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Key issues that will shape California in 2023

The California Capitol in Sacramento on July 6, 2022.
Rahul Lal
/
CalMatters
The California Capitol in Sacramento on July 6, 2022.

Welcome to 2023 — a year that will likely prove decisive in California’s attempts to address some of its most pervasive challenges, ranging from housing and homelessness to climate change.

Wednesday, state lawmakers are set to return to Sacramento (though some may be driving ) to resume the two legislative sessions : a regular session focused on the typical business of debating and passing bills, and to levy a penalty on oil companies he accuses of price-gouging Californians at the gas pump.

If the session double-header sounds confusing, it’s because the legislative process often is — which is why that delves into how California’s state government works and how it interacts with local, regional and federal governments. They also explain what influences state lawmakers’ agendas, who represents you and how you can make your voice heard. .

On Sunday, many of the 997 bills last year — out of the nearly 1,200 state lawmakers sent to his desk — went into effect. , CalMatters breaks down . The explainer .

Now let’s dive into some of the key issues CalMatters is keeping an eye on in 2023:

  • Tough budget decisions: Newsom by Jan. 10 will unveil his budget proposal for the upcoming fiscal year — one that will have to account for a projected $24 billion deficit, . And California’s public pension plans, both of which posted negative returns on investments last year,  — increasing pressure on local governments and taxpayers.
  • An industry reckoning: Even as Newsom , people close to him say he remains a pro-business centrist who’s fiscally conservative and socially liberal, . Meanwhile, a first-in-the-nation law  — set to take effect Sunday — was temporarily blocked Friday after  until local elections officials determine later this month whether enough signatures were collected for a 2024 referendum, which would block the law until voters weigh in.
  • The implementation of ambitious and controversial programs:
    • Mental health: By Oct. 1, seven of California’s 58 counties are set to launch CARE Court, Newsom’s contentious plan to . But its potential limitations are already becoming clear: No CARE Court participant can be forced into treatment or forcibly medicated, unless they’re under the constraints defined by , a California Health and Human Services Agency spokesperson .
    • Health care: As California embarks on a multi-year plan to , its health care insurance program for the poor, it’s backtracked on a controversial plan to  (plus Kaiser, ) instead of nine. Blue Shield and  will also now receive Medi-Cal contracts in 2024, , noting that all plans “will be held to .”
    • Housing: As California contends with , the state this year will get its first glimpse of the impacts of two new laws that . Lawmakers will also consider a bill to make it easier for . Meanwhile,  to submit blueprints requiring the state to plan for 2.5 million homes by 2030 — but, although , it’s all fun and games until the actual homes get built, .
  • Immigration and the border: Although the U.S. Supreme Court last week  — a federal pandemic policy allowing U.S. officials to turn away migrants seeking asylum — state and local officials are increasingly concerned about California’s financial inability to support an influx of immigrants once Title 42 ends, .
  • Population and public perception: Even as the U.S. population grew, California’s population fell to about 39.03 million as of July 1, 2022, a 0.3% decrease from the year before, . That doesn’t bode well for a state that  for the first time in history. Making matters worse, Texas and Florida — with whose Republican governors  — gained more residents than any other state, while California lost more than any state but New York.

 is a nonprofit, nonpartisan media venture explaining California policies and politics.