News Summary
California Lieutenant Governor Eleni Kounalakis has announced her withdrawal from the gubernatorial race to run for state treasurer in 2026. She believes she can address critical fiscal issues more effectively in this role. Kounalakis, who previously raised significantly less than her competitors, aims to focus on housing affordability, economic opportunity, and strategic investments. Her decision comes amid a rapidly evolving political landscape in California, with notable figures like former Vice President Kamala Harris also stepping back from the gubernatorial race.
California Lieutenant Governor Eleni Kounalakis has officially withdrawn her candidacy for governor and announced her intention to run for state treasurer in the upcoming 2026 election. Kounalakis, a Democrat, communicated her decision through social media, expressing her belief that she can make a more significant impact by focusing on the state’s financial issues.
Kounalakis has laid out her agenda as treasurer, which prioritizes housing affordability, fiscal responsibility, economic opportunity, and strategic investments in clean energy and infrastructure. Her expertise in financial management is expected to bring an experienced perspective to this vital role, as she seeks to address critical economic challenges facing California.
Initially, Kounalakis was the first major contender to declare her gubernatorial aspirations in April 2023. However, recent polling indicated that she was falling behind stronger candidates, particularly former Representative Katie Porter. The political landscape for the California governor’s race has seen a quick expansion this year, with Kounalakis’s exit further illustrating the shifting dynamics. This trend has been characterized by several candidates withdrawing or announcing their plans, creating new opportunities for the remaining contenders.
Significantly, just one week prior to Kounalakis’s announcement, former Vice President Kamala Harris also stated that she would not pursue a gubernatorial campaign, further widening the field of potential candidates. Early polling had positioned Kounalakis in the top half of the gubernatorial candidates, but her fundraising efforts lagged. She managed to raise only $100,000 in the first half of the year, while Porter secured $3 million within the same time frame.
The role of state treasurer is crucial, as this position manages California’s financial resources. The treasurer also oversees various boards responsible for pension systems and financing initiatives for affordable housing, making it an instrumental role in shaping the state’s financial future.
Before her tenure as Lieutenant Governor, Kounalakis served as the U.S. Ambassador to Hungary and played a key role in fundraising for Hillary Clinton’s 2016 presidential campaign. Her family’s connections within California’s political fundraising networks may bolster her prospects in the upcoming treasurer campaign.
As Kounalakis transitions her focus, other Democratic candidates in the governor’s race still include Toni Atkins, Xavier Becerra, Stephen Cloobeck, Katie Porter, Tony Thurmond, Antonio Villaraigosa, and Betty Yee. On the Republican side, the candidates include former Fox News commentator Steve Hilton and Riverside County Sheriff Chad Bianco.
Kounalakis has previously won statewide office on two occasions, and her pivot to the treasurer’s race appears to be a strategic move based on her assessment of the political landscape and the opportunity for greater impact on California’s future. The gubernatorial race is currently considered wide open, with Kounalakis and Harris stepping back and leaving no clear frontrunner emerging from the field.
Support for Kounalakis continues to come from notable figures, including former House Speaker Nancy Pelosi, who has shown her endorsement in recent public statements. This backing adds another layer of complexity to the evolving gubernatorial race in California as it unfolds.
Deeper Dive: News & Info About This Topic
- Los Angeles Times
- Wikipedia: Eleni Kounalakis
- The Hill
- Bloomberg
- Sacramento Bee
- Google Search: California Governor race 2026
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MISSION VIEJO STAFF WRITER The MISSION VIEJO STAFF WRITER represents the experienced team at HEREMissionViejo.com, your go-to source for actionable local news and information in Mission Viejo, Orange County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Oso Fit 5K Fun Run and Community Health Fair, Walk Against Drugs & Community Fair, and National Night Out. Our coverage extends to key organizations like the Mission Viejo Chamber of Commerce and Providence Mission Hospital Mission Viejo, plus leading businesses in retail and education that power the local economy such as The Shops at Mission Viejo, Capistrano Unified School District, and Amazon Delivery Station. As part of the broader HERE network, including HEREAnaheim.com, HEREBeverlyHills.com, HERECostaMesa.com, HERECoronado.com, HEREHollywood.com, HEREHuntingtonBeach.com, HERELongBeach.com, HERELosAngeles.com, HERESanDiego.com, and HERESantaAna.com, we provide comprehensive, credible insights into California's dynamic landscape.
