POLITICO California Playbook PM: DiFi is back, and so is California Senate race

Your afternoon must-read briefing on politics and government in the Golden State

May 09, 2023 View in browser   By Jeremy B. White and Camille von Kaenel BACK IN THE GAME: By returning to DC today, Sen. Dianne Feinstein avoided blowing up California’s Senate race. The possibility that Feinstein might resign early loomed larger with each passing week that she was absent from the Senate, recuperating from shingles. That could have fundamentally altered the ongoing race to replace her in the Senate — a source of uncertainty and trepidation for the candidates who were already deep into campaigning for the 2024 election when Feinstein headed to the hospital. Say an ailing Feinstein had stepped down before completing her term and Gov. Gavin Newsom needed to appoint a replacement. Unless he selected a true caretaker who was fully committed to not seeking a full term, Newsom could have given someone an essentially insurmountable edge over the rest of the field. Sen. Dianne Feinsten (D-Calif.) leaves the Senate Chamber following a vote in the U.S. Capitol on Feb. 14, 2023, in Washington, D.C. | Chip Somodevilla/Getty Images Rep. Barbara Lee stood to benefit from that outcome more than Reps. Adam Schiff or Katie Porter. After Newsom angered some Black voters by replacing the newly elevated Vice President Kamala Harris with Sen. Alex Padilla — leaving the Senate without any Black women — the governor committed to appointing a Black woman if he got another Senate pick. Lee was vetted to replace Harris and was widely seen as the logical choice if Feinstein stepped down. Feinstein had been facing increasing calls to return or resign, including from some Democratic colleagues, as her prolonged absence prevented the Senate Judiciary Committee from advancing judicial nominations and threatened further chaos as a nearly-tied Senate faces a looming debt fight. But now it looks more likely that she stays through the end of her term, preserving the basic dynamics of the Senate race to date. Lee, Porter, and Schiff have all rolled out star endorsers and worked to map a path through a complex primary. Assuming Feinstein holds on, none of them will be getting Newsom’s nod or the awesome powers of incumbency. And what of Feinstein’s imprimatur? She hasn’t endorsed a favored successor yet or indicated she will, although she is closer to Schiff than the other contenders. But her blessing may not move the needle. Indeed, it could be a liability with the many progressive voters who are ready to put the Feinstein era in the past and shift California’s Senate representation to the left.   JOIN US THIS WEEK - PLAYBOOK MEET & GREET! We did it before and we're doing it again! Join California Playbook and POLITICO’s growing team in Sacramento at Smic’s Sip & Quip on Thursday, May 11, 2023, for an evening of cocktails and conversation. As POLITICO expands in California, we're convening our most influential readers in Sacramento and beyond. Swing by and have a cocktail on us—you never know who you might run into! Register here.     HAPPY TUESDAY AFTERNOON! Welcome to California Playbook PM, a POLITICO newsletter that serves as an afternoon temperature check of California politics and a look at what our policy reporters are watching. Got tips or suggestions? Shoot an email to cvonkaenel@politico.com or send a shout on Twitter. DMs are open! WHAT YOU NEED TO KNOW TODAY HATEFUL NEWS: Hate crimes, white supremacist propaganda and antisemitic incidents are on the rise in California, according to a report released Tuesday by the Anti-Defamation League. The state experienced the highest number of extremist-related murders and plots in the country last year – the highest number of antisemitic incidents since reporting began in 1979, which is in line with a worldwide rise of antisemitic incidents documented by the group. The Anti-Defamation League links the increase in violent extreme activity, in part, to greater collaboration between antisemitic networks and white supremacist groups. On The Beats OIL MONEY: California’s oil lobby deployed some creative branding in its campaign to thwart Newsom’s attempt to cap their profits. Ads on Facebook and elsewhere that trashed the profit penalty came from groups with names such as Californians Against Higher Taxes, Extracting Fact and Californians for Affordable and Reliable Energy. Those groups were funded with more than half of the $9.4 million spent this year by oil industry titans. That’s according to an analysis of lobbying expenditures and Meta’s advertising disclosures by climate communications firm Sunstone Strategies. “Big Oil loves its front groups, and even created new ones to oppose the price gouging penalty legislation, because it gives the false impression that their radical views are supported by external partners," said Alexandra Nagy, Sunstone’s California director. The industry says it made no secret of its opposition to a penalty that Newsom proposed after gas prices spiked last year. “We’re certainly not afraid to stand up for the men and women in our industry, and we do,” said Western States Petroleum Association spokesman Kevin Slagle. In the end, the bill passed but the legislation leaves it to the California Energy Commission to determine if the industry is overcharging consumers and whether any penalty is warranted. — Wes Venteicher RECALL REFORM: California voters are asked two questions on a recall ballot: whether the sitting elected official should be removed and who should replace that person. SCA 1, a proposed constitutional amendment advanced by Democratic state Sen. Josh Newman, would ask voters whether they want to drop that second question. A recalled politician’s replacement would instead be chosen through a separate special election. If SCA 1 is approved by voters, the top two vote-getters would move on to a runoff if neither candidate received a majority. That would make it exponentially more difficult for a conservative to win in a state where Republican registration has dipped under 24 percent. The proposal follows a wave of recall attempts against Democratic district attorneys and other politicians — most notably Newsom, who fought off Republican radio host Larry Elder and a dozen other would-be replacement candidates in 2021. Newman has firsthand experience with the state’s recall process. He was recalled from the state Senate in 2018 and replaced by former Republican Assemblymember Ling Ling Chang after he voted with fellow Democrats to raise the gas tax. — Alexander Nieves   DON’T MISS THE POLITICO ENERGY SUMMIT: A new world energy order is emerging and America’s place in it is at a critical juncture. Join POLITICO on Thursday, May 18 for our first-ever energy summit to explore how the U.S. is positioning itself in a complicated energy future. We’ll explore progress on infrastructure and climate funding dedicated to building a renewable energy economy, Biden’s environmental justice proposals, and so much more. REGISTER HERE.     AROUND CALIFORNIA — “Taxing corporations, closing prisons? Gavin Newsom weighs options to close California’s deficit,” by the Sacramento Bee’s Maggie Angst and Lindsey Holden: “To fill the projected $22.5 billion deficit anticipated in January, Newsom proposed significant cuts to climate initiatives and transportation projects. That included a $1.1 billion reduction in funding for zero-emission vehicle programs over five years and paring back $2 billion for future transit construction projects.” — “S.F. professional networking site LinkedIn to lay off hundreds,” by the San Francisco Chronicle’s Chase DiFeliciantonio: “Like many other tech companies vying for talent, LinkedIn, which is owned by Microsoft, went on a hiring spree in recent years, adding nearly 40% of its nearly 20,000-person-strong workforce during the pandemic.” — “As long-dead California lake revives, flooding is hurting farms — and food prices,” by the San Francisco Chronicle’s Kurtis Alexander: “Supplies of farm products in the Tulare Lake basin as well as on the Central Coast are already down this year — nearly 10% or more in some counties — which, for consumers, is likely to soon translate to less variety and higher prices of goods from these areas.” MIXTAPE — “Writers’ strike highlights extra barriers Latinos and writers of color face,” by Axios’ Astrid Galván  — “Mangoes and agave in the Central Valley? California farmers try new crops to cope with climate change,” by CalMatters’ Alastair Bland  — “LA's Fashion District Is An Epicenter For American-Made Clothing. Can It Survive Downtown’s Housing Boom?,” by LAist’s David Wagner   Follow us on Twitter Katy Murphy @katymurphy 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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