AGP Executive Report

California Budget Fight: Gov. Newsom’s May budget revision calls for more spending and bigger operating deficits, including $11B for full-scope Medi-Cal for undocumented immigrants, while draining the Rainy Day Fund and proposing new business-tax increases—leaving deficits above $10B annually through 2029-30. Election Trust: A new Rasmussen poll finds 51% of likely voters want California’s vote count wrapped up within 24 hours, adding pressure as the state’s slow counting fuels fraud claims. Immigration Data Sharing: California plans to share driver’s license data with a national DMV group to meet Real ID rules, raising fears it could increase deportation risk for more than 1 million people. Public Health: An E. coli outbreak tied to beef kofta at The Kebab Shop has sickened nine Californians, including two children who developed kidney-failure HUS. Housing & Economy: Southern California homebuilding is ticking up, with permits near a 19-year high, led by Los Angeles–Orange County multifamily approvals. Business & Tech: Penumbra’s California-based Thunderbolt thrombectomy platform won FDA clearance for acute ischemic stroke. Agriculture: Driscoll’s CEO highlights how consumer education and policy changes will shape California’s berry future.

Election Integrity & Voter Rolls: Sen. Thomas J. Umberg launched “Hands Off Our Elections,” pushing new protections against voter intimidation and federal interference as California’s slow ballot counting continues to fuel fraud claims. Public Trust & Health: A new study finds racial and ethnic gaps in diabetes screening and follow-up care, with many patients missing recommended annual exams. AI in the Courts: OpenAI faces a California state lawsuit alleging ChatGPT aided a suicide, while Meta won a bid to toss a class action over AI-powered Facebook investment scams. Major Fire Response: A massive Medline warehouse fire in Tracy destroyed about 1 million square feet, with evacuations and concerns about sprinkler and water system failures. Energy & Housing Policy: California’s plug-in “balcony solar” bill advanced in committee, and GM is shifting to sodium-ion batteries for energy storage. Cost Pressures: Asphalt prices jumped 28.4%, squeezing Central Valley road repair budgets, and gas prices vary sharply station to station.

California Governor Race: The GOP’s Trump-backed Steve Hilton and Democrat Xavier Becerra are set for November after California’s messy primary narrowed to two candidates, with Democrats rallying behind Becerra. Elections & Trust: A new Reuters look at Trump’s baseless claims of California election fraud points to a familiar pattern: the state’s slow ballot counting isn’t proof of wrongdoing, but it’s giving Trump a talking point for the midterms. Local Revenue Fight: A proposed November ballot initiative would raise voter thresholds for some local taxes and could cut local government revenues by billions, putting pressure on city services. AI & Cybersecurity: A White House executive order targets frontier AI cybersecurity through a voluntary framework, while California and other states keep moving ahead with their own AI rules. Tech in Healthcare: Guardant Health won FDA approval for Guardant360 CDx as a companion diagnostic for Boehringer Ingelheim’s HERNEXEOS in HER2-mutant lung cancer. Public Safety Tech: SEQSTER and Clairyon are partnering to bring real-time data into sepsis care, aiming to speed up early treatment.

California Politics: Steve Hilton is projected to advance to California’s November governor race, setting up a Becerra vs. Hilton showdown after the state’s top-two primary. State Government & Accountability: Los Angeles County’s Governance Reform Task Force meets in Pasadena to map out Measure G changes, including an expanded Board of Supervisors, an elected County Executive, and an independent Ethics Commission. Education Policy: Pasadena Unified’s board president disputes Brown Act claims tied to a possible school consolidation plan, arguing her work was lawful due diligence. Public Safety & Infrastructure: California is accelerating wildfire prevention projects statewide, while a Smart Growth America report finds pedestrian deaths in major cities remain stubbornly high. Courts & Consumer/Business: A federal judge rejected Altria and Juul’s bid to pause an antitrust case for appeal. Housing & Local Costs: Kern County’s “200-Foot Sewer Rule” is catching rural homeowners off-guard with potential five-figure sewer connection requirements. Crime & Fraud: Federal authorities arrested an Indian-origin businessman in Southern California tied to an alleged $100 million bank fraud scheme.

