Katie Porter makes her case for Governor

0:00When you really need care, you need 24-7 access to a care team, not a maze of paperwork from a third party. Every day, America's hospitals and health systems show up for you. Navigating healthcare can fuel overwhelming, but you can count on real doctors, real nurses, real people, providing quality around the clock care when you need it most. They're in your corner. In communities across America, your neighbors, your lifelines, right beside you holding your hand and helping financiers. That's what putting patients first actually means. Learn more at strengthinhealthcare.org Brought to you by the Coalition to Strengthin America's Health Care. And we continue at 205 in the afternoon on the John Phillips Show. Mr. Randy Wings in Culver City. John the VTA is putting more small businesses out of business because the construction of extending the VTA is making it impossible for restaurants to even get people to come into their parking lots. And sometimes the construction equipment is literally blocking the driveway. It's so bad the crooks can't even break in to steal the sweet and low. Well, at least there's that.

1:00800-222-5222 is a telephone number 1-800-222-5222. Well, earlier in the program, we heard from Elaine Coulotti, who is a candidate for governor here in California. There are a lot of candidates for governor. All of them trying to get their name out there, get their resume out there, get their ideas for California out there. And one of them who did a recent sit down with a local television station, pitching her own campaign was former Irvine Congresswoman Katie Porter. You're out of my **** shop. It's the latest interview in the series that took interviews that took place from ABC10 at the California Democrat Convention. And let's hear what Katie Porter has to say to ABC10 in Sacramento. This June, Californians will head to the polls to help decide who could become the state's next

2:02governor while the final decision comes in November for now nine leading. This is the real race. That race isn't going to matter that much. No, it's all in the primary in November for now. Nine leading Democratic hopefuls and several Republicans are in the race to help you get to know them a little bit better and what they say they would bring to the job. I sat down with the candidates at this past weekend's Democratic Convention. And I will also do the same with the Republican Party and to keep things fair. I drew names. Will she be going to the no party preference convention? Where do they mean they don't? I also don't vote. I drew names at random for these interviews. Make Katie Porter. For people that are meeting you for the first time, why are you deciding to run for governor of California? I'm running for governor of California to bring down costs for regular Californians. Fortibilities become a big buzz word. But people don't need politicians telling them that life is unaffordable.

3:03They know the single mom of three teenagers. I push the grocery cart. There you go. Back to food. It is a very relatable subject. How long did it take for us to get there though? Well, let's see. The interview started at 32 seconds in. And she started speaking about the grocery cart 19 seconds into the interview. Now, just to be clear, she's not conducting this interview from her kitchen. No, as far as we know, there is no carrot chopping going on in this interview, because this interview was taking place at the California Democrat Convention. So I don't think she was making any soup. Sorry for the noise. I'm kind of carrots. Dually noted. Push the grocery cart. I pay the bills. I fill up my minivan with gas. All right, the minivan gets a shout out 20 seconds in. Boy, we're just playing all the hits.

4:04I pay the bills. I fill up my minivan with gas. So I know what it's like. I scream at my staffers just like you. What about the exercise bike in the kitchen? I think that was taken down. That was only for a prop when Aiton Wallace of Fox 40 went to do a little visit. I pay the bills. I fill up my minivan with gas. So I know what it's like to see your expected. She's actually at this point. She is actually replaced the bike with a dartboard. And do you know what face she put on the dartboard? Tom Steyer. Oh, yeah, she doesn't like him. I pay the bills. I fill up my minivan with gas. So I know what it's like to see your expenses go up. And dollars not just stretch far enough. Fort Abilities been my life's work. Studying families pushed into bankruptcy by medical debt or job loss. Running a statewide foreclosure prevention program for that attorney general. So your life's work hasn't actually lowered the cost of anything? Okay, if she's running for governor as the average person,

5:07do you realize that 50% are below that? Yeah. Running a statewide foreclosure prevention program for that attorney general Kamala Harris. So we need big solutions on affordability. People aren't leaving. By the way, I don't know if that's really the name drop you want to use that you are brought into this world by Kamala. Didn't she just endorse Jasmine Crockett for US Senate this weekend? Oh boy, did that happen? Yes. That might not be good for Jasmine Crockett. I know. I know. What's next? Is she going to come out and endorse that Nazi and Maine? I will repeat myself. I don't know if anybody wants Kamala's endorsement. Just like even though some of them are actively pining for it, I don't think if Gavin endorsed in this race, it would help anybody. No, I don't think so. So Swahwell stop trying to be Gavin to point out. We need big solutions on affordability. People are leaving California because they're five or ten bucks short. They're leaving California because they are hundreds and hundreds of dollars

