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How Mike Johnson rescued Trump's tax agenda from jaws of likely defeat

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How Mike Johnson rescued Trump's tax agenda from jaws of likely defeat

When lawmakers arrived on Capitol Hill last Monday, House GOP leaders’ plans to sync up with the Senate on sweeping legislation to advance President Donald Trump’s agenda seemed an all-but-impossible task.

House fiscal hawks were furious with Senate Republicans for passing an amended version of the former’s budget framework, one that called for a significantly lower amount of mandatory spending cuts than the House’s initial plan.

By late Thursday morning, House Speaker Mike Johnson, R-La., was celebrating victory in front of reporters after a narrow 216-to-214 vote.

“I told you not to doubt us,” a triumphant Johnson told the media. “We’re really grateful to have had the big victory on the floor just now. It was a big one, a very important one.”

HOUSE FREEDOM CAUCUS CHAIR URGES JOHNSON TO CHANGE COURSE ON SENATE VERSION OF TRUMP BUDGET BILL

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Speaker of the House Mike Johnson shakes hands with President Donald Trump onstage at a House Republicans Conference meeting at the Hyatt Regency on Capitol Hill on Nov. 13, 2024 in Washington. (Andrew Harnik/Getty Images)

The hard-fought win came after long hours and late nights as House Republican leaders — and leaders in the Senate GOP as well — worked to persuade holdouts, while Trump and his aides worked those same critics from the sidelines.

White House aides were at House Republicans’ weekly conference meeting on Tuesday, a rare sight but not unexpected, given the importance of the coming vote.

But GOP lawmakers filed out of that meeting doubting whether Trump’s influence could help this time, after he played a key role in helping shepherd earlier critical bills across the finish line this year.

“I don’t see it happening,” a House Republican told Fox News Digital when asked whether Trump would be enough to sway critics.

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Nevertheless, a select group of those holdouts were summoned to the White House alongside House GOP leaders on Wednesday afternoon, hours before the expected vote.

MEET THE TRUMP-PICKED LAWMAKERS GIVING SPEAKER JOHNSON A FULL HOUSE GOP CONFERENCE

Fox News Digital was told that Trump commanded the room for roughly 20 to 30 minutes, and told House conservatives he agreed with them on the need to significantly slash government spending.

Trump also communicated to holdouts that Senate leaders felt the same, but, like the House, were working on their own tight margins, Fox News Digital was told.

The president, meanwhile, has been concerned in particular with the looming debt limit deadline, Fox News Digital was told.

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It’s one of the issues that Republicans are looking to tackle via the budget reconciliation process. By lowering the Senate’s passage threshold from 60 votes to 51, it allows the party controlling the House, Senate and White House to enact broad policy changes via one or two broad pieces of legislation.

Senate Majority Leader John Thune speaks during a news conference following the Senate Republican policy luncheon at the U.S. Capitol in Washington on Tuesday, March 11, 2025. (Al Drago/Bloomberg via Getty Images)

In this case, Republicans are looking for some added funds for border security and defense and to raise the debt ceiling — while paring back spending on the former Biden administration’s green energy policies and in other sections of the federal government, likely including entitlement programs.

GOP lawmakers are also looking to extend Trump’s 2017 Tax Cuts and Jobs Act, the provisions of which expire at the end of this year. They will also need new funding for Trump’s efforts to eliminate taxes on tipped and overtime wages.

But first, Republicans wanted the House and Senate to pass identical frameworks setting the stage for filling those frameworks with actual legislative policy.

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Whereas the House version calls for at least $1.5 trillion in spending cuts, the Senate mandated a floor of $4 billion — a wide gap to bridge.

The Wednesday-afternoon White House meeting did sway some holdouts, but far from enough. 

Senate Majority Leader John Thune, R-S.D., also met with House GOP critics of the bill for more than an hour on Wednesday evening ahead of the planned vote.

“He couldn’t have been more cordial and understanding in talking to us about what we needed to know. And honestly, he had some of the same concerns that we did,” Rep. Tim Burchett, R-Tenn., told Fox News Digital.

