Gavin Newsom Suggests That “Maybe It’s Time” To Cut Off California’s Share Of Federal Taxes Amid Report That Trump Seeks To Cancel State Grants

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Gavin Newsom Suggests That “Maybe It’s Time” To Cut Off California’s Share Of Federal Taxes Amid Report That Trump Seeks To Cancel State Grants

UPDATED, with White House statement: California Governor Gavin Newsom fired back at Donald Trump after CNN reported that the administration was seeking to cut off federal money to the state.

“Californians pay the bills for the federal government. We pay over $80 BILLION more in taxes than we get back. Maybe it’s time to cut that off,

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,” Newsom wrote on X.

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CNN reported that Trump was preparing for a “large-scale” cancellation of federal funding for the state, with agencies being told to identify grants it can withhold. That would include federal money going to the state universities.

A White House spokesperson, Kush Desai, said in a statement, “No taxpayer should be forced to fund the demise of our country, and that’s what California is doing through its lunatic anti-energy, soft-on-crime, pro-child mutilation, and pro-sanctuary policies. The Trump administration is committed to ending this nightmare and restoring the California Dream. No final decisions, however, on any potential future action by the Administration have been made, and any discussion suggesting otherwise should be considered pure speculation.”

The heavily Democratic California has long been a target for Trump. Just before he returned to office, GOP lawmakers suggested that conditions would be placed on federal disaster aid to respond to the devastating wildfires. In the aftermath, Newsom and Trump appeared to make nice during the president’s visit to survey the devastation.

But in the months since then, Newsom has led a lawsuit against the administration over its tariff policies, which threaten to have a major impact on the state, a leader in global trade.

Last month, the Trump administration cut flood prevention projects in the state. Trump also threatened to hold back federal funding if the state did not address transgender athletes participation in a women’s sporting event. “Please be hereby advised that large scale Federal Funding will be held back, maybe permanently, if the Executive Order on this subject matter is not adhered to,” Trump wrote on Truth Social.

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