WASHINGTON — In a significant move, Republicans have advanced a comprehensive tax cut and border security package from a crucial House committee, following a pivotal Sunday night vote. Deficit-conscious lawmakers, who had previously impeded the measure, cited progress in negotiations related to spending cuts as the reason for their shift.
Speaker Mike Johnson addressed Republican lawmakers prior to the meeting, indicating that some adjustments had been reached, though specifics were not disclosed. He characterized these as “minor modifications” rather than substantial changes.
Democrats pressed for clarity, with Rep. Jodey Arrington, chair of the House Budget Committee, confirming that negotiations were ongoing.
“Discussions are currently in progress,” Arrington stated. “They will continue throughout the week, likely until we bring this comprehensive bill to the House floor.”
The four conservative dissenters, concerned about the bill’s deficit implications, opted to vote present, allowing the measure to pass with a narrow 17-16 vote.
Johnson aims to present the bill for a full House vote by the week’s end. “This is the vehicle through which we will fulfill the mandate the American public entrusted us with during the last election,” he noted.
During a previous attempt to advance the bill, deficit-minded lawmakers united with Democrats, blocking its progression out of the House Budget Committee.
Critics within the GOP have voiced concerns regarding the bill. They argue that new spending and tax cuts are front-loaded, while cost-offset measures are back-loaded, complicating fiscal responsibility. The proposal also pushes for expedited work requirements for able-bodied Medicaid recipients, slated to begin in 2029 under the existing framework.
Rep. Chip Roy expressed his apprehensions, proclaiming, “We are writing checks we cannot cash, and future generations will bear the consequences.” He emphasizes that significant changes are essential for his support.
Johnson rationalized the delayed implementation of work requirements, suggesting it allows states to prepare their systems for compliance and ensure effective enforcement of new regulations.
Roy was joined in his dissent by Reps. Ralph Norman, Josh Brecheen, and Andrew Clyde; however, Rep. Lloyd Smucker shifted his vote for procedural reasons, potentially allowing for reconsideration.
On social media, Roy remarked that the bill will enhance Medicaid work requirements and curtail availability of future subsidies tied to green energy initiatives, yet he highlighted the necessity of further adjustments.
Norman referenced the recent downgrade of the nation’s credit rating to bolster his call for deeper reductions, stating, “We have more work ahead, but we’re optimistic about progressing this bill.”
The centerpiece of the extensive legislative proposal seeks to permanently extend income tax cuts initially approved during former President Trump’s first term in 2017, while also introducing temporary tax alleviations, including exempting certain incomes from taxation. Additionally, it outlines significant investments in border security and defense.
The Committee for a Responsible Federal Budget, a nonpartisan fiscal oversight group, estimates that the House bill could contribute approximately $3.3 trillion to the national deficit over the next decade.
Resistance from Democrats is strong, with the GOP branding the proposal as “The One, Big, Beautiful Bill Act.” Rep. Pramila Jayapal labeled it as “one big, beautiful betrayal” during hearings.
Rep. Jim Clyburn articulated the Democratic stance, emphasizing, “This spending bill is harmful, and it’s clear the American populace recognizes that. Balancing government spending is critical, but it shouldn’t come at the expense of workers.”
Speaker Johnson faces not only opposition from his party’s budget conservatives but also from moderates wary of proposed cuts to Medicaid and renewable energy tax credits. Lawmakers from New York are advocating for a significant increase in the state and local tax deduction.
The current bill suggests tripling the state and local tax deduction cap from $10,000 to $30,000 for joint filers earning up to $400,000.
Rep. Nick LaLota, a key advocate for lifting the cap, has proposed a deduction of $62,000 for single filers and $124,000 for joint filers.
If successful in the House, the bill will proceed to the Senate, where additional amendments could present challenges for final approval.
Johnson concluded, “The package we send will be thoroughly negotiated and carefully balanced; we hope minimal modifications are made to ensure its swift passage.”
