Up First from NPR

Senate Funding Vote, ICE Family Detention Protest, Fed Holds Interest Rates

14 min
Jan 29, 20264 months ago
Listen to Episode
Summary

Senate Democrats threaten to block government funding over ICE reform demands following the killing of Alex Prety by federal agents. A protest at a South Texas family detention center highlights the case of five-year-old Liam Ramos. The Federal Reserve holds interest rates steady while balancing inflation control against job market concerns.

Insights
  • Senate Democrats are using government funding leverage to force ICE policy reforms, signaling heightened political pressure on immigration enforcement practices
  • The killing of Alex Prety by federal agents has become a catalyst for broader legislative action on immigration agent accountability and conduct rules
  • The Fed faces a strategic dilemma: maintaining higher rates to fight inflation while job market weakness threatens employment stability
  • Political pressure from the White House on the Federal Reserve is intensifying but has limited immediate impact on policy decisions due to institutional independence
  • Immigrant family detention conditions and treatment are becoming a focal point for congressional oversight and public advocacy
Trends
Government funding packages increasingly used as leverage for policy reforms in contentious areas like immigration enforcementGrowing demand for federal law enforcement accountability including body cameras, warrant rules, and use-of-force policiesInflation persistence at 3% despite Fed rate holds, with tariffs identified as a key driver of future price increasesWeakening job market with major tech/logistics layoffs (Amazon, UPS) despite relatively stable 4.4% unemployment rateIncreased political pressure on Federal Reserve independence from executive branch, testing institutional safeguardsFamily detention center conditions emerging as significant humanitarian and political issue with congressional attentionBipartisan splits on immigration enforcement reform, with some Republican senators open to policy changes despite leadership resistance
Topics
Government Funding Negotiations and Shutdown RiskICE Reform and Immigration Agent AccountabilityFederal Law Enforcement Use of Force PoliciesFamily Immigration Detention CentersFederal Reserve Interest Rate PolicyInflation Control vs. Employment ProtectionPresidential Pressure on Central Bank IndependenceTariff Impact on Consumer PricesJob Market Weakness and LayoffsExecutive Orders as Policy AlternativeBipartisan Senate NegotiationsImmigrant Asylum Case ProcessingPolice Riot Response to ProtestsFederal Agent Conduct and TransparencyMonetary Policy and Political Influence
Companies
Amazon
Announced major layoffs this week, cited as evidence of weakening job market despite low unemployment
UPS
Announced major layoffs this week, cited as evidence of weakening job market despite low unemployment
People
Chuck Schumer
Senate Minority Leader threatening partial government shutdown over ICE reform demands in DHS funding package
Alex Prety
Killed by federal immigration agents in Minneapolis over the weekend, catalyst for Senate Democrats' ICE reform demands
Liam Ramos
Five-year-old detained with father in Minnesota, now at South Texas Family Residential Center, subject of protests
Jerome Powell
Federal Reserve Chairman explaining inflation control strategy and defending Fed independence from political pressure
Donald Trump
President pressuring Federal Reserve for deeper interest rate cuts and threatening Fed leadership changes
Joaquin Castro
Congressman from San Antonio who toured detention facility and met with Liam Ramos and his father
Jasmine Crockett
Congresswoman who toured South Texas Family Residential Center with Joaquin Castro
John Thune
Republican Senate leader opposing split of appropriations package, suggesting White House executive order alternative
Stephen Myron
White House economist appointed to Federal Reserve board, voted for rate cuts but lacked colleague support
Quotes
"Senate Democrats are united on a set of common sense and necessary policy goals that we need to reign in ice and end the violence."
Chuck Schumer
"The best thing we can do for people who are feeling that squeeze is to keep inflation under control."
Jerome Powell
"Every advanced economy democracy in the world has come around to this common practice. And that is to not have direct elected official control over the setting of monetary policy."
Jerome Powell
"I think it's absolutely disgusting. I mean, he's five years old and they took him from his home in Minneapolis."
