House Speaker Mike Johnson is facing a major challenge: reviving President Trump’s ambitious ‘One Big Beautiful Bill’ after it suffered a significant setback in the House Budget Committee last Friday. Five Republicans voted against advancing the legislation, primarily due to concerns about insufficient spending cuts. Four cited inadequate spending reductions, while one opposed it on procedural grounds.
Johnson, however, remains optimistic. In an interview on ‘Fox News Sunday,’ he highlighted the possibility of adjusting the timeline for implementing Medicaid work requirements. This, he believes, could sway fiscal hawks who are demanding quicker action on this key provision. Currently, the bill mandates an 80-hour-per-month work requirement for able-bodied adults aged 19-64, starting in 2029. Volunteer work and schooling would count towards this requirement, but fiscal conservatives want a much earlier implementation date.
While Johnson didn’t specify the exact compromise being considered, he emphasized ongoing negotiations and expressed confidence in a resolution. This adjustment, however, is only one piece of the puzzle. The bill also faces opposition from blue-state Republicans who are pushing for a higher increase to the state and local tax (SALT) deduction cap than the current $30,000 proposal. Lawmakers are divided on this issue, with some threatening to oppose the bill if the cap is raised significantly, while others maintain that a substantial increase is unacceptable.
The ‘One Big Beautiful Bill’ itself is a comprehensive piece of legislation encompassing various key policy areas. It includes an extension of the 2017 tax cuts, tax exemptions for tips and overtime pay, enhanced deductions for seniors, strengthened border security, increased energy production, and significant spending reductions. The bill’s passage is crucial for the Republican party, especially considering their slim majority in the House. With only a three-vote margin for error, any further defections could be fatal to the bill’s prospects.
The House Budget Committee is scheduled to reconvene Sunday evening to continue deliberations on the revised bill. Speaker Johnson aims for a House floor vote by the end of the week, hoping to meet the original Memorial Day deadline. Even if successful in the House, the bill still faces an uncertain future in the Senate, where prominent Republicans like Senators Ron Johnson and Josh Hawley have voiced their opposition. The coming days will be crucial in determining the fate of this high-stakes legislative endeavor.
