The Dictatorship

Democrats still do not trust Trump on $1.8 billion fund — and neither do some Republicans

Published

1 month ago

June 2, 2026

Jun. 1, 2026, 8:17 PM EDT

Almost no one on Capitol Hill is convinced by the White House’s offer to drop its plans for President Donald Trump’s nearly $1.8 billion settlement funda pot of money that is fueling a growing crisis for GOP leaders.

Instead, Democrats want to address the issue legislatively and Republicans may have no choice — and may also want some congressional clarity.

Nearly two weeks after the planned fund sparked a GOP revolt against a key immigration funding bill, the Trump administration promised Monday to drop the payout proposal. A senior White House official told MS NOW the administration was halting its plans, and the Justice Department posted on X it would “abide by” a temporary court ruling against the fund.

Those promises were too vague for critics in either party.

“They have to follow the law,” Sen. John Kennedy, R-La., said of the DOJ post vowing to follow a court order. “We all have to follow the law. That’s why God made jails. Yeah, if you don’t follow the law, you go to jail. It doesn’t tell me much.”

Senate Judiciary Chairman Chuck Grassley, R-Iowa, called for a clear end to the plans for a fund.

“The only thing that’s going to solve this problem to get immigration funded and law enforced is for the president to do away with the weaponization fund,” Grassley told reporters.

Sen. Lisa Murkowski, R-Alaska, questioned whether the DOJ plan to follow a roughly two-week court order would actually eliminate the fund.

Sen. Bill Cassidy, R-La., said he was open to voting for legislation to block the fund and said he would look into the White House’s statements about it.

“I need to be convinced,” Cassidy told reporters.

Democrats were even more skeptical about the White House’s promise.

“For five minutes,” Sen. Patty Murray scoffed when asked about the plan to drop the fund. “I don’t believe that.”

This week’s congressional search for meaning in a hazy set of promises from the White House is unusually urgent. A Republican bill with $72 billion for Immigration and Customs Enforcement and Customs and Border Protection is dependent on a resolution on the settlement fund. Democrats have vowed to force votes to amend the ICE funding bill to include a measure barring Trump’s “slush fund,” as they call it.

Before the White House said it was abandoning its plans, it looked like some of those Democratic amendments would get enough Republican support to be adopted. Now? It is possible those proposals get even more votes, with GOP lawmakers seeing a jailbreak forming.

“I’m sure the Democrats are going to give us an opportunity to vote on lots of different amendment ideas, but I think if the administration effectively shuts it down, and makes that very, very clear, then that to me should answer the question,” Senate Majority Leader John Thune, R-S.D., said Monday.

Thune left open the possibility of votes this week on the reconciliation bill.

The nominal concessions from the White House do highlight the ability of Republican lawmakers to pressure the White House — at least, when they are motivated to do so.

Speaker Mike Johnson, R-La., met with Trump on Monday, and that meeting played a key role in the decision to drop the anti-weaponization fund, a source familiar with the matter told MS NOW. Johnson helped convince Trump to drop the proposal to help achieve a path forward for ICE funds. A House Republican told MS NOW that several GOP lawmakers leaned on Johnson to try to kill the fund.

Senate Minority Leader Chuck Schumer, D-N.Y., said on the Senate floor Monday that if Republicans take up the bill, “the first amendment I will offer will be to ban the slush fund permanently and forever.”

Murray, the top Democrat on the Senate Appropriations Committee, told MS NOW she expects to debate the issue as part of the annual government-funding negotiations, as well as via the GOP’s attempt to pass a one-time reconciliation bill.

Of course, Republican critics of the proposal may seek a softer response, rather than a permanent ban. Sen. John Hoeven, R-N.D., said GOP conversations have centered on how to “get some guardrails” on the fund.

Some Republicans may simply accept Trump’s promise to drop the issue. Sen. Rick Scott, R-Fla., told reporters he spoke to a White House official Monday and was assured the administration is dropping the fund.

