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David Dayen: What Else Is Included in the Big Ugly Budget Bill?

By dianeravitch
July 1, 2025 //
5

Since this is a mostly education blog, I have covered the budget debate by focusing on what the GOP is doing to maim public schools and enrich private (especially religious schools). In the past, Republicans were strong supporters of public schools. But the billionaires came along and brought their checkbooks with them.

The rest of the Ugly bill is devastating to people who struggle to get by. Deep cuts to Medicaid, which will force the closure of many rural hospitals. Cuts to anything that protects the environment or helps phase out our reliance on fossil fuels. Well, at least Senator Schumer managed to change the name of the bill, new name not yet determined.

One Republican vote could have sunk the bill. But Senator Murkowski got a mess of pottage.

David Dayen writes in The American Prospect:

Welcome to “Trump’s Beautiful Disaster,” a pop-up newsletter about the Republican tax and spending bill, one of the most consequential pieces of legislation in a generation. Sign up for the newsletter to get it in your in-box.

By the thinnest of margins, the U.S. Senate completed work on the One Big Beautiful Bill Act on Tuesday morning, after Sen. Lisa Murkowski (R-AK) decided that she could live with a bill that takes food and medicine from vulnerable people to fund tax cuts tilted toward the wealthy, as long as it didn’t take quite as much food away from Alaskans.

The new text, now 887 pages, was released at 11:20 a.m. ET. The finishing touches of it, which included handwritten additions to the text, played out live on C-SPAN, with scenes of the parliamentarian and a host of staff members from both parties huddled together.

At the very end, Senate Minority Leader Chuck Schumer knocked out the name “One Big Beautiful Bill Act” with a parliamentary maneuver, on the grounds that it was ridiculous (which is hard to argue). It’s unclear what this bill is even called now, but that hardly matters. The final bill passed 51-50, with Vice President JD Vance breaking the tie.

Murkowski was able to secure a waiver from cost-sharing provisions that would for the first time force states to pay for part of the Supplemental Nutrition Assistance Program (SNAP). In order to get that past the Senate parliamentarian, ten states with the highest payment error rates had to be eligible for the five-year waiver, including big states like New York and Florida, and several blue states as well. 

The expanded SNAP waivers mean that in the short-term only certain states with average or even below-average payment error rates will have to pay into their SNAP program; already, the language provided that states with the lowest error rates wouldn’t have to pay. “The Republicans have rewarded states that have the highest error rates in the country… just to help Alaska, which has the highest error rate,” thundered Sen. Amy Klobuchar (R-MN), offering an amendment to “strike this fiscal insanity” from the bill. The amendment failed along party lines.

The new provision weakens the government savings for the bill at a time when the House Freedom Caucus is calling the Senate version a betrayal of a promise to link spending cuts to tax cuts. But those House hardliners will ultimately have to decide whether to defy Donald Trump and reject the hard-fought Senate package, which only managed 50 votes, or to cave to their president.

In addition, Murkowski got a tax break for Alaskan fishing villages and whaling captains inserted into the bill. Medicaid provisions that would have boosted the federal share of the program for Alaska didn’t get through the parliamentarian; even a handwritten attempt to help out Alaska on Medicaid was thrown out at the last minute. But Murkowski still made off with a decent haul, which was obviously enough for her to vote yes.

All Republicans except for Sens. Rand Paul (R-KY), Thom Tillis (R-NC), and Susan Collins (R-ME) voted for the bill. Tillis and Collins are in the two most threatened seats among Republicans in the 2026 midterm elections; Tillis decided to retire rather than face voters while passing this bill. Paul, a libertarian, rejected the price tag and the increase in the nation’s debt limit that is folded into the bill.

Other deficit hawks in the Senate caved without even getting a vote to deepen the Medicaid cuts. That could be the trajectory in the House with Freedom Caucus holdouts. But the House also has problems with their handful of moderates concerned about the spending slashes in the bill.

The bill was clinched with a “wraparound” amendment that made several changes, including the elimination of a proposed tax on solar and wind energy production that would have made it impossible to build new renewable energy projects. The new changes now also grandfather in tax credits to solar and wind projects that start construction less than a year after enactment of the bill. Even those projects would have to be placed in service by 2027. The “foreign entities of concern” provision was also tweaked to make it easier for projects that use a modicum of components from China to qualify for tax credits.

The bill still phases out solar and wind tax credits rather quickly, and will damage energy production that is needed to keep up with soaring demand. But it’s dialed down from apocalyptic to, well, nearly apocalyptic. And this is going to be another source of anger to the Freedom Caucus, which wanted a much quicker phase-out of the energy tax credits.

The wraparound amendment also doubled the size of the rural hospital fund to $50 billion. The Senate leadership’s initial offer on this fund was $15 billion. Overnight the Senate rejected an amendment from Collins that would have raised the rural hospital fund to $50 billion. Even at that size—which will be parceled out for $10 billion a year for five years—it hardly makes up for nearly $1 trillion in Medicaid cuts, which are permanent. The hospital system is expected to buckle as a result of this legislation, if it passes.

Some taxes, including a tax on third-party “litigation finance,” were removed in the final bill. But an expanded tax break for real estate investment trusts, which was in the House version, snuck into the Senate bill at the last minute.

The state AI regulation ban was left out of the final text after a 99-1 rejection of it in an amendment overnight.

The action now shifts to the House, where in addition to Freedom Caucus members concerned about cost, several moderates, including Reps. David Valadao (R-CA) and Jeff Van Drew (R-NJ), have balked at the deep spending cuts to Medicaid and other programs.

Categories Accountability, Billionaires, Budget Cuts, Cruelty, Democracy, Disruption, Economy, Education Industry, Environment, Ethics, Extremism, Funding, Health, Injustice, Privatization, Religion, Trump

Randi Weingarten: Trump’s Big Bad Bill Is Good for His Billionaire Buddies

By dianeravitch
July 1, 2025 //
0

The American Federation of Teachers released a statement by its President Randi Weingarten:

Contact:
Andrew Crook
607-280-6603
acrook@aft.org

AFT’s Weingarten on Senate’s Big, Ugly Betrayal of America’s Working Families

As we prepare to celebrate our independence, the promise of the American dream, of freedom and prosperity for all, is now further out of reach.’

