Congress

State budgets land in GOP crosshairs amid struggle to fund megabill

Published

1 year ago

May 7, 2025

Congressional Republicans agree that the federal government has a spending problem. Now top GOP leaders want to make it someone else’s problem — by shifting some safety-net programs onto state budgets.

The plans under discussion could generate hundreds of billions of dollars in savings to finance the GOP’s domestic policy megabill. But they’re vexing Republican lawmakers — many of them former governors and state legislators — who are not interested in addressing Washington’s fiscal woes by creating them in state capitals, including those run by their own party.

It’s one big reason why Speaker Mike Johnson and Senate Majority Leader John Thune are struggling right now to build consensus for the “big, beautiful bill,” with its expensive suite of tax cuts as well as border and defense spending plus-ups. Already they are scaling back ambitious plans that would force states to either subsidize health and food aid or kick thousands of residents off benefit rolls.

“Most of us are not interested in simply shifting costs,” said Sen. Mike Rounds (R-S.D.), a former governor, who warned “there most certainly would” be significant pushback from states if the GOP proceeds with cost-sharing plans.

“I hope to goodness we don’t go there,” added Sen. Jim Justice (R-W.Va.), another former governor, whose constituents are heavily reliant on federal programs.

The mathematical impetus for the GOP proposals is straightforward enough: The tax cuts that President Donald Trump and Republican leaders are eyeing are estimated to cost $5 trillion or more over the coming decade. Offsetting that cost requires more than shaking the couch cushions, and two safety-net programs have emerged as particularly appealing targets.

Together Medicaid and the Supplemental Nutrition Assistance Program, formerly known as food stamps, account for about $1 trillion in yearly federal spending. Republicans are mostly unified on instituting work requirements, tightening eligibility verification, excluding undocumented immigrants from benefits and cracking down on waste, fraud and abuse. But to achieve even deeper cuts, they are looking to make states pick up more of the tab.

Medicaid has been a joint federal-state program since its creation in the Great Society era, but its 2010 expansion under the Affordable Care Act put the federal government on the hook for 90 percent of the costs for newly eligible beneficiaries. States, meanwhile, have never had to bear the costs of SNAP benefits, though they are responsible for a portion of administrative costs.

Under some House GOP proposals now under consideration, states would have to assume a greater share of the cost for the Medicaid expansion population while also bearing a portion of SNAP benefit costs for the first time. Republicans are also exploring whether to curtail health provider taxes states frequently use to finance their Medicaid costs.

Together, it could shift hundreds of billions of dollars yearly to state budgets that are already strained as federal pandemic aid runs out and other Trump administration cuts take effect. In California, for instance, lawmakers are preparing for a minimum $10 billion budget shortfall for the fiscal year starting July 1, with that number set to triple at least in 2026.

The National Association of State Budget Officers has found that Medicaid makes up more than half of federal funding to states. Brian Sigritz, the group’s director of state fiscal studies, said in an interview that states will either have to raise taxes, cut benefits or slash other programs in response to the slew of changes impacting their budgets. Sigritz said the impact will be “cumulative.”

“It’s clear states won’t be able to absorb the federal cuts and cost shifts in recent federal actions and congressional proposals,” Sigritz said. “States are required to balance their budget, and states won’t be able to fill in the gap.”

Republicans have trained much of their criticism on Democratic-run states that, they argue, run those two programs wastefully. But millions of low-income families in red states also rely on the programs for health care and food aid, and some of the latest GOP plans would actually hurt deep-red states even more than others — including a reworked SNAP state-cost share plan.

That has fueled the intra-GOP backlash, with many Republicans in the House and Senate shorthanding their opposition by insisting they will not “cut benefits” — meaning they might tolerate work requirements and other ancillary changes but not changing the federal government’s core responsibilities.

Rep. David Valadao, one of the most vulnerable Republicans up for reelection in 2026, is a former state legislator who sharply criticizes the fiscal management of his home state of California. But he’s also wary of putting a greater financial burden on states like his.

“California has kind of blown it on some of these fronts,” Valadao said. “So it puts me as a Californian in a difficult position.”

Rep. Derrick Van Orden (R-Wis.) stood up during a closed-door House GOP conference meeting Tuesday morning to warn about the SNAP proposal’s impact on his home state of Wisconsin’s budget. Alongside Van Orden sat dozens of House Republicans in states that would be hit even harder.

