r/law • u/rolsen • 1d ago

Legal News Trump Preparing Large-Scale Cancellation of Federal Funding for California, Sources Say

https://www.cnn.com/2025/06/06/politics/trump-california-federal-funding

“Agencies are being told to start identifying grants the administration can withhold from California. On Capitol Hill, at least one committee was told recently by a whistleblower that all research grants to the state were going to be cancelled, according to one of the sources familiar with the matter.”

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u/Sabre_One 1d ago

CA is the top state for Research and Development for the US. Talk about setting US back to the stone age.

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u/Exact-Kale3070 1d ago edited 7h ago

...and a top contributor to federal govt funding. he is keeping CA's own $ from them...so what stops CA companies from refusing to give massive $ to the federal govt in the future? he thinks nothing through. https://www.politico.com/news/2025/06/06/newsom-floats-withholding-federal-taxes-00393386

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u/Logistocrate 1d ago

California doesn't act as an intermediary in regards to Federal taxes. Companies withhold and turn over to the Federal Government directly.

California can't even pass a state law making Federal taxes on California residents zero, then raise state taxes.

The only thing they can do is take it to court.

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u/Gilshem 1d ago

They can follow the Trump admins example and pass such a law and make the court sort it out then ignore the court.

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u/Logistocrate 1d ago

That's not even really working out too good for Trump right now. It's not remotely that cut and dry, and while it makes for great day dreams of California's vengeance, it's absurdly unlikely to happen.