California lawmakers take anti-Trump stance as session ends

U.S. President Donald Trump waves as he arrives at Morristown municipal airport for a weekend at the Trump National Golf Club in Bedminster ahead of next week's United Nations General Assembly, New Jersey, U.S., September 15, 2017. REUTERS/Yuri Gripas

By Sharon Bernstein

SACRAMENTO, Calif. (Reuters) – California lawmakers voted to become a sanctuary state, tussled over hot-button environmental issues and urged other states to refuse to cooperate with President Donald Trump’s Election Integrity Commission as their legislative year ended early on Saturday.

The majority Democratic lawmakers headed back to their districts having positioned the state in opposition to conservative policies proposed by the Republican-dominated U.S. Congress and President Donald Trump on immigration, the environment and other issues.

“It’s a purposeful positioning,” said political analyst Sherry Bebitch Jeffe, a senior fellow at the University of Southern California. “We have a different political path and a different ideological path than the Republican-controlled Congress and White House have.”

This year, California lawmakers have strengthened protections for undocumented immigrants, increased the gasoline tax and extended a program aimed at compelling businesses to reduce air pollution, all in opposition to federal policies.

Early on Saturday, lawmakers gave last-minute support to a bill barring local governments from forcing undocumented immigrants to spend extra time in jail just to allow enforcement officers to take them into their custody.

The bill, a compromise from a version that sought to severely restrict interactions between law enforcement and immigration officials, does allow communities to notify the federal government if they have arrested an undocumented immigrant with a felony record. It also allows enforcement agents access to local jails.

It came a day after a federal judge barred the U.S. Justice Department from denying public-safety grants to so-called sanctuary cities in retaliation for limiting cooperation with the Trump administration’s crackdown on illegal immigration.

The bill goes now to Democratic Governor Jerry Brown for his signature.

Trump issued an executive order in January targeting funding for cities that offer illegal immigrants safe harbor by declining to use municipal resources to enforce federal immigration laws. A San Francisco judge blocked the order.

Illinois’ Republican Governor signed a bill last month protecting people from being detained because they are the subject of an immigration-related warrant.

FOSSIL FUELS

Although California lawmakers have enacted several environmental protections this year, a measure aimed at weaning the state’s power grid entirely off fossil fuels by 2045 died for the year after lawmakers adjourned without voting on it.

California’s three investor-owned utilities, Pacific Gas & Electric <PCG_pa.A>, Southern California Edison <SCE_pe.A> and San Diego Gas & Electric [SDGE.UL], said the bill does not protect customers from the cost of switching from fossil fuels.

Assemblyman Chris Holden, who held the measure in his Utilities and Energy Committee, said he would consider it again when the legislature returns in January for the second half of their two-year session.

The legislature also passed a package of bills aimed at increasing the availability of affordable housing in the notoriously expensive state, and approved a plan for spending $1.5 billion in income from the state’s cap-and-trade air quality program, which raises money by selling businesses limited rights to emit pollutants.

They passed a resolution condemning the election integrity commission, calling it an effort to suppress the voting rights of minorities and others, and voted to move up the state’s presidential primary from June to March.

(Reporting by Sharon Bernstein in Sacramento, Nichola Groom in Los Angeles and Brendan O’Brien in Milwaukee; Editing by Andrew Bolton)

House speaker optimistic on tax reform prospects this year

Speaker of the House Paul Ryan walks through National Statuary Hall after making a statement at the U.S. Capitol Building in Washington, U.S., June 14, 2017.

By David Morgan

WASHINGTON (Reuters) – The top Republican in the U.S. House of Representatives is expected to reassure business leaders on Tuesday that tax reform is on track for this year, despite repeated delays and a string of political distractions from President Donald Trump.

In what is billed as a major speech, House Speaker Paul Ryan will seek to dispel the notion that tax reform is adrift by describing what a U.S. tax code overhaul will look like, according to a source close to Ryan’s office.

The speaker will emphasize the importance of permanent reforms and reject the notion that legislation should do little more than reduce tax rates, the source said. He will underscore the need for international corporate tax reforms in remarks to the National Association of Manufacturers.

