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California Policy and Politics Tuesday
Gavin Newsom moves to neutralize tax on billionaires -- Gavin Newsom’ and his staff have quietly talked to the champion of a controversial wealth tax proposal seeking an off-ramp to defuse a looming ballot measure fight. Jeremy B. White and Melanie Mason Politico -- 01/13/26
Two of California’s largest home insurers to raise rates by 6.9% this year -- The exact amount of increase or decrease will depend on each customer and their wildfire risk. Changes to Mercury rates could range from a 15% decrease to a 124% increase, according to the filing. Some CSAA homeowners will see rates rise less than the 6.9% average, while others will increase by up to 8%. Megan Fan Munce in the San Francisco Chronicle$ -- 01/13/26
Democrat-turned-Republican Gloria Romero announces run for lieutenant governor -- Gloria Romero, a former Democratic state Senate majority leader, announces her run for lieutenant governor on a Republican ticket with former Fox News commentator Steve Hilton. Romero switched to the Republican Party in 2024, saying Democrats abandoned their commitment to working families and education reform. Seema Mehta in the Los Angeles Times$ -- 01/13/26
House Democrats challenge new Homeland Security order limiting lawmaker visits to immigration facilities -- Twelve House Democrats, including five from California, sued the Trump administration over a policy placing restrictions on visits of immigrant detention facilities by members of Congress. Andrea Castillo in the Los Angeles Times$ -- 01/13/26
What to know about the warrants most immigration agents use to make arrests -- Most immigration arrests are carried out under administrative warrants, internal documents issued by immigration authorities that authorize the arrest of a specific individual but do not permit officers to forcibly enter private homes or other non-public spaces without consent. Safiyah Riddle and Valerie Gonzalez Associated Press -- 01/13/26
Trump Cuts to Energy Projects in Blue States Were Unlawful, Judge Rules -- The grants were part of a larger move by the Energy Department to cancel $7.5 billion for more than 220 energy projects that had been awarded by the Biden administration, including upgrades to electrical grids in California, Minnesota and Oregon; efforts to reduce methane leaks from oil and gas operations in Colorado; and large hubs to produce clean-burning hydrogen fuels in California and the Pacific Northwest. Brad Plumer in the New York Times$ -- 01/13/26
Mackenzie Scott makes $45 million gift to California nonprofit, its largest ever -- Billionaire philanthropist MacKenzie Scott has given the Trevor Project, a leading provider of crisis support for LGBTQ+ youth, a $45 million donation, providing a crucial lifeline after the loss of federal funding. It was the largest single gift in the organization’s history. Aidin Vaziri in the San Francisco Chronicle$ -- 01/13/26
SCOTUS is set to weigh in on transgender athletes. What it means for California -- The Supreme Court that will hear arguments Tuesday on state laws banning transgender females from girls’ and women’s sports teams includes five of the justices who ruled in 2020 that federal law prohibits employment discrimination based on sexual orientation or gender identity. Bob Egelko in the San Francisco Chronicle$ -- 01/13/26
Newsom’s new budget wants to revive California rebate program for EVs -- Details — including how much buyers would receive — still have to be worked out and the proposal would need to pass through the California Legislature before going into effect. Rob Nikolewski in the San Diego Union Tribune$ -- 01/13/26
Proposed state law could mandate psychiatric medication for more people. What would that mean for S.F.? -- City lawmakers hope expanding outpatient treatment will reduce the strain on psychiatric beds for the most desperately ill San Franciscans. Lucy Hodgman in the San Francisco Chronicle$ -- 01/13/26
GLP-1
California ends Medicaid coverage of GLP-1 weight loss drugs despite TrumpRx plan -- Many low-income Californians prescribed wildly popular weight loss drugs lost their coverage for the medications at the start of the new year. Health officials are recommending diet and exercise as alternatives to heavily advertised weight loss drugs like Wegovy and Zepbound, advice experts say is unrealistic. Don Thompson KFF news in the San Francisco Chronicle$ -- 01/13/26
Wildfire
FEMA to pay for lead testing at 100 homes destroyed in Eaton fire, after months of saying it was unnecessary -- In a remarkable reversal, the U.S. Environmental Protection Agency is expected to announce that the Federal Emergency Management Agency will pay for soil testing for lead at 100 homes that were destroyed by the Eaton fire and cleaned up by federal disaster workers. Tony Briscoe and Noah Haggerty in the Los Angeles Times$ -- 01/13/26
