Featured Stories
N.J. A.G. Davenport and Multistate Coalition Challenge Paramount/Warner Bros. Merger
TRENTON, New Jersey, July 14 -- New Jersey Attorney General Jennifer Davenport issued the following news release on July 13, 2026:
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AG Davenport and Multistate Coalition Challenge Paramount/Warner Bros. Merger
Merger Would Result in Higher Prices, Reduced Content Choices for New Jerseyans
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Attorney General Jennifer Davenport today joined a coalition of 12 attorneys general in filing a lawsuit challenging the $110 billion acquisition of Warner Bros. Discovery, Inc. (Warner Bros.) by Paramount Skydance Corporation (Paramount).
The proposed merger would combine two of Hollywood's five
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TRENTON, New Jersey, July 14 -- New Jersey Attorney General Jennifer Davenport issued the following news release on July 13, 2026:
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AG Davenport and Multistate Coalition Challenge Paramount/Warner Bros. Merger
Merger Would Result in Higher Prices, Reduced Content Choices for New Jerseyans
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Attorney General Jennifer Davenport today joined a coalition of 12 attorneys general in filing a lawsuit challenging the $110 billion acquisition of Warner Bros. Discovery, Inc. (Warner Bros.) by Paramount Skydance Corporation (Paramount).
The proposed merger would combine two of Hollywood's fivemajor film distributors and two of the five major basic cable companies, extinguishing competition between Paramount and Warner Bros. and inflicting substantial harm on movie theaters, basic cable distributors, and, ultimately, consumers nationwide.
In the United States alone, if allowed to merge, the combined titan would control roughly one-third of theatrical motion pictures and nearly one-third of basic cable programming. The coalition has asked Warner Bros. and Paramount not to close the merger until after the judicial process concludes-and if the companies do not agree, the coalition will be filing an application for a temporary restraining order to prevent the merger from closing while the case proceeds in court.
"New Jersey is the birthplace of the American film industry, and the state is now a burgeoning hub for film and television production. Given our state's leadership in the film and television industry, we must protect our residents when corporate media monopolies threaten to upend the industry by raising prices and reducing content choices," said Attorney General Jennifer Davenport. "The proposed merger between Paramount and Warner Bros. Discovery will hurt our state's residents, plain and simple. We will always stand up against corporate monopolists that seek to exploit hardworking New Jerseyans by driving up prices and turning a massive profit at their expense."
For more than a century, Warner Bros. and Paramount have stood as independent sources of creativity and competition in the film and television industry. The lawsuit, filed in the U.S. District for the Northen District of California, alleges that the merger violates Section 7 of the Clayton Act, which holds that mergers that may substantially lessen competition or tend to create a monopoly are illegal. The attorneys general allege that if Warner Bros. and Paramount are allowed to merge the merger would lessen competition in the areas of:
* Wide Release Theatrical Film Distribution, where Warner Bros. and Paramount are two of the five major film distributors and would combine for an around 27% share of the market. After the merger, only three distributors will control 75% of these films, and only four distributors (Defendants, Disney, Universal, and Sony) will control 86% of them.
* Anticipated Top-Grossing Theatrical Film Distribution, a submarket of theatrical film distribution focused on anticipated blockbuster films with wide audiences and large production budgets. After the merger, Defendants will control more than 30% of these films, and four distributors (Defendants, Disney, Universal, and Sony) will control more than 90% of them.
* Licensing Basic Cable Television Channels, or the market for distributing basic cable channels to cable and satellite providers. Warner Bros. is the second largest and Paramount is the third largest in this market, and they would combine for a 27% share.
Currently, Paramount and Warner Bros. compete fiercely to create and distribute new, different, and innovative film and television content to American viewers. To promote their films, they negotiate with thousands of movie theaters across the country and bargain with those theaters to secure the most coveted screens and calendar slots. Movie theaters rely on competition between Paramount and Warner Bros. to incentivize creativity and secure competitive prices and terms for themselves and for audiences.
Paramount and Warner Bros. also compete to market their basic cable channels. To acquire the rights to distribute that content to subscribers, distributors negotiate with Paramount, Warner Bros., and other cable channel owners. The availability of alternatives is essential in these negotiations. For example, if Paramount insists on onerous financial terms, the distributor can gain leverage by turning to Warner Bros. -- and vice versa. Distributors rely on competition between entertainment companies to secure low prices for themselves and for their subscribers, and to encourage programmers to invest in new and exciting content for television.
