On Friday, just outside the White House during the annual Fourth of July picnic, fighter jets and a stealth bomber demonstrated the military might of the United States.
Inside, however, it was the soft power of policy that took center stage as President Donald Trump signed into law his nearly 900-page “Big Beautiful Bill,” which merges significant tax breaks with spending cuts impacting millions, particularly those reliant on Medicaid.
The Senate had passed the bill earlier in the week, and the Republican-controlled House narrowly approved it on Thursday evening with a 218-214 vote.
All of the Democrats, along with two Republicans, opposed the bill.
The passage of the legislation marks a significant moment for the Trump administration and brings changes that will resonate across the nation.
The bill primarily emphasizes tax cuts amounting to approximately $4.5 trillion and solidifies tax provisions established during Trump’s first term.
Contrasting outcomes are anticipated, with the wealthiest families enjoying an average of $12,000 in tax savings, while impoverished Americans may face increased financial burdens of about $1,600 annually due to cuts in Medicaid and food assistance.
According to an analysis by the nonpartisan Congressional Budget Office (CBO), the bill adds new tax deductions for things like tips, overtime, and auto loans while introducing a $6,000 deduction for older adults who earn less than $75,000 a year.
Moreover, the child tax credit is increased from $2,000 to $2,200, although many lower-income families will still not access the full credit.
The cap for state and local tax deductions, known as SALT, is set to quadruple to $40,000 for five years, providing some relief to residents in higher-tax states, including California.
In a bid to invigorate economic growth, the bill allows businesses to write off 100% of the costs related to equipment and research.
Yet, amidst the tax incentives, a significant $350 billion is directed toward border and national security measures, which includes funding for the U.S.-Mexico border and the establishment of 100,000 migrant detention beds.
Immigration and Customs Enforcement (ICE) will also receive an infusion of funds to provide $10,000 signing bonuses aimed at recruiting an additional 10,000 officers and agents.
New or increased fees imposed on immigrants applying for asylum will also contribute to these costs.
The Department of Defense is allocated roughly $1 billion more for border security operations.
Furthermore, $25 billion is set aside to develop a U.S.-specific version of the Iron Dome missile defense system, dubbed the “Golden Dome.”
In stark contrast, the bill severely cuts tax incentives that previously facilitated the growth of clean energy sectors, particularly wind and solar energy.
One key measure, a tax break for electric vehicles, will phase out much sooner than previously anticipated, ending on September 30, before its initially slated expiration in 2032.
Funding for these expansive projects primarily derives from substantial cuts to Medicaid and food assistance programs aimed at low-income Americans.
Many adults who receive Medicaid and food stamps will now be required to complete an 80-hour-per-month work mandate to maintain their assistance.
Additionally, Medicaid patients will face a new co-payment of $35.
This bill affects millions, with approximately 71 million Americans relying on Medicaid and nearly 40 million participating in the Supplemental Nutrition Assistance Program (SNAP), formerly known as food stamps.
The CBO projects that by the year 2034, around 11.8 million people will lose their health insurance and roughly 3 million will no longer qualify for SNAP benefits due to these legislative changes.
Aside from the legislative implications of the Big Beautiful Bill, other stories were making headlines as America celebrated its independence.
In a demonstration against the bill, hundreds gathered in downtown Los Angeles on July 4, rallying against the implications of immigration raids connected to the recent legislation.
Meanwhile, President Trump faced critiques regarding his recent speech, wherein he appeared unaware that a term he used has gained recognition as antisemitic.
In Los Angeles, supporters of the Galaxy football club protested the team’s silence regarding the ongoing ICE raids, reflecting broader community concerns about immigration enforcement.
Wildfires and fires continued to pose threats across California, as the Madre Fire in rural San Luis Obispo County expanded to nearly 80,000 acres.
There were tragic firework incidents resulting in fatalities and injuries, including a firework explosion in Pacoima that claimed one life and rendered two others critically injured in the Bay Area.
In response to the dangerous conditions, Los Angeles announced it would cease “disaster tourism” bus tours within the Palisades fire zone.
Residents of Altadena expressed reluctance to sue Los Angeles County regarding mismanaged evacuations during the Eaton fire, emphasizing the community’s struggles to cope with their disaster experiences.
Amid these serious events, various crime stories also surfaced, illustrating the ongoing complexities of life in Los Angeles.
In an alarming incident, a mother, while holding her infant, allowed her 12-year-old child to move their car, resulting in an accident.
Additionally, a former CAA executive faces severe allegations of trafficking, following claims made by a woman who described being kept as a “sex slave.”
In another shocking story, the body of a woman was discovered in a burned home in San Marino; her husband was arrested on suspicion of murder.
These pieces reflect a week of turmoil and intrigue across California, compounded by the implications of the newly signed legislation.
In lighter news, concerns about job security due to AI advancements took hold of the workplace conversation.
An analysis of global geopolitical tensions highlighted Iran’s nuclear developments in light of Israel’s recent declarations of success.
Art and culture also found a place in this week’s endeavors, reminiscing on two very different park experiences, along with the anticipation surrounding Oasis’s new tour.
A curious report surfaced about a baby tiger initially spotted on a California highway, but authorities later uncovered a different reality.
Buffalo Bill’s Resort is on the cusp of its final rodeo, as the casino prepares to close amid ongoing struggles in Primm.
On a community level, a heartwarming story emerged from Pasadena, where local support rallied around a 14-year-old street vendor, Chris Garcia, who has been selling tamales on behalf of his mother, who recently fell victim to an immigration sweep.
As California residents navigate these developments, a weekend plan awaits, with exciting opportunities to delve into coffee culture, try new dining spots, or catch the blockbuster “Jurassic World Rebirth” and decided how well it holds up.
For some, the solace found in self-care may provide a refuge as the state deals with traumatic events like rampant wildfires.
Streaming options featuring dynamic duos like John Cena and Idris Elba offer a fresh perspective, while discussions around the television series “And Just Like That…” prompt reflections on how narratives exclude perspectives of varied age groups.
For those who enjoy cooking, a recipe for a summer berry double-crust slab pie offers an inviting escape into deliciousness.
As the newsletter comes to a close, the Essential California team wishes everyone a fantastic weekend, inviting readers to engage with the stories, join the discussions, and reflect on the assortment of experiences encapsulated in California life.
image source from：latimes
