THE NEWS

The Pentagon moved Friday to fire three senior employees at the taxpayer-supported military newspaper Stars and Stripes, accusing them of “insubordination” amid an escalating battle over the publication’s direction.
Publisher Max Lederer, Editor-in-Chief Erik Slavin, and Middle East reporter Lara Korte were each served with separation notices and given five days to appeal, according to CBS News⁠.
The stunning shake-up comes as the Trump administration works to overhaul the military publication, drag it into the 21st century, and eliminate the “woke distractions” that have infected institutions across the federal government.
Slavin and Korte claimed they were targeted over interviews they gave to CBS News without authorization for a segment that aired in July.
Slavin told CBS that the Pentagon accused him of insubordination after he publicly declared that any effort to control the newspaper’s reporting would cross a “red line.”
“According to the notice, I am being fired for stating in a CBS interview that censorship of news for service members would constitute a red line,” Slavin said.
“The Pentagon’s public affairs office has charged me with insubordination. I stand by the principle that Stars and Stripes must remain editorially independent, as required by law and by the department’s own policies.”
During the CBS interview, Slavin described the hypothetical scenario that he said would be unacceptable.
“‘Don’t run a perfectly accurate story, run this instead. Here it is, written by the Pentagon.’ That would be a red line,” he said.
Korte, who covers the Middle East, similarly insisted that she does not work for the Pentagon—even though the outlet operates within the Department of Defense and receives millions of dollars from American taxpayers.
“I’m working for Stars and Stripes. Not for the Pentagon, not for any administration, not for any policymaker,” Korte said during the CBS segment. “I’m here to cover the military community.”
Korte later called the dismissals “a shame for the institution and service members.”
Lederer, who had led the publication for 19 years, announced earlier in the week that he planned to retire on September 30 because of what he described as “fundamental” disagreements with the Trump administration’s vision for the outlet.
The Pentagon apparently decided not to wait.
Lederer was reportedly asked to fire Slavin and Korte over their unauthorized CBS appearance but refused, according to people familiar with the dispute cited by The Washington Post⁠. He was subsequently issued his own separation notice.
White House adviser Stephen Miller defended the administration when asked about the controversy Friday.
“If anybody was fired, it was for just cause,” Miller said.
The firings follow months of tension between Pentagon officials and the newspaper’s entrenched leadership.
Chief Pentagon spokesman Sean Parnell previously announced plans to bring Stars and Stripes “into the 21st century” and refocus the outlet away from “woke distractions that syphon morale.”
Following Friday’s purge, Navy Capt. William Urban, recently appointed military deputy to the publisher, released an open letter calling for modernization while pledging that the paper would continue producing independent reporting.
Urban said the outlet must improve its digital operation, increase advertising revenue, and “embrace a culture of change.”
In other words, the taxpayer-funded publication is finally being told that the status quo is no longer acceptable.
The corporate media will predictably portray the personnel shake-up as another attack on journalism. But the Pentagon maintains that the three employees were disciplined for insubordination, not for publishing a particular story.
And now they will have five days to make their case.

The post Pentagon Fires Stars and Stripes Publisher, Editor-in-Chief and Reporter for “Insubordination” appeared first on The Gateway Pundit.

