trip there. Biden’s “meandering” speech left attendees “shaken” when compared to the “younger, agile Newsom.”
Despite his impressive war chest, Newsom declined asks from former Obama aide Bill Daley to primary Biden, and continued to boost the former president’s “booming” economy.
On July 3, 2024, the Democratic Governors Association met with him and Kamala Harris at the White House. Newsom “did some rah-rahing,” while Maryland’s Wes Moore and New York’s Kathy Hochul said they were “still all-in” on the campaign.
Eighteen days later, after Biden said he was dropping out, Harris called potential successors including Newsom, “but didn’t reach him.” He later said on his “Politickin’” podcast that he was on the treadmill at the gym.
QUOTE OF THE DAY
“We’ll be talking about the fact that the Timberwolves beat the Lakers and the Golden State Warriors.”
—Sen. Amy Klobuchar, D-Minnesota, on “This Is Gavin Newsom” about the Warriors’ 4-1 loss to the Timberwolves in the NBA Western Conference semifinals last week.
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This story was originally published May 22, 2025 at 4:55 AM.