The U.S. House of Representatives passed a sweeping spending plan that sends more money to the border and military while taking funds away from social programs.
The 1,116-page-long package narrowly passed in a 215-214 vote on May 22. President Donald Trump applauded the bill’s passage, which outlines a major restructuring of federal funds that would affect income tax rates, Medicaid and the Supplemental Nutrition Assistance Program (SNAP).
Congressional leaders from South Carolina and Greenville County Democrats and Republicans reacted along party lines to the bill and its potential impacts on South Carolinians.
The bill now heads to the Senate, where it will likely face further amendments. It needs a majority vote to clear the chamber and go to the president’s desk.
Billions in cuts to Medicaid and SNAP benefits
Stacey Mars, the chair of the Greenville County Democratic Party, said the bill’s changes to social services like Medicaid and SNAP will have the biggest impact on Greenville County residents.
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“We already have people who are falling through the gap when it comes to healthcare,” Mars said. “Everyone, if you are an American citizen, deserves to have the support from the government.”
Katherine Harvey, the chair of the Spartanburg County Democratic Party, also said she thinks the most concerning part of the bill is the possible Medicaid and SNAP cuts.
“This is a significant impact on a part of our state that is already experiencing health disparities,” Harvey said. “Nobody asked for this. The costs would be devastating.”
The Congressional Budget Office released a preliminary analysis of the effects of the bill on May 20 — which estimates a $698 billion cut to Medicaid and a $267 billion cut to SNAP benefits over the next 10 years.
About 20,800 households in Greenville County, 11,000 in Anderson County, and 17,300 in Spartanburg County receive SNAP benefits as of April, according to the South Carolina Department of Social Services.
The South Carolina Department of Health and Human Services said that 95,000 of Greenville County residents are covered by Medicaid.
South Carolina spent $8.9 billion on Medicaid in 2022, according to KFF — which is a nonprofit that conducts health policy research. The federal government covered 75% of that total.
Republican Rep. William Timmons (SC 4th District) called the legislation a “must-pass bill” that will strengthen the economy. He said that this bill will help better confirm the identities of people applying for benefits – while making sure people who are qualified will stay eligible for Medicaid and SNAP.
“We have to pass this bill,” Timmons said prior to the vote. “The American people voted for it this past November.”
The Greenville County Republican Party chairman said his members would much rather see single bills passed than large spending packages like this one, but understands this is the legislative system America has in place.
“The Greenville County Republican Party is in full support of the TRUMP agenda,” said Jeff Davis, in a statement. “We look forward to the scheduled July 4th signing of this landmark legislation.”
Reverting to 2017 tax rates, removing taxes on tips and overtime
The spending bill would also extend the U.S. tax code that was passed in 2017 during the first Trump administration, which was set to expire at the end of 2025.
The measure reduced federal income tax rates for each of the seven brackets except the lowest quintile and the second-highest quintile. A new provision to the legislation would increase the child tax credit to $2,500 through 2028.
“Extending the tax from 2017 is critical,” Timmons said.
Democratic Rep. Jim Clyburn (SC 6th District) said the benefits of the 2017 tax code change were felt most by wealthier people, not the people in lower income brackets.
“You got the lower 20%, they get a negative result out of this tax cut and the upper 20% get a fantastic result,” Clyburn said. “Why are we putting taxes in such a way that benefits millionaires and billionaires?”
Clyburn joined every other House Democrat and two Republicans in a vote against the bill.
“I think it’s probably one of the worst pieces of legislation I’ve seen since I’ve been in the Congress,” Clyburn said.
No federal tax on tips and overtime
The 2025 budget reconciliation bill also gets rid of federal income taxes on overtime pay and tips, which are two items Trump campaigned on in 2024.
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Just under 10% of Greenville metro area workers are employed in the food preparation and service industry, according to the U.S. Bureau of Labor Statistics.
Only three other occupational areas had more employees: production, office and administrative support, and sales.
“This bill delivers on the clear mandate voters gave us in 2024 — to restore security, sanity, and sovereignty to this country,” Republican Rep. Sheri Biggs (SC 3rd District) said. “It may not be perfect — few things in Washington are — but it delivers big wins for border security, personal freedom, and fiscal responsibility.
