The U.S. Senate is currently debating and voting today (June 30, 2025) on the “One Big Beautiful Bill Act,” a 940-page budget reconciliation package. It bundles tax cuts, spending cuts—including Medicaid, SNAP, green energy—and a $5 trillion debt-ceiling increase along with a sweeping overhaul of the federal student aid system. Lawmakers are working toward a self-imposed July 4, 2025 deadline to complete Senate action before entering negotiations with the House to finalize the legislation.
What We Know:
- Student aid changes remain controversial. The proposal includes overhauls to Pell Grants, federal loan programs, and repayment plans. Key higher-ed provisions—such as expanding Pell to short-term programs and consolidating loan systems—have been flagged by the Senate parliamentarian as violating the Byrd Rule.
- Parliamentarian review is crucial because several provisions will either need to be removed or rewritten to comply with budget reconciliation rules. The “Byrd Path” process could delay passage or eliminate contentious elements like portions of the student-aid overhaul.
- The Congressional Budget Office and independent analysts project the bill will add roughly $3.3 trillion—or up to $4 trillion with interest—to the debt over the next decade.
What’s Next:
- Senate vote-a-rama continues through today—amendments are debated and voted in rapid succession. By the July 4 deadline, the Senate must finalize its version (passage requires a simple majority under reconciliation).
- The Senate-passed bill then goes to the House, which can adopt it, reject it, or send it to a conference committee. Conference agreement must also pass the Senate with Byrd-compliant text.
- Once both chambers submit an identical, compliant version, it goes to the President for signature. Growing pressure, due to looming August recess and debt-ceiling deadlines, means lawmakers have strong incentive to resolve conflicts quickly.
LMU Advocacy Update
- LMU President Tom Poon recently sent a letter urging the LMU community to contact senators to oppose cuts to federal student loans and grants. While the Senate is aiming to vote at any moment, the House will still have an important voice in deciding whether to accept or reshape what emerges from the Senate. As Senate debate concludes, engagement shifts to the House and conference process. LMU recommends continued outreach to both senators and House representatives to advocate for the protection of student aid before the bill is finalized.
- LMU is evaluating contingency options to support students if eligibility for grants or loans changes.