Illinois Governor JB Pritzker, left, and Texas Rep. Trey Martinez Fischer, right, listen as Texas House Democratic Caucus Chair Gene Wu speaks to reporters during a press conference at the DuPage County Democratic Party headquarters on Aug. 3, 2025 in Carol Stream, Illinois. Wu was with a group of Democratic Texas lawmakers who left the state so a quorum could not be reached during a special session called to redistrict the state. (Photo by Scott Olson/Getty Images)

WASHINGTON — Fueled by President Donald Trump’s aims to bolster the U.S. House’s razor-thin GOP majority in the 2026 midterm elections, a rare mid-decade redistricting fight in Texas grew increasingly bitter in recent days and engulfed other states.

As Democratic legislators in the Lone Star State fled to block a new congressional map, a handful of both blue and red states eyed their own redistricting plans, lawsuits cropped up and members of Congress pledged bills to curb redistricting wars.

While Texas is the only state that has so far taken formal action to redraw its U.S. House lines, a full-blown arms race could be imminent.

Here’s a breakdown on the redistricting battle as the drama unfolds:

How did all of this interest in redistricting kick off?

Republicans in Texas drew a new congressional map at the urging of Trump that could give the GOP five crucial new congressional seats in 2026.

Midterm elections typically lead to the loss of congressional seats for a president’s party. 

Meanwhile, the GOP currently holds 219 seats in the House, while Democrats hold 212 spots, with four vacancies. That extremely narrow majority has created immense challenges for U.S. House Speaker Mike Johnson, a Louisiana Republican, as he tries to enact Trump’s sweeping agenda and cater to the president’s demands as well as factions in the GOP conference.

Though congressional districts are typically redrawn every decade following each U.S. Census, the move, particularly in Texas, is not unprecedented and is allowed.

What’s going on in Texas?

Texas Republicans unveiled a draft of the new congressional map in late July, which looks to reshape and flip major metro areas’ districts held by Democrats.

According to The Texas Tribune, the Department of Justice sent Texas’ leaders a letter in early July that said four of its districts violate the U.S. Constitution. The proposed map would dismantle those districts, per the Tribune.

More than 50 of Texas’ Democratic legislators left the state to try to block the legislature from adopting the new map, according to the Tribune.

This move has drawn the ire of Texas Gov. Greg Abbott, who went so far as to file a lawsuit asking to remove the Texas House Democratic Caucus chair, state Rep. Gene Wu, after Wu left the state.

Texas Attorney General Ken Paxton also said Tuesday that he will pursue a court ruling that declares the seats vacant for the House Democrats who do not return by Friday.

Texas GOP U.S. Sen. John Cornyn has also called on the FBI “to take any appropriate steps to aid in Texas state law enforcement efforts to locate or arrest potential lawbreakers who have fled the state.” Trump on Tuesday, asked by a reporter if the FBI should “get involved,” said, “Well, they may have to.”

How is California reacting?

California Gov. Gavin Newsom has been among the most vocal Democratic governors in suggesting retaliating against Texas Republicans by redrawing his populous blue state’s own lines before the 2026 elections.

State laws in California and other Democratic states make mid-decade redistricting tougher than it is in Texas.

While pro-democracy groups have praised California’s nonpartisan commission as the “gold standard” of independent redistricting, Newsom has indicated he would ask state lawmakers to temporarily scrap it to join the arms race he says Trump started in Texas.

At a Monday press conference, Newsom justified his exploration of mid-decade redistricting in the Golden State by describing Trump’s recent and historic record as anti-democratic.

“These folks don’t play by the rules,” Newsom said. “If they can’t win playing the game with the existing set of rules, they’ll change the rules. That’s what Donald Trump has done … Here is someone who tried to break this country, tried to light democracy on fire on Jan. 6. He recognizes he’s going to lose in the midterms.”

What other states are looking at potentially redistricting?

Vice President JD Vance is slated to visit Indiana Thursday in an attempt to push redistricting, according to the Indiana Capital Chronicle.

Indiana GOP Gov. Mike Braun said that as of now, no commitments have been made, when asked about redistricting efforts in the Hoosier State, per the Capital Chronicle.

Leaders of large Democratic states, in addition to California, are considering their own redistricting in response to Texas.

New York Gov. Kathy Hochul wrote in an op-ed published in the Houston Chronicle Tuesday that she would “not sit on the sidelines” and watch “Republicans dismantle democracy.”