Paramount's proposed acquisition of Warner Bros. will end this competition between the two merging companies, threatening viewers with higher prices, the decline of theatrical exhibition of films, and a reduction in the variety, quality, and amount of content distributed.
In filing today's lawsuit Attorney General Davenport joins the attorneys general of California, Arizona, Colorado, Connecticut, Massachusetts, Minnesota, Nevada, New Mexico, New York, Oregon, and Washington.
In New Jersey, the Attorney General is represented in the matter by Deputy Attorney General Anasemoun W. Robinson, under the supervision of Assistant Section Chief Laura E. Sedlak and Assistant Attorney General Brian McDonough within the Division of Law's Affirmative Civil Enforcement Practice Group.
View Complaint (http://www.njoag.gov/wp-content/uploads/2026/07/2026-0713_Redacted-Paramount-Warner-complaint.pdf)
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Original text here: https://www.njoag.gov/ag-davenport-and-multistate-coalition-challenge-paramount-warner-bros-merger/
N.H. Gov. Ayotte Highlights New Law Expanding Access to Prosthetics
CONCORD, New Hampshire, July 14 -- Gov. Kelly Ayotte, R-New Hampshire, issued the following news release on July 13, 2026:
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Governor Highlights New Law Expanding Access to Prosthetics
Today, Governor Kelly Ayotte highlighted a new law expanding access to prosthetics for adults, including activity-specific prosthetics, with a ceremonial signing of Senate Bill 408.
"I was proud to sign Senate Bill 408 to expand access to prosthetic devices for adults, including activity-specific prosthetics," said Governor Ayotte. "No one who has experienced limb loss should have to shoulder the added burden
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CONCORD, New Hampshire, July 14 -- Gov. Kelly Ayotte, R-New Hampshire, issued the following news release on July 13, 2026:
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Governor Highlights New Law Expanding Access to Prosthetics
Today, Governor Kelly Ayotte highlighted a new law expanding access to prosthetics for adults, including activity-specific prosthetics, with a ceremonial signing of Senate Bill 408.
"I was proud to sign Senate Bill 408 to expand access to prosthetic devices for adults, including activity-specific prosthetics," said Governor Ayotte. "No one who has experienced limb loss should have to shoulder the added burdenof how to pay for prosthetics, and with this new law, we're ensuring they can live life to the fullest and enjoy activities like swimming, running, skiing, and more. I thank Senator Bill Gannon and all of the advocates who made this possible."
This bipartisan legislation expands health insurance coverage for prosthetic devices to include adults. Prior to this bill, New Hampshire law only mandated coverage for children's prosthetics. Now, the law will require all health insurance policies to cover adult prosthetics, including activity-specific prosthetic devices.
"I'm grateful to everyone who helped make SB 408 a reality for Granite Staters, and to Governor Ayotte for signing it into law," said Senator Bill Gannon of Sandown, lead sponsor of SB 408. "By expanding access to prosthetic devices, this bill helps more residents get the care they need while preserving their independence."
Members of the Legislature from both sides of the aisle and advocates who testified in support of the bill joined Governor Ayotte at the ceremonial signing, including U.S. Paralympic Gold Medalist Jason Lalla. Lalla won the Men's Giant Slalom at the 1998 Paralympic Winter Games in Nagano, Japan.
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Original text here: https://www.governor.nh.gov/news/governor-highlights-new-law-expanding-access-prosthetics
Minn. Gov. Walz Announces Minnesota Ranked Top State for Business
ST. PAUL, Minnesota, July 14 -- Gov. Tim Walz, D-Minnesota, issued the following news release on July 13, 2026:
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Governor Walz Announces Minnesota Ranked Top State for Business
Ranking comes as 75,000 Minnesotans receive approval for paid leave
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Governor Tim Walz today announced that Minnesota has been named one of the top states in the nation for business. According to a new report from CNBC, Minnesota ranks fifth overall, placing top ten in quality of life, infrastructure, and economic environment. The ranking comes as 75,000 Minnesotans receive approval for paid leave, implemented
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ST. PAUL, Minnesota, July 14 -- Gov. Tim Walz, D-Minnesota, issued the following news release on July 13, 2026:
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Governor Walz Announces Minnesota Ranked Top State for Business
Ranking comes as 75,000 Minnesotans receive approval for paid leave
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Governor Tim Walz today announced that Minnesota has been named one of the top states in the nation for business. According to a new report from CNBC, Minnesota ranks fifth overall, placing top ten in quality of life, infrastructure, and economic environment. The ranking comes as 75,000 Minnesotans receive approval for paid leave, implementedon January 1, 2026.
