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Hochul Hands NYC $1.5B Lifeline as Mamdani Faces Budget Crisis

Mamdani Quran
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New York Gov. Kathy Hochul on Monday announced the state will commit an additional $1.5 billion to assist New York City Mayor Zohran Mamdani as his administration grapples with significant budget shortfalls over the next two years.

Hochul said the funding package is designed to “protect services and put the city on stable financial footing” as city officials confront a projected $7 billion revenue gap.

“A strong New York City means a stronger New York State,” Hochul said in a statement, adding that state and city leaders must work together to deliver for working families.

The announcement comes shortly after Mamdani traveled to Albany for the state Legislature’s annual “Tin Cup Day,” when municipal leaders seek additional state funding. During that visit, Mamdani requested more state aid and pushed for expanded authority to raise taxes on businesses and high-income earners to help close the shortfall and finance his policy priorities.

According to Hochul’s office, the $1.5 billion will be distributed over two years. The package includes $510 million to cover public health and youth program expenses that the state previously funded but have since shifted to the city. Another $500 million will go toward “shared priorities” between Albany and City Hall. The remaining funds account for additional support tied to city-state financial adjustments.

Mamdani welcomed the funding, calling it the beginning of “a new, productive and fair relationship between City Hall and Albany.”

“Working New Yorkers did not create this budget crisis, and they should not be the ones to pay for it,” Mamdani said. He attributed the city’s financial challenges to what he described as years of fiscal mismanagement under the prior administration.

City budget officials had earlier warned that the two-year deficit could reach as high as $12.6 billion. That estimate has since been revised downward to approximately $7 billion. Mamdani has ruled out cuts to the NYPD and other major city services but has acknowledged that the gap must be closed to pass a balanced budget.

The new commitment follows Hochul’s earlier pledge of $1.7 billion to support Mamdani’s plans for free child care for 2-year-olds in New York City, part of a broader statewide push toward expanded universal child care.

Mamdani, a democratic socialist and former Queens assemblyman, has proposed increasing taxes on the city’s wealthiest residents and large corporations to fund initiatives such as tuition-free college, free bus service, and city-run grocery stores. He has said his administration will “exhaust every option” to reset the financial relationship between the city, its top earners, and Albany.

Hochul, however, has signaled resistance to broad tax hikes in her upcoming state budget proposal, though she has not completely ruled out targeted increases to support expanded programs.

Meanwhile, New York State faces its own projected deficit exceeding $10 billion in the next fiscal year, with revenue pressures intensified by federal funding cuts and freezes.

UFC Icon Cain Velasquez Released After Prison Stint

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Former UFC heavyweight champion Cain Velasquez has been released from prison after serving nearly one year behind bars.

Velasquez, 43, was granted parole Sunday after completing 11 months at the Correctional Training Facility in Soledad, California.

The two-time UFC heavyweight champion was arrested in 2022 following a high-speed pursuit in which he chased Harry Goularte Jr., a man accused of molesting Velasquez’s young son.

During the chase, Velasquez fired multiple shots into a vehicle carrying Goularte Jr. and his stepfather, who was driving. While Goularte Jr. was not struck, his stepfather sustained injuries.

Goularte Jr. has faced felony charges related to alleged lewd acts with a minor and has also been named in a civil lawsuit filed by Velasquez.

At sentencing, Santa Clara County District Attorney Jeff Rosen sharply criticized Velasquez’s actions, arguing that the former champion took the law into his own hands and endangered innocent bystanders.

“This defendant decided to become judge, jury, and executioner,” Rosen said during the proceedings. Prosecutors had initially sought a lengthy prison term that could have kept Velasquez incarcerated for decades.

However, the judge in the case handed down a significantly lighter sentence, citing the emotional complexity of the situation. According to court observers, the judge was visibly moved during the proceedings and concluded that separating Velasquez from his son constituted a substantial punishment.

After sentencing in 2025, Velasquez’s attorney, Renee Hessling, described the outcome as “bittersweet,” saying the defense had hoped he would avoid jail time altogether.

“The sentence handed down today reflects the complexities of the situation and acknowledges the man behind the headlines,” Hessling said at the time, adding that Velasquez would seek to move forward positively upon release.

Following his release, Velasquez was welcomed by friends and family — along with a mariachi band — in a celebratory scene outside the facility.

Velasquez first captured the UFC heavyweight title in 2010 with a victory over Brock Lesnar. He reclaimed the belt in 2012 after defeating Junior Dos Santos. Widely regarded as one of the most dominant heavyweights of his era, Velasquez retired from mixed martial arts competition in 2019.

Since stepping away from MMA, he has remained involved in combat sports, coaching fighters and making appearances in professional wrestling.