6:11away from being able to take care of their family the way they want. And if you were to be elected, what would be your top three priorities, your first year in office? We have to look at what are family's biggest expenses. So they are housing. First and foremost, it takes up most of people's budget. No, you, we pay for your house. You live in state owned housing. Well, maybe that's the answer. Everyone should go work at UCI and get teacher housing. Go and eaters. So building more housing, building housing much more quickly. We build two years slower in California than in Colorado. We can do better. We're the most innovative state in the world in the country. So we can innovate in how we build housing, different construction techniques, different materials. My second priority is... She's going to get down there and yell at the foreman. You notice that she's real light on specifics. Are we getting rid of the coastal commission? Are we getting rid of Sequel? What specifically will you do to speed this up? Because it moves like molasses.

7:11You talk to people in that industry, they're hit with layer upon layer upon layer of permits and inspections and get the approval of this board and get the approval of that board. And in the end, you just end up with a project that just takes forever to be completed. So surely you have ideas on what can be done to speed it up, other than saying it should be sped up. Well, and she talks lightly about other ways to build a new technology. Here's the fight that I don't know anybody that's running wants to have. If you really want to implement modular housing, factory made housing, you're going to have to go to war with the building trades unions and they usually win those fights. Well, and what she really wants is she wants high density housing. She wants all of us living above a pan to express. We can do better. We're the most innovative state in the world in the country. So we can innovate in how we build housing, different construction techniques, different materials. My second priority is free child care for every Californian.

8:15You can talk to any. Is that because she's sick of watching her kids? Well, don't forget, the reason that Nancy Pelosi hates her was because she told Nancy Pelosi to change the time that her committee met because it didn't work for her with her child care needs. And Nancy told her to go pound sand. Oh, my second priority is free child care for every Californian. You can talk to it, but in order to pay for that, wouldn't we have to then increase taxes on everybody, which then would increase affordability and make everything even more expensive? Randy, you have to put it in terms of she'll understand. Katie, there's no free lunch. You can talk to any kind of economist from the far left to the far right, and they will all say that bringing down the cost of child care is the biggest thing we could do to make our economy grow and accelerate. And then the third thing is we talk about affordability. Everyone already has free child care, by the way. It's called grand theft auto.

9:17To make our economy grow and accelerate. And then the third thing is we talk about affordability. And we, you know, I've taken on big corporations and greedy corporations with my whiteboard in Congress. All right, it took us a minute and a half to get to the whiteboard. Boy, she's hit all the props except the mashed potatoes. And by the way, this was the same convention where she used the whiteboard as a prop and it completely fell flat. It did not get the reaction she thought she would. And she came out of that this, that thing in fifth place. Yeah, because she went up there looking like a vulgar pig. I call it the shift gift. You know, I've taken on big corporations and greedy corporations with my whiteboard in Congress. But one of the things we can do for affordability is change government's role in it. So to that end, I will eliminate state income tax for Californians making less than $100,000. Now Steve Hilton's plan, but sure. And by the way, I don't like that. Because we're all in this together. So everyone should have to pay.

10:18I don't like the fact that chosen groups get picked to not pay taxes. No, if you live here, you should pay taxes. And if you think those taxes are too high, you should lower them for everyone. It does seem to be an expansion of what already is a problem in this state that there is a certain level where you benefit so much from the programs you qualify for and the social services. Just the dividing line of where you qualify for Medi-Cal and you don't is thousands and thousands and thousands of dollars that now you as someone who's just above the poverty line have to pay to subsidize the people that aren't making any money. That is a real affordability solution. We can deliver it right away. And I do want to talk about homelessness, you know, California. Hey, can you lower my salary to 99,000 and pay me the rest out of the table? I think you're going to end up seeing a lot of that. And I do want to talk about homelessness, you know, California. I spent billions trying to address this big issue.

