Trump's first budget calls for deep cuts to Medicaid

Trump's budget proposal slashes spending by $3.6 trillion over 10 years

Trump's budget proposal slashes spending by $3.6 trillion over 10 years

President Donald Trump is proposing a $4.1 trillion federal budget that slashes safety net programs for the poor, targeting food stamps and Medicaid. And it would not only bar the organization from Medicaid funding, but from any other Health and Human Services program, including the Title X family planning program, maternal and child health, STD testing and treatment, and Zika prevention.

At the same time, the blueprint boosts spending on the military by tens of billions and calls for $1.6 billion for a border wall with Mexico that Trump repeatedly promised voters the US neighbour would finance.

Congress has the power of the purse and could essentially ignore the more detailed budget request.

If passed, the steep funding cuts in the plan released on Tuesday would mean much less non-military US government engagement overseas as the administration implements Trump's "America First" worldview. And the proposed cuts dreamed up by Mulvaney indicate his desire-one likely shared by many-to mangle the social benefit programs crucial to so many.

"There is two sides to fighting the problem that we're in: There is military and then there's diplomatic", he said. "If you are on food stamps and you are able-bodied, we need you to go to work".

Todd Harrison, a defence budget analyst with the Centre for Strategic and Budgetary Assessments, said the switch from grants to loans for military aid may mean that countries will not be able to afford U.S. military equipment, forcing them to go elsewhere for supplies. "We need everybody pulling in the same direction".

Democratic leader Chuck Schumer addressed the issue. Special exemptions would be made for Israel and Egypt.

The politically perilous cuts to Medicaid, college loans, food stamps and federal employee pension benefits guarantee Trump's budget won't go far in Congress. Scientists, the professional organizations that support them, and science advocacy groups will be working hard to make their voices heard during the budget process in an effort to preserve science funding. The White House has given out only a one-page outline of its tax plan. Numerous departments would see steep cuts including the State Department and the Environmental Protection Agency.

The proposed 2018 budget immediately came under attack by Democrats, and even some GOP allies deemed it a non-starter.

Other key aspects of the budgets expected to be released Tuesday include details on a $250 million program to study and expand school vouchers and a 50 percent increase in the federal government's block grant program for charter schools.

It largely leaves programs like Social Security and Medicare alone. "What he's trying to do is work with Congress, where a lot of these ideas started, and put something together".

"That's why I'm here", she said. "Where's the outreach to them?" he asked.

Unless Trump is able to rally broader support and win more funding for construction in another fiscal year, his plans for a "big handsome wall" that he promised during his election campaign last year may not be realized, the aides said.

Our nation must get our fiscal house in order now, or else we may never have another opportunity, and President Trump has provided a pathway to bring our nation back from the brink of insolvency. "It means more money for veterans, more money for school choice". "This week he's more ideological, next week he could be less ideological". The budget says the US government will collect $328 billion in estate and gift taxes over the next decade, but it also says Trump will eliminate the estate tax.

The Department of Defense counts among the few clear beneficiaries in Trump's budget, garnering an additional $54 billion in 2018.

Budget experts, Democrats and Republicans challenged the economic assumptions of the White House and Budget Director Mick Mulvaney.

The U.S. Strategic Petroleum Reserve, the world's largest, holds about 688 million barrels of crude oil in heavily guarded underground caverns in Louisiana and Texas.

The White House also proposed radically slashing farm supports by US$38 billion over 10 years, including new limits on premiums for crop insurance and caps for commodity payments.

The document, grandly titled "A New Foundation for American Greatness", encapsulates much of the "America First" message that powered Trump's campaign.

Mulvaney stressed that he believes in the safety net, saying it helps boost the economy because it gives people "the confidence of knowing they can take a gamble and fail and they won't be completely wiped out". "We are no longer going to measure compassion by the number of programs or the number of people on those programs", he said. According to Mulvaney, this will inspire more people to get off disability and back to work.

But Jared Bernstein, who served as a top economic adviser to former vice president Joe Biden, called the scale of Trump's cuts "otherworldly".

Nonetheless, some Senate Republicans, especially those in more moderate swing states, oppose such drastic cuts in healthcare and welfare benefits for such a significant part of the population.

Fiscal watchdogs say while the goal of a balanced budget might be commendable, they're doubtful that it's realistic.

The administration wants to chop close to a billion dollars out of the FDA's budget and pay for that by getting biopharma and device companies to cover more of the cost of product reviews through higher user fees. The administration says those credits should be given only to families who are in the country legally, even if the children - but not the parents - are American citizens.

The plan eyes cuts for Social Security Disability Insurance, but Mr Mulvaney argued that was not a core "mainline" part of the retirement savings programme. The budget proposal said the North Atlantic Treaty Organisation military alliance "would continue to be fully funded".

The budget also makes use of several other classic accounting gimmicks.

If some form of a "Trump budget" comes to the floor in either chamber, the gimmicky nature of the exercise, and its lack of consequences, will provide an invitation for droves of lawmakers to simply vote "no". "How this plays out will depend on how he handles it".

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