Full Breakdown
California Gubernatorial Candidates Converge on Housing Crisis, Diverge on Solutions
5/13/2026, 3:01:51 AM
Core Event: Housing-Policy Forum in Oakland
On May 8, 2026, five leading Democratic contenders for governor—Xavier Becerra, Matt Mahan, Katie Porter, Tom Steyer, and Antonio Villaraigosa—participated in a 90-minute housing-policy forum at the Henry J. Kaiser Center for the Arts in Oakland. The discussion was moderated by New York Times columnist Ezra Klein and focused on how the state can accelerate housing production, reduce costs, and address homelessness. Republican candidates Steve Hilton and Chad Bianco declined to attend.
Background & Context: State-Level Turnover and Persistent Shortfall
Over the past decade California has shifted housing authority from local jurisdictions to the state, enacting mandates that require cities and counties to approve a set number of units. Governor Gavin Newsom pledged to build 3.5 million homes, yet the state has delivered fewer than 900 000 units since 2019. The “Yes In My Backyard” (YIMBY) movement, co-founded by Brian Hanlon, has championed these state-level reforms, arguing that regulatory barriers are the primary cause of the housing shortage. Recent legislation, including Senate Bill 79, continues the trend of state-imposed rezoning.
Key Figures & Positions: Candidates’ Policy Levers
- Xavier Becerra (former attorney general) backs enforcement of state housing mandates, supports prevailing-wage rules for large projects, and advocates a $10 billion housing bond.
- Katie Porter (former congresswoman) emphasizes streamlining permitting, capping impact fees, and opposes expanding residential prevailing-wage requirements, citing cost-inflation concerns.
- Tom Steyer (billionaire activist) promotes modular construction to cut costs by at least 20 %, calls for reform of a corporate-property-tax loophole that costs the state $20 billion annually, and urges a special election to modify Prop 13 for commercial property.
- Matt Mahan (San Jose mayor) argues for state-overridden “by-right” approvals, caps on local development fees (some exceeding $100 000 per unit), and rejects a “lawyer’s mindset” to housing.
- Antonio Villaraigosa (former Los Angeles mayor) calls for comprehensive tax reform, a housing-production accountability board, and stresses implementation of existing laws.
- Steve Hilton (Republican) warns that state-mandated mid-rise construction would “destroy” single-family suburban neighborhoods.
Data & Statistics: Production Gaps and Cost Drivers
- Median California home value: $775 000 (? 2 × national average).
- Construction cost per square foot in California is more than double that of Texas.
- RAND study: average housing project takes 49 months in California versus 27 months in Texas.
- Impact fees can reach $100 000 per new unit, inflating costs by 10-20 %.
- Modular building could reduce per-square-foot costs by >= 20 %.
- Direct cash assistance to prevent eviction averages $6 000 per family, far cheaper than permanent housing ($800 000 per unit).
Why It Matters: Affordability, Homelessness, and State Economy
Housing unaffordability drives rent-burden, limits homeownership, and fuels homelessness. High construction costs and regulatory delays increase the price of essential shelter, compounding pressures on health-care and other necessities. Accelerating supply could expand the tax base, generate jobs, and lower eviction rates, thereby reducing state expenditures on emergency services.
Official Statements & Responses
- Becerra: “I’m going to enforce; I’m going to use the powers of the state.”
- Porter: “If we could be 22 months faster … we could take 10 or even 20 percent off the price.”
- Porter (labor): “I do not think today … is the time for prevailing-wage requirements on residential projects.”
- Steyer: “We are building houses and we are building apartment buildings the way we have been doing it for 100 years.”
- Mahan: “The governor cannot bring a lawyer’s mindset to the housing problem.”
- Villaraigosa: “We passed all these laws … but now we need the leadership to actually implement them.”
Criticism & Opposition
Tenant-rights coalition Alliance of Californians for Community Empowerment accused the YIMBY agenda of “complete abdication of responsibility for tenants who are living right now and can’t wait 10 years for a supply solution.” Republican Hilton warned that state-mandated mid-rise construction would “destroy” single-family neighborhoods.
Conflicting Reports & Gaps
Estimates of needed new units vary: Steyer proposes 1 million homes over four years, while Newsom’s earlier target was 3.5 million over eight years. The effectiveness of litigation against non-compliant cities remains disputed, with some candidates citing limited housing outcomes. Data on the net impact of prevailing-wage mandates versus construction speed are inconclusive.
Verbatim Quotes
- “YIMBYs rejoice!” — Newsom press office, May 2026.
- “If we could be 22 months faster, which is what Colorado does … we could take 10 or even 20 percent off the price.” — Katie Porter, former U.S. Representative.
- “If you’re a city, and you see the housing crisis, and you’re not following rules, then get ready because I’m going to enforce; I’m going to use the powers of the state.” — Xavier Becerra, former Attorney General.
- “The governor cannot bring a lawyer’s mindset to [the housing] problem,” — Matt Mahan, San Jose mayor.
- “We are building houses and we are building apartment buildings the way we have been doing it for 100 years,” — Tom Steyer, gubernatorial candidate.
- “complete abdication of responsibility for tenants who are living right now and can’t wait 10 years for a supply solution,” — Anya Svanoe, Alliance of Californians for Community Empowerment spokesperson.
What’s Next
The June 2 primary will narrow the field to two contenders for the November general election. Steyer has pledged a special election on his first day in office to modify Prop 13’s commercial-property provisions. Candidates continue to refine proposals on modular construction, fee caps, and housing bonds as the electorate weighs affordability against regulatory reform.