WASHINGTON—AFT President Randi Weingarten issued the following statement after the Senate passed President Trump’s billionaire tax scam:

“This is a big, ugly, obscene betrayal of American working families that was rammed through the Senate in the dead of night to satisfy a president determined to hand tax cuts to his billionaire friends.

“These are tax cuts paid for by ravaging the future: kicking millions off healthcare, closing rural hospitals, taking food from children, stunting job growth, hurting the climate, defunding schools and ballooning the debt. It will siphon money away from public schools through vouchers—which harm student achievement and go mostly to well-off families with kids already in private schools. It’s the biggest redistribution of wealth from the poor to the rich in decades—far worse, to the tune of hundreds of billions of dollars, than the version passed by the House.

“But if you only listened to those who voted yes, you wouldn’t have heard anything like that. You would’ve heard bad faith attempts to rewrite basic laws of accounting so they could assert that the bill won’t grow the deficit. You would’ve heard false claims about what it will do to healthcare and public schools and public services, which are the backbone of our nation.

“The reality is that the American people have rejected, in poll after poll, this bill’s brazen deception. As it travels back to the House and presumably to the president’s desk, we will continue to sound the alarm and let those who voted for it know they have wounded the very people who voted them into office. But it is also incumbent on us to fight forward for an alternative: for working-class tax cuts and for full funding of K-12 and higher education as engines of opportunity and democracy.

“Sadly, as we prepare to celebrate our independence, the promise of the American dream, of freedom and prosperity for all, is now further out of reach.”

 ###

The AFT represents 1.8 million pre-K through 12th-grade teachers; paraprofessionals and other school-related personnel; higher education faculty and professional staff; federal, state and local government employees; nurses and healthcare workers; and early childhood educators.

Categories Billionaires, Budget Cuts, Cruelty, Democracy, Disruption, Ethics, Evil, Extremism, Funding, Health, Inequity, Injustice, Privatization, Religion, Republicans, Trump

Carol Burris: Update on the School Funds in Trump’s Big Ugly Budget Bill

By dianeravitch
July 1, 2025 //
0

Most attention has focused on the horrible cuts to Medicaid and food assistance (SNAP) in the bill just passed by the GOP majority in the Senate. It has some differences with the version passed by the GOP House, so there will be changes and compromises.

Carol Burris, executive director of the Network for Public Educaruon, wrote this update on the education portion of the Senate bill that passed, called the Educational Choice for Children Act (ECCA). She refers to the Big Ugly Budget Bill as BBB.

She writes:

Despite the efforts of Democratic senators to get the Parliamentarian to override ECCA entirely, ECCA was significantly weakened in the Senate BBB and is no longer a universal voucher program. 

  •  The $4 billion cap for total contributions was removed. It is now unlimited. However, it is no longer a tax shelter for stocks, making contributions far less attractive. The maximum credit has been reduced to $ 1,700. 
  • States, as well as the Treasury, can now regulate the program; therefore, states without a voucher program are not mandated to have one. Additionally, the credits are only available to individuals residing in a state with an approved Scholarship Granting Organization (SGO).
  • Because the bill allows public school students to access scholarships and the list of allowable activities includes tutoring, payment for courses, and payment for tests (for example, AP exams), I am trying to determine whether states without vouchers could create SGOs for public school students only.
  • BBB needs to go back to the House, so all of this will likely change again. 

Categories Budget Cuts, Charter Schools, Cruelty, Education Industry, Ethics, Extremism, Funding, Inequity, Republicans, School Choice, Trump, Vouchers

Stephen Dyer: Vouchers in Ohio Are a Disaster! I Told You So!

By dianeravitch
June 27, 2025 //
18

Stephen Dyer is a public policy expert, a specialist in school finance, and a former legislator in Ohio. He warned 11 years that vouchers would drive the state budget over a fiscal cliff. The court decision a few days ago proves that he was right on target.

Let this be a warning to all the other states that are adopting vouchers (without the consent of the governed, in every case).

He writes:

Proponents have claimed for years that Ohio and U.S. Supreme Court cases from the program’s infancy allows for explosive growth. Judge Jaiza Page warns, “Not so fast.” Just like I did 11 years ago.

Dyer wrote the following 11years ago:

“Overall, the state is sending nearly $144 million to private schools this year. In 2010-2011, that number was $78.85 million — nearly half the amount. Makes you wonder whether the case upholding Ohio’s Vouchers in 2002 would have the same outcome today. Also makes me want to kind of find out.” — Stephen Dyer on 10th Period blog, Jan. 25, 2014

Now he writes:

I guess we found out Tuesday, didn’t we?

To be clear, I had no idea that anyone would actually file a lawsuit against Ohio’s unconstitutional Voucher system when I wrote that on Blogspot 11 years ago (though I really did want someone to do that). But given the Ohio and U.S. Supreme Court’s rulings on vouchers at the turn of the century, I did question whether the state’s explosive funding of vouchers actually was justified under those rulings.

Guess who else agreed with me? Franklin County Judge Jaiza Page. While I focused in 2014 on the 2002 U.S. Supreme Court case Zelman v. Simmons-Harris, Judge Page focused on the 1999 Ohio Supreme Court case Simmons-Harris v. Goff. 

Goff reached a similar conclusion as Zelman — that given the program’s then-small educational footprint, both in terms of kids and money — it did not interfere with Ohio’s overall ability to educate its public school students, so the program (which at the time only included Cleveland) was ok.

However, when Goff was decided, the Cleveland Voucher Program cost $5.7 million. The just-passed state budget allocated $2.5 billion over the biennium to the current program.

And that’s where voucher proponents got waaaay out over their skis. I realized this 11 years ago. But now, it’s even more obvious. The programs examined by the U.S. and Ohio Supreme Courts at the turn of the century look very different from the current budget hog Judge Page examined.

