Senate Republicans hauled President Donald Trump's big tax breaks and spending cuts bill to passage Tuesday on the narrowest of votes, pushing past opposition from Democrats and their own GOP ranks after a turbulent overnight session.

The Associated Press

July 1, 2025 at 6:05PM

Vice President JD Vance broke a 50-50 tie to push it over the top.

The outcome capped an unusually tense weekend of work at the Capitol, the president's signature legislative priority teetering on the edge of approval, or collapse.

Here's the latest:

States sue Trump administration over school mental health grants

Democratic attorneys general from 16 states have filed a federal lawsuit challenging the Trump administration's termination of grant funding to to mental health programs designed to address counselor shortages in schools.

The $1 billion in grants were part of bipartisan gun control legislation Congress passed in 2022 after the mass school shooting in Uvalde, Texas. The money was used to help districts train, retain and recruit mental health workers, particularly in low-income and rural schools.

The Trump administration told grant recipients in April that their funding would not be continued, saying the programs' efforts to recruit diverse counselors and social workers violated executive orders against diversity, equity and inclusion.

US judge says HHS layoffs were likely unlawful and must be halted

A federal judge has ruled that the recent mass U.S. Health and Human Services layoffs were likely unlawful and ordered the Trump administration to halt plans to downsize and reorganize the nation's health workforce.

U.S. District Judge Melissa DuBose in Rhode Island granted the preliminary injunction sought by a coalition of attorneys general from 19 states and the District of Columbia in a lawsuit filed in early May.

DuBose said the states had shown ''irreparable harm,'' from the cuts and were likely to prevail in their claims that the ''HHS's action was both arbitrary and capricious as well as contrary to law.''

''The executive branch does not have the authority to order, organize, or implement wholesale changes to the structure and function of the agencies created by Congress,'' DuBose wrote in a 58-page order handed down in U.S. district court of Rhode Island.

Her order blocks the Trump administration from finalizing layoffs announced in March or issuing any further firings. HHS is directed to file a status report by July 11.

House Republicans are wasting little time getting back to work on Trump's tax and spending cut bill

The House Rules Committee, which sets the terms for how the legislation will be debated, including amendments and length of time for debate, has scheduled a meeting for 1:30 p.m. That's barely an hour after the Senate approved the measure with Vice President JD Vance casting the tie-breaking vote.

The House is returning Wednesday morning and Speaker Mike Johnson reiterated that after the Senate vote that Republicans are ''ready to finish the job.''

The House had approved an earlier version of the bill in late May with only one vote to spare. Now, they'll be voting on the version amended by the Senate.

It could be a difficult vote for some of the GOP's fiscal hawks. Namely, it is projected to increase federal deficits by $3.3 trillion, nearly $1 trillion more than the House-passed bill.

DeSantis pitches Florida detention center as intimidating incentive for immigrants to leave the country

DeSantis said immigrants in the U.S. illegally should go home on their own, as the Trump administration has been encouraging them to do, and not risk being detained and brought to the Florida facility.

''Why would you want to come to Alligator Alcatraz if you can just go home on your own?'' the governor said, using the state's nickname for the center. The Trump administration has encouraged migrants to ''self deport'' and preserve the opportunity to come back to the U.S. in the future.

Homeland Security Secretary Kristi Noem says they can't ever return if the government deports them.

DeSantis brushes off environmental concerns about Everglades detention center

The facility is being assembled with tents and trailers on top of an existing airstrip, meaning it hasn't required laying new concrete or constructing permanent new buildings.

DeSantis said people protesting about the potential environmental impact were simply opposed to deportations.Trump said he wasn't worried either, saying ''I don't think you're doing anything to the Everglades, you're just enhancing it."

Institute of Peace Headquarters changing hands again

The staff at the U.S. Institute of Peace is expected to turn over its headquarters to the Trump Administration, marking the third changing of hands since March.

The initial switch came when the Department of Government Efficiency took over the building –- with the help of the FBI and D.C. police as part of a downsizing effort ordered by an executive order signed by President Donald Trump.

