April, 17 2018, 12:00am EDT
For Immediate Release
Contact:
Jack Pfeiffer, 202-641-8574
jpfeiffer@americansfortaxfairness.org                 Â
Morgan Williams Grogan, 202-836-9890
morgan.williams@berlinrosen.com
Americans' Health Care And Public Services At Risk From Trump Tax & Budget Cuts, New Report Warns
Trump/GOP Tax breaks for wealthy, Rx and insurance companies, and Trump budget show grim future of drastic health care and other service cuts for working families.
WASHINGTON
This week in communities across the country advocates are holding events to educate the public about the harmful effects of the new tax law. Advocates at the events are releasing a new report from Americans for Tax Fairness and Health Care for America Now that shows how much the tax cuts in each state favor the wealthy and prescription drug companies and health insurers, and how the $1.5 trillion hole the Trump-GOP tax law blows in the national debt jeopardizes funding for Medicaid, Medicare, Social Security, education and more in each state. The national report is here and state reports are here.
"America's working families are, as usual, getting the short end of the stick from the new Trump-GOP tax law. Most of the tax cuts benefit the wealthy and big corporations, which shows the power of special-interest lobbyists in Washington," said Frank Clemente, executive director of Americans for Tax Fairness. "The biggest threat for working families is how the tax law puts Medicaid, Medicare, Social Security and education at risk because it blows a nearly $2 trillion hole in the national debt. This report documents those effects based on President Trump's proposed budget for next year. Tax reform should have helped working families get ahead, not tilted the playing field further in favor of the wealthy and well-connected."
"Trump and his Republican allies are playing politics with the health and the lives of millions of Americans," said Health Care for America Now Co-Directors Ethan Rome and Margarida Jorge. "The new tax law hands tens of billions of dollars in tax savings to prescription drug companies and health insurers while repealing a key part of the Affordable Care Act that results in higher premiums for American families and 13 million losing coverage. Trump and the Republican Congress need to know that American voters are not going to take this lying down."
National Report Executive Summary:
On Tax Day 2018, health care and other vital public services are much less secure for America's working families due to $1.5 trillion in tax cuts enacted late last year by President Trump and the Republican Congress.
- The tax cuts take revenue out of the federal budget that could be used for public services and investments and divert most of it to the richest households and largest corporations. When the new tax law is fully phased in, 83% of the tax cuts will go to the wealthiest 1%.
- Moreover, these tax cuts will explode the national debt and thereby endanger future funding for Medicare, Medicaid, Social Security and other public services working families rely on.
The Trump-GOP tax cuts put the interests of the wealthy and corporations over those of working families and local communities:
- The richest 1% of taxpayers will get 27% of the nation's total tax cut. The bottom 60% of taxpayers will get just 13% of the tax cuts.
- The richest 1% will get a tax cut of $55,190, on average. The bottom 60% will get a tax cut of $440--about a dollar a day.
Prescription drug companies and health insurers will reap tens of billions of dollars in tax savings under the new tax law, but few are sharing the wealth with their workers, and none are planning to cut their drug or insurance prices:
- Among the top 10 U.S. drug companies just Merck and Pfizer have said that they will share any of their new tax cuts with employees in the form of one-time bonuses, wage increases or fringe benefits.
- Of the 10 biggest health insurance and managed-care companies just three--Anthem, Cigna and Humana--have said that they will share any of their new tax cuts with employees.
To pay for their $1.5 trillion in tax cuts that mostly benefit the wealthy and corporations, President Trump and the GOP Congress have targeted vital public programs, particularly health care, for service reductions:
- The new tax law reaps $314 billion in savings by repealing a key part of the Affordable Care Act (ACA), resulting in higher premiums and millions losing coverage. By eliminating the requirement that those who can afford it buy health insurance, the GOP will be responsible for 13 million Americans losing coverage by 2027 and insurance premiums spiking by 10%, or $2,000, on average in 2019 for the remaining insured who buy policies on the individual market.
