Update for State Child Advocates: Federal Budget Battles & Policy Shifts

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This federal update was created in partnership with Meredith Dodson, Senior Director of Public Policy at the Coalition on Human Needs.

Key Things to Know:

  • House Budget in Focus: The House is set to vote on a resolution proposing over $4 trillion in tax cuts funded by deep spending cuts on SNAP, Medicaid, child nutrition, education programs, and more. Talk to Republican representatives—some are expressing concerns about the magnitude of the proposed cuts and what it will mean for their constituents.
  • Senate’s Two-Step Approach: The Senate is pursuing a more cautious path, separating its budget bills and proposing up to $342 billion in new spending with a smaller set of spending cuts now – with larger budget and tax legislation later. Engage with Senate Republicans to underscore how even this approach risks essential services and could impact local families.
  • Your Advocacy is Crucial: As both chambers move forward with their votes and eventually coalesce around one budget plan, now is the time to call on Republican lawmakers to prioritize constituents’ needs over tax cuts for the wealthy. Ensure they understand the real-life impacts these cuts will have on children and families.

 

Recent developments on Capitol Hill—and sweeping executive actions since President Trump’s inauguration on January 20, 2025—could potentially reshape funding for children’s health, education, and economic security across our states. As state child advocates, it is crucial to understand these federal shifts, which span budget proposals, executive orders, judicial challenges, congressional oversight, and major administrative changes. Together, these actions shape the landscape for the programs our communities depend on.

 

Budget Negotiations

House Republicans

The House Budget Committee has released a budget resolution designed to fulfill President Trump’s legislative agenda. This plan proposes over $4 trillion in tax breaks that largely benefit the wealthy and major corporations. To pay for these tax provisions , the resolution mandates deep spending cuts across key programs over the next decade:

  • SNAP: The Agriculture Committee must generate $230 billion in cuts, directly endangering food assistance for over 40 million Americans. In addition, proposals for work requirements could further reduce participation rates, disproportionately affecting vulnerable children and families.
  • Medicaid: The Energy and Commerce Committee is tasked with generating $880 billion in cuts, risking coverage for more than 70 million people. The introduction of work requirements and per capita caps could force states to reduce benefits, delay care, or even push families into medical debt.
  • Child Nutrition and Education Programs: The Education and Workforce Committee must generate $330 billion in cuts. Reduced funding here could undermine programs that support early learning and basic nutrition for children.

Additionally, the House plan includes raising the debt ceiling by $4 trillion to support these measures. In essence, this approach aims to fund generous tax cuts by drastically cutting federal spending on programs that directly benefit children and families.

Senate Republicans

In contrast, the Senate Budget Committee is pursuing a more cautious, two-step approach. Their initial budget resolution—leaving the President’s tax agenda for a later vote—calls for up to $342 billion in new spending, offset by cuts to programs. Although this proposal appears less extreme, it still paves the way for significant reductions in federal support for essential programs like Medicaid and SNAP.

 

What’s Next?

Both the House and Senate will vote on their respective bills (with Senate votes February 19-21on the first of two). If you have Republican representatives, urge them to oppose budget plans that would remove funding for some of the basic necessities that millions of children rely – food and healthcare.  Policymakers need to understand the potentially negative impacts of cutting funding for these programs.

 

Appropriations & Continuing Resolutions

Congress has passed a continuing resolution (CR) to fund the government through March 14, 2025. However, if Congress does not complete the FY25 appropriations process or extend the CR, the government will shut down. Flat funding under a continuing resolution translates to a funding cut for critical programs such as WIC, housing assistance, child care, Head Start, TANF, and more.

 

Federal Funding Freeze

Executive orders signed by President Trump have halted the obligation or disbursement of federal financial assistance in several areas, particularly those related to diversity, equity, and inclusion. A federal judge’s temporary block of some funding freeze measures signals that parts of these policies may not withstand judicial scrutiny. Although Medicaid and CHIP are currently unaffected by the freeze, programs for early childhood education, afterschool initiatives, and foster care support now face uncertainty. Funding freezes could create sudden financial shortfalls, forcing states to intervene and urging advocates to push for emergency state-level funding measures or seek alternative local philanthropic support. 

The current federal landscape—marked by deep budget cuts, executive branch restructuring, judicial challenges, and significant policy shifts—poses many opportunities for child advocates at the state level. It is essential that we come together to ensure that federal actions do not undermine the well-being of our children and families. By staying informed, mobilizing communities, and engaging proactively with policymakers, we can help safeguard the vital resources our children need to thrive.

Thank you for your tireless commitment.

 

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