“You know, he’s got to get it over the finish line, and he had to make certain commitments. But he committed to us to work with us.”

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Ultimately, however, plans to advance the measure that evening were hastily scrapped as an unrelated vote was held open for over an hour, leading to confusion and frustration on the House floor.

“He looked like he was in no better spot than he was at the beginning,” one House Republican said of that night.

Rep. Tim Burchett speaks with reporters at the U.S. Capitol. (Alex Wong)

Trump was not called to address the group during that huddle with holdouts, two sources in the room told Fox News Digital. 

However, the president did have individual conversations with some holdouts on Wednesday and Thursday, one person said.

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The Wednesday night failure gave way to a late night of negotiations involving both holdouts and House GOP leaders.

Two House GOP leadership aides told Fox News Digital that Johnson had huddled with Majority Leader Steve Scalise, R-La., and House GOP Conference Chairwoman Lisa McClain, R-Mich., until late Wednesday to figure out a path forward.

When they emerged shortly before midnight, they had settled on a plan — a televised promise by Johnson and Thune to put both leaders on the record committing to deep spending cuts.

SENATE GOP PUSHES TRUMP BUDGET FRAMEWORK THROUGH AFTER MARATHON VOTE SERIES

I’m happy to tell you that this morning, I believe we have the votes to finally adopt the budget resolution so we can move forward on President Trump’s very important agenda for the American people,” Johnson said.

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Thune added, “We are aligned with the House in terms of what their budget resolution outlined in terms of savings. The speaker has talked about $1.5 trillion. We have a lot of United States senators who believe in that as a minimum.”

A senior Senate GOP aide argued to Fox News Digital, “Absent Thune’s intervention, Mike Johnson would not have gotten this resolution through the House.”

But the speaker was also putting in his own long hours with holdouts.

Steve Scalise, House majority leader, speaks during Day 2 of the Republican National Convention (RNC), at the Fiserv Forum in Milwaukee on July 16, 2024.  (Reuters/Mike Segar)

The office of Rep. Ralph Norman, R-S.C., who ultimately voted to advance the framework, told Fox News Digital that critics were sent a memo by Johnson early on Thursday, assuring them that he was committed to deep spending cuts.

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“The Senate amendment to H. Con. Res. 14 preserves untouched language from the original House-passed resolution, including the reconciliation instructions to House committees and Section 4001 — Adjustment for spending cuts of at least $2 trillion,” the memo said.

It referred to a measure in the House-passed framework that suggested funding toward tax cuts would be reduced by a corresponding amount if final spending cuts did not equal $2 trillion.

“This language reflects a critical principle — that deficit-increasing provisions of the final reconciliation bill are accompanied by concomitant spending cuts,” it said.

Then, as the vote was called around 10:30 a.m. on Thursday morning, a final huddle between holdouts and leaders sealed the Republicans’ victory.

“At some point, it was heated. And then the speaker’s leadership team [House Majority Whip Tom Emmer, R-Minn.] made sure we were clarified on some issues which are very important to some of the members,” Burchett said.

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“And then Steve Scalise, really batting cleanup, and he came in with the final with the final conclusion, which everybody agreed to pretty much. And then the speaker closed the deal.”

House GOP Conference Chair Lisa McClain leaves a meeting at the Capitol Hill Club on Feb. 28, 2023. (Tom Williams)

Burchett said he believed that Johnson had spoken to Trump separately at some point during that huddle.

A senior House GOP aide said McClain was also present for that meeting.

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Republicans clinched the win minutes after 11 a.m. on Thursday, with the GOP side of the House chamber erupting in applause.

House Freedom Caucus Chairman Andy Harris, R-Md., who helped lead the opposition, told reporters after the vote, “We made tremendous progress over the last two days in making certain that whatever we do on reconciliation, we don’t increase this country’s budget deficit.”

“We take the Moody report from two weeks ago pretty seriously, that you can’t have unpaid-for tax cuts, and we made progress in making, getting assurances both from the Senate and the House leadership that that’s not going to occur,” Harris said.