GOP leaders have pulled back from some of the farthest-reaching proposals. The House Agriculture Committee had been eyeing having states pick up a 25 percent share of SNAP costs; the latest proposal would start at 10 percent for states with the lowest rates of overpayments. “No one likes this,” said one Republican granted anonymity to describe private sentiments inside the party, “but we need to reach these cuts.”

As for Medicaid, Johnson on Tuesday ruled out cutting the federal reimbursement rate and suggested that an alternative — per-capita caps on federal reimbursements — would also be excluded.

But other proposals — like limiting state provider taxes — remain on the table, and so far the public pushback inside the House GOP has been relatively limited. That’s not true in the Senate, where most Republicans hate the idea of saddling states with billions of dollars in new financial burdens — though discussion continued about cutting the federal share for some Medicaid beneficiaries at a party retreat Wednesday, according to two senators who attended and were granted anonymity to describe the closed-door event.

Sen. Thom Tillis (R-N.C.), a former state House speaker, has warned against catching states off guard on Medicaid changes and said he plans to call members of his own state legislature to discuss the percolating proposals. Sen. Kevin Cramer (R-N.D.), another veteran of state government, said shifting costs to states “may make [the federal] numbers look better … but it still becomes a burden.”

Senate Agriculture Chair John Boozman (R-Ark.) said in an interview that he has “concern” about sharing costs for food aid and that his panel is not pursuing the idea. Sen. John Hoeven — who, like Boozman, is in frequent contact with House Agriculture Chair G.T. Thompson (R-Pa.) — said he was skeptical the House would ultimately follow through: “I’d put that in the category of, let’s actually see if they do it.”

New cost-sharing mandates could stick GOP-dominated states such as Alaska, West Virginia, Mississippi, Louisiana, Oklahoma, Alabama and Florida with multi-billion-dollar annual bills — forcing high-stakes choices for state officials who would suddenly have to worry about their own political hides. Even White House officials have privately fretted about a potential “one-two punch” for red states, leaving many in the GOP much more comfortable with the less drastic proposals, such as work requirements.

“I think the politics of work are a lot lighter burden to carry than just pushing off some of the costs to the states,” said Sen. John Cornyn (R-Texas), who is seeking reelection next year.

Samuel Benson, Rachel Bluth and Eric He contributed to this report.

Congress

Capitol Agenda: The new faces of the Freedom Caucus

Published

2 hours ago

June 15, 2026

Blue Light Newsroom

The House Freedom Caucus is suddenly confronting an unsettled future after more than a decade at the center of GOP politics on Capitol Hill.

Some of its most prominent members are leaving Congress next year after seeking higher office, including former chair Rep. Andy Biggs and several media-friendly voices like Reps. Chip Roy, Byron Donalds and Ralph Norman.

Meanwhile, the group’s current chair, Rep. Andy Harris, is term-limited.

Who will step in to fill the shuffling ranks and maintain the caucus’ role as a hard-right vanguard is very much in question — especially as the group faces a potential shift to a Democratic House majority, which has historically made them less pivotal, and the looming transition to a Republican Party without a President Donald Trump.

The group — which is no stranger to reinventing itself — has a number of relatively unknown members ready to become the new faces of the hard right in the House.

— ERIC BURLISON: The second-term Missouri congressman and current HFC board member said he is considering running to be the next chair.

Last summer he was a vocal member demanding the full release of the Jeffrey Epstein files and has become a leading Republican pushing for more information on UFOs.

— ANDREW CLYDE: Another board member, Clyde has amassed significant power by Freedom Caucus standards by winning seats on the Appropriations and Budget panels.

He said in an interview he had not yet thought about running for chair but noted that “you don’t have to be the chairman to have outsized influence.”

— BRANDON GILL: This Texas freshman, the youngest sitting House Republican, is already seen as a rising star in the House GOP.

He’s made a name for himself through provocative social media posts and splashy legislative moves, such as seeking to impeach James Boasberg, the federal judge who ruled against some of Trump’s deportations last year.

Gill has said he wants to emulate Rep. Jim Jordan, the only founding member of the caucus still serving in the chamber.

— CLAY HIGGINS: Another board member and a more senior member of the group, Higgins said he has not ruled out seeking the chair post but is also “not interested in campaigning” for the job.

Higgins was the only lawmaker to oppose the release of the Epstein files. He said in an interview he’s hoping the group focuses more on policymaking in its next iteration rather than obstructing leadership prerogatives.

