'No cure for STUPID!': Bessent TORCHES Newsom over proposal to tax Trump’s ‘slush fund’ recipients

The Economic TimesAbout 4 min readMay 29, 2026Watch original
THE SUMMARYAI-generated

Key Concepts

  • Anti-Weaponization Fund: A federal fund established by the Trump administration, which California officials characterize as a tool for political retribution and intimidation.
  • Unitary Executive Theory: A constitutional theory often associated with the Trump administration, suggesting the President has absolute control over the executive branch, which California officials argue leads to overreach.
  • Border Tactical Teams (BORTAC): Specialized units cited by Governor Newsom as being used for "shows of force" to intimidate voters and citizens.
  • 100% State Tax Proposal: A legislative strategy proposed by Governor Newsom to tax any California resident who receives disbursements from the federal "anti-weaponization fund."
  • Election Integrity/Ballot Counting: New California regulations aimed at accelerating the ballot counting process from 30 days to 13 days.

1. The Conflict Over Federal Funds and Taxation

Governor Gavin Newsom has proposed a 100% state tax on any Californian who receives money from President Trump’s "anti-weaponization fund." The Governor frames this as a necessary defensive measure against federal overreach.

  • Rationale: Newsom argues that the fund is being used to reward individuals who align with the administration's political agenda, characterizing it as a "private army" of supporters.
  • Legislative Intent: The state aims to neutralize the financial incentive of these federal payments by reclaiming the entirety of the funds through state taxation.

2. Allegations of Federal Overreach and Intimidation

The transcript highlights a deep ideological divide between the California state government and the federal administration.

  • Show of Force: Governor Newsom alleges that the administration deployed Border Tactical Teams (BORTAC) to locations like Dodger Stadium on election day to intimidate voters.
  • National Guard and Military: Concerns were raised regarding the potential federalization of the National Guard and the deployment of active-duty Marines in Los Angeles, which the Governor describes as an attempt to "intimidate people."
  • Weaponization of Agencies: The Governor claims the Department of Justice (DOJ) and other federal entities have been used to investigate "rigged" elections and harass political opponents, citing the leak of 400,000 tax returns as evidence of bad-faith actors within the IRS.

3. California’s Defensive Framework

Governor Newsom outlines a strategy of "vigilance" and legal preparation to counter federal actions:

  • Litigation Strategy: The state is actively preparing legal challenges to federal directives, particularly those involving the use of federal resources or personnel within state borders.
  • Election Administration: California has implemented new rules to ensure timely ballot counting (13 days instead of 30) and is coordinating closely with local law enforcement and the Secretary of State to maintain secure, transparent elections.
  • Regulatory Review: The Governor mentioned reviewing safety records and regulations for chemical plants, suggesting a broader push for state-level oversight to mitigate risks posed by federal deregulation.

4. Notable Quotes and Perspectives

  • On the Governor’s Tax Proposal: When asked about the 100% tax, the Governor responded, "There’s no cure for stupid," framing the tax as a warning to those who "do the bidding" of the administration.
  • On Federal Authority: Newsom stated, "He’s [Trump] got a lot of authority as President of the United States as it relates to those federal resources. And we’re mindful that even under sanctuary policy... we draw the line."
  • On Political Stance: Newsom described his current political position as being "the Jerry Brown of this cycle," implying a measured, pragmatic, yet firm approach to governance.

5. Synthesis and Conclusion

The transcript depicts a state government in a state of high alert, viewing the federal administration as an existential threat to democratic norms and state sovereignty. The primary takeaway is California's shift toward a "hold the line" strategy, utilizing legislative tools—such as the proposed 100% tax on federal "weaponization" funds—and aggressive legal litigation to counteract what the Governor perceives as the "unitary theory of government" being exercised by the Trump administration. The Governor emphasizes that California serves as a testing ground for these conflicts, with the state government actively preparing for future federal interventions regarding immigration enforcement, election oversight, and the use of military assets.

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