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Jeremy B. White’s must-read briefing on politics and government in the Golden State | | | | | |  | | By Jeremy B. White, Chris Ramirez and Graph Massara | THE BUZZ — DOING THE MATH: Gov. Gavin Newsom considers himself a numbers guy — that’s partially a dyslexia strategy — and budgets are a way to express values through numbers. In that qualitative spirit, we’re breaking down the initial budget Newsom proposed on Monday into some key sums that will guide negotiations between Newsom, legislators and interest groups ahead of an updated May proposal. | 
California Gov. Gavin Newsom unveils his proposed 2022-2023 state budget during a news conference in Sacramento, Calif., Monday, Jan. 10, 2022. | AP Photo/Rich Pedroncelli | 100 percent — The share of low-income, undocumented immigrants who could get health insurance coverage in Newsom’s most nationally resonant proposal. Medi-Cal already covers people younger than 26 or older than 50, regardless of immigration status. Newsom wants to encompass the rest, at the eventual annual cost of $2.7 billion, and he said California needn’t raise taxes to fund it. But there’s more than one type of universal health care: Progressives exulted in this win, but fretted after Newsom sidestepped questions about major single-payer health care legislation. $45.7 billion — California’s projected budget surplus. The enormous overflow could trigger the Gann limit, a voter-passed mechanism that compels California to reroute excess funds to schools and taxpayers. Newsom predicted “substantial contributions back to the taxpayers” but did not detail if that would look like another round of taxpayer rebates. $0 — How much California’s gas tax would increase this year under Newsom’s temporary freeze, a gift to frontline Democratic candidates. $3.9 billion — How much Newsom wants to spend on zero-emissions vehicle infrastructure over three years, to make good on his executive order phasing out gas-powered new car sales by 2035. He would also channel $200 million to cap old wells and create a $50 million fund to help reorient displaced energy workers. And speaking of the climate: Newsom wants to allocate $750 million toward drought aid and nearly $2 billion toward combating wildfires, split between fortifying California’s firefighting force and managing forests. $20,855 — Per-pupil K-12 spending, accounting for all sources — the highest ever, as Newsom seeks $119 billion for schools. He also wants to bolster pre-K by bumping up the number of state-funded child care slots by about 36,000, to 145,000 total. $2 billion — Additional funding to get homeless Californians out of encampments and into treatment and shelter. Newsom separately dangled $2 billion more to encourage housing construction, including a YIMBY-friendly $1 billion for development in dense urban areas. 170 minutes — The runtime of Newsom’s characteristically epic budget presser. We watched it all. BUENOS DÍAS, good Tuesday morning. Congress today plans to honor Oakland football legend John Madden, who died last month. East Bay Rep. Eric Swalwell will take a lead role. Got a tip or story idea for California Playbook? Hit jwhite@politico.com or follow me on Twitter @jeremybwhite. QUOTE OF THE DAY: “I was surprised to even hear there was a proposal from a current radio talk show host who was one of the principal candidates. I don’t say that blithely or dismissively — his name now escapes me.” Newsom draws a blank when referencing top GOP recall vote-getter Larry Elder. TWEET OF THE DAY: Newsom homelessness adviser @Jason_Elliott on housing density: “Housing IS Climate. When we fail to build enough housing, we make our climate change problem worse. Gov. Newsom's new approach calls the question. Are we serious about climate change? If so: We need to be serious about building MILLIONS more units in/near downtowns across CA” WHERE’S GAVIN? Nothing official announced. | | | | BECOME A GLOBAL INSIDER: The world is more connected than ever. It has never been more essential to identify, unpack and analyze important news, trends and decisions shaping our future — and we’ve got you covered! Every Monday, Wednesday and Friday, Global Insider author Ryan Heath navigates the global