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Forbes
22-05-2025
- Automotive
- Forbes
Congress's High-Stakes Gamble: Repealing California's Clean Car And Truck Programs
WASHINGTON, DC - DECEMBER 19: U.S. Senate Minority Whip Sen. John Thune (R-SD) speaks to members of ... More the press as Senate Minority Leader Sen. Mitch McConnell (R-KY) (R) listens during a news briefing after a weekly Senate Republican policy luncheon at the U.S. Capitol on December 19, 2023 in Washington, DC. Senate GOPs held a policy luncheon to discuss the Republican agenda. (Photo by) The irony is as thick as the smog that used to choke America's cities. Republicans in the 119th Congress, which have been the party to champion state rights, is using the Congressional Repeal Act (CRA) to strip away California's right to protect the health and welfare of its citizens – essentially forcing millions of Californians to breathe dirty air. The state's first waiver to set stricter tailpipe pollution rules under the Clean Air Act was granted in 1968 by Republican President Richard Nixon, and it has received about 100 waivers from the federal government to cut air pollution since then. This is the state with five of the ten cities in the country with the worst air quality. This is the state that represents the world's 4th largest economy, has a third of all electric vehicles (EV) in America, and the laboratory where many of the world's air pollution reduction technologies were pioneered. This is the state that has suffered some of the country's hardest economic hits from droughts, wildfires and storms. But in an unprecedented and legally dubious action, the U.S. Senate today voted under the CRA to repeal U.S. Environmental Protection Agency waivers for California's clean car and truck programs. This action was taken even though the Senate Parliamentarian and the Government Accountability Office have both declared that California waivers are not subject to CRA review, as they are not 'rules' but rather administrative decisions. The CRA was established in 1996 to give Congress oversight of agency regulations. It allows Congress to review, and approve or repeal a new federal regulation within 60 days —not Agencies administrative decisions grounded in science and statutory interpretation with over 50 years of precedent. By applying the CRA to California's waiver, Congress is choosing to steer America's government overreach into legally dangerous territory. If this tactic is allowed to stand, it opens the door for Congress to nullify any administrative decision—such as Department of Interior leases for oil and gas drilling, FDA drug approvals, Federal Trade Commission mergers and acquisitions, and countless other federal administrative actions. It risks turning the CRA into a blunt instrument for political interference in scientific and regulatory processes. By any measure—legal precedent, public health, climate science, or economic competitiveness—the Senate's decision potential is a grave mistake. It not only violates the Clean Air Act's framework, but it would stall innovation, worsen air pollution, and undermine the American automaker's competitiveness against other national economies. The EPA's waiver authority granted to California under Section 209 of the Clean Air Act is not a regulatory loophole—it is a cornerstone of U.S. environmental law. Since 1967, California has received waivers from Republican and Democratic administrations because of its 'compelling and extraordinary conditions,' including persistent smog and severe air pollution. Before the Clean Air Act was signed, California's cities choked on air pollution so thick that residents wore gas masks outdoors to avoid choking smog and Los Angeles suffered through unhealthy levels of air pollution more than 200 days a year. Fullerton, CA - April 10: The view of downtown Los Angeles is obscured by smog, heat and haze from ... More Panorama Nature Preserve in Fullerton Wednesday, April 10, 2024. (Allen J. Schaben / Los Angeles Times via Getty Images) Although California's car and truck emissions rules have been instrumental in reducing air pollution the state still needs urgent actions to meet clean air goals. The American Lung Association gave 26 of the state's 58 counties an 'F' grade for air pollution and 10 million Californians are breathing unhealthy air that can cause premature death from asthma and other respiratory illness. The American Lung Association estimates that full implementation of the California clean car and truck standards by California and other adopting states could provide $150 billion in health benefits and save nearly 15,000 lives by 2050. This repeal will not only hurt Americans' lungs, but it will hit consumers in their wallets. As EV rapidly approach price parity with gas-powered cars, they already save money on fuel and maintenance savings and while protecting drivers from pain at the pump by cutting exposure to volatile oil