“What Texas is doing isn’t a clever strategy, it’s political arson — torching our democracy to cling to power,” Hochul wrote. “The only viable recourse is to fight fire with fire.”

Illinois Gov. JB Pritzker appeared alongside Democratic National Committee Chair Ken Martin and a group of exiled Texas Democratic lawmakers at a news conference Tuesday. Pritzker said it was “possible” the state would pursue redistricting, according to the Chicago Sun-Times.

Other Democratic governors — even including Laura Kelly of ruby-red Kansas — raised the prospect during a Democratic Governors Association meeting in Wisconsin last week of pursuing mid-decade redistricting if Texas follows through.

Republican states are also considering jumping in the fray.

Missouri Senate President Pro Tem Cindy O’Laughlin, a Republican, told a news radio station last week that it was “likely” lawmakers would convene in a special session to redraw district lines after pressure from Trump.

And Rep. Don Bacon, a Republican who holds the most competitive of Nebraska’s three U.S. House seats but plans to step down, told the Nebraska Examiner that Republicans in the state were having conversations about potential redistricting.

What downside do some see?

An arms race to shorten the cycle for redrawing congressional lines could come at a cost for efforts to overhaul the redistricting process.

Common Cause, a national pro-democracy group that advocates for election reforms including nonpartisan redistricting, urged Democrats not to respond to Texas.

A redistricting arms race would only result in “rigged elections across America,” Emily Eby French, the policy director for Common Cause Texas, said on a press call last week. It was wrong for Republicans to put “a thumb on the scale” through redistricting, she said, but also wrong for Democrats to do the same.

“The real solution is for Democrats to help us lift the Republican thumb off of the Texas scale and every other scale in America until we reach free and fair elections for everyone.”

Are party leaders egging this on?

Trump, whose urging appeared to prompt Texas Republicans to action, has consistently pushed lawmakers in that state to reinforce the GOP advantage there.

Tuesday, he said on CNBC that Republicans were “entitled” to five more House seats in Texas.

Martin, the DNC chair, responded in Illinois.

“No party is entitled to any district,” he said. “We have to go out and earn the votes.”

Still, Martin advised Democrats in blue states to do the opposite by responding in kind to Texas Republicans.

In an interview with States Newsroom last week, Martin suggested Democratic states drop any commitment to nonpartisan redistricting in response to Texas.

“We’re not here to tie one of our hands behind our back,” he said. “We can’t be the only party that’s playing by the rules.”

How is Congress reacting?

At least two GOP House lawmakers — representing blue states looking at retaliatory redistricting efforts against Trump — are taking it upon themselves to introduce bills in Congress that bar these initiatives.

GOP Rep. Kevin Kiley of California introduced a bill in the House this week that would ban mid-decade redistricting across the country.

Kiley said Newsom “is trying to subvert the will of voters and do lasting damage to democracy in California,” in a statement earlier this week.

“Fortunately, Congress has the ability to protect California voters using its authority under the Elections Clause of the U.S. Constitution,” he said. “This will also stop a damaging redistricting war from breaking out across the country.”

Rep. Mike Lawler, a New York Republican, also said he plans to introduce legislation to prohibit “partisan gerrymandering and mid-decade redistricting.”

The New York Republican told CNN on Tuesday that “this is fundamentally why Congress is broken,” adding that “you do not have competitive districts and so, most members are focused on primaries and not actually engaging in a general election.” 

White House budget director Russ Vought speaks with reporters inside the U.S. Capitol building on Tuesday, July 15, 2025. (Photo by Jennifer Shutt/States Newsroom)

WASHINGTON — The U.S. Senate on Tuesday night moved one step closer to canceling $9 billion in previously approved funding for several foreign aid programs and public broadcasting after GOP leaders addressed some objections.

Nearly all the chamber’s Republicans voted to begin debate on the bill, though Maine’s Susan Collins, Kentucky’s Mitch McConnell and Alaska’s Lisa Murkowski opposed the procedural step along with every Democrat.

The 51-50 vote marked a significant moment for President Donald Trump’s rescissions request, which faced more headwinds in the Senate than in the House. Vice President JD Vance cast the tie-breaking vote.

Trump proposed doing away with $1.1 billion for the Corporation for Public Broadcasting that lawmakers had approved for the next two fiscal years as well as $8.3 billion from several foreign aid accounts.