news maze and connects you to power players and events changing our world. Don’t miss out on this influential global community. Subscribe now. | | | | | |  | TOP TALKERS | | — “Omicron is surging — and Democrats aren’t shutting things down this time,” by POLITICO’s Lisa Kashinski and Susannah Luthi: “Instead of facing anger from Republican voters, Democrats must now contend with critics on the left who accuse their own party of selling out public health to keep the economy going. Labor unions representing teachers, health care workers and airline staff say governments aren’t providing enough tests and masks and that leaders should consider short-term closures until the Omicron surge ends.” REMEMBRANCE — “ Nearly 200 homeless people died in Sacramento County last year. What we know about them,” by the Sac Bee’s Theresa Clift and Nathaniel Levine: “In order to memorialize them so they are not forgotten, the Bee compiled daily reports from the Coroner’s Office and supplemented them by reaching out to the homeless community and family members of the deceased.” — “ Robert Durst, real estate scion convicted of murder, dies,” by the Sac Bee’s Joe Mozingo and James Queally: “For 15 years, he eluded Los Angeles investigators who suspected he killed his close friend Susan Berman at her Benedict Canyon home in order to stop her from cooperating with a renewed probe into [his first wife’s] disappearance.” POKÉMON (LET) GO — “ Two Los Angeles Cops Fired for Hunting Pokémon During Active Robbery,” by the Daily Beast’s AJ McDougall. | | CALIFORNIA AND THE CAPITOL CORRIDOR | | GULP — “California surpasses astonishing 6 million COVID infections as Omicron wave expands,” by the LA Times’ Luke Money, Rong-Gong Lin and Marissa Evans: “Los Angeles County has reported more than 225,000 new coronavirus cases over the last week, including its three highest single-day totals of the entire pandemic. County health officials announced the latest record, 45,584, on Sunday.” CABIN FEVER — “Sonoma County bans large gatherings, advises residents to shelter in place for next 30 days,” by the SF Chronicle’s Erin Allday: “Over the past two weeks, the county’s case rate has increased five-fold — to more than 121 cases a day per 100,000 residents — and is expected to keep climbing. Its positive test rate is at a record-high 16.5%; the previous high was 9.7%.” — “More than 3,800 California prison staffers have coronavirus amid massive surge this month,” by the LA Times’ Richard Winton: “In November, a U.S. 9th Circuit Court of Appeals panel temporarily blocked a judge’s order requiring all California prison workers to be vaccinated against COVID-19 or have a religious or medical exemption.” NUMBER 17 — California Independent Chad Mayes to leave Assembly, by POLITICO’s Jeremy B. White: Mayes' seat overlaps with that of GOP Rep. Ken Calvert, and he said in an interview that he was considering challenging Calvert but had not yet made a decision. The candidate filing deadline for this year's primary is in March. “I’m not ruling it out,” Mayes said, but “I haven’t made a decision that I’m doing it." — “What’s behind the ‘Great Resignation’ of California lawmakers?” by CalMatters’ Ben Christopher: “Some incumbents and lobbyists say this year’s changing of the guard has the potential to shake up the Capitol’s policy-making dynamic.” LABOR — “Empower workers or government overreach? California’s fast food bill tests labor laws,” by CalMatters’ Jackie Botts and Jesse Bedayn: “Proponents in the state Legislature say one solution to inequality is to empower workers to negotiate through unions, but that’s not happening in the fast food industry where frequent turnover, inexperience and intimidation make it too difficult for workers to organize. Only 3% of fast food and counter workers belong to unions nationwide.” — “Bay Area freeway shootings have nearly quadrupled in 4 years. In 2021, almost half occurred in one county, ” by the SF Chronicle’s Rachel Swan: “With most of these cases unsolved, law enforcement and criminologists are left to speculate about motives. UC Berkeley criminal law professor Jonathan Simon said that ‘only two criminal scenarios come to mind’ in freeway shootings: road rage assaults or calculated attacks against a motorist who the perpetrator already knew. Such encounters could be aggravated by the growing number of people who are armed, Simon said.” — “ California Democrats are trying again for universal healthcare. It’s a debate well worth having,” opines the LA Times’ George Skelton: “Some powerful opponents will call it ‘socialist.’ But aren’t Social Security and Medicare socialist? And they’re among the most popular government programs in America.” FLUNKED — “SFUSD failed the Covid-19 testing test, ” by Mission Local’s Joe Eskenazi: “All told, some 41,000 tests were disseminated to Oakland public school families. Some 21,000 results were uploaded to a central system. And, on the first day of school, nearly 1,000 students and staff stayed home because they’d tested positive for Covid-19.” — “A neglected California city reinvents itself with electric cars — and plots a roadmap for the nation,” by the LA Times’ Evan Halper: “As the Biden administration builds its multibillion-dollar blueprint for confronting deep inequities in the transition to green transportation, one of the few places it has to look for inspiration is Huron.” — “As new housing law hits Bay Area, developers wade in,” by Mercury News’ Louis Hanson | | BIDEN, HARRIS AND THE HILL | | — “Swalwell’s lawsuit against Trump over Capitol insurrection faces make-or-break test,” by the SF Chronicle’s Tal Kopan: “The roughly five-hour hearing before D.C. District Judge Amit Mehta focused on the arguments by Trump and his allies that the case should be dismissed.” | | CAMPAIGN MODE | | — “Here’s your next congressman, north Fresno. He doesn’t even need your vote,” opines the Fresno Bee’s Maerk Warszawski: “Turns out CD 5 isn’t a Fresno seat at all. Rather, more than 43 percent of its residents live in Stanislaus County. Fresno County residents make up less than 16 percent of the district, even fewer than El Dorado County’s 17 percent.” — “COVID omicron surge could mean trouble for California Democrats in midterm election,” by the Sac Bee’s David Lightman: “Will voters blame the Democrats in power for the ongoing pandemic? Will people get disgusted with all incumbents and just not vote? Or will life return to ‘normal’ in the fall and voters will reward those incumbents?” — “Out candidates Kumagai, Franco-Clausen enter East Bay Assembly race,” by the Bay Area Reporter’s Matthew S. Bajko. | | SILICON VALLEYLAND | | CHARGING — “Solar Power and Battery Storage Will Be the Real Test for Tesla,” by Bloomberg’s Dana Hull and Mark Chediak: “In 2022, Musk’s electric auto company is making a serious effort to become a more important supplier of energy storage, both for people’s and for the power grid writ large. TIME FOR A REBOOT — “California appealed a decision in Activision Blizzard settlement,” by Protocol’s Nat Rubio-Licht: “The DFEH is appealing the judge's decision, worried that the consent decree, which resolved the dispute between Activision and the EEOC without an admission of guilt, could free the game developer of claims that the state has against it, as well as allow the company to destroy evidence related to the case.” | | MEDIA MATTERS | | — Alejandro Lazo has left the Wall Street Journal for CalMatters, where he will be covering economic inequality. | | MIXTAPE | | GUILTY — “Former L.A. city attorney’s official agrees to plead guilty in DWP scandal,” by the LA Times’ Dakota Smith and David Zahniser MONEY MOVES — “ San Francisco ADUs are being built mostly in the richest parts of the city,” by the SF Chronicle’s Susie Nielson VINE AND DANDY — “BottleRock Napa Valley 2022 lineup announced,” by The Press Democrat’s Dan Taylor YES, CALIFORNIANS TOO — “ More than 1,700 congressmen once enslaved Black people. This is who they were, and how they shaped the nation,” by the Washington Post’s Julie Zauzmer Weil. | | TRANSITIONS | | — Anthony Reyes is starting his own communications firm. Reyes previously worked for Senate President Pro Tem Kevin de León. | | BIRTHDAYS | | Uber’s CR Wooters … Salesforce’s Ben Finkenbinder … William Nelligan | | | | 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 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 -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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