
Episode 4672: Redistricting In Texas; Maintaining A Strong Economy ...
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Steve Bannon
Republicans in Texas yesterday released the first draft of a new congressional map aimed at picking up five seats in next year's midterms. Texas Governor Greg Abbott added redistricting to the special session agenda at the urging of President Trump and his political team. Republicans currently control 25 of the 38 congressional districts in Texas. Under the new maps, the President Trump would have carried 30 of 38 seats, all by more than 10 points. How House Minority Leader Hakeem Jeffries is in Texas meeting with Democrats as they weigh their options on how to fight their redistricting efforts, which could include leaving the state. Jeffries is supposed to hold a news conference today at the state Capitol in Austin. Meanwhile, the Texas Tribune has new reporting that California Governor Gavin Newsom has told aides he will move forward with a plan to redraw his state's congressional lines to install more Democrats if Texas Republicans pass their own updated map.
Hakeem Jeffries
What Donald Trump is doing to the rule of law is he is breaking it. What he is doing to our democracy is subverting it. And those are active verbs. Those are not he will subvert or he may undermine. Like. Like he is. He is doing these things. He is already going after his political enemies by misusing the Department of Justice. He is already breaking federal law and the US Constitution, and he already is. Is acting like an authoritarian. And as we move towards the next phase of challenges for our democracy, which are free and fair elections in 2026, we need to have no illusions. He has no. He has no expectation that he is going to follow what the law is or be constrained. He is completely outcome determinate.
Mark Elias
That's the part that's unusual. The Supreme Court actually, starting in Texas in 2003, clarified that states can redistrict, gerrymander whenever, whenever they want. It doesn't need to be right after the census. And what is unique this time is how little pretense there is that this is about anything but helping Trump get more seats. And so this started with Harmeet Dhillon at the DOJ sending texts, a letter and saying, we have civil rights concerns about some of the majority minority districts that were drawn in 2021. But listening to the Republicans defending this and posting about social media, they are describing this, the problems in Austin, as giving Trump five more seats and talking Republicans in Indiana, Missouri, other places where they have the power to draw more seats if they want to. That is how they phrase it. It is not we are restoring the justice that was denied to us by the previous map, or this is going to better represent these constituents it is. We want Trump to have more seats. He deserves more seats. We need to stop the left from taking power. And that's what the position Democrats are put in there is. Do they want to defend the idea of independent commissions or something else? They just want to say this is tit for tat. We cannot allow them to turn the country into the comparison I hear the most often is Hungary.
Steve Bannon
Talk about what you see on the ground on the other side.
Hakeem Jeffries
Oh, it's happening everywhere. I mean, you know, the fact is, Donald Trump and the vote suppressors, the election deniers, they look at the results of 2024 and they say, we won, right? We did, we did. We accomplished what we wanted to accomplish. And so, sure, they didn't have to actually steal any elections for president after Trump 2024 because Donald Trump won the popular vote and won the Electoral College. But they then rolled that out in North Carolina to try to do just that. And they are quite emboldened. You know, they, they view North Carolina not as a defeat, but as a lesson learned for the tactics that are working and the tactics that need to be improved. They look at their voter challenge program in states like Georgia, again, as, as tactics that they will refine as we move forward to Senator offshore reelection there happening in every state in the country. I mean, there is not a state in the country in which Republicans and the RNC and the right wing, vast right wing dark money groups funded by billionaires are not active. I mean, I see them in court. My law firm and I, we are in, we are in 50 lawsuits in more than, more than, more than 25 states. Like we're in half the country. The RNC, by the way, is litigating 75 lawsuits in 40 some odd states. I mean, there's a lot going on here. And from the Republican standpoint, they are emboldened. They think they have the courts at their back. They have the President with executive orders. They've got a grassroots army of vote suppressors, they've got a team full of election deniers and local and county boards. So we all need to buckle up and be ready, ready to fight back.
Ken Paxton
This is the primal scream of a dying regime.
Caroline Wren
Pray for our enemies because we're going.
Ken Paxton
Medieval on these people.
Caroline Wren
Reasons I got a free shot on all these networks lying about the people. The people have had a belly full of it. I know you don't like hearing that. I know you try to do everything.
Ken Paxton
In the world to stop that, but.
Hakeem Jeffries
You'Re not going to stop it.
Caroline Wren
It's going to happen.
Mark Elias
And where do people like that go.
Ken Paxton
To share the big lie?
Mark Elias
MAGA MEDIA I wish in my soul.
Ken Paxton
I wish that any of these people had a conscience.
Caroline Wren
Ask yourself, what is my task and what is my purpose? If that answer is to save my country, this country will be saved.
Ken Paxton
War Room here's your host, Stephen K. Band. It's Thursday 31st July at Yervalor 2025, the last day of July before we get to August, the traditional, you know, big vacation month for everybody. We're going to focus today on the three Rs that would be recess, rescissions and redistricting. We got a lot of work today. Make sure you go to warren.org you can download all of our content. It's all totally free. Also, Bill Blaster, because we're going to need to get to work here. There's a lot of as we explain things to you today and give the information, we hope your blood boils and you're going to want to do some work to make sure we can set things right here in the war. Want to start with redistricting in the great state of Texas. Anytime Mark Elias head's blowing up, it's a good thing down in Texas, they finally put the map out in Denver. You can go ahead and put the map up. As you know, we've been hammering this thing for about three or four weeks now. I want to bring in, I want to bring in Attorney General Ken Paxton from the great state of Texas. Attorney General Paxton, you got a tweet from a couple days ago about making sure your office is available to any law enforcement in the, in the state of Texas to make sure that these, these Democrats can't run away like they've done before. So you don't have a quorum. This is all they're talking about. I think Hakeem Jeffries came down Yester gave a, gave a pep talk to him to make sure that they skedaddled if they have to. What's the current state of play from your perch as attorney general, sir?