“I’m comfortable,” Scott said. “They told me they’re dropping it.”

But more and more Democratic proposals to block the fund are springing up.

Sens. Adam Schiff, D-Calif.; Mark Kelly, D-Ariz.; and Elissa Slotkin, D-Mich., said they were introducing a bill to block the fund — and any similar lawsuit funds created by future presidents. Kelly said he has discussed the fund with Republican colleagues who were concerned about it and said he would revive those conversations about the bill to block it.

Schiff said he views the White House offer to drop the fund as a “tactical retreat.” Slotkin also said she is not buying it.

“If you believe that a temporary two-week hold by this president means anything, I have a bridge I want to sell you,” she told reporters.

There is also the unresolved issue of Trump and his family’s immunity from IRS audits. As part of the president’s decision to drop a $10 billion lawsuit against the IRS, the DOJ promised to create the nearly $1.8 billion fund and shield Trump and his family from audits — including a pending audit in which Trump is said to owe the IRS roughly $100 million.

While Trump appears to be dropping the $1.8 billion fund — at least for now — the fate of Trump’s get-out-of-audits-free card is more unclear.

Democrats appear likely to offer amendments addressing that resolution during the upcoming reconciliation fight, as well as measures forcing votes on other Trump-related priorities, such as his proposed ballroom project.

In all cases, Trump looks like he wants to avoid lawmakers weighing in — something Thune acknowledged Monday when he said the addition of language blocking the fund to the reconciliation bill could jeopardize Trump’s signature.

Whether Trump’s supposed promise is enough for Republicans remains uncertain, as does the fate of the underlying reconciliation bill. “To be determined,” Thune said Monday night.

Asked whether Republicans would try to move forward with the measure this week, Thune told reporters they would “know by tomorrow.”

Jack Fitzpatrick covers Congress for MS NOW. He previously reported for Bloomberg Government, Morning Consult and National Journal. He has bachelor’s and master’s degrees from Arizona State University.

Mychael Schnell is a reporter for MS NOW.

The Dictatorship

Could feds’ changes put more people with disabilities in institutions?

Published

2 hours ago

July 2, 2026

Blue Light Newsroom

Could feds’ changes put more people with disabilities in institutions?

WASHINGTON (AP) — For decades, disabled people have fought for their rights to go to school and live alongside peers without disabilities — rights that some fear could be losing ground under the Trump administration.

Last month, the Department of Education announced it would shift oversight of special education to the Department of Health and Human Services, led by Robert F. Kennedy Jr., whose comments on the limits of disabilities such as autism have drawn sharp rebukes from advocates and lawmakers.

Meanwhile, after a White House push to police homelessnessthe Department of Justice released guidance that lowered the barrier to institutionalizing any person with a disability.

Taken together, the actions signal a worrying return to a reality where people with disabilities are pushed to the margins of society, advocates said.

“It’s a direct, frontal assault on the rights of people with disabilities to live their lives the way that people who are nondisabled live their lives,” said Selene Almazan, legal director for the Council of Parent Attorneys and Advocates. “I can’t imagine that as a country, that would be something that we would agree we should go back to.”

Whitman Althaus, 12, who has autism and a neurological disorder called apraxia, poses for a portrait at his home Wednesday, July 1, 2026, in Luckey, Ohio. (AP Photo/Nic Antaya)

The move away from confining people with disabilities

Since the 1960s, legislation and court decisions have expanded supports and protections for people with disabilities to go to school with nondisabled peers and to live and work in their communities. Before that, people with mental illnesses or developmental and intellectual disabilities were largely confined to institutions.

Advocates have pushed back on what is known as the “medical model,” where an individual’s disability is viewed as a defect to be cured. Instead, under a “social model” of disability, differences can be accommodated and supported, as people with and without disabilities learn and work alongside each other.