The Corporation for Public Broadcasting provides funding to National Public Radio, the Public Broadcasting Service and local media stations throughout the country.

Senate Majority Leader John Thune, R-S.D., said before the vote that some of the progress stemmed from removing a spending cut for the President’s Emergency Plan for AIDS Relief, or PEPFAR, a global health program to combat HIV/AIDS launched by former President George W. Bush.

“There was a lot of interest among our members in doing something on the PEPFAR issue and that’s reflected in the substitute,” Thune said. “And we hope that if we can get this across the finish line in the Senate that the House would accept that one small modification.”

South Dakota Republican Sen. Mike Rounds, who had raised concerns about cutting funding for rural public broadcasting stations run by tribal communities, announced a few hours before the vote he’d reached an agreement with the White House.

“We wanted to make sure tribal broadcast services in South Dakota continued to operate which provide potentially lifesaving emergency alerts,” Rounds wrote in a social media post. “We worked with the Trump administration to find Green New Deal money that could be reallocated to continue grants to tribal radio stations without interruption.”

Rounds said during a brief interview that $9.4 million will be transferred from an account within the Interior Department directly to 28 Native American radio stations in nine states.

“I had concerns specifically about the impact on these radio stations that are in rural areas with people that have basically very few other resources, and to me, they got caught in the crossfire on public broadcasting,” Rounds said. “And so I just wanted to get it fixed and I was successful in getting it fixed.”

White House budget director Russ Vought told reporters after a closed-door lunch meeting with Republican senators that he didn’t want to get “too far ahead” of discussions, but that his office was working with GOP senators to ensure certain local broadcast stations “have the opportunity to continue to do their early warning system and local reporting.”

Maine’s Collins wants more details

Senate Appropriations Chairwoman Collins, who voiced reservations about several of the rescissions during a June hearing, said preserving full funding for PEPFAR represented “progress.”

But Collins said a few hours before the vote she still wants more details from the White House budget office about the exact source of the other $9 billion in cuts to previously approved spending.

“One of the issues, which I raised at lunch, is the total is still $9 billion and it’s unclear to me how you get to $9 billion, because he’s listed a number of programs he wants to, quote, protect,” Collins said, referring to Vought. “So we still have the problem of not having detailed account information from OMB.”

Collins, R-Maine, then held up a printed version of the 1992 rescissions request that President George H.W. Bush sent Congress, which she said was “extremely detailed” and listed each account.

“I would contrast that to the message that we got for this rescission, which just has a paragraph and doesn’t tell you how it’s broken down in each program,” Collins said, adding she’s still “considering the options.”

The Senate’s procedural vote began a maximum of 10 hours of debate that will be followed by a marathon amendment voting session that could rework the bill. A final passage vote could take place as soon as Wednesday.

Trump expected to send more requests

The House approved the legislation in June, but the measure will have to go back across the Capitol for a final vote since the Senate is expected to make changes.

The effort to cancel funding that Congress previously approved in bipartisan government funding bills began last month when the Trump administration sent Congress this rescission request.

The initiative, led by White House budget director Vought, is part of Republicans’ ongoing efforts to reduce federal spending, which totaled $6.8 trillion during the last full fiscal year.

Vought expects to send lawmakers additional rescissions proposals in the months ahead, though he hasn’t said publicly when or what funding he’ll request Congress eliminate.

Once the White House submits a rescission request, it can legally freeze funding on those accounts for 45 days while Congress debates whether to approve, amend, or ignore the proposal.

Johnson slams funding for public media

House Speaker Mike Johnson, R-La., said during a press conference before the PEPFAR removal was announced that he hoped the Senate didn’t change the bill at all.

“I’ve urged them, as I always do, to please keep the product unamended because we have a narrow margin and we’ve got to pass it,” Johnson said. “But we’re going to process whatever they send us whenever they send (it to) us and I’m hopeful that it will be soon.”

Johnson said canceling the previously approved funding on some foreign aid programs and the Corporation for Public Broadcasting represented “low-hanging fruit.”

Federal funding for public media, Johnson said, embodied a “misuse of taxpayer dollars” on organizations that produce “biased reporting.”

“While at its origination NPR and PBS might have made some sense, and maybe it does now,” Johnson said. “But it shouldn’t be subsidized by taxpayers.”

Trump has also sought to encourage Republican senators to pass the bill without making any significant changes.

