HARMS OF THE TRUMP / REPUBLICAN BUDGET

The Trump / Republican budget just enacted will increase the federal debt, make college less affordable, harm our (and particularly women’s) health as well as our health care system, and hurt states’ finances. Please contact your members of Congress and tell them you oppose these budget cuts. Ask them to explain to their constituents the toll the budget will take on every day Americans and on our society.

(Note: If you find a post too long to read, please just skim the bolded portions. Thanks for reading my blog!)

The Trump / Republican budget just enacted will increase the federal debt, make college less affordable, harm our (and particularly women’s) health as well as our health care system overall, and hurt states’ finances (among other things). My previous post documented harm to seniors because of cuts to Medicaid, cuts to Medicare, and the weakening of Social Security. I also noted the harm to millions of non-seniors due to the cuts to Medicaid and food assistance.

The Congressional Budget Office (CBO) has just issued its final report on the budget: it will increase the deficit by $3.4 trillion over ten years and result in 10 million Americans losing health coverage from Medicaid (among other things). Low-income children and families will be among the groups hit hardest with about 37 million children losing their healthcare coverage from Medicaid or the Children’s Health Insurance Program (CHIP). The money from the huge increase in the deficit and the harmful cuts in vital programs helps pay for tax breaks for millionaires and large corporations, as well as grotesque increases in the budgets for Immigration and Customs Enforcement (ICE) and the military. [1]

THE FEDERAL GOVERNMENT’S TOTAL DEBT CEILING RAISED: While most people know that the Trump / Republican budget bill increased the annual budget deficits, few are aware that the bill also included a big, $5 trillion increase the federal government’s overall amount of allowable, accumulated debt, i.e., the debt ceiling. You may remember that Republicans threatened to shut down the federal government – and sometimes did – and created crises over the increasing of the debt ceiling when Democrats were president. Despite Republicans supposed concern about the amount of the federal debt, they were happy to increase the debt limit 27 times when Republicans Reagan and George H. W. Bush were president. But when Democrat Clinton was president, the Republicans shut down the federal government twice over increases in the federal debt, although ultimately the debt ceiling was increased eight times during the Clinton presidency. Under Republican president George W. Bush, the debt ceiling was increased eight times without Republican opposition. Under Democrat Obama, the debt ceiling was increased or suspended five times with Republicans threatening government shutdowns and creating crises over their supposed concern over the debt.

These Republican-created debt ceiling crises resulted in dramatic stock market declines and the downgrading of the federal government’s credit rating by Standard & Poor’s for the first time ever. In Republican Trump’s first term the debt ceiling was suspended three times with no Republican objections. Under Democratic President Biden, the Republicans returned to their hypocritical objection to increasing the debt ceiling and created another crisis. They also threatened, for the first time in history, to use the filibuster in the Senate to block an increase in the debt ceiling. So, the Republicans’ big increase in the debt ceiling and the annual federal budget deficit in the recent budget bill dramatically underscore the hypocrisy of their claims to be concerned about the federal budget deficit and the debt ceiling.

MAKING COLLEGE LESS AFFORDABLE: The Trump / Republican budget bill reduces and caps the total amount that students and parents can borrow to pay for college from federal sources. It raises interest costs and shuts down or weakens programs that allow loan forgiveness for low-income graduates and those in public service jobs. For new student loans, there are only two repayment plans, both of which are far more expensive than the current options. These changes will cost student borrowers about $355 billion over ten years most of it from repealing reduced loan payments for graduates in low-paying jobs. These budget savings come directly out of the pockets of student borrowers to help pay for tax cuts for the wealthy and increased funding for ICE and the military. [2]

MAKING HEALTH CARE FOR WOMEN LESS ACCESSIBLE: The Trump / Republican budget bill prohibits Medicaid funding from going to any organization that is primarily engaged in family planning services and got more than $800,000 from Medicaid in 2023. Note that federal law already prohibits federal funding from paying for almost all abortions.

The budget bill targets Planned Parenthood because of its abortion services, but it will also dramatically affect many other women’s health care services and many other providers of health care for women. While Planned Parenthood performs about 400,000 abortions a year, it also provides over 5 million tests and treatments for sexually transmitted infections, over 2 million family planning and contraception services, and over 400,000 cancer screenings and prevention services. The loss of Medicaid coverage for these services will harm many low-income women.

An example of the impact on non-Planned Parenthood providers is Maine Family Planning. It will lose about $2 million in Medicaid reimbursements (one-fourth of its total budget) for its non-abortion services to roughly 3,500 patients in rural Maine, such as cancer screenings, pregnancy testing, treatment for sexually transmitted infections, and family planning counseling and contraception services. It operates 18 clinics and for about two-thirds of its patients it is their only health care provider. [3]

HARMS TO THE HEALTH CARE SYSTEM AND STATES’ FINANCES: The Trump / Republican budget bill will harm the overall health care system by reducing the revenue it receives from Medicaid and Medicare by hundreds of millions of dollars. States simply do not have the resources to fill this gap. Higher insurance premiums and higher co-payments for services from patients will occur. States’ finances will be harmed as at least some states will use their funds to make up for some of the lost federal funding that supports low-income individuals and families. It is estimated that 51,000 preventable deaths will occur each year because of the cuts to the health care system. [4]

For example, in Massachusetts, it’s estimated that the federal budget cuts will reduce payments to MA health care providers by as much as $3.5 billion per year. About 326,000 MA residents (almost 5% of the population or 1 of every 20 people) are projected to lose their health insurance due to the budget cuts. Hospitals are projected to lose $424 million in revenue. As a result, some hospitals will close and some will stop providing services that are less profitable, such as psychiatric and obstetrical care. Emergency rooms may close. Massachusetts (and other states) will be forced to step in and subsidize critically important services, especially in rural areas. Hundreds of rural hospitals across the country are likely to close as they are more dependent on Medicaid revenue than urban / suburban hospitals. [5]

The budget’s new Medicaid work requirements will mean that millions of Medicaid recipients will lose coverage even though they are working or qualify for an exemption from the work requirements because of a disability, for example. They will lose their coverage because they are unable to assemble the necessary paperwork and to jump through all the hoops of presenting it quickly enough to avoid being cut off. By the way, the budget bill also requires them to do this twice a year rather than once a year as is currently required.

Please contact your members of Congress and tell them you oppose these budget cuts. Urge them to speak out against the Trump / Republican budget and to explain to their constituents the toll the budget will take on them and our society.

You can find contact information for your US Representative at  http://www.house.gov/representatives/find/ and for your US Senators at http://www.senate.gov/general/contact_information/senators_cfm.cfm.

[1]      Hubbell, R., 7/23/25, “Resisting while in political exile,” Today’s Edition Newsletter (https://roberthubbell.substack.com/p/resisting-while-in-political-exile)

[2]      Kuttner, R., 7/16/25, “Gutting the student loan program,” The American Prospect (https://prospect.org/blogs-and-newsletters/tap/2025-07-16-gutting-student-loan-program/)

[3]      Whittle, P., & Mulvihill, G., 7/17/25, “Trump’s new bill affects more than Planned Parenthood,” The Boston Globe from the Associated Press

[4]      Anderson, S. & Koshgarian, L., 7/9/25, “10 ways the GOP’s big ugly bill could hurt you,” Common Dreams (https://www.commondreams.org/opinion/10-harms-big-ugly-bill)

[5]      Globe Editorial, 7/17/25, “One big disaster for Massachusetts health care,” The Boston Globe