Daily Business Report: Wednesday, May 25, 2022
Money Wars: Special interests
spend big in California primary
By Ben Christopher | CalMatters
If you haven’t noticed, your mail carrier certainly has: Election season has arrived in California and with it, the regular flood of political ads from unions, corporations and other special interest groups hoping to influence your vote.
Though contributions made directly to political candidates are capped by state law, no such limits apply to “independent expenditure” committees — so long as those outside influences are, in fact, independent and don’t coordinate with the campaigns they’re trying to help.
With early voting already underway and just two weeks to go before the June 7 primary, millions of dollars of help is now inundating California, showing up in races up and down the ballot. Perhaps you’ve driven past a curious bobble-headed billboard, had your mailbox stuffed with mailers sponsored by innocuous-sounding neighborhood groups or been puzzled by campaign ads that seem to be promoting the wrong candidate.
That’s all the handwork of what California election watchers refer to simply as “I.E.”
Though independent political spending is still dwarfed in California by old-fashioned direct contributions to candidates, it can play an outsized role in competitive elections, said Ann Ravel, who has served as the top campaign finance watchdog for both the state of California and the federal government. As an unsuccessful Democratic candidate for state Senate in one of 2020’s most fiercely competitive legislative races, she knows from first-hand experience.
Top illustration by Miguel Gutierrez Jr., CalMatters; iStock
Kratos Defense acquires Southern Research
Engineering Division for $80 million
San Diego-based Kratos Defense & Security Solutions Inc.has acquired the Birmingham, Ala.-based Engineering Division of Southern Research for approximately $80 million, subject to reduction based on working capital, including $75 million in cash and $5 millionin shares of Kratos common stock.
Southern Research’s Engineering Division is the market leader in assisting customers in the development, modeling and deployment of advanced materials for extreme environments, including hypersonic, space, missile, missile defense, strategic deterrence, propulsion systems, and energy applications.
Approximately 25 percent of the SRE purchase price was paid for the one-of-a-kind, unique 54-acre campus, with 102,000 square feet of laboratory, material assessment, technology, prototype development, secure, and other facilities, and the machinery and equipment needed to perform the core, sole source test and valuation analysis and extreme environment characterization of materials for hypersonic, missile efense, strategic deterrent, space-related and other systems.
Governor signs legislation to modernize
California’s medical malpractice system
Governor Gavin Newsom has signed AB 35, legislation to modernize the system for awarding damages in medical malpractice cases in California. The legislation, put forth by Assembly Majority Leader Eloise Gómez Reyes and State Sen. Tom Umberg, was supported by consumer groups, trial attorneys, health care insurers, and health care providers – marking the end to one of the longest running political battles in California politics.
The measure is co-sponsored by the Consumer Attorneys of California and Californians Allied for Patient Protection. It makes two significant changes to the Medical Injury Compensation Reform Act (MICRA) by restructuring MICRA’s limit on attorney fees and raising MICRA’s cap on noneconomic damages.
“After decades of negotiations, legislators, patient groups, and medical professionals have reached a consensus that protects patients and the stability of our health care system,” said Governor Newsom.
SDCC cancels investiture of chancellor
due to uproar over Alice Walker speech
The San Diego Community College District on Monday canceled its upcoming investiture ceremony for Chancellor Carlos Cortez due to a controversy over the controversial positions of keynote speaker Alice Walker, author of the Pulitzer Prize winning book, “The Color Purple.”
The investiture, a public celebration of a new chancellor taking office, was scheduled to take place at Petco Park on May 31. The district said that about 1,000 people had made reservations to attend the ceremony.
“Over the past few weeks, concerns have been expressed about the political beliefs and writings of the investiture keynote speaker, Alice Walker,” Cortez said in a statement. “At the same time, others have expressed their support of Ms. Walker. As a district that celebrates inclusion, we believe the best way forward would be to cancel the event altogether.
Southwestern College Food Services
to accept SNAP/EBT payments from students
Southwestern College will soon accept Supplemental Nutrition Assistance Program (SNAP) and EBT payments at its on-campus food services, Time Out Café and Tradewinds. Southwestern College will be the only college in the region to accept SNAP/EBT payments, formerly known as food stamps, for its district-run food services.