ICE Crackdown Rocks Minneapolis Economy

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Minnesota Democrats are calling for $200 million in taxpayer assistance after federal Immigration and Customs Enforcement (ICE) operations in Minneapolis disrupted local businesses that had relied heavily on migrant labor.

Minneapolis Mayor Jacob Frey said residents should not bear the financial burden of federal immigration enforcement actions.

“Minneapolis taxpayers should not be left to foot the bill for this situation that has been created by the federal government,” Frey said, arguing that the city’s financial stability has been shaken.

City Operations Officer Margaret Anderson Kelliher echoed that concern during a February 13 press conference, stating that federal actions have put the city’s economic footing at risk.

The financial impact claims follow ICE enforcement efforts that began in December, targeting illegal migrants, individuals accused of crimes, and others suspected of immigration violations. According to officials, more than 4,000 illegal migrants have been arrested in the broader Minnesota operation.

As enforcement intensified, many migrants reportedly stayed home from work out of fear of arrest. Some businesses reduced hours or scaled back operations due to staffing shortages. City leaders estimate that Minneapolis saw approximately $203 million in economic impact in January alone, including $10 million to $20 million in weekly losses for small businesses.

Frey said small businesses collectively lost more than $80 million in revenue, while hotel losses exceeded $5 million. He also cited rising food insecurity and service demands affecting tens of thousands of residents, including school-aged children.

The Minneapolis City Council has already approved $1 million to assist approximately 250 families with rent payments and allocated $500,000 for immigration-related legal services. Lawmakers are also considering an additional $5 million package to support small businesses affected by the enforcement actions.

Frey argued that the federal and state governments should provide relief, noting that Minneapolis contributes significantly to state revenue.

“I’m not too naive to think that we’re going to go to the state and federal legislatures and get the entire amount,” he said, “but Minneapolis is an economic engine for Minnesota.”

Minnesota Governor Tim Walz has also expressed support for financial assistance.

Critics, however, argue that the city’s long-standing “sanctuary” policies — designed to limit local cooperation with federal immigration enforcement — created an economy dependent on migrant labor and vulnerable to federal action. Supporters of enforcement contend that stricter immigration policies will ultimately benefit American workers through higher wages and reduced housing pressures.

Federal officials have indicated ICE operations will continue in Minnesota. Beyond arrests, enforcement efforts may include audits of employer hiring documentation and “no-match” notifications when discrepancies are found in worker records.

Business groups in other states have similarly voiced concerns about labor shortages tied to enforcement. Industry analysts note that tighter labor markets often result in increased wages as employers compete for available workers.

Democrats maintain that the immediate economic disruption requires intervention to stabilize families and small businesses. Opponents counter that federal immigration laws are being enforced as written and that local governments must adapt to shifting labor conditions rather than seek taxpayer compensation.

As negotiations continue over Department of Homeland Security funding and immigration policy nationwide, Minneapolis has become a focal point in the broader debate over enforcement, labor markets, and the role of sanctuary policies in major American cities.

Baby Food Alert, Initiative Foods Pulls ‘Tippy Toes’ Purée Over Toxin

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Initiative Foods has announced a nationwide recall of one lot of its “Tippy Toes” Apple Pear Banana Fruit purée after federal testing detected elevated levels of patulin, a toxin that can pose health risks.

According to the company and the U.S. Food and Drug Administration, the recall applies to a specific production lot after routine testing identified higher-than-acceptable levels of the mold-related toxin. Patulin can naturally develop in fruits affected by mold, particularly apples. While small amounts are sometimes present in fruit products, elevated exposure over time may lead to symptoms such as nausea, headaches, fever, nerve-related issues, and potential immune system suppression.

“At Initiative Foods, the safety of our consumers and their families is our highest priority,” said CEO and President Don Ephgrave. “We are cooperating with the FDA to ensure strict review and enhanced safety measures across all our products. We thank our retail partners and customers for their understanding and prompt action on this matter.”

The FDA reported that no illnesses or injuries have been linked to the recalled product at this time.

The affected baby food was distributed to grocery stores across the United States, excluding Alaska. It may also have been sold in Puerto Rico and Guam. Consumers are being asked to check the bottom of each plastic tub for the “Best By” date of BB 07/17/2026 and the code INIA0120.

Anyone who purchased a product with the listed date and code is advised to stop using it immediately. The company recommends disposing of the product or returning it to the place of purchase for a full refund.

Retailers have been instructed to remove the impacted lot from shelves. Parents or caregivers who believe their child may have experienced symptoms after consuming the purée are encouraged to consult a healthcare provider.

The recall highlights ongoing federal monitoring of baby food products as regulators continue testing for contaminants and toxins that could affect infants and young children.

Montana Officials Probe Possible Sanctuary City

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Montana officials are investigating local leaders after the Helena City Commission voted on a resolution that prevents law enforcement from assisting with federal immigration enforcement activities. Governor Greg Gianforte (R) believes the resolution to be a potential violation of a state law banning sanctuary cities.

