Judge rules US government overreached with transgender health care declaration

A federal judge said the government overreached by issuing a declaration that called treatments like puberty blockers and surgeries unsafe and ineffective for young people experiencing gender dysphoria, according to a ruling Thursday in Oregon. Judge Mustafa Kasubhai’s ruling was centered on Secretary Robert F. Kennedy Jr. not going through the proper administrative procedures when issuing the declaration in December. The declaration also warned doctors that they could be excluded from federal health programs like Medicare and Medicaid if they provide these treatments. The judge also denied the defendants’ motion to dismiss the case. The judge’s ruling was at the end of a roughly 6-hour hearing and will be followed by a written decision. “Today’s win breaks through the noise and gives some needed clarity to patients, families, and providers,” the Democratic New York Attorney General Letitia James, who led the lawsuit, said in a statement Thursday. “Health care services for transgender young people remain legal, and the federal government cannot intimidate or punish the providers who offer them.” A spokesperson for HHS did not immediately respond to an email requesting comment. The New York Times reported that the judge spoke about the broader implications associated with this case, especially as it relates to democracy. “The notion that ‘I will go forward and issue a declaration and see if we can get away with it’ is not a principle of governance that adheres to the overarching commitment to a democratic republic that requires the rule of law to be regarded and respected and honored as a sacred,” the judge said. The decision is the second major legal setback for Kennedy and the U.S. Department of Health and Human Services this week. Another federal judge in Boston on Monday temporarily blocked several of Kennedy’s vaccine policy changes. The judge ruled Kennedy likely violated federal procedures in revamping a key vaccine advisory committee and slimming down the childhood vaccine schedule without the committee’s input. Federal officials have indicated they plan to appeal that ruling. A coalition of 19 states and the District of Columbia in December sued HHS, Kennedy and its inspector general over the declaration, alleging that it is inaccurate and unlawful and asking the court to block its enforcement. The lawsuit says that HHS’s declaration seeks to coerce providers to stop providing gender-affirming care and circumvent legal requirements for policy changes. It also says federal law requires the public to be given notice and an opportunity to comment before substantively changing health policy — neither of which, the suit says, was done before the declaration was issued. HHS’s declaration based its conclusions on a peer-reviewed report that the department conducted earlier this year that urged greater reliance on behavioral therapy rather than broad gender-affirming care for youths with gender dysphoria. The report questioned standards for the treatment of transgender youth issued by the World Professional Association for Transgender Health and raised concerns that adolescents may be too young to give consent to life-changing treatments that could result in future infertility. Major medical groups and those who treat transgender young people have sharply criticized the report as inaccurate, and most major U.S. medical organizations, including the American Medical Association, continue to oppose restrictions on transgender care and services for young people.

Supreme Court Blocks California Transgender Student Disclosure Law

 The Supreme Court cleared the way Monday for California schools to tell parents if their children identify as transgender without getting the student’s approval, granting an emergency appeal from a conservative legal group.

The order blocks for now a state law that bans automatic parental notification requirements if students change their pronouns or gender expression at school.

The split decision comes after religious parents and educators challenged California school policies aimed at preventing schools from outing students to their families. Two sets of Catholic parents represented by the Thomas More Society say it caused schools to mislead them and secretly facilitate the children’s social transition despite their objections.

California, on the other hand, argued that students have the right to privacy about their gender expression, especially if they fear rejection from their families. The state said that school policies and state law are aimed at striking a balance with parents’ rights.

The high court majority, though, sided with the parents and reinstated a lower-court order blocking the law and school policies while the case continues to play out.

“The parents who assert a free exercise claim have sincere religious beliefs about sex and gender, and they feel a religious obligation to raise their children in accordance with those beliefs. California’s policies violate those beliefs,” and burden the free exercise of religion, the majority wrote in an unsigned order.