Some of the staff and the Institute's acting president had regained control in May after District Judge Beryl A. Howell ruled that the institute was not part of the executive branch and therefore Trump did not have the legal authority to fire the organization's board and acting president.

That also rendered moot the transfer of the headquarters to the General Services Administration, as well as the firing of most of the 300 person staff.

The U.S. Court of Appeals for the D.C. Circuit stayed Howell's ruling June 27, prompting discussions by the organization to relinquish its headquarters — again. What's unclear is when the latest handover will occur or who will participate for the government while the appellate panel continues to deliberate over the lower court ruling.

It's no longer a ‘one big beautiful bill'

Shortly before Republicans voted to pass Trump's big bill, Democrats successfully changed the official name of it.

Senate Minority Leader Chuck Schumer made a point of order on the floor, and the title was struck.

''This is not a ‘Big, Beautiful Bill,''' Schumer said on social media. ''It is a BIG, UGLY BETRAYAL.''

Senate Democratic leader Chuck Schumer responds to vote

‘Today's vote will haunt our Republican colleagues for years to come'

Republicans ''covered this chamber in shame'' with passage of their tax bill,

Schumer said in a floor speech after the vote.

He assailed the bill's projected impact on healthcare, food assistance and the debt, saying, ''This is not what the American people want.''

After his speech, the Senate adjourned until next week.

Responsible budget advocate calls Senate passage of bill ‘failure of responsible governing'

In response to the Senate's passage of its version of the massive tax package, Maya MacGuineas, president of the Committee for a Responsible Federal Budget said the ''level of blatant disregard we just witnessed for our nation's fiscal condition and budget process is a failure of responsible governing.

''These are the very same lawmakers who for years have bemoaned the nation's massive debt, voting to put another $4 trillion on the credit card,'' MacGuinea said.

In its Senate version, Republicans' mega tax bill is set to increase federal deficits over the next 10 years by nearly $3.3 trillion from 2025 to 2034, according to the Congressional Budget Office.

Trump thinks Senate-passed spending bill go down easy in the House

Told that some House Republicans have said they cannot support the Senate's changes to the massive bill, Trump said the measure has ''something for everyone.''

''It's a great bill … and I think it's going to go very nicely in the House,'' Trump said. ''I think it's going to go easier in the House.''

Democrats target Sen. Collins even after she votes no

GOP Sen. Susan Collins ultimately voted against Trump's big bill on Tuesday, but Democrats are arguing she paved the way for its advancement and should be held accountable at the ballot box next year in Maine.

''Susan Collins made the deliberate choice to advance this bill, and she'll be held accountable for it in 2026,'' said Tommy Garcia, spokesperson for the Maine Democratic Party.

Collins says Medicaid cuts were too steep

Collins of Maine said she voted against the bill because she felt its cuts to Medicaid were too steep, particularly for a poor and largely rural state such as Maine.

Collins is a moderate Republican who is an important swing vote.

She said she does support some pieces of the bill, such as extending tax relief for families and small businesses.

''My vote against this bill stems primarily from the harmful impact it will have on Medicaid, affecting low-income families and rural health care providers like our hospitals and nursing homes,'' she said.

House vows to pass Trump's bill by Fourth of July

Speaker Johnson and House leadership say they'll immediately consider the package as lawmakers return to Washington late Wednesday.

''This bill is President Trump's agenda, and we are making it law,'' said the GOP leadership in a joint statement.

But the outcome in the House is uncertain. With the slim GOP majority and few votes to spare, they have a narrow path to pass the bill over Democratic opposition

DeSantis pitches Florida detention center as intimidating incentive for immigrants to leave the country

Homeland Security Secretary Kristi Noem says they can't ever return if the government deports them.

Collins secured $50B in rural hospital funds and still voted no

The Maine senator said she's happy the bolstered funding was, ''but my difficulties with the bill go far beyond that.''

Collins was among several GOP senators who have worried that the bill's Medicaid provider cuts would hurt hospitals, particularly in rural regions.

While her amendment to beef up the fund was rejected, the provision was inserted into the final bill.

Sen. Rand Paul reacts

''The big not-so-beautiful bill has passed,'' he told reporters.

