billionaire hedge fund founder

Democratic and Republican candidates vying to replace Democratic Gov. Gavin Newsom have been sparring on televised debates and exchanging campaign attacks since April to garner the attention of voters statewide.

The candidates include a Riverside County sheriff, a former senior advisor to British Prime Minister David Cameron, a former Los Angeles mayor, a billionaire hedge fund founder and two former members of the U.S. House of Representatives.

Recent polls showed that the leading Democratic candidate is Xavier Becerra, a former U.S. Secretary of Health and Human Services whose campaign is focusing on affordability and housing for what he calls “working Californians.” Vying for one of the top two spots in the June 2 primary are Republican contender Steve Hilton, a former Fox News commentator who was endorsed by President Trump, and Democratic billionaire Tom Steyer, a hedge fund founder turned environmental warrior.

Here is what the top candidates have said on important topics such as immigration, housing and homelessness, affordability and the entertainment industry.

Immigration and ICE

The U.S. Immigration and Customs Enforcement raids that began in California last summer have been hotly debated by Democratic and Republican candidates.

Here is what the candidates said during a debate in May or stated on their websites, as well as some criticism they have faced during the campaign.

• Xavier Becerra vowed to protect and lead the state against the Trump administration’s attacks on immigrants and marginalized communities. Becerra’s rivals have accused him of failing to protect migrant children when he served as Health and Human Services secretary under the Biden administration.
• Riverside County Sheriff Chad Bianco opposes “sanctuary city” laws that block local law enforcement from assisting federal immigration agents, calls for the deportation of criminal illegal immigrants and says the border must be secured. But he has also faced criticism from fellow Republicans for supporting a pathway to citizenship for lawful, working undocumented people and telling his constituents that his deputies were not taking part in Immigration and Customs Enforcement raids.
• Former Fox News host Steve Hilton, who legally immigrated to the United States from the United Kingdom, opposes California’s state and local sanctuary policies, and said the state must cooperate with the federal government because the governor’s job is to enforce laws, whether the governor agrees with immigration enforcement activity or not.
• San José Mayor Matt Mahan plans to demand ICE officers be unmasked, vows to go after agents and immigration agency leadership when they violate the constitution and shield communities from unwarranted harassment.
• Former Congresswoman Katie Porter said California should enforce its sanctuary laws statewide, “so we don’t have crazy cowboys taking the law into their own hands.”
• Billionaire hedge fund founder Tom Steyer wants to strengthen California’s laws to ensure law enforcement agents can’t profile Californians based on their race, ethnicity, language, occupation or location. He also wants legislation that will grant the state attorney general the authority to hold ICE agents accountable for violent and illegal acts on the job. He supports abolishing ICE. But he has faced heat on the campaign trail for his former hedge fund’s investment in the Corrections Corp. of America, now known as CoreCivic, which operates private prisons around the nation that are housing people picked up by federal immigration agents. Steyer has repeatedly expressed remorse about his former firm’s ties with the company and said he personally ordered the divestment from private prisons before he sold his stake in the hedge fund.
• State Supt. of Public Instruction Tony Thurmond says he plans to levy a new tax on companies that operate ICE detention centers, fight to abolish ICE, protect California’s sanctuary laws and work with Congress to establish a pathway to citizenship.
• Former L.A. Mayor Antonio Villaraigosa supports helping law-abiding immigrants and said violent criminals have been deported under the state’s sanctuary laws, despite claims to the contrary by Republican candidates.

Housing and homelessness

Here’s what each candidate said about the need to address the state’s housing shortage and its stubborn homeless problem:

• Becerra said he plans to cut “unnecessary red tape” and speed up “approvals for projects that meet affordability and environmental standards.” On homelessness, Becerra said he wants to establish a $150-million annual homelessness prevention fund to pay rents and fight eviction or foreclosure.
• Bianco said he wants to end “overregulation of our building industry” and eliminate the California Environmental Quality Act, the California Coastal Commission and the California Air Resources Board. On homelessness, he wants cities to clear encampments and prioritize mental health and substance abuse treatment. He wants to force people to accept drug treatment “when necessary.”
• Hilton proposes to reform the California Environmental Quality Act so that only government prosecutors can sue, preventing private individuals and organizations from stopping or delaying new housing projects. He also said he believes rent control measures reduce the incentive to build housing and wants to restructure or eliminate them. On homelessness, Hilton wants to build more low-cost group shelters instead of permanent housing.
• Mahan said he wants to lower developer fees and taxes for infill housing. Mahan also said more homes should be built off-site in California-based factories, making them cheaper than building them on site. On homelessness, Mahan wants to make the state’s Homeless Housing, Assistance and Prevention grant permanent and fund it at $1 billion a year.
• Porter said she would “greenlight innovative building strategies, shred unnecessary red tape and create incentives” to build needed housing. On homelessness, Porter wants more interim housing, emergency rental assistance and rapid rehousing programs.
• Steyer is pledging to make it harder for large corporations to buy up the state’s housing stock and wants to encourage cheaper methods of home construction. On homelessness, Steyer wants to expand interim housing options and homeless services.
• Thurmond said he wants to build 2 million new homes for “working Californians,” on 75,000 acres of surplus land that local school districts own. On homelessness, Thurmond wants to increase the number of housing units that include mental health and substance abuse services.
• Villaraigosa said he wants to cut development fees and reform CEQA to speed housing development, particularly for infill housing. On homelessness, Villaraigosa wants to double the state’s investment in Newsom’s Homekey program to build an additional 10,000 units of permanent supportive housing over five years.

A comprehensive guide on the candidate’s full views on housing and homelessness is here.

What the candidates have said about affordability

The candidates offered their ideas for making California more affordable during debates in April and May as well as on their websites.

• Becerra said he will stand up to price gouging and unjustified rate hikes and use the power of the state to lower prices “where the market has failed.”
• Bianco says he wants to cut taxes for working families and businesses, stop the “over-regulation on California’s economy,” support job growth and unleash the state’s energy resources to lower the price of gas and utilities.
• Hilton said he wants to eliminate income taxes on people who earn less than $100,000 and on the first $100,000 for Californians who earn more than that. He also wants to end California’s current tax on tips to ensure tipped workers keep more of their earnings.
• Mahan said he wants to enact a “Gas Tax Holiday” that ends or reduces the tax on gas. He also wants to remove barriers to building affordable housing by putting a cap on fees charged for new housing construction.
• Porter supports single-payer healthcare, providing free child care and college tuition and making wealthy corporations pay their “fair share” in taxes. To pay for it, Porter would impose a progressive corporate tax, meaning more profitable businesses and corporations would pay a higher rate. She also supports ending income taxes for those who earn less than $100,000.
• Steyer called himself the only candidate who is “willing to take on the corporate special interests” that drive up the cost of living in the state. He said he would like to lower gas prices as well as streamline permitting, reform zoning and enforce laws to build affordable homes faster. He also supports single-payer healthcare.
• Thurmond wants to provide a tax credit to make it easier for Californians to pay for the rising cost of gas, groceries and housing. He plans to establish a universal childcare program and provide low-cost loans to help small businesses make improvements at their firms.
• Villaraigosa plans to support a California Fuel Affordability Guarantee to cap gas prices for working families.

The entertainment industry

Here’s what some candidates have listed on their campaign websites about their ideas to support California’s entertainment industry.

• Becerra supports state requirements that mandate productions disclose how AI is being used, cutting the “bureaucratic friction” of getting a filming location permit and vows to uphold the state requirement that ensures digital platforms share meaningful performance data with the cast, writers and directors.
• Hilton wants to restore California’s competitive edge as a place for productions by creating financial incentives for film productions, cover the initial and technical costs associated with the development of a film or television project and reserve funding for independent and mid-budget projects.
• Mahan said he plans to expand and modernize production incentives, make them more competitive and ensure the protections are for everyone who works on a film or television project from the technical crew to writers, directors and actors.
• Steyer said he would like to block corporate mergers in entertainment, defend and expand film tax credits and eliminate the regulations and hurdles for permitting and logistics that “slow down productions.”

Times staff writers Seema Mehta, Nicole Nixon and Andrew Khouri contributed to this report.

The most unpredictable California governor’s race in recent history took another set of dizzying turns on Monday, with former Health and Human Services Secretary Xavier Becerra surging after former Rep. Eric Swalwell dropped out in the face of sexual assault and misconduct allegations, and former state Controller Betty Yee ending her bid.

