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Will California's gun law place a target on card networks?

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Will California's gun law place a target on card networks?


The California law would enable tracking of gun purchases.

George Frey/Bloomberg

The large U.S. card networks may be building a merchant code for firearm and ammunition purchases in California — a move which could draw fire from other states where conservative lawmakers have worked to block such a creation.

Visa, Mastercard and American Express are moving ahead with the transaction codes, according to CBS News, adding that these payment codes would enable the card companies to comply with a California law that would enable banks to flag suspicious gun purchases and share that information with authorities. The law goes into effect in 2025.

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The payment companies had considered this approach in the past, but halted work on the codes in March 2023 following resistance from lawmakers in conservative states. More recently, Republican state representatives in Wisconsin have introduced a bill that would ban gun-specific payment codes. Visa, Mastercard, and American Express did not provide comments by deadline. Discover, which was not named in the CBS story, also did not provide comment.  

California’s law would likely require the card networks to have different compliance policies in different states. That’s not unusual, but it does place the companies in the middle of a political fight during an election year, given California’s size and its ability to influence federal policy and laws in other states. 

“Our increasingly fraught and fractious politics are playing out at state level with hard blue states like California and red states imposing their policy preferences on our payment system,” said Eric Grover, a principal at Intrepid Ventures. “National payment systems are going to have to navigate a patchwork of conflicting state-level requirements.”

Payment networks and processors will be able to manage the differences, but it will increase the cost and complexity of running their businesses, Grover said, predicting that policymakers in liberal states such as California and New York will increase tracking and the burden on payments for firearms. “Many pro-Second Amendment red states will ban or limit such tracking,” Grover said. 

California’s law could influence policy elsewhere. 

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There has been a link between California’s early actions on consumer protection regulations and subsequent actions by other states and the Consumer Financial Protection Bureau (CFPB), according to said Stewart Watterson, a strategic advisor at Datos Insights. 

California’s Consumer Privacy Act, passed in 2018, is designed to give consumers more control over the way businesses use their data. Similar laws went into effect in Virginia, Utah and Connecticut in 2023, and in Colorado in 2021.

These laws have pressured payment processors to update policies that manage how consumer data is shared and stored, as well as improve opt-in provisions for consumers to enable data sharing. 

“Overall, California’s early actions in consumer protection have set a precedent and spurred other states and federal agencies to follow suit in enhancing consumer privacy and financial regulations,” Watterson said. 

California is also considering a bill that would affect earned wage access products, which provide early access to payroll. The bill would regulate EWA payments in a manner similar to  traditional loans. 

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California also reached an agreement with earned wage access providers in 2021 under which the companies would share data with regulators, allow examinations and set limits on pricing, sparking several other states to follow suit.

California has had an impact on both conservative and liberal issues, according to Robert Hockett, a law professor at Cornell University, noting tax reforms in California have spread to other states as well as minimum wage hikes. 

“At least as interesting as the effects upon other states in this case, as it happens, might be reactions from Congress, whose Republican members are probably already primed due to the moves in the insurance industry on guns,” Hockett said. In 2023, several jurisdictions — including San Jose — passed laws requiring gun-related insurance. 

There is the potential that California’s market size could affect other states, but on certain issues, especially hot-button issues like gun sales, California’s outsized influence may not be enough to sway other states to follow suit, said James Wester, director of cryptocurrency and cohead of payments at Javelin Strategy & Research. 

“Regulations will simply follow political fault lines,” Wester said, adding that in terms of financial and payment regulation more generally, New York tends to be more influential given its role as a banking capital. 

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Large red states have also passed laws that either aimed for a national influence or indirectly created cross-state pressure. aiming for broader influence. Texas, for example, in the past three years has passed laws that require banks to prove they do not ban gun or ammunition sellers in order to do business with the state. Texas also requires state agencies to not do business with banks that restrict the oil and gas business. 

“Regardless of which state leads on any particular issue, however, this move by California on this [gun] issue demonstrates the complexity of compliance that payment and financial services providers must deal with,” Wester said.



