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Old headaches will plague Mike Johnson in the new year

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Congress is back for the new year. But Speaker Mike Johnson isn’t exactly getting a fresh start in 2026.

The House returns from the holiday recess to confront old issues that continue to bedevil Johnson — from politically perilous battle over health care and the ongoing release of the Jeffrey Epstein files to a messy intra-GOP fight over lawmakers’ stock trading and another looming government shutdown cliff.

The speaker is working to refocus Republicans, seeking to rally members around initiatives aimed at reducing housing prices and efforts to hammer Democrats over public-benefits fraud in Minnesota and other states. President Donald Trump’s decision to depose Venezuelan leader Nicolas Maduro by force has also given the GOP a new rallying point amid doubts about Trump’s plan to indefinitely “run” the South American country.

But Johnson will find it hard to escape internally divisive clashes as the GOP feels pressure to address the rising cost of living and otherwise firm up its standing ahead of the November midterms.

He will immediately confront a growing battle within his ranks this week over how to tackle high health care costs after Republicans allowed enhanced Obamacare tax credits to expire at the end of 2025.

Democrats plan to move as soon as Wednesday to force a floor vote on a three-year straight extension of the lapsed subsidies, according to three people granted anonymity to discuss internal planning. That comes after four House Republicans mounted a mini-mutiny against Johnson last month by signing a discharge petition backed by Minority Leader Hakeem Jeffries.

While this three-year extension could pass the House by Thursday, the bill is set to die in the Senate, where Majority Leader John Thune has indicated he has no plans to move it forward after a similar measure failed to garner the necessary 60 votes in a test vote last month. But a group of moderate senators continue to discuss a compromise proposal, and the rebellious House Republicans are hoping consensus legislation will eventually come back across the Capitol for final action.

The prospects for a bipartisan deal are dim, however, with Trump continuing to slam the Obamacare tax credits as wasteful while pushing Republicans to instead send money directly to taxpayers via health savings accounts. That’s in addition to the internal GOP battle on Capitol Hill over whether to pursue a party-line health care bill this year that could include sending checks to Americans to offset high health care costs.

Johnson is projecting confidence going into 2026, writing in a recent Wall Street Journal op-ed that Republicans have “laid the groundwork for an extraordinary new year — from containing the border crisis and stabilizing inflation to securing historic tax, trade and peace deals.”

“The best is yet to come,” he wrote, predicting that Americans would “experience the tangible results of common-sense governance” and reward the GOP at the ballot box.

But that isn’t likely to keep internal rivalries in check. On Venezuela, for instance, Johnson will have to grapple with a pro-intervention Florida delegation while other elements of the conference could be more skeptical of Trump’s threats of long-term military engagement.

Another headache from inside Johnson’s own conference is coming from hard-liners such as Reps. Chip Roy of Texas and Anna Paulina Luna of Florida, who are demanding a vote on legislation to ban congressional stock trading.

Johnson and House Administration Chair Bryan Steil (R-Wis.) are seeking to head off threats of a discharge petition that would force a vote on that proposal by drafting their own framework for cracking down on insider trading. They plan to move it out of Steil’s panel and onto the floor in the coming weeks.

But the GOP leadership-backed bill would, as POLITICO first reported, still allow lawmakers to hold stocks they already own — a concession that might pass muster with Roy and Luna but is stoking others’ ire. Democrats are already raising alarms over the plan they say falls short of a full ban on congressional stock trading.

An even more explosive issue — the Epstein files — threatens to continue dogging House GOP leaders as well, as the Justice Department is under increasing criticism across party lines for its slow and incomplete release of materials related to the late convicted sex offender.

While Congress required DOJ to make its Epstein case files fully public last month, department officials say millions of pages of records continue to be reviewed. And critics say the records that have been released have been subject to improper redactions and other irregularities.

The issue could come to a head in the coming weeks, with House Judiciary Republicans looking to schedule a routine oversight hearing with Attorney General Pam Bondi that is now expected to focus heavily on the administration’s handling of the Epstein case.

“They are blatantly ignoring the law,” Rep. Thomas Massie (R-Ky.), who helped lead the effort to release the files and sits on the Judiciary Committee, said in an interview.

He and Rep. Ro Khanna (D-Calif.), who co-sponsored the legislation compelling the release of the files, have said they are preparing to push for a rare “inherent contempt” vote against Bondi that could include fines and other sanctions for DOJ’s alleged noncompliance.

If there’s any encouraging news for Johnson heading into 2026, it’s on the appropriations front.

With only a handful of legislative days left before the Jan. 30 deadline to avoid a shutdown — and with many Republicans worried about the potential for another short-term punt — the top four House and Senate appropriators have been making quiet progress on a three-bill funding package as appetites fade for allowing the government to shutter yet again.

Talks around a full-fiscal-year “minibus” that would include the Interior, Energy-Water and Commerce-Justice-Science appropriations bills are close to being finalized, three other people granted anonymity to discuss internal deliberations said. GOP leaders are hoping to put the package on the House floor Thursday if a deal can be reached.

