Washington, D.C. — July 2, 2025: Former President Donald Trump and House Republican leaders are making a last-ditch effort to unite their caucus as the House prepares for a pivotal vote on a sweeping tax and spending package later today. The legislation, considered a cornerstone of the GOP's economic agenda ahead of the November elections, faces resistance from a bloc of hardline conservatives and moderate Republicans, putting its passage in jeopardy.
High Stakes for Republican Leadership
House Speaker Mike Johnson, joined by Majority Leader Steve Scalise, has intensified negotiations throughout the week, holding closed-door meetings with both Freedom Caucus members and moderates from swing districts. The proposed bill, which includes tax cuts, targeted spending reductions, and an overhaul of select entitlement programs, has become a flashpoint within the party.
Former President Trump, who is again the presumptive Republican nominee for the 2024 election, has been personally calling lawmakers to urge support, emphasizing the bill's potential to boost economic growth and energize GOP voters. Trump arrived on Capitol Hill this morning, marking his second visit since the start of the 119th Congress.
Main Points of Contention
- Tax Changes: The bill proposes extensions of the 2017 tax cuts for individuals and corporations, as well as new incentives for small businesses. Some moderates are concerned about the impact on the federal deficit.
- Spending Reductions: Conservatives are pushing for deeper cuts to federal agencies, including education and environmental programs, while moderates have expressed concern about reductions impacting their districts.
- Entitlement Reforms: Provisions to tighten eligibility for Medicaid and food assistance have drawn criticism from Democrats and advocacy groups.
Live Updates from Capitol Hill
As the vote approaches, House leaders have left the door open for further changes to secure enough support. Lawmakers are expected to convene for a preliminary procedural vote by noon, with the final vote likely in the evening. The White House and Senate Democratic leaders have signaled strong opposition, raising the stakes for bipartisan negotiations if the bill advances.
Markets have reacted cautiously, with the S&P 500 opening flat and investors closely monitoring the outcome. Business groups, including the U.S. Chamber of Commerce, have endorsed the tax provisions, while labor organizations and progressive activists have organized protests outside the Capitol.
Stay tuned for live updates as the situation develops.
