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Johnson Rules Out an Aggressive Plan to Cut Medicaid as G.O.P. Moderates Waver

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Johnson Rules Out an Aggressive Plan to Cut Medicaid as G.O.P. Moderates Waver

Speaker Mike Johnson has dropped one of the most aggressive options the G.O.P. was considering to cut Medicaid costs to help pay for President Trump’s domestic agenda, bowing to pressure from politically vulnerable Republicans and underscoring the deep party divisions imperiling the plan.

Leaving his office on Tuesday night after meeting with a group of more moderate members, Mr. Johnson told reporters that House Republicans had ruled out lowering the amount the federal government pays states to care for working-age adults who became eligible for the program through the Affordable Care Act’s Medicaid expansion.

Mr. Johnson also suggested he was leaning against another way of reducing spending on Medicaid, by changing the way the federal government pays states — currently by providing a percentage of beneficiaries’ medical bills — to a flat fee per person.

“I think we’re ruling that out as well, but stay tuned,” the speaker said.

The retreat was an acknowledgment that many House Republicans viewed the ideas — both of which would create large state budget shortfalls — as politically toxic. It also underscored how difficult it will be for Mr. Johnson’s conference to find Medicaid cuts that hit the spending targets Republicans set for themselves and also win enough votes to pass.

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Ultraconservative Republicans quickly vented their opposition, in a public reminder that Mr. Johnson’s efforts to stave off a revolt of mainstream lawmakers could cost him crucial support from his right flank. That could doom Mr. Trump’s vast tax and spending cut plan in the House, where the speaker can afford to lose fewer than a handful of votes.

“Well – I haven’t ruled it out,” Representative Chip Roy, Republican of Texas, declared on social media after Mr. Johnson’s comments on Tuesday night about abandoning the idea of cutting back on federal payments for some Medicaid beneficiaries. “It’s necessary to stop robbing from the vulnerable to fund the able-bodied.”

House Republicans are laboring to identify roughly $2 trillion in spending cuts to help offset both the 2017 tax cuts they want to extend and the new tax cuts they want to pass in their reconciliation bill. The biggest challenge so far has centered on the Medicaid program, which provides health insurance to 72 million poor and disabled Americans.

The House budget plan calls for $880 billion in cuts from the committee that oversees the program, a target that would be difficult to achieve without substantial changes. If House Republicans cannot agree on policies that comply with the instructions, the entire package could be doomed.

Abruptly reducing federal funding for the program by paying less in the 40 states and the District of Columbia that have expanded Medicaid under Obamacare would have saved an estimated $710 billion over a decade, according to new estimates released by the Congressional Budget Office on Wednesday.

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That would have cut funding to state governments, which would have been left with difficult choices. Nine states have passed laws that would cause them to automatically drop coverage for the expansion population if federal funding declines, and three others have provisions that would force an immediate legislative review.

Other states would need to make up the money in some other way — by cutting benefits or payments to medical providers, raising taxes or cutting other state functions. As a result of those changes, the budget office estimated that the policy would cause 5.5 million Americans to lose their Medicaid coverage and 2.4 million Americans to become uninsured.

The Obamacare expansion extended health benefits to poor, childless adults without disabilities, a population that many Republican lawmakers consider less worthy of resources than other populations Medicaid serves, such as poor children, pregnant women and Americans who live in nursing homes. But other Republicans see this population as a core constituency, as working-class voters have become a growing component of the party’s electoral coalition.

Some conservatives like Mr. Roy have argued that uniting around cutting the Affordable Care Act, a program their party detests, should be the bare minimum for Republicans looking to raise revenue for Mr. Trump’s agenda.

“I’ve got a bunch of my colleagues running around saying, ‘Well, we can’t touch Medicaid,’” Mr. Roy said in a speech on the House floor. “Why can’t we? Medicaid was expanded under Obamacare, which we all opposed, and the Medicaid expansion was a big reason why we opposed it.”

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But many of Mr. Roy’s colleagues, especially those in politically competitive seats, do not agree. The cuts would be particularly damaging in wealthier Democratic-led states, such as California and New York, where Republicans have been elected in districts where many constituents use Medicaid.

Medicaid pays those states 90 percent of the medical bills for people covered under the expansion, but only half the bill for other beneficiaries, a significant difference.

“I will never support cuts to Medicaid, Medicare or Social Security that are not specifically aimed at reducing waste, fraud or abuse,” said Representative Jeff Van Drew, Republican of New Jersey.

But without any such cuts, Republicans are left with a dwindling set of options that would allow them to meet their $880 billion target. Medicaid reforms with broad support across the caucus, such as requiring beneficiaries to prove they are employed in order to keep their benefits, would not reduce spending by nearly as much.

Another option under consideration, limiting taxes on hospitals and other complex financing maneuvers that states use to increase federal spending on the program, would tend to disadvantage states led by Republicans. The budget office estimated it would reduce the deficit by around $668 billion and cause 3.9 million more people to become uninsured.