- In his budget for next year, Trump proposed more than $1.7 trillion in spending cuts. This would slash services that working families rely on:
- Health care: The Trump budget proposes repealing the ACA, which would cause 32 million Americans to lose their health coverage by 2027.
- Supplemental Nutritional Assistance Program (SNAP, or food stamps): Trump's cuts to food stamps could cost more than 5 million households their benefits in 2019 and 5.5 million households could lose benefits by 2028.
- Disability programs: Trump cuts a total of $72 billion over 10 years from Social Security Disability Insurance (SSDI) and Supplemental Security Income (SSI).
- Infrastructure: Trump proposes cuts of $240 billion over 10 years to infrastructure programs. This includes a $99 billion cut to highway funding and $39 billion cut to transit funding between 2021 and 2027. These cuts could mean the loss of more than 1.7 million "job years" (one job for one year) over this time.
- Education: Trump's budget eliminates federally-subsidized student loans, which could affect many of the 5.6 million college students who received $20.9 billion in aid last year.
- Affordable housing: More than 198,600 families could next year lose the housing vouchers that help them afford rent in private housing. $3.1 billion could be cut in 2019 from a fund to repair and upgrade public housing facilities. The HOME Investment Partnerships Program would be eliminated, costing $958 million that helps provide affordable rental housing and homeownership opportunities. The Community Development Block Grant program would be zeroed out, cutting $3 billion that helps localities pay for a variety of community and economic development services, including affordable housing.
The Congressional Budget Office, a non-partisan scorekeeper, now reports that the tax cuts will add $1.9 trillion to the deficit--one-quarter more than the $1.5 trillion estimated when the tax law was approved in December. This is close to the $1.7 trillion cut to Medicaid, Medicare, Social Security disability programs, SNAP and more proposed in Trump's budget.
Top Six States with Most Skewed Distribution of Trump-GOP Tax Cuts, Effects of Individual Mandate Repeal on Insured Population and Premiums, and Effects of Overall ACA Repeal
Rank | State | Top 1% Share of Trump Tax Cuts | Bottom 60% Share of Trump Tax Cuts | Value of Top 1% Tax Cut | Value of Bottom 60% tax Cut | # Losing Health Care from Individual Mandate Repeal (2025) | Avg Premium Increase from Individual Mandate Repeal (2019) | # Losing Health Care from ACA Repeal |
1 | WY | 42% | 9% | $108,880 | $420 | 22,000 | $3,460 | 51,000 |
2 | NV | 41% | 11% | $104,700 | $500 | 112,000 | $1,730 | 243,000 |
3 | FL | 40% | 8% | $98,480 | $320 | 873,000 | $1,860 | 3,217,000 |
4 | SD | 39% | 11% | $88,650 | $440 | 34,000 | $2,080 | 70,000 |
5 | GA | 34% | 12% | $64,620 | $370 | 392,000 | $1,930 | 1,192,000 |
5 | TX | 34% | 12% | $80,350 | $460 | 1,036,000 | $1,730 | 2,759,000 |
Click Here for full data set on all 50 states with impacts of TCJA and Trump and GOP budget cuts.
Americans for Tax Fairness is a diverse coalition of 425 national and state endorsing organizations that collectively represent tens of millions of members. The organization was formed on the belief that the country needs comprehensive, progressive tax reform that results in greater revenue to meet our growing needs. ATF is playing a central role in Washington and in the states on federal tax-reform issues.
Health Care for America Now (HCAN) is the national grassroots coalition of labor unions, community groups, policy advocates and online organizations that from 2008-2013 ran a five-and-a-half-year campaign to pass, protect, and promote the Affordable Care Act (ACA).
Americans for Tax Fairness (ATF) is a diverse campaign of more than 420 national, state and local endorsing organizations united in support of a fair tax system that works for all Americans. It has come together based on the belief that the country needs comprehensive, progressive tax reform that results in greater revenue to meet our growing needs. This requires big corporations and the wealthy to pay their fair share in taxes, not to live by their own set of rules.
