Business
‘We are killing people’: How technology has made your car ‘a candy store of distraction’
Within the late Eighties, the U.S. Military turned to outdoors consultants to check how pilots of Apache assault helicopters had been responding to the torrent of knowledge streaming into the cockpit on digital screens and analog shows. The decision: not nicely.
The cognitive overload attributable to all that data was degrading efficiency and elevating the danger of crashes, the researchers decided. Pilots had been compelled to do too many issues directly, with too many bells and whistles demanding their consideration. Over the following decade, the Military overhauled its Apache fleet, redesigning cockpits to assist operators preserve focus.
For the document:
4:48 p.m. July 6, 2022An earlier model of this text stated a ballot discovered that 63% of drivers use their cellphones whereas driving, with that determine rising to 73% amongst those that use their vehicles for work; the proper figures are 70% and 86%. The article additionally incorrectly credited Advocates for Freeway & Auto Security for a ballot discovering that 70% of drivers have by no means used a do-not-disturb characteristic on their telephones; that ballot was performed by Nationwide Insurance coverage.
Cognitive psychologist David Strayer was amongst these known as in to assist the Military with its Apache drawback. Since then, he has watched as civilian vehicles and vehicles have stuffed as much as a fair larger extent with the identical kinds of digital interfaces that skilled pilots with honed reflexes discovered so overwhelming — contact screens, interactive maps, nested menus, to not point out ubiquitous smartphones. In his lab on the College of Utah, he’s been documenting the lethal penalties.
“We’re instrumenting the automobile in a means that’s overloading the driving force similar to we had been overloading the helicopter pilots,” stated Strayer, director of the college’s Heart for the Prevention of Distracted Driving.
“Every little thing we all know from pilots being overloaded we will apply to motor automobiles,” Strayer stated. However slightly than apply it, makers of smartphones and vehicles largely have ignored the analysis, persistently including well-liked however lethal diversions. “They’ve created a sweet retailer of distraction. And we’re killing individuals.”
To make sure, new automotive expertise additionally contains revolutionary security options resembling lane-departure warning and blind spot detection. But, regardless of these and different crash-prevention methods, the freeway demise rely continues to rise.
After a long time of falling fatality charges, U.S. roads have develop into markedly extra harmful lately. In 2021, motorized vehicle crashes killed almost 43,000 individuals. That’s up from about 33,000 in 2012, and a 16-year excessive.
Theories about why vary from greater automobiles — mammoth SUVs and pickup vehicles on steroids — to aggression attributable to COVID-era trauma. However nobody within the security discipline doubts that distracted driving is a predominant ingredient.
Reported fatalities on account of distracted driving have remained flat for the final 10 years, 3,000 to 4,000 a yr. However there may be good purpose to think about these figures a serious undercount, as they depend on individuals admitting they had been distracted, or a police officer or another person witnessing a driver with telephone in hand earlier than a crash.
“It’s towards individuals’s self-interest to say, ‘I used to be on the cellphone’ or ‘I used to be utilizing the infotainment system’” after a crash, “as a result of there could be critical penalties,” stated Cathy Chase, who heads Advocates for Freeway & Auto Security.
“I don’t suppose we’re getting an correct image of what’s occurring on the roads,” she stated.
Different measures level to a a lot larger toll. In early 2020, the Nationwide Security Council stated cellphones had been concerned in additional than 1 / 4 of crashes. A ballot by Nationwide Insurance coverage exhibits its brokers consider 50% of all crashes concerned distracted driving. And security consultants say the issue has solely grown worse for the reason that begin of the pandemic.
Pretending that the toll is just a few thousand individuals a yr makes it tougher to vary insurance policies that might enhance security, Mark Rosekind stated. He ran the Nationwide Freeway Site visitors Security Administration in the course of the Obama administration and is now chief security innovation officer at driverless automobile firm Zoox.
“Individuals will use these low numbers as a strategy to decrease this, that it’s not an enormous drawback,” he stated.
Most individuals know distracted driving is unhealthy — 98% of these polled informed Advocates for Freeway & Auto Security they’re extraordinarily or very involved about it as a security challenge. However most do it anyway. Seventy p.c of polled drivers stated they use their cellphones whereas driving. That elevated to 86% of people that use their vehicles for work.
