Senate Republicans are gearing up for a significant fight as they work to overhaul the House’s budget resolution, aiming to align it more closely with their priorities and Donald Trump’s legislative agenda.
On Tuesday, Speaker Mike Johnson (R-La.), with backing from former President Trump, managed to push the House’s budget resolution past a key hurdle. But while Senate Republicans were relieved to see movement, they are also voicing serious concerns—particularly about the failure to make Trump’s 2017 tax cuts permanent and the deep Medicaid cuts proposed to fund the plan.
Now, the challenge shifts to the Senate, where Republicans are attempting something that has eluded them since last year: uniting behind a single approach.
A Complicated Road Ahead
“It’s complicated. It’s hard. Nothing about this is going to be easy,” said Senate Majority Leader John Thune (R-S.D.), signaling the tough negotiations ahead. Senate Republicans are determined to adjust the House’s proposal, expanding on certain provisions while scaling back others.
The ultimate goal is to use budget reconciliation—a legislative process that allows certain bills to pass with a simple majority, bypassing the filibuster—to push through major elements of Trump’s platform. However, before they can get there, both chambers must agree on a unified budget resolution.
The Senate’s Key Priorities
Among Senate Republicans’ top concerns is making the Trump tax cuts permanent. The House’s plan extends them but caps the total at $4.5 trillion, a figure Senate leaders argue is insufficient. Thune and other senior Republicans insist that the tax cuts cannot be temporary.
Encouragingly for Senate Republicans, Trump appears to be on board with their push. On Wednesday, he publicly expressed support for their efforts, giving them momentum as they prepare for negotiations.
Medicaid Cuts: A Major Sticking Point
Another contentious issue is Medicaid. The House’s budget resolution instructs the Energy and Commerce Committee to find $880 billion in savings—a target widely seen as impossible to reach without slashing Medicaid benefits.
With over 40 states having expanded Medicaid under the Affordable Care Act, some Senate Republicans are wary of deep cuts. Sen. Josh Hawley (R-Mo.) made his stance clear: “I’m not going to vote for Medicaid cuts,” noting that more than one-fifth of Missourians rely on Medicaid or CHIP.
Trump himself addressed these concerns, reassuring the public that his plan would not touch Medicaid, Medicare, or Social Security. Instead, he vowed to root out “fraud” within the system.
Negotiations Intensify
On Wednesday, Senate Republicans huddled to discuss their next steps, joined by White House Chief of Staff Susie Wiles. The message from Thune was clear: the House’s plan “doesn’t get the job done.”
Later that day, Thune, Johnson, Treasury Secretary Scott Bessent, and White House economic adviser Kevin Hassett met with Trump to map out a strategy. The pressure is now on Senate Republicans to revise the House plan while ensuring it remains viable enough to pass both chambers.
A lingering question is whether the final reconciliation package will include an increase in the debt limit. The House version includes a provision for raising the debt ceiling, but the Senate has yet to commit. Some, like Sen. John Kennedy (R-La.), argue it should be part of the package to avoid a separate fight down the road.
A Fragile Path Forward
For now, Senate Republicans are rallying around the idea of a single massive bill rather than multiple smaller ones—a shift prompted by concerns over whether the House can repeatedly muster the votes needed for passage.
“It’s not perfect, and I know there’s some differences of opinion,” said Sen. John Cornyn (R-Texas). “But to me, that’s a good place to start.”