Thune worked around the clock to secure the votes

''In the end we got the job done, and we're delighted to be able to be partners with President trump and his agenda,'' Thune said after the vote.

Trump ready to celebrate Senate passage of his ‘one big, beautiful bill'

Trump was in Florida when the Senate passed the bill after Vice President Vance broke a 50-50 tie.

Applause broke out during a roundtable discussion he participated in after touring a new immigration detention center near the Florida Everglades.

The president directed the next handful of speakers before saying, ''then we'll go home and celebrate the big, beautiful bill that just got passed.''

The House will have to vote again on the bill because of changes by the Senate.

Trump aware that bill is passed

At a roundtable discussion at a new immigration detention center near the Florida Everglades, Trump indicated which officials will speak next and said, ''we'll go home and celebrate the big beautiful bill that just got passed.''

Dems make displeasure known in roll call vote

Tensions were high on the Democratic side of the aisle during Tuesday's final vote on the big tax and spending cut bill.

Several yelled their ''No'' as the roll call ensued. Others filtered out almost immediately and before a final tally could be announced.

Sen. Angus King, an independent from Maine, walked over to the Republican side of the chamber upon exiting and could be heard from the gallery admonishing GOP colleagues: ''Shame on you guys,'' he said in a loud voice.

Trump repeats hope for forging an Israel-Hamas ceasefire deal next week

Asked if it's time to put pressure on Netanyahu to get a ceasefire deal done, Trump said the Israeli prime minister is ready to come to an agreement. The president is set to host Netanyahu on Monday at the White House for talks.

''He wants to,'' Trump said of Netanyahu. ''I think we'll have a deal next week.''

Talks between Israel and Hamas have repeatedly faltered over a major sticking point — whether the war should end as part of any ceasefire agreement. About 50 hostages remain captive in Gaza, with less than half believed to be alive.

These GOP senators opposed Trump's bill

Sen. Thom Tillis of North Carolina

Sen. Susan Collins of Maine

Sen. Rand Paul of Kentucky

Senate Republicans haul Trump's big bill to passage after a turbulent all-night session

Senate Republicans hauled President Trump's big tax breaks and spending cuts bill to passage Tuesday on the narrowest of votes, pushing past opposition from Democrats and their own GOP ranks after a turbulent overnight session.

Vice President JD Vance broke a 50-50 tie to push it over the top.

The outcome capped an unusually tense weekend of work at the Capitol, the president's signature legislative priority teetering on the edge of approval, or collapse.

The difficulty it took for Republicans, who have the majority hold in Congress, to wrestle the bill to this point isn't expected to let up. The package now goes back to the House, where Speaker Mike Johnson had warned senators not to deviate too far from what his chamber had already approved. But the Senate did make changes, particularly to Medicaid, risking more problems as they race to finish by Trump's Fourth of July deadline.

International students reach agreement with federal government over legal status

The group of international students had filed a lawsuit in Atlanta challenging the termination of their legal status earlier this year.

The terms of the settlement were filed in federal court Monday and a judge still needs to sign off on them. The legal status for the 358 plaintiffs in the case had already been temporarily restored while the litigation was pending.

Charles Kuck, a lawyer who represented the students, called the settlement with Department of Homeland Security and U.S. Immigration and Customs Enforcement officials a ''major victory.''

''We are grateful for the opportunity to right the wrong committed by ICE and DHS,'' he said. ''We will now seek to right the wrong committed by the State Department in revoking student visas for these same students.''

Some of the students also had their entry visas revoked when their legal status was terminated, and the agreement doesn't change that. Visas are the jurisdiction of the State Department, not DHS and ICE.

Trump rates his relationship with DeSantis as a ‘10' or ‘maybe a 9.9'

Once close political allies, their relationship became strained after DeSantis challenged Trump for the 2024 Republican presidential nomination, but the pair lately have been on good terms.

DeSantis is at Trump's side as the president visits a new immigration detention center near the Florida Everglades.

Asked to rate the relationship, Trump said, ''It's a 10. Maybe a 9.9.''