State Farm in April launched survey statistics much more disturbing. Greater than half of respondents stated they “at all times” or “usually” learn or ship textual content messages whereas driving, 43% stated they watched cellphone movies at all times or usually whereas driving, and greater than a 3rd stated they at all times or usually drove whereas engaged in a video chat.
Elene Bratton’s 5-year-old son Jamie died in a automobile crash again in 2002 attributable to a driver distracted whereas utilizing a cellphone. She thought the mounting deaths would result in critical motion by lawmakers and security regulators however as a substitute has watched the issue develop a lot worse. “We act like there’s nothing to be carried out with automobile crashes like this, like all of us need to take care of it,” stated Bratton, who runs an internet site, jamiesjoy.org, partially to boost cash to assist push coverage adjustments.
How do the businesses behind all these distracting screens and apps — the automakers and smartphone producers — view their duty for the issue and their function in fixing it?
It’s laborious to say. The Occasions requested the 5 top-selling carmakers within the U.S. — Basic Motors, Ford, Toyota, Stellantis and Honda — to supply an govt to talk about what they’re doing to assist stop distracted driving. All declined, providing as a substitute to make written public relations materials obtainable. Apple and Samsung, the 2 main smartphone makers, additionally declined interview requests.
When corporations do speak about distracted driving, they have a tendency to border it as an issue with cellphones. Their answer: Combine the identical performance and extra into dashboard interfaces and voice-recognition methods.
Apple govt Emily Schubert, in a flashy video web presentation in June, introduced main new options for the corporate’s CarPlay infotainment system. Apple declined to make Schubert or some other govt obtainable for an interview, however in an electronic mail a spokesperson known as CarPlay “the smarter, safer means to make use of iPhone within the automobile.” What makes it safer, and to what diploma? No particulars had been offered.
The corporate did notice it supplies Driving Focus mode on its telephones, which, if engaged by the shopper, retains the telephone silent and doesn’t enable notifications to return by. A Nationwide Insurance coverage ballot confirmed 70% of respondents had by no means used such a characteristic.
A Honda spokesperson stated by electronic mail that “the largest factor we will do to cut back distraction is to cut back the chance of a driver their cell phone whereas driving” by placing extra concentrate on infotainment methods, by which the corporate is making “an try to reduce distraction whereas satisfying the driving force’s ease of use and entry to desired data.”
Honda provided few particulars and declined an interview in regards to the topic. The corporate did say it’s working with researchers at Ohio State College on the infotainment interface. The professors concerned declined to supply particulars as nicely, saying their work for Honda is proprietary.
One drawback with counting on infotainment methods to enhance security is that they don’t work very nicely. “Infotainment methods stay probably the most problematic space” for brand new automobile prospects, auto market analysis agency J.D. Energy wrote in its newest new-car high quality report. Prospects complain about frequent issues with connectivity, Bluetooth syncing, contact screens and built-in voice recognition.
The flexibility to manage options resembling air-con and music playlists by way of voice instructions theoretically improves security by letting drivers preserve their eyes on the street. However with the expertise nonetheless a piece in progress, scientists are studying it may be simply as harmful as fidgeting with a smartphone.
In a 2019 paper, Strayer’s crew reported that finishing duties utilizing voice instructions took for much longer than other forms of interplay with smartphones and infotainment methods. The additional time considerably elevated the driving force’s cognitive load. Believing that verbal communication doesn’t intervene with driving exhibits a “naive understanding of how language works,” Strayer stated. Mind scans present that “language makes use of much more of the components of the mind than driving does.”
State legal guidelines that ban holding a cellphone or texting whereas driving give the impression that the hazard stops there. However what the Apache analysis confirmed, and a long time of subsequent analysis on car distraction has confirmed, is that the distracted driving drawback is greater than mere distraction. The issue is asking the mind to do too many issues directly. The technical time period is cognitive overload, which incorporates distraction and multitasking and sensory enter from quite a lot of sources.
As a part of its 2019 examine, Strayer’s crew assembled information on driver use of infotainment methods in additional than two dozen vehicles. Drivers had been fitted with sensors connected to the top and the chest, and information on driver coronary heart and mind exercise had been collected to evaluate distraction and cognitive load.
