Having done a brief meditation on mortality in my last post, I should mention the passing of a very good man recently: Eli Segal, who among other things, was the founding father of AmeriCorps. Al From wrote a tribute to Eli’s service to his country and his party that you can read here.My own most vivid memory of Eli was of a phone call I received from him at home late one night in the midst of congressional consideration of the original AmeriCorps legislation. Some veterans group had become concerned that the post-service educational benefits proposed for AmeriCorps participants were too generous in comparison to veterans’ benefits, and Eli was trying to get in touch with my former boss, long-time national service champion Senator Sam Nunn, to help put out the fire. But he greeted me with the words: “Ed Kilgore! History is calling!”At the time I thought the line was very funny, and typically Eli. But as I get older, I think he might well have been correct: tracking down Sam Nunn that night might have been one of my few personal contributions to the national welfare. Eli Segal had to put out many other fires that threatened the Clinton administration’s small but proud national service initiative, particularly after the Republican takeover of Congress in 1994. He probably felt vindicated when George W. Bush made national service a major theme of his 2003 State of the Union Address, and promised to stop GOP efforts to kill AmeriCorps and related programs. But that’s why it especially outrageous that Bush’s latest budget renewed the Republican assault on national service, proposing to shut down the National Civilian Community Corps, an ancillary program to AmeriCorps whose members have particularly distinguished themselves in post-Katrina recovery efforts. The Office of Management and Budget’s rationale for this proposal is that the per-participant cost of NCCC is marginally higher than that of AmeriCorps. Well, that’s hardly surprising, since the whole point to NCCC is that it is a residential program targeted in no small part to young people from very disadvantaged backgrounds, who need residential support. Guest-blogging at Political Animal, Washington Monthly editor Paul Glastris goes after this proposed elimination of NCCC, and offers some alternative cuts if Republicans are actually serious about cutting frivolous federal spending. And like Paul, a whole generation of national service advocates, among whom I am proud to be a charter member going back to the 1980s, is mobilizing to expose the Bush proposal for the hypocritical joke that it actually is.Somewhere, Eli Segal is smiling.
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By Ed Kilgore
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May 16: Has Newsom Signaled End of California’s Latest Progressive Era?
Hard to believe I’ve now lived in California long enough that I can be nostalgic for the recent past. But something just happened that made me wonder if Golden State Democrats are at a turning point, as I suggested at New York:
Governor Gavin Newsom and many other California Democrats hoped that their state could serve as a defiant alternative to the reactionary bent of the second Trump administration, one that proudly stands up for their party’s values. But fiscal realities (including many under the influence of their enemies in Washington) still matter, and a new announcement from Newsom, as reported by the Associated Press, illustrates the limits of state-based progressivism in the Trump era:
“Gov. Gavin Newsom wants California to stop enrolling more low-income immigrants without legal status in a state-funded health care program starting in 2026 and begin charging those already enrolled a monthly premium the following year.
“The decision is driven by a higher-than-expected price tag on the program and economic uncertainty from federal tariff policies, Newsom said in a Wednesday announcement. The Democratic governor’s move highlights Newsom’s struggle to protect his liberal policy priorities amid budget challenges in his final years on the job.
“California was among the first states to extend free health care benefits to all poor adults regardless of their immigration status last year, an ambitious plan touted by Newsom to help the nation’s most populous state to inch closer to a goal of universal health care. But the cost for such expansion ran $2.7 billion more than the administration had anticipated.”
The steady expansion of Medi-Cal, California’s Medicaid program, which is being at best “paused” right now, reflected two different but mutually reinforcing progressive values: a slow but stead crawl toward universal health-care coverage in the absence of a national single-payer system, and a concern for the needs of the undocumented immigrants who play so prominent a role in California’s economy and society. In particular, California Democrats have embraced the argument that health care should be a right, not some sort of earned privilege, in part because health insurance helps keep overall health-care costs down in the long run by promoting early detection and treatment of illnesses while avoiding expensive emergency-room care. Because federal Medicaid dollars cannot be used to provide services for undocumented immigrants, California (like six other states that cover significant numbers of adults, and 13 others who cover children) has used state dollars to pay for them.
California Democrats were in a position to expand Medi-Cal thanks to the legislative supermajorities they have enjoyed since 2018, which is also when Newsom became governor. But the latest expansion has proved to be fiscally unsustainable as statewide budget shortfalls loom. Newsom has been quick to attribute the latest budget woes to revenues losses caused by Trump’s tariff policies. But the broader problem is that, unlike the federal government, California must balance its budget, even though many of the factors influencing spending and revenues are beyond its control. And the problem is likely to get worse as the Trump administration and its congressional allies shift costs to the states, a major part of their strategy for reducing federal spending (to pay for high-end federal tax cuts).
There’s a specific emerging federal policy that probably influenced Newsom’s latest step: Congressional Republicans are very likely to adopt a punitive reduction in Medicaid matching funds for states that are using their own money to cover undocumented immigrants. The details are still under development, but the provision could hit California pretty hard.
Numbers aside, this episode represents a potential turning point in California’s progressive political trends, reflecting Trump’s better-than-expected showing in the Golden State in 2024 along with the passage of a ballot initiative increasing criminal penalties for drug and theft offenses and the rejection of an increase in the state’s minimum wage. There’s even some optimistic talk among California Republicans about breaking their long losing streak (dating back to 2006) in statewide elections next year. That’s pretty unlikely given the high odds of an anti-Trump midterm backlash, but the fact that the heirs of Ronald Reagan are even dreaming dreams is a bit of a surprise.
It’s also possible that the ever-ambitious Newsom doesn’t mind calibrating his own ideological image toward the perceived center in his final days as governor (he’s term-limited next year). He and other California Democrats can only hope that economic trends and what happens in Washington give them a choice in the matter.