Water
San Diego must raise water rates 44% over 4 years, officials warn -- A new analysis says water rates in San Diego must go up another 44.2% between 2028 and 2031 even though the City Council agreed in October to raise them a cumulative 31.3% this year and next. David Garrick in the San Diego Union Tribune$ -- 01/13/26
Eduction
Sacramento school district enrollment practices found unlawful -- The Sacramento City Unified School District will reform its enrollment processes after an investigation by the state showed that the district’s practices violated state laws and discriminated against students of color, students with disabilities, English learning students and homeless students. Jennah Pendleton in the Sacramento Bee$ -- 01/13/26
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U.S. Attacked Boat With Aircraft That Looked Like a Civilian Plane -- The Pentagon used a secret aircraft painted to look like a civilian plane in its first attack on a boat that the Trump administration said was smuggling drugs, killing 11 people last September, according to officials briefed on the matter. The aircraft also carried its munitions inside the fuselage, rather than visibly under its wings, they said. Charlie Savage, Eric Schmitt, John Ismay,Julian E. Barnes,Riley Mellen and Christiaan Triebert in the New York Times$ -- 01/13/26
Trump Has Another Justification for the Shooting of Renee Good: Disrespect -- President Trump suggested that Renee Good’s “highly disrespectful” attitude toward law enforcement played a role in her fatal shooting by an ICE agent. Luke Broadwater and Katie Rogers in the New York Times$ -- 01/13/26
Trump’s Plans for Venezuelan Oil Run Headlong Into Reality -- But Mr. Trump’s grand plans for Venezuelan oil have already run headlong into reality, starting with the apparent reluctance of the major American oil companies to plunge immediately into Venezuela and the related fact that, unlike Russia or Saudi Arabia, the United States does not have a national oil company ready to do the government’s bidding. Anton Troianovski in the New York Times$ -- 01/13/26
House Democrats challenge new Homeland Security order limiting lawmaker visits to immigration facilities -- Twelve House Democrats challenged a new DHS order requiring seven days’ notice for congressional visits to immigration detention facilities. Five members of Congress from California were among the representatives challenging the DHS policy. Andrea Castillo in the Los Angeles Times$ -- 01/13/26
‘Freaked out’ about the bond market: White House reels from Powell probe -- Officials are scrambling to reassure markets and create distance from an episode that aides say was never meant to unfold, according to five people familiar with the administration’s reaction who were granted anonymity to discuss it. Megan Messerly, Dasha Burns, Sam Sutton and Cassandra Dumay Politico -- 01/13/26
Trump Has Complained About Pam Bondi Repeatedly to Aides -- President Trump has repeatedly criticized Attorney General Pam Bondi for perceived ineffectiveness in pursuing his agenda, including prosecuting former investigators. Josh Dawsey, Sadie Gurman and C. Ryan Barber in the Wall Street Journal$ -- 01/13/26
California Policy and Politics Monday
Meta Plans to Cut Around 10% of Employees in Reality Labs Business -- Meta plans to cut around 10 percent of the employees in its Reality Labs division who work on products including the metaverse, according to three people with knowledge of the discussions, as the company shifts priorities to build next-generation artificial intelligence. Mike Isaac and Eli Tan in the New York Times$ -- 01/12/26
‘Brace for impact’: Trump turns fraud into new weapon against blue states -- Donald Trump has found a new way to bludgeon blue states: accuse them of fraud, then move to cut off their money. Blake Jones, Jeremy B. White and Nick Reisman Politico -- 01/12/26
A California billionaires tax hasn’t yet qualified for the ballot. But it’s already unleashing chaos -- Within the last several weeks, billionaires have flooded social media with complaints and misinformation, sometimes blaming the proposal — which is actually being spearheaded by a health care workers union — on state Democrats. Some billionaires have even announced they’ve preemptively moved their businesses or homes out of the state. Sara Libby in the San Francisco Chronicle$ -- 01/12/26
