A Look Back at 2024: Highlights from California
From environmental catastrophes to fiscal challenges, California witnessed significant events in the past year.
The residents of California endured a year filled with notable political and societal developments, including a heated presidential election, a substantial budget shortfall, inflation, disasters, and much more.
Natural Disasters
Approximately 150 feet of the Santa Cruz pier collapsed into the ocean on December 23 due to crashing waves. Three individuals fell into the water and sustained minor injuries, according to officials. Tragically, a man also passed away the same day after being trapped beneath debris by a large wave at a Santa Cruz County beach.
Around 8,000 wildfires ravaged over 1 million acres in California during the year. Cal Fire reported that approximately 1,680 structures were destroyed, resulting in one tragic loss of life.
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Other significant seismic events included a 4.7 magnitude quake in September near Malibu and another near Los Angeles registering 4.4 on the Richter scale in August.
People attempt to clear away debris from a mudslide after a powerful long-duration atmospheric river storm in Beverly Hills, Calif., on Feb. 5, 2024. Mario Tama/Getty Images
State Budget
California encountered a substantial budget deficit of approximately $73 billion, as reported by the nonpartisan Legislative Analyst’s Office. The state addressed this dilemma with a combination of spending cuts, deferrals, and some borrowing to manage expenses.
“We need to restore balance to our finances,” Governor Gavin Newsom stated during a January press conference. “We need to adjust for greater volatility than we initially predicted.”
State Senator Roger Niello, vice-chair of the Senate’s Budget Committee, expressed concerns that the plan creates uncertainty and might lead to issues in the future.
“While this budget appears nominally balanced, it is not sustainable,” Niello told The Epoch Times. “There are various elements that will contribute to deficits as we proceed through the budget year.”
The governor plans to present a new budget proposal in January 2025, outlining his spending plan and beginning discussions with the Legislature.
In recent years, planned expenditures have significantly exceeded revenues, and some lawmakers attribute the problem to government spending practices.
“Our ongoing issue is excessive spending,” Assembly Republican Leader James Gallagher remarked to The Epoch Times. “Until we manage our spending better, budget deficits will persist.”
The state’s analyst’s office has consistently recommended reducing costs and cutting ongoing spending to assist in balancing the budget.
Republican Minority Leader Assemblyman James Gallagher speaks to the Legislature, at the Capitol in Sacramento, Calif., on Aug. 31, 2024. Travis Gillmore/The Epoch Times
Homelessness
A report released on December 27 by the U.S. Housing and Urban Development Department (HUD) revealed that California has the highest number of homeless individuals in the nation, exceeding 187,000, including over 25,000 in families with children.
Two-thirds of all homeless individuals in California are unsheltered, and approximately 28 percent of all homeless veterans reside in the state, as per the report.
In response, Newsom noted during a separate press conference on December 27 that the data showed some positive trends, including a growth rate of homelessness in California at around three percent from 2023 to 2024, significantly lower than the nationwide increase of nearly 10 percent.
Critics have urged the governor to halt ineffective expenditures and concentrate on alternative strategies to combat homelessness.
“Gavin Newsom has completely lost oversight of the $27 billion directed towards addressing the homeless crisis,” remarked Republican Leader state Sen. Brian Jones in a December 27 statement. “The latest HUD report underscores that instead of addressing the issue, Newsom’s constant spending strategy has exacerbated the problem. It’s time for compassionate enforcement to resolve the humanitarian crisis on our streets.”
While some local leaders endorsed the initiative, others criticized it for potentially resulting in the arrest of individuals without housing, or merely shifting them from place to place.
“If demonstrable results are not evident, I will begin reallocating funds,” Newsom emphasized. “I am no longer interested in maintaining the status quo.”
City sanitation workers clear an encampment while assisting unhoused individuals with interim housing, as part of an ‘Inside Safe’ operation, in Los Angeles on Sept. 26, 2024. Mario Tama/Getty Images
Public Safety
Throughout the year, communities across California grappled with increased pressures from fentanyl and other drugs, retail theft, and property crimes.
Mendocino County Sheriff Matt Kendall shared with The Epoch Times that it’s premature to assess the law’s full impact, but early feedback indicates that criminals are becoming aware that their actions will no longer go unchecked.
“It’s all about accountability,” he noted. “When consequences are in place, some individuals may reconsider their choices before committing a crime.”
A significant element of the new law centers on providing rehabilitation for those dealing with drug addiction or mental health issues.
Economy
As of November 2024, California’s unemployment rate stands at 5.4 percent, still above the national average of 4.2 percent, based on both state and federal statistics.
While declines in the labor force and household employment were noted, gains were observed in sectors such as education, health services, and trade, transportation, and utilities.
In discussions about the economy, numerous Californians told The Epoch Times that their primary concern revolved around the cost of living.
Skyrocketing costs for rent, groceries, leisure activities, travel, and household essentials have imposed financial strain on many, with wages failing to keep up with inflation.
The escalating costs of utilities were a pressing worry for numerous households and businesses throughout the year.
On average, residents pay about twice the national average for utilities, with some customers of investor-owned utilities, including PG&E, facing charges more than triple those of states like Louisiana.
Artificial Intelligence
The artificial intelligence (AI) sector is a critical driver of California’s economy and has played a role in the state’s recent positive revenue trends, according to analysts.
Record stock prices for Nvidia resulted in capital gains that boosted state revenues through enhanced tax receipts.
With 32 of the top 50 AI companies located in California, the industry’s growth is creating job opportunities and stimulating economic activity. However, concerns surrounding energy consumption and pollution associated with data centers are topics under discussion among researchers and state officials.
California Gov. Gavin Newsom speaks at Shasta College during a press conference on Dec. 16, 2024. Travis Gillmore/The Epoch Times
“There is a current race around energy concerning [AI computing] and its components,” the governor remarked.
“This is an evolving challenge for California as we maintain our position as a leader and beneficiary of this industry while striving to advance our low-carbon, green growth initiatives.”
Elections
In what many are terming a historic election, Californians made significant decisions, strengthening penalties for repeat criminal offenders and transitioning two Assembly seats and one Senate seat from Democrat to Republican.
In the presidential election, over 9 million Californians cast their votes for Vice President Kamala Harris, while more than 6 million supported President-elect Donald Trump.
This year, ten counties switched their allegiance to Trump after having previously voted for Biden in 2020.
In the meantime, Republicans faced losses in three Congressional seats, with surprises occurring in the Central Valley and Southern California.
Challenger Adam Gray narrowly defeated incumbent Rep. John Duarte (R-Calif.) by just 187 votes in the 13th District. Rep. Mike Garcia (R-Calif.) lost his 27th District seat, which includes parts of Los Angeles County, to Democrat George Whitesides. Rep. Michelle Steel (R-Calif.) was defeated by Derek Tran in the 45th District.
Another noteworthy race saw former Democratic Assemblyman Dave Min clinch victory over Republican Scott Baugh in the battle for Orange County’s 47th Congressional District.
Former Congressman, now Senator Adam Schiff (D-Calif.), triumphed over former baseball player Republican Steve Garvey to secure the seat once occupied by the late Senator Dianne Feinstein.
As the year draws to a close, the state is poised to implement hundreds of new laws effective from January 1, with the Legislature set to reconvene on January 6.
