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Steve Hilton: Make $150K Tax-Free, Build 10 Cities, Clear Encampments

Steve Hilton took the stage at a Los Angeles Times–LAist forum and made a bold pitch: after 16 years of one-party rule, California needs a new direction. He laid out a big tax-cut plan, promised to slash wasteful spending, and offered blunt solutions for homelessness and housing. Voters deserve to hear bold plans, not boilerplate excuses. Hilton gave them both — big promises and a clear target: Democratic control in Sacramento.

Big Tax Cut Promise: The “Working Class Tax Cut”

Hilton’s headline idea is simple to explain and hard to ignore: make the first $150,000 of income tax-free. He calls it the Working Class Tax Cut and says it will lift burdens off families and workers. Critics immediately asked how to pay for a roughly $25 billion price tag. Hilton answered with a three-part plan: scrap high-speed rail, run what he calls “Operation Zero Waste” to root out fraud and bureaucratic waste, and impose a 5% cut across most state budgets. He also estimates $5 billion in Medi‑Cal fraud that could be recovered — a figure that will send payroll clerks at the Capitol reaching for their calculators and their lawyers.

Housing and Homelessness: Ten New Cities and a One-Year Deadline

On housing, Hilton didn’t whisper. He blamed Sacramento’s red tape for jacking new-home costs by about $200,000 and proposes a hard cap of $50,000 on cumulative regulatory and fee charges. He wants to build 10 new cities to expand supply and force prices down. On homelessness, he set a one-year timeline for mayors to clear encampments with state backing via the California Highway Patrol, paired with promises to expand mental-health care for long-term recovery. That’s the kind of tough-love approach many voters say they want — move people out of harm’s way, then get them the help they need. It’s bold, maybe messy, but it puts responsibility back on local leaders instead of excuses back at the statehouse.

Federal Ties, Environment, and Where Hilton Stands

Asked about his alignment with President Donald Trump — who has endorsed him — Hilton said his job is to defend California’s interests first, even if that means opposing the White House. That’s a smart dodge for a Republican in a blue state: you can court conservative voters without promising blind fealty to Washington. He also described himself as a “green conservative” from his days in the U.K., but slammed parts of California’s climate playbook he sees as costly and ineffective — calling offshore wind an “abomination” and arguing environmentalism means clean parks and coasts as well as lower emissions. It’s a pitch to voters who care about the environment but hate virtue-signaling mandates that raise costs and kill jobs.

Bottom Line: A Clear Choice — and the Need for Proof

Hilton’s forum performance was exactly what a competitive campaign needs: specific plans, tough talk, and clear contrasts with the status quo. That doesn’t mean every promise will survive the brutal reality of the Capitol, or that his accounting won’t get picked apart by budget wonks and opponents. But after 16 years of one-party control, voters should be excited to hear alternatives that aren’t warmed-over technocrat-speak. If Hilton is serious, the next step is simple: show the math, prove the savings, and let Californians decide whether they want more of the same or a real shot at change.

Written by Staff Reports

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