Policy Briefing

Catalyst Biweekly Policy Briefing Issue XXI: Hanging in the Balance

Hello again.

A week scarred by gun violence — including the murder of Charlie Kirk and the shooting of multiple high school students in Colorado — starkly reminds us why we must work every day to build communities where people are safe and supported. Our families, our freedoms, and our future depend on it.

Here’s a look at what happened this week. Catch up on our previous installments of this briefing here.)

 

THE FACTS

FEDERAL BUDGET & AN UPDATE ON SAN DIEGO COUNTY RESERVES
  • ​​​​At the end of August, President Trump used a pocket rescission to cancel $4.9 billion of foreign aid—most of it through the U.S. Agency for International Development and for peacekeeping efforts. A federal judge ruled last week that the pocket rescission is illegal and ordered the money be spent before it expires at the end of September.
  • On Monday, the president asked the Supreme Court to weigh in with an emergency ruling to allow him to continue the funding freeze. The court responded Tuesday, issuing an administrative stay, or temporary pause, on the federal judge’s ruling. The groups challenging the rescission have until Friday (today) to respond
    • House Republicans have yet to agree on a stopgap measure. Democrats have made it clear they will not accept a partisan continuing resolution that excludes their input, and they may allow the government to shut down if the measure includes major policies unrelated to the budget or spending cuts. Senate Minority Leader Chuck Schumer has underscored that Democrats’ support depends on including health care provisions, such as restoring ACA subsidies and reversing Medicaid cuts.
    • On Tuesday, the White House asked Congress to move the shutdown deadline to January 31, keeping funding at current levels with exceptions outlined in a 21-page wishlist of ‘anomalies’ or programs it wants funded at different levels in a stopgap measure.  
    • Meanwhile, Republican leaders in the House are eyeing a shorter extension to November 21.  
    • President Trump has encouraged Republicans to move forward without negotiating with Democrats. 
  • Also on Tuesday, the County of San Diego’s board of supervisors took a required second vote that changes policies to make it easier to access the county’s reserve fund to address federal cuts. Spending the funds, though, requires at least one Republican supervisor to join the Democrats in approving the action.

 

REDISTRICTING
  • ​​​​The San Diego Unified School District voted to endorse California’s ballot measure, Proposition 50, which would redraw congressional districts to favor Democrats in an attempt to offset new maps in Texas. The state’s special election to vote on the measure is set for November 4, with Proposition 50 as the only item on the ballot.
  • Two San Diego Democrats who have thrown their hats in the ring to unseat Darrel Issa in one of the districts that would be redrawn shared why they decided to run and what they want to accomplish. When asked about protecting his seat, Congressman Issa was quoted this week saying he would do “nothing” and let voters decide.
  • Missouri has joined the fray, voting last week to advance a plan to add one Republican congressional seat to its state and make it harder for voters to amend the state constitution. The proposal would require that citizen-initiated ballot measures win not only a statewide majority, but also a majority in every congressional district in order to pass.
  • Several other states, including Maryland, Indiana, Ohio, and Florida, have suggested that they are also prepared to redraw districts to influence the balance of power in the U.S. House in 2026.
  • Governor Newsom has promised the state will cover the costs of the election. The California State Association of Counties submitted a request in August asking the state to fully fund county costs to run the election in advance, noting that the 2021 special election cost about $200 million and that many counties do not have any funding to spare in their budgets.
  • Campaigns for and against the initiative have already begun, with each side expected to raise and spend at least $100 million. As of September 5, each side had raised about $20 million.
  • Meanwhile, a Texas congressman has sued Newsom over the plan to gerrymander California districts.

 

IMMIGRATION
  • On Monday, the Supreme Court overturned a federal judge’s ruling that barred agents in Los Angeles from stopping and questioning people about their immigration status based on their ethnicity, accent or use of Spanish, presence at day laborer sites, or type of work they do.
    • Under the Fourth Amendment, government agents cannot stop or detain people without reasonable suspicion. Lower courts had ruled that stopping people based on appearance, language, or occupation did not constitute “reasonable suspicion” of undocumented status, but instead amounted to racial profiling.
    • In San Diego, fear of raids is affecting the local workforce and the ability of mixed-status households to provide for their families. ​​​​​
  • Last week, U.S. Immigration and Customs Enforcement carried out the nation’s largest single-site raid at a Hyundai electric vehicle manufacturing plant, arresting nearly 500 workers—including more than 300 people from South Korea here to help set up the new facility.
    • The administration’s immigration enforcement and tariff policies have increasingly clashed with its stated economic goals of bringing manufacturing back to the United States. The fear and disruption caused by raids have negatively impacted industries such as construction, while tariffs have raised the cost of building materials, making it more difficult and expensive to plan and build new factories.
  • On Tuesday, the San Diego County Board of Supervisors voted 4-1 to expand the purview of its Immigrant Legal Defense Program to include representation for unaccompanied immigrant children.
    • Since 2021, the program has provided free legal representation to people at Otay Mesa Detention Center and those released with a tracking device. Supervisor Terra Lawson-Remer noted that 300 children in San Diego could otherwise be left without support when federal funding ends on October 1.
  • The California Legislature passed two controversial measures in the final days of session aimed at federal immigration enforcement tactics: SB 627, banning local, out-of-state, and federal law enforcement officers from wearing face coverings, and SB 805, requiring officers to be readily identifiable. Both bills passed along party lines and now head to Governor Newsom’s desk for signature or veto. 

 

TAKEAWAYS

  • Fund organizations that help residents stay informed, connected, and able to participate in civic life. This can be anything from civics education to independent journalism to anti-hate and conflict resolution work. Check some of the toolkits from Philanthropy for Active Civic Engagement for guidance.
  • Consider funding 501(c)4 organizations and understand the educational work that 501(c)3 organizations can do to support an active democratic process. You can join a convening about this approach with members of the California Donor Table in San Diego on September 25-27.
  • Join our Southern Border Region delegation to the CalNonprofits policy conference in Los Angeles on November 5. Nonprofits and funders from San Diego and Imperial Valley will connect in advance, attend the conference, and then debrief on what we learned and how to activate collectively.  Let us know if you want to join us. (You must separately register for the conference.)

 

RESOURCES

  • Don’t miss out on registering: Join colleagues at Catalyst’s 2025 annual conference on Friday, October 3, in National City. Bright Spots will explore the bold leadership and collective action that is making a difference in our communities in the face of tremendous challenge.
  • Registration is Open: The United Philanthropy Forum’s Virtual Policy Institute will take place on November 5, 2025. The virtual forum will bring together philanthropic leaders and advocates to collaborate and strengthen advocacy capacity across the sector.
  • Voter Information: Make sure you have information about the November special election, check your registration, and see voting options in your county.
  • Gain valuable insight from peers and policy leaders on how philanthropy can help protect healthcare at the 2025 Health Policy Exchange, hosted in Washington, DC, November 18-21, by Grantmakers in Health. Early-bird pricing closes October 17.

 

Talk to you next week,

Megan Thomas
President & CEO
Catalyst of San Diego & Imperial Counties