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Trump budget bill with $4.5 trillion in tax cuts survives House vote

by admin February 26, 2025
February 26, 2025
Trump budget bill with $4.5 trillion in tax cuts survives House vote

The House of Representatives has adopted a resolution that will eventually become a massive multi-trillion-dollar bill full of President Donald Trump’s priorities on the border, defense, energy and taxes.

In a major victory for House GOP leaders, the resolution passed in a 217 to 215 vote.

All Democrats voted against the measure, along with lone Republican rebel Rep. Thomas Massie, R-Ky., who was concerned about its effect on the national deficit.

The next step is now for the relevant House committees to meet and build their own proposals, which will eventually be returned into the framework and negotiated into a compromise deal with the Senate.

It was a dramatic scene in the House chamber on Monday night as Republican leaders delayed formally ending a vote for roughly 45 minutes as they worked to convince conservative fiscal hawks to support the legislation.

Impatient Democrats called out loud for the vote to be closed as Republicans huddled in varied groups.

Two people on the House floor told Fox News Digital that President Donald Trump got involved at one point, speaking to one of the holdouts, Rep. Victoria Spartz, R-Ind., by phone.

Reps. Tim Burchett, R-Tenn., and Warren Davidson, R-Ohio, could be seen on the phone at other points on the House floor as well, but it’s not clear if they were speaking with Trump.

At one point, House GOP leaders appeared to lose confidence that they had enough support and abruptly canceled the planned vote. 

Moments later, however, lawmakers on both sides of the aisle were rushing back to the House floor and Fox News Digital was told the vote would be held.

Meanwhile, three House Democrats who had been absent early in the day returned for the Tuesday evening vote in dramatic fashion. 

Rep. Brittany Pettersen, D-Colo., who had a baby roughly a month ago, returned to the House floor with her infant to oppose the bill. And Rep. Kevin Mullin, R-Calif., who was recently hospitalized for an infection, appeared in the chamber aided by a walker.

House and Senate Republicans are aiming to use their majorities to advance Trump’s agenda via the budget reconciliation process. 

It’s a Senate maneuver that lowers the threshold for passage from two-thirds to a simple majority, but it’s used when a party controls both houses of Congress and the White House because it allows that party to pass its policy goals even under the slimmest margins.

And Republicans are dealing with slim margins indeed; with current numbers, the House GOP can afford no more than one defection to pass anything without Democratic votes if all liberals are voting.

On the Senate side, Republicans can lose no more than two of their own in the reconciliation process.

The House resolution aimed to increase spending on border security, the judiciary and defense by roughly $300 billion, while seeking at least $1.5 trillion to $2 trillion in spending cuts elsewhere. 

As written, the House bill also provided $4.5 trillion to extend President Donald Trump’s 2017 Tax Cuts and Jobs Act provisions, which expire at the end of this year.

An amendment negotiated by House Budget Committee Chairman Jodey Arrington, R-Texas, and conservatives on his panel would also force lawmakers to make $2 trillion in cuts, or else risk the $4.5 trillion for Trump’s tax cuts getting reduced by the difference. 

The resolution also fulfilled Trump’s directive to act on the debt limit, raising it by $4 trillion or roughly two years. 

A bipartisan deal struck in 2023 saw the debt limit suspended until January 2025. Now, projections show the U.S. could run out of cash to pay its debts by spring if Congress does not act.

The resolution’s odds were touch and go for much of the week so far, since House lawmakers returned from a week-long recess period Monday.

Several fiscal conservatives had demanded more assurances from House GOP leadership that Republicans would seek deep spending cuts to offset the cost of Trump’s priorities.

Republican lawmakers in more competitive districts are concerned some cuts may go too far, however. 

The resolution directs the House Energy & Commerce Committee to find at least $880 billion in spending cuts – which those lawmakers fear will mean severe cuts for federal programs like Medicaid.

Speaker Mike Johnson, R-La., pushed back against fears of such cuts during his weekly press conference on Tuesday.

‘Medicaid is hugely problematic because it has a lot of fraud, waste and abuse. Everybody knows that. We all know it intuitively. No one in here would disagree,’ Johnson said. ‘What we’re talking about is rooting out the fraud, waste, and abuse. It doesn’t matter what party you’re in, you should be for that because it saves your money, and it preserves the programs so that it is available for the people who desperately need it.’

It was also supported by a wide swath of Republicans, including conservative Rep. Brandon Gill, R-Texas, a member of the House Budget Committee that approved the bill earlier this month.

‘It’s the best bill we’re going to get,’ Gill said while praising Committee Chairman Jodey Arrington, R-Texas, for his efforts. ‘If I were writing it then I’d write it differently, but this is the best we’re gonna get it.’

Rep. Randy Feenstra, R-Iowa, said he was eager to begin working on ‘cutting taxes for Iowans, securing our border, unleashing American energy production, and eliminating waste and fraud in our government.’

This post appeared first on FOX NEWS

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