A federal appeals court on Friday ruled that President Trump did not have the authority to appoint Acting US Attorney for the Northern District of New York, John Sarcone.
A three-judge panel in the Second Circuit Court of Appeals, in a 2-1 vote, said John Sarcone was unlawfully appointed when he subpoenaed New York Attorney General Letitia James.
The three-judge panel included: Judge Guido Calabresi (Clinton), Judge Michael Park (Trump), and Judge Maria Kahn (Biden).
Earlier this year, a federal judge disqualified the Trump-appointed US Attorney for the Northern District of New York overseeing investigations into New York Attorney General Letitia James.
US District Judge Lorna Schofield, an Obama appointee, disqualified acting US Attorney John Sarcone and quashed two subpoenas issued to Letitia James.
John Sarcone was investigating Letitia James’s lawfare civil suit against President Trump and her lawsuit against the National Rifle Association (NRA).
Letitia James asked the judge to quash two subpoenas, arguing that Sarcone was unlawfully appointed and given a “special attorney” status.
The judge lashed out at then-US Attorney General Pam Bondi for making Sarcone an Acting US Attorney after his 120-day interim role expired.
“Instead, on the same day that the judges declined to extend Mr. Sarcone’s appointment, the Department took coordinated steps — through personnel moves and shifting titles — to install Mr. Sarcone as Acting U.S. Attorney. Federal law does not permit such a workaround,” the judge wrote, according to CBS News.
Sarcone is the fifth Trump-appointed US Attorney to be disqualified by a rogue judge.
CBS News reported:
A federal appeals court on Friday said the top federal prosecutor in the Northern District of New York was unlawfully serving in his role when he subpoenaed New York Attorney General Letitia James as part of two investigations into her last year.
A Justice Department spokesperson quickly said the Trump administration intends to appeal the ruling directly to the Supreme Court, setting up a showdown over the Trump administration’s repeated attempts across the country to make an end-run around federal law to keep their choice of prosecutors in office without Senate confirmation.
In a 2-1 decision, the U.S. Court of Appeals for the 2nd Circuit ruled against John Sarcone, who has been leading the U.S. Attorney’s Office in Albany for more than a year.
The two judges in the majority said Sarcone’s appointment in 2025 did not conform with a federal law known as the Federal Vacancies Reform Act, meaning he was not lawfully serving as the acting U.S. attorney when he secured the subpoenas targeting James.

The post Appeals Court Rules Trump Didn’t Have Authority to Appoint Federal Prosecutor Who Subpoenaed Letitia James appeared first on The Gateway Pundit.

US Treasury Classifies Hezbollah As Arm Of The IRGC, Not A ‘Stand-Alone’ Group

The new US Treasury sanctions on Hezbollah unveiled Thursday do more than ever before in ‘legally’ classifying the Lebanese militant group as essentially an arm of Iran’s Islamic Revolutionary Guard Corps (IRGC).

The Treasury action – which is certainly not the first designation against the group – underscored that it operated in “service to the Iranian regime under the command of Iran’s Islamic Revolutionary Guard Corps.”

A State Department official characterized the re-designation as specifying that Hezbollah is an “Iranian proxy, not a stand-alone operation as implied by the previous designation.”

“This action builds on years of US designations that have repeatedly documented the operational, financial, and logistical integration between Hizballah and the IRGC-QF,” the official also stated, calling Hezbollah “an extension” of the IRGC’s Quds Force.

“This underscores that Hezbollah operates with little to no regard for Lebanese sovereignty, the Lebanese people, or the Lebanese state,” the US official added, which reflects longstanding Washington policy toward Lebanon.

The Treasury action had additionally targeted ten individuals accused of being part of a network that transfers cash to the Shia group.

Hezbollah has responded Friday by stating that this action “will not deter” its fighting against Israel.

“All these unjust sanctions and classifications will not deter us from adhering to the path of resistance and the right of Lebanon and the Lebanese to defend their land, sovereignty and resources,” the fresh Hezbollah statement said.

The statement also asserted that the paramilitary group “does not need anyone to vouch for its Lebanese identity and patriotism.” However, it boasted that “Our close and fraternal relationship with the Islamic Republic of Iran is a relationship we cherish and are proud of.”

While long-running cooperation between Iran and Hezbollah is obvious, including in the context of the Syrian proxy war – wherein the two defended Assad – most scholars of Lebanese history tend to see the group as springing out of a legitimately local or regional movement tied to Shia grievances and lack of representation in Lebanon’s impoverished south.

It was largely a latecomer in the Lebanese Civil War, but has grown to be the most powerful and well-armed faction among all the different players in Lebanon. 

The group is even more powerful than the small Mediterranean country’s national army, and has been in a decades long war with Israel for control of contested border regions, and standing against Israeli occupation of Lebanese lands as well as the Syrian Golan Heights.

But Washington’s new action is ultimately tied to the broader economic war towards completely isolating Iran and its proxies – something likely to prove easier said than done, given Russia and China are not going to play along, as well as perhaps much of the Global South and BRICS nations.

