Republicans Remain Divided on Reconciliation Strategy

Republican intra-party disputes over strategy and the party’s tiny House majority continue to stymie the party’s efforts to come together in support of a budget reconciliation strategy.  Last Wednesday, President-elect Trump met with Senate Republicans. Although some of them continued to argue for a two-bill approach, Trump reiterated his preference for “one big, beautiful bill” that covers tax cuts, spending cuts, immigration and border issues, energy policy, the debt ceiling, and maybe more.  But, again, Trump told the group that he would consider splitting his legislative priorities into two reconciliation bills if the House is unable to unable to move a large, single package.  Republican leadership continues to meet with various factions to try to break the stalemate, but it appears that the House and the Senate are prepared to take different approaches to reconciliation.  House Budget Committee Chair Arrington (R-TX) said last week that the House will proceed with a FY 2026 budget resolution. The Senate will start work on a smaller reconciliation package dealing mostly with border issues.  Presumably, whichever approach appears to have the quickest and surest route to enactment will win.