What’s next for Trump budget megabill? Vote ‘likely’ today, June 30
President Donald Trump’s package of tax breaks, spending cuts and increased deportation money is moving toward final passage, with a flurry of amendments likely.
The Senate took a roll call Saturday night after coaxing colleagues nervous about increasing the federal deficit. They handed out carveouts, like relief for Alaska on food stamp cost changes, to some holdouts.
Democrats spent 16 hours Sunday reading through the current draft of the 940-page bill, out loud.
Then both sides got time to debate the text and offer amendments. Sen. Katie Britt said Sunday on CNN’s “State of the Union” that she expected “fruitful debate” and a final vote from her chamber Monday.
What’s in the bill? Republicans are balancing $3.8 trillion in tax cuts and other Trump priorities against reductions in spending across a bevvy of programs.
More amendments could change the shape and scope, but currently, the bill includes:
- More funding for national security, including for Trump’s mass deportation agenda
- Alterations to the Medicaid provider tax, which many rural hospitals rely upon
- Updates to the state and local tax (SALT) deduction
- Keeping 2017 tax cuts for individuals and corporations
- Updates to immigration processes, including a $100 fee for asylum applicants
- Cuts to SNAP food stamps eligibility for many Americans
- Updates to Medicaid work requirements
- Taxes on renewable energy projects
After questions from colleagues and a ruling by a Senate parliamentarian, the latest markup adjusted some Medicaid provisions.
Elon Musk called the package “utterly insane and destructive.” And several Republicans said they wouldn’t vote for it.
Tax breaks
The legislation would make permanent many of the tax breaks from Trump’s first term that would otherwise expire by year’s end if Congress fails to act.
The bill would add new breaks, including no taxes on tips.
Cuts to health care, clean energy
Sen. Ron Wyden, D-Ore., said the environmental rollbacks would amount to a “death sentence” for America’s wind and solar industries.
The bill slices across many federal benefit programs, including Medicaid and SNAP. A main goal is to increase the red tape and paperwork needed to get assistance. Republicans say that will reduce waste and encourage more Americans to work.
Republicans are relying on the reductions to offset the lost tax revenues but some lawmakers say the cuts go too far, particularly for people receiving health care through Medicaid.
What’s happening to student loans, financial aid?
Republicans had planned to end student aid eligibility for certain foreign nationals. They also wanted to expand Pell Grants to non-accredited schools.
Both of those pieces have been removed from the latest draft as of Sunday, POLITICO reported.
The draft maintains updates to an income-driven repayment program for student loans, which would start in 2028.
What about the national deficit?
Some conservatives, worried about the nation’s debt, are pushing for steeper cuts.
A new analysis from the nonpartisan Congressional Budget office Sunday estimates the Senate bill would increase the deficit by nearly $3.3 trillion from 2025 to 2034, a nearly $1 trillion increase over the House-passed bill.
It also found that 11.8 million more Americans would become uninsured by 2034 if the bill became law.
What’s next?
If the Senate is able to pass the package, the bill would return to the House for a final round of votes before it could reach the White House. GOP leaders will need almost every one of their members on board.
The Associated Press contributed to this report.