"Minnesota continues to climb in the ranks among top states for businesses, a testament to our investments in key areas that make our businesses and economy strong, including our historic investments in paid family and medical leave," said Governor Walz. "With policies that strengthen families and improve retention, we're bolstering the economy and creating an environment for businesses to thrive."
Since taking office, Governor Walz has helped launch more than 35,000 new businesses and increased weekly wages by 30%. The ranking also follows passage of the Governor's $1.2 billion infrastructure bill, which invests $437 million in water infrastructure, $252 million in asset preservation, and $180 million in transportation infrastructure. The bill capped off more than $8 billion in infrastructure investments across Minnesota since 2019.
Minnesota's paid leave program provides eligible workers paid, job-protected time off for major life events, including bonding with a new child or caring for an ill family member. In a single benefit year, workers can take up to 12 weeks of family or medical leave. Workers needing both family and medical leave in the same benefit year may take up to 20 weeks total. In the program's first six months, 75,000 people have received approval to take leave.
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Original text here: https://mn.gov/governor/newsroom/press-releases/#/detail/appId/1/id/759597
Maryland Department of Agriculture Invests $670,000 in Innovative Soil Health and Agroforestry Practices
ANNAPOLIS, Maryland, July 14 -- The Maryland Department of Agriculture issued the following news release on July 13, 2026:
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Maryland Department of Agriculture Invests $670,000 in Innovative Soil Health and Agroforestry Practices
The Maryland Department of Agriculture today announced $670,000 in grant funding to assist farms and organizations in adopting conservation practices that benefit the climate, soil and water.
The Healthy Soils Competitive Fund awards grants of up to $50,000 to qualifying applicants to support three years of enhanced soil health and agroforestry practices. It was
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ANNAPOLIS, Maryland, July 14 -- The Maryland Department of Agriculture issued the following news release on July 13, 2026:
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Maryland Department of Agriculture Invests $670,000 in Innovative Soil Health and Agroforestry Practices
The Maryland Department of Agriculture today announced $670,000 in grant funding to assist farms and organizations in adopting conservation practices that benefit the climate, soil and water.
The Healthy Soils Competitive Fund awards grants of up to $50,000 to qualifying applicants to support three years of enhanced soil health and agroforestry practices. It wasestablished in 2023 following recommendations from the Soil Health Advisory Committee.
Nineteen projects across the state of Maryland will implement the following innovative conservation practices and share progress updates throughout the grant period:
* Baltimore City: Development of soil health resources for equestrians.
* Baltimore County: Pollinator habitat and conservation cover enhancement project.
* Calvert County: Use of innovative equipment to enhance adaptive grazing.
* Caroline County: Agroforestry and pasture improvements for enhanced adaptive grazing.
* Carroll County: Innovative use of a roller crimper for expanded cover cropping and delayed termination.
* Charles County: Establishment of an alley cropping system in a culturally significant vegetable operation.
* Frederick County: Agroforestry, reduced tillage in vegetable production and innovative equipment to enhance adaptive grazing.
* Harford County: Soil biology analysis and trailing compost extraction project.
* Howard County: Establishment of a silvopasture and improved adaptive grazing systems for an equestrian operation.
* Prince George's County: Alley cropping and reduced tillage systems for vegetable production.
* Washington County: Implementation of an agroforestry project.
"Healthy soils are the foundation of productive farms, thriving ecosystems and long-term resilience," said Maryland Secretary of Agriculture Kevin Atticks. "It's exciting to see more Maryland farmers embracing innovative conservation practices each year. With applications increasing more than 16% over last year, this program is helping producers invest in practices that strengthen their operations while protecting our natural resources for future generations."
