By KEVIN FREKING, LISA MASCARO and LEAH ASKARINAM, Associated Press
WASHINGTON (AP) — House Republicans narrowly advanced President Donald Trump’s big tax cuts package out of a key committee during a rare Sunday night vote, but just barely, as conservative holdouts are demanding quicker cuts to Medicaid and green energy programs before giving their full support.
Speaker Mike Johnson met with Republican lawmakers shortly before the meeting and acknowledged to reporters that there are still details to “iron out.” He said some changes were being made, but declined to provide details.
It’s all setting up a difficult week ahead for the GOP leadership racing toward a Memorial Day deadline, a week away, to pass the package from the House. The Budget Committee, which just days ago failed to advance the package when four conservative Republicans objected, was able to do so Sunday on a vote of 17-16, with the four hold-outs voting “present” to allow it to move ahead, as talks continue.
“The bill does not yet meet the moment,” said Rep. Chip Roy, R-Texas, a leader of the House Freedom Caucus, in a social media post immediately after the late-night session. “We can and must do better before we pass the final product.”
The path ahead for Johnson is unclear as he tries to hold his narrow House majority together to pass the president’s top domestic priority of extending the tax breaks while pumping in money for border security and deportations — all while cutting spending.
Republicans criticizing the measure argued that the bill’s new spending and the tax cuts are front-loaded in the bill, while the measures to offset the cost are back-loaded. In particular, they are looking to speed up the new work requirements that Republicans want to enact for able-bodied participants in Medicaid.
Johnson indicated he wants to impose the the work requirements “as soon as possible” but acknowledged it may take states longer to change their systems. Those requirements would not kick in until 2029 under the current bill.
“There will be more details to iron out and several more to take care of,” Johnson, R-La., said outside the hearing room.
“But I’m looking forward to very thoughtful discussions, very productive discussions over the next few days, and I’m absolutely convinced we’re going to get this in final form and pass it.”
More talks are ahead, but Johnson is looking to put the bill on the House floor before the end of the week.
Democrats have decried the cuts Republicans are proposing to Medicaid and food stamps to offset the costs of the tax breaks.
“This spending bill is terrible, and I think the American people know that,” Rep. Jim Clyburn, D-S.C., told CNN’s “State of the Union″ on Sunday. “There is nothing wrong with us bringing the government in balance. But there is a problem when that balance comes on the back of working men and women. And that’s what is happening here.”
The first time that Republicans tried advancing the bill out of the House Budget Committee last week, the deficit hawks joined with Democratic lawmakers in voting against reporting the measure to the full House.
Those same four Republicans — Roy and Reps. Ralph Norman of South Carolina, Josh Brecheen of Oklahoma and Rep. Andrew Clyde of Georgia — cast their “present” votes Sunday.
Norman pointed to a recent downgrade of the nation’s credit rating in making his arguments for steeper reductions.
“We’ve got a lot more work to do,” Norman said. “We’re excited about what we did. We want to move the bill forward.”
At its core, the sprawling legislative package permanently extends the existing income tax cuts that were approved during Trump’s first term in 2017 and adds temporary new ones that the president campaigned on in 2024, including no taxes on tips, overtime pay and auto loan interest payments. The measure also proposes big spending increases for border security and defense.
The Committee for a Responsible Federal Budget, a nonpartisan fiscal watchdog group, estimates that the House bill is shaping up to add roughly $3.3 trillion to the debt over the next decade.
Johnson is not just having to address the concerns of the deficit hawks in his party. He’s also facing pressure from centrists who will be warily eyeing the proposed changes to Medicaid, food assistance programs and the rolling back of clean energy tax credits. Republican lawmakers from New York and elsewhere are also demanding a much larger state and local tax deduction.
As it stands, the bill proposes tripling what’s currently a $10,000 cap on the state and local tax deduction, increasing it to $30,000 for joint filers with incomes up to $400,000 a year.
Rep. Nick LaLota, one of the New York lawmakers leading the effort to lift the cap, said they have proposed a deduction of $62,000 for single filers and $124,000 for joint filers.
Rep. Jodey Arrington, the chairman of the House Budget Committee, said the bill remained under negotiation.
“Deliberations continue at this very moment,” Arrington said. “They will continue on into the week, and I suspect right up until the time we put this big, beautiful bill on the floor of the House.”
If the bill passes the House this week, it would then move to the Senate, where Republican lawmakers are also eyeing changes that could make final passage in the House more difficult.
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