| | | | |  | | By Christopher Cadelago, Dustin Gardiner and Lara Korte | | Presented by |  | | | DRIVING THE DAY — The second-place tie between Democratic congressional primary candidates Evan Low and Joe Simitian is heading for a recount. County election officials in the Silicon Valley House district confirmed last night that they are preparing to launch a recount on Monday after a voter, Jonathan Padilla, filed a request to do so. Low’s campaign is crying foul. Read more here.
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Health and Human Services Secretary Xavier Becerra attends a hearing of the House Ways and Means Committee on Capitol Hill on March 20, 2024, in Washington. | Mark Schiefelbein/AP | THE BUZZ: CALIFORNIA DREAMIN' — After four years in the Biden administration, Xavier Becerra is thinking about coming home. The U.S. Health and Human Services Secretary and former California attorney general is considering leaving Washington to mount a bid for governor in 2026, people briefed on his deliberations told POLITICO’s Christopher Cadelago, Dustin and Adam Cancryn. As Chris scooped: “Becerra and supporters have had conversations over the past weeks where the secretary and former California attorney general indicated to fellow Democratic officials and operatives that he would leave Washington after the November election and join the crowded field to succeed Gov. Gavin Newsom in two years.” As California attorney general, Becerra represented a national bulwark against the Trump administration, gaining national acclaim for filing more than 100 lawsuits against the former president and acting as a staunch defender of Obamacare. If he were to jump in, he’d be up against a slate of other powerful Democrats with significant name ID and fundraising prowess, including Lt. Gov. Eleni Kounalakis, former Senate President Pro Tem Toni Atkins, former State Controller Betty Yee, Superintendent of Public Instruction Tony Thurmond, and, potentially, Becerra's successor, Attorney General Rob Bonta. Speaking at Manny’s in the Mission last night, a famous watering hole for San Francisco political types, the HHS secretary gave some subtle hints about his future, telling the crowd that he “missed California” and smiling and nodding when someone in the audience yelled “governor!” as he paused between questions. But when POLITICO asked directly about the governor’s office, he sidestepped the question. “It’s a blessing to hear that someone is saying that I’m running for governor because I don’t know who they are,” Becerra said. “I am secretary of HHS and, by law, I have to be secretary of HHS and nothing else. So I’m gonna do my job as best I can. It’s a thrill, I think my mom would be happy to hear that someone thinks I can run for governor as well.” When pressed, Becerra said he wasn’t making calls to supporters before an aide abruptly cut off the questioning. GOOD MORNING. Happy Wednesday. Thanks for waking up with Playbook. Now you can text us at 916-562-0685 — save it as “CA Playbook” in your contacts now. Or drop us a line at lkorte@politico.com and dgardiner@politico.com, or on X — @DustinGardiner and @Lara_Korte. WHERE’S GAVIN? Out of state for spring break with the fam.
| | | | A message from Amazon: Roman started at an Amazon fulfillment center in San Bernardino, California and with help from Amazon Career Choice transitioned to a career with Amazon Music, “my new job has tripled my salary,” he said. Amazon fulfillment centers create 3,000 local jobs on average with comprehensive benefits and free on-the-job technical training programs in towns across the country, like San Bernardino, California. See the impact. | | | |  | SAN FRANCISCO | | |  Mayoral candidate Daniel Lurie stands outside the Macy's store at Union Square on Feb. 27, 2024. | AP | FOG OVER CITY HALL — An ongoing federal and local investigation into corruption at City Hall has been merely a footnote in the San Francisco mayor’s race. Candidate Daniel Lurie is about to change that. Lurie, a nonprofit executive and heir to the Levi Strauss fortune, today unveils his plan to fight corruption and overhaul the city’s bureaucracy. He's the only major candidate in the race who hasn’t served inside City Hall, and Lurie is using his lack of elected experience as a selling point, arguing “insiders” have allowed “corruption to grow like mold.” His plan has three major pillars: overhaul San Francisco’s byzantine process for obtaining building permits, create a special unit to oversee some $5 billion in city contracts and establish a central management system for all city construction projects. Lurie didn’t accuse any of his opponents of specific wrongdoing, though he says they’ve all failed to make systemic change. The other candidates in the November election include Mayor London Breed, Board of Supervisors President Aaron Peskin, former interim Mayor Mark Farrell and Supervisor Ahsha Safaí. Lurie’s reforms would especially target allegations of a corrupt culture within the Department of Building Inspection, by requiring its inspectors to review all permit applications within a set time frame (30 days, in most cases). The department, known as DBI, is notoriously slow at approving building permits. The permit backlog causes many developers to hire so-called “expediters” to help advocate for their applications and nudge city inspectors. Several expediters and city inspectors have been convicted, or fired, in recent years over their involvement in kickback schemes. “When it takes forever to get anything done, people will pay to jump the line,” Lurie said. “That’s where corruption really sets in.”