— ANDY OGLES: Inside the HFC, Ogles has emerged as a serious force over two terms, with his name floated for chair even before the end of his first term.

He also did not rule out running for chair or another caucus leadership position in a recent interview.

What else we’re watching:

— THUNE RACES TO BREAK SPY POWERS LOGJAM: Senate Majority Leader John Thune is racing to try to confirm the next director of national intelligence and end a stand off over extending a key surveillance power before members break for two weeks. The Senate Intelligence Committee will hold a hearing for Jay Clayton Wednesday — less than a week after the chamber formally received the nomination from the White House. Getting Clayton confirmed is a crucial step to unlocking Congress’ willingness to renew Section 702 of the Foreign Intelligence Surveillance Act.

— ANTI-FRAUD OPTIONS FOR RECONCILIATION 3.0: Republican leaders say proposals to crack down on fraud in federal safety net programs could be included in another reconciliation package this year. Turns out, a menu of options is developing in plain sight: Just look at the stack of about a dozen bills the House has passed in recent weeks to prevent waste and abuse.

Jordain Carney and Jennifer Scholtes contributed to this report.

Congress

The Freedom Caucus is losing its stalwarts. Here’s who to watch next.

Published

5 hours ago

June 15, 2026

Blue Light Newsroom

After more than a decade at the center of GOP politics on Capitol Hill, the House Freedom Caucus is suddenly confronting an unsettled future.

Several of the hard-right bloc’s most prominent members are leaving Congress next year after seeking higher office — including a former chair, Rep. Andy Biggs of Arizona, and several media-friendly voices such as Reps. Chip Roy of Texas, Byron Donalds of Florida and Ralph Norman of South Carolina, among others.

“We’re losing a lot of talent — there’s no doubt about it,” Rep. Eli Crane of Arizona said. “So it’s just kind of like a next-man-up mentality.”

But which man is very much in question. The current chair, Rep. Andy Harris of Maryland, is term-limited, and a new generation of combative ultraconservatives is ready to step in just as the caucus comes to terms with a potentially changing role on Capitol Hill.

The group will be facing twin challenges — a potential shift to a Democratic House majority, which has historically made the caucus less pivotal, and the looming transition to a Republican Party without a President Donald Trump, who has been an animating force for most of its members.

“Across the country, people know who the Freedom Caucus is,” said Rep. Clay Higgins of Louisiana. “The next couple of years is going to be important for the caucus.”

The group has reinvented itself in the past, with new leaders emerging as old members move on. Donalds recalled when former chair Mark Meadows of North Carolina departed for the White House in Trump’s first term.

“They’re like, ‘Well, what’s going to be the future of HFC?’ And in came Chip Roy, in came a Byron Donalds,” he said with a grin. “We just kind of kept it going.”

The only founding member still serving in the House is Rep. Jim Jordan of Ohio, who could make a play for minority leader if Republicans lose the majority in November — further scrambling the caucus’ historic role as a hard-right vanguard.

Harris will remain a member, as will fellow former chair Scott Perry of Pennsylvania — if he can win what’s expected to be a competitive general-election race. Veteran members such as Reps. Michael Cloud and Keith Self of Texas will also be influential.

But a number of relatively obscure members are ready to make moves and become the new faces of the hard right in the House.

Eric Burlison

Rep. Eric Burlison (R-Mo.) speaks with reporters outside the U.S. Capitol Sept. 8, 2025.

Rep. Eric Burlison of Missouri is in his second term but has shown an unmistakable thirst to be at the center of the action since arriving in the House. Currently an HFC board member, Burlinson said he is considering running to be the next chair.

“You obviously have to be selected by your peers, and that would be the greatest honor,” he said in an interview. “There’s no one I respect more than the people that are members of HFC.”

He spent over a decade in the Missouri statehouse before heading to Congress, after working as a software consultant. Last summer he was a vocal member pushing for the full release of the Epstein files and has become a leading Republican pushing for more information on UFOs.

Burlison noted that a future chair will be inheriting a nationally recognized Freedom Caucus “brand” that includes a plethora of state-level and local groups that have adopted the name. He said the original HFC should look at ways to “leverage” that brand but also protect it from being adopted by groups that aren’t in line with its conservative vision.

“We have to kind of protect our image,” he said. ”So I think we need to get that figured out.”

Andrew Clyde

Rep. Andrew Clyde (R-Ga.) is seen during a House Budget Committee markup of a budget reconciliation bill on Capitol Hill May 18, 2025.