prices and global supply shocks. Driving America's EV transition off a cliff will also set our economy back years against foreign competitors. The global auto industry is undergoing a transformation toward zero-emission vehicles. China and the European Union have already established strong policies to support the EV transition. According to the International Energy Agency, China accounted for over two thirds of the 17 million EVs sold worldwide in 2024, exporting to emerging markets in Latin America and Asia while the U.S. falls further behind despite a hundred-billion dollar surge in domestic investment spurred by the Inflation Reduction Act. California's leadership has been critical to driving this innovation. Automakers have already invested billions of dollars toward EV manufacturing and California's rules provide the long-term regulatory certainty that industry needs to scale clean technology and attract private investment. The 16 states that follow California's clean vehicle rules represent 40% of America's auto market. Repealing the waiver now would disrupt billions in planned investments and send a chilling signal to clean tech companies that America cannot be counted on to maintain consistent climate policies. This will hinder job creation, reduce market certainty, and allow global competitors to outpace U.S. innovation. At a time when climate risks are escalating, and economic opportunities in clean energy are booming, stripping California of its long-standing authority is irresponsible. This is not just about California—it is about the future we choose for every American. History has been unforgiving of governments and leaders that believe that they can ignore the rule of law. Waiver repeal will undoubtedly face legal challenges, but more than just clean air or economic competitiveness are at stake here – states' rights themselves are under attack. All Americans can breathe easier if California's waiver is preserved.


Bloomberg
15-05-2025
- Business
- Bloomberg
Newsom Rethinks Budget Under ‘Trump Slump'-Inflicted Deficit
Welcome to Bloomberg's California Edition—covering all the events shaping one of the world's biggest economies and its global influence. Join us each week as we put a unique lens on the Golden State. Sign up here if you're not already on the list. Gavin Newsom kicked off the year expecting California lawmakers to have a modest surplus to help shape next year's budget. Instead, the state has plunged into a $12 billion deficit —a turnaround Newsom blames on a tariff-induced 'Trump Slump.'


Fox News
09-05-2025
- Business
- Fox News
Gavin Newsom removes ad after being knocked for using Ukraine footage while bragging about California
California's progressive Democratic Governor Gavin Newsom posted an ad bragging about California's economy and knocking President Donald Trump's tariffs, but then quickly deleted it after an X user pointed out that the video used footage from Ukraine and Estonia rather than California. The footage has since been replaced with video shot in America. The governor, a vocal Trump critic who has been rumored to have presidential aspirations, released the ad this week. In the 30-second clip, he claimed that Trump's tariffs "punish families and risk ending America's run as the world's greatest economy." He also touted California's economic prowess, bragging that the state is now the fourth-largest economy in the world. While Newsom brags about California innovation and manufacturing, the ad plays footage of what looks like a high-tech office and a large warehouse. One X user was quick to point out, however, that the footage used in the ad was actually shot in Ukraine and Estonia, not California. Another X user, Brandon Phillips, a Georgia GOP operative, quipped: "Minor detail!" in response to parts of the California ad actually being shot in Eastern Europe. A simple internet search shows that the warehouse imagery was created in Ukraine by a Ukrainian photographer and videographer named "Artie Medvedev." Meanwhile, the office footage used in the ad was made by a company called "Gorodenkoff Productions," which is based in Tallinn, Estonia. Newsom's office did not respond to Fos News Digital's request for comment. However, his team ended up removing the video with Ukrainian and Estonian footage, replacing it one that lacked the foreign footage noticed by X users. Newsom has been heavily criticized for allegedly prioritizing his political ambitions above his role as governor. A new survey conducted by UC Berkeley's Institute of Governmental Studies and co-sponsored by the Los Angeles Times found that 54% of California registered voters believe Newsom is more focused on his personal presidential ambitions than solving the ongoing problems at home in the Golden State. Trump has said he would "love" Newsom to launch a White House bid for the Democrats, but said his response to wildfires and other issues would "pretty much put him out of the race."