| | | | |  | | By Jeremy B. White, Lara Korte and Dustin Gardiner | | Presented by |  | | | |  Rep. Kevin McCarthy (R-Calif.) departs a press conference hours after he was ousted as Speaker of the House, on Oct. 3, 2023. | Francis Chung/POLITICO | THE BUZZ: Today's special election to replace Kevin McCarthy reflects a much larger struggle over the Republican Party. The ex-speaker’s protégé and former staffer, Assemblymember Vince Fong, is the prohibitive favorite to win the remainder of McCarthy’s unserved tenure. If Fong beats Tulare Sheriff Mike Boudreaux tonight and becomes Congressman Fong, he’ll wield a potent advantage in the November contest for a full two-year term. That would be a win for McCarthy, who has worked hard to boost Fong. It would also vindicate GOP officials and funders who have worked to promote establishment-friendly Republicans over the kinds of far-right insurgents that drove McCarthy from the speakership and out of his safe red seat. McCarthy has fundraised for Fong in person and helped to broker a critical endorsement from former President Donald Trump. Bolstering Fong’s huge direct fundraising advantage, a McCarthy-linked PAC has poured $450,000 into a pro-Fong Super PAC that boosted the candidate and hit Boudreaux in the March primaries. The Central Valley Values PAC has also been texting and mailing voters in the runup to today’s vote. The other money flowing into the Central Valley Values PAC tells a broader story about the fight for the soul of the Republican Party. The Nevada-based Conservatives for American Excellence dropped $500,000 into the pro-Fong PAC as part of a much larger strategy. The outfit, seeded with millions of dollars from prominent conservative donors, has waded into solidly Republican primaries around the country in an effort to boost mainstream Republicans over conservatives allied with the anti-establishment Club for Growth and the far-right Freedom Caucus. McCarthy has embarked on a retribution operation against the Freedom Caucus dissidents who pushed him from power. He’s also thinking about his own legacy closer to home. “He saw what happened with Boehner — a Freedom Caucus person took over his seat,” said a person familiar with McCarthy’s thinking who was granted anonymity to describe the former speaker’s motives. “He looks at this and wants to make sure his kind of person takes this seat.” (California Republican Party Chair Jessica Millan Patterson described McCarthy this weekend as still “heavily engaged in California Republican Party politics.”) Boudreaux may not be a card-carrying Freedom Caucus member, but he is running against the Bakersfield Republican machine that propelled Fong, McCarthy, and ex-Rep. Bill Thomas before that. Like McCarthy, Fong is running for his ex-boss’s open House seat. Like McCarthy when his career cut through Sacramento, Fong is seen as more of a conventional conservative than a radical agitator. But the Republican Party has changed since McCarthy got to Washington — in large part because of the norm-discarding, establishment-defying president whom McCarthy embraced to attain the speakership. Fong is hoping to surf those changing tides into DC as his former boss looks to exert what influence he has left. GOOD MORNING. Happy Tuesday. Thanks for waking up with Playbook. You can text us at 916-562-0685 — save it as “CA Playbook” in your contacts. Or drop us a line at lkorte@politico.com and dgardiner@politico.com, or on X — @DustinGardiner and @Lara_Korte. WHERE’S GAVIN? Still in Italy after his international meeting on the climate crisis. He’s expected to return later this week. QUOTE OF THE DAY — “I was shocked, angered and in disbelief that Mr. Altman would pursue a voice that sounded so eerily similar to mine that my closest friends and news outlets could not tell the difference.” Actress Scarlett Johansson, who hired legal counsel after accusing OpenAI of modeling its latest ChatGPT system after her voice without her consent. OpenAI has since taken down the voice.
