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There's still time to stop the madness, but lawmakers will not change directions without an outpouring of opposition.
The government shutdown ended with a failure to solve the problem of steeply rising health insurance premiums.
The GOP’s “Big Beautiful Bill,” which slashed programs like Medicaid and SNAP to fund tax cuts for the wealthy and a $1 trillion Pentagon, allows tax credits that reduce these health costs for ordinary people to expire at the end of this year.
As a result, millions of Americans who receive health insurance through the Affordable Care Act marketplace will see their health insurance premiums double (or worse). Democrats demanded a fix for the problem, but ultimately ended the shutdown without one.
But even in the midst of the shutdown, Senators were still busy. They approved a $32 billion increase for the Pentagon on a bipartisan basis, approving the increase by a vote of 77-20 as part of a larger bill, the National Defense Authorization Act.
Yet the same Senators couldn’t agree to extend those health care subsidies by even a single year to save millions of people from devastating premium increases. The price tag for a single year of extending the subsidies would be about $35 billion, according to the Congressional Budget Office — about the same as the Pentagon increase they just overwhelmingly approved.
Now millions of Americans are facing decisions about how — or even whether — to maintain their health insurance given the huge price increases they face. These expiring credits, along with the GOP’s Medicaid cuts and other changes, are expected to cause 17 million Americans to lose their coverage in the coming years.
Senators agreed to a vote on a possible solution for the expiring ACA credits, but there’s no such agreement in the House of Representatives, making any solution highly unlikely.
The Senate’s $32 billion increase comes on top of the previously passed $156 billion increase from the president’s Big Bad Bill. That already promised to push military spending over the $1 trillion mark — by a significant margin, the most we’ve ever spent on the Pentagon during peacetime.
The Senate’s additional $32 billion adds insult to injury. Much of that sum would go to shipbuilding and buying more F-35s, fighter jets which are considered outrageously expensive and often criticized as ineffective.
Along the way, the Senate also defeated amendments that would require military and law enforcement to display clear identification when conducting crowd control — and another that would have required congressional approval for domestic military deployments for law enforcement purposes after 30 days. (Trump’s National Guard deployments to American cities, by the way, have now cost taxpayers nearly $500 million.)
Apparently, even the lowest bars for accountability for Trump’s Pentagon were too high for lawmakers.
But it’s not over — the House and Senate still need to reconcile their Pentagon funding levels. While that will likely happen behind closed doors, members of Congress will still be receptive to calls from their constituents. It’s not too late to defeat that $32 billion.
And then we can get to work using that money to save health care subsidies and keep millions of Americans from losing health insurance.
I acknowledge not being a deficit hawk, but I suspect most of the politicians in Washington are, and certainly anyone who thinks we need to be paying down the debt should be screaming bloody murder.
I learned basic arithmetic skills in third grade. I wasn’t exceptional; everyone in my public school third grade class learned them. Of course, we all can now use computers to have calculations done for us in a fraction of a second. But still, somehow we have major national debates that show zero understanding of even the most basic arithmetic.
The latest example is the $2,000 tariff dividend check that Trump is promising us. The arithmetic here is about as simple as it gets. We have roughly 340 million people in the country. Let’s say 10 percent don’t get the check because they meet Trump’s category of “high-income.”
That leaves over 300 million people getting Trump’s $2,000 checks. That comes to more than $600 billion. Trump’s tariffs are raising around $270 billion. That means we will be paying out $330 billion more in Trump tariff dividend checks than he is raising in tariff revenue. That would add $270 billion to the deficit—this coming from the same guy who is making an obsession of paying down our national debt.
And just to be clear, we were already looking at a budget deficit for 2026 of $1.8 trillion. If we add $330 billion, the deficit for the fiscal year will be $2.1 trillion. To put this in simple language that even a reporter for a major national news outlet can understand, Trump is proposing to add $2.1 trillion to the debt in 2026; he is not paying it down.
I acknowledge not being a deficit hawk and am not terrified by a deficit of this size, which is roughly 7 percent of GDP. But I suspect most of the politicians in Washington are, and certainly anyone who thinks we need to be paying down the debt should be screaming bloody murder.
But watching the reaction in major media outlets, there seems almost no appreciation of the fact that Trump was floating what would ordinarily be considered a very large increase in the deficit. In fact, if Trump were to give this tariff dividend check every year over the next decade, it would add close to $4 trillion to the debt (counting interest payments), almost as much as the big tax cut Congress approved earlier this year.
It’s also worth comparing Trump’s tariff dividends to other items in the news. The government shutdown was in large part over the $35 billion in annual payments for enhanced subsidies for people buying insurance in Obamacare exchanges. Trump and Republicans in Congress claimed that we didn’t have the money to pay for these subsidies. Trump’s tariff dividend checks would cost more than 17 times as much as the enhanced insurance subsidies.
To make another comparison, Trump saved us around $6 billion a year by shutting down PEPFAR, the program that has saved tens of millions of lives by treating people in Africa for AIDS. This means that Trump’s tariff dividend checks will cost us 100 times as much as the AIDS program that he said we couldn’t afford.