Bob Hall
So we've been through this before. I was in the Texas House in 2003 when the Democrats left and the House Democrats left and then later the Senate Democrats. So we've been through this before. We know what can happen. The House rules and the Senate rules both allow for these people to be arrested if they, if they leave. And they don't, they don't, they try to break the quorum. The challenge is if they go out of state, we lose jurisdiction. And it's been a challenge in the past, but in the end, as long as the governor is willing to keep concessions, ultimately they have to come home.
Ken Paxton
When we say that, can't you, can't you get the Texas Rangers? I mean, you got, you got pretty good law enforcement down there. How are we letting these guys, if they're leaving the state specifically for the purpose of not coming in for their, their elected duties, can't, can't just stop them from leaving the state.
Bob Hall
So the House could do that. The House would have to have. The House of the Senate, and it's probably gonna be. The House would have to have. They could have rules in place that require that these Democrats stay Now, in other words, basically lock the doors, which is what happened in 2003. They locked the doors in the House. We could not leave. We were basically. We slept there. So if you really wanted to protect it, that could be done by the Texas House or the Texas Senate, depending on which one thinks that, which Democrats are going to leave, or both.
Ken Paxton
What do you recommend? Because this thing's got to get done. You get a special session that has, I think, another two weeks and two days left. I mean, what's your recommendation to Lieutenant Governor Patrick, the governor. We're going to have Senator Bob hall on here in a moment. What's your recommendation to folks?
Bob Hall
I mean, that's what I would do if I were, if I were the speaker of the House, if I were leaving the Senate. I'd put rules in place, depending on which group they think is going to lead, but probably the House, that's the more likely group to leave the state of Texas. I put rules in place that basically lock us in until we get a vote. Because the House map is up on Friday. You could lock them in for the rest of the session, two weeks, and just serve them food there and they sleep there. And that's just the way it is because we got to get these maps passed.
Ken Paxton
Well, talk to. What do you anticipate as far as legal challenges? Because this is all the mainstream. We've been on this for three or four weeks now. About to get. But they're going to have legal challenges like crazy. You're going to have to defend it. What, what's your take on this?
Bob Hall
And it's, it's just the status quo. I mean, every. I've been defending, researching maps since I've been in office, and so far we've successful every time protecting those maps. No, I'm going to get. We are going to get challenged just the way it is, and we will defend them. And I'm convinced we can be successful. We've got, we've got good maps. And you know, the legislature has, has the right to draw the maps they want. They're politically based, not race based. And if they're politically based, then they're defensible.
Ken Paxton
Attorney General Paxton, your social media and where can people go to keep up with this? Because obviously the whole nation now is focused on the msnbc. They've finally woken up and realized they got a real problem down the great state of Texas. I hope Republicans are awakened to what has to happen because this is vitally important. I know the president's watching closely.
Bob Hall
Where can people follow you at KentaXon TX and KentaXon.com.
Ken Paxton
Ken Paxton, Attorney General of Grace, a, Texas thank you, sir. Appreciate you coming on.
Bob Hall
Thank you. We're going to win this.
Ken Paxton
Amen. Your lips to God's ears. Senator Bob hall joins us now. Senator, people tell me when I talked to folks down in Texas said, steve, you got to talk to Bob Hall. He knows what the hell's going on. He's going to get this done. So can you please enlighten us now? Literally, MSNBC last night, they're in full meltdown after Keem Jeffries came down. Where do we stand with this? Senator?
Joe Lavornier
Well, the House has drafted a map, a set of maps for the state. And what I find interesting is our Democrat friends who ever since the last redistricting have been in court arguing that the maps are wrong, that the maps are drawn wrong, they need to be changed. And now all of a sudden, when we're in the process of changing them, they have flipped to the other side and saying, oh, the maps are perfect. We're going to mess them up. We shouldn't be doing this because they're all correct. So I'm not sure our folks on the other side of the aisle really know what their argument is. And it's my understanding, I'm not on that committee, but my understanding that the federal government had given us bad census data when we drove the maps. Some of us are questioned at the time but said, well, that's what we have to use. That's the only maps, the data we have. And so the maps were drawn with, with the data that was given. And now we've been given what is said is corrected data that should be used. And so we're in the process. And since the federal government really only has control over the districts for the congressmen, the congressional districts, that's what David said, need to be redrawn so that they reflect properly reflect the population from the census.
Ken Paxton
Can you give us your understanding? We've had some folks on from the House but from the Senate side, can you walk people through what your best estimate right now of the process? These maps are out review process. Will they come make I know they've had witnesses, particularly Democrats last week. Are they going to come and talk about the demographics? Are you guys as a committee going to make a recommendation or is it and when do you think this thing will come to a vote?
Joe Lavornier
It's my, I am not on that committee but it's my understanding that the like we do with all bills, the, the Senate will take a look at it and the Senate will, will take, will draw their version interpreting the pop, the census data, the population data. We'll draw their maps, we'll compare them to the House maps and come to a negotiated agreement on a district by district basis, an agreement between the two of us. That's the way the process works. And then so that we will either adopt what the House has, if we say that's close enough, or we will send a modified version back to the House and they will either adopt it or modify it. We'll go to conference and work out the difference between the two and then have a map that both House committees, both the House and Senate committees agree on and those we brought to the floor want the same one in the House and same one in the Senate and voted on. And I expect Senator, can you.
Ken Paxton
Can you just hang. We're going to take a short commercial break. I want to get more into depth of this, particularly given the timing. You only got like a couple of weeks, but just hang on for one second. Senator Bob hall of the great state of Texas joins us about the the issue that is absorbing people's attention finally, the redistricting of the great state of Texas. You're going to see Florida follow suit. We know that Indiana, they're looking at it. Ohio, Missouri. This will kick a, this will kick off a season of redistricting. Also we're going to talk about rescissions, doing budget cuts and I told you what the Senate's up to. They're looking at an omnibus now. They're calling it a minibus. Also, President Trump's recess appointments, where are they? Where's the recess? Short break. Back in the war in just a moment.
