In a bold move, the union leader driving the contentious billionaire tax proposal in California has launched a pointed critique against Governor Gavin Newsom. This tension has arisen as both parties grapple with efforts to keep the measure from reaching voters in November.
Dave Regan, the president of SEIU-United Healthcare Workers West, delivered a scathing assessment of Newsom in an interview with The Lever. Regan accused the governor of aligning with the interests of the wealthy elite, implying that Newsom’s opposition to the tax is more about political aspirations than genuine policy issues.
“Governor Newsom likely believes he cannot pursue a successful campaign without catering to the billionaire class,” Regan remarked, alluding to the widespread belief that Newsom has his sights set on a 2028 presidential bid. Such a campaign would undoubtedly require substantial financial backing from affluent contributors.
Regan emphasized that mounting a viable presidential campaign would necessitate “hundreds of millions” of dollars, suggesting that Newsom’s current political maneuvers are part of a larger strategy to secure future funding.
He noted such a campaign could cost “hundreds of millions” of dollars.
“There’s a limited number of places where you’re able to do that,” Regan said.
The labor leader argued that Newsom’s alleged deference to billionaires could backfire on Democrats nationally and pave the way for the election of “Donald Trump’s protege” if the California governor ultimately secures the party’s presidential nomination.
“The right and the far right is actually, their rhetoric is more populist than the rhetoric of the Democrats,” Regan said. “That’s what I worry about, is we don’t need another president whose first priority is to take care of the wealthiest people in America.”
That remark was a veiled shot at Newsom, as President Trump has been routinely criticized by the governor and other liberals for “crony capitalism.”
Newsom has publicly opposed the proposed one-time 5% tax on the state’s ultra-rich due to fears it could significantly hurt California’s economy after billionaires flee the state. He reportedly has made behind-the-scenes moves to isolate Regan by recruiting other unions and other unlikely allies to oppose the tax.
Supporters of the tax argue the revenue is needed to help offset federal health care cuts. The measure officially qualified for the November ballot this week, though it could still be withdrawn before June 25 if Newsom succeeds in negotiating a compromise.
So far, there hasn’t been much progress, at least publicly. On Thursday, supporters offered Newsom the option of a 2% tax enacted through legislation instead, but the governor swiftly declined.
“The governor supports making the wealthiest Americans pay their fair share, but this poorly designed state-only measure will defund teachers, schools, clinics, and public safety,” his office said.
If the proposal reaches voters, analysts expect an expensive election fight. Billionaires, including Google co-founder Sergey Brin, have already poured significant money into efforts to defeat the measure.
The Post reached out to Newsom’s office for comment on Regan’s remarks.