Families and advocates have warned that moving special education to a health department marks a return to the medical model. They also have been angered by Kennedy’s attempts to link vaccines to autismgoing against decades of research that show no such link, and his framing of autism as a debilitating disease.

Kennedy’s comments last year, where he said children with autism would never write a poempay taxes or hold a job, raised questions about how he would oversee an agency meant to help students develop those skills. Kennedy later said he was referring to people with ” severe autism ″ or those who are nonverbal.

“Many of the things he said autistic people will never do, (special education) is in charge of making sure students with disabilities have the opportunity to do,” said Zoe Gross, director of advocacy at the Autistic Self Advocacy Network. “Will he execute that faithfully, or does he consider disabled students a lost cause until we find some medical cure?”

The Supreme Court weighs in on disabilities

In 1999, the Supreme Court ruled that segregating disabled people who are otherwise able to live in their community with proper supports was a form of discrimination. The Olmstead v. L.C. decision led to requirements that government agencies provide disability services in the most integrated setting possible — in mainstream schools, homes and workplaces.

But in a memo issued in June, the Department of Justice’s Office of Legal Counsel upended that guidance. It argued that neither the Americans with Disabilities Act nor Section 504, two major disability rights laws, requires states to provide services in the most mainstream setting. While the memo does not change the law, it signals how federal agencies may interpret and enforce civil rights issues related to the topic. It could embolden states or school districts to decline to support people with disabilities in mainstream environments.

The White House has already acted on a similar philosophy. Last year, President Donald Trump issued an executive order on homelessness that endorsed civil commitment, where a court orders individuals into involuntary hospitalization or treatment programs. Trump directed HHS to reduce barriers to institutionalizing people with mental illnesses.

In its memo, the Justice Department acknowledged its interpretation of the Supreme Court’s Olmstead decision is “out of step” with the common understanding. If a state starts to provide services in institutional settings, legal challenges likely would follow, the department said.

The Republican administration’s steps fit a worldview in which the government has no obligation to support people with disabilities, said Claudia Center, legal director at Disability Rights Education and Defense Fund.

“It’s dark, and it’s awful,” Center said. “And I think it’s contrary to the majority view in our country. … It’s out of touch with where our society is.”

The application that Whitman Althaus, 12, who has autism and a neurological disorder called apraxia, uses to communicate is seen on a phone Wednesday, July 1, 2026, in Luckey, Ohio. (AP Photo/Nic Antaya)

Families say their kids thrive in mainstream classes

The moves have created a deep sense of uncertainty for students with disabilities.

Lindsey Althaus says home and community-based services in northwest Ohio have been instrumental to her family. Her 12-year-old son, Whitman, has autism and a neurological disorder called apraxia, in which the brain struggles to tell muscles how to move to form words or perform other motor skills. For some of his school career, with proper support services, Whitman was able to spend much of his school day in a classroom that included kids without disabilities.

Through a Medicaid waiver program, Althaus pays her mother to care for Whitman in her absence. That allows him to spend time out in the community with his grandmother while Althaus and her husband are working or away with their daughter.

Under the Justice Department’s new interpretation of Olmsted, states would have fewer obligations to fund and support those programs. Kennedy, in testimony to lawmakers on Capitol Hill earlier this year, criticized similar programs as subject to fraud.

“We want to be able to have him in the community,” said Althaus, who works as a disability rights advocate. “It’s just starting to feel like Whitman’s not going to be welcome anymore. We’re going back to this: You’re either perfect, or you’re not in the light.”

For many students with disabilities, schools are where they receive the majority of support services and where they are integrated among their peers. Before Magda Nakassis’s 8-year-old son, who is autistic and nonverbal, started public school in Maryland, his preschool experience had largely been defined by being kicked out of things, she said.

In school, Nakassis said, she found teachers and staff members who understood her son’s needs and told her to stop apologizing for them. A program at his school called Fantastic Friends teaches mainstream fifth graders about autism and they spend recesses with children in the autism program. Every year, Nakassis said, there is a waitlist to be a Fantastic Friend.

