Democratic states mobilize to blunt Trump bill
Multiple Democratic-led states are convening emergency legislative sessions and enacting budget measures to shore up food assistance, Medicaid and ACA subsidies in response to President Trump’s new "One Big Beautiful Bill Act," which cuts federal taxes and alters federal support for safety-net programs. New Mexico opened a special session on Sept. 29 to boost food assistance, rural health care and expand ACA premium subsidies; California enacted a $255 million package to prepare counties for SNAP changes and fund emergency food banks. Governors and state leaders say the moves are intended to minimize fiscal and service disruptions for residents as federal changes begin to take effect.
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Economy
🔍 Key Facts
- New Mexico lawmakers opened a special session on Sept. 29, 2025 to increase funding for food assistance and rural health care and to expand state ACA exchange subsidies (about 75,000 residents on the exchange)
- New Mexico projects roughly $200 million in annual revenue loss starting this fiscal year because of the federal tax changes, but officials say a surplus from oil production allows preemptive action
- California signed legislation totaling $255 million to respond to federal changes, including $84 million aimed at reducing SNAP payment errors, $40 million to help counties implement SNAP work rules, and $20 million for emergency food banks