Aides said he is not expected to delve into the details of tax proposals.

The Wisconsin Republican delivered a similar optimistic message to lobbyists and campaign donors in Virginia over the weekend, adding that he expected Congress to finalize legislation to dismantle Obamacare by mid-summer, according to a source familiar with the Speaker’s comments.

Originally expected to unveil tax reform legislation in the spring, Republicans are under pressure from business lobbyists to make good on campaign pledges to reform the tax code and pass healthcare legislation.

Lawmakers also need legislative victories to stave off Democratic challenges in next year’s congressional mid-term elections.

“What Ryan needs to do is refocus folks on the rationale for having tax reform, not just the political rationale, but the economic rationale,” said Jeff Kupfer, a former economic adviser to President George W. Bush.

Markets have been anticipating lower taxes. Major stock indexes have hit multiple record highs from Trump’s election to the end of the first quarter, on bets he would improve economic growth by cutting taxes and boosting infrastructure spending.

The tax reform debate has largely moved behind closed doors, where Ryan is trying to hammer out an agreement with Senate Republican leader Mitch McConnell, Treasury Secretary Steven Mnuchin, White House economic adviser Gary Cohn and Republican chairmen of the two congressional tax committees. The aim is to unveil tax reform legislation in September.

Outside those discussions, lawmakers have begun to talk about legislation that would do little more than cut taxes, with temporary reductions financed by the federal deficit.

(Reporting by David Morgan; Editing by Chris Sanders and Jeffrey Benkoe)

U.S. lawmakers press United on man dragged off plane

United Airlines CEO Oscar Munoz (L) testifies next to UAL President Scott Kirby at a House Transportation and Infrastructure Committee hearing on "Oversight of U.S. Airline Customer Service," in the aftermath of the forced removal on April 9 of a passenger from a UAL Chicago flight, on Capitol Hill in Washington, U.S., May 2, 2017. REUTERS/Kevin Lamarque

By David Shepardson and Alana Wise

WASHINGTON (Reuters) – Lawmakers harshly criticized United Airlines Inc <UAL.N> on Tuesday, demanding answers from the carrier’s apologetic chief executive after a passenger was dragged off an overbooked flight last month.

United CEO Oscar Munoz’s appearance before the U.S. House Transportation and Infrastructure Committee was a test of how the Republican-led Congress would respond to an incident that enraged air passengers across the country.

Republicans largely back President Donald Trump’s push to undo rules and regulations they say hamper business growth. But Committee Chairman Bill Shuster told airline executives that Congress will take action if airlines do not act and added they “would not like the outcome.”

Shuster said the airlines owe the public answers. “Something is broken,” he said.

The hearing opened with a litany of complaints about air travel from lawmakers on both sides of the aisle, many of whom travel back and forth to their districts weekly.

Munoz apologized again and took responsibility for a series of problems that led to the incident. He first apologized on April 11 in a letter to employees.

“In that moment for our customers and our company we failed, and so as CEO, at the end of the day, that is on me,” Munoz told lawmakers.

“This has to be a turning point.”

Munoz was joined at the hearing by United President Scott Kirby and executives from American Airlines <AAL.O>, Southwest Airlines <LUV.N> and Alaska Airlines <ALK.N>.

Consumer anger at cost-cutting airlines boiled over when David Dao, 69, was dragged from a United flight at a Chicago airport on April 9 to make room for crew members.

Fellow passengers recorded the incident, sparking backlash against the airline, which initially resisted taking blame.

United reached a settlement with Dao last week and changed its policies by reducing overbooked flights and offering passengers who give up their seats up to $10,000. The airline has promised to no longer call on law enforcement officers to deny ticketed passengers their seats.

Southwest said last week it would end overbooking altogether. The company will tell Congress it expects denied boarding incidents will fall 80 percent as a result of the change.

Alaska Airlines told the committee it is considering changes to its overbooking. But American Airlines said it would not end the practice.

White House spokesman Sean Spicer said on Monday that Trump would not, at this point, weigh in on whether new airline regulations are needed.

“I’ll leave it up to Congress to decide whether it’s appropriate to address this legislatively. Once there was a piece of legislation, then we could have an opportunity to weigh in,” Spicer said on Monday.

