Interactive Analysis of H.R. 1

The "One Big Beautiful Bill Act" (119th Congress)

Overview of H.R. 1

This section provides a general introduction to House Bill 1 (H.R. 1) of the 119th Congress, known as the "One Big Beautiful Bill Act." It outlines the bill's nature as a multifaceted legislative initiative using the budget reconciliation process to propose sweeping policy changes across various sectors. You'll find information on its broad scope, including tax policy, healthcare, nutrition assistance, energy, defense, border security, and the national debt limit, and its origin in H.Con.Res. 14.

Core Objectives

  • Deliver substantial tax relief.
  • Reform entitlement programs (Medicaid, SNAP).
  • Bolster national safety and security.
  • Roll back government regulations.
  • Address national debt and fiscal deficits (stated goal, debated outcome).

Key Facts

  • Official Title: "One Big Beautiful Bill Act"
  • Congress: 119th (2025-2026)
  • Introduced: May 20, 2025, by Rep. Jodey C. Arrington (R-TX-19)
  • Process: Budget Reconciliation (derived from H.Con.Res. 14)
  • House Passage: May 22, 2025 (Vote: 215-214-1)
  • Current Status: Moves to the Senate for consideration.

The bill's use of budget reconciliation allows for expedited Senate consideration, bypassing the filibuster and requiring only a simple majority for passage, though it is subject to the Byrd Rule regarding extraneous provisions.

Legislative Journey & Key Votes

This section details the path H.R. 1 took through the House of Representatives, from its introduction based on the budget resolution H.Con.Res. 14, through committee actions, and culminating in its narrow passage on the House floor. Understanding this journey highlights the procedural aspects and the partisan divisions surrounding this significant piece of legislation.

Timeline of House Action

  1. May 20, 2025: Introduction

    H.R. 1 introduced by Rep. Jodey C. Arrington, based on H.Con.Res. 14 instructions. Referred to House Budget Committee.

  2. May 21, 2025: Committee Action

    House Rules Committee hearing on H.R. 1 and rule H.Res. 436. Reported out 8-4. Manager's amendment released.

  3. May 22, 2025: House Floor Passage

    Rule H.Res. 436 agreed to (217-212). H.R. 1 passed by the House (215-214-1). Bill moves to Senate.

Key House Floor Votes

Date Roll Call # Vote Question Vote (Y-N-P) Status
May 22, 2025 142 On Agreeing to H.Res. 436 (Rule for H.R. 1) 217-212-0 Passed
May 22, 2025 144 On Motion to Recommit H.R. 1 212-216-0 Failed
May 22, 2025 145 On Passage of H.R. 1 215-214-1 Passed

The passage vote (215-214-1) was highly partisan: 215 Republicans Yea, 2 Republicans Nay, 1 Republican Present; 0 Democrats Yea, 212 Democrats Nay.

Tax Policy Modifications

This section explores the significant changes H.R. 1 proposes to the U.S. tax code. These modifications are central to the bill and include extensions of the 2017 Tax Cuts and Jobs Act (TCJA) provisions, new and altered tax breaks for individuals and businesses, and the repeal of certain energy-related tax credits. The goal is to provide an overview of how these changes aim to reshape the fiscal landscape.

Key Individual Tax Changes

  • Makes many 2017 TCJA individual income tax provisions permanent.
  • Temporarily increases standard deduction & Child Tax Credit (to $2,500 through 2028).
  • Increases SALT deduction cap to $40k (individuals) / $80k (joint) for incomes < $500k.
  • Temporarily exempts tips and overtime pay from federal income tax.
  • Allows deduction for consumer auto loan interest.

Key Business & Investment Tax Changes

  • Modernizes Low-Income Housing Tax Credit (LIHTC).
  • Does NOT extend New Markets Tax Credit (NMTC).
  • Caps itemized deductions for top-bracket taxpayers.
  • Limits tax benefits for certain immigrants.
  • Increases taxes on net investment income of certain private university endowments.
  • Repeals various clean energy tax credits (e.g., Energy Efficient Home Improvement, Residential Clean Energy).

Projected Distribution of Tax Cuts (2026)

Data Source: Tax Policy Center analysis. Chart shows average tax cut as a percentage of after-tax income.

These tax provisions are projected to significantly reduce federal revenue, forming a major part of the bill's overall fiscal impact. The extension of TCJA provisions is a key policy priority for proponents.

Healthcare System Reforms

H.R. 1 proposes substantial reforms to the healthcare system, with a particular focus on Medicaid and aspects of the Affordable Care Act (ACA). This section outlines key changes, including spending reductions, new eligibility requirements for Medicaid, and the potential impact on the number of uninsured Americans. The aim is to provide insight into the bill's direction for federal healthcare policy.