Nakassis said that it has been difficult to see the ways autism in particular has become politicized. Every child is entitled to a public education in this country, Nakassis said, and special education is a response to the fact that some children have differences that require additional support.

Regardless of his diagnosis, his right to an education is not a medical issue, she said, but rather a question of equity and access in a society that often pushes disabled people to the margins.

“There are lots of kids like him out there, and I sometimes wonder, ‘what did we use to do?’” Nakassis said. “I can’t believe it was better.”

___

The Associated Press’ education coverage receives financial support from multiple private foundations. AP is solely responsible for all content. Find AP’s standards for working with philanthropies, a list of supporters and funded coverage areas at AP.org.

The Dictatorship

Trump filing shows he took in about $1.2 billion from crypto businesses last year

Published

10 hours ago

July 2, 2026

Blue Light Newsroom

Trump filing shows he took in about $1.2 billion from crypto businesses last year

NEW YORK (AP) — President Donald Trump took in nearly $1.2 billion from his crypto businesses last year, a federal filing released Tuesday shows, locking in profits while his investors were socked with losses.

Mere startups when he took the oath of office, the new ventures have now eclipsed in revenue much of his vast property portfolio that took him decades to accumulate. Fueling their rise were billionaire investors and Trump’s own move to quash a federal crackdown on the industry.

Trump got more than $500 million from his World Liberty Financial business selling new crypto products, including “governance tokens,” according to the required annual disclosure report with the Office of Government Ethics. It also showed another crypto business, CIC Digital LLC, took in more than $600 million from sales of souvenir-type “meme” coins stamped with his face.

Both the tokens and the coins have plunged in value since the sales.

Trump also took in millions last year from selling Trump-branded Bibles, sneakers and other small items in another unprecedented move for the presidency. The sale of Trump-branded watches alone brought in $4.7 million.

The 927-page disclosure form paints a stark, if incomplete picture of the massive growth of the president’s wealth since taking office last January through a web of business interests — many of which have benefited from the policy moves of Trump’s own government. Trump has insisted that his sons direct his finances but the arrangement rejects the conflict of interest protections that his recent predecessors in office had instituted.

Forbes estimates Trump’s net worth at $6 billion, up from $2.3 billion in 2024.

The Trump business is growing abroad

The rise of crypto relative to Trump’s property is especially noteworthy because he first rode to office boasting of his property wins. It’s also remarkable because that mainstay business also boomed last year. Trump took in tens of millions in fees from a flurry of new hotel, resort and condo deals overseas that amounts to the biggest property expansion ever in the century since the family business was founded.

Many of those countries were negotiating with the U.S. over tariffs, military aid and other important matters while the family business was striking the deals.

A property in the United Arab Emirates generated $10.4 million for the Trump business last year. One in Saudi Arabia being built by a real estate developer close to the ruling family sent the president’s company $9 million. And one in Bucharest, Romania, and another in Qatar sent him $5 million each.

One of his prominent domestic properties, Mar-a-Lago in Florida, notched big growth last year, too.

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Trump took in $77 million from the property, a 50% jump from the year earlier when he was just another citizen, as heads of state and business people flocked to it in his new term.

The disclosure report doesn’t give profit figures, just revenue, so it’s impossible to know how much he is earning.

Trump is now the billion-dollar crypto man

Trump said Wednesday that most of his gains last year came from the stock market and he’s just riding along with everyone else.

“We’re all profiting,” he said. “I’m profiting because I have a lot of money and a lot of cash.”

But crypto was clearly the big revenue generator last year in part due his own moves since taking office — pushing policies friendly to the industry and reversing a Biden administration regulatory crackdown.

The regulators are still worried. Before Trump’s World Liberty began selling “governance tokens,” they issued warnings about this new kind of crypto asset, saying that unlike stocks, the tokens offer no ownership stake in the issuing company, just voting power on certain corporate policies, and are difficult to value.

