Trump budget battle: House responds to Senate, aims for $1.5T spending cut
House Republicans have unveiled a detailed framework for a massive conservative policy overhaul that aims to advance President Donald Trump’s agenda. The release of this framework comes as the Senate is moving forward with its own version of the plan, highlighting the ongoing tensions between House and Senate GOP lawmakers over how to best implement Trump’s policy goals.
The House’s 45-page legislation includes provisions for $300 billion in new spending for homeland security, defense, and the judiciary, as well as at least $1.5 trillion in spending cuts for other areas of the federal government. Additionally, the bill directs $4.5 trillion in new spending for the House Ways & Means Committee, focusing on extending measures in Trump’s Tax Cuts and Jobs Act that are set to expire at the end of the year.
One key aspect of the bill is the lifting of the debt ceiling by $4 trillion, a move that was demanded by Trump to ensure that the U.S. does not run out of cash to pay its debts. The legislation also sets a goal of reducing mandatory spending by $2 trillion over a 10-year period, with the understanding that failure to find these savings would result in a reduction of the funds allocated for Trump’s tax cuts.
Senate Republicans, on the other hand, have been advocating for a two-bill strategy that separates border security, defense, and energy priorities from tax policies. This approach is seen as a way to quickly address issues that Republicans broadly agree on. However, House Republicans are concerned that passing a reconciliation bill with narrow majorities could result in Trump’s tax cuts expiring before they can be fully addressed this year.
The Senate’s plan, spearheaded by Budget Committee Chairman Lindsey Graham, includes funding for border security and defense while offsetting costs by rolling back green energy policies and other progressive Biden administration priorities. Graham has been at odds with House Speaker Mike Johnson, who has described the Senate bill as a “nonstarter.”
Despite these differences, House Republicans are still working to finalize their resolution before advancing it on Thursday. Rep. Ralph Norman, a fiscal hawk, emphasized the need to add additional items to the bill before it can move forward, noting that there are strong feelings among conservatives about what should be included.
While House Republicans are pushing for $4.5 trillion in new spending for Trump’s tax cuts, some members of the Ways & Means Committee have raised concerns that this amount may not be sufficient. Rep. Nicole Malliotakis highlighted the need for funding for State and Local Tax deduction relief and tax reductions for senior citizens, which are also priorities for the committee.
As Republicans navigate the complexities of passing a reconciliation bill with narrow majorities, House GOP Conference Vice Chair Blake Moore emphasized the importance of being realistic about expectations and the need for compromise among members. Ultimately, the goal is to pass legislation that advances Trump’s policy goals while addressing the concerns and priorities of all Republican lawmakers.