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Video: Senate Republicans Block Limits to Trump’s War Powers

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Video: Senate Republicans Block Limits to Trump’s War Powers

new video loaded: Senate Republicans Block Limits to Trump’s War Powers

transcript

transcript

Senate Republicans Block Limits to Trump’s War Powers

Senate Republicans voted against a Democratic bill that would have required President Trump to obtain congressional authorization to continue waging war against Iran.

“The yeas are 47. The nays are 53. The motion to discharge is not approved.” “President Trump decided to attack Iran. That decision was profound, deliberate and correct. The president understands the weight of war.” “Why is Donald Trump hellbent on making history repeat itself? Why is he plunging America headfirst into a war that Americans do not want, and which he cannot even explain? The American people deserve a say, and that is what our resolution is about.”

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Senate Republicans voted against a Democratic bill that would have required President Trump to obtain congressional authorization to continue waging war against Iran.

By Shawn Paik

March 5, 2026

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DHS defends McLaughlin against allegations husband’s company profited millions from ad contracts: ‘Baseless’

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DHS defends McLaughlin against allegations husband’s company profited millions from ad contracts: ‘Baseless’

NEWYou can now listen to Fox News articles!

EXCLUSIVE: Newly obtained financial statements shed light on claims that former Department of Homeland Security (DHS) Assistant Secretary Tricia McLaughlin’s husband’s company made millions from a DHS advertising campaign.

DHS Secretary Kristi Noem faced intense questioning during a Senate Judiciary Committee hearing Tuesday, and Sen. John Kennedy, R-La., specifically called out the agency for contracting a public relations firm headed by McLaughlin’s husband, Benjamin Yoho.

“I have personally reviewed the allegations against Ms. McLaughlin, and I find them to be baseless,” DHS General Counsel James Percival told Fox News Digital. “Nothing illegal or unethical occurred with respect to these contracts. Ms. McLaughlin was not involved in selecting any subcontractors.

“She is, however, a superstar in the public affairs world, so I am not surprised that she married a successful businessman whose services were attractive to these outside firms.”

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Newly obtained financial statements address allegations that former Department of Homeland Security Assistant Secretary Tricia McLaughlin’s husband’s firm improperly profited from a multimillion-dollar DHS ad campaign. Lawmakers pressed Secretary Kristi Noem over the contracts during a heated Senate hearing. (Jack Gruber/USA Today)

Kennedy alleged that Yoho’s firm, The Strategy Group, “got most of the money” out of what the Louisiana Republican senator says was $220 million in “television advertisements that feature [Noem] prominently.”

“I’m sorry,” Kennedy said. “Safe America Media was a company formed 11 days before you picked them. And that the Strategy Group got most of the money. And the head of that is married to your former spokesperson.”

“It’s just hard for me to believe knowing the president as I do, that you said, ‘Mr. President, here’s some ads I’ve cut, and I’m going to spend $220 million running them,’ that he would have agreed to that,” Kennedy explained. “I don’t think Russ Vought at OMB [Office of Management and Budget] would have agreed to that.”

‘YOU SHOULD BE ASHAMED!’: PROTESTER DRAGGED FROM KRISTI NOEM’S SENATE HEARING

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Senate scrutiny intensified over a DHS advertising campaign after Sen. John Kennedy, R-La., questioned whether a firm linked to McLaughlin’s husband benefited unfairly. DHS officials and the company deny any wrongdoing or multimillion-dollar profits. (Andrew Harrer/Bloomberg via Getty Images)

The Strategy Group is a conservative advertising agency for which Yoho serves as CEO.

Figures obtained by Fox News Digital show a slightly lesser total advertising expenditure of approximately $185 million, with a total of roughly $146.5 million going to a campaign called “Save America.”

However, of the total that went to “Save America,” roughly $348,000 went to production costs, while the remaining $142 million went to “media buys.”

Sources at DHS say that media buys are the cost of actually buying the ads themselves, whether purchased from social media or for a TV ad.

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Kennedy also alleged that the bidding process for the contracts never took place and that Safe America Media’s recent founding was a cause for concern and collusion between McLaughlin and her husband’s business. 