In the meantime, House GOP leaders are navigating internal politics around a major bipartisan housing package the Financial Services Committee approved last month. While it remains unclear whether the House and Senate can reconcile competing housing plans, Johnson is pushing forward after Trump’s top pollster told a closed-door briefing of House Republicans last month they should focus more on housing affordability issues ahead of the midterms.

This week, House GOP leaders are planning to hold votes on a bill from Rep. Erin Houchin (R-Ind.) that would cut red tape and relax energy efficiency standards for manufactured housing as well as a measure from Rep. Russell Fry (R-S.C.) that would codify Trump’s effort to roll back a regulation instituted under former President Joe Biden limiting water flow for shower nozzles.

But even Republican leaders’ unity-building proposals — such as highlighting the fraud convictions in Minnesota — could end up sparking fights.

A growing number of conservatives want Trump to reinstate Elon Musk in his prior role as efficiency czar to probe reports of Medicaid fraud and other related projects. But other Republicans, especially key moderates, are cool to the idea.

“We have fraud experts in the government that can do this,” Rep. Don Bacon (R-Neb.) said in an interview. “They should be able to do their jobs.”

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Congress

Tony Gonzales admits sexual relationship with former staff member who killed herself

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Texas Rep. Tony Gonzales has admitted for the first time that he had a sexual relationship with his former staff member who killed herself last year.

Gonzales, who faces a May runoff in the Republican primary to hold his seat, insisted in a radio interview that he is not responsible for her death.

“I made a mistake, and I had a lapse in judgment, and there was a lack of faith, and I take full responsibility for those actions,” Gonzales told radio host Joe Pagliarulo.

Gonzales, who is married, made the comments hours after congressional investigators recommended the House Ethics committee probe the lawmaker for the relationship, which would be a violation of House rules. The Texas lawmaker said he plans to cooperate with the committee’s investigation.

The acknowledgment comes a day after Gonzales was forced into a runoff election in his west Texas congressional seat against Brandon Herrera, a media personality who owns a gun business and calls himself “the AK Guy.”

Several of his Republican colleagues have called for Gonzales to step down after new details about the relationship came to light in the weeks before Tuesday’s election. Gonzales had previously denied the affair and refused to resign.

Gonzales is alleged to have tried to coerce Regina Santos-Aviles into sending explicit photos, according to text messages published by the San Antonio Express-News and other publications. Blue Light News has not independently reviewed the messages.

An attorney for Gonzales declined to comment.

In the interview, Gonzales spoke about Santos-Aviles’ time working in his office before her death, which he said came as “a shock to everyone.” She died by suicide after setting herself on fire at her home in 2025 – about a year after the exchange of messages with the lawmaker.

“Some of the reports are saying that she was not thriving at work. It’s exact opposite. She was thriving at work,” he said.

Gonzales said that Santos-Aviles’ suicide had “absolutely nothing to do with” their relationship.

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‘We’re in it’: Democrats won’t rule out giving Trump more money for Middle East war

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Some Democrats aren’t ruling out voting for a multibillion-dollar military infusion, setting up a potential internal clash in the weeks ahead for a party whose political base is aghast at President Donald Trump’s aggression against Iran.

The Trump administration’s top defense and intelligence officials told lawmakers this week that the Pentagon could soon send an emergency supplemental funding request to Capitol Hill. They didn’t offer a timeline or dollar value, but the White House is reportedly mulling a $50 billion ask.

That’s a massive sum on top of the more than $990 billion Congress has shelled out for defense capabilities in recent months between the GOP’s “big, beautiful bill” and the latest government funding package.

To pass any new military funding measure through the Senate, the support of at least seven Democrats will be needed to overcome the filibuster. It’s far from certain the votes are there.

“Good luck. What Democrat is going to vote to fund an illegal war?” Sen. Chris Murphy (D-Conn.) said Wednesday. “I don’t think — with the exception of one Democrat — there will be any votes for it.”

He appeared to be referring to Pennsylvania Sen. John Fetterman, who was the only Democrat to oppose a separate Iran war powers resolution and has routinely broken with his colleagues on government funding votes.

Democrats also want to stay disciplined around their campaign message heading into the midterms, arguing that Trump has abandoned his central campaign promises to keep the country out of prolonged wars and bring down costs for Americans.

“I mean, you lie to us, don’t consult us and then expect us to send more taxpayer money to a war that we shouldn’t have started with no plan and no answers,” said Rep. Pat Ryan (D-N.Y.), a combat veteran of the Iraq War, in an interview. He called reports of the $50 billion request “outrageous.”

But this is not the universal position inside the party. Several Democrats on the Senate Armed Services Committee aren’t ruling out supporting more Pentagon funding. That includes the panel’s top Democrat, Sen. Jack Reed of Rhode Island, as well as Sens. Gary Peters of Michigan, Tim Kaine of Virginia and Elissa Slotkin of Michigan.

