We all knew there would be resistance when President Trump started his stint in the Oval Office. The biggest problem is, who would suffer from all these proposals? Trump’s budget cuts have everyone worried, as they should be My guess is correct the middle and lower class on down are affected. It looks to me and the rest of the nation, that the United States will bleed internally from all these budget cuts. How right I am on both points.
Replacing Obamacare. With the deadline for a program to replace Obanacare looming, the ‘bones’ some people were discussing still left people uninsured. Planned Parenthood had cuts made to it and the law for all to be covered or face a penalty is removed. The largest funding source is a tax on the most expensive employer-provided health insurance plans. What isn’t included is a guarantee that people with pre-existing conditions are able to obtain coverage. Members of the House, however, introduced a bill last week to preserve the pre-existing condition ban, signaling that it would have to be passed separately.
Of course, thiis bill takes apart some of the ACA major parts such as the widening of Medicaid coverage and incentives to purchase health insurance. With Obamacare’s final passing a few years ago, expanding Medicare coverage wasn’t in the bill at all. Will this progam replacement close down all the urgent care centers that allowed walk-ins that opened in October last year? This blogger feels for those that use this program. More services keep being slashed then added. As of March 9, if they didn’t close down, the lot of them will take private insurance. It was best to check beforehand.
Of course, with the increase in defense spending, $603 billion, one of the largest since the Reagan administration, which of the federal government programs were to be slashed? President Trump wants to do an across the board cut of that Federal program that is not needed or repetitive. .This is only part of the plan. In order to free up money for defense spending, more than $54 billion has to be cut. The United States planned to also scale back the amounts given to other countries. This is wise to me. As a young adult, military base closures were necessary and way overdue. Thankfully, the local base was converted into a training base for NATO pilots.
According to an article written by The Hufington Post, more than 24 billion people were to lose health care insurance if the bill Paul Ryan co-wrote passes the House and Senate. The bad news is, it already went through two house committees. While this bill would decrease the deficit by $337 billion by 2025, a lot of people won’t have health care coverage. This blogger is bothered by it because some of my friends depend on Obamacare as it is now to survive.
The biggest problem conservatives are faced with is that there is too much government help given to middle and low income households. Remember, the Republican Party wants less government not more. For as long a this writer can remember, the Middle Class has carried the weight of the expenses from the top on down since well before the Reagan Era. Reaganomics used the “trickle down” method, by the time the drip reached the middle and lower classes, the drip dried up. The uninsured had previous conditions if an amendment weren’t passed to allow them coverage under the American Health Care Plan
Under this new AHC system, it would cut the penalties of everyone not having insurance. It would slow down Medicaid expansion by 2020. Also, it would eliminate income based tax credit for private insurance. The biggest overhaul was to the Federal-State Medicaid program. Instead of an undefined amount that the state would cover, every person got a flat allotment, which grew slowly as expenses rose. The bad part of this is that it cut what Medicaid providers were reimbursed for or cut it out entirely.
These credits would be replaced by age-based tax credits that would provide less help to lower-income families and more to people with higher incomes. Medicaid enrollment would shrink by 17 percent, or 14 million people, by 2026 compared to what it would be under current law.
All these cuts to Medicaid and the repeal of Obamacare were to cut taxes by roughly $600 billion over ten years. The cuts to Medicaid were $880 billion. The redo would be 46% of what Obamacare did during the same period.
There is a big wrinkle in this plan, though. Not everyone would be insured. Older Americans would suffer because they either lack coverage. In some cases, the amounts they got charged would be higher after AHC than they are now.
Squeezing HUD According to one article, the $6 billion budget cuts would make housing shortages worse and slow down economic gain in well known markets. Locally, some areas of town are forbidden
to me because of a bad reputation with the law, or excessive crime. In addition, after 15 years at the same complex, the rent is too high to remain.Without a job, getting evicted was a disgrace. After being burgled four times in the last four to five months, I don’t feel safe here. These housing shortages made it harder for me to find adequate safe housing.
“HUD administers programs that support the provision of affordable housing choice, facilitates growth of jobs and public services and encourages redevelopment in communities where they’re needed most,” Trulia Chief Economist Ralph McLaughlin said.
The forecast for Fannie May and Freddie Mac is $13 billion less for the period between 2017-26 then their estimates in August 2016. McLaughlin wanted to use the $6 billion to boost the market. He hoped it would rebound with these funds by repairing itself. This would be accomplished by building new homes. Right now, construction is at its highest at 62%. It could also be spent delaying the approval of some of the new homes, preventing a glut in the market. His biggest fear about this large budget cuts would burden economic growth.