Politics
Public defenders, foster kids, climate: Programs created during California's boom may stall amid deficit
Just a few years ago, California’s budget was overflowing with a record high surplus, spurring the creation of a slew of programs reflecting the state’s liberal ideals.
Democrats who control the state Capitol funded pilots to test new ways to support foster youth, help oil workers transition to cleaner industries and prevent more Californians from becoming homeless — just some of the ambitious ideas that became reality when the budget was flush.
Now, as the state faces an enormous budget deficit that the nonpartisan Legislative Analyst’s Office predicted in February could be as much as $73 billion, some of those programs could come to a screeching halt.
Gov. Gavin Newsom and Democratic lawmakers are considering significant cuts to some of the very initiatives they recently helped launch while promising to “protect our progress.”
It’s both a reflection of California’s wild budget fluctuations and what can happen in a one-party state known as a progressive policy trailblazer when financial times are good.
For Republicans, it’s an “I told you so” moment.
“The surpluses were absolutely abnormal. They should have put much more money into the budgetary reserve than they did,” said Sen. Roger Niello (R-Fair Oaks), vice chair of the Senate Budget Committee.
Newsom’s budget last year included record reserves of nearly $38 billion, but for those in the minority party like Niello, more could have been put away in lieu of creating costly new programs.
“Let’s not get too crazy with these huge revenues,” is the approach Democrats should have taken, Niello said.
Organizations such as the California Budget Policy Center, which advocates for low-income residents and policies that curb inequities, argue there’s nothing wrong with trying out new ideas when the money is there.
“The state needs these opportunities to experiment and practice innovation because you can improve the efficiency and effectiveness during those periods of time,” said Chris Hoene, executive director of the center. “The deficit is forcing them to pull back on a significant share of programs but … if there are better revenue periods ahead, they have said they will continue to make those investments.”
Reducing or altogether eliminating newer programs that are still being tested is better than cutting long established programs that Californians rely on, said H.D. Palmer, a spokesperson for Newsom’s Department of Finance.
“These clearly are proposals that wouldn’t be put forward were [it] not for the fact that we’ve got a substantial shortfall,” Palmer said. “It is understandable that people would have objections to these proposals. The question then becomes: What alternatives would people want to put forward, if you choose not to do these measures, that would provide us a like amount of savings to close the shortfall?”
Sen. Dave Min (D-Irvine) put it more bluntly during a legislative budget meeting held at the Capitol last week: “I’ll just be honest, this sucks.”
Newsom signed into law this week a budget agreement made with lawmakers that reduces the deficit by $17 billion, though it’s only a first step toward closing the yawning gap in the state’s spending plan.
As negotiations continue leading up to the June 15 deadline for lawmakers to pass a budget, here are some of the pilot programs Newsom has suggested scaling back or eliminating:
Support for public defenders and eligible prisoners
Prisoners who can’t afford to pay private attorneys and are eligible to have their sentences shortened could potentially stay behind bars longer due to one proposed funding reduction.
In 2021, a public defense pilot program was created to help attorneys cope with a backlog of cases involving prisoners eligible for earlier release under the state’s latest progressive resentencing laws.
Under the program, county public defender offices have received $100 million, collectively helping free more than 8,000 people in the program’s first six months, according to the California Board of State and Community Corrections. Many of those beneficiaries were charged with murder because of their involvement in a felony that led to a death, even if they were not the actual killer — a remnant of a law that California overturned in 2019.
The program now faces a $40-million reduction — a move proponents say could render some of California’s resentencing laws useless because understaffed and overburdened offices won’t be able to adequately assist those eligible.
A representative for Newsom said the funding given so far “still provides data for the evaluation of the results” of the program. But Ricardo Garcia, public defender for Los Angeles County, says it will hamper the state’s efforts to “right some of the mistakes of the past.”
In Los Angeles County, the program has led to the release of more than 100 prisoners, representing 685 fewer years of total potential incarceration, according to Garcia. The program has allowed Garcia’s office to hire more public defenders, social workers and support staff as they represent more than 800 eligible clients who await resentencing.
“Having all these statutes in place … isn’t very helpful if we don’t have the resources to implement it and to really make them effective,” Garcia said.
Help for struggling foster kids
Since 2019, thousands of foster kids — and some of their caretakers — have been able to call a 24/7 hotline for help with everyday conflicts and receive expert support.
