Climate Funding Fight to Leave Lawmakers With Tough Spending Choices
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a notably smaller share of allowances for the greenhouse gas reduction fund. In an interview with KQED, Governor Gavin Newsom defended the tradeoff. Since 2024, two California refineries have closed and consumers are struggling with high gas prices. Without more assistance to industry, he argues, a tighter emissions cap. could threaten California's effort to transition away from fossil fuels. As we accelerate that transition, we also need to stabilize the market so that we don't have $10 gasoline. But with fewer allowances up for auction, the greenhouse gas reduction fund could shrink from roughly $4 billion a year to half of that. How does Gavin Newsom want to spend that money? Well, a billion dollars a year. Guaranteed to a high-speed rail. High-speed rail, a project Gavin Newsom continues to champion despite bipartisan criticism. The governor says with a billion dollars a year, the state can complete an initial high-speed line from Merced to Bakersfield. I believe when it is done, people look back and go, boy, this was worthwhile. But Democratic lawmakers have other priorities for the shrinking climate fund. I met state Senator Dave Alexandria Ocasio-Cortez near Capitol Expressway in San Jose, where the extension of a VTA light rail line is under construction. Transportation infrastructure continues to be really, really important. The light rail extension received over $60 million from the state climate fund. Now that transportation funding... is also on the chopping block. You're not going to be able to walk somewhere 20 years from now and point to your children or grandchildren and say, we have the good prudence to invest, to use cap and invest to build that bridge or to build that particular piece of infrastructure. As the legislature heads back to the Capitol, there's an added element of time pressure. The last legislative session of Gavin Newsom's tenure as governor comes to an end on August 31st, giving the governor less than a month to leave his mark. on the future of California's climate spending. For the California report, I'm Guy Marzarati. In Los Angeles, Mayor Karen Bass is telling city departments to delay approving permits to rebuild a huge cold storage facility that recently burned in the Boyle Heights neighborhood. Bass's executive order directs the agencies to first figure out a way to subject the project to a strict environmental review process. The mayor is also calling on the city council to enact a moratorium on large cold storage facilities near residential zones and other sensitive areas. An interim ordinance is expected. expected to be introduced this week that would do exactly that. The massive facility was destroyed by a fire in June and left behind millions of tons of rotting food. Neighbors say they are now living with a rat infestation and a putrid smell. Now for an update on care courts. Officials say the statewide civil mental health program has seen an increase in participation in Los Angeles. LAS reporter Robert Garova explains.
The program lets family members, first responders, and others ask a court to step in with a voluntary care agreement for someone living with serious mental illness. Since launching in December 2023, the program has seen lower than expected participation, but officials say petitions filed in LA County jumped by more than 85% from December 2025 to March 26. Martin Jay Jones with the Department of Mental Health attributes that in part to more participation from first responders. We're doing quite a bit of work to help them identify and refer folks to us who might benefit from the support. Critics say the program strips people from having a say in their own treatment. That was LAist reporter Robert Grova. And that is the California report for Monday, August 3rd. We're a production of KQED News. I'm Madi Bolaños. Thank you for listening and have a great day. Support for the California Report comes from Stanford Medicine, comprising its School of Medicine and Adult and Children's Health Systems, working together to advance knowledge and improve lives, Stanfordmedicin.org, the Wesley Foundation, investing in California's underserved children and youth. And Eric and Wendy Schmidt, whose philanthropy works to create a healthy, resilient, secure world for all on the web at theschmidt.org.