Senate
Takes Up Trump’s Policy Bill, as G.O.P. Scrounges for Votes to Pass It
Republican
leaders barely scaled a key procedural hurdle to bring up the bill, but
Democrats delayed its consideration and it was unclear whether the G.O.P. had
the votes to pass it.
Catie
Edmondson Brad Plumer Andrew Duehren Margot Sanger-Katz
By Catie
Edmondson Brad Plumer Andrew Duehren and Margot Sanger-Katz
Reporting
from Washington
June 28,
2025
https://www.nytimes.com/2025/06/28/us/politics/senate-republicans-reconciliation.html
The Senate
on Saturday narrowly voted to begin debate on the sprawling domestic policy
package carrying President Trump’s agenda, clearing a key procedural hurdle
after Republican leaders cut a series of deals with holdouts in hopes of
winning the votes to pass it.
The vote to
take up the bill was 51 to 49, after party leaders held the vote open for more
than three hours in a suspenseful scene while they haggled with holdouts, both
on the Senate floor and behind closed doors, to secure their support.
Two
Republicans, Senators Thom Tillis of North Carolina and Rand Paul of Kentucky,
voted with Democrats to block consideration of the measure.
Even as the
vote unfolded on Saturday night, a clutch of hard-right Republicans, including
Senators Ron Johnson of Wisconsin, Mike Lee of Utah, Rick Scott of Florida and
Cynthia Lummis of Wyoming, were demanding that G.O.P. leaders insert even
deeper spending cuts into the bill in exchange for their support. Ultimately,
they all voted in favor, with Mr. Johnson switching his vote from “no” to “yes”
in the final moments.
It was still
not clear whether G.O.P. leaders had enough support to pass the measure and
send it to the House for final approval in time to meet the July 4 deadline Mr.
Trump has set. Democrats demanded a line-by-line reading of the bill, a
procedural protest that was expected to take more than a dozen hours and likely
push any final action in the Senate into Monday at the earliest.
But the test
vote on Saturday night put the measure on track, even as it reflected the
considerable angst among Republicans about their party’s signature bill.
Mr. Tillis,
who is up for re-election in 2026, said in a lengthy statement explaining his
vote that he opposed the legislation because “it would result in tens of
billions of dollars in lost funding for North Carolina, including our hospitals
and rural communities.”
“This will
force the state to make painful decisions like eliminating Medicaid coverage
for hundreds of thousands in the expansion population, and even reducing
critical services for those in the traditional Medicaid population,” Mr. Tillis
said.
Hours later,
Mr. Trump unleashed a lengthy social media broadside against him, calling his
opposition a “BIG MISTAKE” and saying he would meet with candidates seeking to
challenge Mr. Tillis, who is up for re-election in 2026, in a Republican
primary.
A 940-page
version of the legislation that Republicans released just after midnight
contained key changes aimed at winning over G.O.P. skeptics. They included the
creation of a $25 billion fund to help rural hospitals expected to be hit hard
by the Medicaid cuts the legislation would impose, a faster phaseout of tax
credits for wind and solar projects, and an increase in the cap on the state
and local tax deduction demanded by lawmakers in the House.
There were
also a number of parochial changes aimed at placating some of the most vocal
Republican opponents of the legislation, including several for Alaska, home to
Senator Lisa Murkowski, who has said the measure would hurt her state. That
appeared to have won her support, though she waited more than 90 minutes after
the vote began to cast her “aye,” after huddling in intense conversation with
party leaders on the floor.
White House
officials ratcheted up pressure on Republicans to fall in line behind the
measure, issuing an official policy statement saying that failure to do so by
Independence Day “would be the ultimate betrayal.” Mr. Trump spent part of his
day golfing with Republican senators and meeting with holdouts.
Party
leaders are trying to appease two flanks of their conference. Some, including
Mr. Tillis, have said they could not support it without greater reassurances
that the Medicaid cuts it contains would not hurt rural hospitals in their
states. And fiscal hawks, like Mr. Paul and Mr. Johnson, have said they do not
want to back legislation that would only increase the deficit. Mr. Paul was
among the president’s golfing partners on Saturday, and Mr. Johnson among those
he met with.
