Donors who contribute significant sums to Governor Gavin Newsom’s political action committees, campaigns, and charitable organizations often find themselves appointed to influential roles, sometimes just days after their donations. A review of state campaign finance records and federal disclosures illustrates a pattern where various donors, including tribal leaders and business executives, are named to positions shortly before or after making contributions to Newsom-affiliated entities.
For instance, Mark Arabo, the CEO of Refined Management, donated tens of thousands of dollars in February 2024. Just one day later, Newsom appointed him to the state racetrack rental board, which oversees lease agreements related to racetracks. Similarly, Andrew Tavacoli, CEO of Tobacco Properties, contributed $45,000 to Newsom’s super PAC, and within two months, he was appointed to the boards of Expo Park and the California Science Center, which manages a key educational complex in the state.
In 2023, Newsom also sought a considerable sum from the Graton Rancheria Confederated Indians for the California Partners Project, a nonprofit linked to his wife. Shortly after, the tribe’s chairman, Greg Sallis, was appointed to the University of California Board of Regents, a pivotal role in California’s higher education system. It’s notable that Graton Rancheria has significant political clout due to its gaming interests.
Political analysts suggest that while the timeline of donations and appointments might not explicitly indicate wrongdoing, the interplay between contributions and gubernatorial actions fosters concerns about potential undue influence. Sean McMorris, a government transparency advocate, pointed out that although such practices are legal, they might create a perception of a pay-to-play environment, an issue highlighted by a recent ethics fine against Newsom for failing to report substantial payments.
Newsom’s spokesperson, Tara Gallegos, firmly denied any implication that political donations influenced appointments, asserting that the governor’s decisions are based solely on what’s best for Californians. She deemed any contrary suggestion as completely unfounded.
Another significant contributor, the California Council of Carpenters-Building Communities Fund, donated over $666,000 in April 2023. Shortly thereafter, Newsom appointed Kyle Patterson to notable positions regarding the California Prison Industry Authority. While these appointments don’t come with salaries, they cover expenses for board members. Similarly, the San Manuel Band of Mission Indians made substantial contributions and shortly after, Newsom appointed a tribe member to give guidance on cultural preservation issues.
Furthermore, Newsom has solicited over $340 million in payments for various projects. Blue Shield, for example, donated $20 million toward Project Homekey, a program aimed at housing the homeless, before the governor’s administration signed a no-bid agreement with them for vaccine distribution worth up to $15 million.
According to Dan Schnur, a professor of political communications, while Newsom likely adhered to legal protocols regarding donations and appointments, such actions might not sit well with many voters. He reflected on the notion that sometimes, legal actions can create more scandal than illegal ones.
