House Majority Leader Steve Scalise, R-La., said Republicans were eyeing $1 trillion as a rough baseline for spending cuts as they prepare a massive conservative policy overhaul.
‘I think when you look at where we are, we’re close to a trillion and still working,’ Scalise said in response to a question by Fox News Digital late Tuesday night. When asked by another reporter later whether Republicans were looking at a $1 trillion baseline, Scalise said, ‘Roughly.’ No final decisions have been made, however.
Republican majorities in the House and Senate are working to codify large swaths of President Donald Trump’s agenda via the budget reconciliation process.
By lowering the threshold for Senate passage from 60 votes to 51 out of 100, the maneuver allows the party in power to skirt its opposition to advance its agenda – provided the items included relate to budgetary and other fiscal matters. The House of Representatives already has a simple majority threshold.
Disagreements over where to set the floor for spending cuts have put House Republicans behind on their ambitious schedule for reconciliation, which includes a final goal of getting a bill on Trump’s desk in May.
The House Budget Committee was expected to advance an initial resolution for reconciliation this week. That plan was derailed, however, when spending hawks on the panel balked at House GOP leaders’ initial offer of roughly $300 billion as a starting point for rollbacks to federal funding. They also rejected a higher offer nearing $900 billion in cuts, Fox News Digital was told earlier this week.
Scalise told reporters Tuesday night that leaders were now looking at next week to advance the bill out of the House Budget Committee.
Conservatives who spoke with Fox News Digital said they doubted the spending cuts would go much deeper than the agreed-upon floor, but Republican leaders have continued to insist there will be opportunities to find areas for cuts beyond whatever level they settle on.
Scalise also cautioned that negotiators were working against cost estimates by the Congressional Budget Office (CBO), a nonpartisan group.
‘There are a lot of numbers floating around. I mean, you know, CBO’s got their numbers, and we’ve had real issues with them, because CBO has been wrong so many times, but yet you still have to start with their numbers,’ Scalise said. ‘And then, you know, what kind of economic growth are you gonna get if you have better energy policy and better regulatory policy? And those are real factors. And our members recognize that, but, you know, you’ve got to come to an agreement on what is that growth factor gonna be? What’s a fair number?’
GOP negotiators met on Tuesday evening to chart a path forward. A source familiar with the meeting said Speaker Mike Johnson, R-La., did not commit to anything and discussions are still ongoing.
Republicans are hoping to use reconciliation to pass several Trump policy goals, from more funding at the border to removing taxes on tipped and overtime wages. Lawmakers are also eyeing new defense funding and pro-fossil fuel energy measures.
House Republicans had planned to pass their reconciliation bill first, but it appears time could be running short. Senate Republicans have signaled they are ready to move ahead with their own plan if infighting delays the House GOP’s schedule.
Asked about the prospect of the Senate moving first, Johnson told reporters on Tuesday, ‘Senate will not take the lead. We’re going to, and we’re right on schedule.’
Scalise similarly said that delaying the committee mark up to next week will not alter Republicans’ overall timeline.