11:19What would you do differently to address homelessness? It's really hard to solve a problem when the problem's getting bigger. So we have to focus on preventing people from becoming homeless. No, wait a minute. Gavin and Karen Bass said that it's in free fall. Nobody believes that. Not even Katie. It's really hard to solve a problem when the problem's getting bigger. So we have to focus on preventing people from becoming homeless. And what does that mean? Well, you see, Katie possesses one skill that none of the other candidates have. She is so loud she can connect with the voices in their head. Win or winner chicken dinner. That is, she can tell those voices to just be quiet when it's time to go sleepy time. That is really important. Well, we're not right now. We're putting all of our money in helping those who have experienced long-term homelessness. Those people are important.

12:20They're Californians and we need to get them into permanent supportive housing. But homelessness and the path to get there. There are other intervention points that are much less expensive and much more humane. So things like rapid rehousing eviction. This is the kind of nonsense that candidates start talking about when they don't want to admit that this is a drugs and mental health issue. Yeah. No, she's got to come up with all these programs and she's going to come up with all these bureaucraties and psycho babble that means nothing. Eviction prevention strategies. These work they're cheaper and they stop people from ever having to live on our streets. Do you think that California has gone too far, not far enough, or has struck the right balance when it comes to criminal justice reform? We're definitely moving in the right direction. By what standard? Well, keep in mind, she was one of these people who claimed that she supported Prop 36. But when the actual campaign was going on, she was nowhere to be found. And if you listen to any of her explanations on Prop 36,

13:23she might say she supported it but she doesn't like it at all. She supports it except everything that's in it. Yep. We're definitely moving in the right direction on criminal justice reform, particularly in terms of looking back at what are the consequences of our three strike law. Oh boy. She's against that too, huh? Yep. Her and Tony V of our three strike law in terms of retail theft, which has been a big issue in terms of street crime, prevent. By the way, this again, this interview was from last weekend, but how great would it be to get every single candidate on the record of what they think about Gavin's parole board letting that monster out? Oh, well, that's an easy putt for all of them. Even Javier Bakaria said he's opposed to it of our three strike law. In terms of retail theft, which has been a big issue in terms of street crime, prevention is always going to be the first strategy. What does that mean? Nothing. She doesn't want to say they're all crazy or untrugs.

14:24So she's got to twist herself into a pretzel. Prevention for retail theft could mean making sure that people don't get out of prison early or prevention could be what target has been doing. They'll get out of this and have to lock up the socks. So much of the retail theft issue is a homeless issue. So much of it, because you talk to the people who work there. Yes, there are professional rings that are committing crimes. They frequently hit the stores that we talk about in the blotter. They hit the places with the ATMs. They're sophisticated. But just the stealing of shampoo and the stealing of small ticket items from places like CVS and Rite Aid, that's all the homeless. Because it's not just about catching the person and punishing them and they commit a crime, we all think that should happen. She's getting real high pitched. Does someone let helium out of the balloon? Maybe. Because it's not just about catching the person and punishing them and they commit a crime,

15:27we all think that should happen. You know how sometimes when people are not being truthful, their voice starts going up and active? Yeah, this is getting close to hello everybody. Because it's not just about catching the person and punishing them and they commit a crime, we all think that should happen. Do we? There's plenty of people in elected office in Sacramento who don't think that. No, they think it's a crime associated with poverty. Hello everybody! That's the phoniest. When she's that high, you know she's being completely fake. It is about making sure that people feel confident that they can walk down the street safely. They can go to a playground with their kids and be safe. We've passed Prop 36. That's focused on punishment. We need punishment. But we really need to dig in on prevention and making our streets feel safe. What does that mean? Nothing. And we are going to keep these candidate profiles going at 630,

16:28giving you a closer look at the top Democrats in the race tomorrow. I sit down with Antonio Villarragosa and we are Mr. Peanut. I'm sure he had plenty to say. They're almost done with this series, but oh boy, you know, you realize that today we are three months out from the election. And I'm sure from Katie Porter's point of view, that was a successful interview because no one got hit. No one stormed off the set. Nothing went viral for all the wrong reasons. So if she can do an interview that doesn't end in a 9-1-1 call, she'll put that in the win column. No! Up next! When you really need care, you need 24-7 access to a care team, not a maze of paperwork from a third party. Every day, America's hospitals and health systems show up for you. Navigating healthcare can fuel overwhelming, but you can count on real doctors, real nurses, real people, providing quality around the clock care when you need it most.