The court’s three liberal justices publicly dissented, saying the case is still working its way through lower courts and there was no need to step in now. “If nothing else, this Court owes it to a sovereign State to avoid throwing over its policies in a slapdash way, if the Court can provide normal procedures. And throwing over a State’s policy is what the Court does today,” Justice Elena Kagan wrote.

Conservative Justices Samuel Alito and Clarence Thomas, meanwhile, noted they would have gone further and granted teachers’ appeal to lift restrictions for them.

The Thomas More Society called the decision “the most significant parental rights ruling in a generation.”

California Gov. Gavin Newsom’s office defended the law, saying teachers should be focused on instruction, not required “to be gender cops.”

The order “undermines student privacy and the ability to learn in a safe and supportive classroom, free from discrimination based on gender identity,” said Marissa Saldivar, a spokesperson for the Democratic governor.

The Supreme Court has ruled for religious plaintiffs in other recent cases, including allowing parents to pull their children from public-school lessons if they object to storybooks with LGBTQ+ characters.

The California order comes months after the court upheld state bans on gender-identity-related healthcare for minors. The justices also seem to be leaning toward allowing states to ban transgender athletes from playing on girls sports teams.

School policies for transgender students, meanwhile, have also been on the court’s radar in other cases. The court rebuffed another similar case out of Wisconsin in December, but three conservative justices indicated they would have heard the case. Justice Samuel Alito called the school policies “an issue of great and growing national importance.”

The justices have been weighing whether to hear arguments in cases out of states like Massachusetts and Florida filed by other parents who say schools facilitated social transition without informing them.

The Trump administration, meanwhile, found in January that California’s policies violated parents’ right to access their children’s education records. The Justice Department also sued after determining the states’ transgender athlete policies violate federal civil rights law.

Partial shutdown seems increasingly likely as Democrats demand ICE changes

With a partial government shutdown looming, Senate Democrats laid out a list of demands Wednesday for the Department of Homeland Security, including an enforceable code of conduct for federal agents conducting immigration arrests and a requirement that officers show identification as the country reels from the deaths of two protesters at the hands of federal agents in Minneapolis. It remained unclear if President Donald Trump and Republicans would be willing to meet those demands, even as funding for DHS and a swath of other government agencies was at risk of expiring Saturday. Irate Democrats have pledged to block a spending bill unless their demands for reforms are met. Senate Democratic leader Chuck Schumer said Wednesday that the legislation won’t pass until U.S. Immigration and Customs Enforcement is “reined in and overhauled.” “The American people support law enforcement, they support border security, they do not support ICE terrorizing our streets and killing American citizens,” Schumer said. With an uncertain path ahead, the standoff threatened to plunge the country into another shutdown just two months after Democrats blocked a spending bill over expiring federal health care subsidies, a dispute that closed the government for 43 days as Republicans refused to negotiate. That shutdown ended when a small group of moderate Democrats broke away to strike a deal with Republicans, but Democrats are more united this time after the fatal shootings of Alex Pretti and Renee Good by federal agents. There’s a lot of “unanimity and shared purpose” within the Democratic caucus, Minnesota Sen. Tina Smith said after a lunch meeting Wednesday. “Boil it all down, what we are talking about is that these lawless ICE agents should be following the same rules that your local police department does,” Smith said. “There has to be accountability.” As the administration’s aggressive immigration enforcement surge goes on, Schumer said Democrats are asking the White House to “end roving patrols” in cities and coordinate with local law enforcement on immigration arrests, including requiring tighter rules for warrants. Democrats also want an enforceable code of conduct so agents are held accountable when they violate rules. Schumer said agents should be required to have “masks off, body cameras on” and carry proper identification, as is common practice in most law enforcement agencies. The Democratic caucus is united in those “commonsense reforms” and the burden is on Republicans to accept them, Schumer said. He has asked Republicans to separate out the Homeland Security bill from the others to avoid a broader shutdown. Senate Majority Leader John Thune, R-S.D., has said he was waiting for Democrats to outline what they want, and he suggested that they need to be negotiating with the White House. He indicated that he might be open to some of their demands, but encouraged Democrats and the White House to talk and find agreement. It was unclear whether Trump would weigh in, or how seriously the White House was engaged — or whether the two sides could agree on anything that would satisfy Democrats. The White House had invited some Democrats for a discussion to better understand their positions and avoid a partial government shutdown, a senior White House official said, but the meeting did not happen. The official requested anonymity to discuss the private invitation. With no serious negotiations underway, a partial shutdown appeared increasingly likely starting Saturday. The House passed the six remaining funding bills last week and sent them to the Senate as a package, and that makes it difficult to strip out the homeland security portion as Democrats are demanding. Republicans could break the package apart with the consent of all 100 senators, which would be complicated, or through a series of votes that would extend past the Friday deadline.

