Donald Trump Administration Unveils Budget Proposal to Reduce SSI and Veterans Benefits in Bid to Reallocate Funds to DHS as Partial Homeland Security Shutdown Enters Critical Phase While Congress Declines

Washington, D.C. — A tense budget standoff has intensified after the administration of Donald Trump proposed reductions to Supplemental Security Income (SSI) and certain veterans’ benefit programs in an effort to redirect funds toward the Department of Homeland Security (DHS), which is currently facing a partial shutdown.

The proposal, submitted as part of a revised budget request, comes after Congress declined to approve additional DHS funding without broader negotiations over domestic spending priorities. With homeland security operations partially constrained due to the impasse, the White House argued that “temporary reallocations and structural reforms” are necessary to maintain border security, disaster response coordination, and counterterrorism readiness.

What the Proposal Includes

According to administration officials, the plan calls for targeted reductions within the Supplemental Security Income program administered by the Social security administration , along with proposed adjustments to certain benefit formulas overseen by the U.S. Department of Veterans Affairs

The White House maintains that the reductions would focus on “program efficiencies and eligibility recalibrations,” rather than across-the-board benefit cuts. However, critics argue that any reduction could directly affect vulnerable populations, including low-income seniors, individuals with disabilities, and military veterans.

Congressional Resistance

Leaders in both chambers of Congress quickly pushed back, stating that SSI and veterans’ benefits are mandatory spending programs established by statute and should not be used as bargaining tools in broader budget negotiations.

Several lawmakers described the proposal as politically risky, particularly given the longstanding bipartisan support for veterans’ benefits. Others warned that tying domestic benefit reductions to homeland security funding could deepen the partisan divide and prolong the shutdown.

Impact of the DHS Partial Shutdown

The partial shutdown has already begun affecting administrative operations within DHS, though essential functions such as border protection and emergency response remain active. Funding lapses have placed pressure on agency planning and contractor payments, increasing urgency on Capitol Hill to reach a resolution.

Economic analysts caution that prolonged uncertainty could create ripple effects across federal agencies, while advocacy groups representing seniors and veterans have begun mobilizing against the proposal.

What Happens Next

Because Congress controls federal spending, the administration cannot implement benefit reductions without legislative approval. Negotiations are expected to continue as lawmakers attempt to craft a compromise that restores DHS funding while protecting entitlement programs.

For now, the budget impasse underscores a broader debate over national security priorities, fiscal responsibility, and the political consequences of restructuring long-standing federal benefit programs.