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SACRAMENTO, Calif. (AP) — California lawmakers are negotiating a pair of proposed tax increases as the deadline approaches for Democratic Gov. Gavin Newsom to sign a 4.8 billion operating budget.Lawmakers approved the budget bill last week, but lawmakers still must pass more than a dozen "trailer bills" that detail how the money must be spent.Monday, the state Senate approved a plan to raise taxes on some business income and give that money to people who earn less than ,000 a year in their annual tax refunds. The Assembly, meanwhile, approved a fee of up to 80 cents per month on phone bills — including cell phones — to pay for an upgrade to California's aging 911 system following the most devastating wildfire season in state history.The businesses taxes are a tough vote in the Assembly , where Democrats in power have concerns about voting to align the state's tax code with a portion of the 2017 federal tax law signed by Republican President Donald Trump. The 911 fee is a tough vote in the Senate, where lawmakers are wary of voting again on a cell phone fee after a similar proposal fell one vote shy of passing last year.Lawmakers in both chambers breezed through a series of trailer bills on Monday that did things like temporarily suspend taxes on diapers and tampons and extend the state's paid family leave program by two weeks. Lawmakers passed each one with little debate and with bipartisan agreement on several points.But the Legislature is poised for a pair of critical votes on Thursday on the 911 fee and business taxes, with leaders in both chambers trying to pressure the other one to vote."It is really kind of part of our strategy to make sure one house takes a vote that may feel difficult by the other house, and vice versa," said Sen. Holly Mitchell, a Los Angeles Democrat and chairwoman of the Senate Budget Committee. "I think those are appropriate dots to connect."The business tax changes are part of a plan to selectively adopt some of the federal tax changes Trump signed into law in 2017. Some items would lower taxes and others would increase them. Overall, the state would get an additional .6 billion in revenue during the fiscal year that begins July 1.Newsom wants to use most of that money to triple the state's earned income tax credit program, which boosts the size of annual tax refunds for low-income people. The plan would make about 1 million more people eligible for the credit. Plus, it would give ,000 to people who make less than ,000 a year and have at least one child under 6.But the plan would still not include immigrants who pay taxes but do not have Social Security numbers. Newsom would not include that in the budget because he said it was too expensive, but pledged to work toward it in future years.In an effort to win votes, lawmakers have stopped referring to the bill as "conforming" to the federal tax code, but instead call it "loophole closure." Assemblyman Adam Gray, a moderate Democrat from Merced, supports the bill. He said he has never seen "so much consternation" about a tax bill, noting lawmakers often conform to federal tax changes without controversy.The 911 fee is an effort to upgrade the state's system so it can handle text messages, photos and videos. But the fund that pays for the system is based on a fee for each phone call. The fund has been steadily declining as more people opt to send text messages.Assemblyman Jay Obernolte, R-Big Bear Lake, argued that the state should use some of its surplus to pay for the changes rather than raise fees on consumers. But Assemblywoman Christy Smith, D-Santa Clarita, argued that the state's 911 system is essential and requires funding beyond a short-term surplus."Yes, we have a surplus. But we don't always have a surplus in California," she said. "We will always have emergencies."___Associated Press writer Andrew Oxford contributed. 3896

SACRAMENTO, Calif. (AP) — The number of reported hate crimes and victims decreased last year in California, although the number of suspects increased, the state's attorney general reported Tuesday.Hate crime events fell 2.5% from 2017, down by about two-dozen reports to 1,066 in 2018, according to the annual report.That follows a 17% jump the prior year.The state defines hate crimes as those targeting victims because of their race or ethnicity, nationality, religion, sexual orientation, gender or a disability. The definitions have been expanded at various times in recent years. Each hate crime event can include more than one related offense against more than one victim by more than one offender.The report notes that hate crimes remain relatively rare in a state of nearly 40 million people. Overall, they have dropped about 3% in the last decade.There were 80 more suspects identified last year than the year before.The report comes a year after Attorney General Xavier Becerra provided more guidance for local law enforcement and created a hate crimes prevention webpage and brochure on identifying and reporting hate crimes. The increased outreach came after a critical state audit largely blamed the department for not requiring that local agencies do a better job in collecting data, resulting in undercounts.Anti-Islamic events dropped from 46 in 2017 to 28 last year, the new report says. But those targeting Jews increased from 104 to 126 last year.Earlier this year, authorities said a 19-year-old gunman told investigators he was motivated by hatred for Judaism when he killed one woman and wounded two others, including a rabbi, at the Chabad of Poway synagogue near San Diego. That shooting in April will be reflected in next year's report.There were no hate-related murders reported in 2018, but one rape, 39 robberies and nearly 800 reports of assaults and intimidation. Yet violent and property offenses related to hate crimes both dipped, with 838 violent and 426 property crimes reported last year. That was down from 860 violent and 451 property crimes a year earlier.Hate crimes based on race or sexual orientation both fell overall. But crimes against Latinos were up from 126 in 2017 to 149 last year, while those against blacks dropped from 302 to 276.There were 238 reports of hate crimes based on sexual orientation, down eight from the prior year.Federal authorities have estimated that more than half of all hate crimes aren't reported to police across the United States.The Associated Press found three years ago that more than 2,700 city police and county sheriff's departments nationwide had not reported any hate crimes for the FBI's annual crime tally during the previous six years, or about 17% of all city and county law enforcement agencies. 2792