Caroline Wren
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Tina Peters
Kill America's voice Family Are you on Getter yet?
Gavin Newsom
No.
Ken Paxton
What are you waiting for?
Tina Peters
It's free, it's uncensored and it's where all the biggest voices in conservative media are speaking, speaking out.
Caroline Wren
Download the Getter app right now.
Ken Paxton
It's totally free. It's where I put up exclusively all of my content 24 hours a day. Want to know what Steve Bannon's thinking? Go to get her.
Joe Lavornier
That's right.
Ken Paxton
You can follow all of your favorites. Steve Bannon, Charlie Kirk, Jack Posobi and so many more. Download the Getter app now.
Tina Peters
Sign up for free and be part.
Caroline Wren
Of the new pin.
Ken Paxton
Okay, welcome back. We got Senator Bob hall from. From Texas. By the way, I'm gonna throw another R in their fourth R. Regime change. Zelinsky's just gone to the Financial Times. He's calling for it in Russia and the Financial Times of London. And a bunch of papers have these stories about the MAGA base losing faith in Israel. I really think it's losing faith in Bibi Netanyahu. So maybe regime change here. Anyway, we're going to add another R. Caroline Ren is going to join us after the Senator Joe Lavanier, Special Counsel, Senior counselor to the Secretary Treasurer will be on. We got a lot of economic news. Talk about Senator Mike Lee later. Senator Lee's going to be here about recess appointments. Senator Bob Hall. We have. Senator, we have I think 12 days, a couple days here, two weeks. Given the process you just walked through the Senate, you're going to take your time as you sure discern this, do your fiduciary responsibility. Is there enough time to go through all this and to actually get to a vote before the special session ends in essentially two weeks?
Joe Lavornier
Yes, I think there is enough time in it. I mean, it could go as fast as the Senate just takes up the House map that as when it comes out of the House formally and accepts it and adopts it. That could be done. And I would only expect changes in it if there was something the Senate felt that there was significant, an important difference in the two. I don't think you're going to see. Well, opinions. I'd like to see this district drawn this way or that way. I think we're looking at if this meets the criteria that was established to have these properly drawn and balanced the way they should be, that there's any reason that the Senate would prolong it with arguing different maps. But if we did, I would expect to be called back in immediately. I'm talking about me. I say immediate the next day or so to, to finish it up. If we did get into a squabble over significant redrawing, we would have another 30 days to work that on. That's because each special session, once it's called, it's for up to 30 days.
Ken Paxton
So in other words, like some states can only have, you know, one special session. You're saying in Texas, the governor, Lieutenant governor's got the bill. If you can't get it done, they the next day they say, hey, be back here next week. We're going to continue on.
Joe Lavornier
That's the governor. Yes. Oh, yeah, the governor has the authority to call us back. Unlimited number of specials that we'd be in special sessions right up until the next session started. If that's what he chose a couple of sessions back. I almost thought that's what was going to happen because I don't think we got out of here until about December that year with everything that went on.
Ken Paxton
Sometimes we've been involved in these things, or oftentimes we've been involved in these things. In Texas and the Democrats, you see them leaving the state hiding. You know, we just had the attorney general on. He put out a tweet saying he would be assistance to all law enforcement in the great state of Texas. Do you anticipate any shenanigans like that? I mean, Hakeem Jeffries, I think, came down and gave him a pep talk, said, hey, you Got to do what you got to do to stop this because this is the death knell of Hakeem Jeffries being Speaker of the House. Any. And do you have any thoughts on that about what the Democrats plan to do and more importantly, what the Republicans and the governor, Lieutenant Governor, Attorney General prepare to do and law enforcement to stop it?
Joe Lavornier
I hope our governor is, is prepared to do whatever it takes to keep them here. He and the speaker. It's not a, the lieutenant governor really doesn't have a hand in that side of it in there, but history has shown that they have no qualms in just packing up and leaving in order to disrupt the process if they don't like it. I was heard what our attorney General Ken Paxton had to say earlier and that would be just fine. Lock the doors and bring in the food and keep them here until we get this done. All we need is a quorum. We don't need their vote. We just need them here for a quorum.
Ken Paxton
And so Senator hall, you would advocate that if had to. Senator hall, what's your website? People go to social media, everything. People are very focused on this now and want to kind of stay up on it moment by moment. So where do people go?
Joe Lavornier
Senator Bob hall at.com Senator bobhall.com Facebook is Senator Bob hall.
Ken Paxton
Sir, thank you very much. Appreciate you. And we'll be coming back to you.
Joe Lavornier
Okay, thank you. Have a blessed day.
