“The House is moving things along quickly, and the Senate is in lockstep,” Treasury Secretary Scott Bessent told reporters Monday, in reference to the Republican budget reconciliation bill that is being ushered through Congress.
The message of unity comes after the Treasury secretary met with the top four Republican congressional leaders in the budget reconciliation process: Senate Majority Leader John Thune of South Dakota, Speaker of the House Mike Johnson of Louisiana, Senate Finance Committee Chairman Mike Crapo of Idaho, and House Ways and Means Committee Chairman Jason Smith of Missouri.
They were joined by Bessent and National Economic Council Director Kevin Hassett, who laid out President Donald Trump’s priorities for the budget bill in a meeting dubbed “the Big Six” in the Capitol on Monday.
Key components of the MAGA agenda will only come to fruition if they are passed through the budget reconciliation process in Congress. Unlike normal legislation, which would require 60 or more votes in the Senate to overcome a Democrat filibuster, the budget reconciliation process enables passage of certain legislative priorities with just a simple majority vote, so long as they are determined to be germane by the Senate parliamentarian.
The president and congressional Republicans are hoping to significantly increase funding for both border security and national defense in the budget bill. Members of the House and Senate Armed Services Committees are already planning on approving a $150 billion boost to Pentagon spending.
Bessent said on Monday that the hope is that upgrading the military will decrease costs in the long term.
Republicans are seeking creative ways to make sure the increases in funding do not blow out the budget after years of runaway deficits under the Biden administration. For example, Republicans in the House are planning on proposing an annual $150 fee for all electric vehicles to generate $10 billion. The House Education and Workforce Committee is looking to shave off $330 billion from the budget.
More money could also come from federal workers if the House Oversight and Government Reform Committee gets its way and federal employees are required to pay more into their retirement accounts. That could save as much as $44 billion over 10 years.
Republicans are still hoping to continue to extend the 2017 Trump tax cuts, which are set to expire at the end of 2025. The Treasury secretary emphasized that if Congress does not reauthorize the 2017 tax cuts, then Americans will face the biggest tax hike in history. Republicans have contemplated a tax hike on those making more than $1 million to help offset the costs of continuing the 2017 tax cuts. A White House official told the press today that the president had said the option was off the table.
Thune has reportedly said he does not expect the Senate to pass the budget reconciliation bill before Memorial Day, which is May 26. At the press conference on Monday, Republicans appeared confident that they could finish the tax portion of the reconciliation bill by July 4.