Medicaid Changes

  • Aims for $625 billion in federal Medicaid spending reductions over 10 years (CBO).
  • Mandates state work/community engagement requirements for ABAWDs (e.g., 80 hrs/month). Implementation expedited to Dec 31, 2026.
  • Increases frequency of eligibility redeterminations (e.g., twice yearly for adult expansion population).
  • Expands ban on Medicaid funding for gender-affirming care for minors to all enrollees.
  • Allows states more flexibility for state-directed payments (capped at 110% Medicare rate) if not expanded Medicaid.
  • Permits states to impose additional cost-sharing for Medicaid expansion population.

ACA & Coverage Implications

  • Repeals Biden administration tax credits for electric vehicles and renewable energy (indirectly related but often grouped with ACA-era policies).
  • Concerns raised about potential elimination/rollback of ACA premium tax credits.
  • CBO projects a significant increase in uninsured individuals:
    • 8.6M from Energy & Commerce provisions.
    • 2.1M from Ways & Means provisions.
    • (Earlier: 7.6M by 2034 from Medicaid provisions alone).

Projected Increase in Uninsured Population

Data Source: Congressional Budget Office (CBO) estimates for different bill components.

These reforms indicate a shift towards reduced federal oversight and spending on Medicaid, increased state flexibility, and new eligibility conditions, with significant potential consequences for health coverage nationwide.

Changes to SNAP (Nutrition Assistance)

The Supplemental Nutrition Assistance Program (SNAP) is targeted for significant changes under H.R. 1. This section details these modifications, which primarily involve federal funding reductions and stricter eligibility requirements. The goal is to clarify how these proposals aim to reshape this key food assistance program and the potential consequences for recipients.

Key SNAP Provisions

  • Reduces federal SNAP funding by $267-$290 billion over 10 years. ℹī¸Achieved partly by shifting some benefit costs to states, linked to state error rates.
  • Expands work requirements for Able-Bodied Adults Without Dependents (ABAWDs) to age 65 (up from 55).
  • Modifies general SNAP work requirements to cover ages 17-65 (from 15-60).
  • Amends ABAWD waiver program (e.g., county-level unemployment data for waivers, repeals "insufficient jobs" waiver basis).
  • Prohibits including household internet access costs in the excess shelter expense deduction for benefit calculation.

Concerns & Amendments

  • Critics argue changes could increase food insecurity for vulnerable groups (children, seniors, disabled).
  • Democratic amendments proposed (often rejected) to:
    • Protect seniors from losing assistance.
    • Prevent families with young children from cuts due to childcare costs.
    • Ensure WIC participation is not reduced.

Projected SNAP Funding Reduction

Data based on various sources citing $267-$290 billion cuts over 10 years.

The proposed SNAP alterations aim to reduce program costs and encourage work. However, they have sparked debate about their potential impact on food security and hardship for vulnerable populations.

Energy and Environmental Policy

H.R. 1 includes provisions that would significantly reshape federal energy and environmental policy. This section outlines these changes, which primarily involve rolling back incentives for clean energy and rescinding funds for related programs. The goal is to illustrate the bill's direction away from recent federal support for a cleaner energy transition.

Repeal of Clean Energy Incentives

  • Repeals Energy Efficient Home Improvement Credit.
  • Repeals Residential Clean Energy Credit.
  • Repeals New Energy Efficient Home Credit.
  • Accelerates phase-out of the Clean Electricity Investment Credit.

Rescission of Funds & Policy Alignment

  • Rescinds unobligated funds from the Green and Resilient Retrofit Program (supports energy efficiency in affordable housing).
  • Aligns with H.Con.Res. 14 goals of expanding American energy production (often interpreted as favoring fossil fuels) and reducing energy-related regulations.

These changes signal a departure from federal efforts to support a transition to a cleaner energy economy, reflecting an agenda that prioritizes deregulation and potentially favors conventional energy development over renewable energy and climate initiatives.

Defense and National Security Funding

H.R. 1 allocates increased resources for defense and national security, alongside significant funding for border security and immigration enforcement. This section details these allocations, reflecting them as high-priority areas for the bill's proponents and aligning with instructions from the guiding budget resolution, H.Con.Res. 14.

Defense Spending Increases

  • $150 billion increase for Department of Defense and other national security functions.
  • Aligns with H.Con.Res. 14 instruction for House Armed Services Committee to produce legislation increasing the deficit by up to $100 billion over 10 years.
  • Specific programs mentioned include:
    • Marine Corps Barracks 2030 initiative.
    • Defense Health Program.
    • Supplemental Basic Allowance for Housing (BAH) payments.
    • Tuition and child care assistance for Armed Forces members.

Border Security & Immigration Funding

  • $140 billion allocated for border security and immigration enforcement.
  • Consistent with H.Con.Res. 14 instructions for House Judiciary Committee (up to $110B deficit increase) and Homeland Security Committee (up to $90B deficit increase).
  • Democratic amendments during committee consideration sought to restrict use of funds by ICE (e.g., detaining/deporting U.S. citizens or young children).

This prioritization of defense and border security spending contrasts with proposed reductions in various non-defense discretionary programs and social safety net programs within the same legislative package.