California delays revoking 17,000 commercial driver’s licenses until March

A week after immigrant groups filed a lawsuit, California said Tuesday it will delay the revocations of 17,000 commercial driver’s licenses until March to allow more time to ensure that truckers and bus drivers who legally qualify for the licenses can keep them. But U.S. Transportation Secretary Sean Duffy said the state may lose $160 million if it doesn’t meet a Jan. 5 deadline to revoke the licenses. He already withheld $40 million in federal funding because he said California isn’t enforcing English proficiency requirements for truckers. California only sent out notices to invalidate the licenses after Duffy pressured the state to make sure immigrants who are in the country illegally aren’t granted the licenses. An audit found problems like licenses that remained valid long after an immigrant’s authorization to be in the country expired or licenses where the state couldn’t prove it checked a driver’s immigration status. “California does NOT have an ‘extension’ to keep breaking the law and putting Americans at risk on the roads,” Duffy posted on the social platform X. The Transportation Department has been prioritizing the issue ever since a truck driver who was not authorized to be in the U.S. made an illegal U-turn and caused a crash in Florida that killed three people in August. California officials said they are working to make sure the federal Transportation Department is satisfied with the reforms they have put in place. The state had planned to resume issuing commercial driver’s licenses in mid-December, but the Federal Motor Carrier Safety Administration blocked that. “Commercial drivers are an important part of our economy — our supply chains don’t move, and our communities don’t stay connected without them,” said DMV Director Steve Gordon. The Sikh Coalition, a national group defending the civil rights of Sikhs, and the San Francisco-based Asian Law Caucus filed a class-action lawsuit on behalf of the California drivers. They said immigrant truck drivers were being unfairly targeted. The driver in the Florida crash and the driver in another fatal crash in California in October are both Sikhs. Immigrants account for about 20% of all truck drivers, but these non-domiciled licenses immigrants can receive only represent about 5% of all commercial driver’s licenses or about 200,000 drivers. The Transportation Department also proposed new restrictions that would severely limit which noncitizens could get a license, but a court put the new rules on hold. Mumeeth Kaur, the legal director of the Sikh Coalition, said this delay “is an important step towards alleviating the immediate threat that these drivers are facing to their lives and livelihoods.” Duffy previously threatened to withhold millions of dollars in federal funding from California, Pennsylvania and Minnesota after audits found significant problems under the existing rules like commercial licenses being valid long after an immigrant truck driver’s work permit expired. He dropped the threat to withhold $160 million from California after the state said it would revoke the licenses because the state was complying. Trucking trade groups have praised the effort to get unqualified drivers who shouldn’t have licenses or can’t speak English off the road. They also applauded the Transportation Department’s moves to go after questionable commercial driver’s license schools.

