Gov. Gavin Newsom signs housing bill overhauling California's landmark environmental law

Gov. Gavin Newsom signed into law an overhaul of California's landmark environmental protection rules that he says is essential to address the state's critical housing shortage and long-running homeless crisis.

SACRAMENTO, Calif. — Gov. Gavin Newsom signed into law an overhaul of California's landmark environmental protection rules that he says is essential to address the state's critical housing shortage and long-running homeless crisis.

The Democratic governor widely seen as a potential 2028 presidential candidate called the two-bill package a historic reshaping of environmental rules that, while initially well intentioned, too often resulted in tangles of litigation and costly delays that strangled much-needed development.

Newsom said the bills, which he signed Monday night, represent the most consequential housing reform in recent California history.

"We have too much demand chasing too little supply," Newsom said at a news conference. "So many of the challenges that ail us can be connected back to this issue."

Once known for stratospheric growth, it is possible the nation's most populous state could lose a handful of U.S. House seats in the 2030 census because population has been shifting to states like Texas and Florida, where the cost of living is more affordable.