US President Donald Trump is set to sign his landmark policy bill into law, a day after it was narrowly passed by Congress. The signing event at the White House on Friday afternoon coincides with 4 July celebrations, enacting key parts of the Trump agenda, including tax cuts, spending boosts for defense, and immigration crackdowns.
The bill’s passage marks a significant win for Trump, who began his victory lap at an Iowa rally on Thursday night, telling supporters it will unleash economic growth. “There could be no better birthday present for America than the phenomenal victory we achieved just hours ago,” he said. “Very simply the One Big, Beautiful Bill will deliver the strongest border on Earth, the strongest economy on Earth [and] the strongest military on Earth.”
However, many experts fear the tax cuts won’t be sufficient to prevent the budget deficit from ballooning, adding to the national debt. Analysis by the Congressional Budget Office suggests the tax cuts could produce a surplus in the first year but will then cause the deficit to rise sharply.
According to the Tax Policy Center, the tax changes in the bill would benefit wealthier Americans more than those on lower incomes, with about 60% of the benefits going to those making above $217,000.
The 870-page package includes:
- Tax Cuts: Extending 2017 tax cuts, new tax breaks on tipped income, overtime, and Social Security
- Defense Spending: A budget increase of $150 billion for defense
- Immigration: $100 billion to Immigration and Customs Enforcement (ICE)
- Medicaid and SNAP Cuts: Steep cuts to Medicaid spending and reductions in Biden-era clean energy tax credits
The bill’s passage was met with opposition from Democrats and some Republicans, who cited concerns about the impact on rising US debt and the potential harm to vulnerable populations. House Minority Leader Hakeem Jeffries delayed the final vote in the lower chamber of Congress on Thursday by speaking for nearly nine hours, calling the bill an “extraordinary assault on the healthcare of the American people.”
The bill’s changes to Medicaid and SNAP would result in nearly 12 million losing coverage in the next decade, the CBO estimates. Jordan, a father of two, is one of 42 million Americans who benefits from the SNAP scheme targeted by the bill. “I’m going to make sure that I can do whatever I can to feed my family,” he says.
The bill’s signing is expected to precede 4 July American Independence Day fireworks and a military picnic attended by the pilots who recently flew into Iran to try to dismantle three nuclear sites. Despite the celebratory mood, the bill’s passage marks a major win for Trump, but also poses potential political peril as many Americans remain skeptical of the bill’s impact.