The extreme MAGA House Majority is threatening to manufacture a catastrophic default crisis and economic collapse. To hold the economy hostage, the House passed a long list of hugely unpopular and extreme ransom demands that promise pain for millions of average Americans including veterans, seniors, students, children, workers, and the food insecure. They voted to ship 100,000 high paying manufacturing jobs overseas while going out of their way to protect wealthy tax cheats. The MAGA Majority’s proposed cuts are untenable, unworkable, and unserious, especially as they leave in place costly tax breaks for billionaires and big corporations. With the nation now projected to run out of money as early as June 1st, Accountable.US’ Cost Of MAGA Default’ project continues to underscore the catastrophic consequences of a MAGA default that grows closer by the day.
Today in focus: The MAGA Majority’s proposed cuts would result in 926,000 households losing their housing choice vouchers — leaving nearly a million people without needed rental assistance.
Also on the chopping block, the MAGA Majority’s cuts would undermine thousands of students’ access to public education by reducing the maximum Pell Grant for low-income students by $1,000, and the number of children in head start by 200,000.
- Federal Agencies Noted “That In 2024 The Cuts Would Cause 926,000 Households To Lose Housing Choice Vouchers, Which Helps Families With Low Incomes Afford Rent” And That “The Cut Would Reduce The Maximum Pell Grant That Helps Students Afford College By $1,000; Cut The Number Of Children In Head Start By 200,000; And Force Social Security Field Offices To Close And Staff To Be Laid Off.” “They found, for example, that in 2024 the cuts would cause 926,000 households to lose Housing Choice Vouchers, which helps families with low incomes afford rent; this would cut the program nearly in half. They also found that the cut would reduce the maximum Pell Grant that helps students afford college by $1,000; cut the number of children in Head Start by 200,000; and force Social Security field offices to close and staff to be laid off — a catastrophic hit to their ability to serve those applying for or receiving Social Security.” [CBPP, 04/24/23]
- Head Start Is A Federal Program Promoting School Readiness In Children Age Five And Younger That Has Helped “Nearly 30 Million Low-Income Children And Their Families.” “Head Start is a federal program that promotes the school readiness of children ages birth to five from low-income families by enhancing their cognitive, social and emotional development. Over a million children are served by Head Start programs every year, including children in every U.S. state and territory and in American Indian and Alaskan Native communities. Since 1965, nearly 30 million low-income children and their families have received these comprehensive services to increase their school readiness. Head Start programs offer a variety of service models, depending on the needs of the local community.” [Department of Health & Human Services, 07/31/20]
BACKGROUND: Accountable.US’ ‘Cost of MAGA Default’ project puts a daily spotlight on specific harms the MAGA Majority’s default plan and brinkmanship will bring for Main Street and Wall Street alike – from tanking markets, frozen credit, lost jobs, disruptions to critical benefits like Social Security, and soaring interest rates on everything from car loans to mortgages. While the MAGA Majority claims they are holding the economy hostage over supposed debt ‘concerns,’ they insist on harmful cuts – crafted by the far-right House Freedom Caucus – aimed at average Americans while protecting and even expanding debt ballooning tax breaks for billionaires and big corporations that profiteer and ship U.S. jobs overseas. Not a deadbeat nation: The U.S. has never failed to pay its bills and Congress worked to prevent default 78 times since 1960, including 3 times during the Trump administration. The clock is ticking. The MAGA majority should stop playing dangerous political games with American lives and the economy and responsibly pass a clean bill that allows the nation to pay its bills. The sooner they do, the less damage will be inflicted on Americans of all walks of life.