California
Sacramento Snapshot: How the California Legislature is tackling AI this year
If you ask Sen. Tom Umberg, the legislature’s role in regulating artificial intelligence is multi-faceted.
It’s no secret that California is expected to play an outsized role in AI regulation. After all, the state is home to many of the world’s largest AI companies, the governor’s office boasts.
But it’s a balancing act, Umberg says, of tackling concerns related to bias and transparency in the AI space with encouraging innovation and start-ups.
“At one point, (the California Legislature) had 55 bills dealing with AI, mostly focused on risks. But we are creating both the regulatory entity that will provide guidance as well as some safety mechanisms to make sure that the risks that are inherent in AI are mitigated,” said Umberg, a Santa Ana Democrat who chairs the Senate Judiciary Committee, which hears many AI-related bills.
Gov. Gavin Newsom, speaking at an AI event in San Francisco last week, also warned against over-regulating AI, Politico reported.
“I don’t want to cede this space to other state or other counties,” Newsom reportedly said. “If we over-regulate, if we overindulge, if we chase the shiny object, we could put ourselves in a perilous position.”
So what are the bills legislatures are considering this year?
Bills still in consideration — after clearing a major legislative deadline last month — tackle deepfakes (digitally altered photos or videos that seem realistic but are, in fact, fake and can be extremely harmful), data transparency and election security, among other things.
One still in play is AB 1856 from Assemblymember Tri Ta, R-Westminster, which creates misdemeanor penalties for someone found to have knowingly distributed pornographic deepfake videos or photos of someone without that person’s consent.
The bill is supported by the California State Sheriffs Association which argues that AI technology has “exacerbated the prevalence and severity of revenge porn,” which is commonly used by an ex-partner to embarrass, coerce or otherwise harm someone. But the California Public Defenders Association opposes it, arguing that it could violate First Amendment protections.
Another, from Assemblymembers Marc Berman, D-Menlo Park, and Gail Pellerin, D-Santa Cruz, is billed as an election integrity bill. It would require large online platforms to block the posting of digitally altered false images, videos or audio recordings that purport to show a candidate saying or doing something they did not actually say or do.
Earlier this year, voters in New Hampshire received a robocall that sounded like the voice of President Joe Biden encouraging them not to participate in the primary elections, according to the state’s attorney general.
“We have entered the age of AI-generated disinformation, which poses a severe risk to our elections and our democracy,” said Berman. “Deepfakes are a powerful and dangerous tool in the arsenal of those who want to wage disinformation campaigns, and they have the potential to wreak havoc on our democracy by attributing speech and conduct to a person that is false or that never happened.”
Other bills include:
Data transparency: AB 2013 requires developers of AI systems to publicize information about the data used to create the system or site. From Assemblymember Jacqui Irwin, D-Thousand Oaks, the idea is to enhance consumer protection, according to the bill’s analysis, with a greater understanding of how these AI systems and services work.
“Consumers may use this knowledge to better evaluate if they have confidence in the AI system or service, compare competing systems and services or put into place mitigation measures to address any shortcomings of the particular system or service,” Irwin said in the analysis.
Safeguards for large-scale systems: If this bill is successful, developers of powerful and large-scale AI models and the technology that trains those models would need to implement certain safeguards related to safety and security.
SB 1047 would also create CalCompute, “a public AI research cluster that will allow startups, researchers and community groups to participate in the development of large-scale AI systems,” according to the bill’s analysis.
“By focusing its requirements on the well-resourced developers of the largest and most powerful frontier models, SB 1047 puts sensible guardrails in place against risk while leaving startups free to innovate without any new burdens,” said Sen. Scott Wiener, D-San Francisco. “We know this bill is a work in progress, and we’re actively meeting with stakeholders and seeking constructive input.”
California Artificial Intelligence Research Hub: SB 893 establishes a new entity that would “facilitate collaboration between government agencies, academic institutions and private sector partners to advance artificial intelligence research and development,” according to the bill.
The idea behind the hub from Sen. Steve Padilla, D-San Diego, is to facilitate innovation in AI development; ensure AI technologies are prioritizing fairness and transparency; provide researchers with access to data, training and education; and support AI development through the building of a public computing infrastructure and ensuring access to existing commercial infrastructures, among other things.
“Emerging AI technologies are costly and energy intensive and require broad-based coordination among institutions and other sectors,” said Padilla. “Shared resources will be vital to the continued development of AI technology in California. The creation of the California Artificial Intelligence Research Hub allows us to pool and leverage the state’s financial resources and the intellectual firepower of our academic sector to democratize AI and stop it from becoming monopolized by proprietary interests alone — the tech titans.”
