President Trump signs 'Big, Beautiful Bill' into law |
On Friday, President Donald Trump signed a sweeping tax and spending bill into law in a high-profile White House ceremony. Celebrated as a major legislative win, the law extends most of Trump's 2017 tax cuts and adds deductions for tips, overtime, and seniors. The bill, which the Congressional Budget Office estimates will aid $3.4tn to federal deficits over the next 10 years, is being partially paid for by significant cuts to health care and nutrition programs, including Medicaid, and the Supplemental Nutrition Assistance Program (SNAP,) which provides food assistance to over 13m children and makes kids automatically eligible for free meals at school. It also largely terminates numerous tax incentives from the 2022 Inflation Reduction Act for clean energy, electric vehicles and energy efficiency programs, ending tax credits for new and used electric vehicles, installation of home EV charging equipment and insulation or energy efficient heating and cooling systems. It creates a new voucher-like program that will pay for private school scholarships, although states will be allowed to opt out if they wish. Individuals can subtract $1,700 off their tax bill if they donate that amount to an organization that awards scholarships to kids who attend private school. The cuts to Medicaid, the fourth-largest source of federal funding for schools, have caused alarm; Jessie Mandle, the national program director at the nonprofit Healthy Schools Campaign, said it is the equivalent of cutting district budgets, adding: “School districts are very much aware of how important Medicaid dollars are to serve students with disabilities, address the youth mental crisis, [and] address students’ behavioral health needs.”