Brittany L. Holom-Trundy Senior Policy Analyst | New Jersey Policy Perspective
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New Jersey Review | May 22, 2025

House passes budget cutting healthcare funds impacting New Jersey

On May 22, the U.S. House of Representatives passed a budget bill that proposes significant cuts to Medicaid and the Supplemental Nutrition Assistance Program (SNAP), removes the Child Tax Credit for millions, and reduces investments in renewable energy. This legislation could have substantial impacts on New Jersey, potentially shifting over $3.6 billion in costs from federal to state responsibility.

In response, Nicole Rodriguez, President of New Jersey Policy Perspective (NJPP), issued a statement expressing concern over the bill's implications: “The numbers in the budget bill approved by the House are hard to fathom: 14 million people will lose health insurance. Three million will be cut off from the food assistance they need to survive.”

Rodriguez emphasized the human impact behind these statistics: “But behind each of these numbers is a human life — a child going to bed hungry, a parent skipping cancer treatment, a grandparent unable to afford both medication and food. All so Congress can gift a trillion-dollar tax break to the wealthiest 1 percent."

She warned that "New Jersey alone" could see hundreds of thousands lose coverage and support due to this shift in financial burden.

Rodriguez criticized the fiscal strategy behind this legislation: “Let me be clear, this is not fiscal responsibility — this is fiscal sabotage. Our state will be forced to absorb more than $3.6 billion in new costs just to preserve an already threadbare, vital safety net."

She described budgets as moral documents reflecting societal values: “This one sends a chilling message: the House majority values billionaires over hungry children, health care for seniors, and support for people with disabilities.”

Rodriguez concluded with an urgent call for congressional action against the bill: “Congress must reject this bill. Too many lives are on the line — and so is our future.”

Read more about how federal funding cuts affect New Jersey or explore which state agencies receive federal funding.

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