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Mr. Trump has also recently expressed a reluctance to make any major cuts to Medicaid, and has repeated several times that the program should not be “touched.” A White House official said Mr. Trump was pushing for stronger discounts on prescription drugs used in Medicaid, an alternative that would avoid some of the political pitfalls but may not save enough to comply with the budget language.

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Trump dismisses calls for Alito, Thomas to step down from Supreme Court, calling them ‘fantastic’

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Trump dismisses calls for Alito, Thomas to step down from Supreme Court, calling them ‘fantastic’

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President Donald Trump pushed back on calls for Supreme Court Justices Samuel Alito and Clarence Thomas to step down, calling them both “fantastic.”

Trump made the remark to Politico this week as the outlet reported that some members of the Republican Party are hoping the court’s two oldest conservatives consider stepping down before the midterm elections. That would enable Trump to nominate conservatives to take their place while the Republican Party is still guaranteed control of the Senate.

“I hope they stay,” Trump said, adding, “‘Cause I think they’re fantastic.”

Alito, 75, has no plans to retire from the Supreme Court anytime soon, a source close to the justice told The Wall Street Journal in November 2024 after Trump was elected.

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SCOTUS POISED TO SIDE WITH TRUMP ON FTC FIRING – A SHOWDOWN THAT COULD TOPPLE 90-YEAR PRECEDENT

President Donald Trump and Supreme Court Justices Clarence Thomas, center, and Samuel Alito, right. (Chip Somodevilla/Pool/AFP via Getty Images; Andrew Harnik/Getty Images; Matt McClain/The Washington Post via Getty Images)

“Despite what some people may think, this is a man who has never thought about this job from a political perspective,” a person close to Alito said to the newspaper.

“The idea that he’s going to retire for political considerations is not consistent with who he is,” this person added. 

Alito was appointed to the Supreme Court in 2006 by President George W. Bush.

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‘THE VIEW’ CO-HOST ‘SCARED’ OVER SOTOMAYOR RESPONSE ON TRUMP POTENTIALLY SEEKING A THIRD TERM

Supreme Court Justices Samuel Alito, Clarence Thomas and Brett Kavanaugh share a laugh while waiting for their opportunity to leave the stage at the conclusion of the inauguration ceremonies in the Rotunda of the U.S. Capitol on Jan. 20, 2025, in Washington, D.C.  (Chip Somodevilla/Pool/AFP via Getty Images)

Thomas is 77 years old. He was appointed to the court by President George H.W. Bush in 1991.

Sonia Sotomayor, appointed by President Obama in 2009, is 71. 

In 2022, a handful of House Democrats demanded that Thomas step down or be impeached because he would not recuse himself from cases related to the Jan. 6, 2021, Capitol riot.

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U.S. Supreme Court: Associate Justice Sonia Sotomayor, Associate Justice Clarence Thomas, Chief Justice of the United States John Roberts, Associate Justice Samuel Alito, and Associate Justice Elena Kagan, Associate Justice Amy Coney Barrett, Associate Justice Neil Gorsuch, Associate Justice Brett Kavanaugh and Associate Justice Ketanji Brown Jackson. (Alex Wong/Getty Images)

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Investigators on the Jan. 6 select committee revealed that the justice’s wife, Ginni Thomas, sent text messages to then-White House chief of staff Mark Meadows urging him to challenge Donald Trump’s 2020 election loss.

Fox News Digital’s Breanne Deppisch and Chris Pandolfo contributed to this report.

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Supreme Court sounds ready to give Trump power to oust officials of independent agencies

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Supreme Court sounds ready to give Trump power to oust officials of independent agencies

The Supreme Court’s conservatives sounded ready on Monday to overrule Congress and give President Trump more power to fire officials at independent agencies and commissions.

The justices heard arguments on whether Trump could fire Rebecca Slaughter, one of two Democratic appointees on the five-member Federal Trade Commission.

The case poses a clash between Congress’ power to structure the government versus the president’s “executive power.”

A ruling for Trump portends a historic shift in the federal government — away from bipartisan experts and toward more partisan control by the president.

Trump’s Solicitor General D. John Sauer said the court should overturn a 1935 decision that upheld independent agencies. The decision “was grievously wrong when decided. It must be overruled,” he told the court.

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The court’s three liberals strongly argued against what they called a “radical change” in American government.

If the president is free to fire the leaders of independent agencies, they said, the longstanding civil service laws could be struck down as well.

It would put “massive, uncontrolled and unchecked power in the hands of the president,” Justice Elena Kagan said.

But the six conservatives said they were concerned that these agencies were exercising “executive power” that is reserved to the president.

It was not clear, however, whether the court will rule broadly to cover all independent agencies or focus narrowly on the FTC and other similar commissions.