And she made that factual difference really clear in her ruling:

“As to the thorough and efficient challenge, the court ultimately held, “[w]e fail to see how the School Voucher Program, at the current funding level, undermines the state’s obligation to public education.” (Emphasis added.) Id. From this language, the Court concludes that the Goff court foresaw a renewed challenge to a larger scholarship or voucher program like EdChoice as an unconstitutional state supported system of private schools. Goff warned that a system that does not create but supports nonpublic schools in a way that jeopardizes the thoroughness and efficiency of the State’s system of public schools violates Article VI Section 2 of the Ohio Constitution.”

Added to this is this incredible fact that was brought out in the court case: 

Not a single penny of voucher money goes to a single parent or student. It goes directly to private, mostly religious schools.

Let me repeat that for those of you in the back:

Not a single penny of voucher money goes to a single parent or student. It goes directly to private, mostly religious schools.

That’s right. This whole money-following-the-kid/parental-choice narrative that voucher proponents are still spilling out is complete, utter Grade A Bullshit.

In 1999, the money did go to parents and kids. Page was quite concerned about this payment change because the Ohio Constitution bans state establishment of religious schools. And if state money flows directly to religious schools that rely heavily on taxpayer subsidies (she mentioned that some private schools have 75% or more of their kids on vouchers), that is establishment and unconstitutional.

“By bestowing participating private religious schools with complete control over prospective students’ participation, the “school choice” here is made by the private school, not “as the result of independent decisions of parents and students.””

It’s as if the original creators of the Voucher program carefully crafted the legislation to pass judicial muster. Then when they got a favorable ruling, the gloves came off.

Oh yeah. One more thing: Not a single penny of the nearly $9 billion we will have spent on vouchers since 1997 has ever been audited. So we have no idea how the money on this unconstitutional program has actually been spent.

But I digress.

Luckily for Ohio’s 1.5 million public school kids, Judge Page recognized the program’s current reality rather than voucher proponents’ fictional account.

Just as your friendly neighborhood blogger did 11 years ago.

Not to brag. 

Well, maybe a little!

Categories Accountability, Budget Cuts, Disruption, Education Industry, Extremism, Funding, Ohio, Privatization, Vouchers

The NY Times: DOGE Lied About Social Security

By dianeravitch
June 26, 2025 //
17

In a long and comprehensive article, three New York Times reporters document what happened when DOGE (or DOGS, as I prefer to say) arrived at the Social Security Administration to root out “waste, fraud, and abuse.” Determined to prove that their services were needed, they misinterpreted data and spun outright lies about finding “millions” of dead people collecting Social Security checks.

The Times titled the article “The Bureaucrat and the Billionaire: Inside DOGE’s Chaotic Takeover of Social Security.” The bureaucrat in the title is Leland Dudek, who became the acting administrator of the giant Social Security Administration, even though he never previously oversaw more than a dozen employees. The billionaire, of course, is Elon Musk.

I wish I could give you a gift article but that option was not available to me as a subscriber.

The bottom line of the article is that the young wizards of DOGE came looking for “waste, fraud, and abuse,” and when they didn’t find it, they made it up. While rummaging through the huge agency, which sends out retirement checks to some 74 million senior citizens, they fired senior officers and thousands of other employees. These checks, by the way, are not government beneficence; people pay a percentage of their income into Social Security throughout their work life, which they collect monthly after they retire.

The DOGS sought access to the agency’s huge computer system, which contains sensitive personal data about those who receive those monthly checks. At first, the federal courts rejected their request but ultimately the U.S. Supreme Court decided that these 20-somethings were entitled to access the data. Privacy is dead. Yours and mine. Elon Musk has the data. What has he done with it, along with information about your taxes? No one knows or says. Musk referred to Social Security as a “Ponzi scheme.”

Here are a few of the high points:

Elon Musk stood before a giant American flag at a Wisconsin political rally in March and rolled out an eye-popping allegation of rampant fraud at the Social Security Administration. Scammers, he said, were making 40 percent of all calls to the agency’s customer service line.

Social Security employees knew the billionaire’s claim had no basis in fact. After journalists followed up, staff members began drafting a response correcting the record.

That’s when Leland Dudek — plucked from a midlevel job only six weeks earlier to run Social Security because of his willingness to cooperate with Mr. Musk’s Department of Government Efficiency — got an angry call from the White House, according to several people familiar with the exchange.

“The number is 40 percent,” insisted Katie Miller, a top administration aide who was working closely with Mr. Musk, according to one of the people familiar with the April 1 call. President Trump believed Mr. Musk, she said. “Do not contradict the president.”

Throughout the early months of this Trump presidency, Mr. Musk and his allies systematically built a false narrative of widespread fraud at the Social Security Administration based on misinterpreted data, using their claims to justify an aggressive effort to gain access to personal information on millions of Americans, a New York Times investigation has found.

Their work has led to the departures of thousands of employees, thinning an already overstretched work force and setting off a wave of public anxiety over the state of an agency administering politically sacrosanct retirement benefits that Mr. Trump has vowed to protect.

Mr. Musk has left Washington amid a blowup with Mr. Trump, and some of his top aides at DOGE have also departed, leaving federal workers and the public to assess what Mr. Musk’s tornadolike path through Washington yielded. At Social Security, Mr. Musk’s efforts amount to a case study in what happened when his team of government novices ran a critical government agency through misinformation and social media blasts.

Musk’s senior aide was Katie Miller, wife of Stephen Miller, one of Trump’s closest aides and the architect of the ICE crackdown on immigrants. When Musk left, she left with him. Don’t ask me to explain how that works, because I don’t know. Did she move to Texas to join his sister-wives? Did she take her three children? Or did she stay in DC? I don’t know.

When he started the investigation of the SSA, Musk believed that he would find “massive fraud,” especially the millions of dead people that he believed were collecting Social Security. He didn’t believe the career bureaucrats who said that he was wrong, nor did he accept a secret DOGE memo concluding that the “massive fraud” didn’t exist. Trump’s presss secretary said on FOX News that “tens of millions” of dead people were collecting Social Security checks. Trump lowered the number in his March 4 address to Congress. He said that Social Security records reported “3.5 million people from ages 140 to 149….And money is being paid to many of them.”

The Times reporters found:

One audit from 2015 found only 13 people older than 112 still receiving benefits. Other audits found payments being sent to an estimated 24,000 people who generally died more recently — a sign of Social Security needing tighter controls and monitoring — but not the millions Mr. Musk claimed.