The urgent response system was prompted by concerns about “placement disruptions” that can lead to instability and possibly homelessness for the already vulnerable youths.
The hotline annually serves about 5,000 foster children and caregivers, according to state data.
Child welfare advocates are calling on the governor and lawmakers to reconsider a $30-million proposed reduction — a cut they say will shutter the program entirely.
Foster placement changes in California decreased by 16% since the launch of the hotline, according to the data, and advocates say that’s no coincidence.
“We’re certain cutting it will lead to serious negative outcomes for foster children, including increased hospitalization and criminalization,” Ted Lempert, president of Children Now, said.
Funding for low-income housing
In 2023 alone, more than 100,000 Californians had to move because the owners of their homes fell behind on their bills, according to the Community Landtrust Network.
The foreclosure intervention housing preservation program was launched as a way to prevent displacement of renters. It offers grants to residents and nonprofits so they can buy properties at risk of foreclosure and keep them available as homes for people with low incomes.
Proponents of the program called it an “unprecedented” solution to the state’s homelessness crisis because it allows at-risk renters to stay where they are instead of potentially being forced onto the streets or into shelters.
Newsom proposed cutting $248 million meant for the program over three years — about half its total budget. Advocates are urging him to change his mind, as the funding has not even yet been disbursed.
“The need for the program is too great and both [the California Department of Housing & Community Development] and other key stakeholders have sunk too many resources into this pioneering housing strategy to hobble it now,” the Community Landtrust Network said in a statement.
A slew of climate friendly programs
Low-income Californians at the highest risk of wildfires destroying their homes, and oil and gas workers at risk of losing their jobs, are among those who could feel the brunt of climate programs now on the chopping block.
Funding reductions are proposed for a home hardening initiative, a program that helps workers find new jobs as the state moves away from fossil fuels, and a program that promotes composting in local governments.
The proposed reductions have environmental activists concerned, even as the budget draft maintains billions in investments to curb climate change and California is considered an international leader on the issue.
“The state needs to accelerate its efforts to prepare, not pull back — especially in vulnerable and underresourced communities,” Zack Cefalu, a legislative affairs analyst for the League of California Cities, said.
Politics
EXCLUSIVE: ICE says El Paso detention facility will stay open under new contractor after $1.2B deal scrapped
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EXCLUSIVE: Immigration and Customs Enforcement (ICE) said Camp East Montana in El Paso, Texas will remain open and is undergoing an operational upgrade, Fox News Digital has learned.
“Camp East Montana is NOT closing, quite the opposite,” an ICE spokesperson exclusively told Fox News Digital Tuesday.
“Rather, ICE has contracted with a new provider following Secretary Noem’s termination of the old contract inherited from the Department of War. ICE is always looking at ways to improve our detention facilities to ensure we are providing the best care to illegal aliens in our custody.”
Camp East Montana is photographed Friday, March 6, 2026, in El Paso, Texas. (Omar Ornelas/El Paso Times / USA TODAY NETWORK via Imagn Images)
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The spokesperson said the new contract will allow the facility to maintain what the agency described as the “highest detention standards” while expanding oversight.
According to ICE, the new contractor will also provide increased on-site medical care, additional staffing and a “PRECISE quality assurance surveillance plan.”
The agency said the updated agreement also strengthens ICE’s direct oversight of operations at the El Paso-area facility.
“Far from closing, Camp East Montana is upgrading,” the spokesperson said.
El Paso immigration facility faces scrutiny but ICE says Camp East Montana is upgrading, not closing, after the $1.2 billion contract termination. (Omar Ornelas/El Paso Times / USA TODAY NETWORK via Imagn Images)
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The news that the facility will remain open comes after The Washington Post reported that the facility could face closure amid scrutiny over operations.
A document was distributed to ICE staff, the Post reports, indicated that the agency was drafting a letter to terminate the facility’s $1.2 billion contract at an unspecified date.
ICE officials, however, characterized the contract termination as a deliberate effort by Noem to raise standards and improve services.
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Camp East Montana is photographed Friday, March 6, 2026, in El Paso, Texas, as a bus enters the detention center. (Omar Ornelas/El Paso Times / USA TODAY NETWORK via Imagn Images)
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The facility, located at Fort Bliss in Texas, has been used to house thousands of detainees as part of the Trump administration’s immigration enforcement efforts.
