President Donald Trump’s signature legislation — dubbed the “One Big Beautiful Bill” — is running into major obstacles in the Senate, where the chamber’s parliamentarian has ruled that key provisions don’t meet the requirements for the budget reconciliation process. The decision has left Republicans scrambling and furious.
Senate Parliamentarian Elizabeth MacDonough, appointed in 2012 and a veteran of both Democratic and Republican administrations, determined that while the bill’s tax cuts for the wealthy could move forward under reconciliation rules, many of the spending cuts designed to offset those tax breaks violated the Byrd Rule. That rule, named after the late Sen. Robert Byrd (D-WV), prevents “extraneous” non-budget items from being passed through reconciliation — a process that avoids the Senate filibuster and allows legislation to pass with a simple majority.
Among the provisions MacDonough struck down:
- Cuts to Medicaid and Medicare coverage for undocumented immigrants
- A ban on gender-affirming care in all federal health programs
- Reductions to food stamp benefits
- Defunding the Consumer Financial Protection Bureau
- Efforts to privatize vast stretches of public land
- Proposals to limit state provider taxes and interfere with judicial independence
In total, more than two dozen Republican priorities were rejected.
Now, if Republicans want to pass these measures, they’ll need to do it through regular order — requiring 60 votes — which is effectively a dead end unless they eliminate the filibuster.
While some GOP lawmakers have publicly expressed outrage over MacDonough’s decisions, others are privately relieved. Many of the rejected provisions, particularly those targeting healthcare and food assistance, are politically unpopular. Still, the optics of an “unelected bureaucrat” blocking parts of their agenda have enraged the party’s right flank.
Senate Majority Leader John Thune has tried to tamp down the backlash, insisting he won’t override MacDonough or fire her — a drastic move last taken in 2001 by then-GOP leader Trent Lott. Thune has instead tried to rework the bill, despite pressure from Trump, who is demanding it be passed by July 4.
“These are speed bumps,” Thune said. “We anticipated this and have contingency plans. We’re adjusting the schedule and pressing forward.”
One of the biggest setbacks involves a provision that would have capped how much federal Medicaid funding states could collect through provider taxes — a maneuver expected to save hundreds of billions. GOP leaders had suspected this provision might be disqualified, but pushed for it anyway to appease conservative hardliners.
The nonpartisan Congressional Budget Office now warns that without the spending cuts, the tax cuts will blow a massive hole in the federal deficit — a point critics say underscores the GOP’s longtime habit of slashing taxes for the wealthy while ignoring the fiscal consequences.
Still, the political momentum behind the tax cuts remains strong. Hardline conservatives like Sen. Rand Paul (R-KY) and members of the House Freedom Caucus may raise concerns about the deficit, but few believe they’ll ultimately block the bill.
In the end, billionaires are still likely to benefit — while everyday Americans could lose access to vital services. But with the parliamentarian holding firm, at least some of the more extreme proposals are likely off the table. In today’s Congress, that’s considered progress.Tools
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