(202) 506-3264LATEST NEWS
Critics Warn Manchin-Barrasso Permitting Bill 'Is Taken Straight From Project 2025'
"You thought Project 2025 was just a threat after the election? It's actually happening *right now,*" said one climate campaigner.
Jul 26, 2024
Climate and environmental defenders on this week implored U.S. senators to block a permitting reform bill introduced this week by Sens. Joe Manchin and John Barrasso that one campaigner linked to Project 2025, a conservative coalition's agenda for a far-right overhaul of the federal government.
Common Dreamsreported Monday that Manchin (I-W.Va.) and Barrasso (R-Wyo.)—respectively the chair and ranking member of the Senate Energy and Natural Resources Committee—introduced the Energy Permitting Reform Act of 2024.
The Natural Resources Defense Council (NRDC) noted that although the proposal "includes several positive reforms for the accelerated development of transmission projects," it also advocates "limiting opportunities for communities to challenge projects, loosening oversight for drilling and mining projects, extending drilling permits and fast-tracking [liquified natural gas] permits, and several other provisions friendly to fossil fuel giants."
"This dangerous bill doesn't deserve a floor vote."
These are nearly identical policies to what's proposed in Project 2025's Mandate for Leadership. The plan, which was spearheaded by the Heritage Foundation, calls for "unleashing all of America's energy resources," including by ending federal restrictions on fossil fuel drilling on public lands; limiting investments in renewable energy; and rolling back environmental permitting restrictions for new oil, gas, and coal projects, including power plants.
While Manchin has been trying—and failing—to pass fossil fuel-friendly permitting reform legislation for years, Brett Hartl, director of public affairs at the Center for Biological Diversity, said that his "Frankenstein legislation is taken straight from Project 2025, and it's the biggest giveaway in decades to the fossil fuel industry."
Hartl said the bill "deprives communities of the power to defend themselves and gives that power to Big Oil by making it harder for communities to challenge polluting projects in court," and "prioritizes the profits of coal barons over public health."
"And it mandates oil and gas extraction in our oceans," he continued. "The insignificant crumbs thrown at renewable energy do nothing to address the climate emergency."
"Monday was the hottest day in recorded history," Hartl noted. "It's shocking that as the climate emergency continues to break records around us, the Senate continues to fast-track the fossil fuel expansion that is killing us. This dangerous bill doesn't deserve a floor vote."
Hartl added that "to preserve a livable planet," Senate Majority Leader Chuck Schumer (D-N.Y.) "must squash this legislation now."
Manchin—who has said this will be his last term in office—has been a steadfast supporter of the fossil fuel industry, partly because his family owns a coal company. The senator says his permitting reform bill "will advance American energy once again to bring down prices, create domestic jobs, and allow us to continue in our role as a global energy leader."
However, Allie Rosenbluth, Oil Change International's U.S. manager, warned Thursday that "this bill is yet another dangerous attempt by Sen. Manchin to line the pockets of his fossil fuel donors, sacrificing communities and our climate along the way."
"Don't be fooled: The Energy Permitting Reform Act is another dirty deal to fast-track fossil fuels above all else," she continued. "It would unleash more drilling on federal lands and waters, unnecessarily rush the review of proposed oil and gas export projects, and lift the Biden administration's pause on new LNG exports."
"We urge Congress to reject this proposal and commit to action that protects frontline communities from the impacts of fossil fuel development and the climate crisis," Rosenbluth added.
"Don't be fooled: The Energy Permitting Reform Act is another dirty deal to fast-track fossil fuels above all else."
NRDC managing director of government affairs Alexandra Adams said Wednesday that "this bill is a giveaway for the oil and gas industry that will ramp up drilling and environmental destruction at a time when we need to be putting a hard stop to fossil fuels."
"We cannot afford to roll back so many of our bedrock environmental and community legal protections and offer a blank check to the oil and gas industry," she stressed. "We need new solutions for permitting if we are going to meet our clean energy potential and address the climate challenge. But this is not it."