Though some methods had been extra distracting than others, all hampered the driving force’s means to soundly take note of the duty of maneuvering a two-ton automobile on public roads, the examine discovered.
In the meantime, constructing the distractions into the automobile has the impact of sanctioning its use within the eyes of drivers. Thomas Goeltz, a Minnesota man whose 22-year-old pregnant daughter, Megan, was killed by a distracted driver in 2016, stated that though individuals know speaking or texting on the telephone whereas driving is harmful, the choices provided on a automobile’s dashboard provide a false foundation for complacency. “Individuals suppose, it got here with the automobile, it should be secure,” he stated.
In a glancing acknowledgment of their shortcomings, NHTSA in 2015 issued tips on infotainment methods that advocate they be designed so a driver’s consideration will not be distracted for greater than two seconds out of six.
The rules are voluntary, nonetheless. Strayer stated that lots of the actions examined in his analysis require drivers to take their eyes off the street for 12 seconds or extra.
Any firm hoping to do one thing about driver distraction should grapple with nearly all of U.S. drivers who refuse to cease scrolling and swiping behind the wheel. For now, smartphone corporations, auto corporations, app makers, advertisers, retailers — nearly the entire shopper data ecosystem — are pleased to fill the demand. Consulting agency McKinsey initiatives in-car promoting, leisure and shopper information gross sales will generate $11 billion in annual income by 2030.
By then, it’s conceivable shopper vehicles can be geared up with a model of the autonomous driving expertise that’s starting to be deployed in robotaxis and supply automobiles in restricted areas. At that time, turning the inside of a automobile into an immersive infotainment bubble makes excellent sense.
What could be carried out within the meantime? The Nationwide Transportation Security Board has known as for a complete ban on in-car system use — excluding built-in infotainment methods — whereas driving, besides in emergencies. Not less than, the NTSB says, corporations ought to prohibit system use by staff.
In Europe, automakers will quickly be required to put in screens to detect driver distraction with a view to obtain high security scores. No such transfer is being publicly contemplated within the U.S.
Security advocates say schooling campaigns aren’t almost sufficient to take care of the enormity of the issue however are one vital part. In addition they name for stricter enforcement by police. Above all, they are saying, drivers should be extra answerable for their very own security and to maintain from harming others.
With out main adjustments in driver conduct and public coverage, uncounted tens of 1000’s of individuals will die every year, with devastating outcomes on their households and their pals. That’s a part of the price of the infotainment tradition — which, so far, People have been keen to just accept.
Business
California drops zero-emission truck rules after inaction by Biden's EPA
California government’s plan to phase out heavy-duty diesel trucks and diesel locomotives has been derailed.
The ambitious plan aimed at reducing local pollution and global greenhouse gases required special waivers from the federal government. The Biden administration hadn’t granted the waivers as of this week, and rather than face almost certain denial by the incoming Trump administration, the state withdrew its waiver request.
That means the far-reaching regulations issued by the California Air Resources Board in 2022 to ban new diesel truck sales by 2036 and force fleet owners to take them off the road by 2042 won’t be enforced. Known as the Advanced Clean Fleets rule, the idea was to replace those trucks with electric and hydrogen-powered versions, which dramatically reduce emissions but are currently two to three times more expensive.
“While we are disappointed that U.S. EPA was unable to act on all the requests in time, the withdrawal is an important step given the uncertainty presented by the incoming administration that previously attacked California’s programs to protect public health and the climate and has said will continue to oppose those programs,” CARB Chair Liane Randolph said in a prepared statement.
Environmentalists reacted with deep disappointment.
“To meet basic standards for healthy air, California has to shift to zero-emissions trucks and trains in the coming years. Diesel is one of the most dangerous kinds of air pollution for human health,” Paul Cort, director of Earthjustice’s Right to Zero campaign, said in a prepared statement. “We’ll be working tirelessly in the coming years — and calling on Gov. [Gavin] Newsom, state legislators, and our air quality regulators to join us — to clean up our freight system and fix the mess [U.S.] EPA’s inaction has created.”
The trucking industry is pleased at the result, but hopes to continue working with California on environmental issues.
“This rule was flawed, and was not reflective of reality,” said Matt Schrap, chief executive at the Harbor Trucking Assn. “Ideally this is an opportunity to take a step back and look at a program that would be more sustainable.”
