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Trump's tax cut bill decimates Medicaid in NJ. Republicans are accountable

NEW JERSEY, UNITED STATES, JUL 8 – The $1 trillion Medicaid reduction over the next decade may cause 350,000 residents to lose NJ FamilyCare coverage and trigger $3.3 billion in hospital funding cuts, officials said.

  • President Donald Trump signed the federal budget package known as the Big, Beautiful Bill on July 4, 2025, enacting sweeping tax cuts and spending changes.
  • The bill sustains many 2017 Trump tax cuts while implementing about $1.2 trillion in Medicaid and food stamp reductions through stricter work requirements, raising concerns about coverage losses.
  • New Jersey faces $360 million in annual federal aid cuts, with hospitals expecting $3.3 billion less funding, and more than 350,000 residents likely losing Medicaid coverage, affecting NJ FamilyCare.
  • Speaker Mike Johnson called the bill 'jet fuel' for the economy, projecting 3% growth, 4 million new jobs, and $13,000 average household income increases, while Democrats label it a wealth transfer favoring the rich.
  • House Budget Chair Jodey Arrington said Republican lawmakers plan to reintroduce provisions cut for parliamentary reasons in future legislation, indicating ongoing efforts to advance this economic agenda.
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NJ Spotlight News broke the news in on Monday, July 7, 2025.
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