Since its inception, the grant program has supported 88 projects across the state. Funding for the Healthy Soils Competitive Fund is made possible through the Moore-Miller Administration's implementation of the Climate Solutions Now Act and a Climate Pollution Reduction Grant awarded to the Atlantic Conservation Coalition by the U.S. Environmental Protection Agency.
The 2026-2027 grant cycle will open in November 2026. For more information about the program and the most up-to-date information, please visit our website (https://mda.maryland.gov/resource_conservation/Pages/Soil-Health.aspx).
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Original text here: https://news.maryland.gov/mda/press-release/2026/07/13/maryland-department-of-agriculture-invests-670000-in-innovative-soil-health-and-agroforestry-practices/
Ga. A.G. Carr's Gang Prosecution Unit Marks Four Years of Record Success
ATLANTA, Georgia, July 14 -- Georgia Attorney General Chris Carr issued the following news release on July 13, 2026:
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Carr's Gang Prosecution Unit Marks Four Years of Record Success
Georgia Attorney General Chris Carr's Gang Prosecution Unit is marking four years of record success, with more than 140 convictions secured across the state since its inception on July 1, 2022. The majority of these cases involve shootings, both fatal and non-fatal, with one victim as young as three years old.
"In just four years, our Gang Prosecution Unit has achieved historic results - taking down some of
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ATLANTA, Georgia, July 14 -- Georgia Attorney General Chris Carr issued the following news release on July 13, 2026:
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Carr's Gang Prosecution Unit Marks Four Years of Record Success
Georgia Attorney General Chris Carr's Gang Prosecution Unit is marking four years of record success, with more than 140 convictions secured across the state since its inception on July 1, 2022. The majority of these cases involve shootings, both fatal and non-fatal, with one victim as young as three years old.
"In just four years, our Gang Prosecution Unit has achieved historic results - taking down some ofthe most violent offenders in our state and removing deadly and dangerous drugs from our streets," said Attorney General Chris Carr. "It's exactly why we created this Unit in the first place, so we could bring strong cases that ultimately lead to safer communities. Behind every conviction is a family who has been impacted by gang violence or lost a loved one due to senseless crime. They're the reason we're fighting each day, and we will continue to send a strong message that gang activity won't be tolerated anywhere in Georgia."
"For the last four years, the Gang Prosecution Unit has taken the fight directly to violent criminals terrorizing communities across our state," said Governor Brian Kemp. "What started as a single unit in Metro Atlanta has now expanded to nearly every corner of the state, making it loud and clear that gang violence will not be tolerated in Georgia. I commend Attorney General Chris Carr, Chief Prosecutor Cara Convery, and their teams for their tireless commitment to ending gang violence and strengthening public safety in Georgia."
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Background
In July 2022, with the support of Governor Brian Kemp and members of the General Assembly, Attorney General Chris Carr created Georgia's first statewide Gang Prosecution Unit. The creation of the Unit was made possible by the passage of HB 1134, which provides the Attorney General's Office with concurrent jurisdiction to prosecute gang activity statewide, and initial funding provided in the State's FY 2023 budget.
The Gang Prosecution Unit started with the hire of just one Chief Prosecutor, Cara Convery, who leads the team and one main office in Atlanta. It has since expanded to include satellite offices in Albany, Augusta, Columbus, Macon, Southeast Georgia and Savannah, with regional prosecutors and investigators who work with local, state, and federal law enforcement to build cases across the state.
The Gang Prosecution Unit is housed in the Attorney General's Prosecution Division, which also includes Carr's Human Trafficking Prosecution Unit, his Organized Retail Crime Unit, and his White Collar and Cyber Crime Unit.
Individual Case Highlights
Since it began its historic work, Carr's Gang Prosecution Unit has investigated and prosecuted cases in Athens-Clarke, Barrow, Bibb, Bryan, Chatham, Clayton, Cobb, Coffee, DeKalb, Dougherty, Fulton, Gwinnett, Laurens, Lowndes, Muscogee, Richmond, Spalding, Thomas, Upson and Washington counties.
This includes the following prosecutions:
* The conviction of 15 members of the Outcast Motorcycle Gang and the recovery of more than 100 firearms following a large-scale multi-agency investigation in Bryan County. This case marked the largest motorcycle gang indictment in state history, with additional evidence demonstrating that the defendants engaged in criminal activity in other jurisdictions, including Chatham County, Crisp County, Douglas County, Glynn County, Liberty County, McIntosh County, Richmond County, Colleton County (South Carolina), and Fort Bragg (North Carolina).
