This bill increases healthcare affordability for low- and middle-income people by expanding eligibility for premium tax credits under the Affordable Care Act. It removes the previous 400% of poverty level cap for subsidy eligibility and replaces it with a new sliding scale based on income tiers, ranging from 0% to 8.5% of household income for coverage costs. The scale adjusts linearly across income levels, with households earning 300-400% of poverty paying 6.0%-8.5% of income (up from the prior fixed 400% cap), while lower-income households pay progressively less. These changes apply to tax years beginning after December 31, 2025, directly affecting individuals purchasing health insurance through marketplace plans.
The ASSIST Act (S 2050) increases federal funding for mental health and substance use disorder services provided in schools and school-based health centers. It raises the federal medical assistance percentage (FMAP) for these services to 90% for states, starting one year after enactment, while ensuring this doesn’t reduce existing federal payments or count against territorial spending limits. The bill also creates a new grant program administered by the Health and Human Services Secretary to fund entities like school districts and universities in hiring more licensed mental health providers, requiring culturally competent care and annual reporting on provider numbers and service effectiveness. It prohibits using grant funds for threat assessment teams and mandates a report to Congress on the program’s effectiveness within 18 months.
The PILLS Act creates tax credits to incentivize domestic production of generic drugs and biosimilars in the United States. It offers a production credit of 30% (35% for final drug products) of the value added to eligible components, with an additional domestic content bonus of up to 20% for components made with US-sourced materials. Companies can also claim a 25% investment credit for qualified facilities producing these drugs, phasing out for facilities beginning construction after 2028. The bill excludes foreign entities of concern from these benefits and requires documentation for domestic content claims. These provisions apply to FDA-approved generic drugs and biosimilars to increase domestic supply of essential medications.
HJRES 11 proposes a constitutional amendment requiring the federal government to maintain a balanced budget by ensuring annual spending does not exceed revenue, with specific spending limits tied to gross domestic product (GDP). It mandates that every federal agency and department must justify each line item in its budget request, including how funding supports its mission and its impact on GDP, and provide a reduced funding alternative for critical functions. The amendment includes exceptions for declared wars, military conflicts, or major natural disasters, requiring a two-thirds congressional vote for waivers. This would directly affect all federal agencies by imposing new budget justification requirements and spending caps, though it remains a proposed amendment awaiting state ratification.
The Energy Freedom Act (S 1721) repeals numerous tax credits and incentives for clean energy, energy efficiency, and alternative fuels currently included in the Internal Revenue Code. This bill affects individuals, businesses, and organizations that currently benefit from these credits, including homeowners making energy-efficient home improvements, clean energy producers, and manufacturers of alternative fuels. The legislation specifically eliminates credits for residential and commercial energy efficiency, clean vehicles, renewable energy production, biofuels, and other clean energy technologies. Most provisions will take effect for tax years beginning after December 31, 2025, with some provisions taking effect January 1, 2026.
This bill modifies U.S. tax law to exclude certain debt forgiveness from taxable income for commercial and retail businesses. Specifically, it allows businesses to avoid paying taxes on debt discharged between December 31, 2023, and January 1, 2028, if the debt was secured by property used in their trade or business (like a storefront) and met specific timing requirements. The exclusion applies only to qualified commercial or retail indebtedness incurred before March 1, 2023, and discharged during the covered period. This directly benefits affected businesses by preserving tax credits and deductions they would otherwise lose when debt is forgiven. The policy change takes effect for debt discharges occurring on or after December 31, 2023.
The LITTLE Act of 2025 creates a tax credit for childcare providers and expands tax relief for families with childcare costs. It provides a 30% credit (capped at $10,000 lifetime) for childcare businesses to cover startup expenses like facility setup, if they serve at least two children and comply with state regulations. For families, it increases the dependent care credit to 50% of eligible childcare expenses (adjusted for income) up to $7,500 for one child or $15,000 for two or more children, and makes the credit refundable. These changes apply to taxable years beginning after enactment, directly affecting childcare businesses and families with young children or dependents requiring care.
S 1790, the State Border Security Assistance Act, creates two federal funds to provide grants to states, local governments, and National Guard units for border security activities. The Department of Homeland Security fund ($11 billion) supports physical barriers (like walls or fencing), surveillance, and border preparation along the southern U.S. border. The Department of Justice fund ($3.5 billion) covers locating, apprehending, prosecuting, and detaining individuals unlawfully present or involved in crimes, including gang activity and human trafficking. Both funds are authorized for fiscal year 2025 through 2034, with unspent balances returning to the Treasury by January 2029.
This bill extends the temporary enhanced premium tax credits for health insurance under the Affordable Care Act through 2028, instead of ending in 2026. It directly affects individuals purchasing health insurance through state or federal marketplaces who qualify for these credits based on income (up to 400% of the federal poverty level). The key change updates specific dates in tax law to align the credit period with 2028, while maintaining the same income eligibility rules. The extension applies to tax years beginning after December 31, 2025.
S 45, the Balanced Budget Accountability Act, requires Congress to pass annual budgets that balance by 2035 or face consequences for members' pay. If Congress fails to adopt a balanced budget for fiscal years 2026 or 2027 by April 16 of the prior year, members' salaries are placed in escrow until a balanced budget is certified or the current Congress ends. For fiscal years 2028 and beyond, failure to balance the budget would reduce members' pay to $1 annually. The bill also mandates a 3/5 vote (supermajority) in each chamber to pass any bill increasing revenue. This directly affects all House and Senate members by linking their compensation to budget balance outcomes.
