Reconciliation

Reconciliation is special procedure that enables Congress to enact legislation on taxes, spending and the debt-limit with only a majority vote in the Senate, bypassing the sixty-vote filibuster. It is often used when one party controls Congress and the Presidency, as it allows the advancement of policy agendas without needing bipartisan support. The reconciliation process has been used to pass major legislation like the 2017 Tax Cuts and Jobs Act, The Affordable Care Act and the American Rescue Plan Act. The purpose of reconciliation is to align current law with the fiscal goals of a new budget resolution, but cannot change social security, Medicare or the budget process itself.

 

The 2025 budget reconciliation bill, Public Law No: 119-21 (also referred to as "H.R.1"), was passed on July 4th, 2025. You can learn more about reconciliation at the Library of Congress webpage, The Reconciliation Process: Frequently Asked Questions, or in the Federal Funds Information for States article, "Say What? Deciphering Federal Budgetspeak".