California Policy and Politics Wednesday

Federal Reserve cuts key rate but signals higher bar for future reductions -- The Federal Reserve reduced its key interest rate for the third time in a row Wednesday but signaled that it may leave rates unchanged in the coming months, a move that could attract ire from President Donald Trump, who has demanded steep reductions to borrowing costs. Christopher Rugaber Associated Press -- 12/10/25

Trump must end National Guard deployment in L.A., judge rules -- A federal judge ruled Wednesday that the Trump Administration must end the deployment of the National Guard in Los Angeles. Federal judge Charles R. Breyer said in his ruling that the guard should be returned to the control of Gov. Gavin Newsom. Joseph Serna in the Los Angeles Times$ -- 12/10/25

 

Californians are being detained by ICE despite being U.S. citizens. Will it keep happening? -- Cary Lopez Alvarado, a U.S. citizen, was nine months pregnant when, according to her lawyers, federal immigration agents seized her in June while she was standing outside a gate on private property in the Los Angeles suburb of Hawthorne. They shoved her onto a parked truck and put shackles under her stomach, her lawyers said. Bob Egelko in the San Francisco Chronicle$ -- 12/10/25

This county just created the Bay Area’s first ‘ICE-free zone’ -- Santa Clara County supervisors on Tuesday passed an ordinance that will limit federal immigration officers from carrying out raids on municipal property — creating what was believed to be the Bay Area’s first official “ICE-free zone.” Jessica Flores in the San Francisco Chronicle$ -- 12/10/25

Huntington Beach loses challenge in federal court to state sanctuary -- A federal judge has dismissed Huntington Beach’s lawsuit against the state’s landmark sanctuary law, which limits cooperation between local law enforcement and federal immigration authorities. Claire Wang in the Orange County Register$ -- 12/10/25

 

OpenAI files its first ballot measure on AI in California -- OpenAI is diving into California’s competitive world of ballot measure politics for the first time to counter another kids’ AI safety proposal with its own plan for reining in the very technology it develops. Tyler Katzenberger Politico -- 12/10/25

The Silicon Valley Campaign to Win Trump Over on AI Regulation -- At a November meeting in the Oval Office, Nvidia Chief Executive Jensen Huang gave President Trump an ominous message: A patchwork of artificial-intelligence laws in states such as California threatened technology development in the U.S. Amrith Ramkumar, Natalie Andrews and Annie Linskey in the Wall Street Journal$ -- 12/10/25

This might be the defining issue in the race to succeed Nancy Pelosi -- State Sen. Scott Wiener and San Francisco Supervisor Connie Chan stood side by side, smiling, as they cut a ceremonial red ribbon to mark the debut of a new affordable-housing complex on the west side of the city last month. J.D. Morris, Alexei Koseff in the San Francisco Chronicle$ -- 12/10/25

Top California budget adviser reflects on ‘daunting’ fiscal outlook -- Gabriel Petek, California’s Legislative Analyst, warned in a report last month that the state’s current $18 billion deficit is driven by structural spending imbalances that could balloon to $35 billion annually in the coming years. Kate Wolffe in the Sacramento Bee$ -- 12/10/25

Walters: Cap and trade gets a new name and a new mission beyond cutting carbon pollution -- Nineteen years ago, during actor Arnold Schwarzenegger’s governorship, he and the Legislature created a program that would, in theory, reduce California’s emissions of carbon dioxide and other gases deemed to affect the planet’s climate. Dan Walters Calmatters -- 12/10/25

Workplace

Hollywood has already faced steep job cuts. The Warner deal could make it worse -- Industry workers fear that a consolidation between two major players in Hollywood could further decrease production and lead to the sweeping job cuts that typically occur after big corporate acquisitions. Many have pointed to the downsizing that followed Walt Disney Co.’s $71-billion purchase in 2019 of much of Rupert Murdoch’s Fox entertainment assets. Meg James and Samantha Masunaga in the Los Angeles Times$ -- 12/10/25

CA auditor confirms unions’ concerns that contractors are taking state jobs -- Several state medical and correctional facilities in California failed to meet required staffing levels, a recent report from the California State Auditor found. The audit, which was pushed by state worker unions, confirmed labor groups’ concerns that departments are filling vacancies with contracted workers, instead of public employees. William Melhado in the Sacramento Bee$ -- 12/10/25

Intel trims more South Bay jobs as chip maker seeks to steady the ship -- The tech company revealed it cut 59 jobs, all in Santa Clara, where the company has its headquarters. The cuts took place on Nov. 30, but were posted to the state Employment Development Department website this week. George Avalos in the San Jose Mercury$ -- 12/10/25

