In an interview, Senate Majority Leader John Thune (R-SD) said the “text is ready” on a two-bill reconciliation plan that will extend the 2017 Tax Cuts and Jobs Act, address border security, and lay out energy policy. The Senate would pass a bill focusing on border security, energy, and defense measures and then pass a bill to extend the 2017 Tax Cuts and Jobs Act.
On the other side of the Capitol, there is still no consensus on basic aspects of the House GOP’s reconciliation plans following their retreat this week in Florida. The Freedom Caucus is continuing calls for a two-bill approach instead of Speaker Mike Johnson’s (R-LA) announced preference for a single large bill. The lack of consensus has led to members criticizing House GOP leadership for the lack of a clear plan. This comes as Speaker Johnson is saying he wants to pass a budget resolution, which unlocks the reconciliation process, by the end of February, then approve the sweeping package of GOP priorities in the Spring.
As the discussions in the House GOP caucus about spending cuts to pay for President Trump’s tax package continue, some Republican moderates are growing very nervous about the trade-offs between healthcare for the poor and tax reductions for higher-income households.