He said a few minutes later that he and DeSantis had a little ''off period'' but ''it didn't last long.''

First migrants at Florida detention center could arrive tomorrow

During a tour, Trump saw a dormitory building with rows of bunk beds surrounded by chain link fencing.

Gov. DeSantis and Homeland Security Secretary Kristi Noem said the first detainees could arrive Wednesday. DeSantis said Homeland Security has ''people in the queue.''

Noem said people can voluntarily leave the country to avoid ending up in facilities like this one.

Trump says visit by Israeli PM Benjamin Netanyahu will be ‘great celebration' of Iran strikes

The Israeli prime minister is set to visit the White House on Monday for talks as Trump also steps up his push on Israel and Hamas to forge a ceasefire and hostage agreement in Gaza.

Trump once again scoffed at questions raised by Democratic lawmakers and others about just how big an impact the operations had in setting back Iran's nuclear program as demeaning to the U.S. pilots who carried out strikes on three key nuclear facilities.

''We should celebrate these heroes,'' Trump said.

Secretary of State Marco Rubio meeting with counterparts from India, Japan and Australia

It comes as the Trump administration seeks to expand its influence in the Indo-Pacific to compete with a rising China amid tensions among the so-called ''Quad'' grouping over trade and defense issues.

In a joint meeting with his three colleagues, Rubio said the Quad must be a ''vehicle for action'' that goes beyond statements of intent and stressed that commerce and trade will be critical to ensuring the group's relevance in the future.

After meeting with the foreign ministers together, Rubio will host the three in separate bilateral meetings followed by a session with several dozen private companies doing business in the region.

Trump's tariff policies have rankled all three as has his stated desire to reduce U.S. military spending in favor of greater domestic investment in the region while at the same time arguing that countering China remains his administration's top priority.

Florida Gov. Ron DeSantis says migrants can start arriving at the new facility soon

The governor spoke to reporters alongside President Trump after he disembarked from Air Force One at the airstrip where detainees will be housed.

DeSantis said migrants can be relocated there soon once Trump finishes his tour.

Trump said it could be a model for future detention centers.

''You have a lot of body guards and a lot of cops that are in the form of alligators,'' he said. ''You don't have to pay them so much.''

Senate Majority Leader John Thune says he believes a deal is in place to pass Trump's bill

After more than 24 hours of voting on the floor, however, Thune added that he's a ''realist.''

Other Republicans echoed his sentiment — without sounding overly confident. GOP Sen. Markwayne Mullin said ''as of right now'' they had the necessary votes.

''I mean, anybody is welcome to change. You know, we've been changing by the minute,'' said Mullin. He said ''it's been a process, but we're in good shape.''

GOP Sen. John Hoeven added that he expects Vice President JD Vance ''will be our 51st,'' indicating that several Republican senators will still vote against the package and Vance will break the tie.

Trump arrives in Florida to visit new immigration detention center

Air Force One touched down at Dade-Collier Training and Transition Airport and Trump will tour the facility built in a remote area of the Everglades.

He's also participating in a roundtable discussion with state and local officials. White House press secretary Karoline Leavitt said Trump will also take questions from reporters afterward.

Wall Street drifts as Tesla drops and yields rise following economic updates

The S&P 500 was 0.1% lower in morning trading and potentially on track for its first loss in four days. The Dow Jones Industrial Average was up by 153 points, or 0.3%, as of 10:15 a.m. Eastern time, and the Nasdaq composite was 0.2% lower.

Tesla tugged on the market as the relationship between its CEO, Elon Musk, and President Trump soured even further. Once allies, the two have clashed recently, and Trump suggested there's potentially ''BIG MONEY TO BE SAVED'' by scrutinizing subsidies, contracts or other government spending going to Musk's companies.

Tesla fell 4.1% and was one of the heaviest weights on the S&P 500. It had already dropped a little more than 21% for the year so far coming into the day, in part because of Musk's and Trump's feud.

▶ Read more about the financial markets

Despite Trump criticism, Powell says Federal Reserve will ‘wait and see' before reducing rates

Fed Chair Jerome Powell says the central bank wants to see how the economy responds to Trump's tariffs before cutting rates, despite the steady stream of criticism from the White House, which wants lower borrowing costs.

