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Newsom’s Final State of the State Sets the Course for His Last Year

The moment will test how he balances unresolved state crises with rising national ambitions.

Overview

  • Newsom will deliver the address Thursday in the Capitol’s Assembly chamber for the first time since 2020.
  • Analysts say the speech will signal whether he prioritizes California governance or leans into a national role opposing President Trump and a possible 2028 run.
  • Recent actions include the distribution of $3.3 billion from Proposition 1 to fund more than 5,000 residential treatment beds and about 21,800 outpatient slots.
  • Energy reliability looms as Valero’s Benicia refinery is slated to close in April, with the company pledging to keep Northern California supplied by importing gasoline to help limit price spikes.
  • The address comes as California confronts persistent homelessness, high housing costs and slow building, a reported budget deficit, and criticism that CARE Court has not ramped up as intended.