California Elections: Trump and GOP allies are escalating baseless claims about California’s slow mail-ballot count, aiming to set up a midterm narrative even as state officials say the process is working and results are still being certified. Governor Race: Xavier Becerra and Steve Hilton are projected to advance to November, setting up the top-two showdown to replace Gov. Gavin Newsom. LA Politics: In Los Angeles, Mayor Karen Bass heads to a November runoff against left-leaning challenger Nithya Raman after Spencer Pratt fell short as more ballots came in. SF Reparations: A San Francisco judge rejected a challenge to the city’s $5M-per-resident reparations fund as premature, allowing plaintiffs to amend or appeal. Consumer & Housing: California’s DFPI and FTC secured $3 million in refunds for more than 1,800 mortgage fraud victims. Health Policy: California AG Rob Bonta led a multistate lawsuit challenging the federal government’s discontinuation of special education grants. Business/Tech: Rivian shares slid after R2 SUV deliveries began, while Waymo says retired EV batteries will be repurposed to support California’s power grid. Energy & Climate: FASTECH and Bosch Rexroth are building what’s billed as the world’s largest hydrogen refueling station for transit buses in San Mateo County.

California Governor’s Race: Former Fox host Steve Hilton advanced to the November runoff against Democrat Xavier Becerra, as California’s mail-heavy vote count stretched into a week of projections and scrutiny. LA Mayoral Runoff: Councilmember Nithya Raman surged past Spencer Pratt to claim the No. 2 spot and face Mayor Karen Bass in November, after a late shift in updated totals. Congress & Redistricting: Two key California House races set up November tests of Democrats’ redrawn maps, including a Central Valley matchup where progressive Randy Villegas will face Rep. David Valadao. Election Integrity Fight: Trump and top Republicans kept pushing claims of rigged counting, while Hilton said he’s seen no evidence of voting fraud. Courts & Rights: A federal judge blocked the DOJ from getting medical records of trans adolescents, and a Ninth Circuit review could reshape copyright rules after Kat Von D’s tattoo case. Local Journalism Funding: California’s Civic Media Program will open summer 2026 with $20M to support local news.

Elections Under Fire: Trump renewed attacks on California’s election system, citing slow vote counts and claiming “rigged” results without proof as officials say safeguards are in place and counting takes time. LA Mayoral Math: New analysis shows more ballots cast for LA mayor than for governor in every City Council district, even as late-count mail ballots keep shifting totals. Federal Pressure: DOJ actions and a federal probe into California election processes are escalating scrutiny while local officials push back on fraud claims. Public Safety: The San Francisco Zoo reopened after a “swatting” hoax threat triggered a temporary lockdown. Food Safety: Federal officials warned diners who ate at The Kebab Shop in CA, TX, and FL after E. coli O157:H7 was linked to beef kofta. Business & Jobs: Salesforce reported another round of California WARN layoffs, hitting roles tied to Agentforce, Mulesoft, and Marketing Cloud. Community & Health: Lutheran Social Services opened a San Bernardino Community Wellness Campus using a $34.9M Homekey grant to expand interim housing and services.

Elections & Democracy: Trump again blasted California’s slow vote count as “rigged,” while federal prosecutors and the DOJ push election-fraud and voter-roll scrutiny amid ongoing ballot counting. State Politics: Decision Desk projected Republican Steve Hilton clinched the second spot in California’s governor primary, setting up a November matchup with Democrat Xavier Becerra. Local Impact: Pacifica’s iconic pier is worsening after major cracks, threatening nearby businesses and prompting city action. Public Safety: A bill advancing in California would require four hours of firearm safety training with live-fire for buyers. Health Care: Opinion warns rural hospitals are at risk of closing, with access gaps likely to widen. Tech & Business: Apple unveiled new privacy-focused Siri AI upgrades and child safety features at WWDC. Economy & Industry: Gallo will close a Lodi crush facility, affecting 20 jobs, as wine industry pressures continue.

