WASHINGTON: In a setback, House Republicans failed Friday to push their big package of tax breaks and spending cuts through the Budget Committee, as a handful of conservatives joined all Democrats in a stunning vote against it.
\nThe hard-right lawmakers are insisting on steeper spending cuts to Medicaid and the Biden-era green energy tax breaks, among other changes, before they will give their support to President Donald Trump\u2019s \u201cbeautiful\u201d bill. They warn the tax cuts alone would pile onto the nation\u2019s $36 trillion debt.
\nThe failed vote, 16-21, stalls, for now, House Speaker Mike Johnson\u2019s push to have the package approved next week. But the Budget Committee plans to reconvene Sunday to try again. Lawmakers vowed to negotiate into the weekend as Trump is returning to Washington from the Middle East.
\n\u201cSomething needs to change or you\u2019re not going to get my support,\u201d said Rep. Chip Roy, R-Texas.
\nTallying a whopping 1,116 pages, the One Big Beautiful Bill Act, named with a nod to Trump, is teetering at a critical moment. Johnson is determined to resolve the problems with the package that he believes will inject a dose of stability into into a wavering economy.<\/p>\n
With few votes to spare from his slim majority, the Republicans are trying to pass it over the staunch objections of Democrats who slammed the package as a \u201cbig, bad bill,\u201d or as Rep. Pramila Jayapal, D-Washington, called it, \u201cone big, beautiful betrayal.\u201d
\nAhead of Friday\u2019s vote, Trump had implored his party to fall in line.
\n\u201cRepublicans MUST UNITE behind, \u2018THE ONE, BIG BEAUTIFUL BILL!\u2019\u201d the Republican president posted on social media. \u201cWe don\u2019t need \u2018GRANDSTANDERS\u2019 in the Republican Party. STOP TALKING, AND GET IT DONE!\u201d
\nThe Budget panel is one of the final stops before the package is sent to the full House floor for a vote, which is still expected sometime next week. Typically, the job of the Budget Committee is more administrative as it compiles the work of 11 committees that drew up various parts of the big bill.
\nBut Friday\u2019s meeting proved momentous even before the votes were tallied.
\nThe conservatives, many from the Freedom Caucus, had been warning they would block the bill, as they holdout for steeper cuts. At the same time, GOP lawmakers from high-tax states including New York are demanding a deeper tax deduction, known as SALT, for their constituents.
\nFour Republican conservatives initially voted against the package \u2014 Roy and Reps. Ralph Norman of South Carolina, Josh Brecheen of Oklahoma, Rep. Andrew Clyde of Georgia. Then one, Rep. Lloyd Smucker of Pennsylvania, switched his vote to no in a procedural step so it could be reconsidered later, saying afterward he was confident they\u2019d \u201cget this done.\u201d
\nNorman insisted he was not defying the president \u2014 \u201cthis isn\u2019t a \u2018grandstand,\u2019\u201d he said \u2014 as he and the others push from Trump\u2019s priorities.
\nIn their quest for deeper reductions, the conservatives are particularly eyeing Medicaid, the health care program for some 70 million Americans. They want new work requirements for aid recipients to start immediately, rather than on Jan. 1, 2029, as the package proposes.
\nDemocrats emphasized that millions of people would lose their health coverage and food stamps assistance if the bill passes while the wealthiest Americans would reap enormous tax cuts. They also said it would increase future deficits.
\n\u201cThat is bad economics. It is unconscionable,\u201d said Rep. Brendan Boyle, the top Democratic lawmaker on the panel.
\nAt the same time, talks are also underway with the New Yorkers have been unrelenting in their demand for a much larger SALT deduction than what is proposed in the bill, which could send the overall cost of the package skyrocketing.
\nAs it stands, the bill proposes tripling what\u2019s currently a $10,000 cap on the state and local tax deduction, increasing it to $30,000 for joint filers with incomes up to $400,000 a year.
\nRep. Nick LaLota, one of the New York lawmakers leading the SALT effort, said they have proposed a deduction of $62,000 for single filers and $124,000 for joint filers.
\nThe conservatives and the New Yorkers are at odds, each jockeying as Johnson labors to pass the package from the House by Memorial Day and send it onto the Senate.
\nAt its core, the sprawling package extends the existing income tax cuts that were approved during Trump\u2019s first term, in 2017, and adds new ones that the president campaigned on in 2024, including no taxes on tips, overtime pay and some auto loans.
\nIt increases some tax breaks for middle-income earners, including a bolstered standard deduction of $32,000 for joint filers and a temporary $500 boost to the child tax credit, bringing it to $2,500.
\nIt also provides an infusion of $350 billion for Trump\u2019s deportation agenda and to bolster the Pentagon.
\nTo offset more than $5 trillion in lost revenue, the package proposes rolling back other tax breaks, namely the green energy tax credits approved as part of President Joe Biden\u2019s Inflation Reduction Act. Some conservatives want those to end immediately.
\nThe package also seeks to cover the costs by slashing more than $1 trillion from health care and food assistance programs over the course of a decade, in part by imposing work requirements on able-bodied adults.
\nCertain Medicaid recipients would need to engage in 80 hours a month of work or other community options to receive health care. Older Americans receiving food aid through the Supplemental Nutrition Assistance Program, known as SNAP, would also see the program\u2019s current work requirement for able-bodied participants without dependents extended to include those ages 55-64. States would also be required to shoulder a greater share of the program\u2019s cost.
\nThe nonpartisan Congressional Budget Office estimates at least 7.6 million fewer people with health insurance and about 3 million a month fewer SNAP recipients with the changes.
\nWhile Republicans insist the package will pay for itself, partly with economic growth, outside budget analysts are skeptical and say it will add trillions of dollars to the nation\u2019s deficits and debt.<\/p>\n","protected":false},"excerpt":{"rendered":"
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