Big Tech and Big Business are spending millions to block progressives on the California ballot

With less than three weeks until Election Day, outside groups are pouring millions of dollars into two types of state legislative races: purple districts featuring a Democrat and a Republican, and safely Democratic districts featuring Democrats of different ideological stripes.

Political action committees backed by politically powerful groups such as unions and business have spent over $100 million on California legislative races so far this election cycle, eclipsing 2024 spending. Groups can spend unlimited amounts on “independent expenditures” to boost or oppose a candidate, providing they don’t coordinate with the campaign.

Since they came on the scene in January, two new tech-backed groups have dominated spending in legislative races. Grow California, funded by cryptocurrency investor Chris Larsen and venture capitalist Tim Draper as a “counterforce” to union spending, has spent more than $20 million this cycle. California Leads, funded by Meta and Google, has spent close to $14 million this year to support candidates who are focused on “real-world solutions rather than ideological fights.”

Legislative Action PAC, which Republican strategists founded in 2025 at the request of Republican lawmakers amid frustration with the official state Republican Party, is also spending for the first time this cycle. It aims to help Republicans hold seats they flipped in 2024, and its major funders include Google, AT&T and oil and gas companies. The PAC and its offshoots, Legislative Action Victory PAC and Legislative Bipartisan Action PAC, have spent at least $6 million to support Republican candidates since April.

A CalMatters analysis of spending since the June 2 primary found that these are the nine most expensive competitive general election contests in the Legislature. Total spending in each race includes campaign spending from the primary through Sept. 19, the most recent reporting period, and independent expenditures from the primary through Oct. 13.

$5.6 million: David Penaloza (D) v. Jessie Lopez (D) – Assembly District 68

The priciest race so far is between two millennial Democrats who both serve on the Santa Ana City Council in Orange County. Lopez is the more progressive of the two: She helped pass a rent control ordinance in 2021 and faced a recall attempt by the local police union after she voted to create a police oversight commission in 2022. Tech money is flowing to help her opponent: In recent weeks, California Leads has spent $1.4 million and Grow California has spent $1.3 million on ads supporting Penaloza.

Several powerful unions, including those representing public employees, nurses and California State University faculty, have spent a combined $1.4 million on ads supporting Lopez and attacking Penaloza.

$5 million: John Erickson (D) v. Brian Goldsmith (D) – Senate District 24

In the battle to succeed Sen. Ben Allen, Brian Goldsmith, an entrepreneur and former senior adviser for the pro-Israel advocacy group Democratic Majority for Israel, faces John Erickson, a West Hollywood city councilmember. The coastal Los Angeles district includes Malibu and Santa Monica. The two candidates are sharply divided on renter protections. Erickson supports repealing both the Costa-Hawkins Rental Housing Act and the Ellis Act, which limit local rent control and allow landlords to evict tenants to leave the rental business. That’s likely driving the influx of money supporting Goldsmith from the California Apartment Association, which has spent $450,000 on independent ads attacking Erickson. The California Realtors Association is the main funder of a PAC that’s spent over $600,000 backing Goldsmith.

Criminal justice reform advocates and organized labor, including the carpenters and school employees association, have bankrolled ads supporting Erickson.

$4.7 million: Greg Wallis (R) v. Leila Namvar (D) – Assembly District 47

Republican Assemblymember Greg Wallis is again fighting hard to retain his seat representing a purple district that includes both deep-blue Palm Springs and Cathedral City as well as conservative suburbs around Redlands and Yucaipa. Wallis has a significant fundraising advantage over his opponent, Democrat Leila Namvar, a former local labor leader and city planner. His campaign has outspent hers 6-to-1 and independent expenditures supporting him are more than 5-to-1. A moderate with a pro-business record, Wallis has been a favorite of California Leads, which has spent $1.1 million supporting him. A PAC funded by oil and gas companies has spent about $450,000. Legislative Bipartisan Action PAC spent about the same.

Amid the flood of outside spending, the Democratic Party has backed Namvar. Since mid-September, the party and its county committees have given her committee about $1.8 million.

$4.6 million: Sara Hernandez (D) v. Sarah Rascón (D)  – Senate District 26

Two Democrats are vying to replace departing progressive Sen. María Elena Durazo in this deep blue Los Angeles-based district. Sara Hernandez, a community college trustee, faces Sarah Rascón, a planning commissioner for East Los Angeles. Grow California and California Leads are backing Hernandez to the tune of about $3 million, even though her campaign website says she will “fight for strict rules with real enforcement” on Big Tech profits. Cardrooms near this district, including Hawaiian Gardens Casino and Commerce Casino, which are in a perennial battle with tribal casinos over gaming rights, have spent about $500,000 on independent ads supporting Hernandez.