Trucking representatives had filed a lawsuit to block the rules, arguing they would cause irreparable harm to the industry and the wider economy. Train operators said no zero-emission locomotives exist on the commercial market.
Schrap said “the most important thing is the EPA could have issued the waiver and they didn’t.”
The EPA said it acknowledges California’s withdrawal of the waiver requests “and as a result is taking no further action on CARB’s prior requests and considers these matters closed.”
President-elect Donald Trump is a champion of the fossil fuel industry, making it unlikely that his administration would have approved the California waivers. The state could, however, pursue waivers at some point in the future.
Under the federal Clean Air Act, California is allowed to set its own air standards, and other states are allowed to follow California’s lead. But federal government waivers are required. Most of California’s waivers have been granted, including approval in December of a California ban on new sales of gas-powered cars and light trucks by 2035.
Business
Elon Musk, Mark Zuckerberg and Jeff Bezos to Attend Trump’s Inauguration
Bezos, Zuckerberg and Coke at the inauguration
Corporate America had already raced to donate big sums to Donald Trump’s record-breaking inaugural fund. Now some of its leaders appear eager to jockey for prominent positions at the inauguration next week.
It’s a new reminder that for some of the nation’s biggest businesses, forging close ties to a president-elect who is promising hard-hitting policies like tariffs is a priority this time around.
Jeff Bezos and Mark Zuckerberg are expected to be on the inauguration dais, according to NBC News, alongside Elon Musk and several cabinet picks.
The presence of Musk isn’t a surprise, given the Tesla chief’s significant support of and huge influence over Trump. But the other tech moguls have only more recently been seen as supporters of the administration. (Indeed, Bezos frequently sparred with Trump during his first presidential term.)
It’s the latest effort by Bezos and Zuckerberg to burnish their Trump credentials. At the DealBook Summit in December, Bezos — whose Amazon has faced scrutiny under the Biden administration and whose Blue Origin is hoping to win government rocket contracts — said that he was “very hopeful” about Trump’s efforts to reduce regulation.
And Zuckerberg recently announced significant changes to Meta’s content moderation policy, including relaxing restrictions on speech seen as protecting groups including L.G.B.T.Q. people that won praise from Trump and other conservatives. On the inauguration front, Zuckerberg is also co-hosting a reception alongside the longtime Trump backers Miriam Adelson, Tilman Fertitta and Todd Ricketts.
Both tech moguls have visited Mar-a-Lago since the election, with Zuckerberg having done so more than once.
Coca-Cola took a different tack. The drinks giant’s C.E.O., James Quincey, gave Trump what an aide called the “first ever Presidential Commemorative Inaugural Diet Coke bottle.”
More broadly, business leaders want a piece of the inauguration action. The Times previously reported that the Trump inaugural fund had surpassed $170 million, a record, and that even major donors have been wait-listed for events.
Others are throwing unofficial events around Washington, including an “Inaugural Crypto Ball” that will feature Snoop Dogg, with tickets starting at $5,000, The Wall Street Journal reports.
It’s a reminder that C.E.O.s are reading the room, and preparing their companies for a president who has proposed creating an “External Revenue Service” to oversee what he has promised will be wide-ranging tariffs.
David Urban, a longtime Trump adviser who’s hosting a pre-inauguration event, told The Journal, “This is the world order, and if we’re going to succeed, we need to get with the world order.”
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In other Trump news: The president-elect is expected to appear via videoconference at the World Economic Forum in Davos, Switzerland, which starts on Inauguration Day, according to Semafor.
HERE’S WHAT’S HAPPENING
Investors brace for the latest inflation data. The Consumer Price Index report, due out at 8:30 a.m. Eastern, is expected to show that inflation ticked up last month, most likely because of climbing food and fuel costs. Global bond markets have been rattled as slow progress on slowing inflation has prompted the Fed to slash its forecast for interest rate cuts.
More Trump cabinet picks will appear before the Senate on Wednesday. Senator Marco Rubio of Florida, the choice for secretary of state, is expected to field questions about his views on the Middle East, Ukraine and China, but is expected to be confirmed. Russell Vought, the pick to run the Office of Management and Budget, will most likely be asked about his advocacy for drastically shrinking the federal government, a key Trump objective. And Sean Duffy, the Fox Business host chosen to lead the Transportation Department, will probably face questions on how he would oversee matters including aviation safety and autonomous vehicles, the latter of which is a priority for Elon Musk.