Rudy Giuliani said Wednesday that President Donald Trump's legal team has responded to the special counsel, the latest effort in ongoing negotiations over a possible interview."We have now given him an answer. Obviously, he should take a few days to consider it, but we should get this resolved," Giuliani said during an interview on the radio show of fellow Trump attorney Jay Sekulow."We do not want to run into the November elections. So back up from that, this should be over by September 1," Giuliani said.Sekulow confirmed in a statement that the legal team "responded in writing to the latest proposal" from the special counsel, but declined to comment on the substance of the response.Giuliani had previously told CNN that the team planned to send its counteroffer to special counsel Robert Mueller regarding a potential interview on Wednesday."It is a good faith attempt to reach an agreement," Giuliani, one of Trump's lawyers on the Russia investigation, told CNN.The former New York City mayor similarly would not describe the contents of the counteroffer, except to say that "there is an area where we could agree, if they agree."Giuliani wouldn't say if that area has to do with collusion or obstruction.The President has previously said that he wants to speak with the special counsel and has insisted there was no collusion or obstruction, while deriding the investigation as a "witch hunt."But Trump's public attacks on the Russia probe have sparked questions over whether his actions could constitute obstruction of justice. Those questions intensified earlier this month when the President called on Attorney General Jeff Sessions to shut down the investigation, an escalation that Giuliani attempted to downplay as Trump merely expressing an opinion.The President's team has sought to limit any potential interview to questions about collusion. But Giuliani told CNN they would be willing to consider questions relating to any obstruction of justice inquiry as long as they are not "perjury traps," a phrase favored by the Trump legal team as a way to raise questions about the fairness of the special counsel, though it also speaks to the risks of having the President sit down for an interview."For example: 'What did you say about Flynn?' 'Why did you fire Comey?'" They already know our answer," Giuliani said, referring to former national security adviser Michael Flynn and former FBI director James Comey, whom Trump abruptly fired in May 2017. The former FBI director later testified to Congress that Trump had pressed him to drop an investigation into Flynn, a claim that Trump has denied. "If they can show us something in that area that didn't involve those direct questions, that we don't consider perjury traps, we would consider it," Giuliani said, but conceded he "can't think of what that would be."Mueller has indicated to the team that the special counsel wants to ask the President obstruction questions in an interview.The President's lawyers had previously offered the special counsel written answers to obstruction questions and limiting the interview to matters before his presidential inauguration, which are largely confined to collusion.The back and forth over an interview comes as the special counsel investigation faces its first major test in court as Trump's former campaign chairman Paul Manafort stands trial in the Eastern District of Virginia where he is accused of bank fraud, tax evasion and other financial crimes.Manafort's case isn't about the 2016 presidential campaign, but he is the first defendant Mueller's team has taken to trial. 3603

SACRAMENTO, Calif. (AP) — Gov. Gavin Newsom vetoed a bill that would have made ethnic studies a California high school graduation requirement, citing controversy over the model curriculum.Assemblyman Jose Medina, a fellow Democrat, criticized the veto of his bill late Wednesday as a failure to push back against President Donald Trump.Newsom said he supports the ethnic studies concept, but cited ongoing discussions and revisions on what should be included in the classes.The bill would have required high schools to provide ethnic studies starting in the 2025-26 school year and would have made ethnic studies a high school graduation requirement starting in the 2029-30 school year. 694

SACRAMENTO, Calif. (AP) — California Gov. Gavin Newsom is defending the state's pace for reopening amid the coronavirus pandemic. He says the economic harm the shutdown inflicted has negative health outcomes, too. Newsom's Monday comments come days after the state entered its broadest phase of reopening yet. Most counties are now cleared to allow the opening of bars, gyms, hotels, day camps, zoos and other attractions. Newsom and state health officials say the percentage of positive tests for the virus and hospitalizations are key metrics that have remained stable. Newsom says California officials are monitoring 13 counties that are seeing increased transmission rates or hospitalizations. 705

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