Gabrielle Felix, protester
Full Transcript
Senator Chuck Schumer threatens a partial government shutdown. Senate Democrats are united. We need to reign in ICE and end the violence. The Block Home Land Security funding until there are limits on immigration agents. I'm Stephen Skieb with Leyla Fawl and this is up first from NPR News. A protest outside an ICE, family detention center in South Texas, turned chaotic after police and riot gear appeared. Demonstrators demand the release of five-year-old Liam Ramos, who is detained with his father hundreds of miles away in Minnesota. And despite pressure from President Trump, the Federal Reserve is holding interest rates steady as prices keep climbing and more people see layoffs. The best thing we can do for people who are feeling that squeeze is to keep inflation under control. Stay with us. We'll give you the news you need to start your day. This message comes from Wise, the app for international people using money around the globe. You can send, spend, and receive an up to 40 currencies with only a few simple tabs. Be smart, get Wise. Download the Wise app today or visit Wise.com. TZNC's Apply. Support for NPR comes from NPR member stations and Eric and Wendy Schmid through the Schmid Family Foundation. Working toward a healthy, resilient, secure world for all. On the web at theSchmid.org. Senate Democrats say they're going to block a government funding package that includes money for the Department of Homeland Security until there are reforms to how immigration agents are working in this country. Senate Minority Leader Chuck Schumer spoke with reporters in the Capitol yesterday. Senate Democrats are united on a set of common sense and necessary policy goals that we need to reign in ice and end the violence. Either lawmakers make some agreement or there will be another partial government shutdown at the end of the day on Friday. NPR Congressional correspondent Claudia Grisadas has been following this and joins us now. Good morning Claudia. Good morning, Lila. Okay, so this same package passed with significant bipartisan support last week in the House, but then we saw the killing of Alex Prety over the weekend in Minneapolis by federal agents. So how did that change what we expect to happen in the Senate? Well, in some ways it changed everything. The Senate is supposed to vote today to advance this $1.3 trillion package. It's a six-bill package and one of those funds, DHS, well the other five addresses other parts of the government. And yesterday we heard Democrats detail this list of reforms they want to see input implemented before they support the DHS funding after federal immigration officer shot and killed Alex Prety in Minneapolis over the weekend. So what are they asking for? They want to pass those five other spending bills in the package and leave DHS out while they were negotiate those terms. Schumer told reporters he also wants new rules set around warrants. He wants Titan cooperation with local law enforcement, create a new uniform code of conduct as well as use of force rules. They want more accountability and transparency, including taking off the masks and putting body cameras on. But it's unclear if the Senate can reach a deal on this in time. Otherwise, we could see other parts of the government in addition to DHS like the Defense Department Health and Human Services lose funding starting this weekend. And it takes months to negotiate these bipartisan funding packages. So is it even possible for them to pass those kinds of changes at this point? Well, it is a tall order to send it with need consent from all of its members to split up these bills. Perhaps setting up a series of new votes, renegotiated DHS bill in time to try and pass it. And how have Republicans responded? Well, Thune and other leaders maintain they can't split this package up. They know it would be a hard pass in the house here's to think it's a really important if possible to do it here not to have to send it back to the House of Representatives where the future of an appropriations package I think would be somewhat uncertain. But we should note we heard some mixed signals last night. Some rank and file Republican senators said there are on board. I heard one say at least a bunch of his colleagues would agree to the move. So it's an indicator of how at least some Republicans see this as a high political stakes moment to respond to pretty staff. Are there any other ways they could come to a solution without the risk of this partial shutdown? Well, Thune is one key Republican saying yes, he says Democrats seem to work this out directly with the White House. Some suggest that could come in the form of executive orders. So we're watching ongoing conversations between Schumer, other Democrats in the White House for any clues of a different off-ramp. But we should note many Democrats don't trust something that does not become law that sets up the stalemate with no clear solution at the moment. That's NPR's Claudia Kressalis. Thank you so much. Thank you. Police with riot gear confronted nearly 200 protesters on Wednesday in South Texas. They were outside an ice family detention center. The protesters want to release a five-year-old Liam Ramos and his father. They were detained in Minnesota last week and taken there. Yeah, Ramos is the little boy in that now iconic image wearing a bunny ear hat and being let off by immigration agents. Now Joey Palacios with Texas Public Radio was they are covering that protest and joins us now. Hey, Joey, what happened? Hey, good morning. So this was at the South Texas Family Residential Center in Dilly, Texas. That's about 70 miles southwest of San Antonio. And as the name says, it's for detained immigrant families. Now this protest that happened, it was peaceful. There was chanting. There were people holding signs that said abolish ice or bring Liam home. And here there were people of all ages. It started at a city park and they marched to the front gate of the center that was about two miles away. There they were met by a handful of state troopers. And behind those state troopers about 60 feet away were about a dozen masked ice agents. Gabrielle Felix was one of the protesters who came because of Liam Ramos. I think it's absolutely disgusting. I mean, he's five years old and they took him from his home in Minneapolis. I pretty much brought him down here. So and then all of a sudden as these folks were at the gate of the center, a school bus drove up and it was full of state troopers in riot gear. They formed a line and then began moving towards protesters and there was some pushing back and forth. And then there was like this pop pop pop and they started to use pepper balls to disperse the crowd. There were more. There was another loud pop and a lot of white smoke. And it started to hit me and our producer Sam as well as the protesters and other media there. And it was hard to breathe. We couldn't see. I mean, Laila was like breathing hot sauce. It was not