State Treasurer John Chiang’s entry into the 2018 governor’s race scrambles strategies of other candidates considering a run as well as the business community’s view of potential candidates for the top job.
Chiang’s success as both state controller and treasurer has given him bona fides as fiscally responsible. In that way, he will attempt to claim the mantle now adorning Governor Jerry Brown as “the adult in the room” when it comes to legislative budget excesses.
Chiang gained attention during California’s battle with the Great Recession both in holding up legislators’ pay because of an unbalanced budget and publicizing public employee salaries. He also battled Gov. Arnold Schwarzenegger over public employee pay cuts during the budget deficit time and added transparency to the state’s fiscal situation with searchable online databases.
In announcing his run for governor, Chiang emphasized his plans to deal with crumbling infrastructure, jobs and education—all concerns of the business community. He also wrote of “making retirement security our generation’s call to arms.” Business owners will keep an eye on how much of the retirement security costs could fall on business.
Other candidates will speak to business issues, as well.
Lt. Governor Gavin Newsom, an announced gubernatorial candidate, often reflects on the notion that you “can’t be pro-job and anti-business.” But Newsom’s positions also move to the left on on a number of issues including health care and marijuana.
Billionaire hedge fund environmentalist Tom Steyer also could occupy the left side of the political spectrum if he chooses to run for governor.
Former Los Angeles mayor Antonio Villaraigosa will be a force in the race with solid connections in the Southern California business community. If current L.A. mayor Eric Garcetti also decides to run, Villaraigosa’s strength would be diminished, especially since the local business leaders would be cognizant that Garcetti is the sitting mayor and would remain in office if he does not become governor.
Former state Controller Steve Westly, a Silicon Valley venture capitalist, also hopes to find the sweet spot with moderates and the business community.
With California’s top-two primary, some business-friendly Democratic candidates are angling for a spot in the General Election with a fellow Democrat, and then hope to appeal to centrists and Republicans to sprint past their opponent down the homestretch of the election.
Such a strategy depends on whether a well-regarded Republican gets into the race unchallenged by other Republicans. San Diego mayor Kevin Faulconer, Fresno mayor Ashley Swearengin and even former Secretary of State Condoleezza Rice have been rumored to have interest in the race.
The entry of a qualified Republican would also test business community loyalties.
Questions will be asked: Can a Republican still win a statewide race in California? If the conclusion is no, will some business members choose a preferred Democratic candidate during the primary?
The 2018 California gubernatorial race could be as intriguing, if not as unruly, as this year’s presidential contest.