A big California budget advances lofty lefty goals

Presented by the California Clean Cars Campaign: Jeremy B. White and Lara Korte's must-read briefing on politics and government in the Golden State

Jun 30, 2022 View in browser   By Jeremy B. White, Lara Korte and Sakura Cannestra Presented by the California Clean Cars Campaign THE BUZZ: If a budget is a statement of values, California Democrats just cemented the largest outlay for progressive ideals in the state's history. Twenty-seven hours or so before the start of the 2022-2023 fiscal year, lawmakers finished sending Gov. Gavin Newsom a $300 billion fiscal blueprint that is unrivaled in dollar amount. It includes a surplus that eclipses other states' entire budgets — and is striking for its pursuit of liberal goals that distinguish California's course in a divided national political climate. Some of the big issues: 1. Health care: The hundreds of millions of dollars allocated to expand abortion access was likely the most resonant. Sen. Nancy Skinner pointedly noted California was "fighting back against extremists in our courts and in other state legislatures" by seeking to offset the Supreme Court overturning Roe v. Wade. That effort extends beyond just funding — budget language also ensures that the first initiative voters will see on the November ballot is a constitutional amendment guaranteeing abortion rights. California also accomplished a landmark political feat by extending insurance coverage to every undocumented immigrant in the state regardless of age. California already offers in-state tuition benefits and driver's licenses to people without legal status. Another big-ticket health care item: the extra outlay for medical workers that represented a smaller version of the "hero pay" bonuses organized labor had advocated for in the Legislature. 2. Gas prices: You could even see a particular liberal vision prevailing in the final $9.5 billion inflation relief package. Legislative leaders held the line against a chorus of moderate Democrats who linked arms with Republicans — and Newsom — in demanding a halt in gas taxes. Leadership never wavered from the common progressive counterargument that a tax cut could simply line the pockets of oil companies (the livelier Democratic floor debate yesterday involved cannabis tax relief). They also thwarted Newsom's effort to tie relief payments to car ownership and secured an eligibility ceiling ensuring the affluent wouldn't get checks. 3. Rich pay up: Even the source of money had Democrats claiming vindication. A gusher of revenue from top earners created this enormous windfall — a testament, Skinner said, to the wisdom of "California voters who gave California a progressive tax system that ensures the wealthiest among us pay their fare share." (Voters could soon add on, with a ballot initiative taxing the rich to fund electric vehicle infrastructure headed to the ballot and another paying for pandemic relief possibly joining). There was little cause for celebration among sidelined Republicans. They lambasted the lack of a gas tax suspension and lamented Democrats springing $4.2 billion in bond funding for a high-speed rail project that epitomizes conservative complaints about government bloat. "We fall into this false mentality that we define success based on the amount of money that is spent," rued top Assembly budget Republican Vince Fong. ONE TO WATCH: Democrats fretted about the extent to which the Newsom administration's request to fund a reliable electricity supply would require burning fossil fuels. While they conceded it would necessitate some dirty energy, they chose to believe Newsom's assurances the measure would not lock in long-term fossil fuel use. But they weren't pleased by the hasty process — Assembly member Al Muratsuchi blasted a "rushed, unvetted, and fossil fuel-heavy response" that was "dumped on us late Sunday night" — and vowed to stay vigilant to hold Newsom to his word. BUENOS DÍAS, good Thursday morning. The Oakland Athletics' long ballpark saga enters a critical inning tonight, with a commission voting on the team's request to make Howard Terminal land eligible for a long-sought new park. We'll go on record saying the "Las Vegas Athletics" just rings wrong to our ears. Got a tip or story idea for California Playbook? Hit us up: jwhite@politico.com and lkorte@politico.com or follow us on Twitter @JeremyBWhite and @Lara_Korte.  