Republicans haggle over Trump spending plan as fiscal year looms
President Donald Trump is proposing staggering spending cuts in his budget request for fiscal year 2026. The president is calling for a 20% reduction in the amount of money allocated by Congress each year, amounting to a whopping $150 billion in cuts. Budget Director Russ Vought expressed confidence in the budget, stating that he believes it has a real chance of passing in both the House and the Senate.
It’s important to note that the budget proposal put forth by President Trump is merely a starting point. Congress still has the power to vote on the 12 annual spending bills that fund the government, and the final budget may look quite different from what the president has suggested. The proposed 20% cut would primarily affect discretionary spending, rather than mandatory programs like Medicare and Medicaid, which make up a significant portion of federal spending.
The Trump administration has referred to this budget as a “skinny” budget, as it does not address key social programs like Medicare and Medicaid. Congressional Republicans are working on a separate bill that aims to make adjustments to these programs without cutting them. However, some lawmakers are concerned about the potential impact of these changes on critical services.
The proposed budget includes cuts to every federal department and agency except for the Departments of Transportation and Veterans Affairs, as well as NASA and space programs. The Department of Housing and Urban Development would face a 40% reduction, while the Departments of Labor and Interior would see cuts of 30%.
One area that would not see significant cuts is the Pentagon, where funding would remain essentially flat. This has drawn criticism from defense hawks in Congress, who argue that the budget does not adequately support the military. Senate Armed Services Committee Chairman Roger Wicker accused the Office of Management and Budget (OMB) of trying to “shred to the bone” the nation’s military capabilities.
OMB Director Russ Vought defended the budget proposal, stating that it includes a trillion dollars in national defense spending, representing a 13% increase. He emphasized the importance of using budget reconciliation to secure funding for defense and Homeland Security without Democratic support. However, some lawmakers remain skeptical of the budget’s impact on the military and other critical programs.
House Speaker Mike Johnson and other Republican leaders have met with President Trump to discuss the budget bill, which they hope to pass through the House by Memorial Day. The proposed bill includes provisions to eliminate tax credits for electric vehicles and use the revenue to support the Highway Trust Fund.
While the timeline for passing the budget bill remains uncertain, some Republicans are optimistic about its prospects. However, there are concerns about the potential impact of spending cuts on essential programs and services. As lawmakers continue to debate the budget, the fate of President Trump’s proposed cuts remains uncertain.
