US Election 2024

Trump budget bill faces headwinds before key House test after Senate all-nighter

A crucial piece of legislation that House Republicans are hoping will advance a significant portion of President Donald Trump’s agenda is facing its final hurdle before a chamber-wide vote. The House Rules Committee is set to meet on Monday to discuss a measure that GOP leaders are aiming to have on Trump’s desk by May. This bill includes provisions to increase spending on border security, the judiciary, and defense by approximately $300 billion, while also seeking cuts of $1.5 trillion to $2 trillion in other areas of spending.

One of the key elements of the bill is the allocation of $4.5 trillion to extend the provisions of Trump’s 2017 Tax Cuts and Jobs Act, which are set to expire at the end of the year. The Senate has already passed its own version of the budget plan as a backup, with the first reconciliation bill focusing on Trump’s priorities for border security, energy, and national defense, and a second bill to be drafted later in the year to address the extension of Trump’s tax policies.

Although President Trump has expressed his preference for the House Republicans’ proposal, the Senate bill has been positioned as a fallback if the House is unable to pass its own version. House Republicans can only afford to lose one vote and still pass the bill without Democratic support. Some GOP members, like Rep. Victoria Spartz of Indiana, have raised concerns about the bill, particularly questioning the whereabouts of $1 trillion in funding and expressing worries about potential cuts to federal programs like Medicaid.

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There are differences between the House and Senate versions of the bill, with the House including funding for Trump’s tax cuts while the Senate has chosen to address them in a separate bill. Republican leaders in the House argue that passing two reconciliation bills would be a departure from historical precedent and may be difficult given the current narrow margins. The issue of Medicaid has emerged as a point of contention among Republicans.

As both chambers navigate the challenges of slim majorities and a diverse Republican conference, the budget reconciliation process offers an opportunity to enact major conservative policy changes with only a simple majority. The Senate, however, still requires a two-thirds majority to advance most measures. The level of support for the House plan remains uncertain, despite Trump’s endorsement.

Elizabeth Elkind, a politics reporter for Fox News Digital, is leading the coverage of the House of Representatives. With experience at outlets like Daily Mail and CBS News, she provides insights into the intricate workings of Capitol Hill. Follow her on Twitter at @liz_elkind and send tips to elizabeth.elkind@fox.com.

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