“It is very important that all Republicans adhere to my Recissions Bill and, in particular, DEFUND THE CORPORATION FOR PUBLIC BROADCASTING (PBS and NPR), which is worse than CNN & MSDNC put together,” Trump wrote on social media last week. “Any Republican that votes to allow this monstrosity to continue broadcasting will not have my support or Endorsement. Thank you for your attention to this matter!”

Shelley Feist, 61, of Washington, D.C., who was raised in North Dakota, protests outside the U.S. Capitol on Wednesday, July 2, 2025, as House Republicans try to pass the "big beautiful bill." Feist said she's worried about effects on rural hospitals as a result of Medicaid cuts because her parents, in their 80s, depend on rural health care in Minot, North Dakota. (Photo by Ashley Murray/States Newsroom)

WASHINGTON — Protesters demonstrated against the “big beautiful bill” outside the U.S. Capitol Wednesday as House Republicans whipped votes to get the bill across the finish line and to President Donald Trump’s desk by a self-imposed July Fourth deadline.

Shelley Feist stood on Independence Avenue near the entrance to the House of Representatives holding signs above her head, one reading “Cruel Corrupt Cowards,” the other a Republican elephant with the word “Treason” written on it.

“I think they’re being cruel. I think cruelty is the point,” Feist, 61, of Washington, D.C., and originally from North Dakota, told States Newsroom. “It’s also extremely alarming that there’s such cowardice in the GOP.”

The massive budget reconciliation package, passed by Senate Republicans Tuesday with a tie-breaking vote by Vice President JD Vance, extends and expands 2017 tax cuts at a cost of roughly $4.5 trillion over the next decade. It also yanks funding from federal food and health safety net programs.

The bill aggressively rolls back clean energy tax credits, as well as raising the nation’s borrowing limit to $5 trillion.

Latest figures from the nonpartisan Congressional Budget Office show the package would add $3.4 trillion to the nation’s deficit over the next decade, when the country is mired in record-breaking debt. That office’s earlier analysis of the House-passed bill found the package would reduce resources for low-income families while padding higher earners.

Rep. Virginia Foxx of North Carolina, who chaired an hours-long final committee hearing about the bill overnight, said Wednesday the package is an “embodiment of the America First agenda and we would all do well to remember that.”

Medicaid cuts

Top of mind for Feist is the bill’s cuts to Medicaid, the federal-state health insurance program for low-income individuals and some with disabilities. The Senate version of the package, passed Tuesday, included a  $1 trillion cut to Medicaid over 10 years, according to the CBO.

“I have parents in North Dakota who are 85 and 86. They already have difficulty seeing their doctor. For every doctor that leaves, he takes on 14 times more burden. Rural health care is already extremely difficult. I would expect there will not be a hospital near where my parents live if this bill is signed into law,” said Feist, whose parents live near Minot.

Rural hospitals rely on Medicaid payments. In a last-minute move before Tuesday’s vote, Senate Republicans doubled a fund to $50 billion to subsidize hospitals that will lose funding. Critics say that amount is not enough to fill the gap.

GOP Sens. Susan Collins of Maine and Thom Tillis of North Carolina voted no after voicing concerns over Medicaid cuts.

Nadine Seiler, 60, of Waldorf, Maryland, stood near a press conference by the Congressional Hispanic Conference protesting the bill. Seiler held a large spray-painted sheet above her head with a message on each side: “Free America from Big Bad Bill” and “Coming Soon Freedom in Name Only.”

“I’m concerned about my fellow citizens who are going to be losing Medicaid, food stamps, human health services. People are going to die,” Seiler said.

“And I know Joni Ernst says that we all gonna die, but we gonna die faster and unnecessarily and I care about that.”

Seiler was referring to Sen. Ernst’s response to her Iowa constituents who expressed concern about Medicaid cuts at a town hall on May 30.

SNAP and ICE

Mark Starr sang a protest song he wrote about the “big beautiful bill” as he played guitar and harmonica outside the Longworth House Office Building Wednesday.

The 39-year-old Albuquerque, New Mexico, native told States Newsroom he drove to the capital in late April to begin protesting the bill. He said he’s particularly focused on additional funding for Immigration and Customs Enforcement contained in the package as well as cuts to the Supplemental Nutrition Assistance Program, or SNAP, which provides food benefits to low-income households.

“New Mexico is pretty poor, and so if these cuts to SNAP go, kids can go hungry in New Mexico,” Starr said. “It’s just, like, really gonna mess us up, and we’re just one of the many states that will be affected that way.”