QUOTE OF THE DAY: "I don't think Newsom's going anywhere, but if that's what the best that Democrat can offer is – is Newsom, Pritzker, or Biden – I'm feeling really good about Republicans winning in 2024." RNC chair Ronna McDaniel on Gov. Gavin Newsom buying Florida airtime, via Fox News . TWEET OF THE DAY: Journalist Andrew Kaczynski @KFILE on Nancy Pelosi getting communion at the Vatican: "This like when a spox goes over your head to try to talk to an editor." WHERE'S GAVIN? Nothing official announced. A message from the California Clean Cars Campaign: END OUR PAIN AT THE PUMP! Gas prices are as high as $7 a gallon, forcing many to choose between fuel and essentials like food and medicine. The California Air Resources Board is squandering its opportunity to support gas-free, pollution-free transportation. We need an Advanced Clean Cars program that achieves at least 75% electric car sales by 2030 to bring more and more affordable electric cars to market faster. Visit CleanCarStates.org to learn more.   TOP TALKERS PELOSI TRACKER— Pelosi receives Communion in Vatican despite abortion stance, via the Associated Press: "Pelosi's home archbishop, San Francisco Archbishop Salvatore Cordileone, has said he will no longer allow her to receive the sacrament in his archdiocese because of her support for abortion rights." UPPER UPPER CLASS — "How much money makes you 'wealthy' in San Francisco? The number keeps rising —by over $1 million in a year, " by the San Francisco Chronicle's Kellie Hwang: "Respondents to the 2022 Modern Wealth Survey said it will take an average net worth of $5.1 million to be considered wealthy in San Francisco in 2022, compared to $3.8 million in 2021 — that's an increase of 34% in one year, and more than double the national average." THEIR BAD — " Personal info on California gun owners wrongly made public," by the AP's Don Thompson: "The California Department of Justice on Wednesday acknowledged the agency wrongly made public the personal information of perhaps hundreds of thousands of gun owners in up to six state-operated databases, a broader exposure than the agency initially disclosed a day earlier." CAMPAIGN MODE — Proponents of California plastics ballot initiative say they'll withdraw the measure, by POLITICO's Debra Kahn: The sponsors of the initiative said in a statement that they would pull the measure if the Legislature approves and Newsom signs CA SB54, by Sen. Ben Allen (D-Santa Monica). But they also said they were worried the bill would be watered down during implementation by industry.   STEP INSIDE THE WEST WING: What's really happening in West Wing offices? Find out who's up, who's down, and who really has the president's ear in our West Wing Playbook newsletter, the insider's guide to the Biden White House and Cabinet. For buzzy nuggets and details that you won't find anywhere else, subscribe today.     CALIFORNIA AND THE CAPITOL CORRIDOR — "California's change to concealed carry permits would reduce wide variations among counties," by CalMatters' Ben Christopher: "Responding to a U.S. Supreme Court ruling, California legislators push a bill to restrict concealed carry permits. New numbers show a wide variation among counties in how many permits have been issued. But in publishing the data, the state Department of Justice exposed personal information of permit holders." — " How California can prevent crime and stem recidivism by expanding a housing program," opines Matthew Cate to the Sacramento Bee: "Despite the recent improvements in our prison system, incarcerated people often struggle to access rehabilitative programs and behavioral health services. And they often have little meaningful connection with their families and communities." POWERING UP — " California may rescue its last nuclear power plant — and give PG&E millions to do it," by CalMatters' Nadia Lopez: "State lawmakers are considering funding that could save California's Diablo Canyon nuclear power plant in their bid to avoid power shortages." — " Exclusive: Evictions soar in Sacramento as remaining COVID tenant protections set to end," by the Sacramento Bee's Alexandra Yoon-Hendricks and Theresa Clift: "The evictions unfolded as a landlord, a property manager, or in many cases, a deputy from the Sacramento County Sheriff's Office knocked at the door to kick out tenants." — "Study: S.F. ranks worst in the state when it comes to police-caused hospitalization rates for Black residents," by the San Francisco Chronicle's Shwanika Narayan: "Using statewide hospital data, the study examined 27,671 "legal intervention injuries" — or injuries requiring hospitalization and resulting from encounters with law enforcement personnel — from Jan. 1, 2016 to Dec. 31, 2019."   