Ken Paxton
Thank you, sir. So folks, the redistricting fights start and of course now everybody's focused on it. We got on this early because you know the importance of it. Governor DeSantis jumped in here. He thinks he's got five down there. Missouri, Ohio, I'm hearing maybe Indiana, you don't know. And I think a lot of people are going to be looking in the cupboard because Senator hall, the buried lead there, he's 100% correct. The census last time was not perfect. One accounted illegal aliens, which it should not have done. Also, there have been massive demographic changes post the pandemic in the south. And the southwest is literally on fire when it comes to people shifting there and wanting to live there. So it's time. This is why Florida is doing looking at five district change. This is why Texas is looking at a five district change. I think you can go throughout the the south and Southwest. You'd be surprised. And I would strongly recommend that Bright do it. Let's do it. And I also think we ought to do, I think we ought to do another census right now, a mid decade census. The Constitution says you Got to do one at least every decade. Doesn't say you can't do more. And I think we ought to do more because the in California, Illinois and New York who are, you know, frothing to frothing to get something done, they've got constitutional issues related to that. So it's not quite so easy. We just got to get on with it. And you saw Mark Elias, Mark Elias did give a hat tab. You know, Steve Stern had hundreds of thousands, I think absolute millions looking at the stream yesterday. All you folks that are the vanguard of the precinct strategy and the vanguard of election integrity, your work is paying off. I know sometimes it seems like you guys don't get the hat tips and you don't get the accolades, but it was not for you in particular. The warriors like Matt Mack and all these people that come to all these conferences. I spoke in one Matt and the team had in Vegas a couple of weeks ago by video. And it just the work you guys put in, the effort you put in is paying off. And Mark Elias, who's the greatest enemy of maga, he gave you a big shout out on msnbc, say, hey, these guys are winning all over the country because of the work. And that's why we get these redistricting done. Caroline Wren joins us. Caroline, we got the three R's. You got, you know, you got redistricting, you got the rescissions and you got recession. Why is the Senate. It seems that why are we having the Senate leave town? When. And you were there last night. In fact, I'd like you to say a few words. Had a great event put on by Mike Davis in Article 3 over at Raheem Kassam's Butterworth for Emil Bovey. You had Judge Jeanine there. It was just absolutely incredible. But it shows you the power of what happens when we start getting President Trump's team in. You know, Joe Kent got confirmed yesterday, but these are onesies, twosies. I mean, we've got a couple of judges, I think four or five judges now. You've got. I think she's the first U.S. attorney to actually be. To actually be confirmed. Segal Chadha and some of the other contributors to the war room have gotten in because of this acting basis, of course, trying to throw a lean habab out. Tell me about the event last night and how important it is to actually get our arms around this vast government to get these confirmations done. Ma'. Am.
Tina Peters
Yeah, the event last night was, was wonderful. Was put on by Mike Davis, the Article 3 project. And so it was to, you know, celebrate now, Judge Emil Beauvais being able to get in. What I found pretty special about it is Mike Davis gave some words and the judge gave some words and the judge said, which is absolutely true. When you go through confirmation processes like this, it can feel so lonely. They were throwing everything at this guy to keep him out. I mean, attacking him, his personal life, family. And it was really, it was Article 3, Project Mike Davis, the war room posse that were so loud in his corner. And he talked about this. He said, look, I would go home and just be so down, I'd look on the Internet. I had this army behind me online of people I don't even know who were supporting me. And that is the power of this war room and what we need to be doing and focusing on, because we have a problem. There are certain senators. You had Thom Tillis saying, what was it like a week or two ago? Saying, I'm going to stand up against President Trump and his nominees so much harder than even Mitt Romney. And these are the type of people, and Bill, Cassie and others that are blocking some of these great Trump nominees who are immensely qualified. You just have these career bureaucrat or politicians who just hate maga, they hate the movement, and they're Republicans in name only who just want to block these folks from coming in. And so frankly, you have 144 nominees now pending. This is outrageous. And the Senate should not have a recess without triggering President Trump's recess appointment authority. So either stay in session in August and do your damn job, or let President Trump make recess appointments to fill his team because he needs his team in there. President Trump has had the most successful first six months that has ever existed in presidential history. Can you imagine if he had his full team operating and in there, what could get done? That is why they want to block these folks from coming in. And that is why President Trump and John Thud and Mike Johnson to steamroll this and get these folks through and stay in in August and get it done.
Ken Paxton
So we have. Senator Lee's going to come on and he's got this idea. He's put up. I call the Lee plan is saying, hey, there's 149 guys to go. We stay in. And here's the program. We have how we have to do it. Semaphore has up today. Ben Smith. Semaphore has an exclusive story, I think saying, hey, Thune's got an idea. He's got. They're going to do some changes because right now everything's being filibustered. They're going to the absolute maximum time. So he's got a, he's got a solution to do some structural changes of that so they don't have so much time. But that's not going to kick in. They're going to go on recess all of September. And I'm going to get to this in a moment with you. All of September is going to be spending, folks. That's where we get the worm ahead of it. And you can tell already we smoked them out on this, we smoked them out on the, on the omnibus. Now they're talking about a minibus. But so they're not going to be able to get to, to any kind of confirmations. They'll be in October where they'll be making these marginal changes. Trump will be the end of the year and won't have his team. It's just simply, simply, simply not acceptable. Caroline Ren is going to hang around. Joe Lavarnier from Treasury. We're going to talk some economics of what's really going on. Also, I think there's some big breaking news. John Solomon put it up in the Tulsa Gabber treasonous conspiracy, which is everything. We got to stick the landing. Make sure you take out your phone. Text Bannon B A N N O N at 989-898. Get the ultimate guide, an ultimate guide that happens to be free for investing in gold and precious metals in the age of Trump. Back in a moment.
Caroline Wren
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Ken Paxton
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Ken Paxton
Make the switch today. Have any issues with this White House taking the power of the purse away from Congress?
Tina Peters
Do you worry that what's happening right now is sort of making Congress a rubber stamp and careful how I say this, but a lesser branch of government.
J
You know, I think for a long time Congress has been abdicating their power of the purse. In fact, what happens almost every year is there are no appropriation bills and there's one big bill. And really most rank and file people have nothing to do with it. Even the appropriation committees have very little to do with it. And one person, the leader of the majority and the leader of the minority, work out the details. And if you're a special interest and you want one specific tax break, you don't bother talking to any rank and file congressman to tell them the pros and cons of this. You go to one person. And that's why the leaders in both parties raise millions and millions of dollars because both corporate and labor interests only go to the top of the party, only go to the leadership. And the whole, you know, having the power of the person, the adjudication of what we spend doesn't really happen because the process is so broken. We rarely have budgets, we rarely have appropriations bill. It's what I've been telling people since the first big beautiful bill of the summer is we're going to get another big beautiful omnibus come the end of September. And that's what normally happens. Some enormous bill nobody can read put out with a couple of hours to look at it. That's what will happen September 30th because the system's so broken, people haven't woken up enough to really change it.
