The US President Donald Trump will urge the US Congress to drastically reduce the funding of a number of federal programs, as it intends to increase defense spending, begin construction of a wall on the border with Mexico and spend more money on the deportation of illegal immigrants.
The main targets for reducing costs are the Environmental Protection Agency (EPA) and the State Department. Funding can be completely deprived of 19 independent bodies that operate in a wide variety of fields, from television broadcasting, art to regional issues from Alaska to Appalachia.
White House requested to cut the budget spending
The White House filed an official request to cut budget spending by $ 274 billion over 10 years. Reducing the spending will affect time-tested programs to combat poverty, including the provision of food stamps, reported Bloomberg to the assistant to the Republican congressman.
In addition, budgets for students' subsidies ($ 76 billion) and farmers ($ 38 billion), as well as benefits for civil servants ($149 billion) will be reduced.
Trump's actions
At the same time, Trump plans to significantly increase defense and security spending: the budget of the Ministry of Internal Security is proposed to be replenished by $3 billion (and to bring it up to $44.1 billion), the budget of the Defense Ministry - by $6 billion (up to $574.5 billion).
In the opinion of the presidential administration, "the new budget aims to save people from dependence on financial assistance by reforming the entire social security system and providing people with decent working conditions." In addition, Trump's proposal will require a $800 billion reduction in the Medicaid budget, a health program for the poor, according to the Washington Post.
Trump also proposes to reduce the $193 billion program of the Supplemental Nutrition Assistance Program, more commonly known as food stamps, over the next decade.
Medical care budget
According to the Budget Committee of the Congress, because of such a reduction in access to medical care, more than 10 million people (about half of them are children and adolescents) can lose.
Because of the reduction in Medicaid, the provision of inclusive education for children with physical and mental disabilities may suffer: families of such children will be helped to pay the costs of transportation and the social worker who accompanies the child to his school.
Food stamps
In 2016, food stamps were received by more than 44 million people, almost 14% of the locals in the United States. The reduction, which is approximately 25%, will be achieved partly due to the restriction of the right to receive food stamps and the requirement that the beneficiaries of the program have a job.
Income tax benefits
Due to strict requirements for the right of recipients to work in the United States, it was proposed to reduce the programs of income tax benefits (for workers with low wages) and tax deductions for the child - by an additional amount of $40 billion.
Also, traditional social security payments will be cut by $21 billion, known as "Temporary Assistance for Needy Families".
The critics of the budget program note that the work requirements may not take into account the age, physical or cognitive abilities of a person, or restrictions established by local legislation. In addition, the assistance from these programs is often small and cannot replace income for almost any job.
Lawyers also suggested that the introduction of such requirements will pave the way for new, more stringent, for example, a mandatory test for drug use, which was previously recognized as illegitimate for determining the concept of "needy."
Trump refused to help poor
Despite the fact that all budget proposals of the president are essentially political documents, Congress traditionally rejects them practically without consideration, it is important how quickly Trump refused almost the main position of his election program which is to support the working poor.
And he cleared that it was not an accident.
Mulvaney commented on budget
Mick Mulvaney, the head of the Administrative and Budgetary Administration, appointed by Trump, said that the president intended to "protect taxpayers". "Taking money without the intention to return them is not lugging, but stealing. Our budget makes it clear that we no longer intend to tolerate thieves," Mulvaney said.
Mulvaney does not mention that the overwhelming majority of recipients of social programs (more than 70%) are accounted for the families of working poor people, and not by "criminals and parasites", as the Republicans usually call such citizens.
In general, more than 20% of Americans monthly receive financial support from the state in one form or another.
Given the president's desire to reduce the maximum individual income tax rate from 39.6% to 33-35% and corporate income tax rate from 35% to 15%, the forthcoming budget request for the 2018 financial year has sparked a flurry of criticism from the Democrats.
"These budget proposals continue to demonstrate the true face of Trump the President, the populist rhetoric of his campaign was just a Trojan horse for the introduction of a long-held, ultra-right policy that benefits the rich at the expense of the middle class," said Senate Chuk Schumer, the leader of the Senate.
CNBC reported
As CNBC notes, ultimately it was the promise to maintain and support the Medicare and Medicaid programs, that made Trump the first Republican since 1988, who won the majority in Pennsylvania and Michigan and has been the first since 1984 in Wisconsin.
The main budget will destroy rural America
Democratic Senator Claire McCuskill said that the new budget will "destroy rural America" and hit the main Trump electorate.
"Trump proposes to lower taxes for corporations and rich people but reduces the cost of social support.
Obviously, this budget will be "Robin Hood on the contrary" on an unprecedented scale, "said Robert Greenstein, the head of the Center for Priority Research on Budget and Policy.
However, among the opponents of such radical proposals of the President, there are not only democrats. Last week, the leader of the Republican majority in the Senate, Mitch McConnell, said that Congress would ultimately prepare its own draft budget, and reaffirmed its opposition to a significant reduction in the State Department's medical programs and budget.
"I do not think that Republicans in Congress will feel a strong desire to support the president. They are not afraid of him. He will have to look for support within the party again if he wants to achieve everything he has planned, "explained the former congressman Ron Haskins, a senior fellow at the Brookings Institution.
In addition to politicians and beneficiaries, anxiety is expressed by insurance companies: if the state refuses support of the poor, insurers may lose trillions of dollars - there will simply be no one to pay them.
During the election campaign, Trump promised not to cut spending on social security - and had already broken those promises by supporting the budget cuts under the Obamacare repeal law of May 4.
However, everything can change, and pretty soon: in particular, some economists have already stated that there is a financial inconsistency in the existing budget plan, which deprives the Trump administration of more than $2 trillion. However, the presidential administration says that all calculations are correct and tax revenues in the economy will increase - despite the reduction in rates.