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President Trump has called for the next budget reconciliation process to be fast and focused. Republican leaders, including Leader Thune and Speaker Johnson, emphasize that the bill should be narrowly streamlined, covering only three years of appropriations for DHS immigration enforcement and border security. They argue that funding for agencies that would otherwise be supported through regular appropriations should not require revenue offsets.

Budget reconciliation, authorized by the Congressional Budget and Impoundment Act of 1974, allows Congress to pass tax, spending, and debt-limit legislation in the Senate by a simple majority instead of the usual 60-vote threshold. Strict rules limit what may be included. Republicans could pursue two reconciliation bills this year, one for FY 2026 and one for FY 2027.

Not all Republicans agree on the approach. The House Freedom Caucus wants multi-year DHS funding, while others see reconciliation as a vehicle for war supplemental funding, election security measures, or other priorities. Adding too many provisions risks collapsing the process, especially given high costs: FY 2026 ICE and CBP funding alone was estimated at $28 billion, and the administration’s FY 2027 DOD proposal seeks $350 billion via reconciliation. Budget hawks may push for revenue offsets, while moderates could resist spending cuts ahead of the midterms.

Republican leaders aim to pass a narrow Reconciliation 2.0 bill now, with a broader Reconciliation 3.0 later, though timing challenges remain, as any third reconciliation cannot begin before October. President Trump wants the next bill enacted by June 1—just seven weeks away—despite the average reconciliation process historically taking nearly six months. Previous fast-track examples include a 28-day Republican bill in 2001 and a 34-day Democratic bill in 2021.

The Senate is expected to move first. Leader Thune plans a floor vote on a budget resolution by month’s end, which is required in both chambers to initiate reconciliation.