UC Sustainability Tech: UC is rolling out Zabble’s AI zero-waste platform across all 10 campuses, six health centers, and LBNL, building on UCSF’s reported contamination drop and ROI. L.A. Mayoral Race: Nithya Raman surged into second place behind Karen Bass, tightening the path to a November runoff as ballot counting drags on. California Governor Race: Xavier Becerra has advanced to the general election while Steve Hilton remains in the fight for the second spot, with results still moving. Election Integrity Clash: U.S. Attorney Bill Essayli says California is blocking a federal audit of voter rolls, while Trump keeps attacking the slow count and “rigged” claims. Renters’ Protections: Santa Clara County expanded eviction protections and relocation payments for more renters, including those in single-family homes/duplexes and shorter-term residents. Consumer & Health: California reached a $4.6M settlement with Select Portfolio Servicing over pandemic-era mortgage forbearance handling. Business & Jobs: Southern California wage growth is cooling, with raises at 3.1%—the smallest in years—amid stubborn costs.

Elections & Voting Integrity: California’s slow ballot count is still drawing fire as federal prosecutors press into election concerns and Trump again attacks the process on TV, while officials say the system is working as designed and that late-arriving mail ballots take longer to tally. Governor’s Race: With ballots still being counted, Xavier Becerra is projected to advance to November, but the LA mayor contest and other races remain tight as updates keep shifting. Federal Probe: The U.S. attorney’s office says it’s pursuing multiple election-related investigations, including scrutiny of voter-roll practices and ID rules. Local Impact: One year after an Ambiance Apparel immigration raid in downtown Los Angeles, families returned to demand answers and releases for people still detained. Business & Policy: California lawmakers are again pushing a refundable tax credit to help save local newsroom jobs as newspapers keep shrinking. Public Safety: Jury selection begins in the trial of an LA fire suspect tied to the deadly Palisades Fire.

Elections & Democracy: Trump walked out of NBC’s “Meet the Press” after being challenged on baseless claims that California elections are rigged, as ballots continue to be counted and Democrats gained votes from mail-in totals; UC Berkeley’s IGS poll found 92% of likely voters say protecting democracy and voting rights should be a top priority. Election Integrity Fight: Former House Speaker Kevin McCarthy attacked Gov. Gavin Newsom’s election-law changes, arguing they reduce transparency and fuel distrust. High-Speed Rail: California Politics 360 offered an up-close look at Central Valley construction and critics say new High-Speed Rail Board moves are undermining confidence in the project’s future. Public Safety & Crime: FBI arrested three men tied to alleged ISIS support, including a Porterville man. Health & Environment: A new Environmental Working Group analysis says about half of California’s water may be contaminated with PFAS “forever chemicals,” raising long-term health concerns. Business & Costs: Gas prices could be unusually volatile this summer amid refinery losses and uncertainty tied to the Strait of Hormuz; American Airlines temporarily suspended six routes due to fuel costs. Legal & Industry: States including California are preparing to sue to block Paramount’s Warner Bros. acquisition over antitrust concerns.

California Elections Under Federal Scrutiny: The LA U.S. attorney’s office says it opened “multiple election fraud investigations” and is also auditing voter rolls, as California’s primary vote count drags on and Trump keeps attacking the process. Ballot-Counting Frustration in Real Time: With millions of mail ballots still outstanding, campaigns and voters are stuck in limbo; CNN also debunked a viral claim that Spencer Pratt received zero votes in an election-night update. Governor Race Update: Democrat Xavier Becerra has advanced to the general election, but his opponent is still unclear as ballots continue to be counted. L.A. Mayoral Race Fallout: Spencer Pratt’s lead has narrowed after late-counted batches, while Nithya Raman gains ground toward a runoff spot. Hollywood Merger Backlash: Writers and workers rallied against the Paramount-Skydance-Warner Bros. deal as states including California prepare legal action. Public Safety Tech: Stockton rolled out AI-powered body cameras that translate over 50 languages in real time. Health Watch: California health officials detected evidence of measles in wastewater amid a growing outbreak. Water & Environment: A desalination debate resurfaces, while Bay Area scientists warn toxic tire pollution is harming fish in San Francisco Bay.

