In California: Audit questions how state spent coronavirus funds; monarchs nearly vanish

Greetings from Palm Springs. I’m Robert Hopwood, online producer for The Desert Sun, bringing you a daily roundup of the top news from across California.

In California brings you top Golden State stories and commentary from across the Paste BN Network and beyond. Get it free, straight to your inbox.

Audit says state didn't help smaller counties enough with COVID-19

California should have spent more money helping its smaller counties battle the coronavirus, state Auditor Elaine Howle said Tuesday. And while Gov. Gavin Newsom's administration pledged to withhold some funds from cities that didn't follow public health orders, Howle said the state did not consistently monitor that issue.

The dual findings were part of Howle's first look at how California is spending more than $71 billion in coronavirus aid the state is slated to receive from the federal government.

The audit released Tuesday examined the $15.3 billion Congress sent California in May from the Coronavirus Relief Fund. Of that money, $5.8 billion went directly to counties and cities with populations greater than 500,000 people. State officials had to decide how to spend the other $9.5 billion.

The Newsom administration, together with the Legislature, decided to give $1.3 billion to county governments, with more than half going to the 16 biggest counties that had already gotten money from the federal government. 

The Department of Finance, the state agency in charge of distributing the money, said it gave most of it to the bigger counties because it believed their denser populations would lead to greater spread of the virus. But the audit, citing data from the Department of Public Health, says the virus spread evenly through counties despite their density — and in some cases it was much worse in smaller places.

The state's strategy, Howle said, contradicted guidance from the U.S. Treasury that urged states to "treat local governments equitably, regardless of their population size."

Newsom and the Legislature agreed to withhold money from cities that did not follow public health orders. The state withheld money from two cities — Coalinga and Atwater — because they passed resolutions defying public health orders. But Howle said the Governor's Office of Emergency Services, which was in charge of monitoring local governments, "could not demonstrate that it had evaluated all cities."

A second audit is due next week examining the billions of dollars in federal unemployment benefits that have flowed to the state during the pandemic.

Finding areas of agreement and common ground

Gov. Gavin Newsom outlined areas of agreement and places where he hopes to collaborate with the new administration Tuesday in a letter to President-elect Joe Biden. 

Newsom's letter outlines his support for initiatives Biden has already announced, including more federal resources for vaccinating people and reopening schools. Newsom also supports a proposed $1,400 relief payment for people.

His letter further requests the federal government boost California's efforts to house homeless people in hotels and motels, a new program launched during the pandemic. Biden has proposed $5 billion in aid nationally to purchase and convert hotels and motels. Newsom requested Biden support efforts to make the programs permanent and expand the use of housing vouchers. 

Elsewhere, Newsom highlighted funding for the high-speed rail project as a top priority. The state has been working to build a high-speed rail line between Los Angeles and San Francisco for more than a decade.

Newsom asked Biden to restore California's ability to set its own vehicle emissions standards. On immigration, he's urged the administration to reverse rules aimed at denying green cards to immigrants likely to access public benefits and eliminate religion-based travel bans. 

Cannabis industry group reaches banking deal

The California Cannabis Industry Association announced Tuesday that it reached an agreement with a state credit union that will provide checking, wire transfers and other banking services for more marijuana companies.

Legal marijuana sales began in California in 2018, but many banks don’t want anything to do with money from the cannabis industry for fear it could expose them to legal trouble from the federal government.

As a result, many marijuana companies in California’s multibillion-dollar market have been left to do business largely in cash, making them appealing targets for crime.

Under the partnership, the California cannabis industry group said its members will gain access to banking services through the California-based North Bay Credit Union.

Fluttering toward extinction

The number of western monarch butterflies wintering along the California coast has plummeted precipitously to a record low, putting the orange-and-black insects closer to extinction, researchers announced Tuesday.

An annual winter count by the Xerces Society recorded fewer than 2,000 butterflies, a massive decline from the tens of thousands tallied in recent years and the millions that clustered in trees from Northern California’s Marin County to San Diego County in the south in the 1980s.

The Xerces Society, a nonprofit environmental organization that focuses on the conservation of invertebrates, recorded about 29,000 butterflies in its annual survey last winter. That was not much different than the tally the winter before, when an all-time low of 27,000 monarchs was counted. But the count this year is dismal. 

In December, federal officials declared the monarch butterfly “a candidate” for threatened or endangered status but said no action would be taken for several years because of the many other species awaiting that designation.

Congressman tests positive for COVID-19

U.S. Rep. Raul Ruiz announced Tuesday that he tested positive for COVID-19. The Palm Desert Democrat said in a statement that he has mild symptoms and is self-isolating. 

Ruiz, who also is a doctor, was at the U.S. Capitol in Washington, D.C., on Jan. 6 when pro-Trump rioters breached the building. The mob temporarily halted the process of certifying the Electoral College votes, sending members of Congress into lockdown in secure locations within the complex, where officials say they may have been exposed to the virus. 

Reps. Pramila Jayapal (D-Wash.), Bonnie Watson Coleman, (D-N.J.), and Brad Schneider (D-Ill.), also have tested positive for the coronavirus in the days after the Capitol attack.

Ruiz's staff said Tuesday afternoon that they didn't know whether his positive test was related to the events on Capitol Hill last week. 

California doctor arrested in connection with U.S. Capitol riot

Simone Gold, a Beverly Hills doctor who has criticized the coronavirus vaccine, was arrested Monday in connection with her alleged role storming the U.S. Capitol earlier this month, authorities said.

Gold, 55, is facing charges of entering a restricted building or grounds, violent entry and disorderly conduct, records show. She was expected to appear in court in Los Angeles on Tuesday.

Gold, an outspoken advocate for the use of hydroxychloroquine to treat the coronavirus, told The Washington Post she had gone to the Capitol and is the person depicted in police bulletins carrying a bullhorn on the Capitol grounds. 

She claimed she did not witness any violence during the Capitol's siege, in an attack where dozens were hurt and five people died, including a Capitol police officer.  

Investigators received tips about Gold's presence at the Capitol on Jan. 6, including photographs and videos, according to court filings. A CNN video shows a woman who appears to be Gold walking through the Capitol's National Statuary Hall, while another recording shows her giving a speech to a small group of people, court documents allege.

That's all for this Tuesday. We'll be back in your inbox tomorrow with more headlines from the Golden State.

In California is a roundup of news from across USA Today network newsrooms. Also contributing: The Associated Press.