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Senate Republicans Advance Debt Ceiling and Budget Resolution Amid Internal Divisions

GOP leaders push for a vote next week on a budget package incorporating $2 trillion in cuts and a debt ceiling increase, while addressing Medicaid and tax cut disputes.

Senate Majority Leader John Thune (R-SD) speaks with reporters following the Senate Republicans' weekly policy lunch on Capitol Hill in Washington, D.C., U.S., March 11, 2025.
Senate Majority Leader John Thune takes a question from a reporter as he walks off the Senate floor at the Capitol on March 24, 2025 in Washington, DC.
Trump delivers address to Congress
Speaker of the House Mike Johnson departs following a news conference following a meeting of the House Republican Conference on Capitol Hill on Tuesday, in Washington, DC.

Overview

  • Senate Republicans are finalizing a budget resolution that includes a debt ceiling increase and $2 trillion in spending cuts over the next decade.
  • Internal GOP divisions persist over Medicaid cuts, tax policies, and the scale of spending reductions, complicating efforts to unify the party.
  • The Senate parliamentarian’s pending ruling on a controversial accounting method for extending Trump’s 2017 tax cuts is a critical factor for the resolution.
  • Leadership aims to reconcile the Senate and House budget plans by April, targeting Memorial Day 2025 for the final passage of Trump’s policy package.
  • Treasury projections indicate the U.S. government could default by August or September 2025 without a debt ceiling increase, adding urgency to negotiations.