A comprehensive strategy was outlined by incoming Senate Majority Leader John Thune (R-S.D.) during the Senate Republican retreat on Tuesday. His plan involves prioritizing a budget reconciliation package focused on border security and defense at the beginning of next year, followed by a second reconciliation package later in the year aimed at extending the expiring Trump-era tax cuts.
During a half-day meeting of the Senate GOP conference held at the Library of Congress, Thune shared this proposal while President-elect Trump called in to encourage Republican lawmakers to act swiftly and decisively on his priorities.
Thune suggests tackling border security enhancements before addressing the expiration of Trump-era tax cuts
Although extending the Trump tax cuts, which are set to expire at the end of next year, remains a top priority, Thune has suggested that Senate Republicans first tackle a proposal to enhance border security and increase defense spending, according to sources familiar with the discussions.
According to a Republican senator who attended the meeting, multiple reconciliation packages are planned. “The current discussion is whether we should focus on the border first and then return to tax extensions and relief, given the complexities of the tax package,” the senator explained.
The senator also noted a growing consensus among Republicans to prioritize border security immediately. This would involve utilizing a budget reconciliation package to allocate funds for completing construction of Trump’s border wall, as well as increasing funding for Customs and Border Protection and Immigration and Customs Enforcement.
Additionally, Thune has proposed the possibility of converting discretionary defense spending into mandatory spending, enabling it to be passed through the budget reconciliation process.
Such a move would shield the increase in defense funding from the usual bipartisan negotiations surrounding the top-line spending limits for the twelve annual appropriations bills. Traditionally, Democrats have insisted that any increase in defense spending must be accompanied by corresponding increases in nondefense social spending.
By transitioning a portion of defense spending to mandatory status and passing it under the protection of the budget reconciliation process, Republicans aim to maintain lower levels of discretionary defense spending without jeopardizing military readiness.
Proposals to enhance domestic energy production are also being considered for inclusion in the first budget reconciliation package. Sen. Lindsey Graham (R-S.C.) stated that Senate Republicans intend to pass a border security package using budget reconciliation within the first 30 days of Trump’s second term.
“We’ll give it a whirl,” he remarked about the expedited timeline. “We aim to start with securing the border.” He further emphasized, “We want to help lower energy costs and support the military. Our goal is to hit the ground running.”
Passing legislation as part of a budget reconciliation package would allow Republicans to circumvent a Democratic filibuster in the Senate. Budget reconciliation bills can be approved with a simple majority in the Senate; however, the Byrd rule mandates that the items included must significantly affect spending, revenues, and the deficit.