Powell repeated his view that U.S. inflation is likely to pick up later this summer, though he acknowledged the timing and magnitude of any price increase from the duties is uncertain. But he said the Fed will stay on hold while it evaluates how the economy evolves.

''As long as the economy is in solid shape, we think the prudent thing to do is to wait and see what those effects might be,'' Powell said, referring to the sweeping duties Trump has imposed this year.

On Monday, Trump continued his attacks on Powell for not cutting the Fed's key rate, which Trump says would save U.S. taxpayers on interest costs on the federal government's massive debt.

Trump gives questionable advice on running from alligators

The president suggested migrants would need to move in a zigzag fashion to escape from any hungry reptiles if they were trying to escape from a new detention facility in the Florida Everglades.

However, that doesn't seem to be good advice for anyone who has a close encounter with an alligator. According to a website run by the University of Florida, it's ''a common misconception'' that erratic running is the best defense.

''First, it is rare for an alligator to pursue a human because humans are too large to be suitable prey,'' the website said. ''However, if an alligator does make an aggressive charge, run fast and straight (away from the alligator, of course). They usually do not run very far.''

Trump-Musk feud is heating up again and Tesla shares are tanking

The war of words between billionaire Elon Musk and President Trump over the big bill of tax breaks and spending cuts is heating up again, with Musk claiming he may form a new political party.

The resumption of hostilities between Trump and Musk, also the CEO of SpaceX, is always bad news for investors in Musk's companies.

Wedbush Securities analyst Dan Ives says the spat is now a soap opera and warned investors of potential damage ahead.

Shares of Tesla have already tumbled 20% this year as sales erode amid a backlash against Musk and his association with the Trump. They fell another 7% at the opening bell Tuesday.

▶ Read more about the feud between Trump and Musk

CISA: Pro-Iranian hackers threaten to release material stolen from Trump insiders

Hackers supporting Iran have threatened to release emails supposedly stolen from people connected to President Trump, according to federal authorities who vowed to track down the hackers.

Marci McCarthy, a spokesperson for the Cybersecurity and Infrastructure Security Agency, called the threat a ''smear campaign'' intended to discredit Trump and the U.S. government following U.S. strikes on Iranian nuclear facilities.

The threat was first reported Monday by Reuters.

Following the U.S. strikes, pro-Iranian hackers attacked U.S. banks, energy companies and defense contractors but have not caused any significant disruptions. Officials say the threat of attacks continues despite a ceasefire between Iran and Israel.

Trump stumbles climbing the stairs to Air Force One

He was boarding the plane for a flight to Florida to attend the opening of a new detention center for people who are in the country illegally when he stumbled, according to a photographer watching from the tarmac at Joint Base Andrews.

It's the second time in recent weeks that the Republican president has stumbled on the airplane stairs. He and other Republicans often poked fun at Democrat Joe Biden's stumbles, and Trump did so in a recent interview with Fox Business.

Speaking of foreign leaders, Trump said, ''They respect America again. They laughed at us. They thought we were a joke. You had a president that kept falling down stairs and falling on stages.''

‘I truly don't know what's going to happen'

Asked Tuesday morning if Senate Republicans were close to passing Trump's big bill, Sen. Susan Collins, a key Republican vote, said: ''I truly don't know what's going to happen.''

''I just canceled my third flight,'' Collins told The Associated Press. ''I'm trying to rework my schedule.''

Asked if she'll support the bill, Collins said she continues to have a ''lot of serious reservations about the bill.''

Local officials prepare for Trump's arrival in the Florida Everglades

They were standing by the entrance of the airport in a remote stretch of the Everglades in Ochopee, Florida, where Trump is expected to tour a new migrant detention site.

Media vans and other vehicles were parked along the highway lined by cypress trees as they waited for the president's arrival.

All eyes on Alaska's Sen. Lisa Murkowski

It's been 24 hours since the Senate began voting on Trump's major bill, much of that time spent rejecting Democratic amendments as Republicans work privately to secure the necessary votes to pass it.

