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Newsom tries to redefine the California-vs.-Trump narrative

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Newsom tries to redefine the California-vs.-Trump narrative

Nearly two weeks after Gov. Gavin Newsom launched a special session to fund legal battles against the president-elect, the Democratic leader appeared to be trying to tone down and reframe the California-vs.-Trump narrative he set in motion.

“It’s not a resistance brand,” Newsom said in an interview with The Times. “It’s around pragmatism. It’s about preparedness. We would be fools not to get on top of this before January.”

The subtle shift signals the governor may be revising his role as a liberal champion in the nation’s culture wars in the wake of Donald Trump’s defeat of Vice President Kamala Harris.

But as he set out on a “California jobs first” tour to talk about the economy in the Central Valley, Newsom couldn’t resist the gravitational pull back into the fight over progressive values with Trump.

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Despite the state budget crunch, he announced Monday that California will offer rebates for those who purchase zero-emission vehicles if Trump follows through with a threat to end federal subsidies for clean cars. Tesla could be excluded from the state rebates under a plan to restrict the credits to manufacturers with lesser market share, a jab at Trump ally and Newsom critic Elon Musk, Tesla’s owner.

The seesaw underscores Newsom’s challenge as he tries to strike a delicate balance between the political brawler that his Democratic base admires and a more measured national leader capable of winning back disenfranchised voters across the country who backed Trump in the election.

“He’s caught between this old way of being the tip of the spear and just being pure resistance and now considering a presidential run,” said Mike Madrid, a Republican political consultant.

Madrid said Newsom isn’t alone. The governor’s shuffle, in Madrid’s view, personifies a reckoning happening within a Democratic Party focused on identity politics in 2024 without realizing that Trump was winning over voters on economic issues.

“Gavin Newsom has led the Democratic Party into a place where they can win these cultural battles, but that’s not what this election was about,” Madrid said. “The battle is about affordability, and California’s got a huge weakness there.”

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The presidential election showcased the Republican strategy of typecasting California and the Democratic Party as left of most of the country. California leaders are preparing to defend against mass deportations, a reversal of LGBTQ+ rights and efforts to weaken climate change policies when Trump takes office.

Embracing electric vehicles is another Democratic litmus test that runs afoul of Trump’s agenda. Newsom has led the way with a mandate to transition all new car sales in California to zero-emission vehicles by 2035. New state subsidies, he argued, seek to protect the electric vehicle market and industry jobs based here.

To his Republican foes in California, the proposed electric vehicle credits are another example of the liberal governor being “out of touch.”

Nationwide only about 3 in 10 Americans would consider buying an electric vehicle, according to a recent study by the Pew Research Center. In the Golden State, electric vehicles account for about 25% of all new car sales — a rise that Newsom touts but which shows most Californians aren’t yet making the switch.

“The reality for most working people is they need their gas-powered vehicle, they can’t afford an electric vehicle, nor do they want one,” said Assembly Republican Leader James Gallagher (R-Yuba City). “When you’re talking about greater tax credits for Hollywood and money for people who want to buy EVs, you’ve missed the memo, bud.”

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David McCuan, a professor of political science at Sonoma State University, said subsidies for electric vehicles are a “limousine liberal” issue that wealthy college-educated voters care about, while the working-class voters the party is losing are more worried about the cost of gasoline and the rent.

“Wokeism gives him a platform, but wokeism also exposes his political weaknesses,” McCuan said. “The culture war issues that provide his exposure also are somewhat of an Achilles’ heel for delivering the vote.”

If Newsom has aspirations for the White House, the governor needs to demonstrate more discipline than “knee-jerk” reactions to Trump that draw headlines across the country, and he should craft an inclusive message about the way forward, McCuan said.

“He needs to be front and center in voters’ minds and when they cast their ballot, and that’s the political maturity test that I think he has yet to meet,” McCuan said.

As lawmakers prepare to return to the state Capitol to begin the special session Monday, Newsom and legislative leaders have repeated the message that they’re ready to work with the incoming president. The special session seeks to increase legal funding for the California Department of Justice to protect abortion access, climate change policies, LGBTQ+ rights and disaster funding to make sure California isn’t caught off guard if Trump carries out his agenda as expected, they said.

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“It goes without saying if there are opportunities to be able to work together with the new administration that benefit California, of course, we’re all in,” state Senate President Pro Tem Mike McGuire (D-Healdsburg) said. “But let’s be clear, if the president-elect tries to undermine our state, undermine our freedoms or our democracy, he’s going to quickly see how determined the people of California truly are.”

Assembly Speaker Robert Rivas (D-Hollister) said he told his caucus a few days after the election that this isn’t 2016, when legislators introduced a flurry of bills to “Trump-proof” California, because so much of that work is already done. Lawmakers, he said, should focus on helping California residents who stand to lose under the incoming president.

The message voters sent in the election also provides an opportunity for his caucus to advance its priorities around housing affordability and making families feel as though future generations will be able to afford to live here.

“For me as a member of the Assembly and as speaker of the Assembly, I obviously feel a great sense of responsibility because it falls to us to ensure that we’re making progress on these issues, and we just clearly have not convinced residents that we’re doing that,” Rivas said.