California puts $5.5M toward helping inmate firefighters land jobs after release -- Ramey said the new funding would help his organization double the number of former inmates it moves through its program to about 200 people annually within the next three years. Kate Wolffe in the Sacramento Bee$ -- 12/10/25

Education

UC Berkeley suspends pro-Palestinian lecturer over political advocacy in classroom -- UC Berkeley has suspended a lecturer and pro-Palestinian activist for political advocacy in the classroom, drawing criticism from Muslim rights advocates who have already declared the university a “hostile campus” for their allies. Nanette Asimov in the San Francisco Chronicle$ -- 12/10/25

Congress approves an economic lifeline for rural schools in California and elsewhere -- Despite broad bipartisan support, the Secure Rural Schools Act, run by the U.S. Forest Service, expired in the fall of 2023, with final payments made in 2024. School budgets are largely supported by property taxes. The Secure Rural Schools Act aids districts surrounded by untaxed federal land. On Tuesday, the U.S. House overwhelmingly voted to extend the program through 2027. Hailey Branson-Potts in the Los Angeles Times$ -- 12/10/25

California schools inch closer to rescuing mental health funds slashed by Trump -- California school districts were bracing for their mental health grants to be cut at the end of the month, but a recent court ruling could force the Trump administration to temporarily release the remaining funds used for school social workers and counselors. Vani Sanganeria EdSource -- 12/10/25

Hunger is squeezing California students — and it could get worse -- Three in 10 Californians say they or someone in their home has cut back on food to save money. Nearly 3 in 4 California families with a child under 6 say they have struggled with one or more basic needs, such as utilities, housing, food, health care and child care. Emma Gallegos EdSource -- 12/10/25

Housing

After California lawsuits, Trump administration pauses plan to divert billions of dollars from homeless housing -- The Trump administration has temporarily paused a plan to divert billions of dollars in homelessness spending away from permanent housing, a move that critics of the plan, including a Silicon Valley congressman, said is a win for local efforts to fight homelessness and prevent formerly unhoused Californians from being forced back to the street. Ethan Varian in the San Jose Mercury$ Jason DeParle in the New York Times$ -- 12/10/25

S.F. housing nonprofit fund hits $100 million, promising faster and cheaper affordable homes -- The nonprofit that has a proven track record of using creative approaches to lower the cost of affordable residential construction, has raised another $50 million for its Bay Area Housing Innovation Fund, bringing total investment to $100 million. J.K. Dineen in the San Francisco Chronicle$ -- 12/10/25

L.A. City Council passes ordinance to streamline affordable housing -- During her first week in office three years ago, Mayor Karen Bass issued a sweeping directive to speed up affordable housing applications. Now, that plan is permanent. Jack Flemming in the Los Angeles Times$ -- 12/10/25

How to make San Diego more affordable? Mayor Gloria is betting on this kind of housing -- San Diego is launching an effort to make its pricey single-family neighborhoods more affordable to young families by rezoning some properties to allow duplexes, cottages, townhomes and bungalow courts. David Garrick in the San Diego Union Tribune$ -- 12/10/25

Insurance

Home insurance costs are up 150% in one part of California. This map shows premiums by county -- Mariposa County had the highest insurance costs in California last year, at a median of about $3,700. That was more than double the 2014 premium, reflecting the seventh-fastest surge among the U.S. counties in the paper’s data. Christian Leonard, Sriharsha Devulapalli in the San Francisco Chronicle$ -- 12/10/25

Environment

California wildlife officials quietly shift on killing a high-profile predator -- In a move that reverses nearly a decade of practice, California wildlife officials have quietly begun to allow killing mountain lions in order to protect another iconic native — bighorn sheep. Lila Seidman in the Los Angeles Times$ -- 12/10/25

Street

Stockton mass shooting update: Masked gunmen fired at least 50 rounds from multiple firearms, sheriff says -- Masked men who attacked a crowded banquet hall in Stockton last month fire at least 50 rounds from multiple firearms, sheriff’s officials said. Sheriff warns that it could take weeks to identify the motive and the gunmen in the crime. Salvador Hernandez in the Los Angeles Times$ -- 12/10/25

Also

Woman delivers baby in Waymo robotaxi en route to San Francisco hospital -- A Waymo spokesperson said the company’s remote Rider Support team detected “unusual activity” in the vehicle during the trip and called the passenger to check on her. Staff also contacted 911, the company said, but the robotaxi reached the hospital before emergency responders. Aidin Vaziri in the San Francisco Chronicle$ -- 12/10/25

