Legislation moves forward amid GOP divisions over tax cuts, Medicaid reforms, and national debt…
A pivotal House committee narrowly advanced President Donald Trump’s sweeping legislative initiative—officially titled the “One Big Beautiful Bill”—late Sunday after Republican leaders made key concessions to fiscal conservatives to secure internal party cooperation.
The House Budget Committee approved the bill by a 17–16 vote, with four Republican hardliners opting to vote “present” rather than “no,” allowing the bill to move forward without formally endorsing it. The vote came after days of intra-party negotiation and a failed attempt on Friday to pass the same measure.
The legislation—spanning over 1,100 pages—includes several pillars of Trump’s 2024 campaign platform:
- Permanent extension of the 2017 tax cuts, including reductions on corporate and income taxes.
- Elimination of federal taxes on tips and overtime pay.
- Substantial increases in defense and border security funding.
- Implementation of Medicaid work requirements beginning in 2029.
The bill also outlines $1.5 trillion in federal spending cuts over ten years. However, the Congressional Budget Office projects it will add approximately $3.3 trillion to the national debt, largely due to unfunded tax reductions.
House Speaker Mike Johnson celebrated the committee’s decision, calling it a “big win for working families and national priorities,” while acknowledging persistent divisions in the GOP caucus.
Moderate Republicans have voiced strong reservations about potential cuts to social programs and the continuation of the cap on the state and local tax (SALT) deduction. On the other end, Freedom Caucus members pushed for faster and deeper spending cuts and stricter eligibility rules for welfare benefits.
The legislation now moves to the House Rules Committee, with a full House floor vote expected later this week. Speaker Johnson has set Memorial Day as a soft deadline for passage.
Despite clearing this hurdle, the bill’s future remains uncertain in the Senate. Although Republicans hold a slim majority, resistance from both moderates and hardliners could complicate final approval.