Tyler Durden
Fri, 08/21/2026 – 20:30

The country’s most prominent gay conservative advocacy group is distancing itself from what it calls the “radical” transgender movement that has been at the center of a cultural firestorm in recent years.Ross Hemminger, the president of the Log Cabin Republicans (LCR), announced in an op-ed published Thursday by Townhall.com that his organization is renewing its focus on prioritizing the representation of gay, lesbian and bisexual GOP voters.”Fifty years ago next year, Log Cabin Republicans was founded on a simple conviction: that gay Americans who believe in limited government, individual liberty, and equality deserve equal protection under the law and a voice inside the Republican Party,” Hemminger began the op-ed. “From the start, Log Cabin Republicans grounded its advocacy in constitutional principles — equal protection, limited government, and individual freedom.”POWERFUL LGBTQ+ GROUP’S ENDORSEMENTS COULD TANK VULNERABLE DEMS OVER RADICAL YOUTH TRANS AGENDAHemminger noted that in 2015, the group’s board of directors voted to “add the ‘T’ under the umbrella of our mission,” which is now being reversed.”At the time, we did not believe that we would find ourselves where we are today,” Hemminger wrote. “The transgender movement has ceased focusing on adults at all — nearly all of their efforts and those of their aligned special interest groups focus on minors.””They push schools to teach radical gender ideology; they want biological men in women’s sports regardless of the consequences; perhaps most offensively, they support gender reassignment treatments for minors, often without the knowledge or consent of the parents, knowing full well these treatments are mostly irreversible,” the op-ed added. GAY TRUMP VOTERS SHATTER DEM ‘LIE’ LGBT AMERICANS VOTE BLUE, SAYS LOG CABIN REPUBLICANS CHIEFThe LCR chief lamented that “gay men and women are losing public support across the country, and support for gay marriage and other once-widely accepted rights is eroding,” alluding to polls showing such declines. He suspected the root cause is that voters “weren’t alive or cognizant” to the decades-long fight for gay marriage and in the court of public opinion and that “their view of the gay community is based on today’s radical transgender activists.””That is why, after significant discussion with our membership, our Board of Directors voted to refine Log Cabin Republicans’ national advocacy focus to concentrate specifically on issues of sexual orientation and conservative values — in other words, we are an LGB advocacy organization, as our founders envisioned and as our moral center calls us to be,” Hemminger said.GALLUP POLL FINDS AMERICANS’ SUPPORT FOR LGBTQ+ ISSUES SLIDING BACKWARD AMID CULTURAL SHIFTHemminger stressed that membership of Log Cabin Republicans remains “open to all conservatives” and it welcomes all allies aligned with its mission.”Issues of sexual orientation — marriage, adoption, military service, nondiscrimination rooted in equal treatment, and religious liberty protections applied fairly — are grounded in constitutional clarity,” Hemminger wrote. “They align directly with the Republican commitment to limited government and equal protection under the law.””When we remain focused on those principles, we win,” he added.

Katie Hobbs / Credit: Wikimedia Commons
Arizona’s Democratic attorney general has declined to charge Democratic Gov. Katie Hobbs over explosive allegations that a major state contractor poured hundreds of thousands of dollars into Democratic political coffers before receiving a lucrative 30 percent rate increase.
Far-left Attorney General Kris Mayes announced Friday that her office would bring no criminal charges against Hobbs over her administration’s dealings with Sunshine Residential Homes.
The numbers behind the investigation were eye-popping.
Sunshine donated $200,000 to the Arizona Democratic Party ahead of Hobbs’ disputed victory over Republican Kari Lake back in 2022.
It then contributed $100,000 to Hobbs’ inaugural fund and another $100,000 to the state Democratic Party in August 2023.
Company founder Simon Kottoor and his wife also donated a combined $10,000 to Hobbs’ gubernatorial campaigns.
At the time of the donations, Sunshine had been pressing the state for a substantial increase in the rate it was paid for each foster-care bed.
After their initial requests were rejected, the company received a 30 percent increase in May 2023, taking its reimbursement from $149 to $195 per bed.
This was less than six months after Hobbs took office.
Sunshine was also one of only two providers granted an increase during that contracting period.

