The 119th Congress officially began on January 3, 2025, when Vice President Harris certified the election results and the new members of Congress were sworn in.
There are several major funding negotiations to come over the next six months, from Appropriations to reconciliation to the debt ceiling, and the Majority party has laid out a list of spending reform options that would slash federal spending on programs that provide vital support to millions of Americans. The list includes the following cuts that would dramatically impact children and families:
- Medicaid cuts. The list from the House Budget Committee outlines numerous reforms for Medicaid spending, including instituting per capita caps, lowering the FMAP reimbursement, and creating work requirements.
- Affordable Care Act. The proposal would end the premium tax credits that help many individuals with low incomes access health insurance.
- SNAP. The proposal would change the Thrifty Food Plan, the base plan that was expanded and modernized by the Biden Administration, taking food benefits away from families.
- SSBG. The list includes the elimination of the Social Services Block Grant, which is a flexible funding source that allows states and territories to tailor social service programming to their population’s needs, including programs to protect children and adults from abuse and neglect.
- TANF. The proposal includes a 10% cut to the Temporary Assistance to Needy Families (TANF) program, as well as the elimination of the TANF Contingency Fund; these cuts would result in a reduction of cash assistance for families.
- CTC changes. The list includes a proposal to limit the child tax credit by requiring parents to have a Social Security Number to receive the benefit, thereby cutting off America children in mixed-status families.
Although this list is currently still just a starting point for negotiations, it is likely that some of these proposals will be included in a budget reconciliation package. Created in the 1970s, the reconciliation process is meant to address the national deficit. Because a reconciliation bill is not subject to the Senate filibuster, it can pass the Senate with 51 votes, making it an easier vehicle for the Majority party to pass their budgetary priorities.
Speaker Johnson has stated that he hopes to have a budget blueprint by the end of February, which is a first step in the reconciliation process. It is expected that the reconciliation package would focus on immigration spending and extending the tax cuts of 2017, with major cuts to human services and climate change initiatives offsetting these costs.
In addition to a reconciliation package, Congress will also need to address Appropriations by March 14th, the new deadline set in the Continuing Resolution last Congress, and deal with the debt limit this spring or summer.