Ken Paxton
Okay, welcome back. I want to thank Birch Gold for sponsoring us. Go to birchgold.com Bannon End of the Dollar Empire. Seven free installments. And of course we're working on installment eight and nine, both free. We'll have them out shortly. Of course, you saw yesterday President Trump dropped the hammer in Brazil. Now that was about Bolsonaro and also the shutting down free speech and social media sites, etc. But some of that is about Lula in his interview in the New York Times and Smat talking about the, his, the bricks and the de dollarization and all that. So make sure you get up to speed on it. You do that by all the free content we put over the last four years on, on Birch Gold right there. I told you this was happening. Rand Paul let the cat out of the bag the other night on Stephanie Rule. They're going to come in and they're going to hold President Trump's government hostage. They'll say 30 at midnight on 30th with no funding package, it's going to shut down. And instead of just doing a CR and playing the game board, let's just kick it down to Christmas and then we'll deal with it before Christmas and then we'll get the big omnibus. They're just going to get up in your face in the third week of September with an omnibus and you're going to have to suck on it. Right? It's going to have all the debauchery that these things have in there. And plus, you're going to see a lot of, you're going to see a lot of the AI and all the stuff we've been fighting. This is all going to be tucked in there, 9,000 pages. It's coming, folks. It's coming. I'm going to get back to Caroline Runs going to join us. We did redistricting, we're doing the recess appointments when we get to her. But rescissions. We haven't seen our rescissions packages, our pocket rescissions. But I got Joe Lavornier here and some we got to take care of some other business first. And Joe, that would be. Well, first off, Joe, last night on CNN and msnbc, and all day all they did was dump on the 3% growth. As you know, we had you on here and we said, hey, the supply side cut, we get to 3%, we get higher. 3 and 4, 3, 5, we grow our way out of here. They're saying last night, oh, this is kind of a phony number. There's all kind of storm clouds on the horizon underneath it. Your thoughts about that, sir? Thought about the 3% growth, what it really stands for. How strong was that print, in your opinion, sir?
Gavin Newsom
It was a good number, Steve. I mean, the first quarter was weak. I, I would not be surprised if the first quarter is revised substantially higher. It's happened in six out of the last nine years. We've had substantial upper revisions to gdp. What we know is we've got very good income growth because the labor market's healthy. We had very, we had a very firm reading today in the Q2 Employment Cost Index. So if you have good jobs and good incomes, then clearly you've got good gdp. It's the other side of the same coin. So the numbers are good. And people obviously trying to talk it away because they don't want to give the President any credit.
Ken Paxton
Look, what I love most was private growth more than public growth. I mean, it shows the plan. That shows the plan that you're trying to get your arms around spending, get the government out of everywhere. Because every print that all this growth that Biden had, we used to do this all the time with DJ Antony. Every time we would back out the government number and we were in a recession, the private growth was negative. What I liked most was the private growth yesterday. What do you got to say about that?
Gavin Newsom
Yeah, no, that's right. And there's an adjustment period. I mean, you had, as Secretary Bessant Steve has highlighted many times, I mean, we got the economy that looked like it was at full employment with a deficit to GDP that was nearly 7%, which you've never had during peacetime or not in a recessionary period. So there's clearly an adjustment. The great news is that the one big beautiful bill is passed. We've got the Capex comeback. Inflation is moving lower, so real wages are expanding, especially for blue collar workers. And the outlook is very bright. And the pace of layoffs, which is low, is falling even further. If you look at the most recent jobless claims, they've now moved down to recent lows. That bodes well for a much bigger pickup in second half hiring, which is consistent with what happens when you have the Capex story. The hiring then follows. So you could poo poo the Q2 GDP numbers all you want, but you're going to be disappointed. It was a good number. And the best thing is growth is going to broaden out going forward and we're going to look at a boom.
Ken Paxton
Yeah. And this gets us to, if this is a predicate, it gets us to a 3.4, 3.5 and then even higher. So this is a great print. I want to make sure. The other thing they're doing is saying, hey, President Trump's a real estate developer. Real estate developers always love easy money. They love cheap money. So when he's sitting there banging on Powell and wanting a big rate cut, you know, a couple hundred basis points, that's just from his, that's his natural reaction because he's a real estate developer and they always want lower rates because it's much easier to finance their projects. But they missed the point. President Trump understands the Fed, he understands interest rates, the structure of them. There's actually a very compelling argument to be made about what we call natural rates versus what should happen right now. Can you walk through because we had fish back on the other day. He's of the same school of thought we are that there's a big miss here on the modeling. Can you walk people through what this concept of how they model it, what are natural rates and what's the logical where should rates really be today?
Gavin Newsom
Steve, the President has great instincts and you could make a very compelling, in fact the strongest case before rate, why rates should fall, which the President instinctively knows, and that is the Federal Reserve makes an estimate of what it thinks the neutral rate is or the real rate or our star. All these fancy terms essentially are rates helping keep the economy. Are they pushing the economy down or are they pulling the economy up by the Fed's own estimates? And there's a range of estimates, the full range of estimates all show that the current level of interest rates that the Fed sets is too high, meaning that the Fed's current rate structure is actually impeding growth. So as good as the economy is and as nice as that rebound in Q2 was, and as optimistic as we are for the second half of the year, we could do even better if rates weren't so high. That's by the Fed's own admission. Rates have been high for three years. The markets are saying the exact same thing. If you look at the where interest rates are long term, treasury yields are trading below the Fed funds rate. It's happened for three years in a row. That has never happened before. So it's not just the Fed's internal models which are saying rates are too high. Bond investors themselves are saying rates are too high. If you lower rates, mortgage rates will fall. That will improve housing affordability. It will help first time homebuyers which have really struggled to buy homes. And those parts of the economy which could do better, like housing, which are weak, would certainly flourish. So President Trump's instincts and understanding of the problem are very accurate.
