July 1, 2025 | Washington, D.C.

In a dramatic and tightly contested vote, the U.S. Senate passed President Donald Trump’s sweeping tax and spending bill, dubbed the “One Big Beautiful Bill,” on Tuesday, July 1, 2025, with a razor-thin 51-50 margin. The legislation, a cornerstone of Trump’s second-term domestic agenda, advanced after Vice President JD Vance cast a critical tiebreaking vote, overcoming opposition from three Republican senators who joined Democrats in voting against the measure. The bill now heads back to the House of Representatives for final approval, where it faces another challenging vote due to the Republicans’ narrow majority.

A High-Stakes Victory for Trump

The 940-page bill, which includes $4 trillion in tax cuts, increased funding for border security and defense, and significant cuts to social programs like Medicaid and SNAP, cleared its final Senate hurdle after more than 24 hours of intense negotiations and a marathon “vote-a-rama” session. The legislation aims to make permanent the tax cuts from Trump’s first term, set to expire by the end of 2025, while introducing new deductions, such as no taxes on tips, overtime pay, and certain automotive loans. It also boosts the child tax credit to $2,200 and raises the state and local tax (SALT) deduction cap to $40,000 for five years, a compromise to appease lawmakers from high-tax states.

The Senate’s passage marks a significant legislative win for Trump, who had pressed Congress to deliver the bill to his desk by July 4, though he later acknowledged the deadline might slip to “somewhere around there.” Trump hailed the vote as a “great victory” on social media, praising Vice President Vance for his pivotal role. “He’s doing a good job,” Trump said during a roundtable at a new migrant detention facility in Florida, calling the Senate’s approval “music to my ears.”

Three Republicans Vote No

Despite the Republican-controlled Senate’s 53-47 majority, the bill faced significant internal resistance. Three GOP senators—Susan Collins of Maine, Thom Tillis of North Carolina, and Rand Paul of Kentucky—voted against the legislation, joining all 47 Democrats in opposition. Their dissent pushed the vote to a 50-50 tie, necessitating Vance’s tiebreaking intervention.

• Susan Collins: The Maine senator expressed concerns over the bill’s steep Medicaid cuts, which the Congressional Budget Office (CBO) estimates could result in 11.8 million people losing health insurance by 2034. Collins, who voted to advance the bill but leaned against final passage unless revised, sought amendments to protect rural hospitals and low-income healthcare access. She ultimately voted no, citing insufficient changes to address her concerns.
• Thom Tillis: The North Carolina senator was vocal in his opposition, delivering a fiery Senate speech denouncing the Medicaid cuts as a betrayal of Trump’s campaign promise not to harm the program. Facing a 2026 reelection bid, Tillis announced his retirement after Trump threatened a primary challenge for his procedural vote against the bill. He criticized the legislation for risking healthcare access for over 600,000 North Carolinians.
• Rand Paul: A consistent fiscal hawk, Paul opposed the bill due to its $5 trillion debt ceiling increase and $3.3 trillion addition to the national debt over a decade. He argued that the spending cuts, including $1.2 trillion from social programs, were insufficient to offset the tax cuts and military spending hikes. Paul’s vote aligned with his long-standing criticism of deficit spending, despite supporting the 2017 tax cuts.

Vance’s Role and GOP Negotiations

The bill’s passage required intense negotiations led by Senate Majority Leader John Thune (R-S.D.), who worked through the weekend to sway holdouts like Senators Lisa Murkowski (R-Alaska), Rick Scott (R-Fla.), Mike Lee (R-Utah), and Ron Johnson (R-Wis.). Vice President Vance played a key role, attending closed-door meetings in Thune’s office and joining Trump in phone calls to persuade reluctant senators. Murkowski, initially a potential defector, voted yes after amendments addressed rural healthcare funding and SNAP exemptions for Alaska. Scott and Lee also agreed Stuart after negotiations, citing a commitment to deeper deficit reduction.

The vote, delayed by hours of talks and a 16-hour reading of the bill demanded by Senate Minority Leader Chuck Schumer (D-N.Y.), teetered on the edge as GOP leaders scrambled to secure the necessary 51 votes. The use of the budget reconciliation process allowed Republicans to bypass the Senate’s 60-vote filibuster threshold, but with only a three-vote margin for error, Vance’s presence at the Capitol was critical. His tiebreaking vote on July 1 ensured the bill’s advancement, marking a rare instance of a vice president breaking a Senate tie.

Key Provisions of the Bill

The legislation, officially titled the “One Big Beautiful Bill Act,” includes:

• Tax Cuts: Permanent extension of 2017 tax cuts, no taxes on tips or overtime, and a $6,000 deduction for seniors earning under $75,000.
• Spending Increases: $46.5 billion for Trump’s border wall, $10 billion for border security, $4.1 billion for Customs and Border Protection, and $150 billion for military spending.
• Spending Cuts: $1.2 trillion in cuts to Medicaid, SNAP, and clean energy tax credits, raising concerns about healthcare access and rural hospital funding.
• Debt Ceiling: A $5 trillion increase to avoid a potential default, a contentious point among fiscal conservatives.

The CBO projects the bill will add $3.3 trillion to the national debt over 10 years, a point of contention for critics like billionaire Elon Musk, who called it a “disgusting abomination” on X, threatening to oppose Republicans who supported it in future primaries.

Challenges Ahead in the House

The bill now returns to the House, where it passed in May by a single-vote margin (215-214). The Senate’s changes, including deeper Medicaid cuts and a higher debt ceiling, have sparked objections from both moderate and conservative House Republicans. The House Freedom Caucus, a hardline conservative group, criticized the Senate version for adding $651 billion to the deficit, while moderates like Representative David Valadao (R-Calif.) oppose the Medicaid cuts due to their impact on rural constituents. With a 220-212 Republican majority, House Speaker Mike Johnson faces a delicate balancing act to secure passage, expected as early as Wednesday, July 2, 2025.

Democratic Opposition and Public Reaction

Democrats, unified in opposition, attempted to delay the process by forcing a full reading of the bill and proposing amendments to highlight controversial provisions. Senate Minority Leader Chuck Schumer warned that the bill’s passage would “haunt” Republicans, citing its impact on social programs. On X, sentiment was mixed, with some users like @KristyTallman noting the high stakes of the vote and others like @YahooNews reporting Vance’s tiebreaking role as breaking news. Public concerns, echoed by figures like Musk, focus on the bill’s debt increase and cuts to healthcare and food assistance.

What’s Next?

The House vote will determine whether the bill reaches Trump’s desk, potentially by his softened deadline of “around July 4.” If passed, it will mark a historic legislative achievement for Trump’s second term, reshaping tax policy and federal spending. However, the narrow margins in both chambers and ongoing GOP divisions suggest a contentious path forward. For updates, commuters and policy watchers alike should monitor trusted sources like PBS News, NBC News, and The New York Times, which have provided detailed coverage of the bill’s progress.