| | | | |  | | By Dustin Gardiner and Lara Korte | Presented by Californians for a Connected Future, a project of USTelecom | | 
California Gov. Gavin Newsom answers a reporter’s question about his revised 2024-25 state budget during a news conference in Sacramento, California, on May 10, 2024. | Rich Pedroncelli/AP | THE BUZZ: NEW TACTIC — The vote counting is in full swing in Sacramento as Gov. Gavin Newsom and Democratic legislative leaders press legislators to send a competing crime measure to the November ballot. They have less than three days to do it before lawmakers decamp for a month-long summer recess. But Newsom and Democratic leaders, including Speaker Robert Rivas and Senate President Pro Tem Mike McGuire, improved their chances by finding a way to send the question to voters without a two-thirds majority vote of the Legislature. On Sunday night, the Democrats unveiled the text of their crime-fighting measure that would go up against a more punitive initiative from district attorneys — one that they were not able to negotiate off the ballot. The new Proposition 2 would increase penalties for repeat shoplifting and drug dealers who lace substances with fentanyl by rolling back parts of Proposition 47, which reduced sentences for some non-violent felony crimes. It also would nullify the prosecutors' crime initiative if both measures pass and Newsom's proposal receives more votes. That aspect could create political heartburn for some Democrats who’ve already endorsed the DA-backed measure. Still, mustering majority support in each house is a much easier lift than the two-thirds margin they would have needed to send a constitutional amendment to voters. Legislative leaders got around that higher threshold by instead calling a special election — on the same ballot as the Nov. 5 general election — to seek voter approval for a proposed law. The measure marks a dramatic policy shift for Newsom and legislators who, for months, argued the state could address rampant theft without rolling back Prop 47. But it is far narrower than the initiative backed by prosecutors. The biggest difference: Prop 2 would enhance penalties for drug dealers who lace substances with fentanyl while the DA-backed measure would enhance prison sentences for many drug offenses, including possession. Expect Newsom and Democrats to lean into that distinction as they campaign for Prop 2 based on an argument that the initiative is too extreme and would reboot the “War on Drugs” that led to mass incarceration in the 1990s. GOOD MORNING. Happy Monday, and welcome to July! 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? Nothing official announced.
| | | | A message from Californians for a Connected Future, a project of USTelecom: Broadband access unlocks opportunities. With AB 2797, we have the chance to make real progress in bringing broadband to all Californians. Modernizing our communications networks is the first step. More than 20 organizations across our state – representing communities from rural to urban, young and old – all agree that we need more high-speed, resilient communications networks. Let's pass AB 2797 to help connect Californians to high-speed internet. Learn more. | | | |  | THE SCOOP | | | 
California Attorney General Rob Bonta in 2022. | Rich Pedroncelli/AP Photo | FIRST IN PLAYBOOK: KEEPING YOUR DISTANCE — State Attorney General Rob Bonta, a potential contender for governor in 2026, will return more than $155,100 in campaign contributions that he has received from the Duong family, the politically-connected owners of a Bay Area-based recycling company who are embroiled in an FBI investigation. The total includes money Bonta also received from business entities of the Duongs and their associates, throughout his political career. Nathan Click, a spokesperson for Bonta’s campaign, told Playbook that the contributions will be donated to California charities and advocacy organizations, “all out of an abundance of caution.” Bonta has long received money from the Duongs and their businesses, including in his campaigns for AG and, previously, the state Assembly. Last month, federal agents raided the home of Oakland Mayor Sheng Thao and three properties associated with the Duong family. The FBI hasn’t revealed the nature of its investigation, but the incident has created a cloud over East Bay politics. Click said donations equivalent to the contributions Bonta has received from the Duongs and their associates will be made to Youth Alive, Planned Parenthood Affiliates of California, Giffords, Moms Demand Action, and the Brady Campaign Against Gun Violence.
| | | | Understand 2024’s big impacts with Pro’s extensive Campaign Races Dashboard, exclusive insights, and key coverage of federal- and state-level debates. Focus on policy. Learn more. | | | | | | | CASH DASH | | |  State Sen. Dave Min, D-Irvine, listens as lawmakers discuss a bill before the Senate at the Capitol in Sacramento, California, on July 10, 2023. | AP Photo/Rich Pedroncelli | FIRST IN PLAYBOOK: MIN’S HAUL — State Sen. Dave Min raked in more than $1.3 million for his House campaign in the second quarter, his camp told Playbook last night. The announcement, hours before the end of the period, illustrates Min’s bullish fundraising position as he runs for Rep. Katie Porter’s open House seat in Orange County. Min, who faced a tough primary fight with another Democrat, is eager to narrow the cash-on-hand advantage of Republican opponent Scott Baugh, who didn’t have a serious intraparty challenge.
