Newsom’s free-phone giveaway to state business leaders paid for by nonprofit run by ex-staffers

California Gov. Gavin Newsom has been sending out cell phones, funded by a closely-tied nonprofit, to CEOs of California companies with his personal number pre-programmed into them in an effort to “connect more directly with business leaders in the state.”

“The feedback has been positive, and it’s led to valuable interactions,” Newsom spokesperson Izzy Gardon told Fox News Digital in a statement. 

The state’s public disclosure rules still apply, meaning both the nonprofit – which was formed in 2002 under former Gov. Arnold Schwarzenegger’s administration – and Newsom must still comply with the rules for making public records available upon request regarding correspondence on the phones. 

Newsom’s office began sending out cell phones on a rolling basis in November to some of the state’s top 100 companies. The phones are being funded by the California State Protocol Foundation — which functions similarly to presidential inaugural committees — which has three board members, two of whom are former Newsom staffers. 

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The foundation is funded largely by businesses and private donations, according to reports, and has funded several previous governors on business trips at no cost to taxpayers. According to a Sacramento Bee report last May, the nonprofit funded Newsom’s international trips, including visits to El Salvador in 2019 and to Israel and China in 2023. 

However, charity watchdog group Charity Navigator gives the foundation a poor rating, noting issues such as no website, a high liabilities-to-assets ratio, no financial statements and having no known whistleblower nor document retention and destruction policies on record.

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The foundation’s principal officer, Steve Kawa, is a seasoned Democratic strategist who previously worked in the governor’s office, serving as Chief of Staff when Newsom was mayor of San Francisco. Other board members include Jim DeBoo, who is also a Democratic strategist and served as former executive secretary to Newsom and Matina Kolokotronis, the chief operating officer for the Sacramento Kings NBA team. 

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The move to give companies a direct line to Newsom comes as the blue-state governor has come under fire in recent years for the state’s high cost of doing business, with several high-profile companies such as Chevron, Oracle and Tesla moving their headquarters to more business-friendly red states like Texas. 

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Attempts by Fox News Digital to reach the California State Protocol Foundation for comment were unsuccessful.