“In 2021, I signed House Bill 200 into law that explicitly bans sanctuary city policies in Montana and under this law, no state or local government may enact policies that refuse cooperation with federal immigration authorities,” Gianforte said. “Recently, the Helena City Commission passed a resolution that raises serious concerns about its compliance with state law. Together with Attorney General Knudsen, today we are announcing an investigation into this recent action.”

Gianforte’s statement comes as he sent a letter to state Attorney General Austin Knudsen, where he argued that the resolution is “clearly designed to obstruct federal law enforcement operations.”

“HB 200 was designed specifically to prevent the kind of defiance we have seen in recent weeks,” the letter adds. “I ask that the Montana Department of Justice investigate the specific language of the resolution from the Helena City Council to determine if it is a policy or practice that restricts federal immigration enforcement.”

In response to the threat of investigation, the City of Helena said in a statement that the “resolution was drafted with careful consideration of applicable local, state, and federal law, and the City believes the resolution is consistent with those legal requirements.”

According to the city’s resolution, the Commission “supports the Helena Police Department’s policy that it will not, independently or assisting other law enforcement agencies, stop, pursue, interrogate, investigate, arrest, or otherwise detain a person based solely on their immigration status or suspected violations of immigration law.”

Republican Joins Effort to Quash Presidential Pardons

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A Republican has joined an effort to block the power of the presidential pardon, backing a constitutional amendment on the matter.

The Democrat behind the initiative, Rep. Johnny Olszewski (MD), announced that Rep. Don Bacon (R-NE) has joined the effort. “On Presidents Day, we’re reminded: no president is above the law,” he wrote on X. “Proud to have [Bacon] join this bipartisan effort — because safeguarding democracy shouldn’t be partisan. When pardons are abused to protect criminals and political allies, Congress has a duty to act.”

Upon introducing the Pardon Integrity Act in December, Olszewski argued that presidents of “both parties have abused the pardon power to reward political allies and protect family members, undermining justice and public trust.”

The amendment would “grant Congress the authority to reject pardons and commutations put forth by a President, now and in the future,” Olszewski’s office explained. According to the proposal, 20 members of the House and 5 members of the Senate could launch a process to block a pardon. Congress would have 60 days to reject a pardon with a two-thirds majority vote in both chambers.

At the time he introduced the amendment, President Trump pardoned Former Honduran President Juan Orlando Hernández.

“Presidential pardons are an important constitutional authority, but like all powers held by the executive branch, these authorities benefit from the appropriate checks and balances the Constitution envisioned,” Bacon said in a statement to Axios. “Across multiple administrations, we’ve seen legitimate questions raised about how this authority has been used at the same time, the ability of Congress to provide oversight has weakened.”

Prostitution Could Be Fully Legal in Blue State

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Colorado Democrats are pushing an effort to decriminalize prostitution in the state. Under Senate Bill 26-097, “An adult who engages in consensual commercial sexual activity with another adult does not violate state law or an ordinance, resolution, regulation, or code adopted by a statutory or home rule city, town, city and county, or county.”

“Criminalizing prostitution endangers adults who engage in consensual sexual activity,” the bill reads. “Fear of criminal punishment among consenting adults engaged in commercial sexual activity encourages physical, emotional, and structural violence against sex workers, subjects them to economic crimes, and increases resistance to harm-reduction practices. Sex workers are less likely to report these crimes or seek medical help following an assault.”

The legislation further states that “decriminalizing commercial sexual activity among consenting adults is a matter of statewide concern.”

“Sex work transactions often occur online, spanning multiple local government jurisdictions,” the bill reads. “Sex workers deserve clarity and certainty that they can safely conduct business within the state, regardless of the local governing authority.”

Maine became the first state to partially decriminalize prostitution in 2023, allowing the sale of sexual activity. Similarly, Nevada allows prostitution within licensed houses.

“I don’t think this is something that we should shy away from because it’s uncomfortable,” State Sen. Nick Hinrichsen, a Democrat and a lead sponsor of the bill, told The Colorado Sun. “I am convinced that the (current) outcomes for individuals who are are involved in sex work are really harmful, and I think it’s doing a disservice to them — it’s doing a disservice to our communities. It’s not making us any safer.”

Other lawmakers sponsoring the bill include Democrat State Senator Lisa Cutter and State Reps. Lorena Garcia and Rebekah Stewart, both Democrats.

Pentagon Reviewing Partnership with AI Company

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The Department of War is reviewing its partnership with AI company Anthropic, instead weighing it as a “supply chain list.” According to a report from Axios, the Claude AI tool is the only model used in the military’s classified systems. The report indicates that the AI’s terms of use with the military are being revisited, with the company seeking assurances that its tools are not used for mass surveillance or to create certain weapons.

