What the departure could mean for local businesses
By Nereida Moreno and Lucy Jaffee
Published July 24, 2024 11:00 AM
SpaceX headquarters in Hawthorne.
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Patrick T. Fallon
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AFP via Getty Images
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Topline:
Billionaire Elon Musk announced last Tuesday that he plans to move SpaceX out of Hawthorne, a move that could have big implications for small businesses that have come to rely on the thousands of people who work at the site. Musk said he'll move the site to Texas, citing a new California law on transgender kids in public schools.
Why it matters: SpaceX has been headquartered in Hawthorne since 2008. The company has grown to roughly 13,000 employees and was recently named the second most valuable startup in the world.
Why now: The Tesla founder said his decision comes after California Gov. Gavin Newsom signed a new law that bars school districts from requiring staff to notify parents of their child’s gender identification change, calling it the “final straw.” But the governor’s office says Musk was already planning to leave San Francisco and that he’s been expanding his operations in California.
The backstory: SpaceX made a deal to keep its headquarters in Hawthorne through 2022. Read more about that here.
Read on... for more on what locals and experts say about announcement.
Restaurant owner Sonia Contreras is on a first name basis with countless SpaceX employees who frequently dine at the Fabulous Grill in Hawthorne. Her business is located just a block from the company’s headquarters near Crenshaw and El Segundo Boulevard.
But Contreras said she was shocked last week to learn that billionaire Elon Musk is planning to move SpaceX headquarters to Texas. Business has been slow since the pandemic, but her relationship with its employees has helped keep the lights on in recent years. Her staff occasionally wears SpaceX shirts that were gifted to them by a loyal customer from the company.
Listen
0:43
LISTEN: Local business owner concerned over possible SpaceX move out of Hawthorne
“It’s scary because I have a lot of business with them,” she said. “If they leave, I don’t know what’s going to happen to us.”
Musk announced last Tuesday that he plans to move SpaceX from Hawthorne to the company’s rocket launch site called Starbase in Texas, a move that could have big implications for small businesses that have come to rely on the thousands of people who work at the site.
How we got here
The Tesla founder said his decision to move comes after California Gov. Gavin Newsom signed a new law that bars school districts from requiring staff to notify parents of their child’s gender identification change, calling it the “final straw.”
But the governor’s office says Musk was already planning to leave San Francisco before Newsom announced he was signing the law. His company, Tesla, recently expanded in California, moving its research and development back to the state andopening a second HQ in Palo Alto.
Newsom responded to Musk’s plans to leave the state with a post on X, saying “You bent the knee,” along with a screenshot of a social media post from former President Donald Trump that includes a photo of the two posing together in the Oval Office.
Sonia Contreras, owner of Fabulous Grill in Hawthorne, said customers from SpaceX come in to eat almost every day.
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Courtesy Sonia Contreras
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How Hawthorne became home
Musk started SpaceX in 2002, which has since grown to roughly 13,000 employees. It relocated from several offices in El Segundo and Los Angeles to one giant warehouse near Hawthorne Municipal Airport in 2008, according to the Daily Breeze.
Hawthorne Mayor Alex Vargas highlights the city’s relationship with SpaceX in his official bio, saying “businesses are constantly looking to relocate to Hawthorne, with SpaceX and the Hawthorne Airport corridor as the key point of synergy.”
When reached by phone, a representative of the mayor’s office said the city had no immediate comment on Musk’s decision.
In 2017, SpaceX made a deal to stay in Hawthorne through 2022 as long as the city reduced certain taxes on the business. The agreement included a $260,000 cap on annual business license fees. That allowed the company to maintain a flat tax rate as it grew larger.
According to the DailyBreeze, the Hawthorne deal also included a “corporate citizenship” clause that allowed the city to use the SpaceX logo for its own branding, and encouraged the company to engage with schools and community events.
As of June, SpaceX was valued at $210 billion, making it the world's second most valuable startup. The news broke one day after the company secured a nearly $1 billion NASA contract to decommission and de-orbit the International Space Station in 2030.
What to expect
SpaceX's footprint in Hawthorne and Southern California is huge, experts said, so moving to Texas will be complicated and not overnight.
“You don’t just shutter and walk away from a major aerospace facility without thinking super seriously," said Peter Westwick, who teaches history at University of Southern California.
He described the region as the “global epicenter of aviation and aerospace for the last hundred years.” Now, supply shops for equipment are readily available for companies like SpaceX, and employees have become accustomed to certain lifestyles in Southern California that they may not want to leave.