WATCH THE MOST VIRAL MOMENTS AS KRISTI NOEM’S HEARING GOES OFF THE RAILS

Debate over DHS’ “Save America” ad campaign intensified as senators challenged its costs and contractor ties, even as agency officials touted the initiative as a historic success in promoting self-deportation. (Graeme Sloan/Getty Images)

“Yes they did,” Noem responded during the hearing. “They went out to a competitive bid, and career officials at the department chose who would do those advertising commercials.”

The Strategy Group posted to X Tuesday that it never had a contract with the department. While it did receive several hundred thousand dollars for production costs associated with the advertising campaigns, The Strategy Group never made millions.

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“The Strategy Group has never had a contract with DHS,” the post said. “We had a subcontract with Safe America [Media] for limited production services. Safe America paid us $226,137.17 total for 5 film shoots, 45 produced video advertisements and 6 produced radio advertisements.

DHS SPOKESWOMAN TRICIA MCLAUGHLIN TO LEAVE TRUMP ADMIN, SOURCE CONFIRMS

Critics raised concerns about potential conflicts of interest in a high-dollar DHS advertising effort, but department representatives say McLaughlin recused herself and that subcontracting decisions were made independently. (AP Photo/Jose Luis Magana, File)

“If you’re going to try to question our integrity, bring actual evidence — we did,” the post concluded.

Because these ads were purchased using public funds, all contract totals are publicly available. 

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Lauren Bis, who took up the role of assistant secretary once McLaughlin left office, told Fox News Digital Tuesday that scrutiny from Republicans and Democrats over the advertising spending was unjustified because the campaigns resulted in “the most successful ad campaign in U.S. history.”

“Sanctuary politicians are attacking this ad campaign because it has been successful in CLOSING our borders and getting more than 2.2 million illegal aliens to LEAVE the U.S.,” Bis said. 

“The DHS domestic and international ad campaign was the most successful ad campaign in U.S. history. The results speak for themselves: 2.2 million illegal aliens self-deported, and we now have the most secure border in American history.”

KRISTI NOEM TO FACE SENATE GRILLING OVER MINNEAPOLIS SHOOTINGS AS DHS SHUTDOWN HITS WEEK 3

The Trump administration reaffirmed that all illegal immigrants are eligible for deportations as they focus on arresting violent criminals first.  (Raquel Natalicchio/Houston Chronicle via Getty Images)

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Bis also compared the cost of arresting and deporting an illegal migrant to that of the minimal cost of an illegal migrant self-deporting. The department says the advertising campaign played a key role in marketing self-deportation.

A spokesperson at DHS also told Fox News Digital that contractors decide who they hire, fulfilling the terms of a contract, not the department itself. 

“By law, DHS cannot and does not determine, control or weigh in on who contractors hire or use to fulfill the terms of the contract,” a DHS spokesperson told Fox. “Those decisions are made by the contractor alone. We have only become aware of these companies because of this inquiry and did not hire those companies.”

The spokesperson also noted that McLaughlin “recused herself” from interactions with subcontractors to avoid “any perceived appearance of impropriety.”

“Upon hearing who the subcontractors were for production of the ad, Ms. McLaughlin recused herself from any interaction or engagement with any subcontractors to avoid any perceived appearance of impropriety,” the spokesperson continued. “DHS Office of Public Affairs is the program officer. Ms. McLaughlin oversees the DHS Office of Public Affairs, which is simply the vehicle for this contract.”

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Department of Homeland Security Secretary Kristi Noem takes her seat as she arrives to testify during a Senate Judiciary Committee hearing Tuesday on Capitol Hill in Washington, D.C. (Jim Watson/AFP via Getty Images)

McLaughlin told Fox News Digital the criticism of her and her family by senators at the hearing is a matter of public manipulation.

CLICK HERE TO DOWNLOAD THE FOX NEWS APP

“This is yet another example of politicians intentionally trying to dupe and manipulate the public to try to manufacture division and anger,” McLaughlin told Fox News Digital. “The ad spend and contracts are a matter of public record, and the process was done by the book.

