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Politico
3 days ago
- Automotive
- Politico
Gavin Newsom to Hollywood: Come back
Presented by DRIVING THE DAY — Elon Musk's escalating feud with President Donald Trump was catnip for California Democrats — who've long brooded over Musk's conservative pivot after California subsidies drove Tesla's early success. The rift threatens to blow up Republicans' megabill to fund Trump's domestic agenda. While some Democrats are weary about welcoming Musk back to their lunch table, Silicon Valley Rep. Ro Khanna said the party should 'be in a dialogue' given their shared opposition to the megabill. 'We should ultimately be trying to convince him that the Democratic Party has more of the values that he agrees with,' Khanna told our colleagues in D.C. Meanwhile, Musk's Trump criticism hasn't opened the floodgates for other tech world elites to start bashing the president — yet, as our Chase DiFeliciantonio and Christine Mui write in this morning's California Decoded newsletter. LEADING MAN — Gov. Gavin Newsom and Hollywood's elite have always gone hand-in-hand, with wealthy donors from the industry helping fuel every stage of Newsom's rise up California's political ladder. Now the Democratic governor has made saving the Golden State's iconic industry a central mission of his final two years in office. Doubling the state's film tax credit is Newsom's No. 1 budget priority in Sacramento this legislative session, despite the state facing a $12 billion deficit. As our colleague Melanie Mason writes this morning, Newsom wants to lure back production companies that have fled in droves to other states and countries. THE STAKES … It's a gambit that could also help Newsom prepare for the next stage of his career as he eyes a potential 2028 White House bid — when he would surely need Hollywood's support. The governor is already competing with President Donald Trump to be Hollywood's savior. Trump, who regularly trades barbs with the governor, has chided Newsom's treatment of the film industry as 'grossly incompetent.' And if Newsom does run in 2028, he likely cannot afford to lose major swaths of the industry in his home state to any other Democratic primary contender. IT'S A TALL TASK FOR NEWSOM … Hollywood has been pummeled by a perfect storm of problems: Many production studios have already relocated due to more lucrative incentives in Georgia, the United Kingdom and elsewhere. Moreover, the pandemic, the dual writers' and actors' strikes in 2023 and the historic Los Angeles wildfires in January have jolted Tinseltown. 'The time for this discussion was 10, 15, 20 years ago,' Richard Rushfield, editorial director and columnist with The Ankler, an industry newsletter, told Melanie. He added, 'If he's going to run for president, this is gonna come up. And he's got to be able to say that he tried.' BUT HE HAS TINSELTOWN SWAGGER … Other Hollywood insiders said Newsom's proposal for a revamped $750 million tax break has been greeted with great enthusiasm. Some see it as a signal that Sacramento is becoming more attuned to the industry's needs — traditionally, the perception has been that the capital crowd cares little about one of the state's crown industries. 'My hope is we blow through this money, and we're gonna have to go back to the governor for even more next year, and we can show that it's an economic engine for the state as well,' said Scott Budnick, the film producer behind 'The Hangover' and other blockbusters. Don't miss Melanie's story out today about Newsom's quest to save the film industry. GOOD MORNING. Happy Friday. 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 dgardiner@ and bjones@ or on X — @DustinGardiner and @jonesblakej. WHERE'S GAVIN? Nothing official announced. NEWSOMLAND FIRST IN POLITICO: HOLLYWOOD HUDDLE — Newsom and Jon Voight, the actor-turned-show biz emissary for Trump, met privately Thursday afternoon in Century City, to discuss their shared interest in boosting Hollywood. As Melanie also reported, the pair talked about Voight's proposal to reshore the American film industry through a combination of federal tax credits and tax code changes, according to a person with knowledge of the meeting granted anonymity to discuss it. They also talked about Newsom's push to double California's film tax credit. 'They shared a commitment to working together to help to build up the film industry in the U.S. — particularly California and Los Angeles,' the person said, adding that Newsom expressed interest in working with Trump on the issue. ON THE HILL AFTER GRADUATION — Former Education Secretary Miguel Cardona will serve on the advisory board of the USC Schwarzenegger Institute, becoming the latest Biden administration official to dip his toes in California's policy world. Others include former Small Business Administration Secretary Isabel Casillas Guzman, who moved back to California and started a consulting firm after the election, and Newsom Cabinet Secretary Nani Coloretti, who was deputy director of the Office of Management and Budget. Cardona served throughout Biden's term, overseeing efforts to cancel student loan debt as well as the rocky rollout of the new FAFSA form. Before that, he was the top education official in Connecticut, a school administrator and a teacher. 'Miguel's leadership on closing opportunity gaps and expanding access to quality education aligns perfectly with our mission to put people over politics and champion solutions that work,' former Gov. Arnold Schwarzenegger said in a statement. 