Meta plans to lay off another 5 percent of its employees. Mark Zuckerberg, the tech giant’s C.E.O., told staff members to prepare for “extensive performance-based cuts” as the company braces for “an intense year.” The social media giant faces intense competition in the race to commercialize artificial intelligence.
A new bill would give TikTok a reprieve from a ban in the United States. Senator Ed Markey, Democrat of Massachusetts, said he planned to introduce the Extend the TikTok Deadline Act, which would give the video platform 270 additional days to be divested from its Chinese parent, ByteDance before being blacklisted. It’s the latest effort to buy TikTok time, as the app faces a Jan. 19 deadline set by a law; President-elect Donald Trump has opposed the potential ban as well.
A question of succession
JPMorgan Chase and BlackRock, the giant money manager, just reported earnings. (In short: Both handily beat analyst expectations.)
But the Wall Street giants are likely to face questioning on a particular issue on Wednesday: Which top lieutenants are in line to replace their larger-than-life C.E.O.s, Jamie Dimon and Larry Fink.
Who’s out:
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Daniel Pinto, who had long been Dimon’s right-hand man, said he would officially drop his responsibilities as JPMorgan’s C.O.O. in June and retire at the end of 2026. Jenn Piepszak, the co-C.E.O. of the company’s core commercial and investment bank, has become C.O.O.
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And Mark Wiedman, the head of BlackRock’s global client business and a top contender to succeed Fink, is planning to leave, according to news reports.
What Wall Street is gossiping about JPMorgan: Even in taking the C.O.O. role, JPMorgan said that Piepszak wasn’t interested in succeeding Dimon “at this time.” DealBook hears that while she genuinely appears not to want to pursue the top job, the phrasing covers her in case she changes her mind.
For now, that means the most likely candidates for the top spot are Marianne Lake, the company’s head of consumer and community banking; Troy Rohrbaugh, the other co-head of the commercial and investment bank; and Doug Petno, a co-head of global banking.
The buzz around BlackRock: Wiedman reportedly didn’t want to keep waiting to succeed Fink and is expected to seek a C.E.O. position elsewhere. (So sudden was his departure that he’s forfeiting about $8 million worth of stock options and, according to The Wall Street Journal, he doesn’t have another job lined up yet.)
Fink said on CNBC on Wednesday that Wiedman’s departure had been in the works for some time, with the executive having expressed a desire to leave about six months ago.
Other candidates to take over for Fink include Martin Small, BlackRock’s C.F.O.; Rob Goldstein, the firm’s C.O.O.; and Rachel Lord, the head of international.
But Dimon and Fink aren’t going anywhere just yet. Dimon, 68, said only last year that he might not be in the role in five years. And Fink, 72, said in July that he was working on succession planning: “When I do believe the next generation is ready, I’m out.”
The S.E.C. gets in a final shot at Musk
Another battle between Elon Musk and the S.E.C. erupted on Tuesday, with the agency suing the tech mogul over his 2022 purchase of Twitter.
It’s unclear what happens to the lawsuit once President-elect Donald Trump, who counts Musk as a close ally, takes office. But the agency’s reputation as an independent watchdog may be at stake.
A recap: The S.E.C. accused Musk of violating securities laws in his $44 billion acquisition of the social media company.
The agency said that Musk had failed to disclose his Twitter ownership stake for a pivotal 11-day stretch before revealing his intentions to purchase the company. That breach allowed him to buy up at least $150 million worth of Twitter shares at a lower price — to the detriment of existing shareholders, the agency argues.
The S.E.C. isn’t just seeking to fine Musk. It wants him to pay back the windfall. “That’s unusual,” Ann Lipton, a professor at Tulane Law School, told DealBook.
Alex Spiro, Musk’s lawyer, called the latest action a “sham” and accused the agency of waging a “multiyear campaign of harassment” against him.
The showdown sets up a tough question for the S.E.C. Will Paul Atkins, the president-elect’s widely respected pick to lead the agency, drop the case? Such a move could call the bedrock principle of S.E.C. independence into question.