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Housing Legislation Aims to Snip Away at California’s Red Tape | KQED

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Housing Legislation Aims to Snip Away at California’s Red Tape | KQED


Here are the morning’s top stories on Friday, March 28, 2025… The Trump Administration’s Justice Department has announced it has launched investigations into California universities, including Stanford, Berkeley, UCLA and UC Irvine. The Department says it wants to see whether the schools are violating a 2023 US Supreme Court ruling that bans race-based affirmative action in higher education. Critics of the Trump Administration say the investigation is part of a wider assault on institutions



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Video shows harrowing moment hiker rescued from California cliffside: ‘Absolutely vertical’

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Video shows harrowing moment hiker rescued from California cliffside: ‘Absolutely vertical’


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A hiker who was “barely holding on” after a 100-foot fall from a northern California cliff was rescued in the nick of time, officials say.

Local agencies and a U.S. Coast Guard team in Humboldt County were called to stage the rescue of two hikers near the picturesque and popular Lost Coast Trail, a 25-mile along the California coastline over 200 miles north of San Francisco.

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Rescue crews found the hikers along a steep cliff edge in the Big Flat Area, about 10 miles north of an area known as Shelter Cove, according to a news release from U.S. Coast Guard Sector Humboldt Bay.

One of the hikers who took a big fall clung to his hiking poles, about 60 feet above another unstable cliff, for dear life, the Coast Guard said.

“With no winds and limited power, the crew had to make quick decisions regarding fuel and patient delivery,” the agency said. “After jettisoning fuel and coming up with a plan to conduct 160-foot hoist, they were able to successfully extract the injured and bleeding patient from the cliff.”

Hiker’s companion was also rescued

After the dropping the injured hiker for emergency medical services, the Coast Guard returned to extract the hiker’s companion off a game trail.

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“Both hoists required intense crew coordination due to the loose cliffside, dead trees, and limited power,” according to the Coast Guard. “The Shelter Cove Fire Ocean Rescue team provided crucial decisions and communication to make the evolution successful.”

Chief Nick Pape of the Shelter Cove Fire Department told SFGate that “below them was absolutely vertical, probably 60 feet to the boulders below.”

He told SFGate that the hikers were far off the designated Lost Coast Trail, popular among backpackers.

“They had no business being where they were,” he said.

The hiker who took the tumble suffered from a dislocated shoulder and unknown injuries that caused bleeding, while their companion was “cliffed out” but otherwise uninjured. Shelter Cove Fire Department did not immediately respond to USA TODAY’s request for a status update on the condition of the injured hiker on Thursday afternoon.

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How California’s excesses inspired the ‘abundance’ craze

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How California’s excesses inspired the ‘abundance’ craze


SAN FRANCISCO — A high-speed rail project that goes nowhere with a price tag that has ballooned by around $80 billion. A worst-in-the-nation housing crisis in America’s wealthiest metropolis. A public toilet infamous for its $1.7 million estimated cost.

The so-called Abundance movement has become all the rage on the left as a means to diagnose the ways in which ineffectual liberal governance and overregulation has wrought political disaster for the Democrats — a conversation thrust into the national spotlight as journalists Ezra Klein and Derek Thompson tour the country to promote their best-selling book of the same title.

But as much as Klein and Thompson have popularized the Abundance argument nationwide, especially in Washington, its origin story is one rooted in California’s distinctive political culture and policy experiences.

Now some of the state’s most ambitious emerging politicians are hoping to use the book’s success to push California’s Democratic leadership to heed its lessons. Klein will privately gather in San Francisco on Thursday with a select group of lawmakers, including the leaders of the state’s Democratic legislative supermajorities, in a kind of revival meeting called by those hoping he can help spread the gospel to Sacramento.

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Abundance is California’s latest ideological export, part of the state’s long tradition of incubating modern political movements before releasing them nationwide. Local political conditions in the Bay Area, on the Central Coast and across Orange County birthed the gay-rights, environmental and anti-tax movements that went on to shape national politics in the late twentieth century.

Abundance reflects a uniquely 21st century California zeitgeist. Today the state’s political dynamics are shaped by deep frustration over Democratic leaders’ inability to build enough housing, provide clean streets, lower the cost of living and instill a sense of safety amid a drug addiction epidemic. Efforts to address those problems haven’t met voters’ demand for results.