Buyers pounced anyway, including a Chinese billionaire who spent $75 million on the tokens and $200 million on the souvenir coins. In February last year, a federal lawsuit charging him with duping investors was paused before being settled for a $10 million fine.

The billionaire, Justin Sun, has repeatedly denied his spending on Trump businesses had anything to do with his federal case, while World Liberty has dismissed the notion of a conflict of interest.

Meanwhile, investors have seen the value of their Trump-tied holdings drop significantly.

The price of World Liberty tokens has fallen 80% since they started trading in September. And the Trump souvenir coins that spiked to more than $74 in the days after launching in January 2025 now sell for $1.68.

The White House says Trump only acts in the public interest

The White House has repeatedly said Trump put his business in a trust managed by his sons and is not involved in its decisions and that there are no ethics issues to discuss.

“Neither the President nor his family has ever engaged — or will ever engage — in conflicts of interest,” spokeswoman Anna Kelly said. “All actions by President Trump and his administration are taken in the best interest of the American people.”

The Trump umbrella company, the Trump Organization, has said its deals overseas were with private companies, not with governments.

Still, it is difficult to know what is truly private in countries ruled by authoritarians, royal families and one-party governments.

For a new Trump resort in Vietnam, the report shows Trump took in $5 million last year after the ruling Communist Party sent its deputy prime minister to sign off on the deal and, according to The New York Times, pushed farmers off the land to make way for the construction.

Whether the deals played any role in changing U.S. policies in ways these countries sought is nearly impossible to know, but the countries did get what they wanted.

Vietnam got tariff relief. Qatar got access to advanced U.S. technology previously off limits, and Saudi Arabia got U.S. fighter jets it had coveted for years.

___

AP White House reporter Josh Boak contributed from Washington.

The Dictatorship

‘REGIME CHANGE’ sold 300,000 copies…

Published

10 hours ago

July 2, 2026

Blue Light Newsroom

It turns out readers still want to learn more about President Donald Trump after all.

“Regime Change: Inside the Imperial Presidency of Donald Trump,” the l atest book on the Trump presidencywritten by political journalists Maggie Haberman and Jonathan Swan, has sold more than 300,000 copies in its opening week, according to publisher Simon & Schuster.

They’re the kind of sales that numerous works about Trump reached during his first term, but had been rare during his second term. Publishers had speculated that the public had tired of Trump books, believing there was little left to know.

The total figures include preorders, print book sales, ebooks, and e-audiobooks and orders that have yet to be fulfilled because of demand, the publishing house said. Simon & Schuster said the book is into its third hard copy printing, with 200,000 copies on order, after it sold out quickly in bookstores and on Amazon. It’s the best first-week clip of any hardcover nonfiction book in 2026.

The book covers the first 14 months of Trump’s second presidency and takes readers inside the West Wing, White House residence and Trump’s Mar-a-Lago estate, aboard Air Force One and on foreign trips with the president.

Trump, who has a long history with Haberman from her days covering him as a New York City business and society figure, has trashed the book as “mostly made up.” Haberman and Swan are now New York Times reporters.

Their manuscript depicts meticulous details of Trump’s military decisions, how he’s wielded the power of the Justice Department against his political opponents, his conversations with other power players, and the time and attention he’s devoted to remaking the aesthetics and structure of the White House.

The book spells out a thesis that Trump himself believes: Had he not lost the 2020 election, he would not be as powerful in his second term as he is now — emboldening him to trample norms, dismantle established institutions and push the limits of presidential power.

Haberman and Swan have been featured regularly across news talk shows promoting the book and sharing details of their reporting, including a sit-down with Trump in which he boasted about being compared to some of history’s great villains.

Sean Manning, vice president and publisher at Simon & Schuster, said the book “has entered the national conversation” and will hold up as “a work of historic importance.”