But it is unclear how any new legislation would square with Trump’s deregulatory push.

Shortly after he took office, Trump directed federal agencies to do away with two old regulations for every new one. He asked airline executives in February to identify regulatory hurdles.

(Additional reporting by Steve Holland and Amanda Becker in Washington; writing by Roberta Rampton and Amanda Becker; Editing by Mary Milliken and Meredith Mazzilli)

Venezuela’s opposition censures judges; 18 held after protests

Demonstrators scuffle with security forces during an opposition rally in Caracas, Venezuela. REUTERS/Carlos Garcia Rawlins

By Andrew Cawthorne and Corina Pons

CARACAS (Reuters) – Venezuela’s opposition lawmakers, some carrying injuries from this week’s protests, on Wednesday sought the dismissal of Supreme Court judges whom they accuse of propping up a socialist dictatorship.

Newly militant opposition leaders also announced another round of demonstrations against President Nicolas Maduro for Thursday, despite chaos and violence in Caracas on Tuesday that left 20 injured and 18 arrested.

The opposition, which won control of the National Assembly in late 2015, accuses Maduro of wrecking the South American nation’s economy and squashing democracy.

Maduro says his foes are seeking a coup with the help of Washington and compliant foreign media.

The opposition’s main demand now is to bring forward the next presidential election scheduled for the end of 2018.

But there is no sign authorities will concede, analysts and diplomats say, unless foreign pressure ramps up considerably or Venezuela’s powerful military sways the equation.

The political drama is playing out against the backdrop of a deep economic crisis, with Venezuelans suffering a fourth year of recession, widespread shortages of basic foods and medicines, the world’s worst inflation, and long lines at supermarkets.

Having been impeded from reaching the National Assembly on Tuesday, lawmakers headed to the building in downtown Caracas from dawn on Wednesday, some still nursing head wounds or bandaged arms from clashes in recent days.

“We are going to keep fighting for change, opposing repression and dictatorship,” lawmaker Juan Requesens, who had a gash on his head, said at 6:30 a.m. while en route to the session.

Often at the forefront of provocative demonstrations, Requesens received more than 50 stitches after being hit by a stone when pro-government supporters confronted protesters at the public ombudsman’s office earlier this week.

ARRESTS AND INJURIES

The Caracas-based Penal Forum rights group said 18 people were still behind bars on Wednesday after detentions around the country, but mostly in Caracas. At least 20 people were injured on Tuesday, its head, Alfredo Romero, told Reuters.

There was particular outcry over a musician caught and slapped by police with riot shields while apparently on his way to practice, according to a video of the incident. State ombudsman Tarek Saab called for a probe into the “brutal aggression.”

The head of the hemispheric Organization of American States and global rights group Amnesty International both condemned Venezuela for excessive repression.

But Interior Minister Nestor Reverol denied that, calling instead for one opposition leader, Henrique Capriles, to be prosecuted for blocking streets, including impeding an ambulance.

“The exemplary behavior, capacity and training of our citizens’ security organs prevented the unpredictable consequences of these terrorist groups,” Reverol added.

The oil-producing nation’s political standoff took a new twist last week when the Supreme Court ruled that it was taking over the legislature’s functions.

That touched off an international outcry, and the tribunal quickly scrubbed the offending clauses.

But dozens of previous rulings overturning National Assembly measures have left it powerless anyway, and opposition leaders say recent events have shown the world Maduro’s autocratic face.

Lawmakers passed one motion on Wednesday denouncing the “rupture” of Venezuela’s constitution and another asking for the removal of Supreme Court judges.

But that would be merely symbolic since congress requires the support of other institutions, which are behind Maduro, to dismiss the judges.

“Stop being ridiculous; you’re carrying out a parliamentary ‘coup,'” said Socialist Party lawmaker Hector Rodriguez, accusing opposition leaders of caring less about Venezuelans’ problems than their own competing presidential ambitions.

(Additional reporting by Andreina Aponte; Writing by Andrew Cawthorne; Editing by Alistair Bell and Lisa Von Ahn)