That's what people like Jasmine Chang, a manager at Vicky’s Donuts in Hawthorne, is hoping for. She described SpaceX employees as “regulars,” who can be easily identified by the company T-shirts they wear to work. The donut shop is located about a mile away from its headquarters.
“If they’re (SpaceX) here, it’s a lot better for us," Chang said.
Cato Hernández
covers important issues that affect the everyday lives of Southern Californians.
Published June 25, 2026 5:25 PM
Paramedics take a patient to a hospital on April 12, 2020 in downtown Los Angeles, California.
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Apu Gomes
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AFP via Getty Images
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Topline:
Over 261,000 Californians will have medical debt erased, according to nonprofit Undue Medical Debt. That totals more than $550 million in medical bills, thanks to a gift from Snap Inc. CEO Evan Spiegel and Miranda Kerr.
How does this work? Undue has paid off debts in California on a local level for a while now, but this is the first time it’s doing an erasure here statewide, according to vice president Daniel Lempert. You can’t apply for this relief. Instead, the nonprofit buys and pays off the debts for pennies on the dollar from participating groups and hospitals. Undue doesn’t disclose who those are unless the organization wants it known — and in this case, that is staying private.
Who’s benefiting? To qualify, you must either be at or below 400% of the federal poverty level (that caps out at $132,000 for a family of four), or have medical debt that is 5% or more of your annual income. About half of the relief is going to people in Southern California:
San Diego County: $99 million (40,369 people)
Riverside County: $69.5 million (35,486 people)
San Bernardino County: $56.5 million (32,034 people)
Los Angeles County: $26.8 million (17,466 people)
How will I know if I’m selected? If your debt is picked, you’ll get a letter in the mail from Undue Medical Debt. Those will start arriving in mid-July.
Evan Spiegel is a financial supporter of LAist. Like other funders, he has no influence on our coverage.
Jill Replogle
covers public corruption, debates over our voting system, culture war battles — and more.
Published June 25, 2026 4:49 PM
An aerial view of Huntington Beach, which could see its traditional way of voting upended.
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trekandshoot/Getty Images
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iStockphoto
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Topline:
The traditional way of voting in Huntington Beach could be upended after a judge’s ruling this week in a case accusing the city of diluting the electoral power of its Latino residents.
What happened? The judge has ordered Surf City to adopt ranked-choice voting for the November general election. Ranked-choice voting is where voters rank all candidates in order of preference, so if your first choice is eliminated, your vote transfers to your second choice candidate, and so on. It’s also the type of voting that helped Zohran Mamdani seize victory in the New York City mayoral race.
Why it matters: The ruling comes in a legal challenge to the city’s at-large elections, arguing that Latino voters are unfairly disadvantaged and unable to elect a candidate of their choice. Orange County Superior Court Judge Craig Griffin agreed with the plaintiffs’ argument that “racially polarized voting has regularly occurred in Huntington Beach elections.”
Read on ... for more about the decision that could forever change voting in Huntington Beach.
The traditional way of voting in Huntington Beach could be upended after a judge’s ruling this week in a case accusing the city of diluting the electoral power of its Latino residents.
What happened?
The judge ordered Surf City to adopt ranked-choice voting for the November general election. Ranked-choice voting is where voters rank all candidates in order of preference, so if your first choice is eliminated, your vote transfers to your second-choice candidate.
It’s also the type of voting that helped Zohran Mamdani seize victory in the New York City mayoral race.
Why it matters
The ruling comes in a legal challenge to the city’s at-large elections, arguing Latino voters are unfairly disadvantaged and unable to elect a candidate of their choice. Orange County Superior Court Judge Craig Griffin agreed with the plaintiffs’ argument that “racially polarized voting has regularly occurred in Huntington Beach elections.”
The backstory
The case was brought to court more than two years ago by the nonprofit group Southwest Voter Registration Education Project and Victor Valladares, a Huntington Beach resident and local Democratic activist.
They argued that the city’s predominantly Latino neighborhood of Oak View had suffered decades of neglect, in part because residents there lacked the voting power to get representation in city government.
The bigger picture
Dozens of cities across Orange County and elsewhere in California have faced similar challenges to at-large elections over the past decade. Most have settled out of court by adopting district elections, whereby voters elect a candidate to represent their area, rather than citywide.
Judge Griffin wrote that ordering the city to adopt ranked-choice voting was a “less drastic remedy” to bolster Latinos’ voting power than district elections. Currently in Huntington Beach, all residents vote citywide for city council seats, and the top vote-getters win.