“The Department of War’s relationship with Anthropic is being reviewed. Our nation requires that our partners be willing to help our warfighters win in any fight,” Pentagon spokesman Sean Parnell told the outlet. “Ultimately, this is about our troops and the safety of the American people.”

“That’s why we were the first frontier AI company to put our models on classified networks and the first to provide customized models for national security customers. Claude is used for a wide variety of intelligence-related use cases across the government, including the DoW, in line with our Usage Policy,” a spokesperson for the AI company said in a statement to The Hill.

“We are having productive conversations, in good faith, with DoW on how to continue that work and get these complex issues right,” the spokesperson added to the outlet.

Anthropic announced the Pentagon contract in July. “As part of the agreement, Anthropic will prototype frontier AI capabilities that advance U.S. national security,” the company said at the time.

“This award opens a new chapter in Anthropic’s commitment to supporting U.S. national security, which is where our earliest federal deployments began more than a year ago,” Anthropic’s Head of Public Sector Thiyagu Ramasamy said last yearhttps://www.thegatewaypundit.com/2026/02/colorado-democrats-introduce-bill-fully-decriminalize-prostitution-could/

. “We look forward to deepening our collaboration across the Department to solve critical mission challenges through our technical expertise, products like our Claude Gov models and accredited Claude for Enterprise offerings, and leadership in safe and responsible AI.”

Trump Vows ‘Most Severe’ Penalty if Guthrie is Found Deceased

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President Trump suggested the death penalty may be on the table if kidnapped Nancy Guthrie is found to be deceased.

In a phone interview with the New York Post, President Trump said the kidnappers will face “very, very severe — the most severe” consequences if Guthrie is killed. When asked if the Department of Justice would request the death penalty, Trump said, “The most, yeah — that’s true.”

On February 4, President Trump said on Truth Social that he spoke with“Today” show anchor Savannah Guthrie, letting her know “that I am directing ALL Federal Law Enforcement to be at the family’s, and Local Law Enforcement’s, complete disposal, IMMEDIATELY. We are deploying all resources to get her mother home safely. The prayers of our Nation are with her and her family. GOD BLESS AND PROTECT NANCY!”

The sheriff leading the case told The New York Times that the case could drag on. “It’s exhausting, these ups and downs. But we will keep moving forward,” he said, adding, “Maybe it’s an hour from now. Maybe it’s weeks or months or years from now. But we won’t quit. We’re going to find Nancy. We’re going to find this guy.”

FBI Director Kash Patel announced last week that “previously inaccessible” images show “an armed individual appearing to have tampered with the camera at Nancy Guthrie’s front door the morning of her disappearance.” A glove featured in the images has since been recovered.

“The one with the DNA profile recovered is different and appears to match the gloves of the subject in the surveillance video,” an FBI spokesperson told Fox News Digital.

Nations Pledge Billions to Gaza Reconstruction

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President Trump said members of the Board of Peace have committed $5 billion toward Gaza reconstruction efforts.

The official announcement is set for later this week, President Trump wrote on Truth Social. “On February 19th, 2026, I will again be joined by Board of Peace Members at the Donald J. Trump Institute of Peace in Washington, D.C., where we will announce that Member States have pledged more than $5 BILLION DOLLARS toward the Gaza Humanitarian and Reconstruction efforts, and have committed thousands of personnel to the International Stabilization Force and Local Police to maintain Security and Peace for Gazans,” he said on the social media platform.

“Very importantly, Hamas must uphold its commitment to Full and Immediate Demilitarization,” Trump noted. “The Board of Peace will prove to be the most consequential International Body in History, and it is my honor to serve as its Chairman.”

Meanwhile, Indonesia announced that it could deploy as many as 8,000 troops to Gaza as part of the peacekeeping initiative. “In principle, we are ready to be assigned anywhere,” Army spokesperson Brig. Gen. Donny Pramono told the Associated Press. “Our troops are fully prepared and can be dispatched at short notice once the government gives formal approval.”

Countries involved in the Board of Peace include, as per the Council on Foreign Relations, Argentina, Albania, Armenia, Azerbaijan, Bulgaria, Belarus, Cambodia, Morocco, Mongolia, Vietnam, Pakistan, Paraguay, Kazakhstan, Uzbekistan, Kosovo, Hungary, the United Arab Emirates, Egypt, Turkey, Qatar, Jordan, Indonesia, Israel, and Saudi Arabia.

Upon the board’s formation in January, President Trump said, “This board has the chance to be one of the most consequential bodies ever created, and it’s my enormous honor to serve as its chairman. I was very honored when they asked me to do it.” He added, “We had an idea to do it, and then they came, they said, ‘Would you be the chairman?’ … I take it very seriously. We have a great group of people and incredible young people that are leading it from within.”

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