More evidence Kris Mayes and Katie Hobbs are corrupt.
They actually found MORE evidence of Pay-to-play in the investigation and refused to do anything. https://t.co/8kkQahyxl4
— Tyler Bowyer (@tylerbowyer) August 21, 2026

Hobbs has denied any wrongdoing and says she played no role in approving the increase.
She declined to sit for an interview with investigators, instead submitting written statements through her attorneys.

The fake news propaganda media at the Arizona Republic is at it again. Look at this framing. Wasn’t it Katie Hobbs that was subject to the investigation? No mention of her in the headline, just a random photo. They do this to protect her knowing full well most people never even… pic.twitter.com/3zNSyvPp4K
— Abe Hamadeh (@AbrahamHamadeh) August 21, 2026

Mayes insists there was insufficient evidence of the quid pro quo necessary to establish bribery.
“After two years of investigation, consisting of multiple interviews, reviews of campaign-finance records, procurement records, bank documents, and State emails and chats, totaling over one terabyte of data, including more than 100,000 documents, the investigation has not uncovered any evidence of the necessary quid pro quo to support a bribery charge,” Mayes said in a statement.
Investigators claim that Sunshine possessed substantial bargaining power because it was Arizona’s largest provider of certain foster-care beds and had threatened to reduce capacity unless the state paid more.
The Democratic attorney general’s decision does not end Hobbs’ legal headaches.
A separate investigation involving Republican Maricopa County Attorney Rachel Mitchell and Arizona’s auditor general remains underway.
Hobbs is seeking re-election for a second four-year term. She will face off against Republican Rep. Andy Biggs in November.

The post SHOCK! Democrat Arizona AG Declines to Charge Democrat Gov. Katie Hobbs in $400K Bribery Case appeared first on The Gateway Pundit.

The editor-in-chief, publisher and Middle East reporter for the military newspaper Stars and Stripes were all fired by the Pentagon Friday.

Let Americans Keep The Savings They Find

Authored by Wendy Barnes via RealClearPolitics,

As candidates spend the coming months telling voters how they would transform American health care, they should not overlook reforms that could make care more accessible and affordable without requiring complex new government programs.

Millions of Americans are already trying to make their health care dollars go further. They compare prices, explore alternatives to insurance, and choose lower-cost ways to obtain prescriptions and routine care. Yet federal policies often penalize them for doing exactly what policymakers say they want consumers to do: shop carefully and choose the best value option.

A practical health care affordability agenda should begin with a simple principle: When Americans use their own money to pay for legitimate health care, government rules should help that money go further.

Policymakers can put that principle into practice in two ways.

First, consumers should receive credit for the money they actually spend on prescriptions.

Consider a consumer whose insurance requires an $80 out-of-pocket payment for a prescription. That same drug may be available for $30 through a cash-pay option. Choosing the $30 price should be an easy decision.

But under many health plans, that spending may not count toward the consumer’s deductible or annual out-of-pocket maximum because the prescription was purchased outside of traditional insurance. The consumer saves $50 at the pharmacy counter but forfeits credit for the $30 spent.

That is not how a system designed to encourage cost-conscious choices should work.

The Every Dollar Counts Act, introduced this year by Rep. Greg Murphy, M.D., offers a straightforward solution that lawmakers on both sides of the aisle should support. It would require out-of-pocket spending on covered prescription drugs to count toward a consumer’s deductible and out-of-pocket maximum regardless of where the medication is purchased.

Americans should not have to choose between finding the lowest available price and receiving the full value of their insurance. If enacted, this legislation would help remove that tradeoff.

Second, Congress should modernize flexible spending accounts (FSAs) and health savings accounts (HSAs) to reflect how people receive health care today. These accounts allow consumers to use pre-tax dollars for qualified medical expenses, but health care delivery is evolving more quickly than the rules governing which expenses qualify.

Consumers increasingly use low-cost memberships that provide access to discounted prescriptions, virtual visits, or other health care services. In many cases, a consumer can use FSA or HSA funds for the prescription or appointment itself, but not for the membership that unlocks the lower price.

