The history of politics is filled with scandals where a donor greases the hand of a politician with the expectation of a future benefit. Big money donors expect that when the time comes, they will be able to call in a favor.
Deals like this can be hard to spot and harder to prove with the amount of money that flows into political campaigns from all directions. What is delicious is when journalists actually do their job and expose sweetheart deals that help some donors call in a favor they don’t deserve.
The bitter taste of a sweetheart deal gone sour hit California Democrat Gov. Gavin Newsom this week. His scandalous play to help a donor now faces a possible investigation from federal law enforcement.
From The Daily Wire:
Bloomberg News reported that billionaire Greg Flynn was getting a “new boost” after his chain of Panera Bread locations were exempted from a new law that forces fast food restaurants to increase their minimum wage from $16 to $20 per hour. Flynn is the largest “restaurant franchisee in the US, if not the world,” the report added.Panera Bread was spared from the law because it offered “unusual exemption for chains that bake bread and sell it as a standalone item.” The report states that Newsom “pushed for that break.”
California Assembly Republican Leader James Gallagher called out the deal on X.
“Can any franchisee get an exemption from the $20 minimum wage law, or do they need to donate more than $150k to Newsom first?” Gallagher asked. “This crooked deal needs to be investigated.”
This isn’t an average case of a donor coming out of nowhere to help a campaign and garner a favor. News reports showed numerous connections between Newsom and Flynn. They went to the same high school, Flynn donated significant amounts of money to Newsom’s political campaigns, Flynn appears to have bragged about his ready access to Newsom, and Flynn bought a resort managed by a company that Newsom owned.
Part of Flynn’s wealth comes from his extensive ownership of thousands of restaurants that include Pizza Hut, Taco Bell, Wendy’s, Applebee’s, and Panera Bread. The only restaurants he owns in California are Panera Bread and Applebee’s. His Applebee’s locations are exempt from the law because the franchise is not considered a fast-food restaurant.
The exemptions deal stinks so much that it caught the attention of a college professor. Dan Schnur, a political science professor and government ethics expert, called out Newsom.
“It’s the governor’s obligation to explain why Panera (should benefit) from this,” Schnur said. “Absent that explanation, most voters are going to assume he did a big favor for a big donor.”
Revelations of this sweetheart deal could create backlash against Newsom and his liberal pals in the upcoming general election.
Key Takeaways:
- Gavin Newsom was hit by a scandalous report about a new law and one of his biggest donors.
- Allegations swirled that Newsom worked a deal for his pal and wealthy restaurant owner.
- Big name restaurants Applebee’s and Panera bread were exempted under minimum wage law.
Source: The Daily Wire