New Mexico has one of the highest poverty rates in the nation.

A provision in the bill will shift food assistance costs to state governments for the first time in the federal program’s history. Critics worry that states could tighten eligibility requirements or drop the program because of the financial burden.

The left-leaning Center for Budget and Policy Priorities estimates 55,000 teens age 14 and up, and adults up to age 64 could lose food assistance in New Mexico because of the bill’s cuts to state work requirement waivers. Children would remain eligible but households would overall see significantly decreased SNAP dollars.

The CBO found in late May that the House-passed bill would result in over 3 million people nationwide losing food assistance.

Starr said he’s also against additional funding provided for immigration enforcement.

“I think they have enough,” he said, pointing to Trump’s visit to a new detention facility in Florida that the White House is touting as “Alligator Alcatraz.”

The Senate-approved version includes an additional $45 billion for ICE detention facilities and $29.9 billion for ICE enforcement and deportation, among billions more directed toward the Southern border.

Clean energy to take a hit

Tiernan Sittenfeld, of the League of Conservation Voters, huddled just outside the House with a group wearing t-shirts that read “Hands off our air, land and clean energy.”

Sittenfeld, the organization’s senior vice president of government affairs, argues the rollbacks of clean energy tax credits in the Senate version will “kill clean energy jobs.”

“It is bad for our economy. It’s bad for jobs. It’s going to raise people’s energy bills. And of course, it’s bad for the planet,” she said.

Senate Republicans accelerated the phase-out of some residential, manufacturing and production credits at a faster rate than the House bill. A last-minute change loosened the timeline on some tech-neutral energy credits though, and removed a previously added tax on wind and solar projects.

Industry groups and energy companies small and large have warned early termination of the credits will have a major impact on growth.

The tax credits for solar, wind, batteries for energy storage, and electric vehicles, among others, were enacted under Democrats’ own 2022 budget reconciliation bill known as the “Inflation Reduction Act.”

The majority of investment in new clean energy manufacturing and production has been concentrated in rural states and states that elected Trump to his second term, according to data collected since 2022 by the Clean Investment Monitor, a joint project by the Rhodium Group and the Massachusetts Institute of Technology’s Center for Energy and Environmental Policy Research.

“Any Republican who votes for this legislation is voting against the interest of their constituents, voting to kill jobs in their district, voting to kill clean energy projects, voting to make their constituents’ energy bills go up,” Sittenfeld said.

Far-right House members who as of Wednesday afternoon were withholding their votes maintain the rollbacks on the clean energy tax cuts, which they’ve dubbed the “green new scam,” do not go far enough.

U.S. Sen. Josh Hawley, R-Mo., talks to reporters at the U.S. Capitol on Saturday, June 28, 2025. Hawley said he will vote for the budget reconciliation measure after a rural hospital fund was added. (Photo by Ashley Murray/States Newsroom)

This report has been updated.

WASHINGTON — The U.S. Senate voted mostly along party lines late Saturday night to move forward with Republicans’ “big, beautiful bill” that President Donald Trump wants on his desk in less than a week, after a dramatic three-hour pause when several GOP senators withheld their votes.

Republican Sens. Thom Tillis of North Carolina  and Rand Paul of Kentucky voted against moving forward with the sweeping tax break and spending cuts package that contains many of the GOP’s campaign promises. All Democrats were opposed. Vice President JD Vance came to the Capitol in case a tie-breaking vote was required, but in the end was not needed.

Tillis, who is up for reelection in 2026, had told reporters earlier that he would vote “no” on what is called a motion to proceed and on final passage. 

He said in a statement the legislation would result in tens of billions of dollars in lost funding for North Carolina and force the state to make “painful decisions” about Medicaid. Trump in a post on social media later threatened to find primary candidates to challenge Tillis.

The 51-49 vote doesn’t guarantee the bill will make it through a final passage vote but does make it significantly more likely, even with Republicans’ narrow 53-47 majority.

The procedural vote kicked off a maximum of 20 hours of floor debate on the bill, with half of that time controlled by Democrats and the other half by Republicans — though Democrats after the motion to proceed vote forced a reading of the giant bill expected to take as long as 15 hours. That would mean floor debate would not begin until sometime Sunday.

Unlike regular bills, budget reconciliation packages are not subject to the Senate’s 60-vote legislative filibuster, so as long as at least 50 Republicans support the package, and Vance casts the tie-breaking vote if needed, the measure will go back to the House.