ICE did not immediately provide details on the identity of the new contractor or the timeline for full implementation.
WASHINGTON — Russia is emerging as one of the few early economic beneficiaries of the war with Iran, as disruptions to energy infrastructure drive up demand for Russian exports and the world casts its gaze to the Middle East and away from Moscow’s war in Ukraine.
The U.S. and its European counterparts slapped severe sanctions on Russia in March 2022, barely a month into Russian President Vladimir Putin’s full-scale invasion of Ukraine. The effect was a stranglehold on Russia’s exports, depriving Putin’s war effort of at least $500 billion, experts say. But over the last week, as President Trump’s war in the Middle East choked energy markets worldwide, the White House began easing its restrictions on Moscow.
“It is traitorous conduct for you to help Russia,” California Rep. Ted Lieu (D-Torrance) said on X, demanding the Trump administration reverse course. “Russia is giving intelligence info to Iran that helps Iran target American forces.”
Crude droplets rained over Tehran after Israeli airstrikes decimated oil depots, draping the Iranian capital in a dense smog. Iranian counterattacks have also targeted refineries and oil fields in Saudi Arabia and Bahrain. Crude oil prices have surged, and traffic through the Strait of Hormuz has all but ceased, sending energy importers in search of alternate sources.
Those spikes are giving Russia, one of the world’s largest oil and gas exporters, a rare advantage. After spending a decade as the world’s most sanctioned nation over his aggression in Ukraine, Putin is finally starting to regain some leverage in global markets.
“In the current economic situation, if we refocus now on those markets that need increased supplies, we can gain a foothold there,” Putin said at a meeting at the Kremlin on Monday, according to Russian state media. “It’s important for Russian energy companies to take advantage of the current situation.”
On March 4, the Treasury Department issued a temporary 30-day waiver allowing Indian refiners to purchase Russian oil. The appeal by the Trump administration was described as a way to ease demand for Mideast oil, but was criticized as a reversal of sanctions placed against Putin meant to deny him the capital needed to fund his occupation of eastern Ukraine.
Now, Moscow is poised to press that advantage further, after Trump said Monday he will further lift sanctions on oil-producing countries to ease the trade friction and reintroduce additional oil and gas supplies. The only countries with U.S. oil sanctions are Russia, Iran and Venezuela.
“So, we have sanctions on some countries. We’re going to take those sanctions off until this straightens out,” Trump said at a news conference at his golf club in Doral, Fla. “Then, who knows, maybe we won’t have to put them on — they’ll be so much peace.”
The surprise concession to Moscow comes as reports suggest Russia is assisting Iran in targeting U.S. personnel.
Trump’s announcement followed an unscheduled hourlong call with Putin about the situation in the Middle East.
The war has also set the stage for Russia to make gains in Ukraine, as hostilities draw the global spotlight away from Kyiv and its struggle to hold back the bigger Russian army. U.S.-brokered talks between the two adversaries have been sidelined as Washington shifts focus to its war in Iran.
“At the moment, the partners’ priority and all attention are focused on the situation around Iran,” Ukrainian President Volodymyr Zelensky said on X. “We see that the Russians are now trying to manipulate the situation in the Middle East and the Gulf region to the benefit of their aggression.”
Putin is unlikely to intervene militarily on Iran’s behalf, according to Robert English, an international foreign policy expert at USC. Instead, Putin is expected to play his position carefully, reap the economic rewards, and keep focused firmly on Ukraine at a time when key air defense systems are diverted from Ukraine to the Persian Gulf.
“Russia is winning the Iran-U.S.-Israel war, at least so far. Oil and natural gas prices have soared, filling Putin’s Ukraine war chest,” he said. “Russia is gathering forces for a big spring offensive in Eastern Ukraine, and it’s not even front-page news.”
Ukraine has dispatched drone interceptors and ordered its anti-drone experts to pivot from their war with Russia to help Western allies help intercept Iranian attacks. Zelensky’s allegiance may not pay off, English said.
“When will Ukraine see the benefits of helping the U.S. with anti-drone technology? No time soon, apparently,” he said.
Even several weeks of interruption in Gulf energy supplies could bring the largest windfall to Russia, the Associated Press reported, citing energy analysts.
The economic turmoil caused by the war has exposed vulnerabilities in Europe’s energy system, particularly its lingering dependence on Russian fuel.