DOGE did not find the waste, fraud, and abuse they searched for but they pursued something of perhaps even greater value to them: the personal data of everyone who had a Social Security card, which is almost every citizen except young children.

DOGE demanded that the SSA hire a “21-year-old former intern at Palantir, a data analysis and technology firm, and grant him access to the personal data of every Social Security cardholder despite the executives’ concerns that he lacked sufficient training to handle such sensitive information.”

Despite their objections, the U.S. Supreme Court ordered the SSA to give the young man whatever he wanted.

DOGE used its power to advance Trump’s political goals. When Trump quarreled with Maine Governor Janet Mills over transgender athletes, DOGE staffers canceled contracts with the state of Maine.

But under pressure from Mr. Musk’s team, nearly half of the Social Security Administration’s 140 senior executives, and thousands of employees overall, have taken buyouts or retired. As many as 12 percent of staff members, out of a bureaucracy that numbered around 57,000 people, are expected to depart their jobs as part of DOGE’s cost-cutting plan.

To try to make up for the staffing shortfall, the agency has encouraged specialized professionals like lawyers, human resources staff and technologists to take reassignments in customer service jobs — often at higher pay than what the people they’re replacing had made. Workers have said they felt pressured to volunteer for reassignments, or else risk being fired later.

No one knows at this juncture whether DOGE saved money by firing workers at the SSA. But the benefits to DOGE and Musk are enormous: they now have personal data on almost every American.

What will they do with it?

Categories Accountability, Budget Cuts, Data and Data Mining, Disruption, Ethics, Extremism, Funding, Lies, Musk, Elon

Florida: Rare Public Protest Kills GOP Plan to Cut Funding for AP CLASSES

By dianeravitch
June 25, 2025 //
2

Scott Maxwell, opinion columnist for The Orlando Sentinel, wrote about the unusual public protest against the Legislature’s plan to cut funding for AP classes in public schools. For years, Republicans who run the state have inflicted blow after blow on the public schools, preferring to divert billions of public dollars to private and religious schools. But not this time. This time, the public organized fought back and blocked the latest effort to inflict damage on the state’s public schools.

Maxwell writes:

Chalk one up for the Floridians who are willing to stand up and make themselves heard.
Tallahassee politicians were forced last week to abandon their plans to gut funding for AP classes in public schools after they ran into something they rarely encounter in this state — a wall of public opposition.

GOP lawmakers have been pulling the rug out from under public education for the better part of two decades, driving away teachers, injecting political wars into classrooms and diverting public money to private schools. But their plan to cut funding to AP, IB and dual enrollment programs was a bridge too far.

Why? Because this plan to sabotage public schools would’ve impacted a population beyond the marginalized families that these insulated politicians are usually happy to short-change. Legislators were trying to undercut the college prospects of kids who go to high school in Windermere and Winter Park — the children of parents who normally write campaign checks.

And everyone banded together to object.
“I was getting emails from people asking: ‘What do I do? How do I help? Who do I email?’” said Orange County School Board member Stephanie Vanos. “And before long, we started hearing legislators saying: ‘Please make the parents stop emailing us. Please, just make it stop.’”

My thanks to those of you who did not relent, because this idea was as bone-headed as it was backwards.

Basically, Republican lawmakers in both chambers wanted to cut funding allocated for AP (Advanced Placement), IB (International Baccalaureate), AICE (Advanced International Certificate of Education) and even dual enrollment programs at places like Valencia College for students who want to get ahead.

One of the most nonsensical parts about this attack was that it targeted a program that awarded funding based on students who passed these courses. In other words, one that only paid for successful results.

The politicians were also targeting one of the few things Florida really does well in public schools. While Florida’s scores for the SAT and other tests have plummeted in recent years, Florida’s AP test scores have historically been quite good. The College Board ranked Florida in the Top 5 for passage rate in 2021, largely because of this successful and aggressive funding model.

So Republican lawmakers were attacking something that was both successful and popular, affecting more than 110,000 students.
There was no valid reason for this funding cut, other than trying to make public schools less attractive.

See, AP classes are one of the advantages public schools have over many private schools, especially the fly-by-night voucher ones that hire uncertified teachers and can’t even think about offering classes like AP calculus, Chinese and 3-D art and design.

“These are the programs that are among the most popular in our high schools,” Vanos said. “Families come back to our high schools specifically for these programs.”

So parents and supporters of public education banded together and spoke up.

I sensed a revolt brewing as soon as I published a column on the topic a few weeks ago entitled: “Cutting AP classes would dumb down Florida schools.”

House Republicans had just advanced their defunding plan by a vote of 22-6 in a subcommittee, and I urged anyone who thought this was a rotten idea to let their lawmakers know. Boy, did they.

One reader said she and her sister, a retired teacher, were gathering as many others as possible to get “riled up to action.”

Another said she sent Gov. Ron DeSantis an email that asked him a simple question: “Are you TRYING to drive us out of the Republican Party?”
Conservatives objected alongside liberals.

Seniors alongside teens. I heard from everyone from fired-up retirees in Osceola County to a genuinely perplexed Eagle Scout in Maitland.
Even Florida TV stations that usually pay more attention to car crashes than legislative subcommittees carried stories about Floridians who were up in arms.

Local elected officials noticed the widespread discontent and decided to weigh in as well. Jacksonville’s large and heavily Republican city council voted 16-1 to tell GOP lawmakers to back off their plan to sabotage AP classes.

The pressure ultimately worked. When leaders from both chambers went behind closed doors last week to hash out their final budget proposal, they ditched this latest attack on public schools in quiet, unceremonial fashion.

Imagine for a moment if Floridians used their voices more often.

Not just to protect public education, but to support other issues that the vast majority of Floridians on both sides of the aisle support.
We might not live in a state where more than 20,000 families grappling with special needs are stuck on a years-long waiting list for services.

Or a state that has allowed so much pollution to kill so many manatees that two rounds of federal judges had to step in to tell the state it had to stop allowing the slaughter of the state’s official marine mammal.

It’s often said that we get the government we deserve. But we also get the government we demand.

