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Newsom links budget signing to CEQA housing reforms, calls housing 'code red'
Summary
Governor praised legislative leadership on expedited CEQA changes to accelerate housing, said he plans to sign housing-related budget items on Monday, and referenced budget contingencies including funding for Prop 36.
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Gov. Gavin Newsom said the state budget process included a key demand from his office: changes to the California Environmental Quality Act (CEQA) to speed housing construction. He said the administration expects to sign the budget and housing bills on Monday and described housing affordability in the state as "code red."
Newsom praised legislative leaders and singled out Assemblymember Buffy Wicks and Sen. Scott Wiener for leadership on the housing packages, saying the reforms are "one of the most significant housing reforms in California's history" if they pass the pending final votes. He said the administration has already signed numerous housing reforms in recent years but that "it's not enough" and that additional action was required now rather than waiting for later months.
When reporters asked about contingency decisions, Newsom deferred full comment until after votes were complete but said he appreciated the "collaborative spirit" shown by both houses in negotiating the budget. He said several housing components would "trail" and be rolled into the Monday signing, and invited the press to the signing event for further details.
Prop 36 funding and related budgetary impacts During questions about the budget, the governor responded to a question about funding for Proposition 36 enforcement and implementation. He said the administration and legislature put roughly $100,000,000–$102,000,000 into the budget for courts, public defenders and treatment programs associated with Prop 36, and that there are additional budgetary impacts associated with shifts of funds across criminal justice measures. Newsom noted some competing priorities and said the $100,000,000 figure reflects the administration's estimate of near‑term needs.
Ending Newsom said he expected to sign the budget and housing bills on Monday and that the administration will provide more detail then. He emphasized urgency on housing reforms and encouraged continued legislative cooperation.