The vote on the motion to proceed that began at about 7:30 p.m. Eastern was held open for more than three hours, with the votes of four senators in suspense — Lisa Murkowski of Alaska, Mike Lee of Utah, Cynthia Lummis of Wyoming and Rick Scott of Florida. All four eventually voted aye and Wisconsin Sen. Ron Johnson switched his vote to aye after earlier voting against the measure.

Lee, however, just before the vote was over, announced he had pulled from the bill an extremely controversial proposal to sell some public lands that was opposed by other lawmakers from the West. He said because of the process being used for the bill, he was unable to obtain enforceable safeguards to ensure the land would be sold to American families and not China or foreign interests.

The latest version of the measure had set up the Interior Department to sell at least 600,000 acres of public land and up to 1.2 million acres of public land within 10 years, advocates said.

Critics, including hunters, anglers and other Western state constituents, have ripped the measure as a “land grab,” as put by Jennifer Rokala, executive director for the Center for Western Priorities.

A summary of the provisions by the Energy and Natural Resources Committee said the Bureau of Land Management “must sell a minimum of 0.25% and a maximum of 0.50% of their estate for housing and associated community needs. This will increase the supply of housing and decrease housing costs for millions of American families.”

Golfing with Trump

Senate GOP leaders released new bill text just before midnight Friday that satisfied rural state lawmakers’ worries about financial threats to rural hospitals posed by cuts in Medicaid. The bill also addresses concerns by Murkowski and Dan Sullivan of Alaska about access to food assistance for their constituents despite new restrictions on a USDA program for low-income people.

As talks continued on Capitol Hill Saturday afternoon, a handful of Senate Republicans, including Missouri’s Eric Schmitt and Lindsey Graham of South Carolina, were on the golf course with Trump, according to the White House. Graham said on social media that Kentucky’s Paul also played.

Senate Democrats said a fresh financial analysis from the nonpartisan Congressional Budget Office estimated the preliminary Senate text would result in $930 billion in cuts to Medicaid, the joint federal-state low-income health insurance and disability assistance program.

The CBO score was not yet publicly available but Sen. Ron Wyden, the top Democrat on the Senate Committee on Finance, pointed to it and slammed the Medicaid provisions as “cruel” in a statement Saturday afternoon. 

Sen. Elizabeth Warren of Massachusetts, ranking Democrat on the Senate Banking, Housing, and Urban Affairs Committee, also cited the preliminary analysis, pointing to the nearly $1 trillion in Medicaid cuts.

Collins promises amendments

Senate Republicans planned to take their negotiations to the floor and push for amendments after the procedural vote that triggered official debate on the bill, which in its current public version runs 940 pages.

GOP Sen. Susan Collins of Maine, who voiced concerns throughout negotiations about rural hospitals and health cuts that would harm low-income individuals, said her vote on the motion to proceed “does not predict my vote on final passage.”

“I will be filing a number of amendments,” she told reporters as she headed into a closed-door working lunch before the Senate convened at 2 p.m. Eastern.

While Sen. Tim Sheehy wrote on social media Saturday afternoon that he was a “no” on the motion to proceed because of a provision to sell off federal public lands, the Montana Republican changed his mind nearly an hour later and declared he would propose an amendment to strip the provision — which was later removed by its sponsor.

GOP Sen. Markwayne Mullin of Oklahoma painted somewhat of a rosier picture of the mood in the Senate, telling reporters “we’re good.”

“We won’t bring it to the floor if we don’t have the votes,” said Mullin, who was the lead negotiator with House Republicans on state and local tax deductions, or SALT — a sticking point for Republicans who represent high-tax blue states like New York and California.

The lawmakers settled on a $40,000 deduction through 2029 for taxpayers who earn up to $500,000 annually. The level then reverts to $10,000, the current limit under the 2017 tax law.

Medicaid turmoil

Proposed changes to Medicaid have been strongly resisted by rural medical providers who say they are already financially strapped.

Missouri Republican Sen. Josh Hawley told reporters Saturday he would be a “yes” on both the motion to proceed vote and the final bill based on the new rural hospital “transformation program” Senate leadership included in the bill overnight. The measure has yet to be finalized.

The bill’s new version includes $25 billion in a stabilization fund for rural hospitals from 2028 through 2032. The amount is frontloaded to give more of the funds in the first two years.