The battle for street parking in L.A.: One man wages war through TikTok requests -- In Los Angeles, the battle for public parking spaces has been likened to a blood sport. Karen Garcia in the Los Angeles Times$ -- 12/10/25

Muni tax: Some Boomer homeowners get exemptions. But what about Gen Z renters? -- Roughly a third of homeowners in San Francisco could be exempt from a parcel tax to save Muni, owing to a provision that spares seniors from having to pay. Rachel Swan in the San Francisco Chronicle$ -- 12/10/25

Lopez: Affordability is a hoax? An offer to Trump from a free lunch program: ‘Travel with me’ -- Frank McRae, a retiree who lives in Koreatown, did not hesitate when I asked what he’d say to President Trump about his claim last week that the affordability crisis is a hoax. Steve Lopez in the Los Angeles Times$ -- 12/10/25

POTUS 47

New poll paints a grim picture of a nation under financial strain -- Nearly half of Americans said they find groceries, utility bills, health care, housing and transportation difficult to afford, according to The Politico Poll conducted last month by Public First. Erin Doherty Politico -- 12/10/25

Trump’s speech on combating inflation turns to grievances about immigrants from ‘filthy’ countries -- At a Pennsylvania rally meant to focus on inflation, Trump repeatedly attacked immigrants from ‘filthy’ countries and questioned why the U.S. doesn’t accept Scandinavian immigrants. Josh Boak and Marc Levy in the Los Angeles Times$ Chris Cameron in the New York Times$ Matt Viser in the Washington Post$David E. Sanger in the New York Times$ -- 12/10/25

Supreme Court poised to strike down Watergate-era campaign finance limits -- Supreme Court conservatives signaled Tuesday that they will probably strike down limits on money political parties can raise to support candidates. The ruling would enable parties to accept unlimited contributions from wealthy donors in what critics say would increase corruption risks. David G. Savage in the Los Angeles Times$ -- 12/10/25

Did the Trump administration violate the law by pushing redistricting? -- Sen. Alex Padilla Tuesday urged the federal government’s independent special counsel to more aggressively investigate whether the Trump administration violated the law by pressing Republican state officials to redraw congressional boundaries to help the GOP. David Lightman in the Sacramento Bee$ -- 12/10/25

Legal Groups Sue Justice Dept. for Secret Memo Justifying Boat Strikes -- “The public deserves to know how the Trump administration has justified the outright murder of civilians as lawful,” the organizations said in their lawsuit. Jonah E. Bromwich in the New York Times$ -- 12/10/25

House panel plans to end its boat strike probe, GOP chair says -- The abrupt announcement casts doubt on what has been perhaps the most muscular oversight effort from Congress during Pete Hegseth’s tenure as secretary of defense. Noah Robertson, Dan Lamothe and Tara Copp in the Washington Post$ -- 12/10/25

Asserting a Personal Role in Warner Bros. Battle, Trump Seeks to Expand His Powers Again -- The move comes as the Supreme Court also appears poised to put antitrust enforcement by the Federal Trade Commission under his control. Charlie Savage in the New York Times$ -- 12/10/25

A Scientific Pipeline to the Nobel Prize Fueled by Immigrants -- As three immigrants claim Nobel Prizes in science for the United States this year, experts warn that immigration crackdowns could undo American innovation. William J. Broad in the New York Times$ -- 12/10/25

DHS inks contract to create its own fleet of Boeing 737s for deportations -- The agency will spend nearly $140 million to buy the planes, funding that comes from a massive budget increase for immigration enforcement approved by Congress. Marianne LeVine and Jacob Bogage in the Washington Post$ -- 12/10/25

‘Come North!’ Canada Makes Play for H-1B Visa Holders With New Talent Drive -- The government says it will fast-track immigration for U.S. H-1B visa holders and spend more than $1 billion to attract researchers from the United States and the rest of the world. Matina Stevis-Gridneff in the New York Times$ -- 12/10/25

GOP moves to let Obamacare subsidies expire as Trump promises ‘money to the people’ -- Republican leaders on Capitol Hill are moving decisively away from extending key Obamacare tax credits that help more than 20 million Americans pay for health insurance — following direct cues from President Donald Trump while also stoking ire among many in the GOP who fear severe political repercussions. Meredith Lee Hill and Benjamin Guggenheim Politico -- 12/10/25