In this case, Floridians demanded that the politicians take their stinkin’ hands off a successful educational program that has helped countless students get a head start in college, careers and life.

Imagine if we all did that more often.
“Advocacy works,” Vanos said. “It’s all about people power.”

Categories Budget Cuts, Cruelty, Curriculum, DeSantis, Disruption, Ethics, Extremism, Failure, Florida, Funding, Ignorance, Parents, Students

Trump Tax Bill Harms Public Schools by Funding Private Choices

By dianeravitch
June 23, 2025 //
9

Matt Barnum and Richard Rubin of The Wall Street Journal describe the harm that Trump’s One Big Ugly Budget Bill will do to public schools.

They wrote:

Republicans’ tax-and-spending megabill would give the school-choice movement a major, long-sought victory—and deliver an unusually generous tax break to wealthy taxpayers.

The bill includes a new way for taxpayers—whether they are parents or not—to direct tax dollars to private-school scholarships instead of the Treasury. There is an extra twist: It could deliver virtually risk-free profits to some savvy investors.

The proposal has excited school-choice advocates, infuriated public school leaders and stunned tax experts.

“Overnight, this would give millions of students access to the school of their choice,” said Tommy Schultz, CEO of the American Federation for Children, an advocacy group pushing the provision. “This is a revolution within the tax code.”

The American Federation for Children is the far-right wing group created by Betsy DeVos to promote charter schools and vouchers.

The incentive is structured as a dollar-for-dollar federal tax credit. Give to a charity known as a scholarship-granting organization and you would get the same amount subtracted from your federal tax bill. 

It is equivalent to redirecting your taxes to a scholarship-granting organization (SGO), with the benefit capped at 10% of adjusted gross income or $5,000, whichever is greater. That is a far better deal than what is offered by normal charitable donations, which generally just reduce your taxable income and only if you itemize deductions….

For people with appreciated stock, the proposal could be even more attractive than a dollar-for-dollar credit, potentially creating net profits. 

Consider someone who bought a stock for $100 that is now worth $1,100. Selling that stock would trigger capital-gains taxes of up to $238. But under the bill, he could donate the $1,100 stock to an SGO. The government would give $1,100 back and he wouldn’t pay capital-gains taxes. 

He could then buy the same $1,100 stock on the open market. The result? He’s better off than when he started, spending nothing to erase a potential capital-gains tax liability. 

“In terms of something that is deeply offensive to basic tax logic, it’s hard to beat this,” said Lawrence Zelenak, a law professor at Duke University who expects donors to line up every Jan. 1 to take advantage. “Unless you actively hate the charity, you would want to do it…”

A federal program would expand private-school tuition subsidies into states such as New York and California that have resisted school choice programs….

The House bill caps credits at $5 billion annually, which would climb by 5% in subsequent years if the program is heavily used. That bill would run from 2026 through 2029. The Senate version released Monday includes $4 billion annually, starting in 2027 but without an expiration date. 

The credit would mark a significant injection of resources to private education as the Trump administration separately seeks to cut federal grants for public schools. Still, it would pale in comparison to funding for public schools, which receive several hundred billion dollars annually, mostly from state and local governments. 

Democrats hope the breadth of the policy changes will prompt the Senate parliamentarian to determine that it’s out of bounds for the budgetary fast-track process Republicans are using.

Public school advocates say the program would benefit better-off families at religious private schools. “The federal government needs to fund the neighborhood school that serves children from every walk of life,” said Sasha Pudelski, a lobbyist with the school superintendents’ association.

Opponents also say the idea has been rejected by voters. In November, three states voted down school-choice ballot measures.

Note: not only were vouchers defeated in three states last November, voters have rejected vouchers in every state referendum since 1967.

The new tax credit could become a model for Congress to direct money to other causes through the tax code, said Carl Davis, research director at the Institute on Taxation and Economic Policy, a progressive group that criticizes the plan.

Civil rights laws prohibit certain forms of discrimination in schools that receive federal funding, but it isn’t likely this would apply to private schools that benefit from the proposed tax credit, said Kevin Welner, a research professor at the University of Colorado Boulder. The House bill includes a provision barring discrimination against students with disabilities in school admissions; the Senate version doesn’t. 

State voucher plans do not bar discrimination in voucher-receiving schools. They can and do discriminate at will. Some require that families are members of their faith. Some bar LGBT students and families. Some bar students with disabilities. Some bar students with low test scores.

Trump’s funding of school choice is the fever dream of Christian nationalists. With one blow, they eliminate the separation of church and state, they get funding for religious schools, and they gut civil rights laws that barred discrimination.

It also permits the revival of school segregation, under the once-discredited banner of school choice. White Southerners who don’t like “race mixing” have dreamed of this day since May 17, 1954.

Categories Budget Cuts, Charter Schools, Disruption, Education Industry, Ethics, Extremism, Funding, Privatization, Trump, US Education, Vouchers

Trump’s “One Big Ugly Bill” Will Devastate Rural Hospitals

By dianeravitch
June 20, 2025 //
7

Trump’s tax cuts for the wealthiest will be funded in large part by draconian cuts to Medicare, which provides insurance to poor people. The massive cuts to Medicaid will lead to closure of many rural hospitals, which rely on Medicaid payments. The Senate knows this, and so-called “moderates” are working on adding a fund for rural hospitals. The bill, which Trump insists must pass by July 4, will add trillions to the nation’s debt.

So for all the cuts and firings imposed by Elon Musk and his DOGS, the federal deficit will grow under Trump.

David Dayen of The American Prospect reports:

As we at the Prospect have reported, while the Senate’s version of the Republican budget reconciliation bill was widely expected to be more moderate than the House one, when it comes to health care it is more extreme. This came as a surprise to many Republicans, some of whom now want changes. And they all are highlighting the same area of concern. It would be “potentially really bad for rural hospitals,” Sen. Josh Hawley (R-MO) told The Wall Street Journal. It’s “going to hurt our rural hospitals and hurt them in a big way,” said Sen. Jim Justice (R-WV). Sen. Susan Collins (R-ME) expressed “concerns about the effect on rural hospitals in her state.”

