Treasury Secretary Scott Bessent is actively trying to ease Republican fears about the national deficit as President Trump’s “One Big Beautiful Bill Act” moves to the Senate. His assurances of a slowly declining deficit aim to counter the strong opposition from fiscally conservative senators.
The House-passed bill, which includes tax cuts, increased military and border spending, and Medicaid reductions, is moving through the reconciliation process, allowing for a simple majority vote. However, the narrow Republican majority means that the concerns of senators like Ron Johnson and Rand Paul, who criticize the bill’s fiscal impact, remain potent.
Bessent’s statements about a lower deficit this year and in two years are directly addressing the Congressional Budget Office’s projection of a $3.8 trillion increase in the deficit over ten years due to the bill’s tax provisions. His efforts highlight the administration’s awareness of the internal GOP resistance.
Beyond the deficit, the controversial Medicaid cuts, including new work requirements, are also drawing intense scrutiny. Additionally, the Byrd Rule could strip out non-budgetary provisions related to AI regulations, judicial power, or gun control, further complicating the legislative process and potentially leading to a significantly altered bill.
