Gavin Newsom Claimed California's Deficit Was Gone. His State's Own Budget Analysts Just Blew That Up.
California Governor Gavin Newsom recently claimed that the state's budget deficit was eliminated, asserting a $0 structural deficit through July 2028. However, state budget analysts contradicted this claim, stating that California still faces a significant structural deficit in the coming years. The analysts highlighted that the budget relies heavily on reserves and a revenue windfall, indicating ongoing fiscal challenges.
- ▪Governor Newsom declared total victory over California's budget deficit, claiming no deficit for the next two years.
- ▪State budget analysts reported that California still has a structural deficit projected for the 2026-27 and 2027-28 budget years.
- ▪The budget relies on draining reserves and suspending rules to balance, with analysts estimating a remaining deficit of $16.9 billion.
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| Original publisher | RedState |
| Canonical URL | https://redstate.com/ben-smith/2026/05/20/gavin-newsom-claimed-californias-deficit-was-gone-his-own-budget-analysts-just-blew-that-up-n2202551 |
| Publication time | Wed, 20 May 2026 20:45:50 -0400 |
| Retrieval time | 2026-05-21T00:55:03.151Z |
| Last seen | 2026-05-21T01:33:54.025Z |
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Gavin Newsom Claimed California's Deficit Was Gone. His State's Own Budget Analysts Just Blew That Up. By Ben Smith | 8:45 PM on May 20, 2026 The opinions expressed by contributors are their own and do not necessarily represent the views of RedState.com. AP Photo/Damian Dovarganes, File California Gov. Gavin Newsom wants to be president. Last Thursday, he gave America a preview of what that would look like.Standing in front of cameras, California's Democrat governor declared total victory over his state's budget deficit. No deficit this year, he stated. No deficit next year.
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Excerpt limited to ~120 words for fair-use compliance. The full article is at RedState.
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