The program will be rolled out over the summer with a full implementation by the beginning of the fall 2022 semester. Students will be able to purchase food products using their SNAP/EBT benefits at the Time Out Cafe and Tradewinds and future district food services, like the cafeteria when it reopens.
The process to accept SNAP/EBT payments was a two-year journey, led by Governing Board Member Leticia Cazares and Dr. Kelly Hall, assistant superintendent/vice president of business and financial affairs.
“We have an obligation to do what we can to make sure all of our students have an affordable and nutritious meal when they come here to take classes,” Hall said. “It was an equity issue and I felt like we really need to make this work to help support our students.”
Hall said student data showed that students were staying on campus an average of five to six hours a day.
The SNAP/EBT system will be integrated into the college’s payment system, meaning that students will pay using their SNAP/EBT card in the exact same way as a debit and or credit card.
Cuyamaca College staffer to receive state
Classified Employee of the Year Award
Katy Cabral, a Cuyamaca College research and planning analyst and president of the campus’ Classified Senate will be honored Monday by the California Community Colleges Board of Governors in Sacramento with this year’s statewide Classified Employee of the Year award. Cabral is one of just seven classified, or non-instructional, staff members throughout California to be recognized for demonstrating the highest level of commitment to the mission of the state’s community colleges.
“Since she began her work in research and planning with the Grossmont-Cuyamaca Community College District in 2016, Katie has stood out as an exceptionally talented and dedicated classified professional,” said Chancellor Lynn Neault. “It was only after working for one year for our district that she received our local equivalent award for classified professionals. I am thrilled to see her now receive statewide recognition for her trademark commitment and excellence.”
Cabral’s connection with the college district started in 2014, when she began working as a part-time psychology instructor at Cuyamaca and Grossmont colleges. She put her teaching position at the East County campuses and other area community colleges on hold after she was hired two years later as an analyst for the district’s Research, Planning and Institutional Effectiveness office.
Mission Pacific Hotel unveils restored
bungalow named after ‘Top Gun’ film
Mission Pacific Hotel in Oceanside has unveiled Top Gun House, a meticulously restored classic 1887 bungalow featured in the 1986 “Top Gun” film, which is now the home of HIGH-pie. Opening just in time for the highly anticipated sequel, “Top Gun: Maverick,” Top Gun House evokes the enduring nostalgia of the beloved film franchise and HIGH-pie serves up signature hand pies. The opening marks the completion of the final phase of Mission Pacific Hotel and sister property The Seabird Resort. Together, the two resorts comprise San Diego County’s largest oceanfront development in more than 50 years.
The new Top Gun House is a Queen Anne Cottage, which was widely known as The Graves House. After falling into disrepair, the house was painstakingly rehabilitated to historic standards by ownership group S.D. Malkin Properties, Inc., under the guidance of the Oceanside Historical Society and Save Our Heritage Organization.
County wins 61 National Achievement
Awards for outstanding programs
The County of San Diego garnered 61 Achievement Awards this year including a Best in Category nod from the National Association of Counties, which recognizes innovative county government programs.
The County received the awards in 15 categories. More than a dozen are programs in response to the COVID-19 pandemic to support the region’s workforce, employers, renters, and public health providers, systems and scientists. Other programs streamlined County processes to benefit users, supported youth and families, protected the environment including agriculture, addressed housing insecurity and emergency preparedness.
Todd Czerwinski named vice president
of business development for Micronoma
Micronoma, a cancer detection biotech company offering a platform to diagnose cancer at an early stage with liquid biopsy technology, announced that Todd Czerwinski has joined its executive team as vice president of business development.
Reporting to the CEO, Czerwinski will contribute to Micronoma’s ongoing activities with strategic partners.
In addition, his focus will include setting up and managing the company’s newly created sales department.
He will be instrumental in defining, developing, and leading a sales team to drive adoption of Micronoma’s innovative products by hospitals, specialty groups, and oncology centers..
Czerwinski brings nearly three decades of sales development experience to Micronoma, including as senior director of sales at DNA Genotek, where he was responsible for more than $35 million in revenues in the microbiome, human genomics, and animal health sectors around the world.