Fiscal Impact and Economic Analysis

This section delves into the projected fiscal consequences of H.R. 1, as analyzed by official bodies like the CBO and JCT, and independent organizations. It covers the overall deficit impact, revenue changes from tax provisions, and spending impacts on health and nutrition programs. The goal is to provide a clear picture of how the bill is expected to alter federal finances and the national debt.

Projected Overall Deficit Increase (10-Year)

Data Sources: Committee for a Responsible Federal Budget (CRFB), Progressive Policy Institute (PPI).

Summary of Key Projected Fiscal Impacts (10-Year)
Impact Area Estimate Source(s) Estimated Figure/Impact
Overall Deficit Increase CRFB, PPI ~$3.3 trillion to >$5 trillion (if temporary provisions made permanent)
Revenue Change (Tax Provisions) JCT, TPC -$3.18 trillion to -$3.8 trillion (deficit increase / revenue loss)
Medicaid Spending Change CBO -$625 billion (savings)
SNAP Spending Change Various -$267 billion to -$290 billion (savings)
Change in Uninsured Population CBO +8.6M (Energy & Commerce) +2.1M (Ways & Means); Earlier: +7.6M by 2034 (Medicaid)
Debt Limit Increase H.Con.Res. 14 +$4 trillion (increase in borrowing authority)

The consistent projection of a net increase in the deficit, despite spending cuts in some areas, has been a central point of contention. Independent analyses also highlight a regressive distributional impact of tax cuts and potential negative secondary economic effects from increased national debt.

Perspectives and Debates

H.R. 1 has generated intense debate. This section presents the main arguments from both proponents and opponents, offering a balanced view of the differing perspectives on the bill's objectives, methods, and potential consequences. Understanding these viewpoints is crucial to grasping the bill's broader political and societal context.

Arguments from Proponents

  • Economic Growth & Tax Relief: Argue tax cuts (extending TCJA, increasing SALT cap) reduce burdens and stimulate economic activity.
  • Entitlement Reform & Fiscal Responsibility: Frame reforms (Medicaid/SNAP work requirements) as ensuring programs serve the "most vulnerable" effectively and promote self-sufficiency.
  • National & Border Security: View increased defense and border security funding as essential for safety.
  • Deregulation & Economic Freedom: Believe rolling back regulations unleashes economic potential.
  • Targeted Benefits & Program Integrity: Aim to restrict government benefits to U.S. citizens.

Concerns from Opponents

  • Increased Deficits & Debt: Warn the bill will add trillions to the national debt.
  • Regressive Distributional Impact: Argue tax benefits heavily skew towards the wealthy, while cuts harm low-income families.
  • Harm to Social Safety Net: Fear Medicaid/SNAP cuts will increase uninsured rates and food insecurity.
  • Negative Environmental Impact: Criticize repeal of clean energy incentives as undermining climate efforts.
  • Procedural Concerns: Object to using fast-tracked reconciliation for such transformative legislation, limiting debate and scrutiny.

The debate over H.R. 1 reflects fundamental disagreements on the role of government, economic policy, and social responsibility. Proponents emphasize individual economic freedom and limited government, while opponents advocate for stronger social safety nets and public investment.

Concluding Analysis & Outlook

This final section summarizes the significance of H.R. 1, its uncertain outlook in the Senate, and its broader potential implications if enacted. It reflects on the bill as a major legislative effort with far-reaching consequences for U.S. fiscal policy, social programs, and environmental direction, highlighting the deep ideological divides it represents.

Summary of Significance

H.R. 1 ("One Big Beautiful Bill Act") is a landmark, comprehensive effort to enact major conservative policy shifts. Its core pillars include extensive tax cuts, significant reforms and spending reductions in Medicaid and SNAP, increased defense/border security funding, and a rollback of clean energy incentives. Its narrow, partisan House passage via budget reconciliation underscores deep ideological divisions.

Outlook in the Senate

The bill now moves to the Senate, where it will also be considered under reconciliation rules (simple majority, no filibuster). However, it faces the Byrd Rule, which prohibits "extraneous matter" (non-budgetary provisions or those with merely incidental budgetary effects). Substantial revisions are anticipated to comply with Senate rules and political dynamics. Passage in a narrowly divided Senate remains challenging.

Broader Implications

  • Fiscal Policy: Likely to significantly increase national debt.
  • Social Safety Net: Would redefine federal relationship with low-income citizens relying on Medicaid/SNAP.
  • Environmental Policy: Marks a shift away from supporting renewable energy and addressing climate change.
  • Political Polarization: Highlights erosion of bipartisan policymaking, potentially leading to policy instability.
  • Mandate Questions: The narrow House victory raises questions about the breadth of political mandate for such sweeping changes.

The legislative and political battles over H.R. 1's provisions are likely to continue, shaping the American policy landscape for years to come. It underscores persistent national debates on government's role, economic inequality, healthcare access, and environmental concerns.