Ken Paxton
And I take it the range of the natural rates are what, two and a half to 3.9%, right? I think it is. And you're saying the argument, the Trump administration, you guys are saying you believe you should have at least 100 basis point cut, even the 25 they're talking about in September. You don't think gets to solve the problems. You guys are much more aggressive about this because you think the data shows you that, right?
Gavin Newsom
Well, Steve, here's what you could say. I mean, so you're 50 basis points, you're half a percent above the highest estimate on the fomc. Those are the real inflation hawks. The median estimates around 3%. So you're almost 150 basis points right now above neutral. So you can understand why the President says rates should fall significantly further. But here's the other point, Steve, which is very important. If you look at the Fed's own forecast of inflation, they went up from March to June, their official inflation forecast went up when over that time headline inflation actually fell. So their estimates went up as inflation dropped a bit. So if they're data dependent, you look at the numbers, you look at what the markets are saying, their own estimates and you can make the strongest case, which is pretty obvious, where interest rates are supposed to fall, which is why two governors dissented for the first time in over 30 years.
Ken Paxton
No, it's pretty extraordinary. Those are normally have unanimity had two outliers who kind of made the case. Jackson Hole is coming up. Will the Secretary of Treasury go out? Will he address the Feds? I think the Feds has a two or three day Jackson Hole conference. Will the Secretary treasury go out and address the central bankers and big hedge fund managers out there?
Gavin Newsom
Yeah, I don't believe that the Secretary is going to Jackson Hole this year, but the Fed will discuss the outlook and the markets typically look for the Fed Chair to tell us something about what the Fed thinks will happen at the September meeting. The bond market right now is sort of iffy on whether the Fed will cut rates in September and that's because of what Jay Powell said yesterday. But again Steve, you could make a very strong argument, an intellectual argument, an academic argument if you will, why interest rates are much too high.
Ken Paxton
Do you think that he's now being, this is purely political, that this is because of the disagreements he has with President Trump and particularly about, you know, that not just the running of the Fed but also the cost overruns with the, with what we call the Versailles on Constitution Avenue. Do you think it's just he's just being ornery. He's just not going to. When all the evidence points to logically you should have a rate cut that he's just not doing it because of personality and politics.
Gavin Newsom
Steve, the tariff as the Secretary has argued that if there is a tariff impact it is a one off price level adjustment. There are a couple of series that might suggest there's some tariff effect very minimal. The point is that overall the data the last five months have been essentially better. All the data have almost been better than expected. Whether it's the consumer price index, import prices, producer prices, the consumer, the personal consumption expenditure deflator, all These different metrics all have been better than expected. We still haven't seen it in aggregate, any tariff effect. So I'll leave it there. But the data certainly say there's not an effect. So I'm not sure what people are waiting for.
Ken Paxton
Joe, where do people keep up with you on social media?
Gavin Newsom
Steve livornianomics thank you.
Ken Paxton
Thank you, brother. Very clear. Incredible good news out of that. Remember, we kept harping about, hey, the supply side cut. And look, we weren't. There were parts of the big beautiful bill we were not fans of, Right. Particularly, we strongly recommended there should be a tax increase for the wealthy. There was many other spending things we were not happy with. But we said, you have like Scott sat on this show for two years before he became secretary of Treasury. It was very simple. He said, you're going to have one shot, your last shot, to do a supply side cut. That means to focus tax cuts on production, on capital, on capital formation, that you can actually turn America back into a manufacturing superpower. Right. A manufacturing hegemon. And we said, hey, to even have a chance to try to grow your way out of this, which is a long shot, you got to get to 3.5% growth or higher. The first way you do that is kind of get to the 2.8 to 3% that President Trump had an average of 2.8% in his first term, went to 3.4% in 2019, the fourth quarter before the bioweapon of the Chinese Communist Party was dropped on our head. And you have to get there. And that's why the print yesterday, I think, was an incredibly solid print. And the left wing haters are in meltdown. This is why you can't compromise with these people. Nothing you can do is nothing you can do is they're going to agree with or they're going to support you. They hate President Trump. They hate maga. It's I. They hate the country. This is why we're going to pick it up with the Caroline Wren after the break. Rescissions. We got to get these cuts. Remember, the big beautiful bill was passed because of assurances we're going to have rescissions, pocket rescissions, impoundments. You got to cut because the Senate's playing games. Just like they're not giving President Trump his team. And it's obvious they're not giving his team. They're also not going to do any cuts. In fact, they're going to come in with more spending in September. Short break, back in a moment. We rejoice when there's no more, let's take down the ccp.