"This bill would altogether be a leap backward on climate, health, and justice if passed into law," Adams added. "The Senate should reject it and look toward alternative solutions already being considered."
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'Nothing To Eat': War-Torn Sudan Faces Mass Famine as Military Delays Aid
Both parties in Sudan's civil war are to blame for a looming mass famine, experts say, and the military's blocking of U.N. aid at a border crossing with Chad exacerbates the problem.
Jul 26, 2024
Sudan's military is blocking United Nations aid trucks from entering at a key border crossing, causing severe disruptions in aid in a country that experts fear may be on the brink of one of the worst famines the world has seen in decades, The New York Timesreported Friday.
The border city of Adré in eastern Chad is the main international crossing into the Darfur region of Sudan, but the Sudanese Armed Forces (SAF), the state's official military, which is engaged in a civil war with a paramilitary group called the Rapid Support Forces (RSF), has refused to issue permits for U.N. trucks to enter there, as it's an RSF-controlled area.
U.S. and international officials have issued increasingly alarmed calls for steady aid access to help feed the millions of severely malnourished people in Darfur and other areas of Sudan.
Last week, Linda Thomas-Greenfield, the United States ambassador to the U.N., said that the SAF's obstruction of the border was "completely unacceptable."
Both warring parties in Sudan continue to perpetrate brazen atrocities, including starvation of civilians as a method of warfare. This piece focuses on the SAF's ongoing obstruction of essential aid. The situation is catastrophic. The policy is criminal. https://t.co/FKhqQh3EI9.
— Tom Dannenbaum (@tomdannenbaum) July 26, 2024
The Sudanese who've made it out of the country and into Adré reported dire and unsafe conditions in their home country.
"We had nothing to eat," Bahja Muhakar, a Sudenese mother of three, told the Times after she crossed into Chad, following a harrowing six-day journey from Al-Fashir, a major city in Darfur. She said the family often had to live off of one shared pancake per day.
Another mother, Dahabaya Ibet, said that her 20-month-old boy had to bear witness to his grandfather being shot and killed in front of his eyes when the family home in Darfur was attacked by gunmen late last year.
Now the mothers and their families are refugees in Adré, where 200,000 Sudanese are living in an overcrowded, under-resourced transit camp.
In addition to those that have made it out of the country, there are 11 million people internally displaced within Sudan, most of whom have become displaced since the civil war began in April 2023.
An unnamed senior American official told the Times that the looming famine in Sudan could be as bad as the 2011 famine in Somalia or even the great Ethiopian famine of the 1980s.
In April, Reutersreported that people in Sudan were eating soil and leaves to survive, and The Washington Postcalled it a nation in "chaos," reporting that World Food Program trucks had been "blocked, hijacked, attacked, looted, and detained."
In late June, a coalition of U.N. agencies, aid groups, and governments warned that 755,000 people in Sudan faced famine in the coming months.
The U.S. last week announced $203 million in additional aid to Sudan—part of a $2.1 billion pledge that world leaders made in April, which some countries have not yet delivered on.
Some officials including Thomas-Greenfield, who has dubbed the situation in Sudan "the worst humanitarian crisis in the world," have called for the U.N. Security Council to allow aid delivery into the country even in the absence of SAF approval; it's believed that Russia would veto such a measure.
Sudan's civil war has seen a great deal of international interference. Amnesty International on Thursday published an investigatory briefing showing that weapons from Russia, China, Serbia, Turkey, Yemen, and the United Arab Emirates (UAE) had been identified in the country. And The Guardian on Friday reported that the passports of Emirati citizens had been found among wreckage in Sudan, indicating the UAE may have troops or intelligence officers on the ground, though the UAE denied the accusation.
The International Service for Human Rights on Friday warned that both the SAF and RSF were engaged in wrongful killings and arrests, especially targeted at lawyers, doctors, and activists. The group called for an immediate cease-fire.
The SAF and Sudanese government figures have cast doubt on international experts' claims about famine in the country.
