Congress is debating a new law called the “One Big Beautiful Bill Act.” It’s a big plan that includes changes to taxes, healthcare, and housing. Last night, the bill passed the House. It is now headed to the Senate.
What’s in the Bill?
- Tax Cuts Stay: It keeps the 2017 tax cuts and adds new tax breaks for tips, overtime, and car loan interest.
- Bigger Military and Border Budget: More money for defense and border protection.
- Medicaid Work Rules: People on Medicaid would have to meet new work rules starting in 2026.
- SALT Deduction Cap Raised: People making under $400,000 could deduct more in state and local taxes—from $10,000 to $40,000.
What’s the Overall Fiscal Impact?
The bill lowers some taxes and reduces government spending, but it’s expected to add $2.3 trillion to the national debt over 10 years. That’s because the government would lose more money from tax cuts than it would save by spending less.
At the same time, the bill risks healthcare and housing for millions of Americans—especially in low-income and rural areas.
Medicaid Cuts Could Hurt Millions
This bill would cut funding for Medicaid, the program that helps low-income people get healthcare. Medicaid covers 1 in 5 people in the U.S, 44% of services for adults with disabilities, nearly half of children with special needs, people with HIV, people who are homeless, those reentering society after jail, and older adults.
If the bill passes, up to 8.6 million people could lose coverage by 2034—the largest Medicaid cut in U.S. history.
Most Medicaid users already work (64%) or are taking care of family (12%), going to school (6%), or have a disability (10%). Only 2% are unemployed and looking for work.
Cutting Medicaid also hurts hospitals, especially in rural areas, by raising the costs of unpaid care.
What About Housing?
The bill also cuts money for housing. Proposed changes include:
- Cutting 44% of the HUD budget, including help for renters, seniors, and people with disabilities
- Eliminating key programs that build affordable housing in rural and low-income areas (eliminating the Community Development Block Grant (CDBG), HOME Investment Partnerships Program, and Fair Housing Initiatives Program)
- Converting rental assistance programs into state-administered block grants, reducing federal oversight and potentially leading to inconsistent support across states
- Limiting rental help to just two years.
This would be a big blow for rural communities, where local help is limited. Less housing support means fewer jobs created, more people may become homeless, and fewer services for those in need.
There’s Still Time to Contact Your Senator
The One Big Beautiful Bill Act is moving quickly through Congress, and its impact could be felt for decades. The bill cuts essential healthcare and housing programs. Millions of Americans—especially children, people with disabilities, and rural families—stand to lose critical support. Now is the time to contact your Senator and urge them to protect the programs that help keep communities healthy, housed, and strong.
- Call your Members of Congress today. You can find their contact information at: house.gov and senate.gov.
- Send a letter using the National Council for Mental Wellbeing’s draft: https://thenationalcouncil.quorum.us/campaign/107658/