In other news
• Three UCI graduate students — who were arrested when police removed the Gaza Solidarity Encampment on campus on Wednesday, May 15 — traveled to Sacramento last week where they met with more than two dozen Assemblymembers and spoke about the UC’s “increasingly concerning efforts to suppress free speech on our campuses and in our workplaces,” said Mark Gradoni, one of the three arrested grad students, who are also all teaching assistants.
Sent by UAW Local 4811 — a labor union representing UC student employees and academic, graduate student and postdoctoral researchers — the students presented Assemblymembers with a letter that calls on the UC to “cease committing further unfair labor practices” connected to the campus protest when the university called on law enforcement to crack down against members and to “abide by Californian and federal law on freedom of speech and assembly,” Gradoni said.
• Actor Danny Glover was at the Capitol last week to advocate for arts funding.
“What an honor it was to welcome the incomparable Danny Glover to the State Senate today for his advocacy trip,” said Sen. Anthony Portantino, D-Burbank, on social media. “As many of you know I’ve been working on arts funding and support for our nonprofit community theaters. Mr. Glover was in the capitol to testify on behalf of that funding.”
Staff writer Hanna Kang contributed to this report.
California
DOJ charges 10 Southern California defendants in largest federal healthcare fraud crackdown in US history
Laura Ingraham: Fraudsters beware!
The Department of Justice announces the largest healthcare fraud takedown in U.S. history, charging 455 defendants across 45 states. They allegedly stole $6.5 billion from Medicare and Medicaid through wound care schemes and other fraudulent claims. Some funds were used for luxury homes and vehicles like a $135,000 Maserati.
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Federal authorities on Tuesday charged 10 Southern California defendants in a series of healthcare fraud schemes, including one case involving nearly $270 million in fraudulent Medi-Cal claims and another that allegedly defrauded Medicare out of approximately $27 million.
The charges were part of the Justice Department’s broader “2026 National Health Care Fraud Takedown,” which resulted in charges against 455 defendants nationwide in schemes involving more than $6.5 billion in alleged fraud.
Acting Attorney General Todd Blanche described the operation as “the greatest combined federal and state effort in combating healthcare fraud in history.”
“Fraudsters can no longer rip off American taxpayers,” Blanche said during a news conference announcing the initiative. “If you seek to harm or cheat Americans, we will find you, seize any assets and prosecute you to the fullest extent of the law.”
FBI ADDS 2 FUGITIVES TO ‘MOST WANTED FRAUDSTERS’ LIST AMID HISTORIC $6.5B HEALTHCARE TAKEDOWN: PATEL
Acting Attorney General Todd Blanche speaks during a news conference announcing what federal officials described as the largest healthcare fraud takedown in U.S. history, resulting in charges against 455 defendants nationwide. (Ken Cedeno / AFP via Getty Images)
In the Central District of California, federal prosecutors brought criminal charges against 10 defendants accused of defrauding government-funded healthcare programs or abusing their positions as medical professionals to illegally prescribe controlled substances.
The U.S. Attorney’s Office for the Central District of California said five individuals were arrested in the greater Los Angeles area for allegedly participating in a scheme that involved submitting nearly $270 million in fraudulent claims to Medi-Cal for expensive prescription drugs.
Among those charged was Christina Mareik, 61, also known as Christina Marie Sanchez Hernandez, of Whittier.
HOSPICE FRAUD USES STOLEN IDENTITIES FOR FAKE PATIENTS
The Justice Department announced charges against 10 Southern California defendants in connection with multiple healthcare fraud schemes. (Department of Justice)
Prosecutors allege Mareik helped facilitate fraudulent prescriptions that generated nearly $270 million in claims to Medi-Cal, which ultimately paid out more than $178 million.
According to prosecutors, the claims involved expensive drugs containing low-cost generic ingredients that were either not medically necessary or were never provided to the purported recipients.
Authorities said Mareik also sent thousands of fraudulent prescriptions to a co-conspirator and caused the submission of fraudulent prescriptions under her own name.
LOS ANGELES HOSPICE FRAUD REACHES BILLIONS AS MEDICARE PROVIDERS SCAM FEDERAL SYSTEM WITH FAKE COMPANIES
Federal prosecutors allege Southern California defendants participated in schemes that defrauded Medicare and Medi-Cal of hundreds of millions of dollars. (Department of Justice)
Mareik was arrested June 17 and charged with healthcare fraud.
The charges also include a San Fernando Valley man accused of operating hospice care companies that fraudulently billed Medicare approximately $27 million, according to prosecutors.
Prosecutors also charged Oren David Shachar, 59, of Van Nuys; Abraham Shin, 66, of Corona; and Jeannie Choi, 57, of Torrance.
The three defendants face a 16-count indictment alleging they conspired to defraud Medicare out of approximately $27 million.
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The charges include conspiracy to commit healthcare fraud, healthcare fraud, aggravated identity theft, monetary transactions involving criminally derived property exceeding $10,000, and violations of the Anti-Kickback Statute.
