In a dramatic and deeply divisive vote, the U.S. Senate on Tuesday advanced President Donald Trump’s sprawling legislative package — dubbed the “One Big Beautiful Bill” — bringing it one step closer to becoming law. The measure passed with a 50-50 tie broken by Vice President JD Vance after three Republican senators broke ranks to oppose the bill.
The legislation, a signature piece of Trump’s second-term agenda, includes permanent extensions of individual tax cuts from the 2017 Tax Cuts and Jobs Act, new tax breaks aligned with campaign pledges, massive healthcare cuts, and sweeping energy policy shifts. It also includes a $5 trillion increase in the debt ceiling.
Contentious Provisions and GOP Divisions
The bill passed the Senate despite no votes from GOP Sens. Thom Tillis (N.C.), Susan Collins (Maine), and Rand Paul (Ky.). Tillis and Collins objected to deep healthcare cuts estimated to leave nearly 12 million more Americans uninsured by 2034, according to a Congressional Budget Office (CBO) analysis. Paul, a fiscal hawk, cited concerns over the debt ceiling hike.
The healthcare overhaul includes $900 billion in cuts to Medicaid and new eligibility requirements that are expected to remove millions — including many U.S. citizens — from coverage. Rural hospitals are expected to face severe funding pressures under the new plan.
Energy Overhaul: Boosts to Fossil Fuels, Blow to Clean Energy
The bill accelerates the phase-out of Biden-era clean energy tax credits, with EV subsidies ending immediately on September 30. A controversial excise tax on wind and solar projects tied to Chinese supply chains was removed in a late-night change following outcry from clean energy advocates.
Nonetheless, the legislation leans heavily into fossil fuel support, including classifying coal as a “critical mineral” eligible for new manufacturing credits. “We’re doing coal,” Trump declared in a recent Fox News interview, where he also disparaged solar energy projects as “ugly as hell.”
Tesla CEO Elon Musk warned the bill could weaken the energy grid and lead to higher utility bills, while Sen. Ed Markey (D-MA) celebrated the removal of the solar tax as a rare win for clean energy.
Tax Cuts and Trump-Era Promises Fulfilled
The bill extends the Trump tax cuts for individuals permanently, keeping the top tax rate for the highest earners at 37%. It also includes new deductions that reflect Trump’s 2024 campaign promises — eliminating taxes on tips, car loan interest, and overtime, though the Senate version caps deductibility for tips and overtime at $25,000 annually.
An expanded standard deduction for seniors is also part of the package, aligning with Trump’s pledge to eliminate taxes on Social Security benefits.
Political Fallout and Uncertain Path in House
Despite celebration from GOP leaders and Treasury Secretary Scott Bessent, who urged quick action, the bill faces a rocky path in the House, where the conservative Freedom Caucus has expressed reservations. Rep. Chip Roy (R-TX), a Rules Committee member, warned: “We’ve got to deliver for the President — but it has to be the right bill.”
Polls show growing public opposition, particularly due to the healthcare changes. A Fox News poll released Monday found 59% of Americans opposed the bill versus just 38% in support — a 21-point gap.
Still, House GOP leaders reaffirmed their goal of delivering the bill to President Trump’s desk by July 4, with the first step in the House Rules Committee expected later Tuesday.
If passed, the “One Big Beautiful Bill” would become one of the most transformative — and controversial — pieces of legislation in decades, reshaping taxes, healthcare, energy, and federal spending priorities for years to come.