17:30They're in your corner. In communities across America, your neighbors, your lifelines, right beside you holding your hand and helping find answers. That's what putting patients first actually means. Learn more at strengthinhealthcare.org. Brought to you by the Coalition to Strength in America's Health Care. Hey, I'm Josh Speagle, host of the podcast, Lunatic in the Newsroom. If you enjoy journalism that drifts into mild panic, wild overthinking, and a guaranteed nervous breakdown, Lunatic in the newsroom is for you. It's news like you've never heard before. The only newsroom with a panic button. You'll laugh, you'll cry, and gasp and horror as the show spirals completely out of control. It's not just news, it's emotionally unstable. Lunatic in the newsroom. Listen today. The NFL Draft presented by Bud Light is coming to Pittsburgh, and it's your chance to witness the future of the game for free. From April 23 to April 25, feel the energy of the NFL Draft. See the Vince Lombardi Trophy and Super Bowl rings. Meet NFL players and legends.

18:30Enjoy interactive games and live music performances. And be there as the future of the NFL takes center stage. The NFL Draft starts April 23. Register for free entry at NFL.com slash Draft Access today. 800-222-5222 is cell phone number 1-800-222-5222. If you'd like to email the show, you can do so at Johnny. Don't like show at gmail.com. That's Johnny. Don't like show at gmail.com and Randy, you're monitoring the mail back. Chuck writes in at Johnny. Don't like show at gmail.com. Katie Porter says she pushes grocery carts, fills up her minivan, pays her bills, conveniently forgets dimension in her housing, in which other people pay for. She cannot relate to what it's really costing people to live in California. And she has no business mentioning anything about housing until she pays for her own. She simply cannot be allowed to get away with living off the taxpayer and running for office, making policy for honest, hardworking people in California. And if you're at Fresno this weekend, you can listen to us on the radio.

19:34It's the fixed California Replay Saturdays at noon on KMJ 580 on the AM dial 105.9 FM. We figured 15 hours a week of this crap is not enough. So we're giving you a 16th hour. That is a repackaged version of the other 15 hours. The fixed California Replay Saturdays at noon on KMJ. Let's go to Clark and Boydapark. Clark, hello. I think you want Kirk Boydapark. That's me. Let's try that right. Kirk and Boydapark. Yeah, I just need some clarification. That guy whose name makes me gag whatever I say if it's running for governor. We spend in all this in here, all the money. Can he can't leave it to his kids, his inheritance? This says he's going to break up the electrical companies. Is it there some kind of regulatory prevention that or a legal thing where he can't? Well, I heard it once.

20:35I would imagine that if he gets elected governor, he's going to try to change the law to find a mechanism so that he can do that. It's hard to do it as a private citizen, but if you become the governor and the legislature signs on to your agenda, and you appoint people to the California Public Utilities Commission and things of that nature, you'll eventually be able to get what you want. Yeah, but you then you'd have to get rid of all newscombs friends. I mean, from the ad, it's not like you've done deal already. Of course, that's politics. You know, San Francisco's been trying to get out of PG&E for 100 years. I feel like Tom Steyer's got an uphill battle there. Yeah, that's what I mean. Is he's making, oh, let G, a politician making an empty promise? No kidding. And don't forget, yeah, Gavin ran on socializing medicine, how that workout. 800 222 5222 is telephone number 1 800 222 5222.

21:41Well, we just heard from Katie Porter. Now it's time to hear from another candidate for governor, Mr. Peanut. Oh, peanut. Let's hear what Antonio Vera Gosa had to say to ABC 10 about his campaign for governor. And this student Californians will head to the polls to help decide who could become the state's next governor while the final decision comes in. By the way, I'm going to tell you all right now. I know it's close to happy hour. But don't you start playing the proven problem solver drinking game? Oh, yeah, then you're definitely going to have an intervention. Now nine leading Democratic hopefuls and several Republicans are in this race. They'll be get to know them and what they say they would bring to the job. I sat down with the candidates at this past weekend's Democratic Convention. And I will also do the same with the Republican Party to keep things fair. I drew the names at random for these interviews. Meet Antonio Vera Gosa. For people that are meeting you for the first time, why would you say that you're

22:43deciding to run for California governor? I'm a proven problem solver right out of the gate. Oh, Tony, I'm a proven problem solver. You know, I've said that this state has given me more than I could have ever imagined. My grandpa came with a shirt on his back from León, Juan, El Hato, Mexico with a dream. I tell folks, there's our first Tony V gasp. Get ready for more of those too. I tell folks, never in my lifetime that ever think I'd be speaker of the California State Assembly or Mayor of Los Angeles. And both of those were a very, very, very, very, very long time ago. I think when Antonio Vera Gosa was speaker of the assembly, I wasn't even in high school yet. Well, it just goes to show you that the political bosses tell you to wait your turn. It's not your turn yet. Just wait a little bit.