With district elections, only people within a particular district can vote for a particular seat, which advocates say helps ensure districts see themselves represented in their local government bodies.
Among the advantages of a ranked-choice system, advocates say, is that it gives voters more freedom to vote for their favorite candidate, even if they think that person won’t ultimately win.
What does the ruling say, exactly?
The ruling orders Huntington Beach to implement ranked-choice voting for the November 2026 general election, if the Orange County Registrar of Voters can support the quick switch. The ruling also calls for the city to elect all seven councilmembers at once, rather than staggering the elections, as it currently does per the city’s charter.
Judge Griffin had delayed his ruling earlier this year to consider the impact of the U.S. Supreme Court’s recent decision in Louisiana v. Callais, which ruled that race cannot play a role in the drawing of voting districts. Griffin ultimately determined that “nothing in Callais alters this Court’s decision” in the Huntington Beach case.
What’s next?
Both sides have two weeks to raise objections to the tentative ruling. Kevin Shenkman, the attorney representing the plaintiffs, said he would not be surprised if the city appeals. City Attorney Mike Vigliotta told LAist in an email that his office is “reviewing the decision with outside counsel that litigated the case and determining next steps.”
We reached out to the Orange County Registrar of Voters for comment, and did not hear back before publication. If and when that changes, we will update this story.
How to attend Huntington Beach City Council meetings
Huntington Beach holds City Council meetings on the first and third Tuesday of each month at 6 p.m. at City Hall, 2000 Main St.
You can also watch City Council meetings remotely on HBTV via Channel 3 or online, or via the city’s website. (You can also find videos of previous council meetings there.)
The public comment period happens toward the beginning of meetings.
The city generally posts agendas for City Council meetings on the previous Friday. You can find the agenda on the city’s calendar or sign up there to have agendas sent to your inbox.
LAist staff writer Sammy Marvin also contributed to this report.
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Kavish Harjai
writes about how people get around L.A.
Published June 25, 2026 3:51 PM
This rendering shows a concept for Metro's bus rapid transit project on Vermont Avenue.
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Courtesy L.A. Metro
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Topline:
A judge has ruled that a Metro bus project in a congested area of Los Angeles can go forward, for now, without incorporating bike lanes that street safety advocates argue are required by city law.
The project: The Vermont Transit Corridor project will add dedicated bus lanes along a more than 12-mile-long stretch of the busy road.
Injunction denied: The ruling from June 15 is a decision on an injunction request that’s part of a lawsuit brought by Joe Linton, who argues that L.A.’s role in the design and permitting process of the project triggers Measure HLA street safety improvements. The L.A. City Attorney and Metro have rejected that interpretation of the ordinance.
Read on … for more details on the lawsuit and Linton’s reactions.
Listen
0:36
LISTEN: Bus project gets a preliminary OK to move ahead
A judge has ruled that a Metro bus project in a congested area of Los Angeles can go forward, for now, without incorporating bike lanes that street safety advocates argue are required by city law.
The $400 million project will add dedicated bus lanes along a more than 12-mile-long stretch of Vermont Avenue between 120th Street and Sunset Boulevard. The stretch of road has among the highest rates of pedestrian deaths and injuries in the city.
The ruling from June 15 is a preliminary decision on an injunction request that’s part of a lawsuit brought by Joe Linton, who argues that L.A.’s role in the design and permitting process of the project triggers Measure HLA street safety improvements. The L.A. City Attorney and Metro have rejected that interpretation of the law.
Linton filed the lawsuit in April 2025. He is the editor of the transportation publication Streetsblog LA. Linton is filing the suit as a resident of L.A., not in his capacity as an editor for Streetsblog.
What is Measure HLA?
In 2015, the L.A. City Council adopted Mobility Plan 2035, which identified networks of streets to improve with protected bike lanes, pedestrian signal improvements, bus lanes and other enhancements.
Seven years later, frustrated with a lack of progress on the plan, the local nonprofit Streets for All began campaigning for Measure HLA. The ballot measure, which was passed by voters in 2024, legally requires the city to implement Mobility Plan upgrades when it repaves at least one-eighth of a mile of a street located in one of the networks.
What are the key issues at stake in the lawsuit?
There’s been a longstanding disagreement over whether Measure HLA applies to Metro’s work in city projects. Metro and the city of L.A. say the ordinance only applies to projects the city leads. Streets for All and Linton say the question of who leads a project is a technicality and that the city is obligated to follow Measure HLA because it’s responsible for approving certain elements of the project’s designs and permits.