* The conviction of 16 members of the 1-8 Trey Gangster Bloods following a large-scale investigation into violent crimes, drug trafficking, and gang recruitment as directed from inside and outside of prison. This includes the conviction of Jamar Ramsay, the statewide leader of the gang who was already serving a life sentence at Hays State Prison in Georgia, and Brantavious Sims, who was subsequently sentenced to life in prison without the possibility of parole for the murder of Lane Bullard in April 2022.
* The conviction of Kionta Parks, who was sentenced to life in prison plus five years for the murder of 11-year-old Asijah Jones, who was shot and killed while asleep in her bed in Spalding County on March 13, 2023.
* The indictment of 11 individuals in Macon-Bibb County following an extensive investigation into the sale and distribution of illicit drugs and firearms in the Middle Georgia area. The defendants are alleged to be members of the Macon Mafia, the largest criminal street gang in Macon. This investigation also resulted in the recovery of Cocaine, Meth, Fentanyl, several handguns, cash, and other drugs.
* The conviction of three members of PDE, a local criminal street gang in DeKalb County. The defendants engaged in criminal gang activity and committed various weapons offenses in furtherance of the gang. One of those convicted, Darius Scott, was sentenced to 95 years in prison.
Stats & Community Impact
Athens-Clarke County: Carr's Gang Prosecution Unit has partnered with the Athens-Clarke County Police Department to address a long running conflict between the Red Tape Gang (RTG) and Everybody Eats (EBE). This conflict dates back to 2021 and has claimed the lives of several individuals throughout the Athens community, including three-year-old Kyron Santino Zarco Smith, 19-year-old Brynarius Smith, 19-year-old Alijah Nelson, and 24-year-old Ja'Vanni McDavid. So far, Carr's team has secured 20 convictions in Athens alone, with several other individuals still facing charges. Murder and violent crime in Athens have since decreased dramatically, with total shootings down by more than 50 percent last year when compared to 2022.
Dougherty County: Carr's Gang Prosecution Unit has worked with the Albany Police Department to secure nearly 20 convictions in Dougherty County alone. This includes three men who were convicted for the murder of 30-year-old Kartavious Jones, who was shot and killed on Oct. 9, 2018. All three defendants were sentenced to life in prison. Carr is currently prosecuting one individual in connection with two shootings that took place at Albany State University's Homecoming festivities on Oct. 19, 2024. He is also separately prosecuting three individuals in connection with the death of 24-year-old Ricky Williams, who was beaten and passed away as a result of his injuries on Jan. 4, 2026.
Laurens County: Carr's Gang Prosecution Unit has worked with the Dublin Police Department, the Lauren's County Sheriff's Office, and the Georgia Bureau of Investigation to secure 13 convictions in Laurens County alone, all involving a local gang known as Money Power Loyalty (MPL). This includes the founder and three leaders of the gang. Two of those convicted were sentenced to life plus 410 years for the murder of 24-year-old Sacred Brown and 23-year-old Miyori Ellington.
Muscogee County: Carr's Gang Prosecution Unit has worked with the Columbus Police Department and the Muscogee County Sheriff's Office to secure five murder convictions and eight gang convictions in Columbus alone. This includes the convictions of Rodderick Glanton, Homer Upshaw and Terrance Upshaw, who were each sentenced to life in prison for the murder of 17-year-old Jesse Ransom and 18-year-old Saiveon Pugh. Both Ransom and Pugh were shot and killed during a drive-by on June 14, 2021. Carr is currently prosecuting seven individuals in connection with an assault that took place at the Muscogee County Jail on Oct. 4, 2025.
Richmond County: Carr's Gang Prosecution Unit has partnered with the Richmond County Sheriff's Office to prosecute more than 45 defendants in Richmond County alone. This includes a massive 333-count indictment charging 30 individuals in connection with the distribution of illegal drugs and other acts of violence that have occurred throughout the area. As part of this investigation, Carr's team worked with local, state, and federal law enforcement to seize 15 pounds of fentanyl - enough to kill 3.5 million Georgians.
