SACRAMENTO >> Gov. Gavin Newsom signed into law an overhaul of California’s landmark environmental protection rules that he says is essential to address the state’s critical housing shortage and long-running homeless crisis.

The Democratic governor widely seen as a potential 2028 presidential candidate called the two-bill package a historic reshaping of environmental rules that, while initially well intentioned, too often resulted in tangles of litigation and costly delays that strangled much-needed development.

Newsom said the bills, which he signed Monday night, represent the most consequential housing reform in recent California history.

“We have too much demand chasing too little supply,” Newsom said at a news conference. “So many of the challenges that ail us can be connected back to this issue.”

Once known for stratospheric growth, it is possible the nation’s most populous state could lose a handful of U.S. House seats in the 2030 census because population has been shifting to states such as Texas and Florida, where the cost of living is more affordable.

And with about 18 months left in office, term-limited Newsom is also looking to bolster his legacy by attempting to tackle one of the state’s most intractable problems — soaring rents and home prices that are out of reach for many middle-class families. When first seeking the governorship, Newsom said he wanted to end California’s housing shortage by building millions of new homes, a goal the state appears unlikely to reach by the time he leaves office in January 2027.