| | | | A message from Safety Runs First: ADVANCING EQUINE SAFETY IN HORSERACING: Thoroughbred racing is applying unprecedented resources to protect the wellbeing of our horses. For the first time ever, all horses now run under the same safety and anti-doping rules, overseen by the Horseracing Integrity and Safety Authority (HISA). Advanced diagnostic technologies and big data add a new layer of protection. Combining uniform rules and hands-on care with the latest technologies ensures safety always runs first. To learn more visit SafetyRunsFirst.com. | | | |  | STATE CAPITOL | | |  A bill by Assemblymember David Alvarez would make it easier to build more condos and apartments in beach towns like Santa Monica, pictured. | Marcio Jose Sanchez/AP | COASTAL HOUSING — Housing developers would have an easier time building in California’s coastal zones under a bill that has divided Democrats but cleared the Assembly on Monday after a lengthy and spirited debate. Assembly Bill 2560 by San Diego Democrat David Alvarez would allow builders in those areas to use an incentive known as the Density Bonus Law, which lets them build more units if some are designated low-rent. Under current law, that incentive is preempted by the 1976 Coastal Act. Democrats were divided over whether the bill could hurt the state’s delicate coastlines, with many like Gail Pellerin and Al Muratuschi saying it would strip away a vital protection. But former Housing Chair Buffy Wicks argued that adding denser housing to pricey coastal areas is reasonable and would help address the state’s dire housing shortage. “It's not creating Honolulu or Miami-level housing,” she told colleagues on the floor. “If you want to help solve the housing crisis in California, press the green button.” BIPARTISANSHIP ALERT — A proposal to make social media companies liable for harms caused to children received sweeping support on both sides of the aisle on Monday. Opposition to Assemblymember Josh Lowenthal’s bill from groups like the Chamber of Progress, NetChoice, and Civil Justice Association of California didn’t stop a large number of Republicans from backing it, helping it pass with 57 yes votes and 0 no votes. The legislation was the subject of a tense debate last month in the Privacy and Consumer Protection Committee; afterward, Chamber of Progress Senior Counsel Jess Miers took to social media to deride politicians for writing “shitty bills.” The chamber later apologized to Lowenthal and said Miers would no longer represent the group in the Capitol. Before voting for the bill and urging his colleagues to do the same, Assemblymember Joe Patterson, Republican vice chair of the committee, on Monday reflected on "one of the craziest hearings that I've ever been a part of." Lowenthal called that day "one that we’ll remember, probably, for the rest of our lives," and said he'd since heard from major social media platforms who expressed a desire to work with him to protect kids. Opponents have argued the bill — which would allow private citizens to sue — runs afoul of the First Amendment and could invite a tsunami of lawsuits.
| | | | NEW! AN EXCLUSIVE CALIFORNIA BALLOT-MEASURES COVERAGE TEAM: The impact that ballot measures have on California residents, industries, and Legislature is enormous. From settling broad cultural questions to changing obscure governance rules, ballot measures in essence, have become the fourth branch of government in the most influential state capital in the U.S. As your go-to source for reporting on Golden State politics, policy, power, POLITICO has formed a new ballot measure team in California that will deliver in-depth insights into the strategies, policy ideas, personalities, money and influence driving ballot measures. LEARN MORE. | | | | | | | LOS ANGELES | | POWER PORTS — Roughly one of every 51 jobs in the entire country is supported by the Ports of Long Beach and Los Angeles, according to a new report measuring the economic firepower of SoCal’s massive trade complex. The two trade hubs, which combined make up the largest container port complex in North America, contributed to more than $47 billion in economic output in 2022, according to the Center for Jobs and the Economy, a nonprofit research center affiliated with the California Business Roundtable. The report underscores the major role the ports — and the trade sector as a whole — play in the regional, state and national economy, but also raises warning signs of future challenges, including limited options for expansion and uncertainty over possible new regulations. The effort to slash carbon emissions is especially fraught, with labor unions fearing that electrification of the ports could lead to reduced jobs, as Alex Nieves has reported. Regulators and environmentalists have pushed back, arguing that new regulations won't make the region less competitive and pointing to the ports' own goals of using 100 percent zero-emission trucks and cargo equipment by 2035. | | | | A message from Safety Runs First:   | | | | | ON THE AGENDA | | FLOOR SESH BONANZA — There will be no committee hearings this week as each chamber races against Friday’s House of Origin deadline.
| | | CLIMATE AND ENERGY | | | SHOWDOWN AT THE OFFSETS CORRAL — A bill to bring some legally enforceable standards to the Wild West of voluntary carbon offsets faced a new surprise opponent last week: the California Air Resources Board. Read more about the dust-up in last night's California Climate.