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Original text here: https://law.georgia.gov/press-releases/2026-07-13/carrs-gang-prosecution-unit-marks-four-years-record-success
Court Rules in Favor of Arizona Treasurer Kimberly Yee in Public Records Lawsuit
PHOENIX, Arizona, July 14 -- Arizona State Treasurer Kimberly Yee issued the following news release:
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Court Rules in Favor of Arizona Treasurer Kimberly Yee in Public Records Lawsuit
Judge Affirms Treasurer's Office Position and Denies 12 News' Request for Additional ESA Records
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Arizona Treasurer Kimberly Yee announced that the Maricopa County Superior Court has ruled in favor of the Arizona State Treasurer's Office (ASTO) in a public records lawsuit brought by KPNX-TV Channel 12 and reporter Craig Harris concerning records related to Arizona's Empowerment Scholarship Account (ESA)
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PHOENIX, Arizona, July 14 -- Arizona State Treasurer Kimberly Yee issued the following news release:
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Court Rules in Favor of Arizona Treasurer Kimberly Yee in Public Records Lawsuit
Judge Affirms Treasurer's Office Position and Denies 12 News' Request for Additional ESA Records
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Arizona Treasurer Kimberly Yee announced that the Maricopa County Superior Court has ruled in favor of the Arizona State Treasurer's Office (ASTO) in a public records lawsuit brought by KPNX-TV Channel 12 and reporter Craig Harris concerning records related to Arizona's Empowerment Scholarship Account (ESA)program. The Court denied the plaintiffs' request for additional records from the Treasurer's Office.
The ruling affirms what ASTO repeatedly communicated to Craig Harris and 12 News throughout the public records request process and litigation that the Treasurer's Office is not the administrator of the ESA program and cannot be compelled to produce records that are not public records of ASTO. The Court found that the vendor-level transaction information sought by the plaintiffs lacks a sufficient connection to ASTO's statutory responsibilities, even if the agency has limited technical access to certain information within the ClassWallet system.
"From the beginning, this case has been about protecting the privacy of Arizona's children and their families," said Arizona Treasurer Kimberly Yee. "We must protect personal data for all students in Arizona whether they are in public, private or homeschool education. Parents should be able to trust that sensitive information relating to their children will be protected. This is a big win for children and their families and I will continue to stand for the privacy rights of ESA children and all Arizona families in the years to come."
The Court further recognized that the Arizona Department of Education (ADE), not ASTO, serves as the primary administrator of the ESA program. ADE determines participant eligibility, reviews expenditures, conducts audits, investigates improper spending, and enforces program compliance, while ASTO's role is principally financial in nature, including managing the contract with the financial services vendor, transferring funds, and performing financial reconciliation functions.
Throughout the public records request process and litigation, ASTO consistently maintained that the records sought by 12 News included sensitive student and family information that warranted careful privacy protections. As Treasurer Yee communicated directly to ESA families, the requested records potentially included personal educational, medical, and financial information, requiring thorough review to ensure confidential information was not improperly disclosed. ASTO continues to believe that Arizona's children and their families are entitled to the privacy protections afforded by law.
"During my time as Treasurer and in the Legislature expanding transparency and accountability while ensuring the privacy rights of individuals have been core values," said Treasurer Yee. "I am pleased the Court recognized the position of my office in this case. We will continue to provide transparency regarding records in our custody, consistent with our statutory duties, while safeguarding confidential information entrusted to the state."
The Arizona State Treasurer's Office will continue to fulfill its statutory responsibilities while protecting Arizona families and complying with all applicable public records and privacy laws.