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JD Vance Doubles Down on Attack on 'Childless Cat Ladies'
Vance "meant no disrespect to cats, but he did mean to demean women and still holds the view in 2024 that they should be punished for not having children."
Jul 26, 2024
After days of condemnation from critics including actress Jennifer Aniston and Transportation Secretary Pete Buttigieg, U.S. Sen. JD Vance was given the opportunity on Thursday to clarify his remarks from 2021 in which he said the Democratic Party was run by "childless cat ladies."
Instead, the Ohio Republican and running mate of former President Donald Trump assured SiriusXM host Megyn Kelly on "The Megyn Kelly Show" that while he has "nothing against cats," he meant what he said in terms of "the substance" of his argument.
Vance made it clear, said Aaron Fritschner, deputy chief of staff for Rep. Don Beyer (D-Va.), "that he meant no disrespect to cats, but he did mean to demean women and still holds the view in 2024 that they should be punished for not having children."
The comments in question were made by Vance to then-Fox News host Tucker Carlson when Vance was running for the Senate.
Calling out Buttigieg—who, the secretary disclosed this week, was struggling at the time to adopt a child with his husband—and Vice President Kamala Harris, a stepmother of two and the Democratic Party's presumptive presidential nominee, Vance said people without biological children "don't really have a direct stake in" the future of the country and therefore shouldn't hold higher office.
In separate remarks that same year, Vance said parents should "have more power" at the voting booth and that "if you don't have as much of an investment in the future of this country, maybe you shouldn't get nearly the same voice."
He also specifically categorized people who don't have children as "bad" in an interview in 2021, saying the government should "reward the things that we think are good" and "punish the things that we think are bad," with people taxed at a lower rate if they have children.
While a spokesperson for Vance told ABC News that the senator's taxation proposal was "basically no different" than the child tax credit supported by the Democratic Party, Democrats who have pushed for the credit have heralded its proven ability to slash child poverty rates and help families afford groceries, childcare, and other essentials, rather than viewing the tax savings as a way to reward people for procreating.
In his interview with Kelly on Thursday, Vance attempted to pivot away from his own comments, saying his point was to criticize "the Democratic Party for becoming anti-family and anti-child" and claiming without evidence that the Harris campaign had "come out against the child tax credit"—a signature policy of the Biden-Harris administration.
"I'm proud to stand for parents and I hope that parents out there recognize that I'm a guy who wants to fight for you," said Vance. "The Democrats, in the past five, 10 years, Megyn, they have become anti-family. It's built into their policy, it's built into the way they talk about parents and children. I don't think we should back down from it, I think we should be honest about the problem."
Vance and Kelly went on to lament the anxiety "hardcore environmentalists" and progressive lawmakers such as Rep. Alexandria Ocasio-Cortez (D-N.Y.) have expressed about the damage fossil fuel extraction is doing the planet, accusing them of pushing people to forgo having families—but said nothing about Republican policies that have made child-rearing less accessible.
In recent years, the entire Republican caucus in Congress was joined by conservative then-Democratic Sen. Joe Manchin of West Virginia in blocking the extension of the enhanced child tax credit, which had been credited with cutting the national child poverty rate in half. Republicans also allowed a pandemic-era universal school meal program to expire, while several Democratic-led states have passed state-level programs to ensure all children can have meals at school, regardless of their family's income.
Under Republican abortion bans, numerous stories have cropped up of pregnant people who have been forced to carry pregnancies to term despite finding out that their fetuses had fatal abnormalities and would die soon after birth—as have stories of children who were forced to give birth or had to cross state lines in order to get abortion care.
As with his position that nonparents should be "punished" for not having children, "who else does 'pro-child/family' Vance think should 'face consequences and reality' by way of curtailing choices, rights, and freedoms?" asked writer Alheli Picazo. "Women and girls who become pregnant through rape/incest."
University of North Carolina law professor Carissa Byrne Hessick said that one could test "empirically" Vance's claim that Democratic policies are anti-family.
"But I haven't heard the GOP talk much about things that would help my family and my kids," she said, "like reducing childcare and tuition costs."
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