With a 53-47 majority, Republicans can afford to lose only three votes — Vice President JD Vance holds the power to break a tie.

All eyes are on Murkowski, a Republican who's emerged as the pivotal swing vote in the chamber. On Tuesday morning, she spent over an hour in deep conversation with fellow Republicans on the Senate floor as speculation swirled about how she might vote.

How some Republicans are looking to amend Trump's big bill

Sen. Susan Collins of Maine had proposed bolstering the $25 billion proposed rural hospital fund to $50 billion, offset with a higher tax rate on those earning more than $25 million a year, but her amendment failed.

And Alaska Sen. Lisa Murkowski tried to secure provisions to spare people in her state from some food stamp cuts, which appeared to be accepted, while also working to beef up federal reimbursements to hospitals in Alaska and others states, that failed to comply with parliamentary rules.

Conservative Senate Republicans insisting on a vote on their plan for health care cuts, including Rick Scott of Florida, Mike Lee of Utah, Ron Johnson of Wisconsin and Cynthia Lummis of Wyoming, filed into Senate Leader John Thune's office for a near-midnight meeting.

Trump says New Yorkers would be ‘crazy' to elect Zohran Mamdani as mayor

Trump called the Democrat a ''communist'' and said, ''the last thing we need is a communist.''

Mamdani claimed victory over former Democratic New York Gov. Andrew Cuomo on election night last week in the Democratic mayoral primary. Final results will be announced Tuesday.

The 33-year-old democratic socialist and New York state assemblyman would be the city's first Muslim mayor and its first of Indian American descent if elected.

The Republican president, who grew up in New York, also mentioned Mamdani's campaign promise to open government-run grocery stores.

Trump said that if New Yorkers elect Mamdani as the next mayor, ''I think they're crazy.''

Trump has advice on running away from alligators

The president is visiting a new immigration detention facility in the Florida Everglades that's been nicknamed ''Alligator Alcatraz.'' While leaving the White House, a reporter asked Trump if the idea was for any escaping migrants to get attacked by wildlife.

''I guess that's the concept,'' he said. ''This is not a nice business.''

Then Trump joked that ''we're going to teach them how to run away from an alligator if they escape prison.''

''Don't run in a straight line. Run like this,'' and he moved his hand in a zigzag motion. ''And you know what? Your chances go up about 1%.''

Trump responds to Elon Musk's criticism of tax cut and spending bill

Trump said the billionaire could lose a lot more than the electrical vehicle subsidies that would be eliminated if the measure becomes law.

''We might have to put DOGE on Elon,'' Trump told reporters as he left the White House for a trip to Florida. ''DOGE is the monster that might have to go back and eat Elon.''

DOGE is the Department of Government Efficiency. Trump put Musk in charge of DOGE to cut government spending. Musk owns an electric vehicle company and a space company and has lucrative federal government contracts.

Senate strikes AI provision from GOP bill after uproar from the states

The proposal to deter states from regulating artificial intelligence for a decade was soundly defeated in the Senate on Tuesday, thwarting attempts to insert the measure into President Trump's big bill of tax breaks and spending cuts.

The Senate voted 99-1 to strike the AI provision from the legislation after weeks of criticism from both Republican and Democratic governors and state officials.

Originally proposed as a 10-year ban on states doing anything to regulate AI, lawmakers later tied it to federal funding so that only states that backed off on AI regulations would be able to get subsidies for broadband internet or AI infrastructure.

▶ Read more about the proposal on AI regulation

Senate ‘vote-o-rama' for Trump's big bill already among longest-running in modern times

The all-night session has been grinding on for nearly 24 hours, having started at roughly 9:30 a.m. on Monday.

Senators have voted on more than three dozen amendments so far. More voting is likely.

The marathon voting session is part of the cumbersome process Republicans are using to try and pass the bill with a simple majority.

Republicans are letting the process drag on as they try to lock up last-minute agreements to push the bill to passage. For now, the Senate floor is at a standstill.

The Latest: Senate passes Trump tax bill after turbulent all-night session

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