Despite sanctions, the European Union remains a major purchaser of Russian natural gas and crude oil. Russian gas accounted for approximately 19% of E.U. gas imports in 2025. Allied Europeans have agreed to completely stop importing Russian liquefied natural gas, oil and pipeline gas by late 2027.
Putin expressed no desire Monday to rescue the European market now that U.S.-Israeli escalations and Iranian retaliation have choked oil production and shipping. The Russian president instead proposed to divert volumes away from the European market “to more promising areas” like the Asia-Pacific region, Slovakia and Hungary, which he said were “reliable counterparties.”
European leaders have been criticized for being “stunned, sidelined, and disunited” since hostilities began in late February. Excluded from the initial military planning by the U.S. and Israel, Europe entered the conflict with gas storage at only 30% capacity, the lowest levels in years. Instead of bold action, English said, European leaders have quarreled over internal divisions and rivalries.
“Sky-high energy prices are the underlying cause of many of these frictions, as Europe struggles now more than ever to find affordable alternatives to the cheap Russian petroleum,” English said.
Antonio Costa, president of the European Council, told European leaders in Brussels on Tuesday that rising energy prices and the world’s shifting attention risk strengthening the Kremlin at a critical moment in the war in Ukraine.
“So far, there is only one winner in this war,” Costa said. “Russia.”
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President Donald Trump is taking his feud with Rep. Thomas Massie, R-Ky., to the libertarian lawmaker’s home turf on Wednesday.
Trump is expected to hold an event in Hebron, Kentucky, on Wednesday, the Republican Party of Kentucky announced on social media Monday. It’s located in the northern part of the state’s 4th Congressional District, which Massie represents.
Massie’s primary rival, Ed Gallrein, will attend the Hebron event, his campaign confirmed to Fox News Digital on Tuesday, while deferring all other questions on the matter to the White House.
Massie himself will miss the event due to a previously scheduled official engagement, his spokesperson told Fox News Digital.
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President Donald Trump will be visiting Rep. Thomas Massie’s congressional district on Wednesday. (Win McNamee/Getty Images; Nathan Posner/Anadolu via Getty Images)
When asked about the visit, White House spokeswoman Liz Huston told Fox News Digital, “President Trump will visit the great states of Ohio and Kentucky on Wednesday to tout his economic victories and detail his Administration’s aggressive, ongoing efforts to lower prices and make America more affordable.”
The president has thrown his considerable influence behind Gallrein to unseat Massie after the GOP lawmaker publicly defied Trump on multiple occasions.
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Massie most recently was one of two House Republicans to vote to stop Trump’s joint operation in Iran with Israel, though the legislation was successfully blocked by the majority of GOP lawmakers and a handful of Democrats.
Ed Gallrein, left, seen with President Donald Trump in the Oval Office at the White House. (Ed Gallrein congressional campaign)
He was also one of two Republicans to vote against Trump’s “big, beautiful bill” last year.
Trump in turn has hurled a slew of personal attacks against Massie, including calling him “weak and pathetic” in a statement endorsing Gallrein in October.
“He only votes against the Republican Party, making life very easy for the Radical Left. Unlike ‘lightweight’ Massie, a totally ineffective LOSER who has failed us so badly, CAPTAIN ED GALLREIN IS A WINNER WHO WILL NOT LET YOU DOWN,” Trump posted on Truth Social at the time, one of numerous criticisms targeting the Kentucky Republican through the years.
He called Massie the “worst Republican congressman” in July amid Massie’s bipartisan push to force the Department of Justice (DOJ) to release its files on Jeffrey Epstein.
Then-Rep. Marjorie Taylor Greene, a Republican from Georgia, Rep. Thomas Massie, a Republican from Kentucky, and Rep. Ro Khanna, a Democrat from California, during a news conference outside the U.S. Capitol in Washington, D.C., on Tuesday, Nov. 18, 2025. (Graeme Sloan/Bloomberg via Getty Images)
But Massie has so far appeared to defy political gravity despite making political enemies out of both Trump and House GOP leaders.
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He handily defeated multiple primary challengers in 2024 and 2022, despite public feuds with Trump, and has served his district since 2012.
Gallrein is a retired Navy SEAL and farmer who launched his campaign days after Trump made his endorsement. Their primary election day is May 19.
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