In conclusion
In a crowded field of Democrats vying to succeed Gov. Gavin Newsom when he is term out next year, Kounalakis was lagging behind in polls and funding.
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The first prominent candidate to enter the 2026 governor’s contest more than two years ago, Lt. Gov. Eleni Kounalakis, has withdrawn and will now run for state treasurer.
In a statement released Friday, she stated that she currently thinks that concentrating on California’s financial destiny will allow her to have the biggest influence. In my role as state treasurer, I would offer a strong dedication to economic opportunity, fiscal discipline, and strategic investment in our state’s top priorities, which range from infrastructure and education to affordable housing and sustainable energy.
Her choice coincides with a peculiar point in the California presidential race. Former Vice President Kamala Harris appeared to blow the tense race wide open ahead of the June primary when she said just last week that she will not run for governor the following year. In a television interview that same day, former House Speaker Nancy Pelosiun formally endorsed Kounalakis.
Kounalakis, meanwhile, had been struggling in a field full of well-known but unimpressive Democrats since taking office as lieutenant governor in 2019. Former Los Angeles Mayor Antonio Villaraigosa, former U.S. Representative Katie Porter, former U.S. Health and Human Services Secretary Xavier Becerra, former state Controller Betty Yee, former state Senate leader Toni Atkins, state Superintendent of Public Instruction Tony Thurmond, and timeshare tycoon Stephen Cloobeck are also among them.
According to an Emerson College poll issued on Friday, Kounalakis is in sixth place with just 3% of the vote, trailing only billionaire developer Rick Caruso of Los Angeles, who hasn’t even entered the contest.
Additionally, Kounalakis struggled to gather money for a campaign that could eventually cost tens of millions of dollars to win, despite having substantial personal fortune from her experience as a real estate developer. In the first half of the year, she only raised roughly $100,000, according to her recent report.
In her statement, Kounalakis highlighted her background in housing development and stated that, should she be elected treasurer, she would prioritize tackling affordability.
In a statement, she stated, “I will make sure that we effectively utilize every dollar available to us in order to increase housing production.” This work is important, and I’m up to the task.
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