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Editor’s Note: The U.S. House passed the bill 218-214 on July 3. Gov. Josh Stein said, “This will require taking a hard look at our laws, our state budget, and our long-term revenue requirements.”
On July 1, The New York Times published a news analysis about the federal budget reconciliation bill currently making its way through Congress. “Among the most expensive pieces of legislation in years,” the article said, “the Republican bill could reshape the country’s finances for a generation.”
The bill cuts taxes. It also cuts through the federal safety net that many in North Carolina and across the nation rely on. It includes a federal voucher program. Here is a list, also published by The New York Times, of almost all of the provisions in the bill and how much they cost or save. Despite significant cuts, the Congressional Budget Office estimates the bill would increase the deficit by $3.4 trillion from 2025-2034.
The bill passed the U.S. Senate 51-50 with Vice President J.D. Vance casting the deciding vote, and it is now being taken up by the U.S. House, which is being encouraged to pass the bill as is to avoid protracted negotiations between the two chambers. The House debated the bill overnight. President Donald Trump has made it clear he would like the bill to pass before July 4.
Leaders of both parties are concerned about the impact of the bill.
Republican Senator Thom Tillis did not vote for the bill, finding “it would result in tens of billions of dollars in lost funding for North Carolina, including our hospitals and rural communities. This will force the state to make painful decisions like eliminating Medicaid coverage for hundreds of thousands in the expansion population, and even reducing critical services for those in the traditional Medicaid population.” Here is his analysis of the fiscal impact of the Senate’s changes to Medicaid policy on North Carolina, and here is his impassioned speech.
Tillis subsequently announced he would not seek re-election, citing “political theatre and partisan gridlock.”
Yesterday, Gov. Josh Stein sent a letter to North Carolina’s U.S. House delegation to vote against the Senate budget reconciliation bill.
“This bill has moved at a breakneck pace, leaving North Carolinians without ample time to provide feedback on the devastating impacts this would have on our state,” says the letter. “As the bill returns to the House, I urge you to press pause on this bill because of the immediate and long-term threats it poses to the health and well-being of North Carolinians and the economic stability of our state.”
Under the Senate’s budget reconciliation bill, Stein says an estimated 520,000 North Carolinians could lose their health insurance, according to this press release.
Cuts to the Supplemental Nutrition Assistance Program (SNAP) are “equally serious” says Stein. As many as 1.4 million North Carolinians — including 600,000 children — could lose food assistance. “Moreover,” says Stein, “this proposal would jeopardize the well-being of both farmers and rural grocery stores, which depend on SNAP for their bottom line.”
EdNC previously reported the impact of cuts to SNAP by county in North Carolina.
The North Carolina Alliance for Health is encouraging North Carolinians to contact their representative.
Nearly six months into his second term, more North Carolinians disapprove of President Trump than approve, according to a new Catawba College-YouGov poll. “Independents are more disapproving of the president, at 59 percent,” the poll finds.
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