The new softer side of Trump now cherishes Medicaid. Is everyone happy?
Trump Will Love and Cherish Medicaid
Everyone on the Left (and some on the Right) will be very pleased to learn Trump Pledges to Love and Cherish Social Security, Medicare and Medicaid.
When asked about potential budget reductions on Friday, Trump said the administration would “love and cherish” Social Security, Medicare and Medicaid, according to Politico. His mention of Medicaid was notable, as he has in the past omitted it when discussing the programs his administration wouldn’t touch.
Shares of Medicaid-focused insurers Molina Healthcare, Elevance Health, and Centene each rose more than 1.5% in response.
Concerns over Medicaid’s future intensified last week when the Trump administration implemented a freeze on grants and federal aid. While the freeze explicitly exempted Medicare and Social Security, it made no mention of Medicaid and some blamed that for a temporary outage to the program.
But Trump’s remarks on Friday suggest a potential buffer for Medicaid.
“We’re not going to do anything with that unless we can find some abuse or waste,” Trump said. “The people won’t be affected. It will only be more effective and better.”
The key phrase above is abuse and waste. Please kill it.
GOP Fight to Keep the Medicaid Funded
Many Republicans want to keep the Medicaid humming.
Yesterday, CNN reported GOP Fight Over Medicaid Cuts Stalls Trump Agenda in the House as Senate Forges Ahead.
As GOP hardliners spent the weekend pushing party leaders to cut deeper into Medicaid in an effort to advance Donald Trump’s tax and border agenda, swing-district Republicans have been warning the president directly that it would cost him control of the House.
“There are people who want to cut to the bone,” said one GOP lawmaker who has recently spoken to Trump to urge him not to accept major cuts to Medicaid and other benefit programs. “I’m willing to cut a lot. But if you cut the essential stuff that affects people every day, you will lose the majority in two years. I can guarantee it.”
Trump’s ability to pass his agenda through a narrowly divided Congress will depend on the outcome of a quickly escalating battle between ultra conservatives and swing-district members over spending cuts. Trump and his Capitol Hill counterparts, Senate Majority Leader John Thune and House Speaker Mike Johnson, are now working to decide how deeply to slash spending on popular — yet expensive — programs like Medicaid, and how much of a potential political firestorm they’re willing to withstand.
While Johnson and his leadership team had preferred to set the GOP’s spending cuts goal at around $1.5 trillion as a floor, many conservatives are dead set on at least $2 trillion in cuts, with some hoping for closer to $2.5 trillion, according to people familiar with the conversations.
The House Budget Committee has no plans to go forward with a markup of its measure this week, and a member of that panel, Republican Rep. Ralph Norman of South Carolina, described the delay in one word: “CUTS!!” Norman is among the members pushing for at least $2 trillion in cuts, and was clear that Medicaid needs to be on the table.
Because Trump has already said that Social Security and Medicare — the two costliest federal programs — are off limits, many conservatives are looking, instead, at Medicaid.
But the prospect of huge cuts to a program that insures millions of low-income Americans has rankled others in the party, including that GOP lawmaker who recently spoke to Trump. This lawmaker said there are at least a dozen lawmakers from purple, suburban districts across California, New York, Pennsylvania and New Jersey who would stand up to such cuts.
In the House, much of the debate is centered on how to save at least $2 trillion to help pay for Trump’s extended tax cuts. To achieve that level of savings, Republicans would have to drastically change how much the federal government contributes to states for Medicaid services.
At Least a Dozen Reps Oppose Cuts
At least a dozen Reps will not stand for Medicaid cuts.
This revelation warms your heart doesn’t it?
But it sure makes it had to get a good budget deal.
Spending Cuts or Hikes?
Just to keep the status quo of $2 trillion deficits as far as the eye can see, my lead chart shows Republicans need to cut $2 trillion out of $1 trillion.
Some of you may be skeptical, but not me. I can show you how to mathematically cut $2 trillion out of $1 trillion.
This may surprise you given my post Elon Musk Admits DOGE Can’t Find $2 Trillion In Budget Cuts
At the time, I stated “Anyone with an ounce of common sense knew that wasn’t possible. He won’t find $1 trillion either.”
I am pleased to report that I now stand corrected because ….
No such cuts are even necessary!
GOP Budget Framework
There is no need to cut Medicare or Medicaid because Trump’s $5.5 trillion tax cut package will generate $3 trillion in economic growth, and that will keep the budget deficit at a mere $2.5 trillion.
The Washington Post reports House GOP nears plan for Trump’s agenda — but may not have the votes.
GOP leadership earlier this week unveiled a plan to lawmakers that will cut $315 billion in spending over 10 years, but will add another $325 billion in spending on Trump’s national security and immigration crackdown, said the people, who spoke on the condition of anonymity to discuss private briefings.
It’s not clear how the House’s blueprint accounts for some of Trump’s other campaign promises, including ending taxes on tips, overtime wages and Social Security benefits, which would add $3.6 trillion to the national debt over 10 years, according to the nonpartisan Committee for a Responsible Federal Budget [CFRB].
Wait a second, what about Trump’s other campaign promises, including ending taxes on tips, overtime wages and Social Security benefits, which would add another $3.6 trillion to the national debt over 10 years?
Once again, some of you may be skeptical, but not me.
The CFRB worked out the math. This all works because the tax cuts will expand the economy by an amazing 14 percent.
How can anyone not believe that?
Somehow, the CFRB is skeptical, but not me. I am all in for 14 percent growth, even though it only breaks even with the amazing giveaways Trump has promised.
With this kind of amazing growth on deck, I call on all of you to Love and Cherish Medicare and Medicaid as much as Trump and the dozen purple-state Republican reps.