The White House began to roll out its fiscal-year 2018 budget on Monday, setting the stage for a battle over a proposed increased defense spending at the expense of massive cuts to domestic programs.
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Trump's budget calls for staggering cuts to Medicaid, food stamps, and many other domestic programs
A budget is needed by the end of September to prevent a government shutdown.
Donald Trump.
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While the full budget is expected to be released and distributed to Capitol Hill lawmakers on Tuesday, the Office of Management and Budget's director, Mick Mulvaney, highlighted some of the details during a call with reporters on Monday.
The budget, officially dubbed "A New Foundation for American Greatness," includes massive cuts over the next 10 years to social safety-net programs like Medicaid, food stamps, and the Children's Health Insurance Program while increasing the budget for the Department of Homeland Security and the Department of Defense. According to Bloomberg's Justin Sink and Erik Wasson, the budget would cut domestic agencies' budgets by 40% in 2027.
The plan is expected to receive pushback not only from incensed Democrats but most likely from many Republicans. Cuts to farm subsidies and student-loan programs will also face pushback from strong interest groups.
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While the bipartisan resistance to the budgetary ideas will be huge, the White House's attempt does represent the first bid in a long process to funding the government.
Here's a breakdown of some of the key points from Mulvaney's briefing on Monday:
- An assumption of 3% economic growth:
- Massive cuts to Medicaid:
- Large cuts to foods stamps, officially known as the Supplemental Nutrition Assistance Program:
- Changes to federal student-loan repayment:
- Cuts to federal employee retirement programs and disability benefits:
- $1.6 billion for border-wall funding:
- Increased funding for childcare credits and family leave:
The budget does not include any cuts on the topline to Social Security or Medicare. Trump promised during the campaign not to tough those two entitlement programs and Medicaid, but he has reversed course on the low-income health-coverage program.
Mulvaney will testify on Capitol Hill in the House on Wednesday and speak to the Senate on Thursday.
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