Budget Committee Plan Replaces Sequester of Defense Funding with Human Service Cuts

Late last week Representative Paul Ryan (R-WI), Chair of the House Budget Committee, introduced the Sequester Replacement Act , H.R. 4966, which replaces the cuts to defense programs through sequestration which is called for in the Budget Control Act , P.L. 112-25, with more drastic cuts to human service programs. These cuts include eliminating the Social Services Block Grant, saving $17 billion over ten years, and cuts of $33 billion in SNAP over ten years. Also included in the bill are Medicaid changes including the elimination of the maintenance of effort (MOE) requirements on states and the repeal of the bonus payments to states for increasing their Medicaid enrollment.

Eliminating SSBG would cause severe harm to child welfare. SSBG represents 12% of federal funds states spend to provide child abuse prevention, adoption, foster care, child protection, independent and transitional living and residential services for children and youth. The cuts to SNAP (formerly the food stamp program) would result in millions of low-income people being forced out of the program. As previously reported, repealing the maintenance of effort requirements in Medicaid opens the door for states to institute caps on enrollment and even decrease enrollment by creating more strenuous eligibility standards. Furthermore, repealing bonus payments to states only works as a disincentive to states that want to increase enrollment for eligible children and families.

These and other cuts were recommended by a number of House committees including Ways and Means, Energy and Commerce, and Agriculture. The Budget Committee has scheduled a markup of the legislation for Monday, May 7th, at 2pm EST.

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