Madrid said it’s common for any party to reassess after losing an election. But more tests await Newsom and Democrats on immigration and other issues after Trump is inaugurated.

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Their attempts to restrain themselves in the national fight and focus on the cost of living could be out the window by mid-January, he said.

“The chances of the affordability problem being resolved is very minimal because the problem, essentially, is about housing, and that’s not something you solve overnight,” Madrid said. “It’s something that we have neglected for decades and particularly in this administration.”

Staff writer Jaweed Kaleem contributed to this report.

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Conservative legal group targets CFPB rule mandating race, sex data in home loans

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Conservative legal group targets CFPB rule mandating race, sex data in home loans

NEWYou can now listen to Fox News articles!

FIRST ON FOX: A Trump-aligned legal group is urging the Consumer Financial Protection Bureau to scrap its demographic reporting mandate, arguing that the rule allows lenders to consider the race and sex of mortgage applicants as part of diversity, equity and inclusion efforts.

America First Legal said in a petition, first reviewed by Fox News Digital, that the CFPB should encourage mortgage lenders to focus strictly on the creditworthiness of home buyers. The CFPB’s Regulation C, which requires the lenders to track and report race and sex, is unconstitutional, the group argued.

“The disclosure of this information leaves applicants vulnerable to race- and sex-based discrimination by government and private actors in violation of federal civil rights law and the Constitution,” an America First Legal representative wrote.

A view of the Consumer Financial Protection Bureau (CFPB) headquarters building in Washington, D.C., on Feb. 10, 2025. (Getty Images)

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The petition comes as part of a broader effort by President Donald Trump to quash diversity, equity and inclusion, also known as DEI, in the public and private sectors. The petition aligns with an executive order Trump signed in April urging a “meritocracy and colorblind society.” The order was aimed at agencies responsible for evaluating people’s credit.

DEI is a framework that companies, schools, government agencies and other entities have adopted to promote equal treatment for minorities, but conservatives have long argued its practices can be discriminatory by improperly extending preferential treatment to them.

America First Legal said Regulation C flies in the face of the administration’s sweeping efforts to root out DEI across industries. The group’s petition functions as a request to the CFPB to formally begin the process of eliminating the regulation.

The Trump administration slashed $15 million in DEI contracts. (Reuters/Getty)

“The federal government has no business forcing Americans to disclose their race or sex as a condition of applying for a mortgage,” America First Legal President Gene Hamilton said in a statement. “Regulation C pressures lenders to sort borrowers by immutable characteristics and invites discrimination under the guise of ‘equity.’”

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The CFPB was created by Congress in the aftermath of the 2008 financial crisis to investigate complaints about mortgages, various other loans and other banking activity that involves consumers.

Russell Vought, director of the Office of Management and Budget, is also leading the Consumer Financial Protection Bureau. (Anna Moneymaker/Getty Images)

But since its inception, Republicans have targeted the agency as a rogue entity that imposes unnecessary and burdensome regulations on financial institutions.

The acting director of the agency, Russell Vought, has sought to shutter the CFPB entirely, but those efforts have thus far been stalled by the courts, which have found that only Congress can get rid of it. The CFPB has remained somewhat operational, as it has been filing reports through late last year, and Vought recently requested an additional $145 million to fund it to remain compliant with a recent court order.

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Thousands gather statewide in anti-ICE protests, including hundreds in Huntington Beach

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Thousands gather statewide in anti-ICE protests, including hundreds in Huntington Beach

More than 60 largely peaceful protests took place this weekend against U.S. Immigration and Customs Enforcement actions, including several in Southern California.

But while many protests were without incident, they were not short on anger and moments of tension. Organizers called the gatherings the “ICE Out for Good” weekend of action in response to the fatal shooting of Renée Nicole Good by an Immigration and Customs Enforcement agent in Minneapolis.

In Huntington Beach, Ron Duplantis, 72, carried a diagram to represent the three shots fired at Good, including one through her windshield and two others that appeared to go through her side window.

“Those last two shots,” he said, “make it clear to me that this is murder.”

Participants in the “ICE Out” protest hold signs Sunday in Huntington Beach.

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(Kayla Bartkowski / Los Angeles Times)

Huntington Beach has seen past clashes between Trump supporters and anti-racism activists, but as of mid-afternoon, Sunday’s protest was tense at times, but free of violence. About 300 people — and two dozen counterprotesters — stood outside City Hall, with protesters carrying anti-ICE signs, ringing cowbells and chanting “ICE out of O.C.”

As cars sped past them on Main Street, many motorists honked in a show of solidarity, while some rolled down their windows to shout their support for ICE, MAGA and President Trump.

“The reason why I’m here is democracy,” said Mary Artesani, a 69-year-old Costa Mesa resident carrying a sign that read “RESIST.” “They have to remember he won’t be in office forever.”

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A car with a MAGA hat on the dashboard passes an "ICE Out" protest.

Participants in the “ICE Out” protest in Huntington Beach hold signs as a car with a MAGA hat in the windshield passes.

