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Trump Cuts Spending on Medicare/Medicaid and Safety Net

Published on February 15th, 2020

The Trump administration wants to slash billions of dollars in federal support from Medicare, Medicaid, food stamps and other safety net programs for the poor.  Trump, who had repeatedly promised to protect Social Security and Medicare, told CNBC that entitlement cuts will be on his plate at some point. Of course, Trump is a pathological liar so his promise was always incredible. The $4.8 trillion federal budget proposal for 2021 will balloon the deficit which has grown exponentially under Trump.  Here’s what he is proposing:

Medicare changes

The budget calls for reimbursement changes to the Medicare program which affect doctors and hospitals. The decrease in federal spending on Medicare would total about $750 billion over 10 years.  Much of that cut comes from reducing payments to providers.
Medicaid and other assistance
Trump is proposing big cuts in Medicaid, health care and other assistance programs which help the poor, disabled, and elderly. The budget calls for $844 billion in cuts over 10 years. Under the Affordable Care Act, states have the option of expanding Medicaid coverage to low-income adults, with the federal government picking up 90% of the tab. That’s more than states receive to cover traditional Medicaid enrollees, who are largely children, senior citizens, the disabled and certain low-income adults.  In total, the budget calls for $1 trillion in cuts to Medicaid and the Affordable Care Act over a decade causing millions to lose health care access.

Other safety net programs

Trump’s budget also cuts many bipartisan safety net programs.
The Supplemental Nutrition Assistance Program, or SNAP will be reduced about 28% compared with the current funding projections estimated by the Congressional Budget Office. More than 36 million Americans needed food stamps as of October, according to federal data.

Disability programs

Trump wants to require disabled people to work to get any benefits including reducing retroactive benefits to six months instead of a year.
The budget notes that the participation rate for working age Americans with disabilities is less than half that of their peers who don’t have disabilities.
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