The core of
the bill remains the same. It would extend tax cuts passed by Republicans in
2017 and add some new ones Mr. Trump campaigned on, while slashing spending on
safety-net programs, including Medicaid and food assistance. The biggest tax
cuts and the biggest changes to those anti-poverty programs remained intact.
Taken together, the bill would most likely increase federal debt by more than
$3 trillion over the next decade, though lawmakers were still shaping the bill
and awaiting an official estimate from the Congressional Budget Office.
With Mr.
Trump demanding quick action, Republicans in Congress have intensified their
efforts to push it through to enactment even as many of them — including
several who voted for it in the House — have been open about their reservations
about a measure they are concerned could be a political loser.
The
revisions released early Saturday were designed to allay some of those
concerns.
Some
Republican senators, including Mr. Tillis and Susan Collins of Maine, had
pressed for the inclusion of a rural hospital fund to to help health care
providers absorb the impact of a provision that would crack down on strategies
that many states have developed to finance their Medicaid programs. Despite
their pushback, that provider tax change remains in the bill, though lawmakers
have delayed its implementation by one year.
It was
unclear whether the $25 billion compensation fund added late in the process
would be enough to win their votes. Ms. Collins had suggested that she wanted
to provide as much as $100 billion to ensure that rural hospitals, which
operate on thin margins, were not adversely affected.
But it
appeared to be enough to win over at least one Republican holdout who had
expressed concern about the Medicaid cuts, Senator Josh Hawley of Missouri, who
said he would vote for the bill despite his concerns about the impact of those
reductions.
“We cannot
be a working-class party if you are taking away health care for working-class
people,” he said, denouncing the Medicaid changes in the bill as “bad.”
A new
provision allowing “individuals in a noncontiguous state” to be exempt from
enforcing new work requirements imposed on SNAP, formerly known as food stamps,
appeared aimed at mollifying Ms. Murkowski of Alaska. Her state would be hit
with billions of dollars in nutrition assistance costs as a result of the
legislation, and she had cited the provision as one of her chief concerns. The
bill also includes new health provisions designed to benefit Alaska, as well as
new tax benefits for fishermen in the state’s waters.
Some of the
changes were aimed at appealing to members of the House, where Republicans from
high-tax states like New York had threatened to sink the bill if it did not
include a substantial increase in the state and local tax deduction, currently
capped at $10,000. Senate Republicans were skeptical of the deduction but
ultimately decided to match the House plan to lift the cap to $40,000. But
while the House would make the increase permanent, the Senate would keep it for
only five years, allowing it to snap back to $10,000 in 2030.
The newest
draft makes even sharper cuts to subsidies for wind and solar power, something
that Mr. Trump and other conservatives had explicitly called for this week. It
remains to be seen whether those changes could cause friction with Republicans
who have publicly supported green-energy credits, including Mr. Tillis, Ms.
Murkowski and Senator John Curtis of Utah.
Previously,
the Senate proposed allowing companies that were building wind and solar farms
to claim a tax credit worth at least 30 percent of their costs if they started
construction this year, with a phaseout over two years. But the revised bill
would require companies to place their projects “in service” by the end of 2027
to claim the tax break.
The bill
also would impose additional taxes on renewable energy projects that receive
“material assistance” from China, even if they do not qualify for the credit.
Because China dominates global supply chains, those new fees could affect a
large number of projects.
The new
Senate measure would more quickly end tax credits for electric vehicles, doing
away with them by Sept. 30. It would also slow the phaseout of a lucrative tax
credit to make hydrogen fuels, allowing such projects to qualify if
construction starts by the end of 2027, instead of by the end of this year.
Annie Karni
and Zolan Kanno-Youngs contributed reporting.
Catie
Edmondson covers Congress for The Times.
Brad Plumer
is a Times reporter who covers technology and policy efforts to address global
warming.
Andrew
Duehren covers tax policy for The Times from Washington.
Margot
Sanger-Katz is a reporter covering health care policy and public health for the
Upshot section of The Times.
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