Caroline Wren
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Ken Paxton
Here's your host, Stephen K. Bannon. Okay, we're gonna get to spending in a second. They've coordinated a declassification, just hit part of it, as we've been telling you, John Solomon's been telling you and he had a great piece up on Just the News and I got it up on Getter. This is why, if you want to keep up, the show's a 24 hour process, right? We're on for four, two hours in the morning, two hours in the afternoon. That's four hours. But we're putting the show together. We're talking to people about what's going on. I'm continually getting information and putting up, you know, putting up articles and things that I think you ought to read. Even a lot of time I go to the most progressive or liberal, the Guardian and others. So you can see kind of the, the counter narrative because this is all narrative warfare, right? John Solomon gives us stuff all day long. I've got. So this is why Getter is totally free and it's super easy. Like I said, I'm an idiot in this, in this regard. I can really use Getter. Well, every now and again, Grace or Mo or Elizabeth has to help me out. But, you know, they've taken the training wheels off. My point is, you can keep up 24 7. I put up something with John Solomon of Just the News earlier this morning about this. So let's have a partner's discussion about this. We have to stick the landing on the Tulsi Gabbard treasonous conspiracy event. Right. We know that this is about how you take down the deep state. And if all the great stuff that we're doing, if we haven't taken apart the deep state by the time President Trump's terms end, then we will have absolutely failed in our effort to make America great again. We will be, you know, 90% of the way there economically. And all the great stuff President Trump's doing, securing the border and deportation, but a lot of that can be unwound when President Trump leaves. And this is why we've got to take the deep state on now and crush it. That's what this entire thing's about. And I'm a big advocate, either through the grand jury process, a special counsel, however, they want to give it to a U.S. attorney. Somehow justice has got to get a team to do this. Now. They said they put together a strike force because it's so complicated and they're so busy. I mean, you know, and they've only got a handful of people over there and they're fighting, I think still 175 court cases on the Democrats and these radical judges trying to suppress President Trump's Article 2 powers. Because to delay is to deny. And they're playing. They're running the clock out, you can tell that. And so that's why you need special people on it. Now, we do know that they are some very focused individuals and very focused legal proceedings that are going on right now that are. That are pretty advanced. And I think you're gonna see the fruits of those very shortly. Now, one of the big things, and this kind of drives you crazy of why we didn't demand it in the first term. And this is the whole Durham report and the Durham reports classified, and it's supposed to be highly classified appendix. Senator Grassley is now starting, I think is starting to get bled out. So Caroline ran this morning and already as part of this, you're seeing Fox News has got up sources alleged ties to Russiagate exposed and declassified annex of Durham report sub headline is CIA Director John Ratcliffe and FBI Director Kesh Patel coordinated in the declassification of annex is Grassley makes it public. You know, it begs the question, why didn't we do it last time? But hey, that's a conversation for a different day. It's out now and it's pretty explosive and it shows you the highly coordinated effort. You're pretty unique, Caroline. I think that you keep your hand on. You talk to grassroots leaders every day, the MAGA leaders, of what they're working on, what they need for funding. You know, how it's going with them. You're also very close, obviously, with the donors. Walk me through the importance of keeping people with the program by sticking the landing on this Tulsi Gabbard situation and in that process, getting some resolution to the Epstein situation. Ma'. Am.
Tina Peters
Well, this is, this was an interesting thing that just came out now because the last time I was on your show, I kind of, I said, Tulsi Gabbard just, you know, did what Durham never could do over, you know, the course of that two year investigation. Tulsi put it all out in a day. You kind of defended Durham and said, oh, well, you didn't defend it. You said, wait a minute, they didn't fully put out what his report was. Well, that is what just came out today, I think. Now I've gotten to read all of it. But my understanding is that they finally fully declassified a lot of the things that Durham did work on and put it out in the public. But it does beg the question of, like, why didn't they do this originally? And so I'm so glad. This is why appointments matter. Your cabinet matters. And so Mike Pompeo and others wanted to block this for forever. So cheers to John Ratcliffe and truly Tulsi Gabbard, who has been in the driver's seat on this, saying, no, no, no, I'm not going to stop until you declassify and put this out and show some transparency. So I want to pour through all of this. It seems to be what we have always put together and known, which is that, you know, this entire Russia hoax started between Obama and the Quinton campaign colluding to try and take down Donald Trump and to destroy his presidency. But the people in the public deserve and need to know the weaponization that our own government did against a duly elected president. And so again, I'm so thrilled right now with Tulsi Gabbard. I applaud Cash Patel for working on this as well. This is the cabinet that we push so hard for and this is the transparency that we want to see.
Ken Paxton
How important is it? You know, we're fighting this redistricting right now. And you know, we're fighting for five seats in Texas, we're fighting for five in Florida and a couple more. I think you get up to 14 or 15 seats. But even when you get the redistricting, you still need the hardest core, the hardcore, the people that do the canvassing, the people that back Scott Pressler. The people do the precinct strategy, the vanguard, right, of the movement, of the ones that do the most work, right? And it's laborious. They don't get paid to volunteer. They do it for the spirit of the country. You've got to keep those people motivated. If they get cynical, if they get apathetic, if they just say if 10% of those people say it's too much and I haven't seen anything, it's all talk, you're finished. Give me a minute on that before you go to break. Ma', am.
Tina Peters
I would be remiss right now, not to mention the fact that I would like to see a little bit of a harder fight. You're talking about the base of people who've worked on this. Tina Peters is still sitting in a prison cell right now. Tyler Boyer is still under indictment in Arizona. We still have all these electors under indictment, bleeding out money, getting chased down in Arizona, Michigan, Fanny Willis, by the way, the Georgia case has not gone away. We used to have these Georgia electors, I'm talking to some of these folks. They're getting buried in legal bills. We as a party, we as a MAGA movement, we need to do more to go help those people, help with their legal bills and tell Trump should stop the funding to any of. I mean, use every single tool in the book. We cannot leave these people to be hung to dry out there right now. And so I just, I want to reiterate that I want to do more with you, Steve, to come up with a plan.
Ken Paxton
Well, the state of Georgia said you got all kind of ways that you can do this. And I think it's a federal, it's part of. It's a federal. You got state, you got federal. It could be all dropped immediately, particularly these charges. And Tina Peters, she's still rotten in a prison. Anyway, you stick around. I got, I want to finish with this rescissions and spending. So hang on. We're going to get ready for the second hour of the War Room Home Tide Lock. 80 or 90% of your entire net worth. Everything you've worked for is in that house. Not just all the love and every dream you had, right. But also your net worth. Make sure no one get their hands on it. The grubby hands, particularly some hard money lender that wants to put a second mortgage on your house and make you pay it off. Off hometitlelock.com Steve the $1 million triple lock protection. Go check it out today. Second hour is upon us.
