Trump plans to cut emergency funds from CHIP program - Entrepreneur Generations

President Trump wants to cut $7 billion from the emergency funds for the Children's Health Insurance Plan in an effort to bring down the nearly $1 trillion federal deficit. Though the measure wouldn't directly impact the deficit, lawmakers would be able to use those funds for other programs instead of borrowing the money, Phil Galewitz reports for Kaiser Health News.

But critics of the proposal, like Georgetown University law professor David Super, say it's "pure political theater, ugly theater" since it won't do much to reduce the deficit. And it could end up hurting some of the 9 million low-income children the program covers.

The program used its contingency funds last year when Congress allowed its funding to lapse for 114 days. Several states ran out of money and needed the funds to continue covering children. To take away $7 billion of those funds is to bet that such a situation will not occur again. It also assumes that programs won't need emergency funding if a recession causes a sudden swell in the ranks of low-income children.

from The Rural Blog https://ift.tt/2wTdHKP Trump plans to cut emergency funds from CHIP program - Entrepreneur Generations

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