The race to replace termed-out Gov. Gavin Newsom is the first in a quarter of a century with no clear front-runner and a sprawling field of candidates who have been jockeying for the attention of Californians, who are just beginning to pay attention to the campaign two weeks before ballots arrive in their mailboxes.

“I certainly could not have imagined the twists and the disturbing turns that this race has taken,” Yee said as she announced she was dropping out. “But through it all, my values and my vision for California has never wavered.”

A poll released Monday by the state Democratic Party — its first since Swalwell (D-Dublin) dropped out — showed Becerra’s support jumped nine points to 13%, placing him in a tie with Tom Steyer, the billionaire hedge fund founder turned environmental warrior. Former Rep. Katie Porter of Orange County saw a slight bump to 10% from 7%, while the remaining Democrats in the contest were mired in the low single digits.

The party began the surveys out of concern that Democrats could be shut out of the governor’s race because of California’s unique primary system, where the top two vote-getters in the June 2 primary move on to the November general election regardless of political party.

“I continue to believe there are too many Democrats in the field,” California Democratic Party Chairman Rusty Hicks told reporters Monday. “My call for candidates to honestly assess the viability of their candidacy and campaigns still stands, especially if you are stalled in the single digits, seeing financial resources dry up and/or are failing to pick up additional support.”

Hicks and other party leaders and allies had unsuccessfully urged low-polling candidates to reconsider their candidacies before the filing deadline in an attempt to cull the field and avoid splintering the Democratic vote. Though most did not name candidates who they thought should think about their viability, Yee was widely believed to be among them.

Yee became emotional as she said on Monday that she decided to withdraw from the race because she wasn’t able to raise the resources necessary to compete in the state. She also said her message of competency and experience wasn’t resonating among voters who were seeking a fiery foil to President Trump, not “Boring Betty,” as she dubbed herself. Yee said she would assess the field before making an announcement on whether she would endorse one of her fellow Democrats.

Becerra was another candidate believed to be a target of party leaders’ efforts to shrink the field. But he held on and apparently benefited from Swalwell’s downfall.

“I’m not the richest candidate, I’m not the slickest candidate, but I am the guy that’s got you,” Becerra said, rallying supporters in Los Angeles on Saturday.

The audience was filled with members of labor groups backing the longtime politician, and Becerra told them he’d serve as a “union man” in the governor’s office.

Pro- and anti-Becerra forces tussled outside the town hall after two people, who declined to identify whom they were working for, passed out fliers highlighting critical media investigations of the U.S. Department of Health and Human Services during the migrant crisis when the agency was led by Becerra.

Pro-Becerra attendees grabbed the fliers and told the men to go away, prompting a security guard to intervene.

The question is whether Becerra, who also served as state attorney general, a member of Congress and a state Assembly member, can raise the funds necessary to compete in a state with some of the nation’s most expensive media markets. And he was tied in the state party poll with a billionaire who dumped an additional $12.1 million of his own money into his campaign last week.

Steyer’s total investment in his bid reached $133 million, according to the California secretary of state’s office. He also received the endorsement of Our Revolution, a progressive political organization founded by U.S. Sen. Bernie Sanders (I-Vt.).

“We’ve never endorsed a billionaire — but Tom Steyer is using his position to upset the system,” the group posted on X on Monday. “As Our Revolution executive director Joseph Geevarghese told @theintercept, ‘He’s been a partner in the movement. Most billionaires have used their wealth and privilege to lock in the status quo. Tom is doing the opposite.’”

San Jose Mayor Matt Mahan, who is also running for governor, accused Steyer of hypocrisy for the hedge fund he founded profiting from investments in private prisons being used to house ICE detainees, and Steyer calling for the abolishment of ICE.

Steyer got “rich investing off the ICE infrastructure he now wants to abolish,” Mahan posted on Instagram.

Steyer, who sold his stake in the hedge fund in 2012, has said he ordered the company to divest from the private prison company and has repeatedly expressed remorse about his former firm’s ties with the detention company.

Mahan also appeared Monday at a Hollywood production lot to announce his proposal for a special fund to lure sporting events, concerts and other productions to California as part of his plan to help the struggling film and television industry.

An independent effort supporting Mahan has also raised roughly $11 million since Swalwell left the race.

Mehta reported from Los Angeles and Nixon from Sacramento. Times staff writer Dakota Smith contributed to this report.