President Trump and Senate Republicans are entering a pivotal week as they strive to implement significant legislation that encompasses their domestic agenda.
GOP leaders aim to release a draft this week that tackles some of the most pressing issues they have been focused on. The upcoming days will be crucial to rally support from holdouts who require assistance in moving the legislation forward.
This urgent period arrives amid increasing doubt that the final product will be ready by the ambitious July 4 deadline.
“Next week is likely a make-or-break moment,” declared Sen. Josh Hawley (R-Mo.), one of the last remaining holdouts.
The most anticipated proposals may surface later on Monday, as the Senate Finance Committee plans to unveil some details from the Chamber of Commerce. This could include critical elements such as Medicaid cuts and provisions to eliminate two taxes along with overtime taxes from two of Trump’s key campaign promises.
On Friday, the panel convened the day after Senate Majority Leader John Thune (R-S.D.) and Finance Committee Chairman Mike Crapo met with Trump at the White House. Initial reports suggested they would release the first part of the draft that same day, but the GOP leader was eventually held up.
A familiar source indicated that the upcoming draft is expected to cover most of Trump’s tax priorities, despite some Senate Republicans urging him to ease off.
The legislation also represents a significant win for Senate Republicans by excluding corporate tax systems, which had been contentious for many members.
However, uncertainties remain around the status of state and local tax (SALT) deduction caps.
While it may not be a major component for Senate Republicans, many view it as a relief for high-tax states, eager to adjust it from the House-passed version’s $40,000 limit. The final decision will heavily influence the bill’s fate when it returns to the House.
The committee is projected to present SALT cap figures that are considerably lower than what House Republicans from New York, New Jersey, and California proposed, according to sources familiar with the discussions.
One Senate GOP member noted that many viewed the $40,000 figure as a “place-holder,” amid calls from Johnson and others to steer clear of threats from Republicans with ties to blue states.
Negotiations are expected to intensify in the coming days.
“I take them very seriously, and we’re going to engage,” stated Senator Markwayne Mullin (R-Okla.), serving as an informal liaison for the GOP. “They will fight hard for their position, as they should, and so will we. We will reach a consensus in the end.”
The release of the Medicaid proposals is crucial as several holdouts are against modifications to the House’s Health Safety Net Program for Low-Income Americans.
The House bill proposes to cut federal spending by over $800 billion by implementing stricter labor requirements and shifting several costs to the states.
Numerous senators have expressed concern about what this could mean for state members and rural hospitals.
Senate GOP leaders are making significant efforts to persuade those holdouts as they push towards the July 4 recess.
They might risk losing up to three votes, including that of Senator Rand Paul (R-Ky.), who is anticipated to oppose the bill, having spoken out against the $4 trillion debt cap.
GOP leaders seem to be securing support by reintroducing the Radiation Exposure Compensation Act. However, Missouri Republicans remain steadfast in their position to protect Medicaid benefits.
“I want to see improvements in this bill,” said Hawley, emphasizing his call against cuts to Medicaid beneficiaries during a Friday Press Call.
“I am in close contact with leadership on this,” he continued.
Senator Ron Johnson (R-Wis.) has also moderated his criticism of the recent bill, which he previously opposed for its lack of spending cuts.
“We’re making good headway,” Sen. Ron Johnson told reporters. “But you don’t agree until you’re fully there.”
If GOP leaders secure votes from Senators Mike Lee (R-Utah), Rick Scott (R-Fla.), and Johnson, they are likely to achieve a final passage.
Nonetheless, they do not take this support for granted; they are also working to win over moderates Susan Collins (R-Maine) and Lisa Murkowski (R-Alaska), who have concerns about potential Medicaid cuts and phasing out renewable energy credits.
Whether leaders can persuade them remains open to question, but one Senate GOP member indicated that the path to gaining their support involves “dialogue” rather than forceful persuasion.
“I am cautiously optimistic… Remember that Susan Collins and Lisa Murkowski backed the 2017 bill,” mentioned a member, referring to the Tax Cuts and Jobs Act.
In the evolving situation, lawmakers appear to have narrowed their focus on points of contention.
Key among these is the controversy surrounding border funding included in last week’s bill. Paul, chair of the Homeland Security Committee, has sparked frustration among the White House and Senate Republicans due to his attempt to reconsider the administration’s border funding requests, which have widespread support among Republicans.
This led Lindsey Graham (R-S.C.), chair of the Leadership and Senate Budget Committee, to revise his own border funding proposal, requesting $46.5 billion. However, this occurred amid rising tensions at a Thursday morning meeting involving White House Deputy Chief of Staff Stephen Miller and Johnson regarding the administration’s funding figures.
Despite this, members largely criticized Paul for what they consider unnecessary drama on an issue they were united on.
“Rand is a disruption,” noted another Senate Republican to The Hill.
The GOP’s timeline is further challenged as the Senate will only be in session until Wednesday this week.
Top Republicans are pushing for all committee reports to be released before they depart, ensuring they are prepared to advance the legislation by June 23rd.
However, if delays arise, Thune has informed members that they are ready to work through the July 4 holiday to finalize the bill, making some lawmakers view the July 4 holiday as merely a target date for Senate dispatches.
“I’m not focused on that,” remarked Sen. John Kennedy (R-La.). “We’re purely focused on what we are doing in the Senate.”
Mychael Schnell contributed.
Source: thehill.com