Disgraced California congressman got a Trump pardon. Now he wants one for another notorious son -- Former GOP Rep. Duncan D. Hunter is using what’s left of his political influence to help Raymond Liddy, son of infamous Watergate figure G. Gordon Liddy, escape his conviction for child pornography. Jeff McDonald in the San Diego Union Tribune$ -- 01/12/26
Named after Melissa Hortman and Charlie Kirk, new California bill aims to curb political violence -- Assemblymember Laurie Davies, R-Laguna Niguel, wants to add political affiliation to the list of classifications needed to classify a hate crime in California. Kaitlyn Schallhorn in the Orange County Register$ -- 01/12/26
Thousands gather statewide in anti-ICE protests, including hundreds in Huntington Beach -- Over 60 largely peaceful anti-ICE protests took place statewide this weekend, organized in response to Renée Nicole Good’s fatal shooting. In Huntington Beach, about 300 demonstrators rallied outside City Hall while two dozen Trump supporters protested in response. Hayley Smith in the Los Angeles Times$ -- 01/12/26
Thousands in Fresno protest ICE actions, killing of Renee Nicole Good in Minneapolis -- Thousands of people gathered Sunday morning at River Park Shopping Center near Blackstone and Nees avenues in Fresno to protest the killing of Renee Nicole Good, a mother and U.S. citizen, in Minneapolis — a death that demonstrators said should never have occurred. Marina Peña in the Fresno Bee -- 01/12/26
States move to rein in ICE after fatal Minnesota shooting -- From California to New York and Illinois to New Jersey, they’re pushing a range of bills aimed at limiting enforcement and protecting people targeted by Immigration and Customs Enforcement, while turning up the rhetoric with comparisons to the Gestapo. Daniel Han and Shia Kapos Politico -- 01/12/26
Tom Steyer rails against plutocrats. His firm has Cayman Islands-based funds -- Tom Steyer is running for California governor as an enemy of tax-avoiding plutocrats. “Tax me more,” the billionaire environmentalist said recently on X. “I’ve been saying it for a long time.” Debra Kahn Politico -- 01/12/26
California Atty. Gen. Rob Bonta opts against running for governor. Again. -- California Atty. Gen. Rob Bonta announced Sunday that he would not run for California governor, a decision grounded in his belief that his legal efforts combating the Trump administration as the state’s top prosecutor are paramount at this moment in history. Kevin Rector and Seema Mehta in the Los Angeles Times$ -- 01/12/26
Scott Wiener changes course, calls war in Gaza ‘genocide’ as House race kicks off -- Sen. Scott Wiener referred to Israel’s war in Gaza as genocide for the first time Sunday, changing course after he got heckled at the first major congressional candidates forum last week. Wiener is one of three top Democratic candidates vying to replace Speaker Emerita Nancy Pelosi. David Hernandez in the San Francisco Chronicle$ -- 01/12/26
Could this mysterious news site influence California’s 2026 election? -- A mysterious news site called the California Courier floods Facebook with conservative-leaning stories attacking Democrats. The site refuses to disclose its ownership or funding, but appears linked to conservative groups including the Lincoln Club of Orange County. It’s part of a nationwide “pink slime” network of fake-looking local news sites designed to influence elections. Colin Lecher Calmatters in the Los Angeles Times$ -- 01/12/26
Newsom’s last budget as governor would give schools and community colleges an unexpected $22 billion -- Schools and community colleges can expect billions of dollars in new funding, thanks to robust tax receipts tied to wealth from artificial intelligence companies, according to the governor’s 2026-27 state budget. John Fensterwald, Emma Gallegos, Zaidee Stavely, Diana Lambert, and Yuxuan Xie EdSource -- 01/12/26
Amid federal threats, UC and CSU get ‘critical’ support in Newsom’s proposed budget -- Gov. Gavin Newsom’s budget proposal unveiled Friday provided hopeful news for California’s public university systems, which would get funding increases that leaders say are desperately needed amid hostility from the federal government. Michael Burke EdSource -- 01/12/26
Workplace
Paramount Plans Proxy Fight to Push Hostile Warner Bid -- Paramount Skydance plans to launch a proxy fight for board seats at Warner Bros. Discovery the company said Monday, as it continues pushing its hostile bid for the company. Joe Flint and Lauren Thomas in the Wall Street Journal$ -- 01/12/26
Homeless
S.F. keeps offering homeless residents a free one-way ticket out. Many don’t want it -- Almost 100 fewer homeless people accepted travel funds out of San Francisco in 2025 than 2024, despite recent efforts to revitalize the initiative. Lucy Hodgman in the San Francisco Chronicle$ -- 01/12/26