Critics warn that amount will not fill the financial gaps that rural medical providers will face from losing a sizable portion of federal funding via Medicaid cuts.

While Hawley called the fund a “win” for Missouri over the next several years, he said his party needs to do some “soul searching” over the “unhappy episode” of wrangling over Medicaid cuts.

“If you want to be a working-class party, you’ve got to deliver for working-class people. You cannot take away health care for working people,” he said.

Senators had not yet agreed on other Medicaid provisions as of Saturday afternoon, including a phase-down of the provider tax rate from 6% to a possible 3.5% that’s become hugely controversial.

States use a combination of general revenues, provider tax revenues and in some cases local contributions to fund their Medicaid programs.

Advocates warn that it’s not a guarantee states would be able to backfill the lost revenue, and if they can’t, provider rate cuts and losses of benefits for patients could be on the horizon.

The nonpartisan Congressional Budget Office found that the House version’s provider tax changes — not as deep as the current Senate proposal — could lead to 400,000 people losing Medicaid benefits.

A full and final financial score for the Senate bill is not yet out as the several provisions remain up in the air.

Hawley also praised the inclusion of the Radiation Exposure Compensation Act fund, or RECA, that revives payments for survivors and victims who suffered cancer as a result of U.S. atomic bomb testing and radioactive waste dumps.

Clean energy tax credits

In what clean power advocates dubbed a “midnight dumping,” Senate GOP leadership added language to accelerate the phase out of clean energy tax credits that were enacted under Democrats’ own massive mega-bill in 2022 titled the “Inflation Reduction Act.”

The language, which wasn’t yet finalized by Senate GOP tax writers as of 6 p.m. Eastern Saturday, tightened restrictions on foreign components in wind and solar projects — and added a new tax on those that don’t comply.

Senators largely targeted wind and solar credits, ending them for projects not plugged into the electricity grid by 2028. Additionally credits for wind turbine manufacturers would terminate in 2028.

Other tax credits would be phased out at a faster pace, including those for the production of critical minerals, though a credit for metallurgical coal, used in steelmaking, was added in.

Clean energy industry manufacturers and small businesses had hoped Senate Republicans would ease up rollbacks in the House version.

Kurt Neutgens, president and chief technology officer of Orange EV, told States Newsroom in an interview Friday that any further rollbacks would amount to “cutting our legs out from underneath us.”

Neutgens, whose Kansas City, Kansas-based company manufactures heavy duty electric trucks and chargers, was watching for changes to credits to the commercial clean vehicles credit. New Senate GOP text would terminate the credit in September of this year.

Jason Grumet, president of the Clean Power Association, said in a statement Saturday that imposing new taxes on the industry “will strand hundreds of billions of dollars in current investments, threaten energy security, and undermine growth in domestic manufacturing and land hardest on rural communities who would have been the greatest beneficiaries of clean energy investment.”

Alaska carve-outs

Proposed cuts to federal food assistance remained largely unchanged in the new text released Friday night except for a few carve-outs for Alaska.

If the bill were enacted as written, Alaska’s state government could request a waiver for its citizens from stricter work reporting requirements that critics say will result in some SNAP recipients losing their food benefits.

GOP lawmakers also slightly shifted the timeline for when states will have to begin shouldering SNAP costs — the first time states will be on the hook for the federal food assistance outside of administrative costs.

States would be required to pick up a portion of the costs depending on their “payment error rate” — meaning how accurate states are at determining who needs SNAP, including both overpayments and underpayments.

States that have error rates at 6% or above would responsible for up to 15% of the food program’s cost. According to SNAP error rate data for 2023, the latest available, only seven states had an error rate below 6%.

The new text delays the cost-sharing for states until 2028 and allows states to choose the lesser of their two error rates in either 2025 or 2026.

Starting in 2029, states will be required to use their error rate from three years prior to the current year.

The new text includes the option for Alaska and Hawaii to waive their cost share burden for up to two years if their governments implement an improvement plan. In 2023, Alaska had the highest payment error rate of all states, reaching just above 60%. 

Advocates for low-income families worry the cost, which will amount to billions for most state governments, will incentivize states to tighten eligibility requirements for the program, or even drop SNAP altogether.

The left-leaning Center on Budget and Policy Priorities estimates the cuts will affect up to 40 million people who receive basic SNAP assistance, including 16 million children and 8 million seniors.