The Mobility Plan calls for bike lanes along the same stretch of Vermont Avenue that Metro is working on.
Linton’s lawsuit says the city didn’t implement the bike lanes in accordance with Measure HLA when it resurfaced Vermont Avenue service roads in the past and that it should implement the improvements as part of the Vermont Transit Corridor project.
What are the details of the injunction?
As the lawsuit plays out in court, Linton requested an injunction that sought to prevent the city from approving final design plans for the project without the bike lanes that Measure HLA calls for.
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L.A. County Superior Court Judge Kristin Escalante denied the request on June 15. Escalante wrote in her decision that the city neither initiated the project nor selected Vermont Avenue for resurfacing and won’t be constructing the project itself.
“Metro’s coordination with the city does not transform the project into one made by or undertaken by the city,” Escalante wrote in her decision.
In April and June, Escalante denied Linton’s requests for pre-trial judgement on two other issues in his lawsuit, including deciding if resurfacing work on Vermont Avenue service roads triggered HLA-mandated upgrades and determining whether the city’s HLA ordinance represents an “impermissible amendment” of the ordinance.
What happens next?
The ruling is a preliminary decision. Linton said his legal team is preparing for the case to go to trial.
“We didn’t lose at the end of the day,” Linton told LAist. “It’s a setback, but it’s a skirmish and not the outcome of the battle.”
Metro said the agency does not comment on pending litigation.
LAist reached out to the L.A. City Attorney and did not hear back.
Are other legal battles taking place?
Yes, there are two additional ongoing lawsuits that are related.
Linton filed a second lawsuit saying L.A. is using loopholes, like “large asphalt repairs,” to skirt Measure HLA requirements.
Separate from Measure HLA, Metro is working on another bus rapid transit project to connect North Hollywood and Pasadena with construction set to begin this summer. Metro filed a lawsuit in May saying Burbank is, without authority, refusing to grant the transit agency construction permits. On June 18, Metro filed a motion for a preliminary injunction to get the necessary permits so it can begin construction in July and ensure the bus project is ready for the 2028 Olympics.
A series of Fourth of July events scheduled across Council District 14 have been postponed due to the ongoing impact of a massive warehouse fire in Boyle Heights that blanketed surrounding neighborhoods in smoke for days.
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Alejandra Molina
/
Boyle Heights Beat
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Topline:
A series of Fourth of July events scheduled across Council District 14 have been postponed due to the ongoing impact of a massive warehouse fire in Boyle Heights that blanketed surrounding neighborhoods in smoke for days.
Lingering effects of the fire: The fire at the 500,000-square-foot Lineage cold storage facility was knocked down Wednesday evening, but many residents say they are still feeling the effects of the smoke and have questions about the short- and long-term impacts of exposure, as well as what exactly they have been breathing.
Read on ... for a list of Eastside Fourth of July events that have been postponed to a later date.
A series of Fourth of July events scheduled across Council District 14 have been postponed due to the ongoing impact of a massive warehouse fire in Boyle Heights that blanketed surrounding neighborhoods in smoke for days.
The fire at the 500,000-square-foot Lineage cold storage facility was knocked down Wednesday evening, but many residents say they are still feeling the effects of the smoke and have questions about the short- and long-term impacts of exposure, as well as what exactly they have been breathing.
Jurado announced Thursday that out of an abundance of caution, the four Fourth of July events that were scheduled to take place from Friday to Sunday at various parks across her district have been postponed to allow the community and her office to focus on “recovery, connecting residents with resources and getting people the answers they deserve.” The free events were set to include live entertainment, community resources booths and a drone show.
The postponed events include:
Friday at Eagle Rock Recreation Center
Saturday at El Sereno Recreation Center
Sunday at Hollenbeck Recreation Center
Sunday at Lincoln Park Recreation Center
“While air quality regulators have not ordered the cancelation of outdoor events, the fire response remains active, residents are still seeking clear information and support, and many families in the impacted area continue to have concerns about smoke, ash, odors, and possible exposure,” Jurado said.
In the wake of the fire, Jurado has been asking agencies and the companies responsible for transparency. On Monday, the councilmember introduced a motion calling for the public release of air quality and environmental testing information in a way residents can actually understand.
While no independent testing has been commissioned by her office, Jurado told Boyle Heights Beat that the motion, “is intended to bring that information into the open so residents can get clear answers instead of rumors, speculation, or incomplete information.”
According to CD14, the rescheduled event dates will be shared as soon as they are available.