Defense contracts may see $27.5 billion boost in Trump budget

20 March, 2017, 13:12 | Author: Leticia Walters

Drugmakers, biotech companies and health insurance providers came under pressure Thursday in response to President Donald Trump's budget proposal, which would cut funding for health-related agencies.

Donald Trump wants to cut the US Environmental Protection Agency's spending by about $2.4bn- almost a third of its budget - which would force the cancellation of all research into climate change.

"Consistent with the President's America First Energy Plan, the budget reorients the EPA's air program to protect the air we breathe without unduly burdening the American economy", a summary of the agency's proposed budget said.

According to the American Psychological Association, hungry children are " significantly more likely to receive special education services, to have repeated a grade in school and to have received mental health counseling than at-risk-for-hunger or not-hungry children".

Other cuts would affect Amtrak, the Department of Housing and Urban Development and the $3 billion Community Development Block Grant program, which funds popular programs like Meals on Wheels.

The administration's budget proposal set federal employee unions afire with discontent over what they called "anemic levels of funding".

"Yes", he began. "I don't have a business card to give to you today, John, because, at the Office of Management and Budget, we have to pay for our own business cards".

Mulvaney emphasised that Trump's "hard power" budget aimed to increase spending on defence in part by finding cuts in domestic spending. But the budget also eliminates federal funding for efforts to clean up the Chesapeake Bay and the Great Lakes. To make a dent in the national debt, Trump would have to cut entitlement spending.

The vast majority of the budget is made up by Social Security, Medicare and Medicaid - popular programs that Trump promised not to touch on the campaign trail.

Baker said the Congressional Budget Office, which predicted that as many as 24 million Americans would lose their health insurance by 2026 under the House plan, raised "serious and legitimate concerns" with the bill, and he noted that seven Senate Republicans have already said they won't support the bill as it stands, possibly dooming its chances.

"We have more mold issues, garbage issues, a water issue with lead, and it's really bad", she said.

Presidential budgets typically only a proposed guide for Congress, since lawmakers control funding.

But the proposed EPA budget cuts would extend well beyond climate change. The cuts will be particularly harmful to New Jersey's beaches and coastal waters.

As a result, the State Department and the Environmental Protection Agency will be among the departments experiencing cuts, if Trump gets his wish list in Congress.

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