President Trump Would Cut $31B in Ten Years from NJ – Join us July 26th to Advocate for No Housing Cuts
President Trump would make $4.1 trillion in spending cuts, mainly in housing and social services funding in his proposed budget.
Among the programs affected by the proposed cuts are U.S. Dept. of Housing and Urban Development (HUD) programs, Supplemental Assistance Program (SNAP) (also knows as food stamps, and Medicaid.
Millions of families nationwide rely on these programs as a safety net. The budget plan highlights the President’s commitment to curbing federal spending on entitlements and other social welfare programs. Yet at the same time, giving tax breaks to the wealthiest Americans in an effort to fuel more economic growth.
New Jersey has a high cost of living and a large number of residents who rely on housing and social services. These cuts create a significant challenge. New Jersey added 800,00 residents to the insurance rolls under the Affordable Healthcare Act, mostly through the expansion of Medicaid. The state collected billions in additional federal funding.
Trump’s proposed cuts could result in a $31 billion budget gap in the state over the next ten years, according to an Urban Institute analysis.
New Jersey “stands to lose more than 20 percent of its federal funding under the controversial proposal, more than any other state in the nation, the group found,” reported by NJ Spotlight.
Office of Management and Budget director Mick Mulvaney, tried to spin these cuts as a form of compassion, arguing that people need to look “at the budget through the eyes of the taxpayer” and that they measure compassion “by the number of people we help get off of those [social] programs,” reported Salon.
The reality of these severe cuts to social spending will cause serious damage to the lives of the working class, and the most vulnerable Americans to the economy at large. These programs are essential to New Jersey’s economic foundation. “When you give people money to spend on food or to go out to get health care, then that money is directly being spent on the economy,” explained by Kate Bahn, an economist for the Center for American Progress, as reported by Salon.
Medicaid and SNAP money goes directly back into the economy and into the health care, retail, and agriculture industries sectors. As reported in the Washington Post, Medicaid spending has a powerful economic effect, causing job growth, higher wages and increased tax revenue for states.
Food stamps contribute to the economy, to the tune of $9 in economic growth for every $5 spent on food stamps, according to research done by the U.S. Department of Agriculture, reported by Salon. Even Americans who never receive Medicaid or SNAP benefit from the economic growth.
The effect these programs have in New Jersey are essential to the state’s economy. The state is finally recovering from the recession, after the loss of thousands of jobs, especially in health care. The repeal of Affordable Health Care will have ripple effect making it difficult for New Jerseyans to get accessibility to health care.
Healthcare would become a privilege due to the competing expenses that come from a higher cost of living. The proposed budget would expand inequality and poverty in America, making it significantly worse, while allowing deficits to soar.
There are a number of deep cuts on the table for programs that make up our nation’s safety net for the neediest citizens. In these unsure political times, we would like to encourage you to attend the 2017 Congressional Reception on July 26.
This is an amazing opportunity to tell this new administration “No Housing Cuts”.