'We both share a deep commitment to expanding access to quality after-school programs, which play a critical role in keeping kids safe and helping them reach their full potential.' STATE CAPITOL TUCK'S RENAISSANCE — Marshall Tuck was seen as a force for charter schools when he twice ran for state superintendent in the 2010s. But these days, he said, the schools seldom come up at his day job. The former charter system leader has since 2022 healmed the education nonprofit EdVoice, a group that historically fought on charters' behalf against teachers unions, most memorably in a major policy brawl in 2019. But after Newsom signed sweeping new rules for charters, the organization went dormant, before relaunching in 2023 newly under Tuck's leadership with a focus on closing achievement gaps. Not rejoining the charter wars. 'There was no being beholden to what the organization had done historically,' Tuck told Playbook. 'It was almost like a clean slate.' The organization has, since rebooting, focused primarily on literacy and teacher training legislation that has little to do with charters. 'We believe that there's too much emphasis on school governance and not enough emphasis on classroom instruction, student supports, more time for kids to learn,' Tuck said of the group's philosophy. 'We think charters are an important part of the public education system, but they're just a part.' The shift in focus was on display Thursday, when the Assembly passed a pair of major education bills. EdVoice was a central proponent of one — a landmark proposal to push schools to use evidence-based reading instruction. Meanwhile, the nonprofit didn't even take a position on a hotly contested bill that would place new rules on virtual charter schools. The organization hasn't to this point lobbied on that proposal, either, Tuck said Thursday. The organization's de-emphasizing of charter issues has seemingly paid dividends. The literacy proposal nabbed Assembly Speaker Robert Rivas' support, and Newsom included $200 million for training teachers on evidence-based literacy instruction in his latest budget proposal. Newsom also in 2023 signed EdVoice-backed legislation to mandate dyslexia risk screenings after similar efforts stalled repeatedly during his first term. CLIMATE AND ENERGY ESSAYLI STRIKES — The assemblymember-turned-U.S. Attorney Bill Essayli warned SoCal air regulators Thursday that he plans to sue over a pair of rules they're set to consider today restricting gas-powered space and water heaters, as POLITICO's Alex Nieves reports for subscribers. 'The President has directed us to take a strong stand against state and local policies that obstruct domestic energy production and usage,' Essayli said in a statement. 'My office is fully committed to upholding that directive and protecting our communities from these reckless measures.' The hot-button rules have drawn some 14,000 public comments ahead of today's hearing, including an op-ed this week from former Los Angeles mayor and gubernatorial candidate Antonio Villaraigosa arguing the rules will be too expensive when added atop Trump's trade war. BLAME TESLA — Trump is laying his and Musk's shattered bromance at the feet of a disagreement over electric vehicles. Read last night's California Climate to see why Californians aren't buying it. TOP TALKERS THROWN UNDER THE BUS — Most of the job cuts proposed in San Francisco Mayor Daniel Lurie's budget are in the Municipal Transportation Agency, the San Francisco Chronicle reports. The agency is slated to lose about 300 jobs as the city looks to reduce its roughly $800 million two-year budget deficit. TORRANCE LOCKS ARMS — The story of a fourth-grader at Torrance Elementary School, who was detained by ICE and is set to be deported to Honduras with his father, has prompted his classmates' parents and the PTA to reach out to elected officials for support, the Los Angeles Times reports. 'When something like this happens, it shakes all of us in the community. There's not a child at our school that we don't treat as our own,' said Torrance Elementary PTA volunteer Ria Villanueva. AROUND THE STATE — Videos posted on Facebook appear to show Poway City Councilmember Tony Blain being detained by police outside of City Hall this week; he faces allegations of vote trading. (The San Diego Union-Tribune) — A jury found that Orange County District Attorney Todd Spitzer harassed former prosecutor Tracy Miller and awarded her $3 million in damages. (The Daily Pilot) — A California court ruled that state law prohibits you from holding your phone to look at a map while driving. (Los Angeles Times) — Longtime Democratic strategist Garry South opines that Newsom will be a 'hard act to follow' for the next governor. (Capitol Weekly) Compiled by Nicole Norman PLAYBOOKERS SPOTTED: HOLD THAT PLANE! — Several Republican lawmakers, including Assemblymembers Carl DeMaio, Tri Ta, Kate Sanchez and Diane Dixon, were seen sprinting through the Sacramento airport Thursday to catch their flight home to SoCal. PEOPLE MOVES — Adam Taylor is now chief of staff for Rep. Scott Peters. He was previously Peters' legislative director. Dillon Cooke is now legislative director for Peters. He was previously Peters' senior legislative assistant. BIRTHDAYS — director Abby Ginzberg … actor Jason Isaacs … Paul Giamatti BELATED B-DAY WISHES — (was Thursday): Dov Waxman … Assemblymember LaShae Sharp-Collins (favorite cake: her grandmother's lemon cake recipe) 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.