“There’s nothing progressive about deep blue cities, the way they’re governed,” said Zack Rosen, who founded Abundant SF, the movement’s first chapter that was started during the depths of the pandemic. “For San Francisco and blue cities to succeed, they have to grow. If a city isn’t growing, it’s dying.”

It is, like much in California, a debate that plays out among Democrats, who have had unrivaled control of state government for the past decade and a half, and now control all of its major cities. Part of that intraparty soul-searching is the Abundance movement’s push to redefine what constitutes liberal values — and sell it to the persuadable center without too deeply alienating the Democrats’ progressive base.

The broader success of the Abundance movement could hinge on its momentum in California, as Democratic officeholders who share its vision of “supply-side progressivism” find their ideas tested in practice.

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“This is one of the most important books Democrats can read — wake up,” Gov. Gavin Newsom told Klein during an interview on the governor’s podcast this week. “I mean, we’re being judged here at a different level.’”

It came from California

Klein, an Orange County native, moved back to his home state from Washington shortly before coronavirus hit. It was a contrarian trajectory: at the time, California was bleeding population, as hundreds of thousands of residents loaded moving trucks in search of cheaper housing in Texas, Florida and Idaho.

From his new home in Oakland, and then San Francisco, Klein quickly noticed the ways in which the Bay Area’s cities sputtered despite being home to tremendous wealth. The local press was filled with examples of them, like the time San Francisco set out to build a public toilet in a small park that would cost taxpayers $1.7 million. (The final cost was reduced to around $300,000 after a public uproar.) At the same time, it was unable to provide enough housing for the people who needed to work, live and study there.

“I looked around and it just wasn’t doing well,” Klein told Newsom on his podcast. “People were unhappy, people were leaving … We could see the housing crisis had metastasized into something that was genuinely now a crisis.”

Klein was hardly the first to draw a direct line between the state’s most pressing problems and its failure to build housing. Those concerns had already emerged in San Francisco as activists with the decade-old YIMBY (or Yes in My Back Yard) movement pushed to challenge local barriers to housing construction. At first they were political outliers, but the pro-housing movement has notched win after win in recent years, electing dozens of its candidates to the Legislature and local offices and passing bills that force cities to approve new housing construction.

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As a columnist and podcaster for the New York Times, Klein began exploring these ideas, and the ways in which his fellow liberals were responsible. Castigating the failures of what he called “everything bagel liberalism,” he focused on the idea that well-meaning progressives pile on too many good things — environmental reviews, labor standards, community engagement, preferences for minority contractors — that ultimately undermine their noble ambitions.

“We have not made enough of the things that we need,” Klein said in a recent interview on MSNBC. “And that’s because we have run government badly in the places where we actually can’t blame it on Republicans.”

A writer-podcaster friend, Thompson, was playing with similar ideas in The Atlantic, where he is often credited with coining the popular use of the term “abundance” in a 2022 essay about the inability of American government and liberal institutions to do big things quickly. Together, he and Klein began to cohere around a common argument: that Democrats need to approach problems by planning for an “abundance” of the things people need, rather than regulating from a “scarcity” mindset.

Abundant SF launched the same year, joining forces with the YIMBYs and other factions of the “moderate” coalition in San Francisco. The groups convinced voters to close off a major thoroughfare in Golden Gate Park for pedestrian use; helped elect a new moderate majority to the city’s Board of Supervisors; and took control of the county Democratic Party last year, sweeping 18 out of 24 seats.

Klein came to know a small group of left-leaning elected officials in the Bay Area who are the most vocal champions of that style of politics, including state Sen. Scott Wiener of San Francisco, Assemblymember Buffy Wicks of Oakland and Congressman Ro Khanna from Silicon Valley.

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“It all just made so much sense to me, thinking about it in a way that’s much broader than housing,” Wiener recalled of his first meeting with Klein, in 2022. The two shared coffee at Progressive Grounds, a funky cafe in the Bernal Heights neighborhood, one of the city’s most progressive enclaves known for its hilly streets lined with Craftsman bungalows and Victorians that are home to more dog owners than parents with children.

“San Francisco,” said Wiener, a former city supervisor, “is like the poster child for things taking longer than they need to take.”

