California Republican gubernatorial candidate Steve Hilton, who is leading in early polling, has released the second major report from his proposed California Department of Government Efficiency (CalDOGE), despite not yet holding office. The report alleges that GRID Alternatives, a nonprofit that has installed no-cost solar panels for income-qualified households since 2015, spent just $72 million on installations out of a total $1 billion in government-allocated funding.
The whereabouts of the remaining funds remain unclear, though Hilton’s team claims the funds were effectively siphoned away rather than used for their intended purpose.
🚨 NEW: 2nd Fraud Report by CAL DOGE
— Steve Hilton (@SteveHiltonx) February 27, 2026
- $1 billion in gas tax, electric bill surcharges intended for solar panels on low income households
- only $72 million spent; $928 million siphoned off for Democrat activism, voter registration
STEALING our money to build their political… pic.twitter.com/xmqPv854nE
"This is our second report from CalDoge, our second fraud report," Hilton said. "I'm here with Jenny Rae Le Roux, the director of CalDoge. We're standing in front of an organisation called GRID."
Since 2015, $1 billion has been taken from Californians from taxes on gas and electricity," he said. "That's why we pay the highest gas prices and the highest electric rates in the country. Some of that money, $1 billion, $100 million every year, has been sent to this organisation with the intention of putting solar panels on the roofs of apartment buildings.
Do you know what's happened to that $1 billion since then? How much of it has actually been spent on solar panels? $72 million out of $1 billion. It's supposed to be $100 million every year for 10 years. $928 million have been stolen. Your money, do you know where it's gone? Voter registration by leftist groups supporting the Democratic Party. It is an absolute scandal. Just the latest in the amount of money that's been stolen from you.
"$1 billion, supposed to be for solar panels, only $72 million was spent. This is why we set up CalDoge," he said. "To get to the bottom of the fraud and the theft and the corruption, and we're only just getting started."
This follows Hilton’s first major CalDOGE report, which alleged that hundreds of millions in taxpayer funds intended for substance abuse prevention and related programs were instead diverted to activism, organizing efforts, and voter registration initiatives after being routed through an unelected nonprofit organization. According to the report, that organization’s valuation ballooned from $11.8 million in 2018 to $197 million in 2024.
"As governor, with my running mate for State Controller @Herb4Controller, we will STOP the fraud. Attorney General @MichaelGatesESQ will PROSECUTE the fraud and get our money back," Hilton added on X. "And I will make sure it goes back to YOU. We've had enough of this nonsense."
California Governor Gavin Newsom has yet to respond to the allegations.