Politico
6 days ago
- Business
- Politico
Dems: Get off our lawn!
Presented by DRIVING THE DAY — President Donald Trump threatened late Monday night to punish California after a transgender student competed in the state high school track and field championship over the weekend. Trump's threat of fines came despite Gov. Gavin Newsom's support for last-minute rule changes by the California Interscholastic Federation that allowed any female athlete who finished behind the trans student to share the same medal. 'Large scale fines will be imposed!!!' Trump posted on Truth Social. Meanwhile, a U.S. District Court judge on Monday dismissed California's lawsuit over Trump's tariffs. But Newsom's office said late Monday that the state had already appealed the decision — separate from two rulings that struck down Trump's tariffs last week. Read more here NO SPRING CHICKENS — Party activists trying to force California Democrats to consider age limits for elected officials went to their statewide convention with high hopes the issue would gain traction — or at least spark a conversation. Instead, the state party's establishment told the activists, effectively, to get off their lawn. A resolution, sponsored by the San Francisco County Democratic Party, that called for potential age limits on state and local elected officials was shelved before it could be debated at the convention. Party officials said the resolution was 'postponed' and would be heard later, likely at the party Executive Board's meeting in August. But SF party officials behind the measure, as well as some activists with the young Democrats, said the tenor of talks on the convention floor wasn't favorable to them. 'There's a lot of deference to older office holders,' said San Francisco Democratic Party Chair Nancy Tung, a moderate who co-authored the resolution. 'The party doesn't want to have a lot of conversations.' The disconnect between party activists in SF, long a bastion of Democratic power, and the party's statewide leaders comes as Democrats — as well as Republicans — struggle to navigate a national conversation about age and the rigors of public office. It's a reckoning that hit a fever pitch on the left in recent weeks amid questions about former President Joe Biden's mental acuity throughout the last two years of his presidency. SF party officials said Biden was just one example that inspired their resolution, also citing the late Supreme Court Justice Ruth Bader Ginsburg and late Sen. Dianne Feinstein, who died while still serving at ages 87 and 90, respectively. And then there's Republican Sen. Mitch McConnell, 83, who suffered several health challenges and announced in February that he would not seek reelection next year. State Party Chair Rusty Hicks declined an interview request on Monday. At the convention, he appeared to bristle at the resolution, which he said had not been properly submitted because it would have directed the party to take a specific action rather than to express general agreement on a matter of principle. Still, he said it would be debated another time. 'At the end of the day, whether you're 25 or 75, the question is, are you delivering for those that voted for you?' Hicks told reporters at the convention in Anaheim. Eric Kingsbury, an SF party official who co-wrote the proposal, said state party brass never told him that the resolution had not been properly submitted. He said he suspects they were hesitant to take up the issue given the state has a larger number of older officeholders. 'I didn't see a lot of introspection at the convention,' said Kingsbury, a veteran campaign consultant who joined the party's SF County Central Committee this year. 'It felt tired and not inspired, just a lot of 'we're going to drive forward doing what we did before.'' While the resolution explicitly spoke to a retirement cap on state and local electeds, it sparked a fiery debate in San Francisco, home of former House Speaker Nancy Pelosi. At 85, Pelosi hasn't said if she plans to run for another term in 2026. But she's leading an effort by Democrats to defend federal health care programs and help Democrats flip the House in the midterms. Pelosi's campaign declined to comment on the resolution or her plans for 2026, though her proxy to the SF county party voted against the proposal. Pelosi wasn't at the convention. Kingsbury and Tung have insisted their resolution has nothing to do with Pelosi. Tung added, 'People want to draw their own conclusions about it. This was not written with Nancy Pelosi in mind.' 