Congress has already begun to recognize that health care memberships can be legitimate medical expenses. As of this year, certain direct primary care memberships can be paid tax-free from an HSA under a change implemented through IRS guidance. But that change is narrowly limited, leaving out broader memberships that may combine prescription savings, virtual care, and other services.

Lawmakers should extend the same principle to other health care memberships and to HSAs and FSAs. Clear eligibility standards and reasonable monthly limits could prevent abuse while allowing consumers to use their own health care dollars for services specifically designed to reduce the cost of care.

Neither of these proposals would replace insurance or require Washington to construct a new health care system. They would simply update existing policies to reflect how Americans already seek and pay for care.

Candidates will continue debating ambitious plans throughout the election season. But affordability is also shaped by technical rules with very real consequences: whether a consumer’s spending counts, whether personal health care funds can be used, and whether someone can confidently choose a lower price.

Washington should give people credit for making responsible health care decisions. When Americans find a legitimate way to pay less for the care they need, public policy should reward that choice.

This article was originally published by RealClearPolitics and made available via RealClearWire.

Wendy Barnes is president and CEO of GoodRx, the leading platform for prescription access and affordability.

Tyler Durden
Fri, 08/21/2026 – 20:05

Baltimore Ravens wide receiver Rashod Bateman turned himself in to police and faces three domestic violence charges in connection to a June incident in which he allegedly attacked his ex-girlfriend’s car while she had their newborn on board.The details of the incident, first reported by TMZ, remain sketchy, but documents say the player entering his sixth NFL season allegedly smashed the glass of his girlfriend’s car while their three-month-old child was inside.The victim, whose name was not immediately available, told police that Bateman used a blunt object to break the windshield and driver’s side windows of her 2021 Mercedes-Benz.NFL PUTS ‘INSPIRE CHANGE’ AND ‘CHOOSE LOVE’ ON FIELDS BUT NOT SO AGGRESSIVE ABOUT ITS DOMESTIC ABUSE ISSUESWhen the glass shattered, it allegedly caused multiple small lacerations and contusions to the alleged victim’s face.The couple’s child was sitting in a baby seat in the back row.Bateman, 26, was charged with battery-family violence, reckless conduct and first-degree criminal damage to property. He turned himself in to police immediately following the incident.The incident was not public until TMZ’s report on Friday. The Ravens then released a statement about their starting wide receiver.”We are aware of the situation involving Rashod and have been in direct communication with him,” the statement reads. “We notified the league office and have been cooperating throughout the process.”As this is a pending legal matter, we will not have further comment.”It is unclear at what point the Ravens became aware of this incident. It happened on June 3.The Ravens opened their 2026 training camp the last week of July, with the first day of practice coming on July 29. Bateman was present and has remained so since then.BRONCOS STAR SPEAKS OUT FOLLOWING DOMESTIC VIOLENCE ARREST, FIRES OFF AN APOLOGYIndeed, Baltimore quarterback Lamar Jackson told reporters he was happy to have one of the team’s top receivers “back on the field.”So the question is: Did Bateman keep the arrest secret as he was with the team at the opening of camp last month, or did the club know and simply let him practice as if no legal matter was pending?Bateman in June 2025 signed a three-year, $36.75 million with Baltimore that includes $20 million in guaranteed money.Bateman originally was told to have no contact with his baby’s mother. But later he asked the court to remove the no-contact order when the mother agreed.The court signed off on the request, per TMZ, though Bateman was ordered to complete a training class aimed at preventing violent contact.The NFL, by the way, has had a considerable number of domestic violence incidents, arrests and court hearings during the 2026 offseason.Bateman’s legal team released a statement that reads in part, “We will let the process play out and the fact will come out at that time.”FOLLOW ARMANDO SALGUERO ON X: @ARMANDOSALGUERO

