Democrats are really trying to make California Gov. Gavin Newsom a thing for 2028. Despite his abysmal, failed leadership in California, they think Newsom has what it takes to lead the country. What he'd really do is drive it into the ground. To elevate Newsom, the Democrats are going to lie about his record, and it starts with this whopper about California's budget deficit.
🚨 Gavin Newsom has now officially eliminated California’s budget deficit.
— Democrats Deliver (@DemzDeliver) August 23, 2026
This comes as Trump adds $2.4 trillion to the national debt. pic.twitter.com/7Kagd5UCdL
The reality is the budget deficit hasn't been eliminated. Newsom is just kicking the can down the road for after he leaves office.
But in striking that balance, Newsom’s final budget leaves long-term funding problems to his successor to solve.
The state faced a steep funding cliff in January amid ballooning costs of Medi-Cal, the state’s healthcare program for low-income Californians, and the threat of losing tens of billions of federal dollars under President Donald Trump’s budget bill.
But since then, tax revenue has grown faster than expected, thanks to the artificial intelligence-driven economic boom. The final budget agreement largely relies on that windfall and new taxes Newsom has championed, along with delayed healthcare cuts and suspended payments to K-12 schools and state reserves to balance the books and slash future deficits.
The Newsom-backed tax measures, which the Legislature approved earlier this month, will apply a sales tax to everyday computer software, cap business tax credits and raise the tax rate on commercial healthcare providers.
The budget deal also requires the next governor to consider penalizing big corporations for having employees on Medi-Cal — an idea from Senate Democrats — unless Congress repeals Trump’s Medi-Cal cuts before then. Sen. María Elena Durazo, a Los Angeles Democrat and a member of the legislative Latino caucus, said the plan does not go far enough to discipline companies that pay low wages.
The state will have a $9 billion deficit for fiscal year 2028-2029, and at least $10 billion in annual operating deficits from 2026 to 2030 once Newsom's one-time fixes end.
You're comparing deficit to debt.
— Blue State Snooze (@BlueSnoozeBlue) August 24, 2026
CA debt is estimated over $1T.
Are you deliberately being obtuse or are you really this stupid?
They are deliberately lying.
Using accounting that would make a Mafia Don blush. But gross illusions are what Democrats usually deliver.
— Charlie Johnston (@JohnstonPilgrim) August 23, 2026
It's the best they have.
Deficit of $8 billion. 🤷🏼♀️ https://t.co/1GqdRzIplL
— The🐰FOO (@PolitiBunny) August 23, 2026
It's embarrassing.
Lmao! How dumb do you think we are? https://t.co/bCvsNiMnhD
— Rush Babe (@cps3indy) August 23, 2026
California Democrats think we are that dumb. But we're not. Newsom has seen a rise in crime, homelessness, a failed high-speed rail project, and corruption scandals involving his taxes and state contracts like the Baby 2 Baby diaper scheme. This is an attempt to rework his record as he gears up for 2028.
Editor’s Note: The 2026 Midterms will determine the fate of President Trump’s America First agenda. Republicans must maintain control of both chambers of Congress.
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