“These politicians would rather smear private citizens and American small businesses than do any basic research.”

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Fox News Digital’s Alexandra Koch contributed to this report.

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DHS defends ad blitz amid Senate scrutiny, says campaign drove 2.2M self-deportations and saved taxpayers $39B
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Senate rejects war powers measure to withdraw forces from Iran

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Senate rejects war powers measure to withdraw forces from Iran

Senate Republicans blocked a war powers resolution Wednesday designed to withdraw U.S. forces from hostilities in Iran, as the Trump administration accelerates its military campaign in a conflict that has killed hundreds, including at least six American service members.

The motion failed in a vote of 47-53.

In addition to pulling out military resources from the Middle East, the measure — introduced by Sens. Chuck Schumer (D-N.Y.), Adam Schiff (D-Calif.) and Tim Kaine (D-Va.) — would have required Congress’ explicit approval before future engagement with Iran, a power granted to the legislative branch in the Constitution.

The House, where Republicans also hold an advantage, is scheduled to weigh in on a similar measure Thursday. Even if both Democratic-led measures were to succeed, President Trump was widely expected to veto the legislation.

“We are doing very well on the war front, to put it mildly,” President Trump said at a White House event on Wednesday afternoon. The president, who has come under scrutiny for offering shifting explanations on the war’s endgame, said that if he was asked to scale the American military operation from one to 10, he would rate it a 15.

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Democrats dispute that Trump possesses the authority to wage the ongoing operation in Iran without explicit congressional approval.

Acknowledging the measure was unlikely to succeed, they framed the vote as a strategy to force lawmakers to put their support for or opposition to the war on record.

“Today every senator — every single one — will pick a side,” Schumer said. “Do you stand with the American people who are exhausted with forever wars in the Middle East, or stand with Donald Trump and Pete Hegseth as they bumble us headfirst into another war?”

Senate Majority Leader John Thune (R-S.D.) and most of his Republican colleagues have maintained that the president carried out a “pre-emptive” and “defensive” strike in Iran, giving him full authority to continue unilateral military operations.

Republicans saw the vote as the “last roadblock” stopping Trump from carrying out his mission against the Islamic Republic.

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“I think the president has the authority that he needs to conduct the activities and operations that are currently underway there. There are a lot of controversy and questions around the war powers act, but I think the president is acting in the best interest of the nation and our national security interests,” Thune said at a news conference.

Senators largely held to party loyalties, with the exception of Kentucky Republican Rand Paul, who broke ranks to support the measure, and Pennsylvania Democrat John Fetterman, who opposed it.

The vote comes as Defense Secretary Pete Hegseth said Wednesday that the war against Iran is “accelerating,” with American and Israeli forces expanding air operations into Iranian territory. He pointed to evidence released by U.S. Central Command of a submarine strike on an Iranian warship, and also lauded other strikes throughout the region as civilian casualties in Iran surpassed 1,000 on the fourth day of the conflict, according to rights groups.

“We’re going to continue to do well,” Trump said Wednesday. “We have the greatest military in the world by far and that was a tremendous threat to us for many years. Forty-seven years they’ve been killing our people and killing people all over the world, and we have great support.”

Republicans blocked a similar war powers vote in January after the president ordered U.S. special forces to capture and extradite Venezuelan President Nicolás Maduro in Caracas on drug trafficking charges.

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GOP leaders argued that the outcome of that mission equated to a quick success in the Middle East, despite an uncertain timeline from the Department of Defense.

In the House, lawmakers will vote on a separate war powers effort Thursday. That bill is led by Rep. Ro Khanna (D-Calif.) and Rep. Thomas Massie (R-Ky.), the two lawmakers who authored the Epstein Files Transparency Act.

“Instead of sending billions overseas, we need to invest in jobs, healthcare, and education here,” Khanna said on X.

In addition to that proposal, moderate Democrats in the House have introduced a separate resolution that would give the administration a 30-day window to justify continued hostilities in the Middle East before requiring a formal declaration of war or authorization from Congress.

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