And just to throw in one more comparison, the annual appropriation for public broadcasting was $550 million. Trump’s tariff dividend checks would cost more than 1,000 times as much as the government’s payments for public broadcasting.
People can differ in their views on how important it is to save lives in Africa or provide people here with healthcare. They may also differ in their assessments of how important deficits are. But it really would be good if media outlets could make knowledge of third grade arithmetic a job requirement for reporters who deal with budget issues. It should be their job to provide meaningful information to the public on the topic. Letting someone talk about $2,000 dividend checks, and also about paying down the debt, is a sick joke.
With very few opportunities for the minority party to make a difference, Schumer and Senate Democrats now must hold strong to stand up for everyday Americans and their access to the most basic essentials.
In March, Food & Water Watch joined a chorus of organizations calling on New York Sen. Chuck Schumer to step aside as Democratic minority leader after his disastrous capitulation during the last federal appropriations fight. At the time, President Donald Trump and Elon Musk were running rampant, defunding and destroying critical climate, food, and water programs. But instead of fighting to mitigate the harms, Schumer led fellow Senate Democrats in ceding any leverage they had by capitulating to Republicans’ six-month spending bill without demanding any concessions or procedural backstops.
Now the opportunity has returned to leverage the significant power Senate Democrats have ahead of the latest spending deadline. For the moment it seems that Schumer has learned some lessons from the earlier debacle. He led his caucus to reject a House spending proposal and support an alternative plan to protect critical food, water, and health programs from Trump’s dangerous cuts. He must continue to demonstrate this leadership as the September 30 spending deadline draws near.
Trump and congressional Republicans are playing a dangerous game of chicken, running headfirst into a government shutdown on October 1 with no off-ramp. Trump has refused to even meet with Democratic leadership, and House Republicans are refusing to come back to work until after the funding deadline. They are following the same playbook they used in March to force the hands of Schumer and Senate Democrats. It worked then, and it will work again if Schumer doesn’t stand strong.
After all, the stakes couldn’t be higher: Access to safe, affordable food, clean water, basic healthcare, and so much more.
A Democratic counter proposal from Sen. Patty Murray (D-Wash.) and Rep. Rosa DeLauro (D-Conn.) includes a key protection against partisan rescissions. We are encouraged that Schumer claims to support this plan.
Though congressional Republicans tout their spending bill as a “clean” extension of current funding levels, this commitment is belied by their threatened use of partisan rescissions to enact Trump’s dangerous cuts later on. This backdoor process fast-tracks the elimination of previously agreed upon funding. While the spending bill needs the support of Senate Democrats to reach the 60-vote threshold to avoid the filibuster, with partisan rescissions Trump can later send Congress a list of programs to eliminate through a simple majority vote—without requiring any Democratic support.
Case in point: Congressional Republicans slashed funding for public television and radio—long an aim of the right—through this partisan rescission process earlier in the year. Trump has further abused this tool to illegally withhold funding through a so-called “pocket rescission,” issuing a last-minute request to freeze funds, run out the clock on the fiscal year, and unilaterally cut congressionally-approved funds. This is unconstitutional.
Further backdoor cuts threaten everything from the environment to education to healthcare. On clean water specifically, Trump and congressional Republicans have proposed slashing funding for the Environmental Protection Agency, which sets limits on contaminants in water, develops methods to test for and removes toxic substances, and establishes regulations that prevent water pollution in the first place. Slashing the EPA will imperil the ability of regulators to enforce clean water standards, making our water less safe and Americans more sick.
Republicans have also proposed slashing funding for water infrastructure. In fact, Trump’s spending proposal calls for virtually eliminating funding for the Clean Water and Drinking Water State Revolving Funds—the primary source of federal funding for water infrastructure in the country. Our water infrastructure is already dramatically underfunded. Federal cuts will make it even more difficult for municipalities to respond to acute threats to water safety, including toxic PFAS “forever chemicals,” lead, and climate change-induced storms and flooding. The result will be higher water bills for households and business, and dirtier, dangerous water.
Senate Democrats must reject the House spending bill for these and many other reasons. Fortunately, a Democratic counter proposal from Sen. Patty Murray (D-Wash.) and Rep. Rosa DeLauro (D-Conn.) includes a key protection against partisan rescissions. We are encouraged that Schumer claims to support this plan.
Recently we facilitated a letter from more than 200 groups across the country that was sent to Sen. Schumer, demanding just this. The letter was signed by the American Civil Liberties Union (ACLU), American Federation of Teachers (AFT), NAACP Legal Defense Fund, Oxfam America, Popular Democracy, and Public Citizen, among many others. It seems that Sen. Schumer is finally listening.
With very few opportunities for the minority party to make a difference, Schumer and Senate Democrats now must hold strong to stand up for everyday Americans and their access to the most basic essentials, including clean water. No budget deal that allows for future partisan rescissions can be allowed to pass.