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Recall volunteers in 2021. | AFP via Getty Images | GHOSTS OF RECALLS PAST — Republicans have launched another effort to recall Newsom. But they’re dealing with a much more existential problem, as POLITICO’s Christopher Cadelago also reports this morning. Rescue California, the recall committee helmed by Republican consultants, is facing a $1 million lawsuit filed by a deep-pocketed Bitcoin pioneer stemming from the last, failed attempt to boot Newsom from office in late 2021. Jesse Powell, a founder and chairman of Kraken, one of the world’s largest cryptocurrency exchanges, is accusing Rescue and the group’s current and former operators of deceiving him to raise eleventh-hour dollars into the committee. When Powell demanded they send the money back, arguing it was conditioned on his name staying out of the public eye, they refused, channeling it into advertisements that consultants collected commissions on. Rescue’s lawyers counter that Powell didn’t suffer damages. Don’t miss all the rollicking drama in Chris’ story. | | | | A message from Amazon:   | | | | | CLIMATE AND ENERGY | | HOME FIRES BURNING — At a global insurance summit in LA yesterday, California Insurance Commissioner Ricardo Lara was celebrated as a climate leader. At home, he can’t keep insurers from fleeing the state. Read about his tough balancing act in last night’s California Climate.
| | ON THE AGENDA | | IN THE ASSEMBLY — The Elections Committee will take up Gail Pellerin’s bill prohibiting a person from running for more than one office at a time during a primary election (cough cough Vince Fong), as well as her bill banning the use of AI in political communications. Marc Berman will also present his bill on protecting democracy from deepfakes. IN THE SENATE — The Health Committee is hearing a bill from Josh Becker sponsored by the California Medical Association that would set standards for the use of AI in health care.
| | | | GROWING IN THE GOLDEN STATE: POLITICO California is growing, reinforcing our role as the indispensable insider source for reporting on politics, policy and power. From the corridors of power in Sacramento and Los Angeles to the players and innovation hubs in Silicon Valley, we're your go-to for navigating the political landscape across the state. Exclusive scoops, essential daily newsletters, unmatched policy reporting and insights — POLITICO California is your key to unlocking Golden State politics. LEARN MORE. | | | | | | | Top Talkers | | — Former House Speaker Kevin McCarthy explicitly linked his 2023 ouster as speaker of the House to allegations of sexual misconduct against Florida Rep. Matt Gaetz. (POLITICO) — Tesla just settled a years-long lawsuit over an autopilot death on the eve of its trial. It’s keeping the cost a secret. (East Bay Times)
| | | | A message from Amazon: Amazon is committed to helping their employees and communities where they operate thrive. Employees like Roman, who used the Amazon Career Choice program to transition from his fulfillment center job to a marketing specialist role with Amazon Music.
Learn how Amazon invests in growth. | | | | | AROUND THE STATE | | SACRAMENTO — California spent $24 billion on 30 homeless and housing programs between 2018 and 2023. The state can’t tell how effective they were, a new state audit found. (Associated Press) SILICON VALLEY —The country’s largest maker of semiconductor equipment may cancel its plan to open a $4 billion facility in Silicon Valley. (San Francisco Chronicle) SAN FRANCISCO — The late Sen. Dianne Feinstein could be memorialized in a downtown San Francisco post office. (San Francisco Chronicle) CENTRAL VALLEY — Assemblymember Vince Fong will do double duty on the Central Valley ballot, a state appeals court ruled. The Bakersfield Republican will vie for former Speaker Kevin McCarthy’s seat and reelection in his state district. (POLITICO) — with help from Ariel Gans
| | PLAYBOOKERS | | BIRTHDAYS — Assembly Speaker Pro Tem Jim Wood … Assemblymember Tri Ta … Colin Hawley, communications consultant to Assemblymember Greg Wallis … Amy Dudley … Shelley Greenspan (was Tuesday): Darcy Totten, external affairs director at the California Commission on the Status of Women and Girls … Albert Z. Praw SHARE YOUR B-DAY — Want us to feature a birthday or another special occasion in POLITICO's California Playbook? You can now submit a shout-out using this nifty form. Subscribers are invited to submit on behalf of a coworker, boss, friend and/or significant other. (Or even themselves!) Disclaimers: All information will be verified. We reserve the right to edit any final content. 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.
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