Caroline Wren
What if he had the brightest mind in the war room delivering critical financial research every month?
Ken Paxton
Steve Bannon here.
Caroline Wren
War Room listeners know Jim Rickards.
Ken Paxton
I love this guy.
Caroline Wren
He's our wise man. A former CIA, Pentagon and White House advisor with an unmatched grasp of geopolitics and capital markets, Jim predicted Trump's Electoral College victory exactly 312 to 226, down to the actual number itself. Now he's issuing a dire warning about April 11, a moment that could define Trump's presidency and your financial future. His latest book, MoneyGPT, exposes how AI is setting the stage for financial chaos. Bank runs at lightning speeds, algorithm driven crashes, and even threats to national security. Right now, War room members get a free copy of MoneyGPT when they sign up for Strategic Intelligence. This is Jim's flagship financial newsletter, Strategic Intelligence. I read it. You should read it. Time is running out.
Ken Paxton
Go to rickardswarroom.com that's all one word.
Caroline Wren
Rickards war Room. Rickards with an S. Go now and claim your free book. That's rickardswarroom. Com. Do it today.
Podcast Summary: Bannon’s War Room – Episode 4672: Redistricting In Texas; Maintaining A Strong Economy
Release Date: July 31, 2025
Introduction
In Episode 4672 of Bannon’s War Room, host Stephen K. Bannon delves into the pivotal topics of redistricting in Texas and strategies for maintaining a robust economy. The episode features insightful discussions with key political figures, including Attorney General Ken Paxton and Senator Joe Lavornier, alongside economic perspectives from Governor Gavin Newsom. This comprehensive summary captures the essence of the conversations, highlights notable quotes, and elucidates the implications of these critical issues.
1. Redistricting in Texas
Time Stamp: 00:00 – 09:59
The episode opens with a detailed overview of the recent redistricting efforts in Texas. Republicans, led by Governor Greg Abbott and influenced by President Donald Trump, have released a draft of a new congressional map aiming to secure five additional seats in the upcoming midterm elections. This strategic move is designed to amplify Republican representation, potentially consolidating control from 25 to 30 out of the 38 congressional districts, with each new seat projected to be won by Trump by over 10 points.
Key Points:
Notable Quotes:
2. Democratic Critique and Legal Challenges
Time Stamp: 03:02 – 09:59
Hakeem Jeffries provides a scathing critique of President Trump’s actions, emphasizing the undermining of democratic principles and the rule of law. He accuses Trump and his allies of intent to subvert democracy through measures like vote suppression and election denial, highlighting the broader threat to free and fair elections slated for 2026.
Key Points:
Notable Quotes:
3. Texas Political Maneuvering
Time Stamp: 06:57 – 21:43
Stephen Bannon engages with Texas Attorney General Ken Paxton and Senator Joe Lavornier to discuss the logistics and potential fallout of the redistricting process. They deliberate on strategies to prevent Democratic lawmakers from obstructing the redistricting by leaving the state, which would disrupt the legislative quorum.
Key Points:
Notable Quotes:
4. National Implications and State-Level Movements
Time Stamp: 15:00 – 19:56
Bannon highlights the ripple effect of Texas’s redistricting, suggesting that other states like Florida, Indiana, Missouri, and Ohio may follow suit. The discussion underscores a broader national strategy among Republicans to reshape congressional representation across multiple states.
Key Points:
Notable Quotes:
5. Economic Strategies and Growth Discussion
Time Stamp: 33:21 – 41:35
Transitioning to the economy, Bannon converses with Governor Gavin Newsom, who offers a contrasting perspective on recent GDP growth figures and Federal Reserve policies. While the podcast predominantly presents Republican viewpoints, Newsom provides insights into the economic challenges and opportunities from a Democratic standpoint.
Key Points:
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6. Senate Procedures and Judicial Confirmations
Time Stamp: 24:59 – 29:41
The conversation shifts to the Senate’s role in judicial confirmations and the impact of potential recess appointments by the President. Bannon underscores the importance of maintaining control over the judiciary to implement the administration’s agenda effectively.
Key Points:
Notable Quotes:
7. Durham Report and Government Transparency
Time Stamp: 43:36 – 52:02
Bannon addresses recent revelations related to the Durham Report and the alleged coordination between high-level officials in withholding classified information. Tina Peters elaborates on the implications of these disclosures, emphasizing the need for transparency and accountability within the government.
Key Points:
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8. Conclusion and Forward Look
Time Stamp: 53:02 – 54:00
In the concluding segments, Bannon reiterates the critical nature of ongoing political battles, emphasizing the necessity of grassroots efforts and strategic legislative actions to counteract opposition. He calls for continued vigilance and proactive measures to ensure the administration’s objectives are met.
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Insights and Conclusions
Episode 4672 of Bannon’s War Room serves as a strategic analysis of current political maneuvers aimed at solidifying Republican power through redistricting in Texas and potentially other states. The discussions underscore the high-stakes nature of these efforts, highlighting both the tactical advantages sought by Republicans and the robust resistance from Democrats like Hakeem Jeffries. Additionally, the episode provides a nuanced economic discourse, contrasting Republican strategies for economic growth with Democratic perspectives on managing Federal Reserve policies and inflation.
The episode also touches upon broader themes of government transparency and accountability, particularly in relation to the Durham Report and recent declassifications that reveal alleged internal conspiracies. This multifaceted conversation underscores the intricate interplay between legislative strategies, judicial appointments, and economic policies in shaping the current political landscape.
For listeners seeking to understand the dynamic and often contentious processes shaping American politics and economy, Episode 4672 offers a comprehensive and engaging exploration of these critical issues.