Politics
The Hitchhiker’s Guide to what happened to the interim spending bill
The 1,547-page interim spending bill to avoid a government shutdown is effectively dead. House Speaker Mike Johnson (R-La.) has all but yanked the plan off the floor after President-elect Trump, Vice President-elect Vance and Elon Musk torched the package to avoid a government shutdown this weekend and fund the government through March 14.
Had House Republicans had the votes to pass the bill – without leaning too heavily on Democrats – Republicans may have been able to pass the bill late Wednesday afternoon before the intervention of Mssrs. Trump and Vance. But there was just too much grassroots pressure, sparked by Musk on X and elsewhere.
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The stopgap spending package proved unpopular due to its size, and various legislative ornaments festooned on the bill like a Christmas tree. Conservatives were expecting Johnson to handle the spending plan differently this year at the holidays. But it backfired. Badly.
It’s notable that Mr. Trump did not weigh in until the 11th hour. He also demanded a debt ceiling increase. That’s something which faced the President-elect in the first quarter of the year and threatened to derail any legislative agenda or potentially spook the markets.
Johnson’s decision to veer off course – despite touting the bill heartily on Fox this morning – underscores several things.
President-Elect Donald Trump reacts during his meeting with Prince William, Prince of Wales at the Embassy of the United Kingdoms Residence on December 7, 2024 in Paris, France. (Oleg Nikishin/Getty Images)
This is a sign of things to come once President-elect Trump is in office. And that could present problems for Johnson as he may be at the whim of decisions by the new President?
Why did Johnson pull the bill?
It was wildy unpopular with his rank and file. But it devolved further once Musk and the President-elect got infused themselves.
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In many respects, Johnson’s decision to pull the bill was all about January 3. That’s the day of the Speaker’s vote. With 434 members to start the new Congress, Johnson needs 218 votes. Otherwise, he lacks a majority and cannot become Speaker. The House must vote repeatedly – as it did in January 2023 – before electing former House Speaker Kevin McCarthy (R-Calif.) five days later in what was the longest Speaker’s race since the 1850s.
Johnson tried to salvage himself in the Speaker’s vote by adding emergency agriculture spending to the bill. But Johnson is now trying to salvage himself by coming up with a new bill.
Speaker of the House Mike Johnson (R-LA) listens during a news conference following the Republican conference meeting at the U.S. Capitol on January 17, 2024, in Washington, DC. (Kent Nishimura/Getty Images)
The irony is that Johnson did not want to create drama before Christmas with a spending package. But drama is exactly what he got in what quickly became the worst Congressional holiday standoff since the fiscal cliff in 2012 or a government shutdown threat in 2014.
So here’s the $64,000 Question: What play does Johnson call next?
Does he do a clean CR to fund the government with nothing attached? Is it a bill that just re-ups current funding coupled with disaster aid? Do they attach a debt ceiling suspension as President-elect Trump has requested?
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And then the biggest question of all: can ANYTHING pass at all? Especially without votes from the Democrats?
Johnson has a tranche of conservatives who won’t vote for any CR at all. Many of them would also not vote for a debt ceiling increase, either.
And even if there is a new bill, do conservatives insist on waiting three days to ponder that bill? That triggers a government shutdown right there.
The US Capitol in Washington, DC, on Monday, Nov. 11, 2024. (Stefani Reynolds/Bloomberg via Getty Images)
The deadline is 11:59:59 pm ET on Friday.
So this is going to require someone to pull a rabbit out of a hat.
President-elect Trump’s maneuver today is reminiscent of a similar move he made in December 2019, which sparked the longest government shutdown in history.
Then-Senate Majority Leader Mitch McConnell (R-Ky.), then-Appropriations Committee Chairman Richard Shelby (R-Ala.) and others thought they had a deal to fund the government and avoid a Christmas-time shutdown.
The Senate voted for the bill. Senators even sat in the back of the chamber and sang Christmas carols during the vote.
Mr. Trump then balked at the last minute. House Republicans followed suit. The government shut down for more than a month.
Politics
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)
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.’”
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.
Politics
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.
(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.”
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.
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.
Counterprotester Victoria Cooper, 72, holds signs and shouts at participants of the “ICE Out” protest in Huntington Beach.
(Kayla Bartkowski / Los Angeles Times)
“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.”
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.
Counterprotester Kelly Johnson stands across from the “ICE Out” demonstration.
(Kayla Bartkowski / Los Angeles Times)
“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.”
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.”
Politics
Video: Fed Chair Responds to Inquiry on Building Renovations
new video loaded: Fed Chair Responds to Inquiry on Building Renovations
transcript
transcript
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.
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“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.”
By Nailah Morgan
January 12, 2026
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