Lawyers representing Dr. Anthony Fauci have created a legal defense fund for the infectious disease expert as investigations against him continue to mount.Fauci, who helped lead the country through the pandemic, has been accused by Republicans of misleading the public about the origins of COVID-19 and faces multiple federal and state investigations.Kentucky Sen. Rand Paul has called on the U.S. Department of Justice to prosecute Fauci after Fauci invoked the Fifth Amendment numerous times during a high-profile July congressional hearing.CAN FAUCI HIDE BEHIND THE FIFTH? GAME-CHANGING BIDEN PARDON MAY NOT PROVIDE COMPLETE COVER, EXPERTS SAYThe Senate Homeland Security and Governmental Affairs Committee, chaired by Paul, held him in contempt of Congress after the hearing.Fauci has denied all the accusations made against him.FAUCI IN THE CONGRESSIONAL WRINGER: A TEST FOR TRUMP’S NEWLY-MINTED ATTORNEY GENERAL”The Anthony S. Fauci M.D. Legal Defense Fund was established to help cover the legal representation and associated administrative costs for Dr. Fauci,” the defense fund’s website says. “Your contributions directly support these defense efforts and ensure comprehensive legal support during ongoing inquiries and proceedings.”Fauci retired in 2022 after leading the National Institute of Allergy and Infectious Diseases for nearly 40 years.He also advised seven presidents, including President Donald Trump during Trump’s first term as a member of the White House Coronavirus Task Force.During his time navigating the country through the pandemic, he was a proponent of wearing masks, social distancing, vaccines and lockdown measures.Former President Joe Biden issued Fauci a preemptive pardon before he left office.FAUCI REFUSES SENATE APPEARANCE AFTER INVOKING FIFTH AMENDMENT MORE THAN 100 TIMES IN COVID PROBE”Fauci is facing an unprecedented legal ​barrage for a retired civil servant, and he deserves a robust defense against these unfounded and frivolous actions,” David Schertler, a lawyer for Fauci, told Reuters. “Dr. Fauci has not ​done anything wrong, and we are prepared to fight back against this shameful harassment of an honorable man who dedicated his career to saving lives.”His lawyers added that any funds remaining after all of his investigations conclude will be donated to charity.Prior to his retirement, Fauci was the highest-paid federal employee, making nearly $500,000 each year, Fox News Digital previously reported. In retirement, Fauci collects a federal pension that rivals a presidential salary, OpenTheBooks CEO Adam Andrzejewski estimated.Fauci and his wife reported a combined $12.6 million net worth in 2021.FAUCI’S HHS IPHONE TURNED OVER TO SENATE INVESTIGATORS AS CONTEMPT VOTE LOOMSFox News Digital has reached out to the legal defense fund and Paul’s office for comment.On Tuesday, David Morens, a former Fauci advisor, pleaded guilty to attempting to conceal pandemic-related documents by evading public records laws.FLORIDA AG THREATENS FAUCI INVESTIGATION AFTER SENATE HEARINGFlorida Attorney General James ⁠Uthmeier has said he will investigate whether Fauci “personally profited off the COVID ‘guidance’ he issued” during the pandemic and has issued a subpoena to the 85-year-old.Louisiana and West Virginia are backing Florida’s effort.Fox News Digital’s Joe Schoffstall and Reuters contributed to this report.