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 dgardiner@ and bjones@ or on X — @DustinGardiner and @jonesblakej. WHERE'S GAVIN? Nothing official announced. ON THE AIRWAVES FIRST IN POLITICO: HITTING CLOSE TO HOME — Unions representing in-home caregivers are cranking up the heat on legislative leaders and Newsom by running broadcast and digital ads railing against cuts in the governor's May budget proposal. A new video spot, airing in the Sacramento market, blasts a proposal to cap overtime hours at 50 for in-home support service workers, who provide personal care including meal prep and house work for people who are over 65 or have disabilities. That change, combined with smaller cuts to the program, account for more than $1 billion of the reductions Newsom forwarded last month to address the state's $12 billion shortfall. Before launching the home care ad, SEIU California started running a broader spot urging generally against spending cuts. 'The May Revise budget proposal reads like a corporate CEO's wishlist instead of a defense of California's working class, who are already under attack from the Trump Administration and don't need the State of California to pile on,' Arnulfo De La Cruz, president of SEIU Local 2015 and an executive board member of SEIU California, said in a statement. Leaders of SEIU 2015 and UDW/AFSCME Local 393 issued similar calls at a rally attended by state lawmakers outside the California Democratic Party convention on Saturday. They pushed the governor and legislative leaders to reject the cuts during the final stages of inter-house budget negotiations, advocated for increasing taxes on large corporations (without specifics) and pushed a bill from Assemblymember Matt Haney that would allow IHSS workers to engage in statewide bargaining. Attendees included Assemblymembers Haney, Damon Connolly, Sade Elhawary, Joaquin Arambula, Ash Kalra, Patrick Ahrens, Mike Fong, Tina McKinnor, José Solache and Sens. Josh Becker, Lena Gonzalez, María Elena Durazo, Sasha Renée Pérez, Lola Smallwood-Cuevas and likely others Playbook missed. RELATED SPOTTED: BUDGET HUDDLE? — Senate Pro Tem Mike McGuire and Budget Chair Scott Wiener entering Assembly Speaker Robert Rivas' office for a meeting Monday evening amid late-state spending negotiations. Six pizzas arrived shortly after. (h/t Rachel Bluth) STATE CAPITOL ICE MELT — Gonzalez, who is chair of the Latino Caucus and Senate majority leader, got her bill to limit federal immigration agents' access to schools through the Senate before Friday's House of Origin deadline. SB 48 seeks to stop schools from giving federal authorities access to private areas in school sites to the extent they're able. In a statement, Gonzalez called the proposal's advancement a 'powerful signal of hope and reassurance.' CLIMATE AND ENERGY THE OTHER CLIMATE LAW — New York lawmakers are looking for alternatives after Republicans voted to kill California's — and by extension their — electric vehicle mandate. Read last night's California Climate to see what controversial California climate program Albany Democrats are considering instead. TOP TALKERS SAVED BY THE BILL — Los Angeles County Sheriff's Deputy Trevor Kirk, who was convicted in February of using excessive force in 2023, was sentenced to four months in prison Monday after a judge granted prosecutors' request to dismiss his felony charge. Newly appointed U.S. Attorney Bill Essayli took credit for the reduction in his charges: 'Law enforcement officers are not above the law and should be held accountable for their actions, but given the facts of the incident and the deputy's actions as recorded on a contemporaneous video, I determined that Deputy Kirk's actions do not rise to the level of a felony,' he wrote on X. CHOPPY WATERS — Rep. Maxine Waters' congressional campaign agreed to pay a $68,000 fine after a FEC investigation found it violated campaign finance laws, Dave Levinthal writes at OpenSecrets. Waters' 2020 campaign committee understated contributions and expenditures by hundreds of thousands of dollars, per the FEC's findings. AROUND THE STATE — Fresno County's next sheriff and district attorney will be elected in 2028 instead of 2026 after a judge ruled that their elections must be on the same year as a presidential primary. (GV Wire) — Newsom will decide whether to reverse the decision to grant parole for Manson family member Patricia Krenwinkel. (Los Angeles Times) — CalTrans says that it will not finish upgrading Highway 50 until summer 2026 because of crashes and weather delays. (KCRA) PLAYBOOKERS WEDDING BELLS — Maryam Ahmed, an Adam Schiff for Senate alum who now works at Edelman, and Jacob Burman, senior adviser to LA city council member Traci Park, wed last weekend in San Clemente. The couple met on Pete Buttigieg's 2020 presidential campaign. PEOPLE MOVES — Bruce Kelson has joined Buchalter as shareholder in their San Francisco office. He was previously a partner at Duane Morris. — Deepa Sharma was elected as the first vice chair of the California Democratic Party at the convention over the weekend. BIRTHDAYS — Sen. Dave Cortese (favorite cake: coconut) … Rabbi Steve Leder … Eric Schmeltzer … Lauren Mekhael … Marty Wilson 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.
