June 25, 2025


Thune Encounters Resistance on Megabill as Tillis Demands Medicaid Clarity

In a pivotal moment for Senate Republicans, internal discord threatens the passage of a major domestic policy bill, with Senator Thom Tillis spearheading a contingent of lawmakers demanding more transparency and concessions. During a confidential meeting on Wednesday, Tillis expressed his unwillingness to advance the bill without specific assurances about Medicaid modifications that could significantly impact his home state of North Carolina.

Tillis, who faces re-election next year, has been vocal about his concerns regarding the provider tax—a funding mechanism pivotal to the Senate GOP leaders' strategy. His apprehensions were shared with CMS Administrator Mehmet Oz, but Tillis remains unconvinced by the administration's impact estimates, which he argues downplay the potential $38 billion loss to North Carolina.

The senator's resistance signals a broader challenge for Majority Leader John Thune, who aims to shepherd the bill through Senate approval by July 4. Thune's task is complicated by differing factions within his party, including those pushing for a reduction in the proposed rural hospital relief fund, initially pegged at $15 billion—a figure that both Tillis and Senator Susan Collins of Maine find insufficient.

Collins, still undecided on the bill, suggests a more robust $100 billion allocation to address the issues thoroughly, though she doubts this alone will resolve all concerns. Meanwhile, deficit hawks in the party voice their own reservations, further muddying the legislative waters.

As negotiations continue, Thune remains optimistic, focusing on uniting the party's diverse viewpoints. "We're working with all of our members to try to get people comfortable with the bill, and hopefully in the end, they'll be there," Thune stated, acknowledging the complexity of aligning party members with varying priorities.

Senator John Hoeven of North Dakota predicts that the dissent is part of a broader negotiating strategy, expressing confidence that the leadership will secure the necessary votes. "All of our guys are going to keep advocating for what they want until we pass it," Hoeven noted, indicating a belief in eventual unity.

The coming days will be critical for Thune and the Republican leadership as they strive to consolidate support and navigate the intricate dynamics of their party's factions. The outcome will not only influence the legislative agenda but also potentially reshape the political landscape as lawmakers head into an election year.