NEW YORK – Faced with looming budget deficits, the Trump administration is looking to cut federal spending by some $15 billion, with almost half coming from the Children's Health Insurance Program (CHIP).

In the past six months, Congress and the White House have enacted tax cuts and spending increases that will raise the federal deficit by more than $1 trillion.

To compensate, the administration announced a package of proposed cuts Monday night that would cut $7 billion from CHIP.

According to Shawn Gremminger, director of federal relations at Families USA, the cut would hinder the program's ability to respond to increased demand.

"The base CHIP program will be OK without this funding, but it significantly reduces the ability of the federal government to provide support for CHIP in the case of an emergency or in case more people get enrolled than is expected," Gremminger points out.

Administration officials say much of the proposed cuts are from funds that are not expected to be used, so they will not affect operations.

Gremminger says the cuts are intended to calm fiscal conservatives who are concerned about the huge projected deficits that are coming in the years ahead.

"But instead of going after the budget pieces that have actually been included in this increased spending, or decreased revenue in the case of tax cuts, they're going after kids," he states.

The proposed rescission package is less than one-half percent of total government spending for the year, and the administration has promised several more proposals.

Gremminger notes out that Congress must approve the cuts for them to take effect. In the closely divided Senate, the rules require a simple 51 percent majority.

"This almost certainly can pass the House of Representatives,” he concedes. “But over on the Senate side, I think the vast majority of Democrats would oppose this, and I think there are at least a decent number of Republicans who are skeptical of moving on this package this year."

The rescission package also calls for $800 million in cuts to the Center for Medicare and Medicaid Innovation.


get more stories like this via email

A new bill aims to further reduce investments in fossil fuels by Oregon's Public Employee Retirement System.

The Pause Act would impose a five-year ban on new investments by the system in private fossil-fuel funds. Supporters believe this move will help lower emissions and keep wealth in Oregon communities.

Andrew Bogrand, volunteer communications director for the advocacy group Divest Oregon, helped draft the bill. The group found the system's fossil fuel investments have underperformed the market by $4 billion to $10 billion over the past decade.

"Private equity has taken advantage, in our view, of public pensions, and this would allow Treasury staff the time and space they need to kind of course correct," Bogrand explained.

Last year, former treasurer Tobias Read, now Secretary of State, introduced a plan to reduce the system's investments in fossil fuels by 60% by 2035, aiming for net-zero emissions by 2050. Bogrand noted the Pause Act aligns with that plan.

Oregon's Public Employee Retirement System covers pensions for more than 415,000 public employees across schools, local governments and 900 agencies. Divest Oregon said 60% of the system's funds are private investments, which is almost double the average U.S. pension fund.

Elizabeth Steiner, Oregon's newly-sworn in treasurer, manages the system's investments, totaling more than $100 billion. Steiner said moving away from fossil fuels is not just about reducing emissions, it is smart financially.

"The data are really clear that carbon-intensive investments are a risky proposition at this point," Steiner observed. "At some point in the not too distant future, they will not be profitable."

Steiner added it is too soon to say if she can support the Pause Act, but she is having productive conversations with Divest Oregon.


get more stories like this via email

Florida has been a key battleground in the national immigration debate, with past legislation banning sanctuary cities and requiring companies to use E-Verify to confirm employees' immigration status.

As lawmakers prepare to gather in Tallahassee later this month for a special legislative session on immigration, community advocates are raising concerns about the use of state resources. Gov. Ron DeSantis called for the session to align Florida's policies with President-elect Donald Trump's upcoming immigration initiatives.

Renata Bozzetto, deputy director of the Florida Immigrant Coalition, criticized the move as a publicity stunt, saying it is unfortunate the governor is using taxpayer dollars to garner national attention.

"Instead of focusing on the priorities of Floridians, instead of focusing on the very high cost of living in our state and fixing problems that really bother and affect families in the state of Florida, he is trying to take on the federal government's job," Bozzetto contended.

DeSantis, a staunch Trump ally, has scheduled a special session for Jan. 27 to align with federal efforts to deport undocumented immigrants. He proposed mandatory enrollment in the 287(g) program, which partners local law enforcement with Immigration and Customs Enforcement to identify and remove noncitizens.

The session is scheduled just weeks before the regular legislative session begins in March. Bozzetto believes the governor's push is politically motivated and distracts legislators from pressing local issues.

"Assess within their districts, what are their priorities so they're listening to community, they're listening to Floridians, what should be the priority and the agenda for March?" Bozzetto asked. "And yet they're going to be wasting their time in Tallahassee because of this reckless call."

The Republican governor warned he is prepared to suspend elected officials who fail to comply with the new immigration mandates, accusing them of "neglecting their duties." Florida's legislative leaders have pushed back on DeSantis' call for a special session on immigration, deeming it "premature" without specific federal guidance from the incoming Trump administration.

Ohio is poised to play a key role in a $20 billion investment announced by President-elect Donald Trump, with plans to establish data centers across the Midwest.

John Highland, director of public service for the City of Canton, is among the local leaders already expressing interest in what he said could be a transformative project.

"We are kind of open and available," Highland pointed out. "I would be willing to talk to anyone about that possibility with the city if we can make it work."

Canton's openness reflects the excitement among Ohio leaders about the economic potential of the initiative. However, as with any large-scale project, experts caution about the need to manage resource demands and ensure equitable benefits for local communities.

In a recent speech, Trump framed the investment as a step toward keeping America at the forefront of advancements in technology, particularly artificial intelligence.

"The investment will support massive new data centers across the Midwest and also keep America on the cutting edge of technology and artificial intelligences," Trump said. "The first phase of the project will be in Texas, Arizona, Oklahoma, Louisiana, Ohio, Illinois, Michigan, and Indiana."

For Ohioans, the announcement could mean new jobs and infrastructure development but it also raises questions about long-term sustainability and local impacts on resources like energy and water.

Hussein Sajwani, founder of DAMAC Properties, shared his excitement about expanding his company's operations in the U.S., citing the nation's pro-business environment.

"We're planning to invest $20 billion in data centers catering for the AI and cloud business for the hyperscalers," Sajwani announced. "We're very, very excited now with his leadership."

With Ohio positioned as a key beneficiary of this massive investment, the state could see significant economic growth in the coming years.


get more stories like this via email