Gavin Newsom hosts President Donald Trump's allies on his podcast. He's pushing city officials to crack down on homeless encampments. And this week, he proposed limiting health care coverage for immigrants in the country illegally.

Gov. Gavin Newsom said Wednesday morning that California is facing a shortfall of $12 billion for the upcoming budget year. Newsom’s office blamed the deficit on economic uncertainty caused by President Donald Trump’s policies and likely cuts to Medicaid. The overall budget, if passed by the Legislature by June 15, would top $321 billion.