A White House emergency funding request could force Democrats to choose between rebuffing the president and turning their backs on legislation the administration deems necessary for replenishing key defensive munition stocks designed to keep U.S. troops and civilians safe.

There’s awareness among many Democrats that Trump has thrust the country into a conflict, and now Congress has no choice but to help keep things on track.

“I need to know the goals and the plan. … I don’t rule anything out,” said Slotkin. “I mean, we’re in it.”

Lawmakers in both parties are also concerned that the bombing campaign and effort to defend U.S. personnel in the Middle East could quickly deplete stockpiles of precision-guided missiles and air defense interceptors that are critical for national security priorities elsewhere around the globe. The Pentagon and defense industry have struggled to speed up production of the expensive munitions, which are in high demand in the Middle East, Ukraine and in the Pacific.

“We have to look at what they need,” said Reed, the ranking member on the Senate Armed Services Committee. “Some of it might be to fill in critical issues and other theaters of war they’ve taken things from.”

There’s a possibility a spending package for the Iran conflict could be tied to other priorities, which could make it more palatable to some Democrats. Lawmakers were talking Wednesday about attaching Ukraine aid. Others are eyeing relief for farmers — a key priority for Republicans in agriculture-heavy states — as well as wildfire disaster aid Democrats have long sought.

“I think it comes down to, you’re going to have to have a number of things in there to get a critical mass,” Sen. John Hoeven (R-N.D.) said Wednesday.

That doesn’t mean all Democrats are prepared to give Trump a blank check for military action in Iran. Many who left the door open to voting for a supplemental funding package said the administration would first have to provide Congress with more information about the offensive. That includes the rationale for striking Iran, a commitment to avoid putting boots on the ground and a plan for ending the conflict.

“Clearly, there’s going to be a cost to this war that we haven’t budgeted for. So there is going to be a need for funding, and we need some answers before we provide it,” Sen. Jeanne Shaheen of New Hampshire, the top Democrat on the Senate Foreign Relations Committee, said in an interview.

Sen. Chris Coons (D-Del.), the top Democrat on the appropriations panel overseeing Pentagon spending, is also keeping open the option of supporting an emergency military funding package but said like Shaheen that administration officials need to testify publicly about “the failures in planning” in the conflict so far.

Republican Sen. Lisa Murkowski of Alaska cautioned Wednesday that Democrats could decide to take a stand on funding — a vote where they have real leverage. That is in contrast to the doomed efforts on Blue Light News this week to put guardrails on the president’s ability to take unilateral military action, which Trump would certainly veto in any case.

“There’s a lot of people who have said, ‘Well, if you want to express your position on the war, the way to do it is … through appropriations,” she said in an interview. “We get that. So the administration should not be taking anything for granted.”

Across the Capitol, California Rep. Pete Aguilar, the No. 3 Democrat in the House and a member of the Defense appropriations funding panel, told reporters Wednesday that he’s “incredibly skeptical” of any emergency military funding request from Trump — but also that he has “a duty and a responsibility to help protect this country.”

At the same time, said Aguilar, “It’s going to be pretty hard to move me off of a ‘no.’”

Mia McCarthy, Jordain Carney, Connor O’Brien and Calen Razor contributed to this report. 

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Utah Republican Burgess Owens announces he’ll retire at the end of this term

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Rep. Burgess Owens (R-Utah) announced Wednesday he will retire from Congress at the end of his current term after the state redrew its congressional maps ahead of the midterms.

Owens announced on social media he will not seek reelection and will instead take on “the next chapter of my mission … outside of elected office” while committing to serving out the remainder of his term.

“I will finish this term fully committed and fully accountable. My final political sprint will be here in Utah and across the country, helping my colleagues expand our Republican majority,” Owens said. “Though this chapter closes, my commitment to advancing opportunity, advocating for our children, and strengthening families will continue in new ways.”

Owens’ retirement helps Utah Republicans avoid a possible member-on-member primary after a Utah judge implemented a new congressional map that created a new Democratic-leaning seat and drew Rep. Mike Kennedy (R-Utah) and Rep. Celeste Maloy (R-Utah) into the same district. Utah’s 4th congressional district, which Owens represents, will remain a strongly Republican seat under the new map.

Owens’ decision to serve out the remainder of his term helps House Republican leadership preserve their narrow majority for the remainder of the cycle. Republicans’ four-seat House majority means they can only afford to lose one Republican on a party-line vote.

In addition to Owens leaving Congress, Reps. John James (R-Mich.) and Byron Donalds (R-Fla.) are running for governor, and Rep. Wesley Hunt (R-Tex.) launched a failed bid for Texas’ Senate seat, meaning there will likely be no Black members of the House Republican conference next year.

Owens is the latest in a wave of House Republicans looking to leave the lower chamber this cycle. Since the beginning of 2025, 35 other House Republicans have resigned, announced their retirements or launched campaigns seeking other elected positions.

Before entering politics, the former NFL player won a Super Bowl with the Oakland Raiders in 1981.

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