Senate Republicans have taken a key step by passing President Donald Trump’s extensive ‘big, beautiful bill’, a sweeping legislative package that seeks to reshape the American economy and reshape federal welfare programs. The bill was passed late Tuesday, marking its first major legislative milestone as it moves toward final passage. The legislation includes numerous tax cuts, work requirements for welfare recipients, and increases in federal spending on defense and immigration enforcement. Trump has touted the passage of the bill as a landmark achievement, with the GOP framing it as a crucial means to stimulate the economy, reduce waste and boost America’s global standing.
The package is largely seen as a means to avoid a 22% tax hike for many American families, which was proposed under the current tax code. It also contains provisions that specifically target middle and working-class Americans, such as tax deductions for tipped wages, overtime pay, and car loan interest, along with benefits for seniors. A major component of the bill is the extension of the 2017 Tax Cuts and Jobs Act, which Trump has long lauded as a major economic boost. The extension of the 2017 cuts for an additional five years aims to maintain the current tax structure across the board and avoid a potential economic slowdown, according to GOP claims.
However, the bill has been met with fierce opposition from Democrats, who argue that it would increase the federal deficit, threaten healthcare access and dismantle key provisions of the Obama and Biden administrations. One of the most controversial provisions is the plan to cut Medicaid spending by nearly $1 trillion, potentially affecting 12 million Americans and reducing healthcare access. Work requirements are also a major focus, with the bill imposing strict conditions for maintaining benefits under major programs such as SNAP and Medicaid. The bill requires able-bodied, childless adults between the ages of 18 and 64 to work at least 80 hours a month to maintain their benefits, or by participating in community service, going to school or engaging in a work program.
In addition to these domestic changes, the bill includes substantial increases in funding for defense programs, including the development of a Golden Dome missile defense system and the completion of Trump’s border wall. It also introduces new fees for asylum seekers, including a $100 application fee, as well as significant financial penalties for those who attempt to cross the border illegally. These measures are seen as attempts to bolster the U.S. immigration enforcement, which has been a central part of Trump’s administration and platform. The provisions are also aimed at making the U.S. more secure and reduce the flow of migrants into the country, according to GOP officials.
While the bill cuts spending on Medicaid and other domestic programs, it includes billions of dollars in new funding for federal immigration enforcement. The bill provides $25 billion to build a Golden Dome missile defense system, similar to Israel’s Iron Dome. It would also include $45.6 billion to complete Trump’s border wall, and $4.1 billion to hire new border agents. The bill would also surge an additional $45 billion to Immigrations and Customs Enforcement for the detention of illegal immigrants. An additional $15 billion would be directed toward modernizing the U.S. nuclear triad and $29 billion for shipbuilding and the Maritime Industrial Base.
Several new provisions were included in the bill that hike, or create, fees for migrants who are seeking asylum, a work permit or are apprehended, among others. Among the list of new fees is a new, $100 fee for those seeking asylum. That becomes an annual fee for every year that the asylum application remains pending. There is also a new, $1,000 minimum fee for immigrants granted temporary entry into the U.S. on the grounds of ‘humanitarian or significant public interest.’ For migrants caught trying to illegally enter the country through a port of entry, a new minimum $5,000 fee would come into play. There is another new $5,000 fee for migrants that are arrested after being ordered to be removed. There are also new fees of between $500 and $1,500 for migrants whose immigration status is changed by a judge, or who appeal for a status change. Then there is a new, $30 Electronic Visa Update System fee for certain Chinese nationals. They also have to maintain biographic and travel information in the country online. Senate Republicans have also removed a ban on Medicaid benefits funding transgender healthcare, largely because the provision was deemed unnecessary and potentially divisive.