23:43Let the cookie bake in the oven some more. And Antonio Vera Gosa did that. And now he just seems like yesterday's news. When Obama was in the Senate, he ran for president before he completed his first term. And I think a lot of people including Hillary Clinton and the Democratic Party thought he was trying to cut the line. But in order to win elections, I think you kind of do have to just push your way through. Because if you wait until when you're supposed to run, then you just seem like, I don't know, you're not with the times. But the one he's a throwback candidate. But the one thing I know, we also face big challenges. Challenge number one is affordability. Challenge number two, right with number one, is the threat to our democracy posed by Donald Trump. Here we go. So he's trying to separate himself from the pack by being the more moderate,

24:45centrist, dependable one. And the gravitational pull in that party is so strong right now. Even he who's expressly trying to run against that has to do it. We need to prove him problem solver. Two, I warned you. Don't drink when he says that. It's not going to be good for your health. Everybody's going to talk well, including in these interviews, but I'm somebody that's actually done it. And that's what I'm running on. And that was so long ago that LA is worse than it was than when you took over in the mid-2000s. You know what's funny? He was, I think, speaker in what, 94? It was, let's see, let's type out of the old Google box. When was Antonio Vieragosa speaker of the assembly? I have put in so many typing errors. I'm going to be surprised if it does in 1994.

25:47Look at you. Okay, I was in junior high. Well, that's when he got elected to the assembly in 94. He was the speaker from 98 to 2000. Okay, so I was in college at that point. Now, if you were to be elected, what would be your top three priorities, your first year in office? Well, priority number one is to make sure that we're living within our means. The next governor is going to face an 18 to $30 billion deficit, according to the legislative analyst. The idea that we just could cut our way out of that is just a pipe dream. What are you talking about? You can't cut $30 billion out of a $350 billion budget when that budget, when Gavin first took over, was $200 billion. Believe you be, you could cut $30 billion. What planet is he living on? Where he thinks there's not $30 billion of waste in California.

26:48Billion dollar deficit, according to the legislative analyst. Two years in a row, after COVID, Gavin said we had $100 billion surpluses, and nobody knows where any of that money actually went. And no one seems interested in finding out, too. Billion dollar deficit, according to the legislative analyst. The idea that we just could cut our way out of that is just a pipe dream. Now, we need a grown-up who will make the tough calls, but we also got to grow our economy. We got to address the fact that this is the toughest state to do business in the United States of America, and small business is suffocating in this state. So we got to grow our economy, and we've got to address the big challenges. The challenge of home. We're not going to do anything about spending. Okay, what he just said right there is him showing his hand. If he gets elected, he's raising your taxes.

27:48Yep. We've got to address the big challenges, the challenge of homelessness, the challenge of safety. Good schools, we need a government that's going to focus on the basics. Get, you know, common sense, competence, and of course, correction. Well, we- Well, he's doing a little iteration at least. What's crazy to me is right now the Democratic Party hates Trump, and they're highly partisan. He's trying to run, I guess, thinking that he can win Republican votes or independent votes as a moderate Democrat, yet if he gets elected, he's going to be just as nuts as all the others. Well, he has the worst of both worlds. If he gets elected, he's going to be a disaster. And as a candidate, he's not presenting himself in a way that makes him the most appealing to Democratic voters. What would you do differently to approach homelessness? I built more affordable workforce and market rate housing than the 12 years before me.

28:48So we need a builder, but let's speak on what happened to homelessness and LA after you left. It exploded. It's been so long since Antonio Viragosa was mayor of Los Angeles. It's really hard to run on his record, even though his record is better than the mayor's we've had after him, because there's nothing he can point to in LA that looks good right now. Okay, but being better than Garcetti and Bass is like being the tallest building in Omaha. I've received things on both ends. Oh, we know. But let's be clear. We can't keep on throwing money at the problem. We have to understand that we need to invest in what works and stop doing what doesn't. I've said, I don't believe in criminalizing homelessness. Pass. I'm telling you, I think we pegged him exactly right. I do believe in compassion, but I don't believe in chaos.