Jay Clayton, who led the agency during Trump’s first term, earned the respect of the business community for running it in a largely drama-free manner. It was under Clayton that the S.E.C. sued Musk over his statements about taking Tesla private.
Musk, who is set to become Trump’s cost-cutting czar and is expected to have office space in the White House complex, has called for the “comprehensive overhaul” of agencies like the S.E.C. The billionaire said he would also like to see “punitive action against those individuals who have abused their regulatory power for personal and political gain.”
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In related news: The Consumer Financial Protection Bureau sued Capital One, accusing it of cheating its depositors out of $2 billion in interest payments.
THE SPEED READ
Deals
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DAZN, the streaming network backed by the billionaire businessman Len Blavatnik, is closing in on funding from Saudi Arabia’s sovereign wealth fund as the kingdom continues to expand its sports footprint. (NYT)
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The Justice Department sued KKR, accusing the investment giant of withholding information during government reviews for several of its deals. KKR filed a countersuit. (Bloomberg)
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OpenAI added Adebayo Ogunlesi, the billionaire co-founder of the infrastructure investment firm Global Infrastructure Partners, to its board. (FT)
Politics and policy
Best of the rest
We’d like your feedback! Please email thoughts and suggestions to dealbook@nytimes.com.
Business
For uninsured fire victims, the Small Business Administration offers a rare lifeline
As wildfires continue to burn around Southern California, thousands of business owners, homeowners and renters are confronting the daunting challenge of rebuilding from the ashes. For some number of them, the road ahead will be all the more difficult because they didn’t have any or enough insurance to cover their losses. For them, the U.S. Small Business Administration is a possible lifeline.
The SBA, which offers emergency loans to businesses, homeowners, renters and nonprofits, is among the few relief options for those who don’t have insurance or are underinsured. Uninsured Angelenos can also apply for disaster assistance through the Federal Emergency Management Agency, or FEMA.
The current wildfires are ravaging a state that was already in the midst of a home insurance crisis. Thousands of homeowners have lost their insurance in recent years as providers pull out of fire-prone areas and jack up their prices in the face of rising risk.
“For those who are not going to get that insurance payout, this is available,” Small Business Administration head Isabella Casillas Guzman said in an interview during a recent trip to the fire areas. “The loans are intended to fill gaps, and that is very broad.”
About one-third of businesses don’t have insurance and three-quarters are underinsured, Guzman said.
“There will be residual effects around the whole community,” she said. “Insurance will not cover this disaster.”
Businesses, nonprofits and small agricultural cooperatives can apply for an economic injury loan or a physical damage loan through SBA. Homeowners are eligible for physical damage loans. Economic injury loans are intended to help businesses meet ordinary financial demands, while physical damage loans provide funds for repairs and restoration. People can apply online and loans must be repaid within 30 years.
Renters can receive up to $100,000 in assistance, homeowners up to $500,000 and businesses up to $2 million, according to Guzman. Homeowners and renters who cannot get access to credit elsewhere can qualify for loans with a interest rate of 2.5%. The SBA determines an applicant has no credit available elsewhere if they do not have other funds to pay for disaster recovery and cannot borrow from nongovernment sources.
Interest rates for homeowners and renters who do have access to credit elsewhere are just over 5%. Loans for businesses could come with interest rates of 4% or 8% depending on whether the business has other credit options.
An applicant must show they are able to repay their loan and have a credit history acceptable to the SBA in order to be approved. The loans became available following President Biden’s declaration of a major disaster in California.
“We’ve already received hundreds of applications from individuals and businesses interested in exploring additional support,” Guzman said. “We know the economic disruption may not be contained to the footprint of any evacuation zones or power outages.”
People who don’t have insurance or whose insurance doesn’t cover the entirety of their losses are eligible for loans, Guzman said. While many will use the funds to start from scratch after losing their property to the fires, businesses that are still standing can also apply for support to cover lost revenue.
Guzman was not able to estimate the total value of loans they expect to offer in California but said the organization is on solid financial footing after temporarily running out of funds in October.
“Funding has been replenished by Congress, and we expect to be able to coordinate closely with Congress,” Guzman said. “We’re fully funded and in a good position to provide support.”
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