Netflix to acquire Warner Bros. studio and streaming business for $72 billion

Netflix has struck a deal with Warner Bros. Discovery, the legacy Hollywood giant behind “Harry Potter” and “Friends,” to buy its studio and streaming business for $72 billion. The acquisition, announced Friday, would bring two of the industry’s biggest players in film and TV under one roof and alter the entertainment industry landscape. Beyond its namesake television and motion picture division, Warner owns HBO Max and DC Studios. And Netflix is ubiquitous with on-demand content and has built its own production arm to release popular titles, including “Stranger Things” and “Squid Game.” “For more than a century, Warner Bros. has thrilled audiences, captured the world’s attention, and shaped our culture,” David Zaslav, CEO of Warner Bros. Discovery, said in a statement. “By coming together with Netflix, we will ensure people everywhere will continue to enjoy the world’s most resonant stories for generations to come.” The cash and stock deal is valued at $27.75 per Warner share, giving it a total enterprise value of approximately $82.7 billion. The transaction is expected to close after Warner separates its Discovery Global cable operations into a new publicly-traded company in the third quarter of 2026. Shares of Warner Bros. rose nearly 3% in premarket trading while shares of Netflix and Paramount fell more than 2%. Gaining Warner’s legacy studios would mark a notable shift for Netflix’s, particularly its presence in theaters. Under the proposed acquisition Netflix has promised to continue theatrical releases for Warner’s studio films — honoring Warner’s contractual agreements for movie releases. Netflix has kept most of its original content within its core online platform. But there’s been few exceptions, such as limited theater screenings of a “KPop Demon Hunters” sing-a-long and its coming “Stranger Things” series finale. “Our mission has always been to entertain the world,” Ted Sarandos, co-CEO of Netflix said in a statement — adding that merging with Warner will “give audiences more of what they love.” Critics say a Netflix-Warner combo could have negative consequences for movie theaters worldwide. Cinema United — a trade association that represents more than 30,000 movie screens in the U.S. and another 26,000 screens internationally — was quick to oppose the proposed deal, which it said “poses an unprecedented threat to the global exhibition business.” “Netflix’s stated business model does not support theatrical exhibition. In fact, it is the opposite,” Michael O’Leary, CEO of Cinema United, said Friday — urging regulators to look closely at the impacts. “Theatres will close, communities will suffer, jobs will be lost.” Netflix had previously steered away from tapping into other parts of the legacy entertainment landscape. As recently as October — when Warner signaled that it was open to a potential sale of its business — Netflix’s Sarandos reiterated on an earnings call that the company had been “very clear in the past that we have no interest in owning legacy media networks” and that there was “no change there.” “We believe that we can be and we will be choosy,” Sarandos said at the time, without fully ruling out a potential bid for Warner. Friday’s announcement arrives after a monthslong bidding war for Warner Bros. Discovery. Rumors of interest from Netflix, as well as NBC owner Comcast, starting bubbling up in the fall. But Skydance-owned Paramount, which completed its own $8 billion merger in August, had also reportedly made several all-cash offers backed heavily by CEO David Ellison’s family. Paramount seemed like the frontrunner for some time — and unlike Netflix or Comcast, was reportedly vying to buy Warner’s entire company, including its cable business housing networks like CNN and Discovery. Warner announced its intention to split its streaming and studio operations from its cable business in June — outlining plans for HBO, HBO Max, as well as Warner Bros. Television, Warner Bros. Motion Picture Group, DC Studios, to become part of a new streaming and studios company. Meanwhile, networks like CNN, Discovery and TNT Sports and digital products such as the Discovery+ streaming service and Bleacher Report would make up a separate cable counterpart. The Netflix acquisition of Warner’s streaming and studio arm is expected to close in 12 to 18 months — after the company wraps up the spinoff of its cable business. That is now expected in the third quarter of 2026. The merger has already received approval from shareholders of both Netflix and Warner Bros. Discovery, but it faces significant regulatory hurdles. The size of the transaction could draw antitrust scrutiny. Beyond TV and movie production, the merger would bring two of the streaming world’s biggest names — Netflix and HBO Max — under the same roof.