29:48And when you're selling drugs in front of cops, that's chaos. So we need an approach that focuses on providing a network of investment in services and housing. But the average house for homeless right now costs $850,000. Reporters can't pay that. Their children can't pay that. So what I've said is tiny homes are being built in LA for 100,000. And usually they get set on fire. They have some along the 10 freeway out and banning or boom on. They are always on fire. Dollars, we've got to be smart about how we expend these resources. And that's just no money at the problem. Let's talk about criminal justice reform. Do you think California has gone too far not far enough or has struck the right balance when it comes to criminal justice reform? I led the fight against three strikes here out when I was in the lead slager. Here we go. Okay, that I believe.

30:49I'm against the death penalty, but I tell people I believe in accountability. So you're just like Gavin in that regard. A word that has been ripped of all of its meaning. Accountability, accountability, accountability. When you keep on stealing and you're on drugs and you get arrested and you refuse drug treatment, the first time, the second time, the third time you're going to jail. That's why I supported Prop 36. When you explain it like that, Prop 36 doesn't go nearly far enough. No, that's why we don't have right aid anymore. The third time you're going to jail. That's why I supported Prop 36. We can't be ideologues with these things. The next governor's number one priority has to be public safety. That means fire and police. We've got to focus on protecting the public and I will. Because I have a record on it. Again, really hard to point at that record because the city that he was the mayor of doesn't look

31:52anything like the city that it is now. And again, that's not saying much. And we are going to keep these candidate profiles going right here onto the point, giving you a closer look at the top Democrats in the race. On Monday, we will sit down with Betty Yee. Oh boy, it's Betty Yee, by the way, in this convention where these interviews took place, she somehow comes out as the second place vote getter. I told you, when they had that first debate, she came across as being the most competent one. Katie Porter didn't show up. Eric Swalwell didn't show up. Chad Bianco didn't show up. I don't think that Mayhan was in the race at that point. And she was there and because she's a state official, she knows state subjects. I think she's just as nutty as the others. But she certainly knows the subject matter better. Well, stay tuned. We'll have Betty Yee's interview later on in the week. Hi, this is Alex Cantrowitz. I'm the host of Big Technology podcast, a long-time reporter and an on-air contributor to CMBC.

32:57And if you're like me, you're trying to figure out how artificial intelligence is changing the business world and our lives. So each week on Big Technology, I bring on key actors from companies building AI tech and outsiders trying to influence it. Asking where this is all going. They come from places like Nvidia, Microsoft, Amazon and plenty more. So if you want to be smart with your wallet, your career choices, and meetings with your colleagues and at dinner parties, listen to Big Technology podcast wherever you get your podcasts. 800-222-5222 is telephone number 1-800-222-5222. Here with an update on the FBI raid of superintendent of LA-USD, Alberto Carvalo's home in office, Mr. Randy Wang. Alberto Carvalo has been placed on paid administrative leave, which means for the foreseeable future, which could be a really long time considering how long these investigations take, Alberto Carvalo will be getting paid $440,000 to sit at home.

34:02Babs is laughing because she makes more than him. How many teachers do we have in the rubber room at LA-USD? More than you want to know. For more on the latest with Alberto Carvalo, here's Fox 11 and Ed Lascos. Enough already. Ed Raid, shockwaves at LA-USD, the FBI investigates superintendent Alberto Carvalo. Now after secret closed door talks, the school board sidelines Carvalo placing him on administrative leave. Fox 11 and Ed Lascos live in downtown LA with more Ed. And Christine the Board of Education- You notice how they're not standing behind him whatsoever? No, because clearly they know more information than the general public. Go back to that report that we did last week, where there was a parent who was clearly involved in what's going on with the district, who knew that this contract was in question and seemed to know the details of the contract and said that red flags were all over the place

35:07for some time. And Christine, the Board of Education taking this unprecedented action after a unanimous seven-nothing vote after two straight days of closed door meeting, some eight hours behind closed doors finally deciding what action to take involving their imbattled superintendent. Watch. We need to change the way education is funded in a state of California. The chief of LA schools, Alberto Carvalo, is now a suspended superintendent. Just like the students. It doesn't matter if he's covering a scandal like this or a crime story. Ed Lascos' cadence just makes me happy. I'm so happy they assigned him to this story. Board of Education today unanimously voted to place Superintendent Alberto Carvalo on paid administrative leave, pending investigation. The Board of Education with its bombshell announcement. Carvalo now on paid administrative leave, on leave with pay effective immediately. I know that this is a very challenging time.