(Kayla Bartkowski / Los Angeles Times)

The Trump administration has largely stood behind the ICE agent, identified as Jonathan Ross, with Homeland Security Secretary Kristi Noem saying he acted in self-defense. Democratic officials and many members of the public have said the videos of the shooting circulating on social media appear to contradict at least some of the administration’s assertions.

“I’m outraged a woman was murdered by our government and our government lied to our faces about it,” said protester Tony Zarkades, 60, who has lived in the Huntington Beach area for nearly 30 years. A former officer in the Marines, Zarkades said he is thinking of moving to Orange to escape the presence of so many Trump supporters in Huntington Beach.

Large protests against ICE occurred in the Bay Area as well as Sacramento and other California cities over the weekend. In Oakland, hundreds demonstrated peacefully on Sunday, although the night before, protesters assembled at the Ronald V. Dellums Federal Building and left graffiti, according to a report in the San Francisco Chronicle.

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In Los Angeles on Saturday night, protesters marched through the downtown area to City Hall and past the Edward Roybal Federal Building, with the L.A. Police Department issuing a dispersal order at about 6:30 p.m., according to City News Service.

While many of the protests focused on what happened to Good in Minnesota, they also recognized Keith Porter Jr., a man killed by an off-dutyICE agent in Northridge on New Year’s Eve.

In Huntington Beach, the coastal community has long had a reputation as a Southern California stronghold for Republicans, though its politics have recently been shifting. Orange County has a painful legacy of political extremism, including neo-Nazism. In 2021, a “White Lives Matter” rally in the area ended in 12 arrests.

On Sunday, a small group of about 30 counterprotesters waved Trump and MAGA flags on a corner opposite from the anti-ICE rally.

A handful of people hold American flags and signs.

Counterprotester Victoria Cooper, 72, holds signs and shouts at participants of the “ICE Out” protest in Huntington Beach.

(Kayla Bartkowski / Los Angeles Times)

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“We’re here to support our country and president and support ICE,” said Kelly Johnson, who gave his age as “old enough to be your sugar daddy.”

Wearing an “ICE Immigration: Making America Safe Again” T-shirt, Kelly said the protesters were “paid agitators” who had been lied to by the media.

“Look at the other angles of the [shooting] videos,” he said. “She ran over the officer.”

Standing with him was Jesse Huizar, 66, who said he identifies as a “Latino for Trump” and was here to “support the blue.”

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The Chino resident said he came to the U.S. from Mexico when he was 5, but that he has no fear of ICE because he “came here legally.”

Huizar said Good’s death was sad, but that she “if she had complied, if she got out of her car and followed orders, she’d be alive right now.”

But their voices were largely overpowered by those of the anti-ICE protesters. One of the event’s organizers, 52-year-old Huntington Beach resident Denise G., who declined to give her last name, said they’ve been gathering in front of City Hall every Sunday since March, but that this was by far one of the largest turnouts they have seen.

She felt “devastated, angry, and more determined than ever” when she saw the video of Good’s shooting, she said.

A man in an "ICE Immigration: Make America Safe Again" shirt stands across from protesters.

Counterprotester Kelly Johnson stands across from the “ICE Out” demonstration.

(Kayla Bartkowski / Los Angeles Times)

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“It could be any one of us,” she said. “The people not out here today need to understand this could be their family member, their spouse, their children. The time is now. All hands on deck.”

Nearby, 27-year-old Yvonne Gonzales had gathered with about 10 of her friends. They said they were motivated to come because they were outraged by the shooting.

“I wish I was surprised by it,” Gonzales said, “but we’ve seen so much violence from ICE.”

She suspected that race was a factor in the outpouring of support, noting that Good was a white woman while many others who have been injured or killed by immigration enforcement actions have been people of color, but that it was still “great to see this turnout and visibility.”

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A few feet away, 41-year-old Christie Martinez stood with her children, Elliott, 9, and Kane, 6. She teared up thinking about the shooting and the recent ICE actions in California, including the killing of Porter.

“It’s sad and sickening,” said Martinez, who lives in Westminster. “It makes me really sad how people are targeted because of their skin color.”

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Video: Fed Chair Responds to Inquiry on Building Renovations

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Video: Fed Chair Responds to Inquiry on Building Renovations

new video loaded: Fed Chair Responds to Inquiry on Building Renovations

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Fed Chair Responds to Inquiry on Building Renovations

Federal prosecutors opened an investigation into whether Jerome H. Powell, the Federal Reserve chair, lied to Congress about the scope of renovations of the central bank’s buildings. He called the probe “unprecedented” in a rare video message.

“Good evening. This new threat is not about my testimony last June or about the renovation of the Federal Reserve buildings. This is about whether the Fed will be able to continue to set interest rates based on evidence and economic conditions, or whether instead, monetary policy will be directed by political pressure or intimidation.” “Well, thank you very much. We’re looking at the construction. Thank you.”

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Federal prosecutors opened an investigation into whether Jerome H. Powell, the Federal Reserve chair, lied to Congress about the scope of renovations of the central bank’s buildings. He called the probe “unprecedented” in a rare video message.

By Nailah Morgan

January 12, 2026

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