Gov. Gavin Newsom announced plans to levy a maximum tax on anyone in the state who receives money via Trump’s $1.8 billion “anti-weaponization” fund.
In a news conference Wednesday in which the California governor slammed President Trump and signed an emergency bill to block election interference, Newsom also announced plans to levy a maximum tax on anyone in the state who receives money viaLast week, Trump dropped his $10 billion lawsuit against the IRS in exchange for an apology and the establishment of a $1.776 billion fund — a number picked with a nod to the year the nation’s founding — to compensate victims of federal government weaponization.
“Anyone from California that receives any of those funds, we want to tax 100% of those proceeds,” Newsom said, calling the pot of money a “slush fund. ”May 27, 2026 Trump’s announcement of the fund has enraged lawmakers on both sides of the political aisle, and Republican senators grilled Acting Attorney General Todd Blanche about the fund last week. Sen.
Ted Cruz said that roughly 45 senators attended the meeting, and “at least half of them were blasting the attorney general. ” Gov. Gavin Newsom intends to levy a maximum tax on anyone who receives from from Trump’s ‘slush fund. ’Trump, his sons Don Jr. and Eric and the Trump Organization — all of whom were plaintiffs in the IRS suit — are not entitled to any compensation from the fund, but they will receive a formal apology.
Newsom’s announcement came as the governor also signed an emergency election bill aimed squarely at Trump and Riverside County Sheriff Chad Bianco, whose deputies“You had a guy desperate for attention, wants me to use his name today,” Newsom said.
“I won’t. ” Among federal, state and local races, as well as ballot measures, the election will determine the top two candidates in the governor’s race to succeed Newsom in office. Bianco is currently polling in fifth place behind fellow Republican Steve Hilton, and Democratic candidates Xavier Becerra, Tom Steyer and Katie Porter.
Newsom’s signature makes it a felony for anyone — including law enforcement officials — to seize ballots from a county elections office, punishable by up to three years in prison, a $1,000 fine and possible civil penalties. The new law also bars law enforcement agencies from searching or taking custody of voter rolls or voting machines without a signed warrant or an agreement with the election official overseeing the election.
Newsom framed the bill as part of California’s resistance to Trump, accusing the president and his allies of trying to intimidate voters and undermine elections.
“There’s no rules anymore with the Trump administration,” Newsom said. “We have to be prepared for everything. ”The legislation from Sen. Sabrina Cervantes, D-Riverside, comes after Bianco’s office obtained a search warrant in February to seize more than 650,000 ballots from the Riverside County Registrar of Voters.
Bianco’s office launched the investigation after the Riverside Election Integrity Group alleged the November 2025 election — when California voters approved the redistricting measure Proposition 50 — was marred by a 45,000-vote overcount. Prop. 50 passed by more than 82,000 votes in Riverside County and statewide it had 3.3 million more votes. Local and state election officials said the group’s claims were based on a flawed reading of raw ballot data, and Newsom said the seizure broke basic election safeguards.
Authors of the bill and election experts raised alarm over Bianco’s investigation, saying there are established procedures to challenge an election result and that the sheriff’s office broke the chain of custody by taking possession of the ballots.
“Ballots can be subject to inspection,” said Assemblymember Gail Pellerin , a co-author of SB 73. “They have to remain in the custody of the elections official. ”Newsom said he took action on election interference due to what he saw as threats from Trump and law enforcement. Newsom noted Trump’s federal election probe of the 2020 results in Fulton County, Georgia, saying: “He doesn’t believe in fair and free elections.
He’s attacking truth and trust. ” The governor also accused Trump of using immigration enforcement and federal law enforcement as intimidation tactics.
“He is just winding up,” Newsom said. “I absolutely expect the worst again, because we’ve been on the receiving end of it over and over and over again. ”SB 73 also expands an earlier California ban on military or law enforcement personnel at polling places by empowering the attorney general and secretary of state to overrule a local election official who requests it.
“We’re pretty measured here in California, but we’re resolved,” Newsom said. “We’re drawing the line, we’re holding the line, we’re winning, and we are trying to inspire other states to do similar efforts. ”Anadolu via Getty ImagesGodofredo A. Vásquez/Pool AP via AP Newsom said he took action on election interference due to what he saw as threats from Trump and law enforcement.
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