Rascón, whose top priorities include advancing environmental and social justice, has rejected corporate money. Her campaign had spent about $34,000 as of mid-September, and the Working Families Party and California Environmental Voters have spent over $100,000 on ads supporting her.

$3.8 million: Eric Lucan (D) v. Jackie Elward (D) – Assembly District 12

This seat, which encompasses all of Marin County and some of Sonoma County, is another target of Grow California. The group has spent about $1.8 million on ads supporting Marin County Supervisor Eric Lucan. Lucan’s positions are more moderate than those of progressive Rohnert Park Councilmember Jackie Elward, who said in a KQED questionnaire that she supports moratoriums on “all things AI,” including data centers, and that “protecting workers is the priority.”

Elward’s support comes chiefly from the California Labor Federation, AFL-CIO, Consumer Attorneys of California and SEIU California State Council, which have spent over $1 million to support her race.

$3.2 million: Jeff Gonzalez (R) v. Ida Obeso-Martinez (D) – Assembly District 36

Outside groups have spent $2.7 million to back Republican Assemblymember Jeff Gonzalez. Photo by Fred Greaves for CalMattersTraditionally Democratic, this Latino-majority district along the California-Mexico border voted for Trump by 1.3 percentage points in 2024. The same year, Republican Jeff Gonzalez flipped it. Democrat Ida Obeso-Martinez, a nurse practitioner and Imperial County councilmember, is now challenging him to take it back. Oil and gas companies, a California Chamber of Commerce PAC and Legislative Bipartisan Action PAC are among the outside groups that have spent $2.7 million on mailers, polling, and TV and digital ads supporting Gonzalez and attacking Obeso-Martinez.

No outside groups have spent on behalf of Obeso-Martinez, but the California Democratic Party and its central committees recently gave Obeso-Martinez over $1.5 million for the final weeks of the race.

$2.8 million: Josh Hoover (R) v. Amy Slavensky (D) – Assembly District 7

Incumbent Republican Josh Hoover faces Democrat Amy Slavensky, a retired teacher and superintendent, in this competitive Sacramento-area district, which shifted rightward after redistricting in 2022. Hoover’s allies, including business groups, cardrooms, and the Legislative Action PAC, have spent at least $2.3 million, chiefly on digital ads and mailers supporting him and opposing Slavensky.

No independent groups have spent to support Slavensky, but Democrats have contributed close to $1 million to Slavensky since mid-September.

$2.6 million: Leticia Castillo (R) v. Clarissa Cervantes (D) – Assembly District 58

Assemblymember Leticia Castillo at her desk during a floor session at the state Capitol in Sacramento on Jan. 23, 2025. Photo by Fred Greaves for CalMattersRepublican Assemblymember Leticia Castillo flipped this Latino-majority seat in Riverside County in 2024, defeating Democrat challenger Clarissa Cervantes by 596 votes. This year is a close rematch. Cervantes, a Riverside city councilmember whose sister is Sen. Sabrina Cervantes, received 54.5% of the vote compared to Castillo’s 45.5% in the June primary. In a rare move, Cervantes has outspent the incumbent Castillo in the general election. Much of her spending — close to $1 million — has been from her campaign account, compared to Castillo’s $80,000.

Legislative Action Victory PAC has spent about $650,000 on ads attacking Cervantes, and a coalition of unions spent about $530,000 supporting her. Both parties have been pouring in money to their respective candidates in the last few weeks.

$2.6 million: Guillermo Gonzalez (R) v. Melissa Hurtado (D) – Senate District 16

Incumbent Democratic Sen. Melissa Hurtado won this district by 13 votes in 2022 even as Gov. Gavin Newsom lost it by more than 10 percentage points, making her the only Democrat to represent a state Senate district that President Donald Trump won in 2024. She faces a challenge from Republican Guillermo Gonzalez, a small business owner and former aide to Rep. David Valadao. Legislative Action PAC has spent over $1.7 million supporting Gonzalez and opposing Hurtado.

The Democratic Party and various county central committees have donated $4.8 million to Hurtado’s campaign war chest this election cycle, allowing her to spend close to $1 million between the primary and mid-September’s filing deadline.

For the record: This story was corrected to reflect that Clarissa Cervantes received 54.5% of the vote in her June primary contest against Leticia Castillo.

This article was originally published on CalMatters and was republished under the Creative Commons Attribution-NonCommercial-NoDerivatives license.