Fox News Digital’s Alexandra Koch contributed to this report.
California
Opinion: California is about to get a windfall. Let’s not blow it.
The IPOs of SpaceX, OpenAI and Anthropic could deliver billions of dollars to California’s coffers.
We’ve seen this movie before.
In 2022, California recorded a nearly $100 billion surplus, saved just $10 billion in its rainy day fund and then spent the rest. Two years later, a $56 billion deficit loomed.
Now, with the state facing ongoing operating deficits of more than $10 billion, we’re back in familiar territory.
The coming IPO windfall is a rare second chance. But we’ll only benefit from it if we first fix the structural flaw that’s caused us to squander every previous boom — a budget reserve that isn’t built to hold what we put in it.
The stakes this time are higher than ever. The war in Iran raised recession risk, and the federal government is systematically dismantling the funding streams California has depended on for decades.
When Washington retreats, Sacramento has to choose: cut services, raise taxes or have enough saved to bridge the gap. Right now, we don’t have enough saved.
We’re not outside observers wringing our hands. We helped shape the fiscal architecture the state is now straining against, and we’re here to say: It needs to be rebuilt.
As California state controller, one of us campaigned alongside Gov. Arnold Schwarzenegger to pass Proposition 58 in 2004 — creating California’s first Budget Stabilization Account. The other authored the Assembly Constitutional Amendment that became Proposition 2 in 2014 — the stronger, harder-to-raid replacement that voters approved with 69% support.
California’s tax system is the envy of progressive states and the nightmare of budget directors. We tax the wealthy at high rates, capture enormous capital gains revenue in boom years and then discover — every single time — that the peak doesn’t last.
If California treats the IPO windfall from SpaceX, Anthropic and OpenAI as permanent revenue, our state would repeat exactly the mistake we made four years ago.
Gov. Gavin Newsom and Assemblymember Avelino Valencia have each proposed important reforms to strengthen the fund. First, they call for requiring the state to make deposits until the fund reaches 20% of the general fund total, rather than the current 10%. Second, they propose changing an arcane accounting rule that treats saving for future downturns as spending.
We see one additional opportunity to make the rainy day fund even stronger.
If we want a larger budget reserve, we have to do more than merely allow it — we need to require it. Proposition 58 taught us everything we need to know on this front: Between 2004 and 2014, with that proposition fund in place, only two deposits were made. If we want consistent deposits during the boom times, they can’t be optional.
These reforms should be a win-win for the California Legislature. A larger reserve is the most durable protection that public sector workers, social service recipients and education advocates have against the kind of emergency cuts that have repeatedly gutted programs during downturns.
It’s also the strongest argument against tax increases in a recession because you don’t need to raise taxes if you actually save during the booms.
Building a stronger rainy day fund isn’t the cautious choice. It’s the visionary one — the closest thing we have to investing in the next generation of Californians.
We built the last rainy day fund because we’d lived through the consequences of not having one. We’re making the same argument again, for the same reason except now the stakes are higher. This time, the federal backstop is weaker, and the next storm is closer than it looks.
Fix the fund this year. The next generation of Californians will thank us for it.
Mike Gatto served in the state Assembly between 2010 and 2016, and he authored the measure that created California’s current rainy day fund. Steve Westly served as state controller between 2003 and 2007, and he co-championed Proposition 58, California’s original rainy day fund. Westly chairs the 21st Century Alliance, a nonpartisan organization focused on solutions to the state’s most pressing challenges.
California
Shooting at a Northern California library kills 2, and a suspect is in custody
CHICO, Calif. — A shooting at a library in Northern California on Monday left two people dead and a suspect is in custody, according to police.
Police responded to a 911 call soon after 5 p.m. in which the sounds of gun shots and people screaming could be heard coming from inside the Chico branch of the Butte County Library, Billy Aldridge, the city’s chief of police, said during a news conference.
Once officers were inside the library, the suspect fled out of the back, he said. Additional law enforcement behind the library took the suspect into custody, according to Aldridge.
“The incident this evening was obviously very sad, traumatic for a lot of people. Very traumatic for our community,” he said.
The streets around the library were closed temporarily and a family reunification center was set up for the people who were inside the building.
A child was also taken to the hospital with a minor injury.
Aldridge said there is no serious threat to the public and law enforcement are investigating the shooting.
The police didn’t release the suspect’s name nor details on what prompted the shooting. Law enforcement said they believe the shooter acted alone.
Law enforcement are also not releasing the names of the people killed until next of kin have been notified.
The county urged the public to avoid the area and said all Butte County library branches will be closed Tuesday.
The county in a post on Facebook offered “deepest condolences to everyone affected, including the victims, their loved ones, library staff, and all those impacted by this heartbreaking incident.”
Copyright © 2026 by The Associated Press. All Rights Reserved.
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