Mulvaney Misleads on Food Stamps and Big Bird

President Trump’s budget director, Mick Mulvaney, defended austere budget cuts with misleading claims about economic development in coal country, how Social Security disability works and Big Bird

The budget calls for changes to the Medicaid program that would “save” $610 billion over 10 years. Mr. Mulvaney argued that this didn’t count as a cut since it still allocated “more money year on year” for Medicaid.

While the actual dollar amount of Medicaid spending would increase over a decade, it would decrease as a percentage of the gross domestic product. Mr. Trump proposes $408 billion for Medicaid in 2018, and $688 billion by 2027. So whereas spending next year would account for 2 percent of the economy, it would fall to 1.7 percent by 2027.

The Republican health care bill, which passed the House and is endorsed by the White House, also proposes cuts to Medicaid.

The budget calls for the elimination of the Appalachian Regional Commission (known as ARC), a federal-state partnership created by the Appalachian Regional Development Act of 1965 to spur economic development. It covers 13 states and 420 counties, 399 of which voted for Mr. Trump.

A 1996 study from the Government Accountability Office found economic growth in the region, but could not definitively link it to the commission. More recent research, however, could.

James P. Ziliak, an economics professor at the University of Kentucky and the editor of the book “Appalachian Legacy,”found that reduced poverty levels and incomes grew at faster rates in the region than in bordering counties, specifically because of the commission.

Given its small size ($152 million in the 2017 fiscal year) and large geographic scope, the commission has demonstrated a “real impact,” Mr. Ziliak said. Half of the gains were realized in the first five years, but subsequent budgets severely slashed funding for the commission, suggesting that more funding is needed, he said.

Claiming food stamp recipients don’t work.

Justifying a $191 billion cut to the Supplemental Nutritional Assistance Program, which provides food stamps for households with low incomes, Mr. Mulvaney suggested a work requirement for “able-bodied” adults to receive benefits.

But such a requirement already exists. Adults who don’t have dependents or a disability must work at least 80 hours each month or participate in a work force program to qualify. Otherwise, they can receive food stamps for only three months over three years. States can apply for waivers in areas with high unemployment rates or a lack of jobs. Two-thirds of some 45 million SNAP participants were children, seniors and adults with a disability in the 2015 fiscal year, according to official data.

Of recipients who can work, many do — or at least want to. About 30 percent of adults were employed, and 27 percent were looking for work. Of the remaining 43 percent, it’s unclear how many have disabilities.

Over all, 32 percent of food stamp households had earnings, and 44 percent of participants lived in households with one person working. SNAP participation remains high, in part, because while unemployment has declined since the recession, wages have not risen.

http://www.msn.com/en-us/news/factcheck/defending-cuts-mulvaney-misleads-on-food-stamps-and-big-bird/ar-BBBzfzx?li=BBnb7Kz&ocid=DELLDHP