The legislative text crafted by Senate Finance Committee Republicans represents the core of Trump’s “big, beautiful bill” and includes the populist tax breaks that the president campaigned on, including provisions to shield tipped income from taxation.
But it includes several changes that puts Senate Republicans on a collision course with the House.
The measure encompasses the most controversial sections of the bill, such as proposals to impose stricter work and eligibility requirements for Medicaid and to reduce the federal government’s share of Medicaid spending in states.
It would raise the debt ceiling by $5 trillion, instead of the $4 trillion increase adopted by House Republicans.
The debt-ceiling language is a major problem for Sen. Rand Paul (R-Ky.), who has told his leadership he won’t support the bill if it includes such a large extension of federal borrowing authority.
Several Republican senators have raised concerns about the Medicaid spending cuts endorsed by the House, including Sens. Susan Collins (Maine), Josh Hawley (Mo.), Jerry Moran (Kan.) and Lisa Murkowski (Alaska).
The Congressional Budget Office estimated earlier this month that the House-passed bill would cut federal spending on Medicaid and the Children’s Health Insurance Program by $863 billion over 10 years.
The Hill’s Alex Bolton has more here.
