Congress Returns with Budget Battles, Trade Tensions, and a Packed Legislative Agenda

Originally reported by OGR Washington.

After a brief pause, Congress is back in session this week for a critical three-week stretch with major implications for the Republican majority and the Biden administration's legacy.

GOP Pushes for Budget Reconciliation Amid Debt Ceiling Concerns

With fiscal year 2025 in the rearview, Republican leaders are focused on advancing a partisan budget reconciliation package. Key negotiations between House Speaker Mike Johnson and Senate Majority Leader John Thune will attempt to bridge the still-wide gap between House and Senate versions. While President Trump has pushed for passage by Memorial Day, internal party divisions—particularly around including a debt ceiling increase—could delay progress. Many GOP lawmakers remain wary of backing a debt ceiling hike without significant spending cuts.

Executive Orders and Party Dynamics

In just over two months, President Trump has signed a staggering 96 executive orders—far outpacing his first term and President Biden’s pace during his tenure. These orders touch on government efficiency, DEI, trade, and immigration. While they deliver swiftly on campaign promises, concerns are emerging among Republicans about unintended consequences. Despite this, the GOP remains relatively unified around the president’s agenda.

Democrats, on the other hand, are regrouping after pre-recess friction over support for the continuing resolution (CR). Senate Democrats helped Republicans pass the CR through September, prompting criticism from the party’s base. Democratic leaders now face pressure to deliver a compelling counter-narrative to the Republican agenda.

Trade Strategy Unfolds as April Deadline Looms

As President Trump’s reciprocal tariff deadline of April 2 approaches, Treasury Secretary Scott Bessent revealed plans to assign country-specific tariff levels—focusing on a so-called "Dirty 15" list. While some deals are reportedly in the works to avoid tariff escalation, uncertainty remains. The administration is also considering industry-specific tariffs, adding to global trade tensions. A key House Ways and Means Trade Subcommittee hearing this week will further examine American trade priorities.

House Activity: Legislative Highlights and Special Elections

Floor action in the House will be light this week due to the funeral of Rep. Raul Grijalva (D-AZ). However, behind closed doors, Ways and Means Chairman Jason Smith is preparing for reconciliation by aligning committee Republicans. The House will also move to repeal late-stage Biden administration energy efficiency rules using the Congressional Review Act and take up the Deterrent Act to tighten foreign funding disclosures for U.S. universities.

Two House seats—vacated by the deaths of Reps. Grijalva and Turner (D-TX)—have slightly narrowed the GOP majority to 218-213. While Arizona has scheduled a special election for September, Texas has yet to do so. Republicans are expected to regain ground with upcoming special elections in Florida.

Senate Focus: Budget Talks and Nominations

The Senate returns from its longest work period in 15 years and turns its attention to reconciliation strategy and sub-Cabinet nominations. Leader Thune’s top priority will be negotiating a unified budget resolution with the House, amid behind-the-scenes meetings with the Senate parliamentarian. The chamber will also vote on several nominees, including positions at the Navy, State Department, NIH, FDA, and DOJ.