A message from the California Clean Cars Campaign:   BIDEN, HARRIS AND THE HILL — "Democratic Rep. Alan Lowenthal is one of Congress' most active stock traders, and he just violated a federal conflicts-of-interest law. Again." by the Business Insider's Dave Levinthal: "This is the second time in seven months that Lowenthal, who typically reports hundreds of stock transactions each year, according to federal records, has violated the STOCK Act's disclosure provisions." — Breyer will retire Thursday, paving the way for Jackson to ascend, by POLITICO's Matt Berg: Jackson will be sworn in at noon on Thursday immediately after Breyer's official retirement, the court announced. Chief Justice John Roberts will administer the constitutional oath, and Breyer will administer the judicial oath at a ceremony attended by Jackson's family. SILICON VALLEYLAND — "Abortion is illegal for millions. Will Big Tech help prosecute it?" by the Washington Post's Gerrit De Vynck, Caroline O'Donovan, Nitasha Tiku and Elizabeth Dwoskin: "Nearly a week since the Supreme Court made abortion illegal for millions of Americans, the companies still haven't given an answer. And some employees are getting frustrated, according to people familiar with the matter who spoke on the condition of anonymity for fear of retribution." — "The future of privacy rights in a post-Roe world ," by Axios' Margaret Harding Mill and Ashley Gold: "Privacy experts fear the Supreme Court's decision to overturn federal abortion rights will erode other key protections and expose daily life online to criminal investigations." — "Tech Giants Pour Billions Into AI, but Hype Doesn't Always Match Reality ," by the Wall Street Journal's Karen Hao and Miles Kruppa: "Yet AI ethicists and researchers warn that some businesses are exaggerating the capabilities—hype that they say is brewing widespread misunderstanding and distorting policy makers' views of the power and fallibility of such technology." — " TikTok can't stop users from doxxing the Supreme Court," by ArsTechnica's Ashley Belanger: "Doxxing judges can lead to temporary TikTok account bans, but posting the personal information of Supreme Court justices isn't the only way TikTokers are expressing their frustration."   INTRODUCING POWER SWITCH: The energy landscape is profoundly transforming. Power Switch is a daily newsletter that unlocks the most important stories driving the energy sector and the political forces shaping critical decisions about your energy future, from production to storage, distribution to consumption. Don't miss out on Power Switch, your guide to the politics of energy transformation in America and around the world. SUBSCRIBE TODAY.     MIXTAPE — "A Korean man's shocking killing on streets of L.A. sends his daughter searching for answers," by the Los Angeles Times' Kevin Rector. — "More than a bridge: Michael Maltzan's 6th Street Viaduct addresses mistakes of L.A.'s past," by the Los Angeles Times' Carolina A. Miranda. A GOOD GIRL — " 'We don't deserve our dogs.' A tribute to the best partner a duck hunter could ask for," by the Sacramento Bee's Ryan Sabalow. BIRTHDAYS Protocol's Mills Forni … Lanbo Zhang A message from the California Clean Cars Campaign: Electric vehicles are the key to freedom from expensive and volatile gas prices. Low-income communities and communities of color are hit from both sides, spending more of their income on fuel and breathing in more toxic tailpipe exhaust that shortens their lives. Strong, equitable electric car sales targets will cut health costs associated with chronic air pollution exposure, support the creation of good jobs in a key economic sector and help unburden family budgets that support local businesses. Governor Newsom and the Air Resources Board California Air Resources Board cannot fail us in setting stronger electric car standards that save people money at the pump, protect public health, fight the climate crisis and create jobs. We need electric car sales targets and mandatory equity provisions that achieve at least 75% pollution-free car sales by 2030.  Click here to learn more about how we can improve the Advanced Clean Cars program.   CALIFORNIA POLICY IS ALWAYS CHANGING: Know your next move. From Sacramento to Silicon Valley, POLITICO California Pro provides policy professionals with the in-depth reporting and tools they need to get ahead of policy trends and political developments shaping the Golden State. To learn more about the exclusive insight and analysis this subscriber-only service offers, click here. Want to make an impact? POLITICO California has a variety of solutions available for partners looking to reach and activate the most influential people in the Golden State. Have a petition you want signed? A cause you're promoting? Seeking to increase brand awareness amongst this key audience? Share your message with our influential readers to foster engagement and drive action. Contact Jesse Shapiro to find out how: jshapiro@politico.com.   Follow us on Twitter Jeremy B. White @JeremyBWhite Lara Korte @lara_korte POLITICO California @politicoca   Subscribe to the POLITICO Playbook family Playbook  |  Playbook PM  |  California Playbook  |  Florida Playbook  |  Illinois Playbook  |  Massachusetts Playbook  |  New Jersey Playbook  |  New York Playbook  |  Ottawa Playbook  |  Brussels Playbook  |  London Playbook View all our political and policy newsletters Follow us

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