pleasant. And in the end, Texas DPS said that two people were arrested for resisting arrests and interfering with public duties. Now Congressman Joaquin Castro from San Antonio toured the facility yesterday and met with Liam Ramos and his father. What did he say about what he saw? Right. So Castro visited the detention center earlier in the day with Congressman Jasmine Crockett and they met with Liam Ramos and his father for about 30 minutes. And Castro said the boy appeared physically and emotionally affected by his detention. He was lying in his father's arms. His father said that Liam has been very depressed since he's been a dilly that he hasn't been eating well. His father said that Liam has been sleeping a lot that he's been asking about his family, his mom, and his classmates and saying that he wants to go be back in school with his classmates. Castro said the family entered the U.S. legally and are waiting for their asylum case. And earlier this week on Monday, Liam Ramos's mother in Minnesota said that her son is getting sick from the quality of food in the facility. Now this facility also had a protest inside by detainees last week. What happened there? That's right. So this one started after guards ordered an immigration attorney to leave while detainees. Many of them children poured into open areas of the center and chanted Libertad or freedom. Now this is according to that attorney who captured it on his phone. Later, there was drone footage by the associate oppress that showed large crowds in the outside portions of the facility. Now attorney Eric Lee said his clients that he later spoke with told him the detainee protests also was triggered by concerns over the treatment of Liam Ramos and the overall conditions at the facility for the other children. So Joey, what are ice officials saying about this case? So ice didn't respond to our request for comment, but the Department of Homeland Security has said that the child was taken into custody after his father fled and encountered with agents. DHS says agents followed federal law and standard enforcement procedures in the case, but we should note that bystanders and school board officials who witness the incident have contradicted DHS's version of events. Now a federal judge in San Antonio ruled this week that Liam Ramos and his father cannot be removed or transferred from the facility while the court case further released continues. It also pauses any attempt to deport them. Joey Palacios with Texas Public Radio. Thank you for your reporting. Thanks, Lila. The cost of borrowing money is holding steady for now. Policy makers at the federal reserve voted to leave interest rates unchanged this week. The Fed is trying to strike a balance between keeping interest rates high enough to fight inflation, but not so high as to cause a spike in unemployment. And PR Scott Horsley joins us now. Hey, Scott. Good morning. Good morning. So worries about the job market caused the Fed to lower interest rates the last three times the board met. Have those worries gone away? Not entirely. We're still seeing pretty weak hiring in the job market just this week. Amazon and UPS announced big layoffs. That said, unemployment is still relatively low, just 4.4% in December. And the Fed says there are some signs that the unemployment rate is stabilizing. So for the moment, the central bank is putting its focus on inflation and prices that are still going up faster than Fed Chairman Jerome Powell and his colleagues would like. We do hear a lot about affordability and we take that very seriously and we take it to heart. The best thing we can do for people who are feeling that squeeze is to keep inflation under control. And frankly, to finish the job of getting inflation back down to 2% inflation is more like 3% in December according to the Fed's preferred yardstick. And Powell says a big reason for that overshoot is President Trump's tariffs. Now, US importers have absorbed some of the tariff costs so far. They have it all found their way into consumer prices. Powell, thanks. We are going to see some more tariff related price hikes in the coming months. But after that inflation might settle down unless we get a whole bunch of new tariffs. Now, President Trump has been leaning hard on the Fed to make deeper cuts in interest rates. What effect does that have? Not a whole lot. At least yet, Trump has tried to fire a member of the Fed's governing board. He's threatened to fire Powell himself. The Justice Department even lost an investigation of the Fed over the cost of a building project here in Washington. Although Powell says that was really just a pretext and another way to put pressure on the central bank. By design, the Fed is supposed to be insulated from that kind of political influence. Powell says history shows central banks do a better job of fighting inflation when they're not under the thumb of elected leaders. Every advanced economy democracy in the world has come around to this common practice. And that is to not have direct elected official control over the setting of monetary policy. That's because politicians will almost always favor lower interest rates to juice the economy before the next election, even if higher rates might be better for the long term healthy economy. Now, Powell's days as Fed Chairman are number. Do we know yet who's going to take his place? Not yet. The President is expected to nominate a new Fed Chairman pretty soon. Powell's term is up in May. So he's got two more rate setting meetings before he gives up his leadership post. Trump clearly wants a replacement who will push for lower interest rates. And whoever the President chooses is going to face questions about whether they can act independently or if they're simply going to do Trump's bidding. One thing to keep in mind though, the Fed chair is just one vote among 12 people on the rate setting committee. And that person may have limited sway over his colleagues. You know, Trump named a White House economist Stephen Myron to the Fed board last fall. Myron voted at three straight meetings for a super sized half-point rate cut, but none of his colleagues went along. And PR's Scott Horsley, thank you, Scott. You're welcome. And that's up first for Thursday, January 29th. I'm Laila Faldon. And I'm Steve Inskeep. Up first gives you the three big stories of the day. Consider this from NPR News. Dives into a single news story and what it means to you. Learn about a big story of the day. And it's also brief, less than 15 minutes like this podcast, podcasts that respect your time. You actually get to the end. Listen on the NPR app or wherever you get your podcasts. Today's episode of Up First was edited by Kelsey Snell, Susanna Capeludo, Raphael Nam, Bahamut Abra DC, and Alice Wolfley. It was produced by Zadbutch, Nia Duvass, Eva Pukutch, and Christopher Thomas. We get engineering support from Nisha Heinis. Our technical director is Carly Strange. Our deputy executive producer is Kelly Dickens. Join us again tomorrow.