Trump Administration vs. Blue States

Speaking Jan. 8, 2026 in Sacramento, Gov. Gavin Newsom used his final State of the State to say California has filed 52 lawsuits in a special session targeting about $168 billion in what he called “illegally frozen” federal resources for schools, hospitals and seniors, saying the state has won emergency relief in some cases. He framed the Trump administration as an “assault on our values,” highlighted state work on homelessness (saying unsheltered homelessness fell 9%), climate and health care, and pushed back against federal actions while responding to a federal probe into alleged fraud in California homelessness programs.