This is all certainly true. Senate cuts to the provider tax, a way for states to get more federal funding for their Medicaid programs, along with the House cuts that have been analyzed as leading to at least 11 million fewer people on the Medicaid rolls, will deeply harm the 700-plus rural hospitals already at risk of closure.

But that’s too narrow a frame. The entire health care provider network would come under heavy strain, and possibly collapse.

That’s because each node of the system is interdependent. If the 190 rural hospitals estimated in a recent Center for American Progress report as collateral damage of the Republican cuts close, all of their patients must find treatment at the remaining health care providers. Many of these new-arrival patients are likely to be uninsured (many thrown off Medicaid or Obamacare by Republicans), crushing hospital finances and potentially adding more closures on top.

This means overcrowded hospitals and overburdened staff, in addition to the serious hardships for patients traveling long distances for care. “The Republican Senate budget accelerates the rural hospital collapse that is under way, like jet fuel on a fire,” said Alex Lawson of Social Security Works, who works directly on health care issues in Washington. “Hospitals that don’t close will be the ones people drive four hours to access. The quality of everybody’s health care in this country will plummet.”

HOSPITALS HAVE LURCHED FROM ONE CRISIS to the next for years. Between the 2020 COVID pandemic and 2024, 36 rural hospitals closed, on the heels of 136 closures in the previous decade. Another 16 have closed this year, suggesting an acceleration of the trend, and hundreds more are at risk.

If the entire hospital doesn’t close, unprofitable business lines are often shuttered first. “I’ve talked to a lot of hospitals worried about having to close maternity wards,” said Chiquita Brooks-LaSure, who ran the Centers for Medicare & Medicaid Services (CMS) in the Biden administration. In California alone, 56 hospitals have ended maternity care since 2012, and the crisis of maternity deserts is acute.

The situation is worse, Brooks-LaSure said, in states that haven’t expanded Medicaid, suggesting that the program is a lifeline for hospitals, supplying a steady stream of paid claims for insured patients. Indeed, Medicaid is often the biggest line item in the accounts receivable budgets for nursing homes, rural hospitals, and maternity wards, as Families USA’s Anthony Wright pointed out to The Bulwark. A letter to the Republican leadership citing data from the Sheps Center for Health Services Research at the University of North Carolina notes that 213 rural hospitals serve a disproportionately high share of Medicaid patients.

While hospitals sometimes complain about low Medicaid reimbursement rates, the government has in the past compensated for that with “state-directed payment” arrangements that boost levels to what commercial insurance pays. That is being attacked in the Senate Finance Committee version of the bill, cutting those reimbursement top-ups to Medicare levels.

Hospitals are legally required to take care of patients in an emergency, regardless of their ability to pay. And more emergencies occur when more people are uninsured and put off care until they absolutely need it, which are made worse still if patients have to travel for hours to get care. Uncompensated care builds up in states with larger proportions of their populations who are uninsured, severely damaging hospital budgets.

Taking nearly $1 trillion out of the health system will magnify that problem across the country. And Medicaid cuts that create more uninsured patients, along with the creation of potentially millions of uninsured through Affordable Care Act changes, are terrible for hospitals. According to the Robert Wood Johnson Foundation, uncompensated care would increase by $204 billion over the next decade if the House version of the bill passed; remember, the Senate bill is even worse. Much of that burden would be thrown onto already shaky hospitals.

To those who argue that the cuts are really to state Medicaid programs and not hospitals, the ways states will deal with those cuts is not likely to be through simply providing more money that they don’t have. They will either change enrollment rules, so fewer people stay on the program, or cut reimbursement payments to hospitals and other providers. Both of these options would directly harm hospital finances.

“These cuts will strain emergency departments as they become the family doctor to millions of newly uninsured people,” said Rick Pollack, president and CEO of the American Hospital Association, in a statement, adding that “the proposal will force hospitals to reconsider services or potentially close, particularly in rural areas.”

Please open the link to see the full scope of the threat this Big Ugly Bill poses to rural Americans, most of whom voted for Trump.

Categories Budget Cuts, Cruelty, Ethics, Evil, Extremism, Funding, Health, Trump

Heather Cox Richardson: Under Our Mafia Boss, Everything Is For Sale

By dianeravitch
June 19, 2025 //
2

Heather Cox Richardson describes the legal corruption that is now out in the open.

Yesterday at the meeting of the leaders of the Group of Seven (G7), a forum of democracies with advanced economies, President Donald Trump told reporters: “The UK is very well protected. You know why? Because I like them, that’s why. That’s the ultimate protection.”

Commenters often note that Trump talks like a mob boss, but rarely has his organized-crime style of governance been clearer than in yesterday’s statement.

Also yesterday, Ana Swanson and Lauren Hirsch of the New York Times reported that Trump has taken unprecedented control over U.S. Steel. Japan’s Nippon Steel has been trying to take over U.S. Steel since 2023, but the Biden administration blocked the deal for security reasons. In order to move it forward, Commerce Secretary Howard Lutnick demanded an agreement that gives to the president and his successors, or a person the president designates, a single share of preferred stock, known as class G, or “gold.” The deal gives the president permanent veto power over nearly a dozen actions the company might want to take, as well as power over its board of directors.

Swanson and Hirsch note that the U.S. government historically takes a stake in companies only when they are in financial trouble or when they play a significant role in the economy. “We have a golden share, which I control, or the president controls,” Mr. Trump told reporters on Thursday. “Now I’m a little concerned whoever the president might be, but that gives you total control.”

This kind of deal echoes those of the authoritarians Trump appears to admire. His ongoing support for Russian president Vladimir Putin was on display at the G7, when he echoed Russian talking points that blamed European countries and the United States for Putin’s war against Ukraine, rather than acknowledging that it was Russia that attacked Ukraine after giving assurances that it would respect Ukrainian sovereignty in exchange for Ukraine’s giving up the Soviet nuclear weapons stored there.

Also yesterday, Rene Marsh and Ella Nilsen of CNN reported that officials from the Environmental Protection Agency under Trump have been telling staff in the Midwest—which the authors note has a legacy of industrial pollution—to “stop enforcing violations against fossil fuel companies.” At the same time, the Department of Justice has cut its environmental division significantly, leaving “no one to do the work.”

