GOP centrists question Johnson's budget over extensive safety-net cuts

The focus of House GOP leaders has expanded beyond just conservatives as they face new challenges.

GOP centrists question Johnson's budget over extensive safety-net cuts
Speaker Mike Johnson has successfully navigated a significant obstacle in his efforts to unlock the expansive party-line legislation aimed at advancing President Donald Trump's extensive domestic agenda. However, more challenges lie ahead.

On Thursday, as Republican hard-liners reveled in a concession from party leaders for deeper spending cuts as part of the GOP's comprehensive policy initiative, centrists voiced substantial concerns about the legislation's direction, which encompasses border security, energy, defense, and tax provisions.

Numerous divisions are emerging within the party: Republicans from high-tax blue states are worried that the proposal does not provide sufficient room to enhance the state and local tax deduction. Additionally, Senate Republicans and some House hard-liners are hesitant to abandon a competing two-bill strategy.

Johnson’s most pressing challenge comes from Republicans in swing districts who fear that the substantial spending cuts he advocates for Medicaid, food assistance, and other safety-net programs could jeopardize their seats—and, by extension, his slim GOP majority.

"I don’t know where they’re going to get the cuts," said Rep. David Valadao, who represents a heavily Democratic district in central California, as he exited the Capitol on Thursday.

The House Budget Committee approved the fiscal blueprint for the extensive policy bill on a party-line vote late Thursday, and Johnson aims to present it on the floor when the House reconvenes from recess later this month.

With a mere two-vote majority, Johnson can afford virtually no missteps. Opposition from members like Valadao could compel him and committee chairs to reassess their strategies.

Valadao, low-key and soft-spoken, stands in stark contrast to the fiery hard-liners on Johnson’s right. His Central Valley district in California includes one of the six Hispanic-majority GOP seats, where over 20 percent of households depend on food assistance from the Supplemental Nutrition Assistance Program, which is slated for around $230 billion in spending cuts under the GOP's budget.

“Obviously Medicaid and SNAP are ones that I'm very much watching,” Valadao remarked.

He believes he represents a broader cohort of House Republicans who are anxious about the implications of the cuts for their constituencies. Notably, Johnson’s Louisiana district also features a high percentage of households reliant on food assistance, and Medicaid revenue is crucial for hospital systems nationwide.

“There's a lot of us, even leadership themselves, I think a lot of their districts are in the same boat as mine or close to it,” Valadao noted.

The California Republican is also among those from high-tax blue states who are concerned that the proposed budget does not leave enough room to adequately expand the SALT deduction, which could affect more than a dozen votes.

Additionally, it remains uncertain how the House GOP plan will be perceived in the Senate, where there’s a long-standing tradition of modifying tax proposals sent over from the House. Approximately 40 provisions are set to expire at the year’s end, and Trump has numerous tax cuts he desires in addition to those, leading to anticipated conflicts between lawmakers in both chambers over their preferred incentives.

Concerns regarding cuts to Medicare are just as pronounced, even within the White House. Valadao alluded to private discussions Trump had with GOP centrists about this matter last month. The president himself has been hesitant to endorse any measures that could be seen as detrimental to healthcare, especially given the failure of his previous attempts in that area back in 2017.

Valadao, addressing the major Medicaid reforms necessary under the House GOP budget plan, stated, “I think that goes against what he’s said and has been saying to members, both privately and publicly.”

House Energy and Commerce Chair Brett Guthrie acknowledged that some adjustments to Medicaid might not pass the House. This includes proposed per-capita caps, a significant cost-saving measure that would transform the program from an open-ended entitlement to a state grant based on population. However, conservatives contend that the White House has been receptive to certain Medicaid reforms, and House GOP leaders have maintained close communication with administration officials.

According to insiders, Trump’s chief economic advisor, Kevin Hassett, attended reconciliation meetings with GOP leaders and rank-and-file Republicans in the speaker’s office this week. House Republicans perceive Hassett as an ally of Johnson’s single-bill approach, sharing their concerns that a divided tax package would struggle to pass the House.

Nebraska Republican Don Bacon expressed his apprehension about the scope of potential Medicaid cuts affecting his district, which Kamala Harris won in the 2024 presidential election.

“Most of us support work requirements for able-bodied adults with no children, and we should make sure it’s not going to people who don’t qualify,” Bacon commented.

“Beyond that, President Trump said he was reluctant to see cuts in Medicaid that will impact the most needy,” he added. “His gut instinct is right here.”

Moreover, some hard-right members continue to indicate that they are seeking further modifications to the budget framework before they provide their support on the House floor.

Rep. Andy Ogles stated on Thursday that he aims to pursue changes to the plan during the recess, including insurances about "where the cuts are coming from" in specific committees. When asked if he believed GOP leaders would be amenable to further adjustments, Ogles replied, “They don't have the votes, so I think they're compelled to work with us.” He went on to say that developments were heading in “the right direction.”

The GOP leaders' inclusion of a $4 trillion debt ceiling increase in the budget blueprint complicates matters further. Adjusting the federal borrowing limit is highly controversial among Republicans, with several members, including Reps. Tim Burchett of Tennessee and Thomas Massie of Kentucky, having never supported such a move.

Additionally, some ultraconservative members are finding grounds for skepticism. Rep. Keith Self, a member of the House Freedom Caucus, expressed doubts regarding a crucial economic assumption that budget writers used to assert that their plan wouldn't increase the national debt.

GOP leaders argue that the implementation of tax cuts and other measures in the bill would lead to an average annual GDP growth of 2.6 percent, significantly higher than the current 1.8 percent projection from the nonpartisan Congressional Budget Office.

“That in and of itself is extremely optimistic," Self remarked. "I was very concerned when I started hearing people saying, ‘Well, we can just grow our way out of this.’”

“We cannot,” he concluded.

Brian Faler and Ben Leonard contributed to this report.

Alejandro Jose Martinez contributed to this report for TROIB News