California Governor Race Update: Xavier Becerra advanced to the November general election, overtaking Steve Hilton as ballot counting continued after the June 2 primary, with Tom Steyer still in the mix for the second spot. LA Mayoral Tightening: In Los Angeles, late-arriving mail ballots narrowed the gap between Spencer Pratt and Nithya Raman for the runoff position behind Mayor Karen Bass. Election Integrity & Federal Scrutiny: The U.S. attorney in Los Angeles confirmed “multiple election fraud investigations” and sent a prosecutor to observe counting, as Trump and others pushed fraud claims amid a slower-than-usual California vote tally. Policy Watch: A California bill would exempt future reparations payments to Black residents from state income taxes if federal/state programs are approved. Water & Environment: Federal clearance moved the Delta Conveyance Project forward, aimed at protecting California’s water supply amid climate-driven losses. Statewide Ballot Measure: A new initiative restricting political spending by certain health care unions cleared signature thresholds for the November ballot. Business & Economy: Texas edged past California for the most Fortune 500 headquarters, underscoring the state-to-state corporate shift.

California Governor Race: Former HHS Secretary Xavier Becerra has advanced to November, with AP and NBC/CBS/CNN projections putting him in the top two after a late surge; Steve Hilton remains the closest challenger, while billionaire Tom Steyer trails and could still catch up as millions of ballots are still being processed. Election Integrity & Federal Scrutiny: A top federal prosecutor says “multiple” election-fraud investigations are underway in California and a U.S. attorney observer visited an L.A. ballot processing center—moves that come after Trump renewed fraud claims without evidence amid California’s slower, legally required mail-ballot verification. Local Impact—Coastal Climate: Pacifica’s historic municipal pier was shut down after cracks and concrete chunks fell into the ocean, adding to a string of coastal infrastructure failures tied to rising seas. Business & Industry: Solar Atmospheres expanded its Fontana operations with a new 10-bar vacuum furnace, boosting capacity for aerospace and other high-performance manufacturing. Entertainment/Politics: A Reuters report says California and other states are preparing a lawsuit to block Paramount’s Warner Bros. acquisition, teeing up another major antitrust fight.

Election Count Watch: California’s June primary is still in limbo, with about 39% of ballots uncounted and millions more mail ballots still arriving, as governor and LA mayor races remain too close to call and Trump and GOP candidates keep attacking the delays. Top-Two Primary Politics: Analysts say the top-two system often still produces familiar Democrat-vs-Republican matchups, even as the current insurance commissioner race shows rare exceptions. LA Mayor Race: Nithya Raman is closing on Spencer Pratt for the second spot behind Karen Bass, but the final runoff matchup depends on the remaining ballots. Governor Race: Steve Hilton and Xavier Becerra are leading, with Tom Steyer trailing, and experts warn the order of finish may not predict the November pairing. Defense & Training: The U.S. military ran additional overnight training exercises in Long Beach and City of Industry, with local police assisting for safety. Cross-Border Business: Attorney Bo Shi launched a California law firm to coordinate U.S.-China-Vietnam cross-border work, reflecting demand for multijurisdictional legal support. Environment & Health: Environmental groups sued to block California’s plastic packaging rules, while a new analysis finds PFAS-contaminated pesticides in about half of tested waterways. Infrastructure: California high-speed rail keeps moving, with major track work advancing in the Central Valley. Energy Policy: A federal plan would exempt some low-producing oil wells from methane leak rules, a change that could affect California’s heavy-oil operations.

California Elections: Ballots are still being counted in the governor and Los Angeles mayor races, with officials urging patience as President Trump and GOP candidates allege “cheating” without evidence; Secretary of State Shirley Weber says the canvass can take weeks and accuracy comes before speed. Governor Race Update: Steve Hilton and Xavier Becerra remain in the lead as vote totals slowly tighten, with LA mayoral runoff spots still shifting. Commercial Driver Licensing: Federal and state scrutiny is intensifying after deadly semi-truck crashes, as California revokes thousands of CDLs and questions grow over oversight for non-domiciled drivers. Iran Sanctions Case: DOJ charged California tech CEO Jamshid Ghomi in a long-running scheme to route U.S. networking and security equipment to Iran’s nuclear and military programs. Coal Push: Trump announced nearly $700M to support coal plants and an Oakland export terminal, using national defense authorities. Housing & Homelessness: California is creating a new standalone housing agency to streamline affordable housing funding, but critics warn it comes without new money. AI Policy: AB 412 faces renewed pushback as lawmakers consider rules requiring AI developers to disclose copyrighted works used in training. Business/Tech: Dave’s Hot Chicken is rolling out restaurant tech more cautiously after guests rejected drive-thru voice AI.