WASHINGTON—Republicans are barreling full steam ahead with a package to advance President Donald Trump’s agenda, what he has called his “big, beautiful bill.” Yet several divisions over components of the package linger.
Earlier this month, both the House of Representatives and the Senate approved a budget blueprint after weeks of negotiations between the two chambers, unlocking the reconciliation process being used to pass the package. In the coming weeks, the difficult work of passing Trump’s legislative agenda begins in earnest.
Dubbed the “one big, beautiful bill” by House Speaker Mike Johnson (R-La.), it is expected to consist of measures related to tax cuts, the U.S. energy sector, and securing the border.
As a reconciliation bill, it would be immune from the 60-vote filibuster threshold in the Senate—but only if House Republicans can agree on a package first.
Given Republicans’ narrow majority in the lower chamber—Johnson can spare no more than three defections—passing this package will be a herculean task for leadership. Johnson will need to keep both moderates and conservatives happy.
Border Security, Energy, and Defense
The core components of the Republican budget proposal unveiled by Senate Budget Committee Chairman Lindsey Graham (R-S.C.)—funding for border security, energy expansion, and new defense appropriations—are generally noncontroversial with broad swaths of Republicans.In line with Trump’s chief policy priority during the 2024 presidential election, the president and Republicans have sought to implement sweeping changes to how immigration and border security are handled.
That includes both ongoing efforts to stem the flow of illegal immigrants across the U.S. southern border with Mexico and what Trump has promised will be the “largest deportation operation in American history.”
Funding will target increased deportation-related detentions by Immigration and Customs Enforcement, Immigration Court hearings, and removal operations. Beyond removals, the Trump administration is pursuing the finalized construction of a border wall between the United States and Mexico, Trump’s main campaign promise in 2016.
Sen. Ted Cruz (R-Texas) has told The Epoch Times that he seeks to have his state “reimbursed” for its ongoing border security efforts under “Operation Lone Star” run by Texas Gov. Greg Abbott, a Republican.
“[I want some] reimbursing [of] the State of Texas for the billions they’ve spent dealing with Joe Biden and the Democrats’ failure to secure the border,” Cruz told The Epoch Times on March 31.
Additionally, the package will include new funding for energy and defense.
Trump and his allies have been outspoken about their support for enhancing U.S. drilling, fracking, and natural gas extraction. During the 2024 election, Trump summarized his position by saying, “Drill, baby, drill.”
He has argued that new and renewable energy sources should be used alongside traditional fossil fuel-based infrastructure.
While policy changes in a reconciliation bill are restricted under the rules of the process, Republicans are sure to pursue an increase in energy production.
The current budget blueprint additionally instructs the House and Senate to allocate an additional $100 billion and $150 billion, respectively, toward defense over a decade.
Tax Cuts
The centerpiece of the Senate’s budget blueprint, which has since been approved by the House, is its plan to make permanent the personal income tax cuts first authorized by the 2017 Tax Cuts and Jobs Act.The GOP proposal comes out to a top-line cost of about $4.5 trillion in lost potential tax revenue for the government.
Without congressional action, those cuts will expire at the end of 2025 and rates will increase—a potential political nightmare for Republicans at the ballot box in 2026 if the issue is not addressed before Tax Day.
In order to implement these new rates permanently, Republicans must comply with the Byrd rule, which governs the reconciliation process. It requires that any policy that affects the deficit beyond 10 years be “sunsetted,” or set to expire before the 10 years are up.
However, this could face challenges in both the House and Senate. Without steep spending cuts alongside these tax cuts, critics fear that the deficit could balloon.
In the lower chamber, many lawmakers—including budget hawks such as Rep. Thomas Massie (R-Ky.), House Budget Committee Chairman Jodey Arrington (R-Texas), and members of the House Freedom Caucus—have expressed these concerns.
While the House budget instructions currently call for $1.5 trillion in spending cuts—already a difficult ask—conservatives have indicated that they will not support any package that comes in at less than $2 trillion in cuts.
But such steep cuts could equally alienate the moderate wing of the GOP. Members such as Rep. Nicole Malliotakis (R-N.Y.) and fellow purple district Republicans in California and New York have sought assurance that these spending cuts will not harm key entitlements.
Medicaid
The budget resolution instructs the House Energy and Commerce Committee to cut $880 billion in spending over a decade, an amount that critics suspect will result in reductions to Medicaid.The issue is Democrats’ main rallying point against the proposal, with several arguing that Republicans are planning to “gut Medicaid.”
“There are a lot of Americans who rely upon those ... programs, and we have got to ensure that they’re safeguarded,” Johnson told Fox News on April 13.
But Johnson said that there is abuse in the program that can be rooted out.
“When you have people on the program that are draining the resources, it takes it away from the people that are actually needing it the most,“ he said. ”You’re talking about young single mothers down on their fortunes at the moment, the people with the real disabilities, the elderly.”
At least 12 Republicans have come out against Medicaid cuts.
Debt Ceiling Increase
The budget resolution also calls for the House to increase the nation’s borrowing limit by $4 trillion and for the Senate to increase it by $5 trillion.The Senate figure has come under fire from House conservatives, such as members of the Freedom Caucus. Rep. Ralph Norman (R-S.C.) initially told The Epoch Times that the budget resolution was “dead on arrival” in the House, although he eventually voted for it.
The debt ceiling is set to be reached within the next few months, although the exact timing is uncertain. Were the limit to not be lifted, the United States could go into default for the fifth time in its history.
The debt limit has usually been increased on a bipartisan basis, as it was in 2023. However, by raising it without Democrat support, the GOP is looking to pair it with significant fiscal measures.
Ultimately, the issue could still divide the two chambers, as the Senate seeks a greater debt limit bump in the final package than many House conservatives can stomach.