The Senate bill would also increase a state’s share of administrative costs for the program to 75%, up from the previous 50% cost-sharing responsibility with the federal government.

Despite inaccurate public statements from Republicans as recently as in a bill summary released overnight, the bill does nothing to limit food assistance to immigrants without documentation because SNAP was never available to them.

SNAP benefits will remain available to legal permanent residents, and Republicans loosened some language to allow certain immigrants from Cuba or Haiti to access the program.

But if the bill passes, federal food assistance will not be available to refugees and asylees who are already in the U.S. — for example, people from Afghanistan, Ukraine and other war-torn places.

Education revisions

Republicans on the Senate Committee on Health, Education, Labor and Pensions revised or scrapped several measures that the parliamentarian deemed to not comply with the “Byrd Bath,” a Senate process named for the late Sen. Robert Byrd, according to a summary and new bill text out Friday.

Under the revised text, for any loans made starting July 1, 2026, borrowers will have only two repayment plan options: a standard repayment plan and an income-driven repayment plan. The original proposal would have applied these restrictions to existing borrowers, but the parliamentarian struck that down.

Republicans also nixed a proposal that opened up the Pell Grant — a government subsidy that helps low-income students pay for college — to institutions that are not accredited.

The new plan also scraps a restriction that barred payments made by students enrolled in a medical or dental internship or residency program from counting toward Public Service Loan Forgiveness.

‘Even worse than any draft’

Senate Democrats remain united in opposition to the bill and are expected to slow down final passage by introducing numerous amendments on the floor during what is called the vote-a-rama.

Senate Minority Leader Chuck Schumer continued to rally against the package during remarks on the Senate floor Saturday afternoon, saying it’s “hard to believe this bill is worse — even worse — than any draft we’ve seen this far.”

The New York Democrat said “it’s worse on health care, it’s worse on SNAP (the Supplemental Nutrition Assistance Program), it’s worse on the deficit.”

Schumer added that “if Republicans proceed, Senate Democrats will hold them to account.”

“We’ll gear up for another night of vote-a-rama very soon. We’ll expose this bill piece by piece. We will show how it cuts health care, raises costs, rewards the ultra rich.”

The Center on Budget and Policy Priorities condemned the cuts to safety net programs as “all in service to tax cuts that are heavily skewed toward the wealthy and corporations.”

“None of this harm has anything to do with fiscal responsibility: our deficits and debts would soar under this bill,” said Sharon Parrott, the think tank’s president, in a statement Saturday.

The Committee for a Responsible Federal Budget, a nonpartisan watchdog, released a new analysis Saturday finding the Senate version will add roughly $4 trillion to the national deficit over 10 years.

“If you thought the House bill borrowed too much — and it did — the Senate manages to make things even worse,” CRFB’s president Maya MacGuineas said in a statement.

House action

Senate Republicans have spent more than a month rewriting the bills that make up the measure in order to meet the strict rules for moving a budget reconciliation package and to earn support from enough Republicans to actually pass the legislation.

The lawmakers have been struggling to maintain spending cuts passed by House Republicans that will pay for the nearly $4 trillion price tag for extending and expanding the 2017 tax cuts.

The House voted 215-214 to approve its 11-bill version of the package in May. Many of that chamber’s GOP lawmakers hoped the Senate wouldn’t change much, though that hasn’t been the case.

The Senate has modified numerous proposals, including those addressing tax law; Medicaid; and SNAP. The Senate bill also raises the country’s debt limit by $5 trillion, a full $1 trillion more than the House version.

The revisions have led to concerns among both centrist House GOP lawmakers and far-right members of the party, muddying the waters around whether Speaker Mike Johnson, R-La., can cobble together the votes needed to clear the package for Trump’s signature.

Republicans hold a 220-212 majority in the House, so leaders there can only lose four members if all of the chamber’s lawmakers are present and voting.

Trump has encouraged Congress to approve the legislation before the Fourth of July, but with time running short and some tempers rising over how the legislation will impact the country’s deficits, that might not be possible.

“The Great Republicans in the U.S. Senate are working all weekend to finish our ‘ONE, BIG, BEAUTIFUL BILL’,” Trump posted on social media Friday.

“The House of Representatives must be ready to send it to my desk before July 4th — We can get it done,” he added. “It will be a wonderful Celebration for our Country, which is right now, ‘The Hottest Country anywhere in the World’ — And to think, just last year, we were a laughingstock. Thank you for your attention to this matter!”