Education
Will Newsom quickly settle a school facilities lawsuit as Schwarzenegger did? -- Gov. Gavin Newsom faces a decision in his last year as governor similar to one former Gov. Arnold Schwarzenegger faced in his first year two decades ago: How to deal with a lawsuit demanding that the state fix unhealthy and inadequate school facilities? John Fensterwald EdSource -- 01/12/26
Also
Skelton: Newsom overcomes unease, dyslexia to deliver a sterling State of the State address -- The most outstanding thing about Gov. Gavin Newsom’s final State of the State address last week was that he actually gave it. George Skelton in the Los Angeles Times$ -- 01/12/26
Arellano: Citizens are finally getting it: No one’s safe from Trump’s deportation ambitions -- The shooting deaths of U.S. citizens Keith Porter Jr. in Northridge and Renee Nicole Good in Minneapolis shows even those in the United States legally are targets for trigger-happy la migra. Gustavo Arellano in the Los Angeles Times$ -- 01/12/26
Unprecedented livestock attacks by one California wolf pack cost $2.6 million -- The unprecedented reliance of a single Sierra Valley wolf pack on livestock for food cost local ranchers and the state of California at least $2.6 million over a roughly six-month period last year, according to researchers at UC Davis. Sharon Bernstein in the Sacramento Bee$ -- 01/12/26
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For Years, Powell Avoided Fighting Trump. That’s Over -- In an extraordinary two-minute video message, Powell accused the administration of using the threat of criminal prosecution to pressure the Fed into lowering rates. He framed the Justice Department investigation as nothing less than a head-on challenge to the Fed’s ability to operate free of political control. Nick Timiraos in the Wall Street Journal$ Colby Smith in the New York Times$ -- 01/12/26
Dow Edges Lower, Gold Hits Record After Prosecutors Launch Powell Probe -- Stocks slipped, the dollar weakened and gold prices jumped to a record after Federal Reserve Chair Jerome Powell said President Trump was seeking to press the central bank into cutting interest rates with the threat of a criminal indictment. The item is in the Wall Street Journal$ -- 01/12/26
Meta taps former Trump adviser to be president, vice chair -- Meta named former Trump adviser Dina Powell McCormick to serve as president and vice chair Monday, further cementing the company’s growing ties to Republicans and President Donald Trump’s White House. Brendan Bordelon Politico -- 01/12/26
Trump is trying to change how the midterm elections are conducted -- The administration has gutted the role of the nation’s cybersecurity agency in protecting elections; stocked the Justice Department, Homeland Security Department and FBI from top to bottom with officials who have denied the legitimacy of the 2020 election; given a White House audience to people who, like the president, promote the lie that he won the 2020 election; sued over state and local election policies that Trump opposes; and called for a new census that excludes noncitizens. Patrick Marley and Yvonne Wingett Sanchez in the Washington Post$ -- 01/12/26
Trump Regrets Not Seizing Voting Machines After 2020 Election -- In an interview, the president said he should have ordered the National Guard to take the machines to find evidence of fraud, but added that the Guard might not have had the sophistication to do so. Alan Feuer and Ashley Ahn in the New York Times$ -- 01/12/26
Trump Says Civil Rights Led to White People Being ‘Very Badly Treated’ -- President Trump’s comments were a blunt distillation of his administration’s racial politics, which rest on the belief that white people have become the real victims of discrimination in America. Erica L. Green in the New York Times$ -- 01/12/26
Under Trump, U.S. Adds Fuel to a Heating Planet -- The president’s embrace of fossil fuels and withdrawal from the global fight against climate change will make it hard to keep warming at safe levels, scientists said. Lisa Friedman in the New York Times$ -- 01/12/26
Washington’s New Lobbyists: Paid Online Influencers With Few Rules -- Last summer, Donald Trump’s 28-year-old former campaign aide Alex Bruesewitz had some new advice for the president: reclassify marijuana as a less dangerous drug. “Nearly 70% of Republican voters support Trump on this. No brainer!,” he said to more than 640,000 followers on X. What Bruesewitz left out of the post: A political-action committee funded by legal marijuana’s biggest players had just paid him $300,000. Maggie Severns, Natalie Andrews, Josh Dawsey and Eliza Collins in the Wall Street Journal$ -- 01/12/26