MONTGOMERY-The U.S. House voted Thursday for final passage of a budget bill that will make basic needs like food and health care more expensive for millions of American families through severe cuts to food assistance, Medicaid and other human services. These funding cuts will finance renewals and expansions of tax cuts for wealthy people and highly profitable corporations.
Alabama Arise executive director Robyn Hyden issued the following statement Thursday in response:
Robyn Hyden
“It’s wrong to hurt people who are struggling to help people who are already far ahead. But Congress just passed legislation that will do exactly that. This budget bill is not only a moral failure. It’s bad policy, and it is a really bad deal for Alabama and our entire country. It also will undermine important bipartisan progress that state policymakers made this year on food affordability and maternal health care.
“This cruel budget plan will take away food assistance, health coverage and other vital services from tens of thousands of Alabama families who struggle to afford basic needs. And it will make those cuts in service of slashing taxes for billionaires and highly profitable corporations, with more than $1 trillion in tax cuts accruing to people in the top income brackets. Meanwhile, more than $1 trillion in funding cuts will impact essential services for people with low incomes.
SNAP cuts could send hunger soaring, undermine state grocery tax reduction
“Alabama likely will feel the worst effects from cuts to the Supplemental Nutrition Assistance Program. SNAP benefits have been fully federally funded for decades, but this plan will change that starting in October 2027. If this legislation were in effect now, Alabama would be on the hook for about $207 million a year in direct benefits and additional administrative costs for SNAP. That amount would be roughly the same as the state’s first-year cost to expand Medicaid to cover nearly 200,000 adults with low incomes, and it would not include the cost savings that Medicaid expansion would generate for other services.
“There is reason to worry that the Legislature would decide it can’t or wouldn’t provide the additional SNAP funding. In that case, Alabama would be forced to cut SNAP participation significantly – or even eliminate the program altogether for nearly 800,000 participants statewide. This federal cost shift would reduce our state’s ability to fund existing essential services and programs. And it could lead to deep SNAP cuts that would devastate grocery stores and other retailers in communities across Alabama.
“This bill will expand work reporting requirements to cover more SNAP participants, including veterans, people experiencing homelessness, and young adults aging out of foster care. Many of them likely will lose food assistance not because of a failure to work but because of a failure to complete complicated paperwork. These new red-tape barriers will increase hunger for struggling families while billionaires and corporations run off with a bigger slice of the pie.
“Federal SNAP cuts will leave more Alabamians unable to afford to keep food on the table. That is a step in the wrong direction, and it will undermine the benefits of the state grocery tax reduction that Alabama legislators enacted unanimously this year.
Health coverage cuts will increase human suffering, reduce health care access
“This budget plan will make health care inaccessible or less affordable for tens of thousands of Alabamians. It will allow enhanced Affordable Care Act subsidies to expire, increasing premium costs for marketplace plans. It also will remove the additional $619 million in federal incentives for the first two years of Medicaid expansion that Alabama left on the table. That increases the chances that our state will continue to refuse to expand Medicaid, leaving hundreds of thousands of our neighbors stuck in the health coverage gap with no options to afford life-saving care.
“In total, nearly 200,000 Alabamians could lose health coverage as a result of policy changes like these. Those coverage losses likely will increase hospitals’ uncompensated care costs and make health care even less accessible in rural areas. Fourteen rural hospitals in our state have closed since 2010, and more than 20 others are at risk of closing. When a hospital or clinic closes, it closes for everyone, regardless of their insurance status.
“The human toll of cutting health coverage is all too real. It might mean a later cancer diagnosis for your neighbor. Your pregnant friend might die when her preeclampsia isn’t caught or treated in time because she has to drive an hour longer to get to a doctor. Your son or daughter might experience a mental health crisis and have no way to access or pay for care. Funding for health coverage is not just a line on a spreadsheet. It is often literally a matter of life or death for people facing medical challenges.
Where we go from here
“It will be a few years before many of the federal budget bill’s worst provisions will take effect in full. Alabama Arise’s members and supporters will continue urging our state’s congressional delegation to reverse this bill’s harmful provisions. We also will continue working at the state level to advance public policies to improve the lives of Alabamians marginalized by poverty. That includes advocacy to close our state’s health coverage gap, to right the wrongs of our state’s upside-down tax system and to ensure that all Alabamians have the resources they need to survive and thrive.
“Alabama Arise believes in building an economy that works for everyone and a society where everyone has the opportunity to reach their potential. We will continue working in the years and decades ahead to make that vision a reality for our state.”
Media Release/Chris Sanders/Alabama Arise