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For most of American history, Congress has created independent boards and commissions to carry out specific missions, each led by a board of experts who were appointed with a fixed term.

But the court’s current conservative majority has contended these commissions and boards are unconstitutional if their officials cannot be fired at will by a new president.

Past presidents had signed those measures into law, and a unanimous Supreme Court upheld them 90 years ago in a case called Humphrey’s Executor vs. U.S.

In creating such bodies, Congress often was responding to the problems of a new era.

The Interstate Commerce Commission was created in 1887 to regulate railroad rates. The FTC, the focus of the court case, was created in 1914 to investigate corporate monopolies. The year before, the Federal Reserve Board was established to supervise banks, prevent panics and regulate the money supply.

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During the Great Depression of the 1930s, Congress created the Securities and Exchange Commission to regulate the stock market and the National Labor Relations Board to resolve labor disputes.

Decades later, Congress focused on safety. The National Transportation Safety Board was created to investigate aviation accidents, and the Consumer Product Safety Commission investigates products that may pose a danger. The Nuclear Regulatory Commission protects the public from nuclear hazards.

Typically, Congress gave the appointees, a mix of Republicans and Democrats, a fixed term and said they could be removed only for “inefficiency, neglect of duty or malfeasance in office.”

Slaughter was first appointed by Trump to a Democratic seat and was reappointed by President Biden in 2023 for a seven-year term.

But conservatives often long derided these agencies and commissions as an out-of-control “administrative state,” and Chief Justice John G. Roberts Jr. said he believes their independence from direct presidential control is unconstitutional.

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“The President’s power to remove — and thus supervise — those who wield executive power on his behalf follows from the text” of the Constitution, he wrote last year in his opinion, which declared for the first time that a president has immunity from being prosecuted later for crimes while in office.

Roberts spoke for a 6-3 majority in setting out an extremely broad view of presidential power while limiting the authority of Congress.

The Constitution in Article I says Congress “shall have the power…to make all laws which shall be necessary and proper for carrying into execution…all other powers vested” in the U.S. government. Article II says, “the executive power shall be vested in a President of the United States.”

The current court majority believes that the president’s executive power prevails over the power of Congress to set limits by law.

“Congress lacks authority to control the President’s ‘unrestricted power of removal’ with respect to executive officers of the United States,” Roberts wrote last year in Trump vs. United States.

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Four months later, Trump won reelection and moved quickly to fire a series of Democratic appointees who had fixed terms set by Congress. Slaughter, along with several other fired appointees, sued, citing the law and her fixed term. They won before federal district judges and the U.S. Court of Appeals.

But Trump’s lawyers filed emergency appeals at the Supreme Court, and the justices, by 6-3 votes, sided with the president and against the fired officials.

In September, the court said it would hear arguments in the case of Trump vs. Slaughter to decide on whether to overturn the Humphrey’s Executor decision.

At the time, conservatives applauded the move. “For far too long, Humphrey’s Executor has allowed unaccountable agencies like the FTC to wield executive power without meaningful oversight,” said Cory Andrews, general counsel for the Washington Legal Foundation.

In defense of the 1935 decision, law professors noted the court said that these independent boards were not purely executive agencies, but also had legislative and judicial duties, like adopting regulations or resolving labor disputes.

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During Monday’s argument, Justice Ketanji Brown Jackson said the principle of “democratic accountability” called for deferring to Congress, not the president.

“Congress decided that some matters should be handled by nonpartisan experts. They said expertise matters with respect to the economy and transportation. So having the president come in and fire all the scientists and the doctors and the economists and the PhDs and replacing them with loyalists is actually is not in the best interest of the citizens of the United States,” she said.

But that argument gained no traction with Roberts and the conservatives. They said the president is elected and has the executive authority to control federal agencies.

The only apparent doubt involved the Federal Reserve Board, whose independence is prized by business. The Chamber of Commerce said the court should overrule the 1935 decision, but carve out an exception for the Federal Reserve.

Trump’s lawyer grudgingly agreed. If “an exception to the removal power exists,” he wrote in his brief in the Slaughter case, it should be “an agency-specific anomaly” limited to the Federal Reserve.

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Video: Trump Offers Farmers $12 Billion Bailout From Trade War

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Video: Trump Offers Farmers  Billion Bailout From Trade War

new video loaded: Trump Offers Farmers $12 Billion Bailout From Trade War

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Trump Offers Farmers $12 Billion Bailout From Trade War

President Trump promised struggling farmers billions in federal aid during a round-table meeting on Monday. This comes after China boycotted American farm products in retaliation for U.S. tariffs.

We love our farmers, and as you know, the farmers like me because based on voting trends, you could call it voting trends or anything else, but they’re great people. They’re the backbone of our country.

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President Trump promised struggling farmers billions in federal aid during a round-table meeting on Monday. This comes after China boycotted American farm products in retaliation for U.S. tariffs.

By Jamie Leventhal

December 8, 2025

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