Movement building power

Klein and Thompson’s book Abundance was published on March 18. Since then, it has become a focal point of attention across the American left, driving podcast, op-ed and television conversations. Democratic elected officials have rush to associate themselves with the book’s argument, helping to further boost its profile. “A liberalism that builds,” Khanna recently wrote in an endorsement. “Reimagining government instead of slashing it.”

Abundance arrived at a moment when many Democrats are eager to rethink their approach to governance, as they search for ways to rebuild after a disastrous loss to President Donald Trump in 2024.

Klein’s San Francisco homecoming this week has become far more than another occasion to sell books. California leaders aligned with the Abundance effort are hoping to use his presence to make their pro-growth brand of liberalism a stronger force at the state Capitol in Sacramento.

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On Thursday, Wiener and Wicks will host a private roundtable with Klein and at least a dozen of their lawmaking colleagues, including some currently carrying legislation designed to cut local and state regulations they argue make it overly difficult to build housing. Among those expected to participate are Assembly Speaker Robert Rivas, already an ally of the movement, and Senate President Pro Tem Mike McGuire, who’s more wary of easing environmental rules.

“I sent it to the two leaders of my California Assembly and Senate,” Newsom said of Abundance in his interview of Klein. “I said, ‘Guys this is it.’”

But the movement faces strong critics. On the left, the Abundance effort has been pilloried as coastal-effete liberal thinking that may address the concerns of young professionals in big cities but won’t help Democrats regain support among working-class voters elsewhere. On the right, Republicans are skeptical that Democrats can deliver on the movement’s promises when two powerful constituencies — labor unions and environmentalists — are reluctant to peel back hard-fought regulations.

Steve Hilton, the former Fox News host and a potential Republican contender for California governor in 2026, said many of the movement’s ideas align with his own, though he doubts Democrats can make the hard choices when it comes to alienating powerful interests within their party. Hilton released his own book this week: Califailure: Reversing the Ruin of America’s Worst-Run State, a rival argument of sorts from the right.

“I think it’s difficult to imagine the Democratic Party, as it’s currently oriented, actually delivering the Abundance agenda,” he said. “They’re so tied to many of the structural and ideological factors that have created scarcity.”

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In California, the biggest resistance to enacting an Abundance agenda comes from pillars of the progressive coalition that keeps Democrats in power.

Wiener has proposed legislation this year that would overhaul parts of California’s Environmental Quality Act, or CEQA, the landmark protection enacted in the 1970s that is often blamed for stymieing the construction of housing by opening developers up to endless threats of litigation from neighbors, environmentalists and labor unions.

Unions are gearing up to fight the bill, which would exempt many types of urban infill housing projects from CEQA review. The debate is expected to be a slugfest and a crucial test of the Abundance mantra’s resonance.

Rudy Gonzalez, head of the San Francisco Building and Construction Trades Council, which represents 7,500 unionized workers in the Bay Area, called the movement an effort to scapegoat labor and environmental protections for a housing shortage that’s strongly shaped by factors like high interest rates and soaring construction material costs. He called it the latest effort to rebrand “neoliberalism” that will alienate blue-collar workers.

“They’re perpetuating their insular, circular firing squad of Dem-on-Dem violence when they should be leading the resistance,” to Trump’s policies, Gonzalez said.

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Even some players aligned with the Abundance movement in San Francisco have been uncertain how to quantify what it means beyond an expansion of changes to land-use and transportation policy. Klein and Thompson outline, in their book, how overregulation has undermined progressive goals in other areas, such as scientific research and climate change and clean energy.

“It gets very complicated very quickly when you add multiple issues. But I don’t know, it could work,” said Laura Foote, executive director of YIMBY Action, a national advocacy group, and an early organizer of the city’s pro-housing activists.

On Wednesday night, at their first sold-out appearance in San Francisco, Klein and Thompson were hosted by Manny Yekutiel, a local Democratic organizer who owns a popular political watering hole in the Mission District. He said their message is landing well with those who live face to face with the city’s contemporary paradox: an ultra-progressive beacon of inclusiveness and innovation where working-class people can’t afford to live.

“There’s a national conversation happening right now. The left is lost,” Yekutiel said. “Maybe this is one way through this, painting a completely different vision.”



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