Rep. Andrew Clyde of Georgia has managed to amass significant power by Freedom Caucus standards by winning seats on the Appropriations and Budget committees, which have allowed him to push for conservative positions on those influential panels.

Clyde, another board member, said in an interview he had not yet thought about running for chair but noted that “you don’t have to be the chairman to have outsized influence.”

He added that while the group is losing some high-profile members, the president’s conservative agenda has attracted several likely incoming members to the group.

“We’re seeing some folks that have not supported the Freedom Caucus before that are coming on board to support the House Freedom Caucus,” Clyde said. “So I think you’ll see [an] even greater presence.”

Brandon Gill

Rep. Brandon Gill (R-Texas) speaks with reporters as he departs a House Republican Conference meeting at the U.S. Capitol on March 25, 2026.

Rep. Brandon Gill of Texas, a freshman and the youngest sitting House Republican, is already seen as a rising star inside the House GOP. He has said he wants to emulate Jordanand has a seat on Judiciary, the committee his governing idol chairs.

Gill has made a name for himself through provocative social media posts, regular appearances on Fox News and splashy legislative moves such as seeking to impeach James Boasberg, the federal judge who ruled against some of Trump’s deportations last year.

He does not, however, break with GOP leaders as often as some other Freedom Caucus members and could encounter internal doubts as to whether he’d be willing to play internal hardball in the same way as prior chairs.

Clay Higgins

Rep. Clay Higgins (R-La.), a House impeachment manager, walks to the Senate chamber for proceedings on the impeachment of Homeland Security Secretary Alejandro Mayorkas at the U.S. Capitol April 17, 2024.

Higgins is one of the more senior Freedom Caucus members — and one of the more controversial. The former sheriff has been a prominent proponent of conspiracy theories around the Jan. 6, 2021, Capitol attack and he was the only lawmaker to oppose the release of the Epstein files.

Also currently a board member, he said in an interview he has not ruled out seeking the caucus chair post. But he also said he was “not interested in campaigning” for the job and would like to see a “peaceful transition.”

Higgins did boast having “a pretty solid reputation within the caucus as a thoughtful conservative” and is hoping the group focuses more on policymaking in its next iteration rather than obstructing leadership prerogatives.

“We’re either going to go deeper into being a meaningful, effective conservative faction for the entire country, or we could bounce in the other direction and be more like protesters in the parking lot,” he said.

Andy Ogles

Rep. Andy Ogles (R-Tenn.) walks to a vote at the U.S. Capitol in Washington, on April 20, 2026.

Rep. Andy Ogles of Tennessee has been a controversy magnet in the wider political sphere — known for a long-running campaign finance investigation that was recently dropped by the Justice Department and a series of offensive public statements on Muslims, immigrants and other groups.

But inside the Freedom Caucus, he has emerged as a serious force over two terms, with his name floated for chair even before the end of his first term. He did not rule out running for chair or another caucus leadership position in a recent interview.

“All I care about is winning,” Ogles said, referring to the caucus agenda. “If I’m better in a second or tertiary role, that’s what I’ll do to make sure we deliver on the president’s agenda. If that means I’m the chairman, then so be it.”

Ogles said the upcoming turnover represents a good opportunity to renew and potentially rethink how the group operates: “We’re going into the presidential. Sometimes you need fresh ideas, fresh faces.”

Congress

House Oversight requests Alan Dershowitz testify in Epstein probe

Published

3 days ago

June 12, 2026

Blue Light Newsroom

The House Oversight Committee requested that Alan Dershowitz, the lawyer who once represented Jeffery Epstein, testify as part of its investigation into the federal government’s handling of the Epstein files.

The interview is tentatively slated for 10 a.m. on July 9, with a video and transcript of the testimony being released “as expeditiously as practical,” Chair James Comer (R-Ky.) wrote in a letter to Dershowitz on Friday.

“Due to public reporting, documents released by the Department of Justice, documents obtained by the Committee, and your former role as Mr. Epstein’s attorney, the Committee believes you have information that will assist in its investigation,” Comer wrote.

Comer told reporters on Wednesday that he wanted to hear from Dershowitz, who helped Epstein secure a controversial plea deal in his 2008 sex abuse case.

“I’m looking forward to testifying,” Dershowitz wrote in a text message to Blue Light News on Friday, adding that he is “trying to adjust my schedule” for July 9.