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Original text here: https://www.aztreasury.gov/_files/ugd/8bb536_345cde6c41c54801aa9e6b2cc11dbf18.pdf
Ariz. A.G. Mayes Joins Coalition Challenging Paramount/Warner Bros. Merger
PHOENIX, Arizona, July 14 -- Arizona Attorney General Kris Mayes issued the following news release on July 13, 2026:
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Attorney General Mayes Joins Coalition Challenging Paramount/Warner Bros. Merger
Attorney General Mayes today joined a coalition of 12 attorneys general in filing a lawsuit challenging the $110 billion acquisition of Warner Bros. Discovery, Inc. (Warner Bros.) by Paramount Skydance Corporation (Paramount). The proposed merger would combine two of Hollywood's five major film distributors and two of the five major basic cable companies, extinguishing competition between Paramount
... Show Full Article
PHOENIX, Arizona, July 14 -- Arizona Attorney General Kris Mayes issued the following news release on July 13, 2026:
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Attorney General Mayes Joins Coalition Challenging Paramount/Warner Bros. Merger
Attorney General Mayes today joined a coalition of 12 attorneys general in filing a lawsuit challenging the $110 billion acquisition of Warner Bros. Discovery, Inc. (Warner Bros.) by Paramount Skydance Corporation (Paramount). The proposed merger would combine two of Hollywood's five major film distributors and two of the five major basic cable companies, extinguishing competition between Paramountand Warner Bros., and inflicting substantial harm on movie theaters, basic cable distributors and, ultimately, audiences nationwide.
If allowed to merge, in the U.S. alone the combined titan would control nearly one-third of theatrical motion pictures, and nearly one-third of basic cable programming. The coalition has asked Warner Bros. and Paramount not to close the merger until after the judicial process concludes, and if they do not agree, the coalition will be filing a temporary restraining order.
"If this merger goes through, Arizonans could face higher prices to see new movies and to access basic cable channels," said Attorney General Mayes. "Consolidation in industry after industry will only lead us in one direction: higher prices and degraded quality and service for Arizonans. We cannot let that happen."
For more than a century, Warner Bros. and Paramount have stood astride the film and television industry as independent sources of creativity and competition. The lawsuit, filed in U.S. District for the Northern District of California, alleges that the merger violates Section 7 of the Clayton Act, which holds that mergers that may substantially lessen competition or tend to create a monopoly are illegal.
The attorneys general allege that if Warner Bros. and Paramount are allowed to merge it would lessen competition in the areas of:
* Wide Release Theatrical Film Distribution, where Warner Bros. and Paramount are two of the five major film distributors and would combine for around 27% share of the market. After the merger, only three distributors will control 75% of these films, and only four distributors (Defendants, Disney, Universal, and Sony) will control 86% of them.
* Anticipated Top-Grossing Theatrical Film Distribution, a submarket of theatrical film distribution focused on anticipated blockbuster films with wide audiences and large production budgets. After the merger, Defendants will control more than 30% of these films, and four distributors (Defendants, Disney, Universal, and Sony) will control more than 90% of them.
* Licensing Basic Cable Television Channels, or the market for distributing basic cable channels to cable and satellite providers. Warner Bros. is the second largest and Paramount is the third largest in this market, and they would combine for a 27% share.
Currently, Paramount and Warner Bros. compete fiercely to create and distribute new, different, and innovative film and television content to American viewers. To promote their films, they negotiate with thousands of movie theaters across the country and bargain with those theaters to secure the most coveted screens and calendar slots.
Movie theaters rely on competition between Paramount and Warner Bros. to incentivize creativity and secure competitive prices and terms for themselves and for audiences. Paramount and Warner Bros. also compete to market their basic cable channels. To acquire the rights to distribute that content to subscribers, distributors negotiate with Paramount, Warner Bros., and other cable channel owners.
Alternatives are essential in these negotiations as is the leverage that each entertainment company provides to distributors. For example, if Paramount insists on onerous financial terms, the distributor can gain leverage by turning to Warner Bros. -- and vice versa. Distributors rely on this competition to secure low prices for themselves and for their subscribers, and to encourage programmers to invest in new and exciting content for television.
Paramount's proposed acquisition of Warner Bros. will end this competition, threatening viewers with higher prices, the decline of theatrical exhibition of films, and a reduction in the variety, quality, and amount of content distributed.
In filing today's lawsuit Attorney General Mayes joins the attorneys general of California, Colorado, Connecticut, Massachusetts, Minnesota, Nevada, New Jersey, New Mexico, New York, Oregon, and Washington.
A copy of the complaint is available here 9https://mcusercontent.com/cc1fad182b6d6f8b1e352e206/files/605a4411-98ad-f2c5-37c5-6c2d57b6d24d/Redacted_Paramount_Warner_complaint_file_stamped.pdf).
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Original text here: https://www.azag.gov/press-release/attorney-general-mayes-joins-coalition-challenging-paramountwarner-bros-merger