"Big Beautiful Bill" Threatens to Steal From Poor Kids?

Article Heading: What Children in Poverty Stand to Lose Under the "Big Beautiful Bill"

The "Big Beautiful Bill," as it's been dubbed, is generating considerable debate, particularly concerning its potential impact on the nation's most vulnerable children. While proponents tout its benefits for the economy, a closer look reveals that low-income children and families could face significant setbacks if the bill becomes law. The nonpartisan Congressional Budget Office (CBO) has raised serious concerns, highlighting potential reductions in vital resources for the poorest households.

At the heart of the issue is the effort to offset the costs of extending the 2017 Trump tax cuts. Republicans in both the House and Senate are proposing changes to crucial social safety net programs. These programs provide essential health care, food benefits, and financial assistance to millions of children.

Health Care at Risk: Medicaid and CHIP

Currently, over **37 million children** rely on Medicaid or the Children's Health Insurance Program (CHIP) for healthcare. These programs are lifelines, providing affordable health insurance to pregnant mothers and children living near or below the poverty line. Medicaid and CHIP collectively protect nearly half of all U.S. children. They begin with prenatal care, cover over 40% of U.S. births (and nearly half of all rural births), and continue to insure millions into young adulthood.

The proposed changes include:

• Continuing to allow states to impose waiting periods before families can enroll in CHIP.
• Locking families out of CHIP if they fail to keep up with premiums.
• Introducing a national work requirement for Medicaid recipients.

Allison Orris, director of Medicaid policy at the Center on Budget and Policy Priorities, notes that even with exemptions to the work requirements, past experience shows that exemptions are "not always effective." Senate Republicans are even proposing part-time work requirements for parents of children over 14.

While some argue that increased parental earnings could benefit children, others warn of increased administrative hurdles that could disproportionately affect vulnerable families. Joan Alker, head of Georgetown University's Center for Children and Families, emphasizes that "When there's more red tape, we know that it's harder for families."

Despite claims to the contrary, the CBO estimates that the House bill could cut federal spending on Medicaid by roughly **$800 billion over the next decade.** The Commonwealth Fund estimates that as many as **1 in 5 children** could be at risk of losing their Medicaid coverage if the House proposal is enacted.

Food Assistance Under Threat: SNAP Cuts

Proposed changes to the Supplemental Nutrition Assistance Program (SNAP), commonly known as food stamps, could also have devastating consequences. SNAP currently helps pay for groceries for more than **15 million children** in the U.S.

Katie Bergh, a senior policy analyst for food assistance at the Center on Budget and Policy Priorities, warns that the bill would bring "the deepest cut to food assistance in history."

Key proposed changes include:

• Expanding SNAP's existing work requirements.
• Cutting more than $290 billion from SNAP over 10 years, potentially eliminating or substantially reducing food assistance for more than 2 million children.
• Shifting between 5% and 25% of the cost of food benefits onto states.

The CBO warns that this cost-shifting could lead some states to modify benefits, eligibility, or even leave SNAP altogether. Losing access to SNAP benefits could also lead to children losing their automatic enrollment in free meals at school.

The CBO estimates that resources for the poorest households would decrease by about **$1,600 per year**, primarily due to cuts in Medicaid and SNAP. In contrast, the wealthiest households would see an average annual gain of **$12,000.**

Tax Benefits: A Mixed Bag

Senate Republicans are proposing some updates to tax benefits for families, including the Child and Dependent Care tax credit, which could improve access to child care. However, proposed changes to the Earned Income Tax Credit (EITC) and the Child Tax Credit (CTC) are drawing criticism.

The proposed changes to the EITC would introduce additional administrative hurdles for families. For the CTC, while House Republicans want to increase the credit to $2,500, the eligibility requirements could make it harder for low-income families to actually receive the full benefit. Megan Curran, policy director with the Center on Poverty and Social Policy at Columbia University, estimates that the House bill could disqualify more than **4.5 million children** because it would require both parents to have a Social Security number.

The Broader Impact and a Path Forward

Research consistently demonstrates that investing in vulnerable children yields significant returns, not only for the children and their families but also for the nation as a whole. As Curran notes, "Every dollar that you spend on the child tax credit in an expanded form that reaches all kids would return at least $10 a year." This is because investments in children's health and education lead to better jobs and increased tax revenue in the future.

The potential consequences of the "Big Beautiful Bill" for children living in poverty are profound. While the debate surrounding the bill is complex, it is crucial to consider the long-term impact on our nation's most vulnerable citizens. A more equitable and sustainable approach would prioritize investments in children, ensuring they have the resources they need to thrive, both now and in the future.

Source: https://www.npr.org/2025/06/20/nx-s1-5437851/children-poverty-republicans-big-beautiful-bill-reconciliation