Trump vowed that if he were reelected he would slash the oil and gas regulations he claims are “burdensome.” Now, one EPA enforcement staffer told Marsh and Nilsen, “The companies are scoffing at the cops. EPA enforcement doesn’t have the leverage they once had.”

Also yesterday, outdoor journalist Wes Siler reported in Wes Siler’s Newsletter that while language inserted in the Republicans’ budget reconciliation bill requires the sale of up to 3.3 million acres of publicly owned land, an amendment authorizes the sale of 258 million acres more over the next five years. The amendment comes from the Senate Energy and Natural Resources Committee and was written by Senators Mike Lee (R-UT) and Steve Daines (R-MT).

It includes Bureau of Land Management and U.S. Forest Service lands in 11 states: Alaska, Arizona, California, Colorado, Idaho, New Mexico, Nevada, Oregon, Utah, Washington, and Wyoming. As Siler notes, while the measure does not currently include national monument lands, the Department of Justice under Trump is arguing that the president can revoke national monument protections. If it did so, that would make another 13.5 million acres available for purchase.

Siler notes the process for selling those lands calls for an enormous rush on sales, “all without hearings, debate, or public input opportunities.”

Today, Eliot Brown of the Wall Street Journal reported that Mukesh Ambani, the richest man in India, is now one of the many wealthy foreign real estate developers “pouring money” into the Trump Organization. Brown noted that the Trump family is aggressively developing its businesses while Trump is in the White House, reaching past real estate into cryptocurrency and other sectors.

The growing power of international oligarchs to use the resources of the government for their own benefit recalls a speech Robert Mueller, then director of the Federal Bureau of Investigation, gave in New York City in 2011. In it, he explained that globalization and modern technology had changed the nature of organized crime. No longer regional networks with a clear structure, he said, organized crime had become international, fluid, and sophisticated, with multibillion-dollar stakes. Its operators were cross-pollinating across countries, religions, and political affiliations, sharing only their greed. They did not care about ideology; they cared about money. They would do anything for a price.

These criminals “may be former members of nation-state governments, security services, or the military,” he said. “They are capitalists and entrepreneurs. But they are also master criminals who move easily between the licit and illicit worlds. And in some cases, these organizations are as forward-leaning as Fortune 500 companies.”

These criminal enterprises, he noted, were working to corner the market on oil, gas, and precious metals. And to do so, Mueller explained, they “may infiltrate our businesses. They may provide logistical support to hostile foreign powers. They may try to manipulate those at the highest levels of government. Indeed, these so-called ‘iron triangles’ of organized criminals, corrupt government officials, and business leaders pose a significant national security threat.”

The FBI’s increasing focus on organized crime and national security is what prompted its interest in the connections between the Trump campaign and Russia in 2016.

The willingness of Republicans to enable Trump’s behavior is especially striking today, since June 17 is the anniversary of the 1972 Watergate break-in. On that day, operatives associated with President Richard M. Nixon’s team tried to tap the headquarters of the Democratic National Committee in Washington’s Watergate complex. Early in the morning of June 17, 1972, Frank Wills, a 24-year-old security guard, noticed that a door lock had been taped open. He ripped off the tape and closed the door, but on his next round, he found the door taped open again. He called the police, who found five burglars in the Democratic National Committee headquarters located in the building.

The story played out over the next two years with Nixon insisting he was not involved in the affair, but in early August 1974 a tape recorded just days after the break-in revealed Nixon and an aide plotting to invoke national security to protect the president. Republican senators who had not wanted to convict their president of the charges of impeachment being considered in the House knew the game was over. A delegation of them went to the White House to tell Nixon they would vote to convict him.

On August 9, 1974, Nixon became the first president in U.S. history to resign.

Chris Geidner of LawDork notes that despite the lawmakers in our own era who are unwilling to stop Trump, “the pushback…is very real.” Geidner notes not just the No Kings Day protests of the weekend, but also a lawsuit by the American Bar Association (ABA) suing Trump for his attacks on law firms and lawyers, calling Trump’s actions “unprecedented and uniquely dangerous to the rule of law.”

Geidner also notes that lower court judges are upholding the Constitution, and he points especially to U.S. District Judge William Young, an appointee of Republican president Ronald Reagan. In a hearing yesterday, Young insisted on holding the government accountable “for both Trump’s actions and the follow-up actions from those Trump has empowered to act.”

Young called cuts to funding for National Institutes of Health research grants “illegal” and “void” and ordered the NIH to restore the funds immediately. “I am hesitant to draw this conclusion—but I have an unflinching obligation to draw it—that this represents racial discrimination and discrimination against America’s LGBTQ community. That’s what this is. I would be blind not to call it out. My duty is to call it out.”

“I’ve never seen a record where racial discrimination was so palpable,” Young said during the hearing. “I’ve sat on this bench now for 40 years. I’ve never seen government racial discrimination like this.” He added: “You are bearing down on people of color because of their color. The Constitution will not permit that.… Have we fallen so low? Have we no shame?”

Categories Accountability, Bigotry, Billionaires, Budget Cuts, Character, Civil Rights, Corruption, Cruelty, Democracy, Economy, Environment, Ethics, Evil, Extremism, For-Profit, Funding, Trump

John Thompson: MAGA Republicans in Oklahoma Are Hurting the People Who Elected Them

By dianeravitch
June 18, 2025 //
13

John Thompson, historian and retired teacher in Oklahoma, probes the divide in the state Republican Party, which is currently in the hands of MAGA extremists.

He writes:

Oklahoma seems to be a case study in MAGA-ism and, now, it may be foreshadowing the chaos that President Donald Trump is creating with his fights with allies.

As the Oklahoma Observer’s Arnold Hamilton explained, the massive Republican majority in the Oklahoma legislature had been “bullied by Gov. Kevin Stitt all session long, until they became “chihuahuas [who] abruptly morphed into pit bulls.” Hamilton then asked, “Was this a one-off, final-hours temper tantrum by legislators fed up with the governor? Or a sign they are embracing their constitutional authority as a co-equal branch of government?”

On the other hand, the Oklahoma Voice’s Janelle Steckleinwrote that the “Stitt Show” shouldn’t distract from the fact that most of his agenda became law, and the people were the big losers. 