36:07Because of course, why, you know, with L-A-U-S-D's budget deficit, we can totally afford to pay him not to work. And I'm sure the guy who's going to interim fill in that job is going to get a bump. Oh, I'm sure. And believe me when I say this, odds are he's not coming back. I know the fact that they went this far, they know what's happening here. I know that this is a very challenging time. And I want you to know that the Board believes in you, supports you. The Board of Education now on damage control sending out that message to its teachers as L-A-U-S-D. Possibly, you can have whatever you want, baby. We got our own problems. Can you imagine how we're going to be taken to the cleaners now? That is fantastic. As L-A-U-S-D is reeling after a series of dramatic FBI raids at Gavallo's home in San Pedro, his district office, and another home in Miami. So it's concerning. And it's sad that it had to come to this. Yeah, it's sad. Because we thought, I mean, I don't know what's wrong, you know,

37:10if he's a good person or involved in something that we don't know. It makes you think like, what was you doing? What was you doing for him to be a spend itself? You don't get suspended for nothing. No, you don't. If there's nothing to see here and this is a witch hunt, you'd leave him in his position. And apparently, Fido was on the attack when that woman was being interviewed. It makes you think like, what was you doing? What was you doing for him to be a spend itself? So yeah, that's something where you have to really just wait and see what's going on with that. We, because that is very shocking. The federal raids all thought to be connected to this chatbot. Hi, I'm learning every day just like you. Gavallo strongly supported that AI program with a district paying out $3 million, but it was never implemented in the schools. This is how business as usual has worked for LAUSD for the longest time going all the way back to the iPad scandal, going back to the payroll scandal. The FBI is just onto this nonsense now.

38:10Well, when you think about school districts and you think about the people who work there, especially the people who work in accounting, if you're buying pencils, then let's say you're in cahoots with the pencil manufacturer, they know what pencils cost, and they know if the district is being fleeced, so that they can flag. But no one over the age of 40 knows anything about AI. So if you say to them, oh yeah, we're buying an AI product and this is what it costs, no one in that district is going to know what you're talking about. So it's easier to sneak it through if you're doing something you shouldn't be doing, because no one can verify it, because no one knows what the going rate for an AI chatbot is. But because this company was a scam to begin with, there was no AI chatbot. It was never delivered and that company went belly up. That's a problem. The federal raids all thought to be connected to this chatbot.

39:10Hi, I'm learning every day just like you. Gavallo strongly supported that AI program with a district paying out $3 million, but it was never implemented in the schools. That would be the least thing that we would have thought of, but although it has happened, it is unfortunate, but we have to move on. And they are moving on, naming district administrator Andres Chate as acting superintendent. Moving forward, employees, you'll be taking direction from him. And now live him Andre Chase is certainly no stranger to LA-USD's been with the district, what some 27 years serving as its chief of operations and safety now serving as its, it's, and you know, LA-USD has always operated very well and very safely. Well, that's what they're known for. Serving as it's, it's acting superintendent and that is indefinite. It's all based the timetable on that federal investigation and what happens with the feds and Alberto Cavallo for an hour live downtown back to the west side we go.

40:13It's very possible that they could be, unless they make another move, they could be paying him his full salary for over a year before the FBI lays down any possible indictments. Well, when Mark Ridley-Thomas got in trouble, how long did we pay him when he was being charged with the crime and wasn't showing up? Well, see, that was the situation and this is where the city of LA shoots itself in the foot. They said we're cutting Mark Ridley-Thomas's pay because we need to put her western in that chair and then her western really couldn't serve because he was already termed out. Then they put Heather Hutton that chair. All at the same time, Mark Ridley-Thomas sued for his back pay and won because that's the city of LA for you. That's how we do business here. And that's why we're such a thriving metropolis. Hi, this is Alex Cantrowitz. I'm the host of Big Technology podcast, a long-time reporter and an on-air contributor to CNBC. And if you're like me, you're trying to figure out how artificial

41:14intelligence is changing the business world and our lives. So each week on Big Technology, I bring on key actors from companies building AI tech and outsiders trying to influence it. Asking where this is all going. They come from places like Nvidia, Microsoft, Amazon, and plenty more. So if you want to be smart with your wallet, your career choices, and meetings with your colleagues and at dinner parties, listen to Big Technology podcast wherever you get your podcasts.