Federal immigration agents will expand enforcement action in N. Carolina

The acting chief of the Federal Emergency Management Agency left his job Monday after just six months, according to the Department of Homeland Security, the latest disruption in a year of mass staff departures, program cuts and policy upheaval at the agency charged with managing federal disaster response. David Richardson, who in his brief term remained largely out of public sight, is leaving the post after he faced a wave of criticism for his handling of the deadly Texas floods earlier this year. He replaced previous acting head Cameron Hamilton in May. DHS did not comment on the details of Richardson’s departure, but a FEMA employee familiar with the matter told The Associated Press that Richardson resigned. The employee spoke on condition of anonymity because they weren’t authorized to discuss the changes with the media. The Washington Post first reported the news about Richardson’s resignation. A former Marine Corps officer who served in Iraq and Afghanistan and also led the DHS Countering Weapons of Mass Destruction office, Richardson had no previous emergency management experience when he assumed the role of “senior official performing the duties of administrator” in May. After replacing Hamilton, who was fired one day after telling a House appropriations committee that he did not think FEMA should be eliminated, Richardson vowed to help fulfill President Donald Trump’s goal to push more disaster recovery responsibilities to the states and told FEMA employees he would “ run right over ” anyone who tried to obstruct that mission.

Federal workers fear layoffs as the government shutdown drags on

With every passing day of the government shutdown, hundreds of thousands of federal employees furloughed or working without pay face mounting financial strain. And now they are confronting new uncertainty with the Trump administration’s promised layoffs. Little progress has been made to end the shutdown as it enters its third week, with Republicans and Democrats digging in and convinced their messaging is resonating with voters. The fate of the federal workers is among several pressure points that could eventually push the sides to agree to resolve the stalemate. “Luckily I was able to pay rent this month,” said Peter Farruggia, a furloughed federal worker. “But for sure I am going to have bills that are going to go unpaid this month, and I really don’t have many options.” The shutdown has a familiar feel for many federal employees who endured past stalemates — including during President Donald Trump’s first term — but this time, the stakes are higher. The Republican White House is leveraging federal workers’ jobs to pressure Democrats to soften their demands. The shutdown began on Oct. 1 after Democrats rejected a short-term funding fix and demanded that the bill include an extension of federal subsidies for health insurance under the Affordable Care Act. Trump and other Republican leaders have said the government must reopen before they will negotiate with Democrats on the health subsidies. Farruggia is the head of the American Federation of Government Employees local representing employees at the Centers for Disease Control and Prevention, an agency that faced a wave of layoffs over the weekend. Like 8,000 other CDC employees who have been furloughed from the agency, he was already living paycheck to paycheck, and the partial pay that arrived Friday was his last until the government comes back online. With the agency’s leadership in turmoil and still rattled from a shooting, the shutdown and new firings mean “people are scared, nervous, anxious, but also really just exasperated,” Farruggia said. After Russ Vought, the director of the Office of Management and Budget, said last week on social media that the “RIFs have begun,” referring to reduction-in-force plans aimed at reducing the size of the federal government, Vice President JD Vance doubled down on the threat Sunday, saying “the longer this goes on, the deeper the cuts are going to be.” The layoffs have begun across federal agencies. Labor unions have already filed a lawsuit to stop the move by Trump’s budget office. National Treasury Employees Union President Doreen Greenwald, which represents workers across dozens of federal agencies, said several of the union’s members had been laid off as of Friday. The Treasury Department would lose 1,446 workers, according to the filing. Greenwald said it was unfortunate that the Trump administration was using “federal employees as political pawns by furloughing and proposing to fire them all to try to cause pressure in a political game of chicken.” Randy Erwin, president of the National Federation of Federal Employees, which represents 110,000 workers nationwide, called on both sides of Congress to find a resolution. He said Trump appeared to aim to “degrade, frighten, antagonize hardworking federal employees.” Chris Bartley, political program coordinator for the International Association of Fire Fighters, said thousands of firefighters were showing up for work without pay out of a sense of devotion but stressed that could have broader consequences. “Families go without income,” Bartley said. “Morale and retention suffer. Public safety is compromised.”