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FortuneApr 16, 2026National News

Trump has no plan to cut the $39 trillion national debt, but he does want to cut child care. His budget director is scrambling to clarify

President Trump's FY 2027 budget proposes a $1.5 trillion defense topline while suggesting shifts in federal funding for child care and Medicaid.

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Trump has no plan to cut the $39 trillion national debt, but he does want to cut child care. His budget director is scrambling to clarify
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tl;dr

OMB Director Russell Vought defended President Trump’s FY 2027 budget proposal, which seeks a historic $1.5 trillion in defense spending funded by cuts to Medicaid, child care, and WIC. The hearing highlighted sharp partisan divides over military priorities versus social safety nets.

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