I suspect that this is another case of Democrats and adult Republicans minimizing the damage that would be done by the passage of the DOGE/Ok agenda. And that is necessary before real progress can be made. I also suspect that the answers as to who won the 2025 session will mostly depend on the courts.

Oklahoma ranks in the bottom five of the nation in child-welfare, and 48th in education. Also, Oklahoma’s poverty rate increased from 38th to 45th in the nation since Stitt took office, and we are 45th in bridge infrastructure. We are in the nation’s top five in men killing women; in the worst women’s health care access; in teen pregnancy; and in the world’s incarceration rates; as one Oklahoman commits suicide every 19 hours.

As the Oklahoma Policy Institute explains, “Oklahoma’s housing crisis is worsening. Moreover, the Trump administration’s “deep cuts to housing programs” are “leaving states to fill the gap in funding.” State lawmakers “punted” on nearly all of their “multiple opportunities to reduce evictions, update the Landlord-Tenant Act, and increase Oklahoma’s supply of housing stock.” And, Stitt “vetoed the only bill to combat the housing crisis the legislature managed to pass, a measure that would have extended the eviction timeline and given families a better shot at staying housed.” 

And, as early as 2017, there were warnings that the failure to increase funding for the Oklahoma Department of Mental Health and Substance Abuse Services (ODMHSAA) would “decimate” the system. It was nearly $750 million of federal funds since 2020 that rescued it, but by March 2025, the state only received $13,362,703 of the allocated funds for 2025.  

After the legislature gave the governor unprecedented power to control state agencies and Stitt appointed Commissioner Allie Friesen as the head of the ODMHSAA, the legislature had to pass a nearly $30 million emergency bill to keep the agency open until July, and it fired Friesen. 

Stitt responded by making personal attacks on fellow Republicans. Senate Pro-Tem Lonnie Paxton the “called Friesen’s appointment by Stitt part of a “pattern” of failure.” Moreover: 

“The executive branch continues to produce multimillion-dollar disasters that are routinely dumped in the Legislature’s lap to clean up,” Paxton wrote. “The legislature entrusted this governor with more control of this agency, and he has wrecked it in record time.”

Oklahoma’s extreme mental health crisis isn’t the only extreme challenge, as the Trump administration is ramping up major cuts to health-care funding. As the Oklahoma Institute for Child Advocacy (O.I.C.A.) reports, 59% of the state’s medical facilities are at risk for closing. And the Kaiser Family Foundation estimates that 174,000 Oklahomans are likely to lose benefits from SoonerCare, Oklahoma’s version of Medicaid. The Urban Institute estimates that “Oklahoma would have to raise taxes or cut other parts of its budget by $2 billion over ten years to maintain SoonerCare” due to federal Medicaid cuts. 

This comes at a time when the legislature will likely have $300 million less to appropriate next year. And it will happen as state agencies say they’ll need $921 million more in funding.

But Stitt, who brags about previously cutting taxes by a billion dollars, then cut income taxes by about $350 million a year, on his “path to zero,” meaning he would eliminate this progressive tax. 

And that gets us to what I consider the other most destructive, anti-democracy victory achieved by Stitt and his fellow Republicans, SB 1027. Over the last nine years, voters in our populist state have used the initiative petition to pass state questions on criminal justice reform, medical marijuana legalization and Medicaid expansion. Also, a vote to raise the minimum wage is scheduled. And an effort to end legislative gerrymandering may be coming. Apparently, the biggest reason why the Republicans set out to remove our constitutional right is to prevent SQ 836, a petition for open primaries.” 

So, the Republicans have passed SB 1027 which “caps the number of petition signatures that can be gathered in each county and imposes several procedural changes.” By capping the number of votes that can be counted in Oklahoma and Tulsa Counties, they “would effectively end initiative petitions in Oklahoma.”

SB 1027 will be challenged in court. 

Rep. Jay Steagall, R-Yukon defended his vote by suggesting “direct democracy as exemplified by initiative petitions invites mob rule.” And, Republican House Speaker Kyle Hilbert defended their refusal to take a stand for democracy, saying, “The founding fathers did have concerns about the tyranny of democracy.” 

And that gets back to the question as to whether the integrity of Oklahoma’s judicial system will be maintained. 

Until the early 1960s, Oklahoma’s Supreme Court was completely corrupt. In a bipartisan response, our state created an exemplary, honest judicial system. However, Gov. Stitt has repeatedly, but unsuccessfully, tried to turn back the clock to the decades when Oklahoma was one of the most corrupt places in America by repealing the Justice Nominating Commission. 

This year, however, he achieved a major goal by creating a Business Court, which could be a tool for enhancing corporate powers. Stitt sees it a tool for building a “more business-friendly state.” 

And that brings us to the Oklahoma American Civil Liberties Union’s (ACLU) review of the 2025 session. It listed more than 50 attempts to reverse legal reforms; 15 attempts to attack immigrant rights; 25+ attempts to reverse LGBTQ+ rights; 10+ bills attacking free speech; and 20+ bills attacking voting rights. 

Most of these bills were so extreme that they were defeated. For instance, this week, a federal judge  issued a preliminary injunction blocking enforcement of Oklahoma’s HB 4156, known as the “impermissible occupation” bill, which “criminalizes certain behaviors of undocumented immigrants, allowing state law enforcement to detain and prosecute them.”  

But, there remains work to be done to prevent implementing the Education Department’s (OSDE) demand that immigration data regarding schools be turned over to the state.  Also, the ban, aimed at trans-gender persons, on “obscene” performance in public property and certain public places must be challenged, as well as the banning DEI in Higher Education. 

So, I conclude that Gov. Stitt has been humiliating himself, but he succeeded in passing the laws that inflict the worst harm on Oklahomans. The civil war between Republican extremists gives more hope that more of the silliest bills can be stopped, giving more power to adults Republicans and Democrats. However, it will take years to build the foundations that are necessary before we can create meaningful pathways to a state with a 21st century political and social systems that serve the people. 

Categories Accountability, Budget Cuts, Censorship, Corruption, Cruelty, Oklahoma
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