NDAs: Secrecy in Sacramento

Trump Sells Watches, Newsom Sells Hollywood

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California lawmakers and lobbyists can continue using non-disclosure agreements (NDAs) during negotiations over proposed laws, keeping taxpayers—us—in the dark about what’s happening behind closed doors.

However, a new report this week may give taxpayers $1.2 billion more reasons to care about the growing transparency issue.

NDA Quick CatchUp:

  • The use of NDAs became a topic of debate during negotiations over California’s fast food minimum wage law.

  • Last year, Governor Newsom signed a law requiring fast-food chains with 60+ locations to pay workers at least $20 per hour.

  • Chain bakeries that bake and sell bread on-site (like Panera Bread) were mysteriously exempted.

  • Allegations arose that Newsom pushed for this exemption to benefit a wealthy donor who owned 24 Panera Bread locations.

New Developments:

  • A proposal to ban the use of NDAs between lawmakers and lobbyists in California's lawmaking process was blocked this week.

  • Assemblyman Joe Patterson attempted to modify one of his bills to include the proposal.

  • Senate leaders refused to put Patterson’s changes into writing, effectively stopping the proposal from being considered.

Why We Should Care

This brings us to the largest NDA issue in Sacramento. If you've visited the state capitol recently, you've likely noticed the massive construction project at the center of the city. Once completed, the Capitol Annex Project will house the offices of the governor, lieutenant governor, various state lawmakers, and their staff. Yet, much of what’s happening behind the scenes remains hidden from public view.

What you might not know is that this project is also entangled in one of the biggest non-disclosure agreements in California’s history—at least that we know of, thanks to some stellar investigative reporting by Ashley Zavala.

"We’re not talking national security; we’re not talking nuclear codes. This is public money on a public building. It’s exactly the kind of thing the public has a right to know."

 David Loy/ First Amendment Coalition Legal Director

What We Know

  • It’s been three years since the Legislature provided an update on the project.

  • NDAs have kept much of the information hidden, and the estimated cost has risen from $440 million to $1.2 billion.

  • A total of 2,093 people have signed NDAs, including lawmakers, state employees, and even construction workers.

Please watch the KCRA News investigation. It’s worth your time.

Trump Sells Watches, Newsom Sells Hollywood

Once again, Governor Newsom took to the “X” platform to take a jab at former President Trump, accusing him of selling watches instead of focusing on important issues. It was the latest personal shot at the Republican presidential candidate. Here's the post.

Pot Calling the Kettle Black?

But scroll down a bit, and you'll find Newsom's next post. Is this a case of the pot calling the kettle black?

Newsom, too, seems preoccupied with personal ventures. He’s promoting his new podcast on the iHeart network, which, notably, has nothing to do with running California. This week, he's chatting with singer and actor Demi Lovato about her latest documentary on Hulu — a clear promotion of her latest project (watch the video). So, it’s all about perspective: while Trump may be hawking watches, Newsom is selling Hollywood.

 

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