Trump’s Tax and Spending Bill Gains Backing from Conservative Holdouts
Some conservative members of the House had been hesitant about President Trump’s ambitious tax and spending bill, largely because of his concerns over enforcing the phase-out of solar and wind tax credits.
Initially, the conservative faction threatened to block the bill, as they had done previously, but by the following morning, they seemed to have changed their tune. It appears that Trump’s commitment to tightening regulations on green energy subsidies influenced these holdouts to back the president’s transformative bill, even though it doesn’t ensure a quicker end to those tax credits.
The House hasn’t yet voted on the bill after House Democratic leader Hakeem Jeffries took the floor to voice objections, effectively delaying the vote. However, House Majority Leader Johnson mentioned on Thursday that he had enough support to push the budget package to Trump for his signature.
Rep. Ralph Norman from South Carolina noted on CNBC that he thinks Trump is scrutinizing the eligibility requirements as part of this process. Another reluctant supporter, Rep. Tim Burchett from Tennessee, commented on the discussions taking place within the committee regarding the bill.
The Senate’s revised version of the bill provides more leeway for solar and wind developers than the initial House draft. It allows a one-year extension for projects to begin construction to qualify for tax credits. If developers can’t meet the construction deadline, the project must be connected to the grid by 2027 to get credit.
Norman had previously expressed that he couldn’t support the Senate’s changes because they didn’t completely eliminate the tax credits, stating, “It has to go.”
The involvement of the president and his administration was cited as pivotal by House Conservative leaders, especially as July 4th approached, which was seen as a deadline for passing the legislation.
Speaker Mike Johnson credited Trump with persuading hesitant conservatives to rally around the bill, noting, “The president helped answer the questions,” and highlighted the involvement of various Cabinet Secretaries and experts in swaying undecided members.
Another point influencing the holdouts was the fear that continued negotiations with the Senate might lead to a more liberal version of the legislation than currently proposed. Republican Senator Lisa Murkowski from Alaska’s critical vote indicated that more concessions would be needed, which conservatives were opposing due to concerns over increasing deficit spending.
Norman reiterated that waiting too long could worsen the bill, saying, “If we had to send it back to the Senate, it would have gotten worse.”
Rep. Warren Davidson from Ohio, who was initially against the first House draft, ultimately decided to support the Senate’s amended bill, albeit with some reservations. “I wish it was a slightly better product, but I think it’s as good as we can get before the July 4th deadline,” he remarked, acknowledging that prolonged discussions would likely yield a less favorable outcome.
Despite his ongoing concerns about the Senate amendments, Norman stated his support for the legislation was partly due to the necessity of extending the tax cuts enacted during Trump’s first term, which would help families avoid an estimated $1,700 tax increase.
The White House did not immediately respond to requests for comment.