Dental technology company names
San Diego’s Crowe PR as agency of record
Dental technology company Sonendo Inc. has named Crowe PR, a national public relations and marketing agency based in San Diego, as its agency of record. Crowe PR’s integrated health care and technology teams will handle strategic communications, messaging refinement, media relations and thought leadership on behalf of Sonendo, raising awareness for the brand, its GentleWave System and executive team.
Founded in 2006, Sonendo developed the GentleWave System to offer a less invasive and less painful alternative to conventional root canal therapy. Led by CEO Bjarne Bergheim, the company went public in October 2021 and has been expanding ever since, recently hitting a new milestone of 800,000 GentleWave patient procedures.
“We are thrilled to welcome Sonendo, a true innovator in the dental technology space, to Crowe,” said Crowe PR CEO Anna Crowe.
Eurofins Discovery announces formation
of its new scientific advisory board
San Diego-based Eurofins Discovery, a brand with over 35 years of success providing a complete solution of products and services for drug discovery, announced the formation of its new Scientific Advisory Board (SAB). Company officials gathered renowned leaders from the pharmaceutical and biotechnology industries to gain strategic insights to address the unmet needs in drug discovery.
Founding SAB members represent the breadth of drug discovery expertise from renowned institutions around the globe. Eurofins Discovery welcomes:
• Iris Alroy, chief scientific officer, Amina Biotech
• Paul Brennan, chief scientific officer of Alzheimer’s Research UK Oxford Drug Discovery Institute at University of Oxford, and professor of medicinal chemistry
• John Griffin, an entrepreneur and adviser to science-driven organizations
• Paige Mahaney, senior vice president and corporate head of Discovery Research at Exelixi
• Kevin Otipoby, senior vice president of immunology at Seismic Therapeutics
Hyperspace Lighting Company launches
Kickstarter campaign for The HyperCube Nano
The Hyperspace Lighting Company, a San Diego firm, has just launched the Kickstarter campaign for their newest product, The HyperCubeNano. The campaign was successfully funded — reaching its $100,000 goal in under 24 hours — and is live until June 10, offering early bird pricing for early backers. Their new model of sound reactive LED infinity cube has been streamlined for maximum portability and affordability.
The HyperCube Nano features 95 patterns and three modes: Kaleidoscopic, Meditative, and Sound Reactive. The advanced sound reactivity has been custom coded to convert the low, mid, and high tones to luminous patterns within, visualizing your music with light. The cube is USB-C powered and scratch resistant — power it with laptop or battery pack, making it easily portable. Multiple HyperCubes can be synced, creating art installations and coordinated mood lighting arrays, and they can be completely customized using the HyperSpace App. All HyperCubes come with a 1 year warranty.
Halozyme completes acquisition of Antares Pharma
San Diego-based Halozyme Therapeutics Inc. announced the successful completion of its acquisition of Antares Pharma Inc. The tender offer for all of the outstanding shares of Antares common stock expired as scheduled at one minute after 11:59 p.m., Eastern Time, on Monday, May 23, 2022. The minimum tender condition and all of the other conditions to the offer have been satisfied and on May 24, 2022, Halozyme accepted for payment and will promptly pay for all shares validly tendered and not validly withdrawn.
Following its acceptance of the tendered shares, Halozyme completed its acquisition of Antares through the merger of a wholly owned subsidiary of Halozyme with and into Antares, pursuant to Section 251(h) of the General Corporation Law of the State of Delaware, with Antares continuing as the surviving corporation and becoming a wholly owned subsidiary of Halozyme.
Cabrillo National Monument open
until sunset during summer weekends
Cabrillo National Monument will be open until sunset on Fridays, Saturdays, and Sundays starting Friday, May 27 for Memorial Day weekend through Sunday, Sept. 4 of Labor Day weekend. The tidepool area will be open until 30 minutes before sunset. Normal operating hours are 9 a.m. to 5 p.m., with the tidepools closing at 4:30 p.m. These exclusive extended hours on weekends will provide increased access for visitors to enjoy spectacular views of the Pacific Ocean and San Diego during sunset.
Park facilities are open, including trails, restrooms, exhibits, visitor center, park store, and the Old Point Loma Lighthouse. The theater is temporarily closed.
