Poor and disabled big losers in Trump budget; military wins - Insurance News | InsuranceNewsNet

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May 24, 2017 Newswires
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Poor and disabled big losers in Trump budget; military wins

Associated Press

WASHINGTON (AP) — The poor and the disabled are big losers in President Donald Trump's $4.1 trillion budget proposal while the Pentagon is a big winner.

Trump's plan for the budget year beginning Oct. 1 makes deep cuts in safety net programs, including Medicaid and the Children's Health Insurance Program. The proposal also includes big cuts in Social Security's disability program.

Defense spending and border security would get significant boosts.

The winners and losers:

WINNERS

—The military: Trump's budget proposal would add $469 billion to defense spending over the next decade.

—Border security: The proposal includes $2.6 billion for border security technology, including money to design and build a wall along the southern border. Trump repeatedly promised voters during the campaign that Mexico would pay for the wall, a notion that Mexican officials rejected. Instead, the U.S. taxpayer will foot the bill.

—The elderly: Trump's budget plan does not address Social Security or Medicare benefits for retirees, even though both programs are on track to become insolvent in the coming decades.

—New parents: The budget plan includes a new paid-leave program for the parents of newborn children. Under the program, mothers and fathers could take up to six weeks of paid leave after the birth or adoption of a child. Trump's budget summary says the program is fully paid for, but includes only $19 billion over the next decade.

—Veterans: The budget proposal calls for an increase for the Veterans Administration, including $29 billion over the next decade for the Choice program. The program allows veterans to seek outside medical care from private doctors.

—Doctors: The budget proposes to cap jury awards in medical malpractice lawsuits.

— Medicare and Medicaid fraud prevention efforts would get a $70 million increase next year.

LOSERS

—The Poor: Trump's budget would slash Medicaid and the Children's Health Insurance Program by $616 billion over the next decade. These programs provide health insurance for millions of poor families.

—The Poor, Part II: Trump's budget would cut the food stamp program by $191 billion over the next decade.

—The Poor, Part III: Trump's budget would cut funding for the Temporary Assistance for Needy Families (TANF) program by $22 billion over the next decade.

—The Disabled: Trump's budget calls for cutting Social Security disability benefits by nearly $70 billion over the next decade by encouraging and, in some cases, requiring people receiving the benefits to re-enter the workforce.

—College Students: Trump's proposal would cut student loans by $143 billion over the next decade.

—Farmers: The budget plan would cut farm subsidies by $38 billion over the next decade.

—Young Workers: By not addressing Social Security or Medicare benefits for retirees, Trump's budget increases the likelihood that young workers will eventually face either significant benefit cuts or big tax increases. Social Security's trust funds are projected to run dry in 2034 and Medicare's is projected to run out of money in 2028. If Congress allows either fund to run dry, millions of Americans living on fixed incomes would face steep cuts in benefits.

—The Great Lakes and the Chesapeake Bay: Trump's budget would eliminate the Great Lakes Restoration Initiative and the Chesapeake Bay Program, saving $427 million next year.

—Planned Parenthood: The budget would prohibit any funding for certain entities that provide abortions, including Planned Parenthood.

—The Centers for Disease Control and Prevention: The agency, which fights everything from AIDS to Zika, would have its budget cut about 18 percent, to $6.3 billion.

— The National Institutes of Health: The budget for the premier medical research agency would be cut by 18 percent, to $26 billion.

—Science: The American Association for the Advancement of Science estimates the budget proposal would cut overall federal spending on scientific research by 16.8 percent.

Associated Press writers Ricardo Alonso-Zaldivar, Hope Yen, Lauran Neergaard and Seth Borenstein contributed to this report.

Follow Stephen Ohlemacher on Twitter at http://twitter.com/stephenatap

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