| | | | THE GOLD STANDARD OF DEFENSE POLICY REPORTING & INTELLIGENCE: POLITICO has more than 500 journalists delivering unrivaled reporting and illuminating the policy and regulatory landscape for those who need to know what’s next. Throughout the election and the legislative and regulatory pushes that will follow, POLITICO Pro is indispensable to those who need to make informed decisions fast. The Pro platform dives deeper into critical and quickly evolving sectors and industries, like defense, equipping policymakers and those who shape legislation and regulation with essential news and intelligence from the world’s best politics and policy journalists.
Our newsroom is deeper, more experienced, and better sourced than any other. Our defense reporting team—including Lara Seligman, Joe Gould, Paul McCleary, Connor O’Brien and Lee Hudson—is embedded with the market-moving legislative committees and agencies in Washington and across states, delivering unparalleled coverage of defense policy and the defense industry. We bring subscribers inside the conversations that determine policy outcomes and the future of industries, providing insight that cannot be found anywhere else. Get the premier news and policy intelligence service, SUBSCRIBE TO POLITICO PRO TODAY. | | | | | | | Top Talkers | | — California has the highest unemployment rate in the nation. (The Sacramento Bee) — More than one in four calls made to California’s hotline for reporting hate crimes cited anti-Black bias. (Los Angeles Times)
| | AROUND THE STATE | | — The median home price in California reached an all-time high of more than $900,000 in April. San Mateo County takes the cake for the most expensive county at over $2.1 million. (The Sacramento Bee) — Hundreds of graduate students at UC Santa Cruz went on strike over the UC’s response to pro-Palestinian demonstrators, which they say has been hostile. The campus’ Pro-Palestinian protesters moved their encampment to join them. (The Associated Press) — Home Depot will pay $1.3 million in penalties after an investigation found an array of fire code violations contributed to an arson fire that decimated a store in South San Jose. (East Bay Times) — San Francisco is gearing up to install a wave of speed cameras in its high-risk corridors, but the city has yet to find a vendor to operate them. (San Francisco Chronicle) — with help from Ariel Gans
| | | | A message from Safety Runs First: BRINGING RACING INTO THE 21ST CENTURY: Three years ago, Congress created the Horseracing Integrity and Safety Authority (HISA) to enhance the safety and integrity of Thoroughbred racing. Under HISA, for the first time in the sport’s 200-year history, every horse across the country is now running under the same safety and anti-doping rules. In addition, HISA is partnering with leading technology providers, including AWS and Palantir, to create new data-enabled tools to assist veterinary screenings. These tools add a new layer of protection by helping identify at-risk horses before they reach the starting gate.
The industry is also investing in the latest technologies for diagnostic imaging and wearable biometric devices. Combining enhanced, uniform rules, data analytics and cutting-edge technologies is improving safety outcomes and enhancing the ecosystems of care at every track nationwide, ensuring safety always runs first. To learn more visit SafetyRunsFirst.com. | | | | | PLAYBOOKERS | | IN MEMORIAM — There will be a memorial service Friday for people to pay their respects to former communications aide John Vigna, who died last month. The services are from 12 p.m. to 2 p.m. at Antiquite Midtown (2114 P St.). Hosts are requesting an RSVP to vignamemorial@gmail.com. PEOPLE MOVES — Emily Sissell is now the director of public affairs at Swing Strategies. She most recently was the communications director for the California Assembly Republican Caucus, and also previously served in various roles in Congress, the White House, and the U.S. Department of State. BIRTHDAYS — Sheldon Fort, constituent services manager for state Sen. Brian Dahle… Brandon Pollak … BELATED B-DAY WISHES — (Monday): Rachel Platten… WANT A SHOUT-OUT FEATURED? — Send us a birthday, career move or another special occasion to include in POLITICO’s California Playbook. You can now submit a shout-out using this Google form. Disclaimer: All information will be verified. 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 Rebecca Haase to find out how: rhaase@politico.com. | | | | Follow us on Twitter | | | | 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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