New York City Mayor Zohran Mamdani’s government is now considering providing government subsidies to private-sector grocery stores that suffer revenue losses because of government-sponsored grocery stores. Photo courtesy of the Office of the Mayor of the City of New York.
Recently, New York City Mayor Zohran Mamdani announced that he was making good on his campaign promise to bring down food costs by opening state-sponsored grocery stores that would sell goods at below cost. The stores will also not be required to pay taxes or rent.
By establishing these state-sponsored stores, Mamdani is not reducing food costs. He is reducing the price for consumers while placing a larger burden on taxpayers, most of whom will not be able to access the city stores.
To make matters worse, these stores are required to pay a “living wage,” which is estimated at more than double the minimum wage. Furthermore, they are required to provide healthcare and other benefits for employees. So, not only will the government have to supplement the lower prices of goods, but it will also have to support dramatically higher operating costs.
Apart from the fact that selling goods below cost in stores that cannot cover their operating expenses is an unsustainable model, the other problem with state-sponsored grocery stores is that they make it difficult for the private sector to compete. Private grocers and bodega associations have protested the decision. A bodega trade group, the United Bodegas of America, representing roughly 14,000 businesses, is preparing a lawsuit arguing that the taxpayer-subsidized stores create unfair competition, both on pricing and through the use of rent-free city land.
John Catsimatidis, CEO of Gristedes and D’Agostino’s, has threatened multiple times over more than a year to close, sell, or relocate his stores. Before the election, he told Fox Business, “If the city of New York is going socialist, I will definitely close, or sell, or move or franchise the Gristedes locations,” adding that he would also consider moving his corporate offices to New Jersey.
After Mamdani won the election, Catsimatidis predicted the plan “would collapse our food supply, kill private industry, and drag us down a path toward the bread lines of the old Soviet Union.” More recently, he has said he might relocate operations to Florida instead, citing declining sales and increased shoplifting that he attributes to city policy. He also said profitability has suffered for two years, making layoffs and operational scale-backs more likely. He has not announced a definite timeline for relocation or layoffs and is still evaluating his options.
On the unfair-competition point specifically, Catsimatidis told Fox News Digital, “The people that are going to run those five stores are not going to pay any real estate taxes, not going to pay any rent,” adding, “If I don’t pay any rent or real estate taxes, I can bring down the cost of a product 20% across the board.”
In true socialist form, in order to avoid disrupting the free market, the Mamdani government is now considering subsidizing for-profit, private-sector grocery stores to help make up for the business they will lose to the government shops.
Waverly Neer, an NYC Economic Development Corporation (NYCEDC) senior vice president overseeing the NYC Groceries rollout, said this week that one proposal under consideration would let nearby grocers apply for grants to offset revenue lost to the city’s subsidized stores. She described the proposal as “policies and programs, grants, incentives that can come alongside these grocery stores to support other local independent businesses.”
State-operated grocery stores are not the only socialist program the Mamdani city government is carrying out. He is also moving forward with rent freezes that critics warn will have damaging effects on the city’s economy, lowering the standard of living for many residents.
Beginning October 1, 2026, landlords of rent-stabilized apartments will not be allowed to raise rents on new one- or two-year lease renewals after the Rent Guidelines Board voted 7-1 for a 0% increase. It is the first two-year freeze in the board’s history, covering roughly 1 million apartments, about 27% of the city’s overall housing stock. Mamdani, who appointed six of the board’s nine members, has said he will seek a freeze every year of his term.
Board member Arpit Gupta, who voted against the freeze, warned that it produces deteriorating assets rather than affordable housing, while landlord groups warn of more foreclosures and disrepair. Experts cautioned that the freeze could tighten mobility further, as residents of rent-controlled apartments may be less likely to move, keeping those apartments off the market and pushing market-rate rents higher. Between 26,000 and 100,000 stabilized units currently sit vacant, and the city’s overall vacancy rate stands at 1.41%, the lowest since 1968.
Landlord trade groups, including the Community Housing Improvement Program and the Rent Stabilization Association, argue in federal court that the rent laws amount to an unconstitutional seizure of private property under the Fifth Amendment. The Supreme Court has so far declined to hear such challenges while leaving the door open to future cases, and the Second Circuit has consistently held that the law serves a rational purpose.
On cost, city spending on one-time payments covering tenants’ back rent rose from $102 million in 2022 to $555.8 million in 2025, with 62% of evictions last year occurring in rent-stabilized buildings.
Since Mamdani took office, market-rate rents have continued to climb. Manhattan’s median rent hit a record $4,965 in June 2026, up 5.1% year-over-year. The increase comes amid reduced supply, as people hold onto rent-stabilized apartments longer. At the same time, landlords facing rising costs on those units have to increase rents on market-rate apartments.
A similar problem could develop with food. Government-subsidized supermarkets could drive many private stores out of business, leaving residents increasingly dependent on an inadequate number of government stores. Meanwhile, the for-profit stores that remain could be forced to charge higher prices to cover their operating costs and keep their doors open.

The post Mamdani’s Socialist Government Considering Subsidizing For-Profit Grocery Stores to Compete With State-Supported Ones appeared first on The Gateway Pundit.