| | | | A message from Californians for a Connected Future, a project of USTelecom:   | | | | | FOR GOOD MEASURE | | BONDING TIME — After a frenetic few weeks of negotiations, lawmakers over the weekend finally made deals to send a climate and an education bond to voters, asking them to approve a combined $20 billion in borrowing. The $10 billion education bond, carried by Assemblymember Al Muratsuchi, would fund construction and repairs of K-12 schools and community colleges — but notably leaves out four-year colleges and universities despite a concerted lobbying effort by those institutions. As our colleague Blake Jones reported over the weekend, K-12 lobbyists had long been pressing for universities to be excluded. They had argued that including the four-year schools would have decreased a measure’s chances of passing — using the example of a failed 2020 bond that included universities — and even contended that public opinion of the UC was likely on the downswing amid fractious Gaza protests. On the climate front, the $10 billion bond in state Sen. Ben Allen’s bill includes $3.8 billion to fund safe drinking water, drought and other water-related programs, as Alex Nieves reports. It would also provide funds for wildfire and forest management and help to protect California’s coastlines from sea level rise. Under the Legislature’s 72-hour rule, lawmakers will have to wait until Wednesday to take up floor votes on either of the measures.
| | | | A message from Californians for a Connected Future, a project of USTelecom: Expanding broadband across California is critical to ensuring all our communities can thrive. High-speed internet is transforming the way we live, driving economic growth and workforce development, and creating new opportunities for Californians to participate in the global economy. And as natural disasters become more frequent and severe, high-speed networks help first responders communicate with each other and the public in emergency situations.
More than 20 organizations across our state – representing communities from rural to urban, young and old – all agree: we need high-speed internet infrastructure to expand opportunity, enhance communications network resiliency to keep communities safe, and support a more connected future. It all starts with passing AB 2797 to modernize California's communications networks today. Learn more. | | | | | STATE CAPITOL | | NEWSOM SIGNS BUDGET — Newsom on Saturday also signed a package of bills reflecting the deal he and Legislative leaders made last week. The governor in a statement called it “a responsible budget” that maintains the state’s savings accounts while continuing to fund priority programs in housing, education and social services. | | | ON THE AGENDA | | | FLOOR SESH — The Assembly and Senate will convene at 1 p.m. and 2 p.m., respectively. | | Top Talkers | | — The Supreme Court gave Newsom and other Democrats a win on Friday by making it easier to clear homeless encampments. (POLITICO) — Amid all of the Democratic panic-texting prompted by President Joe Biden’s shaky debate performance Thursday, one name was curiously absent from many of those conversations: Vice President Kamala Harris. (POLITICO) | | AROUND THE STATE | | — The California National Guard investigated a commander. The Pentagon nixed it, starting a seething cold war between state and federal authorities on opposite coasts. (Los Angeles Times) — Trump’s second term could be a ‘doomsday scenario’ for California, toppling bulwarks set up by the nation’s most populous state (San Francisco Chronicle) — Why the Newsom administration won’t declare an emergency in San Diego’s sewage crisis, and how local leaders are pushing back. (San Diego Union-Tribune) — PG&E warns of potential shutoffs in Northern California as heatwaves broil the region. (San Francisco Chronicle) — A week before federal agents raided the home of Oakland Mayor Sheng Thao, police responded to gunfire at the home of a man accused of breaking the law while trying to help her win election. (San Francisco Chronicle) | | | PLAYBOOKERS | | | PEOPLE MOVES — John Mercurio and Greg Saphier are now co-leading the Motion Picture Association’s communications and public affairs division. BIRTHDAYS — Austin Webster, president of W Strategies LLC … Travis Holler … BELATED B-DAY WISHES — (was Sunday): Evangeline George … Bob McBarton … (was Saturday): Matthew Weiner … Savannah Causey … Christina Pearson … Roku’s Kaya Singleton … Josh Meyer … (was Friday): Mel Brooks … James Ruxin ... Kenneth Ribet ... Marty Block ... Ayelet Zurer 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.
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